- August 11, 2026
Avalon Park Daytona Beach has voluntarily dismissed a complaint filed against the cities of Ormond Beach and Daytona Beach surrounding which municipality will provide utilities to the development.
On Aug. 6, Avalon Park Daytona Beach filed a notice of voluntary dismissal without prejudice of its complaint filed in December 2024 in the Circuit Court of the Seventh Judicial Circuit. According to a news release, the development group states that this follows "several weeks of productive collaboration between the parties."
“Avalon Park Group has always believed that the best outcomes happen when public and private partners work together,” said Beat Kahli, president and CEO of Avalon Park Group in the news release. “We are encouraged by the collaboration over the past several weeks and appreciate the willingness of both cities to continue working with us toward a solution that benefits the entire region.”
The lawsuit sought the court to declare Ormond Beach unable to provide utilities to Avalon Park Daytona Beach, and grant them the right to obtain water and wastewater services from Daytona Beach.
Ormond Beach City Attorney Randy Hayes said in an email to the Observer that though the lawsuit has been dismissed — without prejudice, meaning Avalon Park could refile a lawsuit — Daytona Beach's cross-claim against Ormond has not been dismissed.
The case is scheduled for trial in September, Hayes said.
In the news release, Avalon Park Group thanked mediator Terry White and the utility departments of both cities.
"Their efforts have helped move the discussion forward in a constructive way and support the shared goal of reaching a win-win-win solution for Ormond Beach, Daytona Beach, Avalon Park Daytona Beach and, most importantly, the taxpayers," the news release states.
While the lawsuit in the circuit court has been dismissed, the federal lawsuit has not. On Aug. 5, Avalon Park Daytona asked the U.S. District Court Middle District of Florida to deny Ormond Beach's motion to dismiss the federal lawsuit, which alleges a federal takings claim.
The lawsuit, filed in March, states that Ormond's regulatory actions are meant to prevent any development by Avalon Park.
Shortly after the lawsuit was filed, the Ormond Beach City Commission rejected a $2.3 million settlement offer, which would have partially terminated a 2006 interlocal agreement that gives the city the right to provide water and wastewater services as a wholesale rate to Avalon Park Daytona Beach.
Most recently in May, the Daytona Beach City Commission approved a rezoning of 2,760 acres for Avalon Park Daytona Beach, which will allow the construction of over 8,800 new homes.
