Skyloft

Skyloft is a town located on a series of islands floating above the cloud sea. The town serves as a hub during most of the game, it includes a Bazaar where Link can pay for various services like potion and weapon crafting, fortune telling, and an item storage. The town also have a residential quarter, a bathhouse, a huge plaza, the Light Tower, the Knight Academy, Beedle's Air Shop and the Statue of the Goddess. Skyloft is the birthplace of Link and Zelda as well as most of the humans seen in Skyward Sword and as such it is the starting area of the game.

Era of the Goddess Hylia
Skyloft was created by the Goddess Hylia at the end of the Era of the Goddess Hylia when she raised pieces of the land to save the remaining humans from Demise who vowed to kill most of the creature living on the surface to obtain the Triforce. With the islands, Hylia also constructed the Statue of the Goddess in which she could hide the Goddess Sword, the weapon she created for her champion.

The Sky Era
25 years prior to the events of Skyward Sword, during the Sky Era the people of Skyloft established the Knight Academy, a school for the Knights of Skyloft, and the Wing Ceremony, an annual yearly event where students at the Knight Academy would engage in the ceremony to advance to their next level in class. It concludes with the winner reenacting the role of the Goddess's Hero from long ago with another student playing the role of the Goddess herself.

During the events of Skyward Sword Link participate to the ceremony and goes up against Cawlin, Strich and Groose, he wins and is able to participate to the end of the ceremony with Zelda playing the role of the Goddess. After the ceremony, she is swept away to the surface by a tornado created by Ghirahim while Link is knoced out. After waking up, Link meet Fi who invite him to follow her to the interior of the Statue of the Goddess in which the Goddess Sword was hidden, Gaepora arrives and Fi gives the Emerald Tablet to Link after a short conversation. The tablet create a rift in the clouds and allow Link to go to the surface.

Way later in the game after learning the Song of the Hero from Levias, Link discovers the Sky Keep, an ancient temple that was built inside the Isle of the Goddess to protect the Triforce. Once Link obtain it, he wishes for the destruction of Demise and the Isle of the Goddess breaks off from the remainder of Skyloft and begins to desecent towards The Surface crushing Demise who was still trapped in his Imprisoned form. After the destruction of Demise in the past, more and more people started to leave the town to live on the surface thus starting a new kingdom, the kingdom of Hyrule

Enemies

 * Green ChuChus
 * Keese
 * Remlit

Hyrule Warriors
Skyloft also appears as a map in both Hyrule Warriors and Hyrule Warriors Legends, the map features most important places seen in Skyward Sword. The main difference is that some island seems to be in ruins. The map is used in two scenarios of the Legend Mode and many missions of the Adventure Mode

Super Smash Bros.
Skyloft appears as a stage and a trophy in Super Smash Bros. for Wii U. the stage features a moving platform which lands in different areas, including places like the Statue of the Goddess, the Bazaar, the Light Tower, and the outside of Batreaux's house.

Trivia

 * Many of the Skyloft residents' names are based on that of a bird from the real world.