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Alicedale is a railway junction on the main railway line between Johannesburg and Port Elizabeth. From here a branch line leads to Grahamstown. The town was a railway training facility during the previous two centuries, from there the historical red face brick building that now houses the reception of the resort hotel. The town was named for Mrs. Alice Slessor (born Dale), the wife of the engineer in charge of construction of the railways.


The nearest neighboring towns are Riebeeck East and Paterson, while Grahamstown lies 45 km to the east. Bushmans River Sands Hotel in Alicedale has an 18-hole golf course