Numerical calculations were performed to investigate the influence in aerodynamic characteristics of a rotor system by surrounding structures and the ground effect for the rotor blade on a whirl tower is also investigated. Three dimensional Navier-Stokes simulations were carried out by using unstructured overset mesh technique and parallel computation. The calculated hover performance showed good agreement with the experimental result and showed that the structures around the whirl tower did not affect the aerodynamic characteristics of the blade. The ground effect was studied by comparing with the numerical result for the out of ground condition and the result of an analytic model.