The village of Verhulitsa is located on the high bank of the Mustoja River valley. The village has been inhabited for at least 1000 years. It is a typical street village with one main street and most houses located along the main street.
In the olden days the trade road from Livonia to Pskov passed through the village. According to legend, the village had gates at both ends of the village. Every day at sunset the gates were closed and the merchants on the road had to wait till the morning to continue their trip.
There is a network of health trails on the hilly and forested lands of the Verhulitsa village. The network is comprised of 1, 2, 3, 5 and 10 km trails suitable for jogging, walking, skiing and biking. The nice trails start and end by the Peko guesthouse.