April 1, 2026

The first quarter of building activity in Sioux Falls was on par with last year, which was the city’s second-best year on record.

Through March, permit valuation totaled $212.7 million, down slightly from $229.5 million in the first quarter of 2025 and up from $159 million two years ago.

“Permitting continues to remain steady in the first quarter of 2026; we continue to that spread out through all sectors, from health care and business growth to apartments,” said Neil King, the city’s chief building official.

The largest permits issued in March were an addition to the Avera Heart Hospital at $15.3 million and the city’s replacement for the pool at Kuehn Park, which came in under budget at $14.4 million.

New commercial permits totaled $128.6 million, ahead of last year’s $88.9 million and $74.4 million in 2024.

Commercial additions and expansions totaled $44.3 million through March, less than half of last year’s $93.7 million but up from $35.2 million two years ago.

The city has issued 270 multifamily unit permits, up from 241 last year and 328 two years ago.

“Apartment construction has slowed, and the trend is more to the smaller townhouses versus larger traditional apartment buildings,” King said. “As expected, residential construction started to take off in March with 42 new permits being issued.”

New residential construction totaled $23.8 million in the first quarter, down from $32.3 million last year and $35.4 million two years ago.

So far this year, the city has issued permits for 59 single-family homes, which is 10 more than last year but less than the 105 permits in the first quarter of 2024.

Residential additions and remodeling permits are at $15.9 million through March, compared with $14.6 million last year and $14 million two years ago.

For an interactive map of building activity so far this year, click below.