Manteca broke ground on 695 new single-family homes in 2021.
That’s the biggest number since 2002 when there were 803 single-family starts.
Based on actual housing units started, last year actually topped 2002 as there were also 144 apartment units started as ground broke on the second phase of the Atherton Arms apartments on Atherton Drive. That means between detached homes and apartments 2021 was the second highest year for housing starts since the mid-1980s with 849 housing starts. The only year high during the past four decades was 1,075 single family home starts in 2000.
In terms of how Manteca sits on the growth ranking in California, it is likely to stay in the top five — if not the top three — of cities over 30,000 in terms of being the fastest growing in the state.
Manteca and Tracy tied in 2019 as the third fastest growing city based on data complied by the state Department of Finance.
The 2.9 percent growth rate in population followed 2018 when the city saw 772 new homes being built. Between new apartment units and new homes Manteca in each of the last two years has experienced an average housing growth of 660 units. Based on population yields for housing that likely will reflect 4,000 new residents between 2018 and 2019.
If the same yield rate of 3.2 people per housing unit built holds between apartments and detached homes, the 839 housing starts in 2021 will eventually add around 2,500 new residents.
The fact Manteca is now growing at such a clip that the city is adding 2,000 plus new residents a year was the 900-pound gorilla in the room Thursday when the council met with department heads to hear municipal needs as they prepare to shape a spending plan for the fiscal year starting July 1.
It was also clear based on the general fund’s continuing structured deficit that reflects more money going out than coming in that is needed to fund day-to-day municipal services such as police and fire protection plus things like street maintenance that the city needs to increase revenue.
To cover the shortfall the city has been dipping into reserves to balance the budget. It is a practice that ultimately is not sustainable. This year’s structured deficit required drawing down general fund reserves by $3.1 million.
It is why department heads — in addition to several council members — raised the need the city to ask voters for a tax increase of some type.
In the past five years Manteca has built or started 3,284 new detached homes for an average of 657 houses a year.
That is less that the five-year period from 2000 to 2004 when 3,887 new homes were built including 2000 when a record 1,075 new homes were built. The annual average for the five years was 777 homes a year.
But it is 55 percent more than in the recent previous five-year period between 2012 and 2016 when there were 2,016 new homes built.
Keep in mind none of the numbers in the five-year comparisons include apartment units or other multi-family housing types that were built. If you added apartment units, the number of dwelling units built or started from 2017 to 2021 would total 3,790 and from 2000 to 2004 it would total 4,185.
Overall, private sector building activity in 2021 had a construction value of $358.7 million, up slightly from $336.7 million in 2020. The 2021 number is the second highest year on record. Topping the list is 2019 at $444 million. Third was 2020 while 2018 was fourth with $314.7 million.
That means in three years Manteca has seen $1.1 billion in new construction excluding public works projects such as the Union Road interchange and Manteca Unified campus upgrades.
Manteca had just under $1.25 billion in new construction during the first decade of this century.
Much of the past five years has been powered by massive distribution center style buildings as well as the 500-room Great Wolf project. At $180 million, the indoor water park resort is the most expensive construction investment in the city’s history.
To contact Dennis Wyatt, email dwyatt@mantecabulletin.com