When his boss is killed, Detroit cop Axel Foley finds evidence that the murderer had ties to a California amusement park called Wonder World. Returning to sunny Beverly Hills once more, Foley reunites with Detective Billy Rosewood to solve the case. Along with Billy's new partner, Detective Jon Flint, they discover that Wonder World is being used as a front for a massive counterfeiting ring.

Young couple Steve and Nell move into a once fashionable but now decaying apartment block in Hollywood, and soon realise that a number of young residents have met unusually violent deaths. Before long, Nell makes some disturbing discoveries about the building's manager and her fellow tenants.