The value of all building permits issued year-to-date in East Baton Rouge Parish is down 59% when compared with the first six months of 2008. According to figures from the city-parish Department of Public Works Inspection Division, the value of all residential and commercial projects permitted through June is $173.5 million, compared with $418.9 million through June 2008. The drop in value is caused by reluctance from lenders to finance big-ticket projects because of the ongoing recession, as well as tough comparisons with 2008, when Baton Rouge saw major construction such as the new Coca-Cola bottling plant and renovations to Our Lady of the Lake Regional Medical Center.
Despite the drop in value, construction activity is still going on in Baton Rouge. The number of residential permits actually increased slightly in the first six months, from 973 permits through June 2008 to 981 permits. But the value of residential work was much lower, coming in at $65.4 million compared with the $117.8 million for the first six months of 2008. The number of commercial permits dropped, from 465 in 2008 to 359 in June, indicating the reluctance of retailers to expand even in strong markets such as Baton Rouge.—Timothy Boone
