[2] Cedar Island was home to a local Native American population prior to the arrival of European settlers.

In 2019, Hurricane Dorian brought 9 feet of storm surge over the island and damaged one-third of the buildings.

[3][6] Southbound NC-12 continues from the ferry terminal across Cedar Island to meet with U.S. Route 70 on the mainland, near the community of Sea Level.

Cedar Island is about 4 miles (6.4 km) long, extending from the "Lola" village on the southeast end near Core Sound and Lewis Creek, north to the Ferry Station at the northern side of the island, bordering Pamlico Sound.

The climate of Cedar Island is cooler than inland areas in the summer and warmer in the winter, and it is occasionally hit by hurricanes in the fall.

Although infrequent due to North Carolina's latitude and cooler winters, alligators have been observed in the area.