New apartments in Deadwood will ease housing demand
RAPID CITY, S.D. (KOTA) - The Deadwood and Lead areas are growing at a rapid rate. Because of its popularity, the area is booming and that means the demand for housing is reaching a critical point.
Rayco Developments is set to break ground on an apartment project in Deadwood. The announcement came during the annual Economic Development Corporation meeting last Thursday.
The first phase of the development will include 63-unit economy-style apartments, while the second phase is set to bring in three new buildings, with luxury-style units that are larger and include a balcony view.
The addition of the apartments to the town brings high hopes to the community that settling in Deadwood will become easier than ever before.
“We’re finally seeing some housing coming into Deadwood that’s been long anticipated and desired in our community. Between these new developments, we’ll be adding about 722 additional water taps and so almost doubling our size. We’re a community of 1,156, we could see as many as 5-600 housing units or more coming into Deadwood in the next 10 years,” says Kevin Kuchenbecker, Historic Preservation Officer for the city of Deadwood.
The housing project will help with the influx of people predicted to continue to arrive over the next 5 years. The apartments are intended to be workforce housing, ranging from $600-$1200 and they plan on remaining affordable into the future.
“We knew right off the bat that workforce housing was the thing we needed to tackle. The hospitality industry employs the most workers in the city of Deadwood, and it pays the least, historically. Our front-line workers that are coming in every day from surrounding communities and with gas prices hanging out at the higher rate, it was really important that we get some affordable housing out up in Deadwood,” tells Emma Garvin the Executive Director of Lead Economic Development Corporation.
The developments came from pent-up demand for housing. With the increase in housing, the community leaders hope to see this also lead to growth in the workforce, wholesale and retail trade, hospitality- including restaurants, bars, and, hotels- and recreation services.
“When there are new housing developments that come into communities, eventually those developments are going to require other residential amenities. So that’s going to bring in some more gas stations and some retail support services and things like that. So those are sales tax dollars coming right into the city of Deadwood,” continues Garvin.
The first phase of the apartment complex is expected to be completed by September 2023.
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