It is situated in the southwest of the Teke peninsula, on the hillside of the inlet of the same name. It is a touristic resort thanks to its magnificent natural beauties, wonderful bay, islands, vegetation, pine forests, historical assets and accommodation facilities to the world standards. The foundation of the city dates back to the Lukka branch of the Etruscans/Luwis circa 3000 B.C.
The name of the city is orginally Attalassa meaning "the castle of the divine King Atta". The name of the city located in the ancient Lycia later changed into Telmessos. A mention is made of the Telmessians alongside the Lycians during the Trojan War. The city first came under the rule of the Lycian Federastion, followed by the Macedonians, Kingdom of Pergamum and Romans. It came to be called Anastasiopolis during the Btzantine and Megri during the Ottoman eras. After the 19th century the city was renamed as Fethiye to the honour of Fethi Bey, a martyr pilot. Initially, it was set up on the slope of a mountain at an altitude 100 m to the east of the gulf. In spite of the scanty remains surviving from the earthquakes, the acrepolis hill and walls are visible where the during the Lycian and restored in the Byzantine eras and the upper tier remnants of the antique theatre exist.
To the south of the acropolis is the necropolis where the Lycian sarcophagi are found and on the hillside facing the north are the Lycian rock tombs. The most noticeable one the Rock Tomb of Amyntas, described by the Galatians as the Divine King Attala, carved in the from of a temple. From this rock tomb is a passge, through a narrow door, into the main burial chamber with three benches.
Oludeniz, the "Dead or calm Sea", is 8 km southwest of the city centre Fethiye, behind a coast-line encircled with mountains. Paragliding is practices at an elevation of 900 m with pine and maquis forests immediately behind the coast and festivities are organized every year. By the shore surfing, sailing and types of water sports are carried out. The natural coves of the area are ideal for underwater diving. The coast-line is silted up behind with the alluvia carried from the mountains and the sea and a channel of only 20 m and, behind it, a natural inner cove, calm and stagnant, 800 m long by 300 m wide, were formed. This area is called Oludeniz. 500 m from Oludeniz is the island of Cleopatra where there are the remains of a Byzantine Chapel and Monastery. Boat tours are organized to the Vally of Butterflies and the 12 Islands in the area.
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