Some places celebrate Christmas. Others were, according to local legend, named by it.
Christmas Eve Origins
In both Santa Claus, Indiana, and Bethlehem, Pennsylvania, the stories begin on Christmas Eve.
One legend tells of a small Midwestern town that gathered to rename itself, drawing inspiration from carols drifting in from a nearby church.
In the other, Moravian settlers—singing hymns in a stable in 1741—bestowed a name drawn directly from the nativity story itself.
Whether these moments unfolded exactly as remembered matters less than the fact that both communities chose to remember their origins this way.
From the air—or through the long lens of history—these towns reveal how legend, place, and tradition can fuse into something lasting. One leaned into whimsy and reinvention, the other into faith and continuity. Yet both built an identity that still revolves around the same winter night.
Christmas Eve may have named these towns, but history decided what they became.
Santa Claus, Indiana
Santa Claus, Indiana didn’t start out destined for sleigh bells and postmarks. Originally called Santa Fe, the town was forced to rethink its name in 1856 when officials learned another Santa Fe already existed in Indiana. According to local legend, the decision came during a Christmas Eve meeting to choose a new name. Children burst in from a nearby church service, singing carols. Someone suggested “Santa Claus”—and it stuck.
That moment reshaped the town’s future.
Today, Santa Claus, Indiana is one of the most Christmas-themed destinations in the United States. The local post office plays a starring role, using a special Santa Claus postmark that collectors and holiday enthusiasts request from around the world. Each December, roughly 400,000 letters addressed to Santa arrive, all answered by volunteers affectionately known as Santa’s Elves.
Notable landmarks and traditions include:
- Streets with names like Candy Castle Lane and Kringle Place
- A 22-foot-tall Santa statue, welcoming visitors since 1935
- Annual holiday postmarks designed by local high school students
Perhaps most surprisingly, Santa Claus is home to the almost oxymoronically named Holiday World & Splashin’ Safari, widely regarded as the oldest theme park in the world. Opening in 1946 as Santa Claus Land, it predates Disneyland by nearly a decade. What began as a modest Christmas attraction has grown into a 125-acre theme and water park—still rooted in its festive origins. Ironically, the park is not open during the holidays!
Nevertheless, the Christmas spirit continues year-round at places like Santa’s Candy Castle and Lake Rudolph Campground, but the town truly comes alive during the holidays with the Santa Claus Land of Lights, a massive drive-through display, and the Santa Claus Museum & Village, which preserves the town’s improbable origin story.
Bethlehem, Pennsylvania
From the Midwest, the story shifts east to the rolling hills of Pennsylvania.
Bethlehem’s connection to Christmas is older, quieter, and deeply rooted in faith. Founded by Moravian settlers, the town was named on Christmas Eve in 1741, when Count Nicholas von Zinzendorf—listening to hymns sung in a stable—was inspired to name the settlement after the biblical birthplace of Jesus.
Nearly two centuries later, in 1937, Bethlehem formally embraced the nickname “The Christmas City.” The iconic Star of Bethlehem was first illuminated that same year on South Mountain. Standing 91 feet tall and glowing with more than 250 lights, the star can be seen for miles and has become a defining symbol of the city during the holiday season.
Bethlehem’s Christmas traditions balance celebration with preservation:
- Christkindlmarkt, one of the most authentic German-style Christmas markets in the U.S.
- Candlelight services at Moravian churches, where worshippers hold beeswax candles—a tradition centuries old
- The Moravian Book Shop, founded in 1745 and still operating today
- Historic walking tours, live nativity scenes, and seasonal concerts
Rather than reinvent Christmas, Bethlehem honors it—layer by layer—through architecture, ritual, and community memory.
Two Towns, One Season, Very Different Stories
Seen from above—or through the long lens of history—Santa Claus and Bethlehem reveal two distinct approaches to Christmas in America. One leaned fully into whimsy and reinvention. The other preserved faith, music, and tradition across generations.
Both remind us that Christmas isn’t just something that happens in December. In the right places, it’s built into the landscape itself.
And if reindeer really were looking down, these are the towns they’d recognize instantly.
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