Why does Palm Coast have so many empty lots?

How Palm Coast got so many lots

ITT Community Development Corporation announced Palm Coast in 1969 and began selling lots in 1970. The plan called for about 48,000 home sites, nearly all around 10,000 square feet, on roads, canals and utilities ITT built ahead of time. In the mid-1970s ITT signed a consent agreement with the Federal Trade Commission that limited lot sales and committed the company to build roads, utilities, a shopping center and an I-95 interchange. Lots sold far faster than homes went up, and ITT withdrew in 1995. Palm Coast became a city in 1999.

Who owns the empty lots now

Many of the original buyers held their lots as investments or retirement plans and never built, and their families inherited them. In the 2026 tax roll, about 51 percent of vacant lots in the ITT sections have Florida owners, and about 49 percent have owners elsewhere, led by New York (919 lots) and New Jersey (663). Some of the Florida-owned lots are side lots neighbors bought for privacy. The newer western sections have the most vacant lots; the older eastern sections near Palm Harbor and Pine Lakes are close to built out.

Building on a lot today

A lot can be a good path to a new home, but the land price is only the start. Here's what the city's process looks like:

• All city departments review the building permit together, and water, sewer and impact fees are set during review and paid when the permit is issued.
• You can't clear trees until the permit is issued. Trees 6 inches or more across at chest height need a removal permit, and replacements may be required.
• Lots flagged for gopher tortoises get a field check, and tortoises must be relocated by a licensed agent.
• Since February 2024, homes on ITT infill lots must sit close to the level of neighboring homes so water doesn't drain onto them.
• Homes in PEP sections get a city-installed PEP tank at the framing stage.

Impact fees are in flux. A circuit judge ruled in August 2026 that the city's 2025 increases to fire, parks and transportation fees conflicted with state law, and the city is appealing while its schedule stays in place. The Flagler Schools impact fee is $5,450 per single-family home, and water and sewer hookups add several thousand more. I get a current fee estimate for any lot before you buy it.

Lot or existing home?

Compare the lot price plus construction, impact and hookup fees, clearing and fill against what similar new and recent homes are selling for nearby. Sometimes a builder's spec home or a nearly new resale is the better deal; sometimes a lot on a quiet street is. See is new construction really cheaper than resale and the builders active in Palm Coast right now.