It is the largest resort on the island, the local transportation hub and the centre of Sylt's tourist industry.

[3] The Old Church of Eidum St. Niels was demolished in 1634, mainly due to a particularly bad stench, and rebuild in the heath area, far away from the sea, in 1636.

[2]: 432 [4] The village grew rapidly during the 17th and 18th centuries because people experienced a great increase in wealth thanks to whaling.

Previously, people had only lived from the sea and what little their fields could provide (they were often destroyed by the wandering dunes or flooding).

[2]: 432 In the 1890s, Westerland replaced Keitum as the preeminent town on Sylt, not just for tourists but also regarding infrastructure and facilities used by the locals.

The concrete highrises that today dominate the Westerland skyline (and are visible from many places on Sylt) were built in 1966-68 (Kurzentrum, Metropol).

Only the smaller communities of List, Wenningstedt and Kampen – none being incorporated towns – lie farther north in Germany.

Westerland is the central hub for supply, retailing, and numerous services that provide for the inhabitants and visitors on the island of Sylt.

Thanks to its affluent, glamorous lifestyle and thriving tourism industry, Westerland, has been called the "Beverly Hills" of Germany.

[2]: 212, 432 Westerland features numerous sculptures, e.g. in the pedestrian zone such as Wilhelmine (Wilhelmsstrasse) or Sturmbläser and Europa on the promenade.

The Westerländer Roland [de], which used to stand in front of the old town hall, was in storage from 1964 to 1993, but since then has stood in the centre of a roundabout.

Westerland can also be reached by air through Sylt Airport, and by car ferry from the nearby Danish island of Rømø.

T-Systems operates the Sender Westerland [de], a 90-metre radio mast located in the middle of the town.