Panama City is a city on Florida's Panhandle and the seat of Bay County, sitting on St. Andrews Bay where the bay meets the Gulf of Mexico. Along U.S. Route 98, it is the largest city between Tallahassee and Pensacola, with about 39,000 residents, and the anchor of a metropolitan area that also includes Lynn Haven and Panama City Beach. Its setting — deep-water bayfront, protected harbor, and Gulf beaches minutes away — has shaped its economy and identity for more than a century. The city as it exists today was formed in the early 1900s through the incorporation of several smaller bay settlements, including St. Andrews, Millville, Harrison, and Floriopolis. Developer George Mortimer West recognized the strategic value of the bay and helped drive the city's growth. St. Andrews, the oldest of these communities, dates its first European settlement to around 1827 and flourished in shipping, boat building, and salt production before being annexed into Panama City in 1927. Millville grew as a lumber, shipbuilding, and commerce hub. Modern Panama City is a working Gulf Coast city rather than a beach resort — though the resort beaches lie a short drive away. Its economy leans on the military: Tyndall Air Force Base, Naval Support Activity Panama City, and a U.S. Coast Guard station are all in Bay County, and the Port of Panama City is a deep-water seaport. Healthcare, retail, and government services round out the employment base. The city's neighborhoods carry its history. St. Andrews remains a walkable waterfront district of marinas, restaurants, and historic homes; Millville is an older working-waterfront community; and the downtown and its northern neighborhoods hold the city's civic and commercial core. Bay District Schools, headquartered in Panama City, serves all of Bay County except Mexico Beach. Panama City suits people who want Gulf Coast living near the water and the military, port, and healthcare employers that anchor the local economy, with St. Andrews State Park and the beaches of Panama City Beach minutes away.