Area building permits up in September, down YTD

Building permit values in Fort Smith, Greenwood and Van Buren, combined to total $22.822 million in September, a little more than double the $10.954 million in August and the $10.543 million logged in September 2011.

The month-to-month increase of 46.2% improves year-to-date comparisons through the first nine months of the year to a decline of 33.43%, which stood at 43.66% at the end of August.

Values through September 2012 are at $109.641 million for the three cities, compared to $164.709 million during the same period of 2011.

During the first nine months, Fort Smith claimed the largest share with $89.849 million, a one-year decline from $148.128 million of about 39.34%. Van Buren was the next largest with $13.376 million, a one-year increase from $10.615 million of approximately 20.64%. Greenwood posted an additional $6.412 million, which was up 6.96% from last year’s $5.966 million.

FORT SMITH

The city of Fort Smith logged 177 permits in September totaling $19.444 million, up considerably from August’s $10.108 million total, but still down for the year.

Commercial building projects claimed $15.016 million of the September total across 28 permits. More than $8.8 million was attributed to alterations, including $7.43 million of work on the property at 5711 R.S. Boreham Drive, attributed to Baldor Electric Co. Phillip Wear of Wear Construction Management is heading the project. Wear is also listed as the contractor for a $478,000 alteration at 7301 Rogers Ave., the site of Mercy Hospital.

D.F. Construction is handling the only new commercial building for September, a $4.4 million project at 8101 Flagstone Road, the new site of Old Dominion Freight Lines. Also, Fort Smith Dixie Cup has launched a $1 million remodel.

Residential building permits accounted for just $2.995 million of September totals with nine new home construction permits totaling $1.901 million and 65 repair permits totaling $772,653.

GREENWOOD
New home construction dominated Greenwood’s September numbers, as it has throughout the first nine months of 2012, with two permits totaling $818,360 accounting for most of the $949,954 overall valuation (on seven total permits). This number is an increase from September 2011’s $674,580 total.

VAN BUREN

Van Buren remains up for the year, showing $2.427 million in valuations on 34 permits, offering some much needed relief from an underperforming August in which the city logged just $210,900 on 31 permits. Most of September’s valuation came from two five-or-more unit buildings handled by Rick Mooney Construction at 1719 and 1725 Sky Point Bend totaling $1.080 million. New home and duplex construction projects totaled $1.013 million of the overall valuation on 15 projects.

2011 RECAP

Of the $164.709 million totaled through September 2011, Fort Smith logged the most with $148.128 million, thanks in large part to the Mitsubishi plant at Chaffee Crossing, which has since been mothballed by the company. That one permit, issued in January 2011, totaled $28.5 million.

Van Buren was at second place through September 2011 with $10.615 million in valuations, beating out Greenwood, which posted just $5.966 million through the same period.

Mitsubishi continues to drag down building permit numbers for the year, causing a year-to-date decline of more than 33%. Even without that permit, the Fort Smith metro area continues to lag behind 2011. However, the deficit has improved significantly from last month and even shows a slight improvement from where it stood at the end of July. If Mitsubishi had never happened, 2012 numbers would now show a decrease of 19.5% through September, compared to a 30.88% decline at the end of August and a 23.42% decline at the end of July.