Otočac is a town in Lika, Croatia. It lies in the northwestern part of Lika, in the Gacka river valley. The population of the town is 4,354 as of 2001, with a total of 10,411 people within the municipality at large, the majority of whom are Croats (91%). Otočac is located in the western part of the karst field of Gacka, located between Velebit and Mala Kapela, at an elevation of 459m. The town lies to the southeast of Senj, northwest of Gospić and west of Plitvice. There are two sections of the town, Upper and Lower Town.
According to 2001 census, the municipality had 10,411 inhabitants, of whom 91.29% were Croats and 6.63% were Serbs. Croats in the vicinity of Otočac form two groups, those who speak Chakavian dialect and Bunjevci, who speak Shtokavian dialect with an Ikavian accent. Serbs form a majority in the villages of Gorići and Staro Selo. The town itself had population of 4,354.