The Falkenstein lies southeast of the small town of Tambach-Dietharz in Schmalwasser bottom (Schmalwassergrund) and is the most important rock formation in the Thuringian Forest in central Germany.
On the valley side, the crags are 96 metres (315 ft) high.
The area near the Rennsteig climbing path has a very montane climate due to its height.
The Falkenstein was first climbed in 1852 by the Tambach glassmaker, Jacob Zimmermann.
The rock is best reached on foot or bicycle by taking the road from Tambach-Dietharz (closed to traffic) that runs along the Schmalwassergrund past the Schmalwasser Reservoir - a distance of about 10 kilometres (6.2 mi).