This paper presents an analytical framework to estimate the Total Allowable Area for Coastal Reclamation (TAACR) to provide scientific support for the implementation of a coastal reclamation restriction mechanism. The logic of the framework is to maximize the net benefits of coastal reclamation subject to a set of constraints. Various benefits and costs, including the ecological and environmental costs of coastal reclamation, are systematically quantified in the framework. Model simulations are developed using data from Tongan Bay of Xiamen. The results suggest that the TAACR in Tongan Bay is 5.67 km2, and the area of the Bay should be maintained at least at 87.52 km2.