Standing at a height of 2085m and surrounded on two sides by snowcapped mountains, Pemayangtse (Perfect Sublime Lotus) is one of the state's oldest and most important monasteries. It was founded in 1705 but was badly damaged in the earthquakes of 1913 and 1960. It has been reconstructed several times and belongs to the Tantric Nyingma-pa sect, which was established by the indian teacher Padmasambhava in the 8th century. All the sect's monasteries are characterised by a prominent image of this teacher, together with two female consorts, and this monastery is the head of all others in Sikkim. The sect followers wear red caps.

The monastery is a three-storey structure filled with wall paintings and sculptures including Zandog-palri, a seven-tiered painted wooden model of the abode of Guru Rimpoche, complete with rainbows, angels and whole panoply of Buddhas and bodhisattvas on the third floor. The model was built single-handedly by the late Dungzin Rinpoche in five years.

In February each year the chaam, or religious dance, is performed by the monks. The exact dates are the 28th and 29th days of the 12th lunar month.