Answer:
Yes ( I think )
Step-by-step explanation:
A prepositional phrase oftentimes refers to a phrase that refers to an object's position.
Or in more correct terms;
"A modifying phrase consisting of a preposition and its object."
- Oxford languages
"Of the bay"
has an object; presumably the 'bay' and has a preposition 'of'
The sentence "of the bay" refers to a relationship between a noun or pronoun (the bay) and its position (of)
So, yes.