Karlobag is located by the Velebit’s channel coast. The Velebit’s and Karlobag’s territory were pronounced the world’s biosphere reservation, which changed this town to the attractive tourist center with possibilities of vacation by the sea or with mountain’s touristic.
The development of Karlobag is linked with the passes Ostarija (Ostarijska Vrata) and Baske Ostarije, through which the road to Gospic runs. The roman’s village Vegium, which was located near, were changed to ruins during the moving of peoples. Croatians built new residency bag in 7th century. Turks occupied and destroyed in 1525. Austrian archduke Karel Habsburk rebuilt the town in year 1579 and it is known as a Karlobag. The wall is around a town from year 1825. The most interesting monuments are the church of St. Josef (from year 1713) and Reminds of church of St. Karl Borromeo built in 1767 and destroyed during the second war.