Improvements in lending conditions and the housing market may be sparking commercial real estate's post-recession rebound in Indiana. Cassidy Turley Vice President Jason Tolliver says all indicators “are pointing in the right direction.” He says the industrial market is experiencing “dramatically” improved demand, especially in northwest Indiana, and expects the office sector to “continue to accelerate” this year. In an interview to air this weekend on Inside INdiana Business Television, Tolliver and Senior Managing Director Bill French discuss Cassidy Turley's annual State of Real Estate report.
January 16, 2014
INDIANAPOLIS, Ind. – Cassidy Turley, a leading commercial real estate services provider in the U.S., hosted its hallmark The State of Real Estate event Thursday afternoon at the Murat Theatre at Old National Centre in Indianapolis. More than 1,200 national, regional and local commercial real estate professionals and economic development experts attended the event to hear how key market segments performed in 2013 as well as expectations for the year ahead.
The State of Real Estate 2014 covers the industrial, office, retail and capital markets – as well as an overall economic outlook and assessment of the Indiana business climate – providing in-depth market analyses and forecasts for attendees. Indianapolis Mayor Greg Ballard will be interviewed onstage by Gerry Dick, host and creator of Inside INdiana Business, regarding various topics affecting Central Indiana and his future plans for the city.
“The past year was easily the strongest year of recovery for Indiana commercial real estate with all segments of the property markets witnessing noticeable improvement,” said Jeff Henry, Cassidy Turley Regional Managing Principal. “Property markets' underlying fundamentals were markedly improved. The combination of stronger fundamentals, increased leasing velocity in all sectors, and renewed investor interest in our market bodes extremely well for the year ahead.”
In conjunction with the event, Cassidy Turley publishes its 2014 Annual Market Report for Indianapolis. Highlights of the report include:
Industrial: The Indianapolis industrial market is ranked among the top industrial markets in the U.S. and has consistently outperformed national and Midwestern peer cities throughout the recovery period. This past year was no different with the Central Indiana industrial market registering 1.9 million square feet of occupancy growth. Assuming no major public policy missteps from Washington, we expect that by year-end 2014 the Indianapolis industrial market will see a new post-recession high-water mark for growth.
Office: The Indianapolis office market posted its best growth of the recovery period and has now experienced two consecutive years of expansion. Growth continues to be very uneven with the Suburban market outperforming the Central Business District. But with an emerging technology sector powering gains in the Downtown core, we anticipate that portion of the market stabilizing in the year ahead. Meanwhile, strong leasing in key Suburban submarkets is prompting the construction of several notable additions to the office inventory that will come online in 2014.
Retail: The past year represents a true turning point for the Indianapolis retail market with leasing accelerating, the majority of retail trade areas growing and underlying commercial real estate fundamentals for retail strengthening at the fastest pace since before the recession.
Capital Markets: Throughout the past year, Central Indiana gained favor from commercial real estate investors who increasingly turned to secondary markets with strong fundamentals, such as Indianapolis, as they searched for higher returns on their investments. Uncertainty surrounding interest rates will be a headwind, but we anticipate that positive momentum in the Central Indiana market is sufficient to counter interest rate volatility and support the continued flows of both equity and debt capital. Cassidy Turley in Indianapolis and San Francisco are the first markets to host The State of Real Estate 2014 program and will be followed by Washington, DC, on January 22; St. Louis on February 6; Atlanta on February 11 and 12; Los Angeles on February 20; San Diego on February 25; and Columbus on May 13. For more information, visit www.cassidyturley.com/SRE/Indy.
About Cassidy Turley
Cassidy Turley is a leading commercial real estate services provider with more than 3,800 professionals in more than 60 offices nationwide. With headquarters in Washington, DC, the firm completed transactions valued at $22 billion in 2012, manages approximately 400 million square feet on behalf of institutional, corporate and private clients and supports more than 23,000 domestic corporate services locations. Cassidy Turley serves owners, investors and tenants with a full spectrum of integrated commercial real estate services – including capital markets, tenant representation, corporate services, project leasing, property management, project and development services and research and consulting. Cassidy Turley enhances its global service delivery outside of North America through a partnership with GVA, giving clients access to commercial real estate professionals in 65 international markets.
Cassidy Turley has been named one of the Best Places to Work in Indiana by the Indiana Chamber of Commerce for each of the past seven years. Please visit www.cassidyturley.com for more information.
Source: Cassidy Turley