The Penn State Creamery is one of those genuinely wonderful places that exists because a university decided to take its agricultural roots seriously. Operating since 1865, it produces ice cream, cheese, and butter using milk from Penn State's own dairy herd, and the ice cream is genuinely excellent — rich, dense, and made in flavours you will not find anywhere else. Peachy Paterno (peach) and Nittany Lion Tracks (peanut butter swirl) are the most popular, but the menu changes with the seasons.
The Creamery on campus sells by the cone, cup, or half-gallon, and on warm days the line stretches out the door. It is worth waiting. The facility also has a viewing window where you can watch ice cream being produced, and a shop selling Penn State dairy products to take home. The Creamery's ice cream is also served at the football stadium on game days, which should tell you something about its standing in local culture.