Laguna Beach, Orange County, California, United States

Settlers arriving after the American Civil War found scarce amounts of land available for homesteading, and one such tract, known then simply as "the public lands" was the coastal strip from Laguna Canyon to Three Arch Bay. During the 1870s, a small community named Arch Beach had been started at the mouth of Bluebird Canyon. By the early 1880s most of the land around its small Post Office and general store had been subdivided. At about the time that Orange County separated from Los Angeles County and became independent in 1889, the community was caught in an economic downturn. When the economy renewed itself, the decision was made to relocate the town to the mouth of Laguna Canyon. This was possible because a dispute with the Irvine ranch over the public right to traverse Laguna Canyon had been resolved in the courts, allowing an additional means of access to the coast.
By 1900 Laguna Beach was occupied by five families of homesteaders struggling to farm land. They soon found an additional source of income by renting sections of the beaches to farmers from Tustin, Santa Ana, Fullerton, Riverside, and other inland communities who were eager to escape the summer heat. Thus began the tourist industry which is still a mainstay of the local economy.