The development in this once unincorporated part ofNorthwest Florida was created by combining the settlements and communities of Floriopolis, Harrison, Millville, Park Resort, and St. Andrews.[2][3] In 1906, the development was named Panama City and it was first incorporated as Panama City in 1909. When Panama City was incorporated, its original city limits were 15th Street (Hwy 98) on the north, Balboa Avenue on the west and Bay Avenue on the east. According to the Panama City Public Library'sA History of Panama City,[10] George Mortimer West hoped to spur real estate development in Bay County during a period of intense popular interest in the construction of thePanama Canal by changing the town's name from Harrison to Panama City, because a straight line betweenChicago and the Central American countryPanama's national capital intersected the Florida town. Additionally, since required meanders around land formations in a seaborne route to the canal added distance when starting at other ports, Panama City was the closest developed port in the US mainland to theCaribbean entrance of the Panama Canal.
According to theUnited States Census Bureau, the city limits encompass an area of 35.4 square miles (91.8 km2), of which 29.3 square miles (75.8 km2) is land and 6.2 square miles (16.0 km2), or 17.39%, is water.[11]
Panama City has ahumid subtropical climate, with short, mild winters and long, hot and humid summers. In January, the average low is 42.6 °F (5.9 °C), and in July the average high is 91.1 °F (32.8 °C).
Due to its location on the Gulf Coast, the city is susceptible to tropical cyclones. Panama City was directly hit byHurricane Michael on October 10, 2018, which made landfall as aCategory 5 hurricane. The storm caused catastrophic damage to the city and surrounding communities, with winds of 160 mph (260 km/h) at landfall. The city previously suffered significant indirect impacts fromHurricane Ivan (2004) andHurricane Opal (1995). Panama City is also no stranger to tornadoes, having recently been affected by an EF3 tornado onJanuary 9, 2024 and an EF2 tornado onMarch 18, 2022. The city rarely sees snow, but in the2025 Gulf Coast blizzard, up to 6.0 inches (15 cm) of snow fell.
Climate data for Panama City 5N, Florida, 1991–2020 normals, extremes 1972–2023
Panama City, Florida – Racial and ethnic composition Note: the US Census treats Hispanic/Latino as an ethnic category. This table excludes Latinos from the racial categories and assigns them to a separate category. Hispanics/Latinos may be of any race.
As of the2020 United States census, there were 32,939 people, 15,733 households, and 8,856 families residing in the city.[17]
As of the2010 United States census, there were 36,484 people, 15,419 households, and 8,893 families residing in the city.[18]
As of thecensus[7] of 2010, the population density was 1,245.2 inhabitants per square mile (480.8/km2). There were 17,438 housing units at an average density of 595.2 per square mile (229.8/km2).
In 2010, there were 15,419 households, out of which 23.6% had children under the age of 18 living with them, 36.3% were headed bymarried couples living together, 6.8% had a female householder with no husband present, and 41.8% were non-families. 34.1% of all households were made up of individuals, and 13.0% were someone living alone who was 65 years of age or older. The average household size was 2.28, and the average family size was 2.91.[19]
In 2010, in the city, the population was 20.7% under the age of 18, 10.2% from 18 to 24, 25.9% from 25 to 44, 26.9% from 45 to 64, and 16.3% who were 65 years of age or older. The median age was 39.7 years. For every 100 females, there were 96.3 males. For every 100 females age 18 and over, there were 95.2 males.[19]
As of the 2000 census, the city's median household income was $31,572, and the median income for a family was $40,890. Males had a median income of $30,401 versus $21,431 for females. The city'sper capita income was $17,830. About 12.1% of families and 17.2% of the population were below thepoverty line, including 24.5% of those under age 18 and 14.9% of those age 65 or over.
Tyndall Air Force Base to the east, is undergoing a $5.3 billion rebuild to make it the "installation of the future" after Hurricane Michael hit the base in 2018.[21]Naval Support Activity Panama City andCoast Guard Station Panama City are just over the Hathaway Bridge in Panama City Beach. The 153rd Cavalry Regiment, part of theFlorida Army National Guard, is headquartered in Panama City with units throughout the panhandle. Panama City is also approximately 100 miles south ofFort Novosel, Alabama, home to the U.S. Army's Aviation Center of Excellence.
The city's main retail center was thePanama City Mall until it was permanently closed afterHurricane Michael. In August 2020, owners of the Panama City Mall released plans to demolish the mall and build a new commercial complex. The plans included a hotel, shops, and restaurants. As of 2023, those plans have not come to fruition.[22] Another local retail center is the Bay City Pointe, onFL 368 (locally known as 23rd St.).Pier Park, on the beach across theHathaway Bridge spanningSt. Andrews Bay, is a third local retail center. Other retail areas in the Panama City Metro are the 15th Street Shopping Strip (An area between Harrison Ave/US Highway 231 and Beck Ave/US Bus 98/State Road 390), 23rd Street Shopping Strip, Downtown Panama City, Historic St. Andrews, and Millville Historic District.
The two main east–west thoroughfares in Panama City proper are23rd Street andUS 98. SR 368 runs east–west across the northern part of the city as a bypass. US 98 runs east–west through the city itself, leading southeast 24 miles (39 km) toMexico Beach and west 10 miles (16 km) toPanama City Beach.
The two main north–south thoroughfares in the city are Martin Luther King Boulevard, otherwise known asSR 77 andUS 231. SR 77 leads north six miles (9.7 km) to the Panama Citysuburb ofLynn Haven. US 231 begins its national journey northward in the city, leading northeast 83 miles (134 km) toDothan,Alabama.
Other more local highways run through the city, including manycounty roads.
Because of the city's position onSt. Andrews Bay, bridges are very important to the area, and most directions into or out of the city require the use of one of three large bridges to cross parts of the bay. These are the Bailey Bridge to the north on Hwy 77, the Dupont Bridge to the south on Hwy 98 and the Hathaway Bridge to the west on Hwy 98. The largest of these is the Hathaway Bridge, which is the only direct connection between Panama City and Panama City Beach.
The city has two hospitals, Ascension Sacred Heart Bay (known as Bay Medical Sacred Heart untilHurricane Michael destroyed a large portion of it) and HCA Florida Gulf Coast Medical Center.