Isle of Palms is located along the Atlantic Ocean, 15 miles (24 km) by road east of downtown Charleston.

In 1912, James Sottile had a beach pavilion and an amusement park built, and a trolley line was constructed from Mount Pleasant on the mainland to Isle of Palms via Sullivan's Island.

In 1929, Grace Memorial Bridge was built between Charleston and Mount Pleasant to allow automobile traffic to reach the island.

Large-scale residential development began when J.C. Long bought up most of the island and built low-cost housing for World War II veterans.

In 1975, the Sea Pines Company (of Hilton Head Island fame) established the 900-acre (360 ha) development now known as the Wild Dunes Beach and Racquet Club.

Their discoveries included the Civil War blockade runners Rattlesnake, Stonewall Jackson, Mary Bowers, Constance, Norseman and the Georgiana.

The iron-hulled steamer Georgiana, which was sunk on her maiden voyage, was described in contemporary documents as pierced for 14 guns and more powerful than the famous Confederate cruiser Alabama.

These historic discoveries resulted in the passage of South Carolina's Underwater Antiquities Act allowing the archaeological salvage of shipwrecks.

The northeastern end of the Isle of Palms, home to Wild Dunes private community, endured a severe erosion crisis when a shoal caused sand to wash away from the foundation of a large condominium building.