Situated alongside the northern shore of the Naini Lake, this temple is dedicated to Goddess Sati and is counted amongst the 64 Shakti Peethas devoted to Her. According to mythological legends, the eye of Goddess Sati fell at this spot while Lord Shiva was carrying Her mortal remains to Mount Kailash. This is how She began to be worshipped as 'Naina', which means eye on translation. 
The Nanda Devi Temple (also known as Naina devi Temple) is one of the most important places of religious significance in Nainital. It is also the venue of the Nanda Devi Mahotsav, which is a grand religious celebration organised to honour Ma Nanda and Sunanda – two local goddesses.