A dehumidifier is absolutely essential in your climate. If that doesn't do the trick, then it's onto other approaches.

I second the dehumidifier! we had a similar issue, except nothing was damp to the touch. run the dehumidifier and set it at 55 and you will be amazed at the amount of water it takes out of the air. I would also try the drylock, although when this get wet it will crumble off the wall, im not familiar with lastiseal unfortunately. Good luck!

Thanks for the replies.

I'm thinking the dehumidifier might be the option although I'm hesitant to have to spend the extra 30-50 bucks a month on electricity. Does anyone have any experience with DryLock? Would it help keep the moisture down? I remember reading somewhere that it 'breathes', which would make me think that it lets water vapor through... thus defeating the purpose.

Condensation and moisture drive aren't affected by coating basement walls with DryLock.

Here is a link that might be useful: Basement Insulation (Scroll to page 3)

So the DryLock wouldn't actually do anything to stop the water vapor coming through?

Had another thought. Could I cover the entire wall in question with hydrostatic cement? What repercussions could that cause?

Yes, you can.

Or better yet, in my view, use a crystalline waterproofing material, such as Xypex, Kryton or Permaquik, though, because of the prep, it would probably be better to have them professionally applied.

But before you spend many hundreds and even thousands of dollars on messy procedures, simply drop by your local big box or Nextag and buy a portable dehumidifer for less than $200. In your hot muggy climate, you should have one anyway.