New Mexico's largest lake sits just four miles north of town and feels completely incongruous in this dry Chihuahuan Desert landscape — a broad expanse of blue water stretching 40 miles through red canyon country, lined with beaches and dotted with boats. The reservoir was created in 1916 when Elephant Butte Dam was completed across the Rio Grande, and the namesake butte (an ancient volcanic core shaped vaguely like an elephant) rises from the water near the dam.
Swimming, water skiing, jet skiing, fishing for striped bass and walleye, and camping along the lakeshore all draw visitors from across New Mexico and Texas. The marina rents boats. On a summer weekend the lake buzzes with activity; outside peak season you can have long stretches of beach to yourself. The desert hills around the lake are good for hiking, and the area hosts impressive wildlife including roadrunners, javelinas, and golden eagles.