The inception of the Bay Line Railroad in 1908 facilitated access to the region, rendering it more accessible to both tourists and developers. This heralded the onset of heightened interest in Panama City Beach as a potential tourist destination. Notably, prior to 1932, the sole gulf-front development was the Sherman Pavilion, nestled on what was affectionately known as “Land’s End.”
Before 1925, Bay County lacked a single mile of state paved road. However, the election of Governor John W. Martin and the appointment of Holmes County native Fons A. Hathaway as Chairman of the State Road Department initiated a robust road-building campaign. The opening of Hathaway Bridge in 1929 facilitated access to gulf beaches, catalyzing rapid development in Panama City Beach during the early 1930s.
The first person to successfully develop tourist accommodations on was Gideon Thomas. A visionary north Florida businessman, Thomas defied conventional wisdom by purchasing 108 acres of gulf front in 1933, subsequently chartering the municipality of Panama City Beach. He even had oyster shells transported from Apalachicola to “pave” a road from U.S. 98 to his Panama City Beach resort—a thoroughfare that now bears his name as Thomas Drive. Thomas erected a two-story hotel, aptly named the Panama City Beach Hotel, and crafted a series of charming cottages along the shore.
On May 2nd, 1936, Mr. Thomas orchestrated the grand opening of Panama City Beach, featuring amusement park rides and Florida lobsters priced at just 75 cents each. His most iconic addition was a 1000-foot pier into the Gulf, which swiftly became the most popular spot in Bay County. The pier, so central to Thomas’ success, is today the location of Pineapple Willy’s.
The onset of WWII and travel restrictions abruptly halted all tourism. However, the 1950s saw a surge in the construction of mom-and-pop hotels and motels along the shores of Panama City Beach, each adding its own unique character to the burgeoning tourism scene. These cozy establishments, often family-owned and operated, provided an intimate and authentic beach experience. In the 1950s, the Old Dutch Hotel, adjacent to the famed Old Dutch Tavern, was a hot-spot for college-age tourists. Clifford Stiles, a successful hotelier and owner of the Old Dutch complex, divested all of his other holdings to focus on the Old Dutch. “It was a nickel-plated money making machine,” as Mr. Stiles stated. The 50s proved to be the heyday for Long Beach Resort. Mr. J. E. Churchwell, founder of Long Beach Resort, pioneered beachfront amenities, establishing it as a premier tourist destination. His legacy lives on through Churchwell Drive and today’s Long Beach Resort.
The Edgewater Beach Resort, under DuPont Corporation ownership, featured sturdy brick cottages and was positioned across the street from a beachfront view. Some cottages would have their brick exteriors painted with DuPont paints to test their durability. By 1980, hi-rise condos replaced the scenic view. The Fontainebleau Terrace Hotel, constructed in the early 1960s, marked Panama City Beach’s first high-rise lodgings, acclaimed for its indoor swimming pool and hurricane resilience.
Hurricane Eloise in 1975 marked a turning point, leading to the proliferation of high-rise condos and the demolition of many original mom-and-pop motels along the beach. Yet, the charm of small family-owned motels remains, offering direct access to Gulf sands that condos cannot replicate.
The evolution of motel and hotel development in Panama City Beach reflects the dynamic shifts in the tourism and hospitality industry across the United States. Over recent decades, there has been a continuous effort to revitalize and modernize accommodations and amenities in Panama City Beach. This has led to the renovation or replacement of many older motels and hotels with newer, more upscale properties.
Are there any mom & pop motels left beachside?
Yes, Janice, there are. The best way to review your options is to drive down Front Beach Road and Thomas Drive with Google Maps. Surf Drive might have some too. Thanks for following OPCB.
Thanks for this article, I first visited here in 1975 but live here full time. Very interested in the local history.
George, you should consider joining the Historical Society of Bay County. Learn what the HSBC does by visiting the Bay County History Museum at 133 Harrison Ave. in Panama City. Membership applications are available at the museum. Thanks for commenting.
I really enjoyed reading all the history.