Palenville is in the southwest part of the town of Catskill, located at the junction of Routes 23A and 32A. It lies at the foot of Kaaterskill Clove, at the base of the Catskill Mountains. Kaaterskill Creek, exiting the Clove, runs through the town, and was spanned by a swinging footbridge, destroyed during Tropical Storm Irene. The creek provides a number of swimming holes in the summer months, and the Long Path runs through the town.