Dawood Pervez will replace him as on 1 December, and will work alongside Race in the interim period.
Race's decision comes as he wants to spend more time with his family.
He said: “I’ve thoroughly enjoyed the last two years as MD and take great heart from the improving performance of the business.
"I would like to thank the exec, the larger leadership team and all colleagues for their support and hard work, but I feel that it is now time for a younger man to take the company forward and for me to spend more time with my family.
"I have worked closely with Dawood for 13 years and am fully confident that he is the right man to lead the business forward and I wish him the best of luck in the future.”
He joined the group as manager of Batleys Cleveland in 1988, becoming operations director in 2000 and retained this position through the Bestway takeover in 2005, playing a significant role both during and after the takeover, helping to ensure as smooth a transition as possible.
In January 2014, Race took as trading director, before subsequently being promoted to managing director of Bestway Wholesale in July 2016.
Pervez joined the business as a qualified solicitor in 2002. During his time at Bestway he has headed up various functions across the business including legal, HR, L&D, property, HSE and marketing.
He has played a key role in acquisitions and most recently he has led the trading department.
Pervez said: “I am delighted to be succeeding Martin as the managing director of Bestway Wholesale, and I would like to thank him personally for all of his support over the years.
The business is now in a unique position to benefit from the turbulent market conditions and it is my full intention for it to do so.”
The board of Bestway Wholesale Limited said: “We thank Martin for all he has done for the business and congratulate Dawood for his new appointment. We wish him every success as he leads our business into the future – forward as one”.