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The area was named by shipwrecked Spaniards who supposedly saw a vision of tres palacios (three palaces) as they swam to shore. Fishing is the dominant industry along with seafood processing plants. An attractive bayfront park along Tres Palacios Bay has palm trees, picnic areas and a walkway. Other features include fishing piers, jetties and boat ramps. Events include a BP MS 150 Recommended ride in October.