Indianapolis Apartments For Rent

Indy-pendent Streak

Indianapolis is already home to the Indy 500, but with the city now poised to host the Super Bowl in 2012, it is determined to use the opportunity to distinguish itself from other Midwest cities.

Indianapolis is already separating itself from the pack by rebounding from the recession ahead of its peers. Unemployment in the state dropped to 8.8 percent in February, the first time below 9 percent since late 2008. In fact, Indiana’s unemployment rate is the lowest in the Midwest, below that of Illinois, Ohio, and Michigan.

Indiana’s state capital has a metro population of 1.77 million, which is forecast to grow 6.4 percent by 2015, to 1.89 million. What’s more, the area will see job growth of 1.7 percent next year, 2.8 percent in 2013, and 2.6 percent in 2014, according to market research firm Reis.

In addition to government, education, and private-sector businesses, the Indianapolis area is home to five Fortune 500 headquarters: Wellpoint, Eli Lilly, Cummins, NiSource, and Conseco. What’s more, the city’s five largest employers are Eli Lilly, Indiana University Health Partners, St. Vincent Hospitals, IUPUI University, and FedEx.

As a result of the improving jobs outlook, the metro is also expected to outpace its Midwest brethren in terms of rent growth. All these numbers point to one thing: Come the 2012 Super Bowl, Indianapolis will be ready to achieve stand-out growth—at least in multifamily.

Fundamentally Sound

Across the board, Indianapolis multifamily market fundamentals continue to strengthen. The market hit a low point in the first quarter of 2009 when the metrowide physical occupancy rate fell to 89 percent and average per-unit monthly concessions exceeded $80—or more than 1.1 months of free rent—resulting in economic occupancy in the mid–80 percent range.

But 2010 was a comeback year, as 3,198 units were absorbed, which pushed the metro area’s vacancy rate down by more than 200 basis points. The newer-vintage properties, constructed in the 1990s and later, are averaging the highest occupancy rates, at 94.9 percent. And as owners plunge into the spring rental season, a trickle-down effect should occur, with physical occupancy rates averaging 94 percent in most submarkets and concessions continuing to diminish.

Indianapolis is projected to realize effective rent growth of 4.1 percent during 2011, well above the Midwest average, according to Reis. Current effective rents average about $850 in the metro and are expected to reach $884 by year’s end. Conversations with owners in the area, however, suggest that this may be conservative, and rental rates could experience a greater increase this year as increased demand is met with a lack of new product. In addition, owners report continued reductions in economic loss as a result of diminished concessions.

Amber Woods Apartments For Rent in Indianapolis, Indiana ...

Description

Newly renovated, affordable, one & two bedroom apartments and two & three bedroom townhomes nestled on a beautiful wooded landscape. Just a short commute to North, East, or South sides of Indianapolis, including easy access to both I-70 and I-465 and a short walk to public transportation. Your new home will feel brand new and have added features like ceiling fans and ceramic tile.

Indianapolis Monthly

Indianapolis Monthly

Indianapolis Monthly

Buildings

Insiders' Guide to Indianapolis