Block Island is located at the mouth of Long Island Sound, 18 miles east of Montauk Point and 12 miles southwest of Galilee and Point Judith, Rhode Island. The island is compact, comprising approximately 7,040 acres over a land mass that is only seven miles long and three miles wide. Given these dimensions, almost any location can be reached in no more than 20 minutes by bike.

  Block Island or New Shoreham (the name of the island's township) is known primarily as a seasonal, recreational destination point for both day trippers and overnight travelers alike. The island has abundant natural beauty, pristine beaches, ocean vistas, gently rolling hillsides, numerous fresh water ponds, as well as its share of quaint Victorian architecture. Seasonal, recreational activities include swimming, sunbathing, boating, fishing, hiking, bicycling, horseback riding and bird watching.

  The island's seclusion from the mainland, as well as, local and legislative efforts to preserve wherever possible agricultural and undeveloped land, has enabled Block Island to retain much of its natural beauty in spite of its ever increasing popularity as a "second home" enclave for upscale out of state buyer's and for seasonal visitors. Conservation groups such as the Nature Conservancy and the Block Island Land Trust have been instrumental in preserving undeveloped acreage when funding has been available. With each real estate sale transaction that occurs on the island, a 3% fee is payable to the Block Island Land Trust. (First time buyers are eligible for an exemption of $75,000 of the purchase price). This source of funds in-turn helps to protect the island's sole-source aquifer and to preserve undeveloped acreage. To date, the land trust has acquired and preserved over 200 acres on the island.

  As a result of its natural island charm and a controlled growth that is held in check by a limited supply of available land and ever increasing acquisition costs for improved or unimproved property, Block Island has become a major regional vacation resort destination. Hence, the island's economic health is heavily dependent on its growing and seasonal tourist trade.

  While the current year-round population numbers approximately 1,000 residents, the average summer population in July and August swells to approximately 10,000. Further, during some summer weekends, the population can approach as high as 12,000. Visitors to the island are mainly drawn from the immediate southern New England region such as Rhode Island itself, neighboring Connecticut, New York and Massachusetts. Year-round ferry service is provided by Interstate Navigation via its harbor berth in nearby Galilee. Summer service is expanded to include Providence and Newport as well as from New London, Connecticut and Montauk, New York. Recently, a new high speed ferry service to the island, operating out of the Port of Galilee was also introduced and visitors can also reach the island by light airplane into the Block Island Airport.

  For over 100 years, Block Island has been a choice summer resort and within the past 5 years or so, tourism and lodging have become big business and a principal economy driver for the island. At present, there are approximately 70 hotels, inns, B & B's, studio rentals and house rentals on the island offering a wide variety of accommodations. Additionally, the island has also developed a "cottage industry" of weekly rentals from an estimated number of 300 island homes that are rented for 12 weeks (more or less) each summer.

  Occupancy rates on the island for the more competitively positioned and marketed hotels, B & B's and inns typically range from 90% to 99% during the months of July and August. In fact, approximately two thirds of all tourism related expenditures are received in the three months of June, July and August and more than three quarters of tourism related expenses are received in the four months including September.

  Since the early 1990's and as a response to the growing resort trade, lodging facilities are now lengthening their season. Specifically, the Spring and Fall seasons have become increasingly popular, with many facilities offering off-peak rates to further attract patrons. Reflecting this trend, it is noted that Lodging taxes collected in Block Island rose 134% from 1990 through 1999, outpacing the entire state of Rhode Island which reflected a 96% overall increase.

  Presently, brokers, developers and public officials within the Tax Assessor's Office on the island continue to characterize the current island market as a "hot" market with record pricing being recorded. Factors driving prices upwards continue to be that many buyers are affluent, upscale out of state buyers seeking exclusive island vacation homes away from the mainland. Additionally, simpler supply and demand forces are also constantly at work on Block Island, whereby choice developable land parcels with ocean or harbor views or those that are in close proximity to the ocean/harbor are becoming a scarcer and a more finite commodity. Locals on the island speculate that if the economy continues to remain fairly healthy, that most choice undeveloped land parcels will no longer be available within the next few years.