Brandon realizes massive jump in commercial, residential building permits issued in 2024
Jill Meier/BV Journal
Construction is underway on Sure Foundation Lutheran Church, which is located at the intersection of Redwood Boulevard and Pasque Trail.
Tom A. Savage
Contributing writer
Following a dip in 2023, things made a dramatic turn in Brandon when it came to new building permits in 2024.
After the 2023 drop, Paul Clarke, Brandon’s building inspector/code enforcement officer said a year ago that he expected the numbers to increase in 2024, and he couldn’t have been more correct.
After Brandon saw 20 single-family homes built in 2023, that number jumped to 48 last year, a 140 percent increase.
“I’m no fortune teller, but sometimes you have a low dip year,” he said. “The interest rates are still troublesome, but we did see a nice increase in new construction.”
A 30-year fixed interest rate is still hovering in the high sixes. According to forecasters at Consumer Affairs, those numbers could creep back into the sevens in 2025.
Despite those mortgage rate numbers continuing to stay relatively high, Clarke said the interruptions caused by the COVID-19 pandemic of 2020 has leveled.
“The COVID situation got solved,” he said. “The cost of materials went proportionally down. But builders still have some pressure points with interest rates that continue to hover a little bit too high, but people are still building.”
The stabilizing of building costs, Clarke said, has contributed to new construction.
“Not every single thing, but certainly it’s reasonable,” he said. “I don’t hear complaints from builders on material costs generally speaking. They’re not going to go back down to before COVID prices, but they’re not over-the-top and escalating. COVID just really threw a wrench into the plans.”
Along with the 48 new single-family homes built last year, there are also 11 new apartment buildings under construction by Sioux Falls-based Veldco Companies. Those 11 buildings will be home to 147 apartment units south of the Brandon Golf Course in the Aspen Ridge development.
Leasing will begin this spring and summer.
“That’s a really good option for people who are renting,” Clark said. “It’s good for the starter people who might not be able to afford a house yet but want to live in Brandon. They’ll rent for a while and then hopefully build a house somewhere.”
Clarke said there are also three duplexes under construction in Brandon, adding to the building permit totals in 2024.
Although there was a dip in 2023, Clarke said he doesn’t expect to see that again anytime soon. That’s because of so many development projects ongoing in Brandon.
VanBuskirk Properties is in the beginning stages of developing River Park, located just west of the Big Sioux Recreation Area on the south side of Holly Boulevard. They are also continuing in the Stone Ridge Estates development, located on the north side of the train trestle just off of the intersection of Redwood and Sioux boulevards.
Another new residential development on Brandon’s far east side, Chestnut Ridge, which is a VanOverschelde Custom Homes endeavor, is also under construction near the new Burkman Valley Elementary School on the corner of Redwood and Chestnut boulevards.
“There’s three huge pockets of a lot of new home lots,” Clarke said of Aspen Ridge, Stone Ridge Estates and Chestnut Ridge. “Whether they will sell and start building, we’ll have to see, but Brandon continues to expand and annex land. I’m not sure we’ll see a 140 percent increase, we’ll have to see how things go. But there’s certainly land available and lots to be sold in those three pockets – whether you’re east, west or north.”
In regards to commercial development, Clarke said those numbers are also strong in Brandon. Specifically, the community is seeing regional and national chains showing an interest in Brandon. In 2024, the city became home to a new Domino’s Pizza at Holly Crossing, along with Jimmy John’s and Heartland Appliance, in the I-90 Plaza on Splitrock Boulevard. A second Casey’s is planned to go up in the Aspen Ridge development.
Clarke said there are other national chains that are close to announcing their move into Brandon, including a tire store, grocery store, coffee house and multiple convenience stores.
“I just think it’s extremely favorable for a community to not only see a local presence, but to see national chains come in, that’s extremely good,” he said. “We want local businesses as well, but when national chains come in, it just elevates a community to say they want to be here.”
The new Brandon Valley Hockey Association’s indoor arena at Aspen Park also added to Brandon’s 2024 numbers.
“That’s exciting for us,” Clarke said. “It’s something you don’t see very often. It’s a different kind of construction, but an important construction.”
Another notable building permit was issued to Sure Foundation Lutheran Church. The Wisconsin Evangelical Lutheran Synod-affiliated church is under construction at the corner of Redwood Boulevard and Pasque Trail.
