Central Californian here. For what it’s worth, most of the benefits can be had and still be within a 10 min bike ride of the ocean. Houses where I live range from 650k to 1.5m, the latter being over 2000sqft with all the trimmings you might get in the mid-west.
Who and why do people live here? In my area it’s a mix of retirees, highly paid professionals, students and a mix of folks who have lived here generations (many live closer to the ocean as their ancestors chose real estate wisely). As for why? The vibe is not quite island time (Hawaii or the Florida keys for that), but something in between this and a small town vibe. Friendly, easy going and relaxed.... when I come home and breath the ocean air.... you just relax. I have colleagues who live in the central valley, and it feels just gogogo over there, everyone pecking away at keyboards in cafes, stressing about politics, running around to do this or that.... over here courtesy of our population mix (thank-you retirees!) no such vibe.
The ocean being a short bike ride away, or minutes in a car, you can sit on your favorite bench and just watch the world go by, contemplate the next FIRE milestone, or read a good book on the beach. Sunsets are particularly intoxicating, as you can’t help but think you are the last folks seeing the day end on the continent, and there’s something oddly satisfying about that (probably similar for east coast sunrise).
Weather here is ideal. 70s nearly all year round, with occasional bursts into the 90s and 60s in the summer and winter respectively. Not too hot, not too cold. Rain and fog add variety and break the monotony of our weather in a way our central valley cousins don’t get.
I should mention, I grew up in the center of the continent, so perhaps I appreciate it all a bit more. At this point, being near the ocean somewhere is a requirement for my FIRE plan. Florida, Hawaii and here in California are all on my list. Florida is a bit more flat and stormy but has a nice tax situation; Hawaii is gorgeous and a paradise but is a bit isolated; California is rugged perfection, but taxes are high.... tough choices.