Palm Beach
Palm Beach is a wealthy barrier island town located on the Atlantic Coast of Florida, situated directly east of West Palm Beach across Lake Worth Lagoon. The town occupies a narrow strip of land that has evolved over more than a century from a wilderness shaped by shipwrecks and railroad development into a destination that concentrates extraordinary private wealth in a small geographic footprint. In recent years, Palm Beach has attracted international attention as home to Mar-a-Lago, the resort and residence of President Donald Trump, as well as a growing population of billionaires competing for limited oceanfront real estate. The median single-family home sale price in Palm Beach reached $9.97 million during 2025's third quarter, placing it among the most expensive residential real estate markets in the United States.[1]
History
Origins and Name
The origin of Palm Beach's name is traced not to careful planning but to accident. According to early settler accounts, Palm Beach received its name from a shipwreck called the Providencia, which washed ashore in January of an early period of the town's settlement.[2] The vessel's cargo reportedly included coconuts, and the coconut palms that subsequently took root along the shoreline gave the island its distinctive character and, ultimately, its name. This accidental seeding created a tropical landscape that would later attract developers, tourists, and eventually some of the wealthiest individuals in the world.
The broader region has a far deeper human history. The area that encompasses modern-day Palm Beach and its neighboring city of West Palm Beach was home to aboriginal native populations for more than 5,000 years before European contact and subsequent American settlement.
Railroad Development and Early Settlement
The modern development of Palm Beach and the surrounding county was closely tied to the arrival of railroad infrastructure and the vision of industrialists who saw the region's climate and coastal position as commercially valuable. Henry Flagler, the industrialist who extended the Florida East Coast Railway southward through Florida, played a central role in shaping Palm Beach. His development activity in the area beginning in the early 1890s brought workers, investors, and visitors, establishing the infrastructure that would allow the town to grow.
The recorded history of Jewish residents in Palm Beach County dates to at least the early 1890s, coinciding with Flagler's development of the region.[3] This documented presence reflects the diversity of the population that was drawn to South Florida during its formative years of development, even as the town of Palm Beach itself would later become associated with elite social exclusivity.
Growth and Twentieth Century Development
Through the twentieth century, Palm Beach developed its identity as a retreat for the American wealthy class. The town incorporated its own government and maintained tight control over development and land use, preserving the character of the island. The post–World War II era brought significant changes to Palm Beach County as a whole, with population growth and suburbanization reshaping the mainland, while Palm Beach maintained its character as a small, affluent enclave.
Geography and Setting
Palm Beach sits on a barrier island separated from the city of West Palm Beach by Lake Worth Lagoon, a body of water that forms a natural boundary between the wealthy town and the more populous urban center to its west. The island's geography is defined by the Atlantic Ocean to the east and the lagoon to the west, creating a narrow strip of land where oceanfront property is inherently scarce and therefore commands extraordinary prices.
This geographic constraint has become a defining feature of Palm Beach's real estate market in the contemporary period. With only a limited amount of beachfront land available, buyers seeking direct Atlantic access must compete for a finite resource. In recent years, this competition has played out dramatically as billionaires have pursued oceanfront parcels, sometimes tearing down existing structures to build new residences that better meet their requirements.[4]
Real Estate and Economy
The Luxury Housing Market
Palm Beach's real estate market stands as a benchmark for ultra-luxury residential property in the United States. The median single-family home sale price during 2025's third quarter was $9.97 million, a figure that places the town in direct comparison with Aspen, Colorado, which recorded a median of $13.95 million in the same period.[5] The comparison underscores Palm Beach's position at the upper tier of the American luxury property market, even as Aspen retains a higher median.
The demand for oceanfront land in Palm Beach has intensified in recent years, driven by an influx of ultra-wealthy buyers. Before constructing new beachfront homes, many buyers have demolished existing structures, creating a pattern of teardown-and-rebuild activity that has become characteristic of the current era of Palm Beach real estate.[6] This dynamic reflects both the premium placed on direct ocean access and the desire of buyers to customize properties to their specifications rather than purchase existing homes.
Wealth Concentration
Palm Beach has accumulated wealth to a degree that sets it apart from most American municipalities. The town has never been richer than in the current period, with its resident population including a notable concentration of billionaires and centimillionaires who have relocated to South Florida, in part due to the state's favorable tax environment and, in some cases, proximity to political connections centered on Mar-a-Lago.[7]
Politics
Local and County Political Landscape
Palm Beach's political makeup differs notably from that of the broader county in which it is situated. Republicans outnumber Democrats within the town of Palm Beach itself, while Democrats outnumber Republicans across Palm Beach County as a whole.[8] This divergence reflects the town's demographic profile as a concentrated enclave of affluent residents whose political leanings differ from those of the broader, more diverse county population.
Mar-a-Lago and Federal Presence
Palm Beach is home to Mar-a-Lago, the estate and private club that has served as the residence and working retreat of President Donald Trump. The presence of Mar-a-Lago has transformed Palm Beach into a location of ongoing federal security concern. In one incident, an armed man drove into the secure perimeter surrounding the resort, prompting a response from the United States Secret Service that resulted in the man's death.[9]
The federal presence associated with Trump's residency in Palm Beach has had ripple effects beyond the town itself. In 2025, Florida lawmakers approved legislation renaming the international airport in neighboring West Palm Beach after President Trump, a move that drew national attention and reflected the political significance the region has acquired during the Trump era.[10]
County Government and Fiscal Oversight
While the town of Palm Beach maintains its own local government, it exists within the administrative structure of Palm Beach County, which has faced scrutiny over its fiscal management. Florida's Chief Financial Officer announced that a state audit found Palm Beach County government exceeded its budget by $344 million, a finding that drew attention to the management of public funds in one of the state's wealthiest counties.[11]
Relationship with West Palm Beach
Palm Beach and West Palm Beach share a name and a geographic boundary but represent distinct communities with different characters, governance structures, and population profiles. West Palm Beach is the county seat of Palm Beach County and functions as the primary urban center of the region, with a far larger and more economically diverse population than the island town across the lagoon.
The two communities are connected by bridges crossing Lake Worth Lagoon and are economically interrelated, with many workers, service providers, and businesses in West Palm Beach dependent on the Palm Beach economy. The airport serving the region, located in West Palm Beach, is a point of shared infrastructure and, following the 2025 legislative action, a point of political symbolism as well.[12]
The contrast between the two communities is a recurring theme in discussions of South Florida development and inequality. Palm Beach's extraordinary concentration of private wealth exists in proximity to a mainland city that, like most American urban centers, contains a broad economic spectrum. Regional news coverage of Palm Beach regularly reaches audiences in West Palm Beach, with outlets such as the South Florida Standard providing local journalism covering both communities and the broader county.[13]