On 2 June 1855, the cargo vessel Rosebud, owned by one of the colony's best known pastoralists Edward Hobson, was washed over the large sandbars and onto the beach.

The burgeoning community made off with the cargo of damask and household goods, but the wreck remained for many years as the locals slowly stripped its hull to use in the construction of houses.

This was supposedly due to an arrangement with Captain Henry Everest Adams, because he had been carrying convicts between Van Diemen's Land and Melbourne.

Robert Adams sold allotment 19 and the part north of Rosemore Road was subdivided but the ownership of the rest reverted to him in the Bust.

Allotment 14 (west to Boneo Road), granted to Hugh Glass of Flemington House, became small farms:Randall's, then Rigg's Hindhope, and Coupar's The Thicket.

[5] It is well documented on many websites that the 1995 Australian of the Year launched his fabulous career as a painter from the age of 16 while living in Rosebud from 1936-9 with his grandfather.

[6] Ferrier won acclaim from all over Australia, and probably a job in the lighthouse branch, because of his heroic rescue of two of the seven crewmen of the La Bella at Warrnambool.

He owned 858 Pt Nepean Rd for a time before moving to Queenscliff, naming his house in Beach St "Rosebud".

A descendant, Lewis Ferrier, jokingly called the Harbour Master at Queenscliff, gave the same name to his fishing boat.

The Queenscliffe Maritime Museum website shows some paintings of ships that Ferrier did on the internal timber lining of the South Pile Lighthouse.

The first store wasn't opened until Welshman Jackie Jones began selling goods from an upturned boat in the late 1880s.

When a pier was finally built in 1888, it failed to extend into the deep water, so ferries and passenger ships from the metropolis had to dock at Dromana, a larger town about eight kilometres to the north.

[7] A road was formed by clearing a path at Anthony's Nose, the point where Arthurs Seat (305 metres) meets the sea, halfway between Rosebud and Dromana.

[citation needed] In the early twentieth century, developers attempted to market Rosebud as an English-style seaside resort with the creation of the Clacton-on-Sea estate (today known as the "Avenues").

This slow growth continued in the inter-war years; the township consisted of about ten shops and a Presbyterian church, built of wood on a single day in 1923.

[citation needed] Local businessmen had noticed a slowly growing phenomenon in the late 1930s and 1940s – the popularity of camping on the Rosebud foreshore; a cheap and interesting alternative to staying at guesthouses or hotels.

After World War II, aided by the explosion in the number of people owning a car, camping at Rosebud over the Christmas-New Year holidays became a tradition for many Melbourne and Victorian families.

[citation needed] The Rosebud Foreshore Committee was set up to administer the area and take bookings, which are now made twelve months in advance.

By the 1960s, Rosebud had become the largest town on the southern Peninsula, complete with a shopping centre and extensive sporting facilities.

In 2016, after a controversial, and at times bitter balloting process, Mornington Peninsula Shire approved the name "Capel Sound" to replace "Rosebud West".

Nevertheless, after a long and at times painful campaign, the name "Capel Sound", taken from a small bay area to the north of the shopping village, was the one which emerged to grace the town's signboards for ever more.

[citation needed] Rosebud is shielded by camping grounds lined with banksias, tea tree and sheoak.

During the summer months the populations of Rosebud and Dromana can double in size as many tourists stay within the camp grounds.

In 2015 SJ Higgings was awarded the project to develop a low-rise apartment and retail units on the corner of Jetty and Nepean Roads.