Friday, January 11, 2013

Multifamily permits surge again during November 2012

Through November 2012 in Colorado this year, building permits issued for multifamily construction were up 101 percent, year over year, while permits issued for single-family construction were up 42.1 percent for the same period. 

During November 2012 alone,  930 multifamily permits were issued in Colorado, and 1,079 single-family permits were issued. 

During November 2011, there were 186 multi-family permits issued, and 724 single-family permits issued. The first graph shows permit activity for the first eleven months of the year since 1999. Through November of this year, there have been 12,352 single-family permits and 7,104 multifamily permits issued.

For November alone, multifamily permits are up 400 percent and single-family permits are up 49 percent, compared to November 2011.

The first graph shows cumulative totals from January through November of each year:

The second graph shows that multifamily permits dropped off significantly in September and October following several months of robust growth, but bounced back in November. MF family permitting tends to show big changes throughout the year, but the 2012 trend is clearly one of growth over 2011.  Single-family permits, however, tend to have a more reliable seasonal pattern. Single-family permits were fairly resilient for a November total and continue to show growth over recent years' activity. 

During November 2012, the number of new multifamily permits was still down from August's very high total, although the November total was up considerably from the November totals from 2009 and 2010. 

Single-family permits for November were at a five-year high and were inching back toward the levels seen during 2007.  

In this report, single-family permitting has behaved as expected, showing slow ongoing growth. Multifamily has doubled over 2011.