We define the totally nonnegative matroid Schubert variety $\mathcal Y_V$ of a linear subspace $V \subset \mathbb R^n$. We show that $\mathcal Y_V$ is a regular CW complex homeomorphic to a closed ball, with strata indexed by pairs of acyclic flats of the oriented matroid of $V$. This closely resembles the regularity theorem for totally nonnegative generalized flag varieties. As a corollary, we obtain a regular CW structure on the real matroid Schubert variety of $V$.