St. Charles home construction continues upward trend in 2012

Reflecting continued improvement in the economy, St. Charles experienced an increase in new single-family home construction in 2012, continuing a 3-year trend. There were 18 permits issued for new single-family homes from January 1 - December 31, 2012. This represented an increase of 7 homes (64%) from 2011, when 11 homes were constructed. This also represents the highest number of permits issued since 2007.

The value of the homes constructed was $3.7 million or approximately $204,000 per home. This does not include land value. Fifteen of the homes were constructed by K. Hovnanian Homes in the Regency Estates subdivision located near the intersection of West Main and Oak streets.

The home with the highest construction value was one constructed in the Woods of Fox Glen neighborhood located along Illinois Route 25 near the Red Gate Bridge. That home had an estimated construction value of $800,000.

St. Charles continues to be a good place to build. Several projects have home sites available, including The Reserve of St. Charles, Remington Glen, and Regency Estates. Project representatives that I have spoken with are positive about their prospects in 2013.

In addition to new home construction, there were 139 permits issued for residential alterations or additions in 2012 with a value of $3.6 million.

St. Charles saw two new commercial buildings constructed in 2012. They were issued for Children of America day care center at 155 South Tyler Road (located just south of the Chrysler Jeep Dodge Ram dealership) and Advance Auto parts store at 1510 East Main Street (the former Baker's Square site). The total construction value of these 2 permits was $2.1 million.

In addition to new commercial construction, there were 70 permits for commercial alterations or additions issued in 2012 with a value of $7.7 million. There were also 18 industrial alterations or additions with a value of $2 million.

The single largest construction project in 2012 was the new sewer treatment facility being constructed by the City of St. Charles at the Public Works complex located south of Langum Park on 7th Avenue. The facility has an estimated value of $9 million. The facility started construction in October 2012 and is expected to be completed by May 2014.

For 2012, the total estimated value of all construction that was permitted in St. Charles was $38.6 million.

New construction and remodeling activities are beneficial to the local economy and the tax base. The construction provides jobs for local workers and drives the purchase of good and services from local businesses. In addition, the property tax base is broadened by construction of new facilities and improvement of current buildings.

It is my hope that St. Charles continues to be a place that people and companies want to build their homes and businesses - in 2013 and beyond.