After leaving the shorelines of the lakes, NY 374 intersects with Sunset Road, which is a local road heading to the southwest back to the lake. The route continues to the southeast, entering the community of Lyon Mountain, where it intersects with Bradley Pond Road (CR 2). The route continues into the moderately developed community, where it intersects with Standish Road (CR 1). The route here turns eastward, intersecting with local roads before leaving the community of Lyon Mountain and back into the undeveloped rural areas.