On Sunday, clouds formed over Panama City Beach, Fla., making it look like the waves of the ocean had extended in a mist over shoreline's high-rise residences.

Check out the image in CNN's report:

As CNN states, these are not considered clouds caused by the Kelvin-Helmholtz instability. We reported on this phenomenon making wave-like clouds in Alabama in Dec. 2011.

The Weather Channel's Greg Forbes explain what happened in Florida to create these clouds:

The Huffington Post reports that the image was captured by pilot JR Hott of Panhandle Helicopters.