Hosting festivals and celebration events by communities have become a global trend. The benefits generated through organizing festivals have been proven as significant and valuable. Previous studies mainly focus on investigating the direct and indirect benefits of hosting destination such as economic and social benefits. Very few studies have examined the relationship between festival and sense of place of a hosting destination’s residents. Sense of place is an important topic since it links to other significant issues that affect a society. This study aims to examine if festival can increase the sense of place of residents through conducting a quantitative research in Macao, SAR, China. The results concluded that there is a significant positive relationship between hosting festival and the place identity and place attachment. The result suggested that it is worthwhile for destination marketers to invest money in hosting community events and festivals.