FARMINGTON -- The city of Farmington has grown this year and evidence of this can be found in reports compiled by city officials.
Through November, the city has issued building permits for 52 new single-family homes with a total valuation of $17.5 million, according to monthly permit reports from Rick Bramall, city building inspecter. Many of the new houses are in Twin Falls and Valley View subdivisions. Others are in Southwinds and Silverthorne 2 and on lots outside platted subdivisions.
The average value of the homes being built in Farmington is $340,000, according to building reports. The houses built this year range from a high value of $542,000 on Monterey Place in Twin Falls subdivision to $230,000 for a house on Clubhouse Parkway in Valley View.
Bramall said the value of a home is based on the national average, which could be higher or lower in northwest Arkansas.
The flurry of activity also is evident in revenue from building permits and inspection fees for residential and commercial development. Through November, the city has collected almost $108,000 from building permits and inspection fees, compared to a budgeted projection of $25,000. This includes about $17,000 for fees collected from Walmart Neighborhood Market and Kum & Go gas station.
For 2015, the city projects to receive $40,000 from inspection fees, more along the lines of a typical year, according to Melissa McCarville, city business manager.
Bramall said a building permit fee is based on square footage. For example, the permit for a single family residence on Grandview Court in Twin Falls with 3,538 square feet cost $1,342. Other fees apply as Bramall returns to conduct additional inspections, such as electrical, HVAC systems and plumbing. Fees for these are much lower, most ranging from $35 to $70.
Bramall has conducted 982 inspections through November as the result of residential and commercial development within the city limits. He said he probably performs 10-12 inspections per house.
"I'm spending 85 percent of my time on inspections," Bramall said. "Most are new houses, remodels and additions."
Melissa Sims, real estate saleswoman with Trademark Custom Homes, said Twin Falls opened with more than 100 lots and has only 11 or 12 lots still available. Trademark is the primary builder in Twin Falls but other companies also are working in the subdivision. Other contractors with multiple houses in Farmington include Riverwood Homes, Rausch Coleman Homes and Mad Sky Construction.
The construction landscape in Farmington is "drastically different than even six months ago," Sims said, adding, "We're definitely building more in Farmington."
She said she believes development is occuring west of Fayetteville because of U.S 62, a five-lane highway compared to a two-lane highway going east toward Elkins.
"Farmington is five minutes from all amenities," Sims said. "It has a small town feel but is only five minutes from the University of Arkansas and Tyson Corporation, and only 10 minutes from many eating places."
Mayor Ernie Penn said he believes two factors are spurring residential growth: U.S. 62 and commercial growth.
"I think the builders have found Farmington again," Penn said, describing Twin Falls as one of the premier subdivisions in northwest Arkansas.
"We have the school side, the residential side and the commercial side. I think all three will drive people coming out to Farmington," Penn said.
One problem in the future may be the availability of lots in Farmington, Penn said. Farmington has at least two subdivisions approved in the past that were not developed. One is on Clyde Carnes Road and the other on Double Springs Road. Penn said one is involved in litigation but he does not know why the other one did not develop.
Warren Adcock, real estate broker and co-owner of Robbins Realty in Farmington, said the "driving force" for construction in Twin Falls and Valley View is that lot prices have been reduced, making it easier for contractors to build houses at a lower cost.
Adcock said the housing market has picked up in the past year, with increased home sales and home prices up slightly.
"The market looks promising as long as interest rates remain low," Adcock said, adding, "The market is pretty good but it's not booming."
QUOTE: "We have the school side, the residential side and the commercial side. I think all three will drive people coming out to Farmington." -- Mayor Ernie Penn
Business on 12/10/2014