Spokane permit staff reported a mixed end to the year at a special Urban Experience Committee meeting, saying December valuations totaled about $33 million and 45 new housing units were issued that month.

"We ended the year okay, but there's some things we're starting to pick back up," the presenter said, adding that many stalled projects are awaiting financing from larger investors. The presenter identified several large projects—"Prose" (about 200 units) and "Peyton"—as examples of apartment communities that remain approved but not issued while developers finalize funding.

The department said it recorded its highest number of residential certificates of occupancy in 2025 and that total construction permits were near the top of recent years, though single-family permits are the lowest since 1970. Staff noted growth in "middle housing" types such as duplexes, fourplexes and sixplexes, and said roughly 50 single-family applications remained in plan review as of December.

On operations, staff said the city completed first-round testing of a new permitting platform (LAMA) and is in second-round testing with an anticipated February go-live; vendor representatives from the Davenport group will be on site to assist with integrations. "The customer portal is so much better," staff said, while acknowledging internal workflow issues remain.

The presenter listed notable December completions and pipeline projects, including Garland Apartments (44 units, about $6.2 million), Vista townhomes (8 units, about $1.1 million), the Spokane Water Department administration building (about $4 million) and Meadow Glen Park improvements (about $7.5 million). Staff said 462 residential units are approved pending issuance.

Council members asked about the causes for stalled projects; one member said builders told them that higher financing costs make some projects "no longer pencil." Staff said middle-housing projects appear less affected while larger multifamily developments await larger investors.

The department said it will investigate a small drop in inspections despite rising COs and continue outreach to developers to avoid code-change impacts while permits remain pending. The committee recessed for a special legislative meeting and will revisit departmental reports at the next Urban Experience Committee session.