As Indiana moved into the final stage of its overarching reopening plan, Indianapolis took a slightly different yet measured path to recovery, due to population density. Although the crisis has taken a toll on the economy, the metro’s strong multifamily fundamentals have so far withstood the economic uncertainty. Rents in Indianapolis were up 0.4 percent to $966 on a trailing three-month basis as of September, below the $1,463 U.S. figure.
In a move to encourage tourism- and convention-related business, the Indianapolis City-County Council approved up to $155 million in bonds to expand the Indiana Convention Center. According to Visit Indy, the expansion will bring Indianapolis’ capacity to bid on North America’s top conventions from 75 percent to 82 percent. Due to the pandemic, more than 330 conventions were canceled, amounting to more than $600 million in lost economic impact.
As of September, 5,214 units were under construction in the metro, and developers added nearly 1,000 units to inventory year-to-date, as construction was deemed an essential service amid shelter-in-place orders. Some $373 million in multifamily assets traded in 2020 through September, marking a 13 percent decline compared to the same interval last year.