The first settlement was established here as early as in the 12th Century under the name of Castel Lastva. The modern settlement was established in the 18th Century. It is situated in a sandy bay surrounded by greenery and olive groves. Beside the Petrovačka plaža (600 meters long), from which one can travel by boat to the small island of Katić and Sveta Nedelja, there is a bay-shaped beach known as Lučice (500 meters long), and a larger beach Buljarica (2250 meters long), beneath the slopes of Dubovica hill.
In a village Brčeli is the church of St. Nikola, which is the resting place of “lažni Šćepan mali“ (the impostor King Šćepan). He was elected for King because he presented himself as the Russian Tsar Peter the Third. During the eight years of his reign he reformed the country, centralized the government, but he had many enemies, both in Venice and among the Turks. His servant, who was a Turkish agent, killed him in 1773. Gradište Monastery with frescoes from the late Middle Ages is situated to the east of the town.