2024 Continues Steady Building, Population Growth Trend in Sioux Falls

Published on January 09, 2025

The City of Sioux Falls had a strong year of building permit valuations in 2024, exceeding $1 billion and marking the fourth-highest valuation total at $1,076,691,818. A total of 6,183 building permits were issued last year, and building inspections totaled 64,962, down slightly from the record 68,810 inspections performed in 2023.

Sioux Falls grew by an estimated 5,697 people in 2024, marking a 2.66 percent increase in the population, now at an estimated total of 219,588 people. Last year outpaced the population growth of 2023, which was at 2.4 percent. Population growth was slightly higher in the record-setting years of 2021 and 2022, at 6,750 people or 3.5 percent and 6,284 people or 3.1 percent, respectively. Since the 2020 Census, when Sioux Falls’ population was 192,517, the population has grown by an estimated 27,071 people at an average rate of 2.7 percent per year.

“Despite some of the ebbs and flows of the economy, the numbers indicate Sioux Falls is in a strong position. Our community remains a place where people want to invest and raise their families,” said Mayor Paul TenHaken. “In 2025, we will continue to strategically plan for growth while dreaming big in the process, striving to keep Sioux Falls investible and build upon the momentum of 2024.”

Building permits are administered by the City’s Planning and Development Services department and are required for new construction, additions, and remodeling of commercial and residential properties. Commercial and residential new construction and addition and remodel work held steady in 2024. For new commercial valuation, office, institutional, educational, and other commercial, like strip malls, hotels, and restaurants, increased slightly over 2023, while manufacturing and apartments decreased.

Key building insights from 2024 include:

• 2024 was the fourth year in a row we had more than $1 billion in total construction valuation in Sioux Falls.
• New single-family housing units increased in 2024, reversing a decline in total units from 2023. In 2024, 532 new units were added, a 26 percent increase from 2023.
• For town house units, 344 permits were issued in 2024, slightly up from the 331 permits issued in 2023. This has been a relatively steady number, with slight increases and decreases in the past few years.
• Multifamily housing, including non-transient housing such as apartments, independent living centers, congregate living facilities, and condominiums, added 1,256 units in 2024, a 35 percent decrease from 2023.
• In 2024, 14 projects exceeded $10 million. The highest valued project at $71 million is the State of South Dakota’s One Stop, followed by healthcare projects and several apartment complexes.

“Sioux Falls is growing in a steady, balanced way, and that is in great part because of our public and private partners who drive and respond to growth, and the planning our community did decades ago that we are reaping the benefits of today,” said Kevin Smith, Assistant Director of Planning and Development Services. “Responding to and balancing growth is not static. There are times when we need to be flexible to meet current needs while still keeping our eye on the horizon for the future demands of Sioux Falls. We don’t accomplish that without great partnerships across the community.”

A full permit report can be found at www.siouxfalls.gov/permitstats.