On the southwest corner of Lake Trasimeno, Orvietois 59 km south, Chiusiis 21 km to the west, Arezzois 56 km to the north, Cortonais 21 km to the north and Perugiais 47 km to the north east.
Castiglione del Lago has evolved on what used to be an island - the fourth island of Lake Trasimeno, in its south west region. Over the centuries, as the town grew, the flat gap between the island and the shore was filled with piazze, houses, churches and other buildings.
The newest parts of the city are at some distance from the old, so the centro storico (historical center) of Castiglione del Lago is a well preserved medieval locality that seems to be governed by a "law of threes". In the town walls there are three gates, and inside the town there are three piazze and three churches.
The Castello del Leone ("Fortress of the Lion") was built by Emperor Frederick II. The pentagonal-shaped castle, was completed in 1247 CE by the monk-architect Elia from Cortona. The castle features square towers in four of its corners and a triangular shaped bastion, or donjon, known as the Mastio in the other. The castle was designed to give its owners strategic control over all of Lake Trasimeno. The castle has withstood a number of sieges over the subsequent centuries.
The Palazzo del Comune (Town Hall) was built by Ascanio della Corgna in Renaissance style, designed by the architect Vignola. It is now a civic museum and gallery. The palazzo has by a long, covered corridor connecting to the castle. Renaissance era frescoes by the Pescara-born artist Giovanni Pandolfi and the Florentine artist Salvio Savini adorn the main floor inside. In 1574, the artist Niccolò Circignani, known as "Il Pomarancio", added paintings and other decorations to one of the most interesting rooms in the palazzo, the so-called Room of the Exploits of the overlord Ascanio della Corgna.
The only other building of particular note is the finely stucco-ed Church of Santa Maria Maddalena, done on a Greek-cross plan. The church has a neo-classical pronaos and, inside, a panel painted in 1580 by Eusebio da San Giorgio.
Every two years, Castiglione del Lago is the host of the Coloriamo i Cieli festival. The "Color the Skies" event is held on no fixed date in late April or May. Since 2005, however, this festival has been held annually and now includes light aircraft (nearly 2000 in 2007), hot air balloons and thousands of multicolour kites.