What is the deal with Shady Sands location?

[Uncle Phosgene]

I haven't played 2 yet(have to learn and get into and click with Tactics first), but from what I've seen on Google Images in Fallout 2 it's located around...Oakhurst area? While in Fallout 1 it's like...Death Valley type region. The military base seems close enough(Stockton to San Jose), but the rest is madness

 

[Mr Fish]

It is built from the ground up so the location doesn't have a set spot it really needs to be attached to, it could be retconned to move a bit to squeeze into FO2's map. Not that I like it but I don't feel like it is the worst retcon of them all.