The Role of Housing in Economic Development

Housing is an often-overlooked aspect of economic development. Communities geared toward growth cultivate housing opportunities that meet the needs of all residents. The availability of quality housing attracts workers and can increase a town’s competitiveness.

The Faulkton Area Economic Development Corporation (FAEDC) has made housing a priority for the last several years. It surveyed Faulkton residents in early 2017 to ensure a comprehensive understanding of the community’s housing needs. As a result of that survey, the Faulkton Westside Addition, a 24-lot housing development was completed a few years ago.

It was the consensus that there really wasn’t a place for people to build houses in town. Many of the lots that were available were too small for today’s building needs and standards.

The Westside Addition is a 31.67-acre development with lots available in two different sizes and range from $10,000 to $35,000. The self-contained development features three cul-de-sacs and is surrounded by trees.

Two of the houses currently in the addition are FAEDC commissioned spec homes. The Development Corporation felt this would be a solution to spur building since it is not always easy for people to obtain construction financing.  People can be challenged in coming up with a down payment, particularly when they have to buy a lot first.  With the spec house, the house and lot were bundled into one package, which simplified financing.

Many times, building a new home can create a trickle-down effect.  One of the persons who bought one of the spec homes sold their home to a local family, who had been living in a rental house. The rental house in turn was then freed up for another family.

FAEDC is considering building additional spec houses in the future, possibly one that’s a duplex. The twin home model would enable two families to find housing in Faulkton. The plans being considered are for a zero entry (no step) design, which would be especially convenient for a senior or disabled person.

This development project was a major undertaking for FAEDC and the small town of Faulkton, but also a long-term investment.  Ensuring the community has room to grow is critical as it looks to the future.

All lots have city water and sewer. Please consider building your home in Faulkton, one of the shining stars of South Dakota.

Faulkton Area Economic Development Corporation
PO Box 458
Faulkton, SD 57438
Office: (605) 380-8444