The historic downtown district of Palm Harbor, at Florida Avenue and Alt. US 19 and CR 1, has numerous festivals and craft fairs. Old Palm Harbor Main Streets, Inc., a 501c3 not-for-profit organization, hosts their signature event the first Friday of every month. "Palm Harbor's First Friday Celebrations" are a popular community event for youngsters and adults alike. There are rides and games for the children, with opportunities to dine on food from the many local restaurants, enjoy local artists and crafters displaying and selling their wares. Annually, the first Sunday in October marks when the "Taste of Palm Harbor" festival is held. The event is presented by the Palm Harbor Junior Women's Club with the proceeds benefiting their "Making a Difference" grants & scholarships program. The Taste of Palm Harbor traditionally offers live music and the tasting of samples from over 20 local restaurants, many of which make seafood their specialty.
Palm Harbor has various recreational amenities for use by citizens and visitors. The area is home to John Chesnut, Sr. Park, located in the East Lake region, as well as H.S. "Pop" Stansell Park, located to the west of Palm Harbor Boulevard and overlooking St. Joseph's Sound. The Palm Harbor Community Services District also manages several sport complexes in the community: Steve Putnam Park, Palm Field, and Sunderman Recreation Complex. The community activity center is located at 1500 16th Street, managed by the District's parks and recreation department. This facility was originally constructed by Pinellas County in the late 1990s as a senior recreation facility, however lacked the funding to remain open and available to the community. The District received the property in 2004 and opened the doors to youth, teen and adult programs, youth summer camps and community services.