The recovery of the peregrine falcon (Falco peregrinus anatum) in California has taken place amid strong geographical differences in habitat quality, potentially creating a sink population in the southern coastal habitat and source populations in the northern interior and urban habitats. We analyzed long-term monitoring data to investigate the mechanisms and consequences of spatial structuring for the recovery of this set of nonstable subpopulations. Dispersal rates between habitats were asymmetric, with extremely limited dispersal out of the interior habitat and a strong tendency for birds in the southern coast to disperse to the urban habitats. We used these dispersal estimates and habitat-specific productivity rates to build a set of regional population models that describe population growth within and dispersal between each subpopulation. We tested for the existence of habitat-specific survival and territory acquisition rates by comparing model projections with the number of breeding pairs censused annually in each subpopulation. Our analyses indicate a high rate of survival for interior birds and suggest that both the interior and urban subpopulations were regulated by territory availability over the study period. The inherent spatial structure of this regional peregrine falcon population has had a considerable influence on its recovery and management.