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Chepelare is situated in the Rhodopes 20km from Smolyan and 9 km from Pamporovo. This is one of the towns in Bulgaria with highest altitude above sea-level - 1,100m.

Chepelare has established itself as a leading ski and resort centre in Bulgaria. The two ski-runs - Mechi Chal 1 and Mechi Chal 2 are among the best in Europe. Around the resort is constructed a ski running and biathlon track. There also is a school for winter sports.

Rozhen, Haydushki Polyani, Krastova Gora, Pamporovo, Shiroka Laka and Chudnite Mostove are situated nearby.

Chepelare hosts the only Museum of caves in Bulgaria.