[throwaway60707]

> How did Quark get the prime retail location on the promenade though?

Sisko asked Quark just before he left to remain where he was since the Cardassian occupation so there was some life on the promenade.

> The dirty secret is that Starfleet is actually a totalitarian military dictatorship, on the ground and in the air. That's how they got to take over the Palace of Fine Arts.

Starfleet is a paramilitary organization and Deep Space 9 is a military installation under their control (it has sufficient firepower to defend itself against many of the strongest warships), just like the starships - that's no secret nor is it dirty. There can be civilian elements on military bases. IRL there are civilians living within military areas in some countries - governed/commanded by the military.

But SF doesn't control the Federation, nor Earth or other civilian settlements. There is an episode where Sisko and Odo thwart the attempt of a rogue Starfleet admiral to get Earth under SF/his control.