The stadium opened as Municipal Stadium in 1988, funded partially by the City of Daytona Beach (from the sale of another stadium) and a donation from Daytona International Speedway,[2] located about 3 miles (4.8 km) to the east. In 1994, the playing field was named after Larry Kelly, who served as mayor of Daytona Beach from 1974 to 1993.[6] Originally with a natural grass surface, artificial turf was installed in 2010 and updated in 2017.[4]
Until the end of the 2009 Bike Week season, the stadium hosted the AMA Flat Track motorcycle championships during Daytona Beach Bike Week. When the city removed the track as part of changes to the stadium, those races moved to a new dirt track at Daytona International Speedway.[7]
In 2008 and 2009, the stadium was the location of the Florida Football Alliance annual "Alliance Bowl" season-championship game. It was held in Jacksonville for the 2010 season while the stadium underwent surface replacement. The Alliance Bowl returned in 2011.
In 2018, DME Academy, a private sports training academy based in Daytona Beach, signed a 30-year lease for the stadium, changed its name from Municipal Stadium to Daytona Stadium, and undertook a $20 million renovation project.[1] However, as of January 2024[update], Daytona Stadium is absent from the DME Academy website.[8]