There is evidence of occupation of Aboriginal people in the area; in particular a shell midden has been recorded near the Fairy Bower car park.
One hundred years ago Shelly Beach was a haven for boat owners, Providing protection from winds and seas from the south.
This included considerable damage to the pathway - with large slabs of concrete being lifted and displaced, the complete disappearance of a small toilet block, damage to an iconic sculpture at Fairy Bower pool and large sections of the safety railing being destroyed.
[3] Due to safety concerns, a large barrier and warning signs were installed to discourage people from walking along the path until repairs were made.
[6] It is excellent for scuba divers, and also for snorkelers[7] as Shelly beach does not get very deep, its maximum depth being about 12 metres.
Facilities include 2 free electric barbecues, showers, toilets and a kiosk selling meals, drinks and coffee.