Merced construction projects thriving amid COVID-19 pandemic, officials say. Here’s why

Despite the COVID-19 pandemic affecting the economy negatively nationwide, Merced city officials say that hasn’t put a damper on construction activity.

In fact, 2020 was the city’s second best record for building permits in the city’s history (2019 was first) .

Last year 1,974,217 square feet of construction were added, and 3,727 building permit applications were submitted, according to a city news release. Plus, 723 single-family dwelling permits and 389 multi-family unit permits were issued. Developers included solar panels for most of the homes, which also required permits.

Denise Frazier, the city’s chief building official said the city’s change in going from a paper permit approval process to an electronic one has helped expedite 75% more plan reviews than before.

City officials noted the developments have helped boost the local economy, despite the downturn caused by COVID-19. Mayor Matt Serrato said the ongoing construction blitz brought jobs, incomes, new housing and new businesses. “This is great news in a year that definitely needed some,” Serratto said.

“It’s a tribute to the strength of our local economy, our construction industry, and our city staff that can efficiently process the permits and inspections without hindering the builders,” said City Manager Stephanie Dietz in the release. “Everyone did a great job and deserves credit.”

Commercial projects also progressing

The city’s release noted Brody Peterson, a senior project designer for CoreStates Group, is designing improvements for the new Best Buy building.

Councilmember Delray Shelton said there’s a new Starbucks preparing to open, and an ARCO gas station that recently opened at the Gateway Marketplace Shopping Center at Highway 99. There’s also industrial activity at the Airport Industrial Park.

“Pizza Hut and Coconut Cafe made tenant improvements, while Ashley Brothers Furniture and Bag ‘O’ Crab decided to make Merced their home,” Shelton said.

Overall, Shelton believes the city has persevered and worked hard to make the economy in Merced the best it can be. “In some ways we defied the odds by having new businesses come to town, and others expand or make plans for the future,” he said in the release.

“COVID caused the City to re-think how we do business. We met the challenge, and it’s paying off with on-going development,” Shelton added.