SIOUX FALLS, S.D. (KELO) — The number of apartment complexes going up in Sioux Falls continues to rise.
2021 was a record-breaking year. 2022 has already surpassed that record and more projects are expected.
The city added 1,821 new apartments in 120 different buildings in 2021. There are already 3,255 apartments going up this year in 151 new buildings.
Developer RMB Associates, alongside partner Paradigm Construction, is putting up a complex near 77th and Cliff. One of the three apartment buildings in the complex are complete.
“We completed this around Labor Day. We received our occupancy certificate and 30 units in this building, and on the Friday that we were able to open to tenants, 28 people moved in. And the other two moved in over the weekend, so it was full from the first day it was open,” RMB Associates CEO Joel Dykstra said.
Real Property Management manages the complex, and Adam Durfee is one of the people showing the units.
“We’re actually having a demand for tours before we can even get tours available. We set them up. We kind of bring them to the properties or even show them similar properties because there’s that much of a demand for buildings that aren’t even complete yet,” Durfee said.
As people tour new apartments, Durfee says some of the top amenities they’re looking for are pools, fitness centers, in-unit laundry, Wifi and more. He says people are moving from all over.
“We’re seeing a lot of people from the east and west coasts coming to Sioux Falls, whether it’s for tax reasons or just the way of life that we have here. We’re also seeing college grads,” he said.
Butch Warrington, chief building official with the City of Sioux Falls, says the number of new complexes is unprecedented.
“We’ve never seen apartments being built like we have this year. It’s incredible. Last year was the most apartment units we’ve ever put up,” he said.
In comparison, the total number being built this year is already 1,400 more than last year’s total. But Warrington doesn’t expect it to last.
“I anticipate next year we’ll start going down again, because it kind of looks like it goes up every couple-three years and then it goes down for about three and then it will start curving back up again,” he said.
To give you some perspective — 10 years ago the total number of all building permits was around $490 million, that’s how much money was spent on total construction in the city – everything from houses and businesses to schools. This year, that number for apartments alone is almost $471 million.