Although this was essentially a low budget independent movie, John Carpenter chose to shoot the movie in anamorphic widescreen Panavision. This decision gave the movie a grander feel for the viewer so it didn't seem like a low budget horror movie.
After a rough cut appeared to be much too short for a theatrical release (about 80 minutes), John Carpenter subsequently added more scenes. Among these, was the prologue, with the elderly captain telling ghost stories to fascinated children by a campfire.
Jazz music was used for Stevie Wayne's radio station because the royalties were more affordable than royalties for rock music.
Actress Adrienne Barbeau and director John Carpenter were married at the time this movie was made and released. He wrote the role of Stevie Wayne for her specifically.
The lead ghost, Blake, was played by special effects artist Rob Bottin. When Bottin asked for the job, John Carpenter asked him to "stand up." Bottin then expected Carpenter to say, "...and get out!" When Carpenter saw that Bottin was a very large man at 6'5", which was needed for the character Blake, he was hired.
John Carpenter: [names] Characters Nick Castle, Dan O'Bannon, Tommy Wallace are all named after Carpenter's real-life collaborators from his previous movies. Mrs. Kobritz was named after Richard Kobritz, Carpenter's producer on Someone's Watching Me! (1978).