In their April 2000 edition, Harrowsmith Magazine named Neustadt one of Canada's ten prettiest villages as evidenced by the historic 19th century Victorian farmhouses highlighting Gothic Revival architecture.

John Weinert, a saddle maker from Prussia, moved into Neustadt in 1859 and proceeded to establish a tannery on the north side of William Street.

For many years it remained empty, being used by several community groups as variously a dance hall and farmer's market, until 1997 when it was reopened as Neustadt Springs Brewery; which currently brews ten brands of beer.

Years later, small businesses, farm equipment dealer, creameries, woolen mills, egg grading stations, some stores and later banks began to vanish.

In addition to the collection of fieldstone farmhouses, churches and school, the village is also known for its Neustadt Springs Brewery,[11] a member of the Ontario Craft Brewers association.

Neustadt Springs Brewery has won awards for their products almost every year since 1999 and has been recognized as one of the three most popular tourist attractions in Grey county.

[12] The building is of note for its fieldstone architecture and a remaining section of subterranean stone tunnels that at one time existed below the high street.

[13] The municipality of West Grey and the village of Neustadt offer a wide variety of attractions and activities for tourists; it provides many services to area residents, including a Library, roads maintenance, parks and recreation.

The village has a wide variety of garage sales and specialty shops selling antiques, fabrics, pottery, handmade items, and primitives.