Kinugawa and Kawaji are the most famous hot spring resort towns in Nikko with their celebrated ryokans. Kinugawa Onsen is an historical hot spring town, having developed along the Kinugawa valley. You can admire the beauty of the valley created by nature. Popular activities are the Kinugawa Rhine Kudari, a Japanese boat journey down a rapid stream while enjoying the sights of strange formations of wild volcanic rocks, and thrilling rafting. There are theme parks, such as Nikko Edo Mura, a reconstruction of a town in the Edo period, and Tobu World Square, a miniature reconstruction of historic sites and famous buildingsfrom around the world. Kawaji Onsen, located near the point where the Kinu-gawa River and Ojika-gawa River meet, offers dynamic valley scenery with huge rocks and a clear stream of the Ryuo Valley as well as a good, oldspa town atmosphere. This onsen is also well known for its yuzu-yu, a hot bath with yuzu (citrus) in winter.
A feature of summer in this area is Ryuo-sai Festival. It is held at the end of July every year in Kinugawa and Kawaji hot spring towns. The festival begins with a Shinto ritual, and carrying miniature shrines and other events take place on a grand scale.