There is an active arts community in Fort Walton Beach. The Arts and Design Society of Fort Walton Beach promotes art in its many phases with the area. The Fort Walton Beach Art Museum displays a small collection of American paintings, Chinese artifacts, sculptures and 14th-century pottery. A talented local theater group, Stage Crafters Community Theater, presents a variety of musicals and comedy productions throughout the year. The Northwest Florida Ballet provides quality dance performances and instruction for the entire Northwest Florida area. Fort Walton Beach downtown studios also teach a variety of arts and crafts including: oil painting, sketching, pottery painting, ballroom dancing, and yoga.

Nearby, The Arts Center Okaloosa-Walton College is the cultural and artistic center for Northwest Florida. The $25 million-dollar performing arts complex hosts Broadway touring shows, dance and opera companies. The McIlroy and Holzhauer Galleries showcase extensive exhibits of local artists and prominent traveling exhibits.