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Daytona’s retail investment market holds strong

Smaller deals and steady pricing continue to attract private investors to Daytona Beach.


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  • | 12:55 p.m. March 12, 2026
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Investor interest in Daytona Beach’s retail sector is holding strong, even as other parts of commercial real estate face challenges. In 2025, investment sales reached their highest level in a decade—excluding the unusual early pandemic period—demonstrating renewed confidence among buyers. Over the past twelve months, sales totaled $266 million, closely aligning with the city’s ten-year average of $232 million.

Prices are gradually trending upward. The average retail transaction over the past year closed at $191 per square foot, representing a 4% increase year over year. Most deals, however, remain concentrated in smaller properties. Of the 190 retail transactions recorded, the average sale price was approximately $1.8 million for buildings just over 9,000 square feet. In fact, the majority of sales closed at $2 million or less, making Daytona Beach especially attractive to private investors seeking stable, lower-risk assets.

Finding the right price remains a challenge, particularly for properties under $5 million. The gap between buyer expectations and seller pricing remains noticeable, but cap rates have stayed relatively stable, suggesting buyers and sellers are still able to reach agreements—especially for well-located, income-producing assets.

Among larger deals, the most notable occurred in December 2025, when DRA Advisors and DLC Management Corporation acquired a 38-property portfolio from Kite Realty Group Trust, including the 256,290-square-foot International Speedway Square power center in North Daytona Beach, which sold for $30.4 million ($118/SF) after more than 25 years of ownership.

Freestanding retail accounted for $170 million of the past year’s sales volume, representing the largest share among all retail segments. One standout transaction was the December sale of a 5,000-square-foot 7-Eleven in North Daytona Beach, which sold for $9.35 million ($1,870/SF) at a reported 5.3% cap rate.

What does this mean for you?

Whether you're an investor, developer, or retail property owner, Daytona Beach’s retail sector remains one of the region’s most resilient commercial markets. Strong demand for smaller, income-producing properties continues to drive deal activity and maintain investor confidence.

 *All third-party market data referenced in this article is sourced from CoStar Group, a global leader in commercial real estate information, analytics, online marketplaces, and 3D digital twin technology.

Let’s Strategize Your Next Smart Move.

Exploring retail investments or evaluating your property’s position in the market? Let’s look at what the data is telling us—and what it means for your next move.

Contact me, Jamie Cuzzocreo at Watson Commercial Realty, Inc., for insight-driven guidance grounded in real data.

386.415.3577

[email protected]

 

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