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The town was named for Captain Henry John "Jack" Nice, a railroad engineer and land developer. He is credited with being the first to recognize the potential of Okaloosa Island as a resort area. The city was incorporated in 1925. Niceville has been home to Eglin Air Force Base since 1933 when it became part of the United States Army Air Corps (USAAC). In 1947, it became an independent base under USAF control until its current designation as an AFMPC installation in 1992 when all functions were consolidated at Hurlburt Field near Fort Walton Beach, Florida; however most military personnel still refer to Eglin AFB by its former name: Eglin Air Force Base or simply EAFB or even just EGFL. It is also known by locals as "the other side of Choctawhatchee Bay".