Nederland began its history as the site of the mill for silver ore from the rich silver mines at Caribou (now a ghost town five miles away) and, during World War I, for tungsten ore from surrounding mines. Nederland was named by a Dutch mining company that purchased several mines in the area, The word Nederland comes from Dutch "The Netherlands" meaning low lands. It was named this because the large boom town at the time was Caribou, a town above Nederland, and Nederland was the lower lands that many traveled down to for supplies. Today it is better known as a gateway to outdoor recreation in the nearby Indian Peaks and the new James Peak Wilderness Areas. Nederland is located 15 miles west of Boulder.
According to the United States Census Bureau, the town has a total area of 1.6 square miles (4.1 km²), of which, 1.5 square miles (4.0 km²) of it is land and 0.1 square miles (0.1 km²) of it (3.14%) is water.
There were 606 households out of which 27.6% had children under the age of 18 living with them, 43.9% were married couples living together, 7.4% had a female householder with no husband present, and 44.7% were non-families. 26.9% of all households were made up of individuals and 2.8% had someone living alone who was 65 years of age or older. The average household size was 2.30 and the average family size was 2.81.
In the town the population was spread out with 20.6% under the age of 18, 8.8% from 18 to 24, 46.6% from 25 to 44, 19.9% from 45 to 64, and 4.1% who were 65 years of age or older. The median age was 33 years. For every 100 females there were 113.5 males. For every 100 females age 18 and over, there were 112.5 males.
The median income for a household in the town was $50,588, and the median income for a family was $60,893. Males had a median income of $40,521 versus $36,417 for females. The per capita income for the town was $29,111. About 4.6% of families and 8.3% of the population were below the poverty line, including 7.7% of those under age 18 and 4.6% of those age 65 or over.
There is a limit of 2,000 tickets sold per day, and in addition to two full days of music NedFest also features Arts & Crafts/Merchandise Booths, Food/Beverage Booths, Information Booths and several Service Booths.
Nederland is also the site of the annual Frozen Dead Guy Days, which occurs every year in early March. The festival commemorates a substandard attempt to practice cryonics on the grandfather of a deported resident using dry ice after several days of warm ischemia. The Nederland Chamber of Commerce tells the story here