Umberto Lenzi, originally hired to direct, had a falling out with the producer just as production started and wanted to be taken off the film. He stated in a 1996 interview that he found the story "too similar to his earlier film Seven Blood-Stained Orchids (1972)" and decided before shooting began that his name would not appear on the film. Screenwriter Harry Kirkpatrick, also known as James Justice, was given the job of directing, and received sole directorial credit, though he convinced Lenzi to remain on the set in an uncredited advisory capacity throughout the entire production. For years, many horror film fans thought Harry Kirkpatrick was an alias for Lenzi, but Lenzi has stated in interviews that there really was a Harry Kirkpatrick who wrote & co-directed that film. He explained, "My contribution consisted solely of providing technical assistance. Nightmare Beach (1989) should be considered the work of Harry Kirkpatrick."
The jackets worn by the Demons biker gang sports the logo of the 1985 Italian horror film Demons (aka Demoni).
John Saxon made a very similar movie called Blood Beach in 1980. Substituting a sand creature beach killer for the motorcycle killer seen in Nightmare Beach (1988).
The motorcycle helmet worn by the killer is made by Arai helmets, the helmet colours and design is a replica of American motorcycle star Randy Mamola.
During a scene in the hospital, the tannoy voice calls repeatedly for Dr. Blair and Dr. J. Hamilton. The exact same snippet can be heard at the beginning of "Eyes of a Stranger", a song written by the US-Metal-Band Queensryche for their 1988 Album "Operation: Mindcrime".