Habd was a retired Redguard sailor.
Habd bought Frostflow Lighthouse to live with his wife Ramati and his children Mani and Sudi. Several days after they moved in, noises began coming from the cellar, so he went to the town to buy some traps. Returning, he found Ramati dead and a chaurus, which he killed.
Desperate, he hoped to rescue his children, locking himself in the cellar so that the Chaurus couldn't get past him to the surface again, but was captured by the Falmer, who had built a den for themselves and their Chaurus in the abyss below the cellar. By this time Mani had been killed and Sudi had also been captured. His rescue attempt was a failure, and he contracted a fever through Chaurus poison. Delirious, he left an iron dagger to Sudi when he was taken away, which she used on herself.
The Dragonborn comes into the story too late to actually help the family. However, picking up a clue before entering the cellar, they can at least make Habd's final request occur.
The Dragonborn may find his decomposed remains inside a Chaurus Reaper and throw them to the fire at the top of the beacon, so Habd can see the sea forever as he always wanted. This grants the Dragonborn the Sailor's Repose active effect.