Falsterbo historically enjoyed trading privileges with the Hanseatic League. During the Middle Ages, it was a rich and prestigious town owing to its location in a center of trade and herring fishery. On the beach between Falsterbo and neighboring town Skanör was the Scania Market where merchants from various parts of Europe had fixed market places. Scania Market was a major fish market which took place annually starting about 1200. The market became an important trade center on the Baltic Sea and remained so for 250 years; it was a major source of the Hanseatic League's wealth. The rich herring fishing around the Falsterbo Peninsula accounted for the market's popularity, but the market declined in importance during the 15th century when herring populations decreased. The cities were politically merged into a single city, Skanör med Falsterbo.
Local attractions
Falsterbo is mostly known as a holiday destination where people go to spend their summer vacations. The beaches of Falsterbo are known for their white sand and family-friendly bathing opportunities. Falsterbo is also known for one of the better golf courses in Europe – Falsterbo Golf Club. Another attraction in Falsterbo is the annual International Horse Jumping Grand Prix every July. Local landmarks include Falsterbo Lighthouse which lies on the site of the oldest known beacon in Scandinavia. Other sites of note include Falsterbo Bird Observatory, Falsterbo Museum and the historic Falsterbo church. Falsterbo is also known for its Bird Observatory, which regularly undertakes bird ringing. The bird observatory has ringed over a million birds.
Falsterbohus
Falsterbohus was the name of a number of historic castles dating from the mid-13th century. The building now known as Falsterbohus was built in 1908. There have been a number of archaeological excavations where the original castles stood. The first was in the early 20th century by :sv:Georg J:son Karlin|Georg Fredrik Johansson Karlin, founder of :sv:Kulturhistoriska museet|Kulturen, the Cultural Museum of Southern Sweden located in Lund. A second and more extensive excavation was conducted between 1934–35 by Ragnar Blomqvist. Most of the artifacts from the earlier excavations are located in the Cultural Museum in Lund and Falsterbo Cultural Museum. Most of the archaeological finds from the second excavations are in Stockholm