Located along the South-Link Highway (Provincial Highway 9) in Dawu Township, Taitung, the Daniao Recreation Area serves as an essential rest stop for travelers exploring the South-Link route. It is situated within Daniao Village, the largest Paiwan tribal community along the South-Link route. In the Paiwan language, the village is called "Pacavalj," which translates to "wetland" or "land of ponds"—a name that underscores the deep connection between the people and their ancestral land.

The recreation area seamlessly integrates modern architectural design with detailed elements of Paiwan culture, offering visitors not only a place to relax but also an opportunity to experience the distinct character of this Indigenous community.