Punalu'u (Coral Diving) is a long and narrow ribbon of land between the sea and the pali. On the northern outskirts of the town is a sign to "Sacred Falls". This wild state park has a strenuous 2 mile hike to an 80' high waterfall. A swim in the pool at the base of the falls is a wonderful refresher before the hike back.
The Punalu'u Beach County Park runs along the highway. Swimming inside the protected reef is safe year round. Local fishermen use this area frequently and are glad to talk to visitors about surf casting.