Founded in 1996, it was the reserve team of AD Ceuta, and held home matches at Estadio Alfonso Murube, with a capacity of 6,500.

After suffering immediate relegation, the club played a further season in Regional Preferente before ceasing activities for one year.

Ceuta B returned to an active status in 2002, winning two Preferente titles (in the 2004–05 and 2006–07 seasons) but not achieving promotion on both occasions.

[1] In 2007, the club defeated CD Peña Ciudad de Melilla 3–2 on aggregate,[2] but gave up on playing in the fourth tier in July of that year, due to the lack of budget.

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