Carlsbad Carlsbad is a seaside resort-town in the North County section of San Diego County, California. Carlsbad has a total population nearing 100,000. Carlsbad was incorporated in 1952, in large part to generate sufficient funding to connect with the water pipeline running through San Diego County, but also to avoid being annexed by Oceanside. It is one of the most expensive coastal cities in North County, San Diego, and one of the highest-income places in the country. The city has drafted ordinances protecting sensitive wildlife habitat, one of the first such ordinances within the state of California. The city has also promised to protect a certain amount of land within city limits from development of any kind, along with spending significant funds to restore habitats destroyed by newer development projects. Because of its coastal location, scenic beauty, relatively low population density, thriving commercial sector, abundance of upscale housing, and high performing school districts, the city is seen to have a high quality of life. Land is also a premium, thus, real estate is rather expensive even for Southern California.