An abandoned village from the Middle Ages, perched atop a cliff in the Roman countryside, is home to a smattering of artists, hippies and hedonists who have lived here undisturbed for years.

No, I don't work any more,"says Paul, a celebrated Californian show-dancer and choreographer with a Hollywood past and a career in Italian TV, "but I live, and living a beautiful life is an art."Live and let live appears to be the central philosophy here in the Italian hippy oasis of Calcata, an artists' paradise located just an hour's drive north of Rome.

Established in the 8th century BC, in the time of the Etruscans, and built upon a great tuffstone cliff, the ancient village of Calcata is now home to a unique community of about 100 permanent residents who have come here to escape the outside world. "Years ago, as citizens of this place, we elected a kingdom—the kingdom of Calcata,"says Marijcke, a doll-maker from the Netherlands.

"Constantino [Morosin, a resident artist] was supposed to be king because he built the throne on the village square. Of course it was a joke, but there was some seriousness behind it. Calcata is like an independent state within the country, much like San Marino or the Vatican."

At the foot of the cliff, the River Treja streams into the nature reserve La Valle del Treja. Until the '50s, around 800 local people lived here. There were shops, schools, bakers, butchers, a blacksmith, a hairdresser, a social hall and more— all the hallmarks of a thriving village—until, that is, everyone was evacuated. Due to the condition of the old houses and their position high up on the cliff, the authorities decided that the chance of an earthquake posed a great threat to the locals' livelihoods. To house the residents, Calcata Nuova, an Eastern Bloc-style settlement 100 metres from the old village, was built. The new houses were equipped with modern amenities such as running water, and most of the Calcatans were lured out of the old village. Calcata itself was to be razed to the ground and that would be the end of it... or so they thought.

But before the demolition began, the abandoned village was discovered by groups of artists and hippies. For them, this was a no man's land, Italy's blind spot, a place that held the promise that they would be left in peace. The houses and caves were cracked and in bad condition, but the new occupants set to, tidying them up and repairing them over the course of the next few years. And if the authorities happened to pay them a visit, they could always flee via the cliff's rambling network of caves and tunnels.

Calcata is a mishmash of tiny little streets with endless twists and turns, dead ends, stairways, arches and tunnels. There are a couple of restaurants and cafs, and the houses have balconies scattered with flower pots, and walls covered with climbing vines and wild roses. The streets are alive with the smells of baking and there are many, many cats. In the caves and houses, the artists have created ateliers, and their art is sold in countless galleries and exhibition halls.

This is a fairytale world full of painters, sculptors, mediums, musicians and spiritualists, who have created an enchanted community full of unusual shapes, colours and music. Grietje, a Belgian woman living in a comfortably fitted out cavern, explains the townspeople's unique energy: "No one is born here. Everyone who lives in this place has made a conscious decision to do so because we feel attracted to Calcata and to each other. We have all travelled a long road before finding each other here."

Palm-reader and painter Gianni Macchia has converted his house—which for years was occupied by priests and magicians—into an esoteric centre, Caff Kafir, where neighbours can meet up. Outside, an oriental woman, clad in long garments, glides by.

Suns and moons hang on a chain around her neck. "That's Mirreilla,"he explains. "She reads tarot. And there on the corner lives Athon, as she's been known since her Egyptian period (www.athonveggi.com). Her cave is full of statues of gods and sphinxes. Before, in her Indian period, she was known as Citareka. She's what you call a real hermit."

The Italians sure love their rugby.

Perhaps the most celebrated local artist is "King"Constantino Morosin. "For the first three years here, all I did was carve egg-shapes out of tuffstone, to purify my mind, he says. "I was weary, very weary, from making commercial designs."Constantino gave up his successful career as a graphic designer to become a celebrated sculptor. On the village square stands i Troni di Calcata (the thrones of Calcata), three massive tuffstone seats that appear to have come straight out of the Etruscan era. His cave-atelier is full of tuffstone designs that—true to his obsession with the egg—often incorporate fluid, feminine curves.

To see another side of his work, visitors can check out the Opera Bosco, which Constantino set up with his artist wife Anne. It's a pathway through the green woodland valley of the Treja, which takes the visitor past all types of artworks created from natural materials. Nature adds another element to the works, dramatically transforming the shapes, as in the case of the modern tuffstone sculpture that is almost entirely concealed by moss and plant overgrowth.

At the lowest point in the pathway is an amphitheatre, from which you can hear the Treja gurgling in the background. This is local musician Walter Maioli's favourite spot for performances. He plays Etruscan horns just as in the times of the Etruscans themselves. Any conversation with Maioli tends to end up being about notes and music. Every now and then he'll suddenly stop talking and cock his head to listen intently, as his eyes turn away from you. What is it that he's listening to? You get the feeling he walks around with his ears finely tuned, ready to pick up on hidden sounds. Maioli calls himself a "seeker of prehistoric music and the history of sound", an area in which he's become a great authority. He likes to play in settings and clothes that reflect the origin of the music as much as possible. In Calcata, with its ancient Roman and Etruscan roots, he's in his element. "It's not by coincidence that I've come to be here,"he says.

When evening falls, Maioli—together with his entourage of two women and a dog—walks in Roman dress to a silent spot along the outside wall of Calcata. The air is warm and sultry, the view breathtaking and the valley smells of dark caves and forest floor. An owl flies past and turns its head to look at the group with wide, yellow eyes. Maioli takes up his double flute—a Roman instrument that has apparently been mysteriously blacklisted by the Vatican—and starts to play. "The melody consists of not two but three notes, just like with some birds who have a double syrinx,"he says.

The women lead him with drums and cymbals, and the dramatic music resounds through the valley and bounces off the cliff faces. Later, as the orange glow of dusk gives way to the dark blue night, he explains that the notes and colours have been determined through the pitch of his performance, and that this ensemble represents the red (drum), yellow (flute) and blue (cymbals) spectrums.

Tonight there's also a party. The reason why isn't entirely clear but that doesn't seem to bother anyone. Along the perimeter of the town, above the 180-metre-high abyss, are the caves of choreographer Pancho, who has constructed a beautiful multi-functional space where, among other things, he has set up a Buddhist caf.

Everyone is enthusiastic, except the authorities, who have refused him a licence to operate because the ceilings are too low. Pancho, obviously angered by this, doesn't agree: "In Calcata, no one has allowed themselves to be suppressed by the authorities yet."So to enter the caf, one must first become a member of Vivere Vivi, an association organised by Pancho. Entrance is €5 and drinks are free for the rest of the night.

Laura DeLuca, "the Red Moon", spins house and techno records, and people start to dance, trance-like. She's flanked by Dario Mussoni, "the Black Sun", and together with Gianni Manc, "the Rainbow Shaman", they form the Invaders from the Ultraworld. They call Calcata "CalKathmandu". "It's a castle of light, a flying carpet in a virtual world,"she says.

Laura and her cohorts speak to the new, younger generation, often referred to by the old-timers as nut-bags and junkies. But, in fact, the tradition of hippiedom is simply continuing; the newcomers have settled here for pretty much the same reason the veterans came here before. As Red Moon says, "Calcata is a magical place, it always has been. Here, your soul undergoes a transformation."

For more information visit www.calcata.info