Alcudia de Guadix, together with Exfiliana and Charches, is one of three villages that make up the region of the Valley of Zalabí. It is an integral part of the Natural Park of la Sierra de Baza, known as a “climatic island", because of its humidity and lush vegetation, with peaks higher than 2,000 metres. This contrasts sharply with the bleak and almost desert-like area that surrounds it. Alcudia is the administrative centre of the municipal region, where the Town Hall and the regional services are located.
A large majority of the houses of the village are caves dug out of the clay soil, and most are still used as homes today. There are several tourist cave dwellings that have all the comforts and amenities of a modern hotel, in a special and original way. Alcudia is also famous for its bread, and is home to some of the best bakeries of the province.