Located to the southeast of Zhanqiao Bridge, in Qingdao Bay, Xiaoqingdao Island is a pleasant little peninsular, an important resort of the Qingdao Coastal Scenic Area. Viewed from the sky, the island is shaped like an ancient lute, and hence is also called Lute Island.

At one time Small Qingdao Island was an isolated island about 720 meters (787 yards) off shore but in the 1940s a seawall was built, connecting it to the mainland. The island is shaped like a qin (an ancient Chinese musical instrument), and when the waves "slap" the shoreline, the sound is similar to that of the instrument being played, leading to its local name of "Qin Island".

The island is famous for its unspoiled natural scenery, which includes steep rocky outcrops, and a variety of trees, such as cherries, pomegranates and hibiscus.

Visitors can either walk along the coastline to enjoy the gentle ocean breeze, and to admire the incredible scenery, or sit on the beach to watch and listen to the gentle waves roll in. There are also statues and pavilions that can be viewed at various locations. This all makes for a delightful island to visit.

Another famous island attraction that adds to the glamour of Small Qingdao Island is the "beacon". It was built by the Germans in 1900 and stands 15.5 meters (51 feet) tall. It is built in the shape of an octagon and constructed from white marble. In the sunlight, the tower shines as white as snow while at night the light at the top sparkles like a ruby, guiding ships safely into the bay. When viewed from the sea, the beacon's light flickers and appears to be floating on the waves. The local people consider it to be one of the ten top scenes of Qingdao and call this view "Floating Light on the Qin Island".

The island has a little park, a few small cafes and a white lighthouse. It is a good area for a brief stroll, giving good views of the Huilangge Pavilion, the rusting submarine and destroyer of the Naval Museum, and, if the weather is right, the nearby Yellow Island (Huangdao) nestling in mists. It is a great place to enjoy ocean views and to soak up an island atmosphere.

The island is dotted with black pines and flowers such as oriental cherries, green peaches, pomegranates, and roses of Sharon.

To visit Small Qingdao Island, visitors can take the bus to Luxun Park bus stop where they will find the entrance to the island not far from Luxun Park.