RAPID CITY, SD – Rapid City finished 2025 with its third-highest annual building permit valuation in city history, falling just short of the $400 million mark. According to the year-end report from the Building Services Division, the city issued 2,428 permits with a combined valuation of more than $390.9 million.
This total for South Dakota’s second-largest city is eclipsed only by the record of $463.5 million set in 2023 and the $393.5 million reached in 2021. The 2025 figures surpassed the previous year’s total of $383.6 million.
The report highlighted a significant increase in residential construction. Rapid City issued 186 permits for single family homes, the highest number for that category since 2007 and a notable jump from the 119 permits issued in 2024. Additionally, 24 permits were issued for duplexes, a figure that exceeds the previous six years combined.
“Overall, it was another solid year for building in Rapid City”, said Community Development Director Vicki Fisher. “We are extremely pleased to see the increases in single family home and duplex construction. We are hoping for another year of strong building activity in 2026.”
Large-scale projects drove much of the valuation. The city issued 68 permits valued at over $1 million each, with 12 of those exceeding $5 million. The most significant project of the year was a $22 million permit issued in October to the Children’s Home Society of South Dakota for phase two construction at its Mount Rushmore Road facility.
Other major projects in Rapid City included a $15.28 million emergency department facility for Monument Health on East Mall Drive and a $15.15 million addition for Butler Machinery on Deadwood Avenue North. Infrastructure at the Rapid City Regional Airport also saw significant investment, with two permits for terminal expansion and phase work totaling more than $27 million combined.
The final month of the year maintained the momentum. In December, the city issued 192 permits totaling $12.3 million. The highest-valued permit for the month was awarded to PDW Properties LLC for the Solar Sound Shop on Bridge View Drive.
Reflecting the high volume of activity, the city collected more than $2.7 million in building permit fees throughout 2025. This marks the third-highest amount of fees collected in city history, up from the $2.4 million collected the prior year.
Residential growth also extended into the summer months. In July, 18 permits were issued for duplex housing facilities at Terrace Hills Trail and Shaker Court, representing a collective valuation of approximately $30.3 million.
