Discover Magical St. PetersburgSt. Petersburg was founded in 1888 by John C. Williams, who purchased the land, and by Peter Demens, who brought the railroad industry into the area. As a part of a coin toss bet, the winner, Peter Demens, named the land after Saint Petersburg, Russia, while Williams opted to name the first hotel built which was named the Detroit Hotel, both named after their home towns respectively.