Indianapolis - $1Bn Methodist Plan Could Spur Neighborhood Rebirth

[Matthew Schroeder]

Dear BP Indianapolis Real Estate Community,

I would be interested to hear if anyone has a view/opinion (pro or con) on this week's article in the Indianapolis Business Journal (see below), which asserts that the neighborhood near/at Capitol Ave & W 16th stands to benefit appreciably based on the recent announcement by IU Health to consolidate some operations near/at Methodist Hospital.  Anyone see opportunities from a residential real estate perspective as a result of this announcement?

$1Bn Methodist Plan Could Spur Neighborhood Rebirth (IBJ)

http://www.ibj.com/articles/53008-1b-methodist-plan-could-spur-rebirth-of-area

[Chris Dilworth]

I recently moved from 800 North Capitol, which is a historic rehab of the old Litho Press building by TWG Development. They bought the building for, if i recall correctly 750k and put 16 million into the development. I believe there are 100 units in the building. The owner is a former real estate attorney at ice miller, which is where I almost ended up. Great guy and firm to work with. 

In terms of opportunity, up and down capitol there is a ton of development opportunities for multi-family and higher, not so much residential. The building right across from 800 North Capitol was abandoned for years. Someone tried to put around 30 apartments up and the project went sour. A developer acquired it last year and has given it a total makeover. The only hiccup is that they have to have Sec. 42 housing available to get tax credits and preserve a bunch of the building to get the historic tax credits. The reason why they aren't market is because the banks are still iffy about lending for market projects. Last I recall, there is a market project going up where the old market square arena was, which will feature a whole foods. 

I say all of that to say this, if you have an investor group, or, if you have the funds yourself, rehab of one of the historic building, this is the time. Indy Downtown is growing and developing at an incredible rate. I was a member of IndyDT and i pitched to the group to get Google Fiber in the city to spur more development and make the city more attractive to millennials. Bottomline: get in now, if you can.