Indianapolis Office Market Report
Pre-Pandemic Performance Bolsters Sentiment, But Upward Pressure on Vacancy Mounting
Leasing activity geared toward new builds and smaller spaces. Availability will continue rising in Indianapolis this year as larger properties are vacated and demand for existing buildings lags. The majority of leases signed recently were for offices smaller than 20,000 square feet, with a 72,000-square-foot commitment by Software Engineering Professionals in Carmel being one of the few exceptions. Firms targeting larger floor plans are focused on new builds. A pair of 120,000-square-foot developments in Midtown and Fishers are mostly leased by Indiana Biosciences Research Institute and First Internet Bank, respectively. Meanwhile the first phase of Infosys’ campus near the airport will finalize this summer, representing another example of the preference toward built-to-suit spaces in Indianapolis.