A surge in single family homes plus two large multi-family projects were keynotes to the most recent permit activity report. Compared to May 2011, last month the region saw a 50 percent increase in permits, which included a whopping 80 percent increase in single family permits. Minneapolis and St. Louis Park both permitted 119-unit projects in May, confirming residential construction remains on a strong positive trend.
According to statistics compiled by the Keystone Report for the Builders Association of the Twin Cities (BATC), there were 389 permits for a total of 638 units during four weeks in the month of May, 2012. Year-to-date, there were 1,371 permits issued for a total of 2,615 units.
“The growth in single-family construction permits is another positive indicator for our industry,” said Builders Association of the Twin Cities 2012 President and owner of Lee Lyn Construction, Curt Christensen. “This comes on the heels of a very successful Parade of Homes(SM) in March and the very positive report from the Minneapolis Area Association of Realtors (MAAR) in April.”
“MAAR’s report detailing higher sales prices, lower inventory and shorter time-on-the-market may just mean that the housing market has reached bottom and is now on the rise,” Christensen said.
Minneapolis again led the metro area in building activity for the month with 127 units permitted. St. Louis Park followed with 120 units. Lakeville and Woodbury tied for third place with 33 units permitted, followed closely by Blaine and Plymouth, each with 32 units permitted.