Kęstutis moved the town from Senieji Trakai to its current location, which is sometimes known as Naujieji Trakai. The new location was a place of intensive construction: a new castle was built in the strait between lakes Galvė and Luka and known as the Peninsula Castle, and another one, known as the Island Castle, on an island in Lake Galvė. A village grew around the castles. Vicinity of Trakai was protected by Senieji Trakai, Strėva, Bražuolė, Daniliškės and other hillforts from attacks of the Teutonic Knights. Despite the protection, both wooden castles were successfully raided by the Teutonic Knights several times in a row.