It is ‘build, build, build’ as Park City construction industry booms
June 16, 2015
The Park City construction industry, in the midst of a powerhouse two-year run, in May logged its best month as measured by dollar value in years, the Park City Building Department said, more evidence that the city is in one of its great boom eras.
According to the Building Department, permits valued at a little more than $25 million were issued in May. The number climbed sharply from the little less than $13.1 million logged in the April. It was slightly higher than the figure logged in May of 2014, when the industry posted $24.5 million. May is traditionally a strong month as developers secure permits for projects that start in the summer.
A permit in Deer Valley pushed the numbers higher in May. The Building Department issued a permit pegged at a little less than $10.8 million for work at the Stein Eriksen Residences site. It is among the largest projects underway in Park City. The building permit accounted for more than 40 percent of the overall dollar value of the month.
Chad Root, the building official at City Hall, said the permit at the Stein Eriksen Residences site allows the construction of a condominium tower. It is one of the key parts of the project. Root said the permit is expected to be the final one of significant value at the site. He said, though, permits for houses could be issued later.
A representative from the developer, Regent Properties, said the work involves a 27-unit condominium building. The work started in the past two weeks. Regent Properties plans to finish the building in the summer of 2016, the representative said.
Park City Mountain Resort, meanwhile, secured a permit in May for the renovation of the Snow Hut restaurant. The permit was valued at a little less than $2.4 million. PCMR owner Vail Resorts is renovating the restaurant as part of its ambitious set of upgrades this year as PCMR and Canyons Resort are molded into a single property.
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The year-to-date figure at the end of May sat at approximately $82.3 million, up sharply from the little less than $58.4 million through the same period in 2014.
The Building Department in May issued five permits for houses. The permits were valued at a little more than $3.4 million combined. Two permits for multi-family residences totaling eight units were issued, adding approximately $3.5 million to the month’s total. Permits for alterations and additions were valued at a little less than $3.2 million.
Some of the six-figure permits issued in May included:
The May dollar figure of a little more than $25 million was the best monthly number since at least 2011, according to the Building Department. The number topped by a slight margin the $24.5 million recorded in May of 2014.
The construction industry in Park City is enjoying a spectacular comeback from the depths of the recession as developers move forward with large projects and individual property owners break ground on projects or fix up and expand existing ones.
"Build, build, build," Root said of the numbers in 2015, describing the situation as a "compounding event."
Root described a shortage of construction workers that has kept the year-to-date numbers in Park City a little lower than they could have been.
"There’s a lot of projects that would like to get started, but they’re holding off just because lack of labor," Root said.