Multifamily Development Activity Remains Near Peak Levels in Indianapolis

Nearly 8,200 multifamily units are underway in Indianapolis, just below last year’s record-setting peak. The current pipeline represents a notable 5% of the current apartment inventory for the entire market, below the national average of 5.6%, but nearly twice the longer-term norm for Indianapolis. Vacancy is already about 250 basis points above early 2022 levels and is likely to move higher as more new units are completed.