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2014 State of Downtown Indy Community Report 2

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2014 State of Downtown Indy Community Report 2 2014 STATE OF DOWNTOWN INDY COMMUNITY REPORT 2 Hello. Whether referring to the place or the organization bearing its name, Downtown Indy CONTENTS represents a strong brand of vision, vitality and velocity. This Community Report is intended to Housing Neighborhoods and Livability 4 provide a glimpse of the current state of our remarkable Downtown and demonstrates the continued transformation that makes Downtown Indy an outstanding place to live, learn, work and play. Environment and Experience 6 We are grateful for the VISION of our board, staff, volunteers, residents, elected officials, civic partners and business and community leaders who are collectively committed to excellence. From riding Multi-modal Transportation 8 a Pacers Bikeshare bike along the Cultural Trail to shopping at our new Downtown Marsh or visiting the amazing Eskenazi Health, Downtown is the benefactor of visionary leadership and bold decisions. Vibrant Economic Development 9 And Downtown continues to offer its residents, workers, students and visitors an authentic VITALITY that surprises and delights. New restaurants, breweries, galleries, sports teams and exciting Public Spaces and Activation 10 events in 2014 expand the opportunities to explore and engage in a safe, beautiful and vibrant Downtown. And finally, the VELOCITY of our urban development over the next three years alone is at a record pace that Arts, Culture, Sports and Attractions 11 will allow us to welcome thousands of new residents, many new and expanded employers, dynamic retail offerings and expanded transit options. So let us continue to be focused on the work ahead, yet pause to celebrate the state of Downtown, which In 2014 Downtown Indianapolis was is incredibly strong. Thank you for your interest and rated the No. 3 Downtown in the U.S. by involvement in Downtown Indy. Livability.com Sherry Seiwert Jeff Fusile President, Downtown Indy Downtown Indy Board Chair President, WellPoint, Inc. 3 BOARD OF DIRECTORS Chair (Directors Continued) Jeff Fusile, WellPoint, Inc. Jason Kloth, Office of the Mayor Vice-Chair Andre B. Lacy, LDI, Ltd. Charles Bantz Ph.D., IUPUI Sheriee Ladd, Indiana University Health Treasurer Alan A. Levin, Barnes and Thornburg LLP Richard Ellis, PNC Bank Tim Massey, BMO Harris Secretary Michael McQuillen, City-County Council William H. Henley, Indianapolis Power and Steve Menser, IBEW Local #481 Light Company Brian Payne, Central Indiana Community Directors Emeriti Foundation Robert H. Reynolds, Barnes & Thornburg Yvonne Perkins, Citizens Energy Group Jerry D. Semler, OneAmerica Financial M.T. Ray, Exact Target Partners, Inc. Jessica Robertson, Indiana State Directors Department of Administration John Barth, City-County Council Julia Saltsgaver, Quality Connection Brad Chambers, Buckingham Companies Andy Seal, JW Marriott Greg Chester, PricewaterhouseCoopers LLP Krista Skidmore, FlashPoint J. Murray Clark, Faegre Baker Daniels LLP J. Albert Smith, Jr., Chase in Central Indiana Maria Crowe, Eli Lilly and Company Dennis Sponsel, RJE Business Interiors Scott Davison, OneAmerica Financial Partners Mikael Thygesen, Simon Property Group, Jim E. Dora, Jr., General Hotels Corp. Inc. John Federici, Ernst and Young Doug Wilson, Star Media Tom Fox, Angie’s List Ex Officio W.F. Rick Fuson, Pacers Sports and Entertainment Karen Burns, Indianapolis Zoo C. Perry Griffith Jr., Denison, Inc. Leonard Hoops, Visit Indy Briane M. House, House Reynolds & Faust, President LLP, representing Indianapolis Bond Bank Sherry Seiwert, Downtown Indy Kalen Irsay, Indianapolis Colts Vice Presidents Lacy M. Johnson, Ice Miller LLP Fred Laughlin, Downtown Indy Jarrett Jones, Rolls Royce - North America Bob Schultz, Downtown Indy Deron Kintner, Office of the Mayor 4 | HOUSING NEIGHBORHOODS AND LIVABILITY 6,721 Inventory on the Rise In 2013, the number of Class A and B apartments in 5,255 Downtown increased to 5,255, a 46 percent increase compared to 2009. 4,746 By year end 2014, 1,466 units will have been added. In 4,375 addition, 2,196 apartment units are in the Downtown 4,026 pipeline to be delivered between 2015 and the end of 2017. 3,590 GRAPH: Number of Apartments at Year End. 2009 2010 2011 2012 2013 2014 6.9% Vacancy Rates Remain Low 5.6% In 2013, the average vacancy rate of surveyed 4.1% 3.8% Downtown apartments was 3.8 percent, a 36 percent 3.5% decrease from 1994. This shows that there is still great demand for living downtown. Market acceptance of new units remains strong - vacancy rates are low and rental rates are rising. 2009 2010 2011 2012 2013 GRAPH: Vacancy Rate SOURCE: Tikijian Associates Multihousing Investment Advisors 95% 75% 55% 50% 17% Like the Downtown Walk Shortened Architectural Less Lifestyle Everywhere Commute Style Expensive Why do you Live Downtown? In a new series of questions asked this year, 24 percent of the 250+ business leaders who responded to our survey said they lived Downtown. Their reasons for choosing to live Downtown are shown above. SOURCE: Downtown Indy Biennial Downtown Business Survey 2014 HOUSING NEIGHBORHOODS AND LIVABILITY | 5 Downtown Residential Real Estate is Hot In the last five years, 3,131 new apartment units have been added to the Downtown market representing an 87 percent increase in the market supply. This also represents new investment in excess of $400M and new housing for 4,000 additional people. Not all the Downtown units are high priced. According to Tikijan Associates; 34 percent of the Downtown apartments at the end of 2013 had an average rent of $735 per month. ARTISTRY RESIDENCES AT CITYWAY AXIS An increasing number of empty nester baby boomers (born between 1946 and 1964), and young millennials (born between 1977 and 2003) are choosing to live in the Downtown area rather than in the Indianapolis suburbs. In the 2014 Developers Survey Data 36 percent of the residents analyzed were new to the State and had an average household income over $98,500. An additional 27% were new to Marion County and had a household income over $73,500. 6 | ENVIRONMENT AND EXPERIENCE Safe and Sound 59% Downtown is Safe. Important to every resident, visitor and agree business is the safety of Downtown. 59 percent of Central Indiana Safety is both perception and fact-based. residents surveyed in 2014 Downtown Indianapolis is perceived as agreed that Downtown is safe. safe and the facts support this reputation. 30% The perception and reality of safety for neutral our Downtown well outpaces the national average for downtowns. Thanks to increased, community-wide efforts and 11% responsive public safety professionals, disagree Downtown Indy remains one of the safest 0% areas of Indianapolis and one of the safest don’t know Downtowns in the nation. SOURCE: Downtown Indy Biennial Perception Survey 2014 Panhandling and Busking Focused efforts continue in 2014 to address downtown panhandling. Through a partnership with the Coalition for Homeless Intervention and Prevention, Downtown Indy is increasing the public’s awareness on how to best help those in need of assistance, while working with elected officials to strengthen ordinances to mitigate passive solicitation. In addition, a commitment to encourage quality busking has reinforced the type of passive solicitation welcomed in our Downtown. Number of Crimes In 2013 across the City of Indianapolis there were a total of 55,090 property crimes and crimes against people committed. 1,729 of those were committed in the Downtown area. GRAPH: Number of Crimes, PIE CHART: Citywide Crimes Citywide: 55,090 Downtown, 1,729 2,220 1,975 1,729 Other areas, 53,361 2011 2012 2013 SOURCE: Indianapolis Metropolitan Police Department Crime Analysis Section ENVIRONMENT AND EXPERIENCE | 7 Percentage of Visitor Attendance High Marion County Usage of Downtown Indy continues to be very strong, at 86 percent Residents using of all residents surveyed. The National Downtown Benchmark study conducted by Gentleman McCarty indicates that 73 percent Downtown Indy of the residents in the top 50 metropolitan areas patronize their downtowns, over which Indianapolis has a statistically-significant % lead. 86 For leisure Downtown visitors stay approximately three hours and % spend $73 per visit. 20 For work SOURCE: Downtown Indy Biennial Perception Survey 2014 Workforce & Transit Downtown workers (20 percent of those surveyed) commute an average of 41 minutes (roundtrip) and continue to be very interested in mass transit options, such as the rapid transit option, which has been proposed. SOURCE: Downtown Indy Biennial Perception Survey 2014 8 | MULTI-MODAL TRANSPORTATION 53% 53% Agree Very affordable Park Neutral Somewhat affordable Disagree Somewhat Expensive 31% Don’t Know Very Expensive 23% 74,348 17% 20% Total parking paces 3% 38,674 of Perception Residents’ Ease Parking 0% of Perception Residents’ Affordibility Parking Are public parking spaces SOURCE: Downtown Indy Biennial Perception Survey 2014 Bike Citywide 82 62 21 61,652 Bike Lanes Greenways Multi-use lanes Total Indiana Pacers Bikeshare rides (between 4/14 and 8/14 2014) 98 97 97 96 95 Walk 94 92 92 90 88 86 86 86 Walk Scores 86 85 Walkscore.com calls Downtown Indianapolis 84 a “Walker’s Paradise.” Indianapolis has a 82 Walk Score of 97 out of 100. 80 78 Indianapolis Louisville Cincinnati Columbus Detroit Milwaukee Kansas City Nashville Bus Hub and Spoke IndyGo operates 30 local fixed routes throughout 34,000 9M Marion Co. The system runs on a “hub and spoke” Passenger trips each week Total trips per year design, which brings the majority of these routes into Downtown Indy. Construction is underway for the new SOURCE: IndyGo 2013 Fact Sheet IndyGo Downtown Transit Center. VIBRANT ECONOMIC DEVELOPMENT | 9 Increase Vacancy and Rental Rates 64% Same Business Survey Decrease In 2013, the office vacancy rate was 18.9 percent, From 2012 to 2013, 64 an 8 percent increase since the end of 2012, yet percent of Downtown a 10 percent decrease compared to the 1994 businesses surveyed vacancy rate. reported that their sales In 2013, the average quoted rental rate for all 24% increased.
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