Named after the historic Fort Caswell located at the east end of the island, it is home to a Coast Guard Station resembling the old coastal life saving stations. The town is the youngest Oak Island community because of its incorporation in 1975, but is oldest in terms of actual settlement since construction of Fort Caswell was begun in 1827. The most important architectural feature of Caswell Beach is the
Oak Island Lighthouse, which started operating in 1958 to warn ships of the Frying Pan Shoals and to guide mariners safely to the
Cape Fear River.
Caswell Beach is located on Oak Island in Brunswick County south of Wilmington on the shore of the Atlantic Ocean near Southport.