Q4 2022 Indianapolis Market Report
Although the story remains unchanged in the office market, worth noting is the value of office space in Indianapolis compared to other markets. The national average for office rents is 60-75% higher in all categories. Vacancy is holding around 19.5%, with rents seeing minor fluctuations even as sublease availability continues to grow.
The Indianapolis industrial market continues to trend toward unprecedented growth. High tenant demand, positive net absorption and rising rates indicate the market isn’t slowing down in the immediate future. The market is projected to exceed 300 MSF by end of 2023, which 25% of which will have been delivered since 2020. There was a slight increase in vacancy due solely to new speculative deliveries. Vacancy still remains well below the 10 year average.