Oct. 3, 2022

Sioux Falls added $175 million in building permit valuation in September, bringing the total for the year to a record-smashing $1.7 billion.

That’s nearly twice the value of permits issued at this time last year — $868.2 million.

New commercial construction alone accounts for more than $1 billion of the valuation, up from $330.8 million a year ago.

Major projects that were issued permits in September include the fourth building at Cherapa Place, which will be a mix of retail and apartments, at $49.5 million, a new distribution center built for a future tenant at 5900 W. Wireless St. at $19.6 million and The Croft at Harvest Creek apartments at 5000 S. Dubuque Ave. at $18.3 million.

Commercial additions and remodeling projects totaled $315.4 million for the first three quarters, compared with $235.6 million for the same time last year.

New residential construction is behind 2021, totaling $216.6 million versus $246.5 million a year ago and reflecting 593 new single-family homes compared with 697 homes.

The city has issued permits for 3,255 apartment units, compared with 1,592 a year ago, but those are considered commercial projects.

Residential additions and remodeling projects continue to outpace last year, totaling $106.8 million, compared with $55.4 million.

There’s “not a lot in the hopping” for the remaining part of the year based on what has been submitted for building plans, chief building official Butch Warrington said.

Some of the big projects still expected to come include the Midco Ice Arena at Augustana University, part of Sanford’s Virtual Care Center, Scherer Inc.’s new headquarters and the new Dillard’s.

While they add up to nearly $100 million, that might not be enough to reach the $2 billion mark for the year, Warrington said.

“Other projects could come in, but usually this time of year it is for footing and foundation only,” he said.