New York State Full Fairy-Tale Small TownsThat's according to World Atlas, which highlighted 8 fairy-tale small towns across New York State. Covering over 60% of New York state, forests are the ideal setting for a fairytale. A number of these towns are in the Hudson Valley and Upstate New York. New Paltz, New YorkThomas Etzkorn/ Townsquare Media of the Hudson Valley Thomas Etzkorn/ Townsquare Media of the Hudson Valley loading...New Paltz is a Hudson Valley classic, blending history and outdoor adventure. For all the news that the Hudson Valley is sharing, make sure to follow Hudson Valley Post on Facebook, and download the Hudson Valley Post Mobile AppKayaking, hiking, or cross-country skiing here all feel like stepping into another world.