Misty Island is located several miles off the southern coast of Sodor and can be seen from Brendam Docks when it is not covered in mist. It is the home of Ferdinand, Bash and Dash. The island's logo is a forest with two axes crossing each other.
Thomas got lost here after the chain attaching his raft to the boat pulling him breaks. Upon his arrival, he discovers that the rare Jobi trees needed to build the Sodor Search and Rescue Centre grow there. Since then, engines often visit Misty Island to collect Jobi wood.
Dowager Hatt was taken on a tour of the island and the Logging Locos held a Christmas party there.
Hiro said that it reminds him of his homeland, Japan.
Toby took Rheneas there to look for a Christmas tree to bring back to Blue Mountain Quarry.