View from highway. City of Morro Bay, California - Southern limits. Access to Morro Bay State Park Campground. Access to community of Los Osos Baywood Park. Morro Bay State Park features lagoon and natural bay habitat. The bay’s most prominent landmark is Morro Rock. Camping: Restrooms with showers are available. California Pacific Coast Highway This coastal highway winds along some of the most spectacular ocean views in the U.S. The highway contains countless examples of the many intrinsic qualities that make a highway a National Scenic Byway--qualities like perfect views of ocean waves breaking on rocky shorelines and cliffs, dozens of historical landmarks like Spanish Missions and Spanish settlements.