Newport Harbor, which shelters nearly 10,000 small boats, may seduce even those who don't own a yacht. Exploring the charming avenues and surrounding alleys can be great fun. To see Newport Harbor from the water, take a one-hour gondola cruise operated by the Gondola Company of Newport (3400 Via Oporto, Suite 102B, Newport Beach, CA, USA, PHONE: 949/675-1212). It costs $75 for two and includes salami, cheese, bread, ice, glasses, blankets, music, and a Polaroid picture. Bottles of wine, however, cost extra.

Within Newport Harbor are eight small islands, including Balboa and Lido. The houses lining the shore may seem modest, but this is some of the most expensive real estate in the world. Several grassy areas on Lido Isle have views of Newport Harbor, but, unfortunately, each of these is marked private community park.