Nov. 16, 2022

A 44-acre parcel recently annexed into the city limits of Sioux Falls will become a development anchored by the headquarters for a growing homebuilder.

Deffenbaugh Homes plans to build its office headquarters, design studio and shop on the property along Veterans Parkway south of Maple Street.

The property currently is family farmland.

“We’ve had a relationship with the family for quite some time – we built their home 20 years ago – and for them we’re trying to master plan their land and what the next 20 years looks like for them,” said Jesse Deffenbaugh, operations manager.

“We’ve been looking for about five years pretty hard at finding a good location for our business … and Highway 100 has become so convenient. I think Sioux Falls is not fully grasping what the east side will turn into the within the next five years.”

Deffenbaugh Homes has nearly doubled its output in the past year, he said.

“Everyone, especially in our market segment in Sioux Falls, experienced two of the busiest years we’ve had,” he said. “And our main focus for building in the next five years is our Sanctuary development, which is a mile away.”

Grading for the site is mostly done, and utilities are starting to go in.

The middle portion of the property is being developed by Cresten Capital Holdings as an apartment complex called The Verve on Veterans.

“We’re planning on a big project, but we’re still in the due diligence phase,” CEO Kevin Tupy said. “The location is in the Brandon school district, which I think is a huge win for that area, and it literally is across the street from the Sanford-Lewis project.”

The housing mix is still being finalized, but the concept is for villa-style to garden-style apartments with a large amenity package.

“It will have a variety of home styles,” Tupy said. “And the way it sits on Veterans Parkway, it’s going to have really good views because it’s a little higher elevation.”

The far east side of the property will be twin homes or row homes, with some single-family lots on the far northwest side.

“We’re working on a partnership with other builders we have good relationships with,” Deffenbaugh said.

The remainder of the site is planned as a location for T&T Granite & Quartz as well as commercial development on one of the corners that could include a coffee shop or fitness center.

“I’d like to see another little strip mall set up with a dry cleaner and maybe even a restaurant on the corner,” Deffenbaugh said. “Sioux Falls has really struggled with mixed use, especially the east side, and it needs those amenities. It’d be nice to have a restaurant closer than 3 miles away.”