Panama City Beach has a lot of restaurants, and a lot of them are built for volume. The good ones are worth seeking out: seafood houses that have fed the same families for generations, beach bars with your feet in the sand, and a few local spots most visitors drive right past. Here’s where to eat, sorted by the kind of meal you’re after.
Quick answer: our top three
- Capt. Anderson’s Restaurant for the classic Panama City Beach seafood dinner, on Grand Lagoon since 1967.
- Schooners for sunset on the sand at the Last Local Beach Club.
- Saltwater Grill for a polished night out, with a sushi bar and a 25,000-gallon aquarium.
The classics
Capt. Anderson’s Restaurant opened on Grand Lagoon in 1967, when brothers Jimmy and Johnny Patronis started a seafood house beside the docks. They ran it themselves for decades, trading day and night shifts, and the younger Patronis generations still work the dining room and kitchen. Families come back summer after summer, and it’s the natural dinner after a day of fishing on the lagoon.
Schooners Last Local Beach Club is an open-air, sand-in-your-shoes spot on the Gulf near the east end of the beach. The building dates to the late 1960s, when it was a bar called The Beach Party. Jim Cannon bought it in 1985 while traveling in Australia and named it after the Australian word for a glass of beer. Come for sunset. The nightly cannon is a local ritual.
Saltwater Grill on Hutchison Boulevard is the dress-up option, with fresh Gulf seafood, steaks and a sushi bar served around a 25,000-gallon saltwater aquarium. Waiting for a table is half the fun when there are tropical fish to watch.
On the sand
Sharky’s Beachfront Restaurant & Tiki Bar has served Gulf seafood on the sand at 15201 Front Beach Road since 1986, under a thatched palapa it bills as the largest open-air tiki hut in the country. Families, regulars and spring breakers all end up here.
Harpoon Harry’s is known for its World Famous Seafood Bucket: snow crab legs, jumbo shrimp, sea scallops, andouille sausage, potatoes and corn, built for sharing on the beach.
Runaway Island Beach Bar and Grill is a two-story building right on the sand, with a wraparound deck and a boardwalk straight to the water. The menu leans Gulf seafood, with grouper, blackened mahi tacos, gumbo and a raw bar.
Margaritaville Panama City Beach, at Pier Park, has upper and lower decks over the Gulf and live music that runs late.
McGuire’s Irish Pub opened across from the Gulf at 17290 Front Beach Road in March 2025, the third location of the Pensacola original from 1977. It seats 550 across themed dining rooms and a beachfront patio, so it handles big groups well.
On the water, off the beach
The Grand Marlin has cooked the local catch on Grand Lagoon since 2016, with a menu that changes daily, the North Drop Bar and a dockside Ship Store.
Boondocks Restaurant sits on the Intracoastal Waterway in West Bay, a few minutes inland. The view is still water instead of surf, with seafood, steaks and homemade desserts.
Oysters
Dusty’s Oyster Bar, near Pier Park, has shucked Gulf oysters since 2012 in a lively dive bar papered with dollar bills. Runaway Island and The Grand Marlin both run raw bars too, and Capt. Anderson’s is the place for a fried seafood platter afterward.
Brunch
Saltwater Grill is a popular Sunday brunch, and Big Easy PCB on Thomas Drive does a New Orleans-style Sunday brunch with beignets.
Casual local favorites
- Pompano Joe’s Seafood House: Gulf seafood with Caribbean and Cajun flavor at the Pier Park end of Front Beach Road.
- Big Easy PCB: New Orleans cooking on Thomas Drive, with seafood gumbo and jambalaya.
- Squidly’s Seafood: a takeout-only shrimp and crab boil market in Laguna Beach at the quiet west end, open 3 to 9 p.m. and closed Tuesdays. Call ahead and take it back to the balcony.
After dark
Salty Goat Saloon on Front Beach Road has had live music every night since 2012, with no cover. For craft beer, The Craft Bar in Pier Park North keeps around 30 taps rotating. For a loud, late night, Coyote Ugly Saloon brings the bar-top show from the movie to Front Beach Road.
Tips for eating well in Panama City Beach
- Beat the rush. The big seafood houses fill up fast in summer and on festival weekends. Eat early, or call ahead to ask about wait times.
- Time sunset. The Gulf-front spots are at their best in the hour before sunset. Schooners fires its cannon as the sun goes down.
- Cook your catch. If you fish out of Grand Lagoon, ask your captain which nearby kitchens will cook your fillets.
- Check the calendar. Big weekends like IRONMAN Florida in November and the Thunder Beach motorcycle rallies bring road closures and crowds on Front Beach Road.
Where to eat by part of town
- East end and Grand Lagoon (Thomas Drive): Capt. Anderson’s, The Grand Marlin, Big Easy PCB and Schooners. Handy after a fishing trip or a day at St. Andrews State Park.
- The Front Beach Road strip: Sharky’s, Harpoon Harry’s, Runaway Island and Salty Goat Saloon, all within a short drive of each other.
- Pier Park: Margaritaville, Pompano Joe’s and Dusty’s on the Gulf side, and The Craft Bar in Pier Park North.
- West of Pier Park: McGuire’s Irish Pub on Front Beach Road, Squidly’s shrimp boils in Laguna Beach and Boondocks on West Bay.
Restaurant FAQ
What is the best seafood restaurant in Panama City Beach? For a classic, sit-down Gulf seafood dinner, Capt. Anderson’s on Grand Lagoon. For seafood on the sand, Sharky’s or Harpoon Harry’s.
Where can you eat on the beach in Panama City Beach? Schooners, Sharky’s, Harpoon Harry’s and Runaway Island are all right on the sand.
Where do locals eat? Schooners calls itself the Last Local Beach Club, and Squidly’s shrimp boils and Big Easy PCB on Thomas Drive are local favorites.
Plan the rest
If you’re heading out on a boat, see our Grand Lagoon fishing charters and dolphin tours guide, and for everything else, start with things to do in Panama City Beach. Browse every restaurant on our Panama City Beach area page.