Tower-based data combined with high-resolution satellite products have been used to produce surface albedo at various spatial scales over land. Because tower-based albedo data are available at only a few sites, surface albedos using these combined data are spatially limited. Moreover, tower-based albedo data are not representative of highly heterogeneous regions. To produce areal-averaged and spectrally-resolved surface albedo for regions with various degrees of surface heterogeneity, we have developed a transmission-based retrieval and demonstrated its feasibility for relatively homogeneous land surfaces. Here, we demonstrate its feasibility for a highly heterogeneous coastal region. We use the atmospheric transmission measured during a 19-month period (June 2009–December 2010) by a ground-based Multi-Filter Rotating Shadowband Radiometer (MFRSR) at five wavelengths (0.415, 0.5, 0.615, 0.673 and 0.87 µm) at the Department of Energy’s Atmospheric Radiation Measurement (ARM) Mobile Facility (AMF) site located on Graciosa Island. We compare the MFRSR-retrieved areal-averaged surface albedo with albedo derived from Moderate Resolution Imaging Spectroradiometer (MODIS) observations, and also a composite-based albedo. We demonstrate that these three methods produce similar spectral signatures of surface albedo; however, the MFRSR-retrieved albedo, is higher on average (≤0.04) than the MODIS-based areal-averaged surface albedo and the largest difference occurs in winter.