Jill Schramm/MDN Construction workers take advantage of mild December weather to engage in exterior work on a building at The Tracks in southwest Minot. Although commercial permits were down in 2023, some construction projects carried over from the previous year to keep contractors busy.

Building permits totaled $136.6 million in Minot in 2023, reflecting a drop from $178.7 million in 2022 and $246.87 million in 2021, according to the City of Minot inspections office.

Minot’s construction in 2024 should be similar to 2023, as many of the economic factors of last year continue into the new year, according to local lumber yards.

“The remodeling market is going to be strong again,” said Pat Bailey, owner and manager at Muus Lumber & Hardware. “New home construction is probably going to be a little bit down until these interest rates subside and stabilize.” Higher fuel prices and elevated costs of construction materials are factors, too, he said.

The 2023 numbers showed new single-family residence construction was down from the previous year. There were 42 permits valued at more than $9 million issued in 2022 and 33 permits issued at $6.8 million in 2023. Townhome construction boomed, though, with 58 permits valued at $7.5 million last year, compared with just 10 permits at $1.29 million in 2022.

Other residential structures, such as garages and mobile homes, saw somewhat fewer permits but higher valuations. Residential remodeling and additions totaled 72 permits valued at $2.2 million, up from 53 permits at $1.58 million in 2022.

This year’s activity could look similar to last year’s in Minot, but construction appears to be picking up around the area, said Brenda Berntson, general manager at Minot Lumber & Hardware.

“A lot of the projects we are bidding are in the surrounding area,” she said. “In Ward County, from Surrey to Burlington to Carpio – places like that – we have quite a bit that we have going on.” The majority of the work is residential, she said.

Berntson noted plenty of activity in the broader region also, particularly on the Fort Berthold Reservation.

On the commercial front in Minot, the city issued 28 nonresidential building construction permits in 2023, compared to 35 in 2022, but last year’s total included $73.6 million in permits for school construction projects. Commercial remodels and additions totaled 83 permits in 2022 and 71 permits in 2023.

However, there were some large projects last year, based on permit valuations, which included an $11 million surgery center in southeast Minot, $10 million Big M building renovation, $2.6 million Enerbase mercantile, $2.1 million auto parts store and $1.78 million Ward County Highway Department building addition.

Bailey said commercial construction can be difficult to predict, but he sees it holding steady in the new year. The ongoing development of the new high school in northwest Minot and the mixed-ed use The Tracks project by EPIC in southwest Minot near the new hospital could signal future activity, though, he said.

“I think that is going to open the doors for, hopefully, a little bit more residential and commercial, just because when a school or hospital opens, people gravitate toward those areas for commercial and residential building and development,” he said.

An ongoing challenge in 2024 for the construction industry will be a shortage of workers, Bailey said.

“Most of our contractors say they could use three or four more laborers. If they had more workforce, they could take on more projects,” he said.

City of Minot

December building permits

– Justin David Mann, 1408 Debbie Dr., add two closets, $2,000.

– Gilman Vedvig, Leroy’s Home Improvement, 519 23rd St. NW, finish basement, $40,000.

– Sarah Joy, Groundworks Minnesota, 1019 1st St. NE, gutter, sump pump and Intellibraces, $11,000.

– Justin and Alyssa Hensworth, Groundworks Minnesota, 1929 24th St. SW, sump pump replacement, $2,000.

– Kevin and Audrey Lecy, Groundworks Minnesota, 1804 27th St. NW, gutter and sump upgrade, $5,000.

– Hazel Hughes, Groundworks Minnesota, 620 36th St. SW, push piers and pump replacement, $16,000.

– Stacon, LLP, Ready Builders, 4210 8th St. NW, frame for bathroom and partywall between shop/office, $30,000.

Total: $106,000