Sioux Falls city leaders say the community experienced another strong year of growth in 2025.
The city welcomed over 5,000 new residents last year, bringing the total population to 224,676. That’s an increase of 2.3%, which officials say aligns with the city’s long-term growth rate.
The city also saw a total construction valuation of more than $1.3 billion dollars last year. Officials say that’s the second-highest year and record, and also marks the fifth straight year valuations surpassed $1 billion. A total of 5,615 building permits were issued across residential and commercial building projects, including new construction, additions, repairs, remodels and renovations within Sioux Falls.
“Managing Sioux Falls’ growth while keeping our community investable has been a top priority during my tenure,” Mayor Paul TenHaken said in a statement Wednesday. “We balanced providing core city services to more residents every year while investing in long-term infrastructure, public safety and quality of life projects that will benefit generations to come. Maintaining the growth and strength of our community would not have been possible without collaboration across city departments, with our neighboring communities and with the private sector.”
Commercial construction drove permit valuation, officials said, accounting for slightly over $1 billion in valuations. New single-family houses totaled 357, the city's lowest in the past 10 years. New multi-family housing construction also saw a slight declined compared to recent years.
“Even with fewer residential permits, overall valuation increased thanks to large commercial and apartment projects,” said Jeff Eckhoff, the city’s director of planning and development services. “The slowdown in single-family construction is not unique to Sioux Falls. Across the housing market, interest rates remain high and there is a general hesitation around buying and selling homes. Despite softness in that area, Sioux Falls remains a strong and competitive market for commercial and residential development.”
A full building permit report is available at the city's website.