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Puget Neighborhood is located south of Whatcom Creek and east of Interstate 5. The neighborhood is shaped by industrial uses on the north and commercial uses to the west along Lakeway Drive and Lincoln streets. Single and multi-family residential areas are located on the south and east fraction of the neighborhood. Puget and Toledo Hills take up the southern and eastern parts of the neighborhood and are developed with single-family homes on medium-sized lots. The homes are well cared for and many of the homes have outstanding Bellingham Bay or Canadian Cascade views. According to the 2000 census, over 4,100 Bellingham residents call the Puget Neighborhood home (6% of total city population, the 3rd highest neighborhood).

Civic Athletic Complex is the most active park and recreation facility in the city, located at the north edge of the neighborhood. This complex includes the Arne Hanna Aquatic Center, Civic Stadium, Joe Martin baseball field, passive wetland areas, the Sportsplex indoor ice and soccer facility, Frank Geri softball fields, walking trails, a skate park, bike jump park, and undeveloped forest land. A trail linked from the park to the Whatcom Creek Trail will provide improved access to this facility from other neighborhoods.

Whatcom Creek is a resource of city-wide interest that divides Bellingham geographically.  The Whatcom Creek Trail provides a connection from Lake Whatcom to Bloedel Donovan Park, Scudder's Pond, Whatcom Falls Park, Civic Athletic Complex, the Civic Center, Maritime Heritage Park, to Bellingham Bay waterfront through several residential neighborhoods