While multi-family permits were down for the month, single family construction remained strong, maintaining on-going growth for the region’s residential construction. Just released permit statistics show single family permits issued in July, 2013 (509) are higher than in any single month in six years (since June 2007 which had 537 single-family permits issued). A slow-down in multi-family units brought the total units permitted in July, 2013, down 11 percent from July, 2012; however year-to-date units remain 24 percent higher than units at this time in 2012.
According to data compiled by the Keystone Report for the Builders Association of the Twin Cities (BATC), there were 533 permits for a total of 698 units during the four weeks in the month of July, 2013. Year-to-date, cities issued 2,912 permits for a total of 4,914 units.
“The National Association of Home Builders just reported that new home sales are at a five-year high and builder optimism is up to its highest point since 2005,” said Pamela Belz, Builders Association of the Twin Cities 2013 president and developer with Senior Housing Partners. “In talking to members of our association, I’m hearing much the same story.
“But locally as well as nationally there are still concerns as we see interest rates rise, inventory of lots dropping rapidly, and labor shortages that may become critical in the fairly near future,” Belz said.
Minneapolis once again led the top five cities, permitting 95 units in July. Maple Grove issued the second number of units at 39, followed by Lakeville with 38 units, Eagan with 33, and Prior Lake rounded out the top five with permits for 32 units issued.
Data Chart attached.
More information:
Wendy Danks, Director of Marketing 651.697.7565
James Vagle, Director of Public Policy 651-697-7578