Been there many times for the rallies and otherwise. I only live about 100 miles N. It is a very nice rally. The venues are spread out enough that you can get some good riding in as well. You can head E to Destin or S to Mexico Beach, St George Isle or Appalachacola. No problems with the law as long as you aren't a idiot, but make sure you wear eye protection. It is a no helmet state, but they will get you for no eyepro.
Didn't go last year, headed N instead to the Smokies, but might go this year. As far as lodging, the choices are huge and dependent on your wallet. Also some good eats as well.
Have fun and be safe.