Careel Bay is a bay and adjacent locality in Sydney, New South Wales, Australia. The locality is within the suburb of Avalon Beach. The bay lies adjacent to the suburbs of Avalon Beach and Palm Beach in the north east of Pittwater.

Avalon Beach is a northern beachside suburb of Sydney, in the state of New South Wales, Australia. It is 28 kilometres north of the Sydney central business district, in the local government area of Northern Beaches Council, in the Northern Beaches region. The area was previously called Avalon, with the name Avalon Beach being assigned during a change in boundaries and names in the Pittwater region in 2012.