Bay City ranked #1 on www.worldatlas.com for top 10 best small towns in Michigan. Bay City has an electric , nautical vibe, and is exceptionally peaceful along the Lake Huron coast, charms through distinct neighborhoods, and has an undeniable small town feel despite a population over 33,000. With antique shops , coffee houses , rustic taverns and cozy waterfront eateries, bay city enjoys a beautiful riverfront for strolls. Belly up for an evening of craft beer, handcrafted cocktails , or a sunset sail on a tall schooner.