Nagin Lake, also popular as the 'Jewel in the Ring' gets its name from the ring of trees surrounding it. The lake is separated from the Dal Lake only by a thin causeway. Several shikharas and houseboats are seen floating around the lakes which are a favourite with the tourists.
Visitors prefer swimming in this lake, as compared to others in the area, as it is deeper and the water here is less polluted. Watersports such as skiing and fibreglass sailing are also available here for the adventurous tourist. A bar and a tea pavilion called the ‘Nagin Club’ on the banks of the lake provide for a place to relax.