Site Selection

• Allison Transmission
• Delphi
• EnerDel
• Magna E-Car
• Remy

Inaugural Real Estate Trends in Indiana Report to be released at "Emerging Trends in Real Estate" event on Nov. 18

The ups and downs and areas of opportunity within the real estate industry have great impact on economic development here in the 10-county Indianapolis Region and across the nation. As critical as superb transportation, distribution and logistics infrastructure as well as world-class workforces are, real estate issues can make or break a business relocation or expansion project.

"It is the combination of our assets that gives the Indianapolis Region its competitive advantage over the coasts and neighboring states,” said Ron Gifford, president and CEO of the Indy Partnership. “Having better access to rail service and interstates wouldn’t do us much good if our real estate rental rates were three or four times higher like they are in California and Florida, for example.

“That’s why we are supporting the Urban Land Institute Indiana as a sponsor of its upcoming ‘Emerging Trends in Real Estate’ event and why we are particularly eager to see its Real Estate Trends in Indiana Report become a successful annual resource.”

According to Area Development magazine’s 2007 Annual Corporate Survey, real estate issues were said to be “important” and “very important” by between 79 percent and 89 percent of all respondents when ranking their expansion and relocation priorities. These issues range from availability of buildings and land, construction costs, “fast-track” permitting, energy considerations and residential housing availability and costs. In fact, real estate issues account for three of the top five site selection factors tracked by the survey.

According to Matt Waldo, director of research for the Indy Partnership, the Indianapolis metropolitan area ranks as the “second most affordable” among 46 major metro areas for industrial warehouse rental rates (based on 2008 Mid-Year Market Report data from Cushman&Wakefield) and is highly competitive in Class A and Class B office space.

“The Indy Partnership was directly involved in the decision making process for seven of the 10 largest real estate lease transactions in Indianapolis from the middle of 2007 through the middle of 2008, and I can tell you with the highest degree of certainty that understanding the real estate trends in the Indianapolis Region as they relate to the nation was critical to making the argument to create jobs and invest here. The Urban Land Institute Indiana’s report will enhance our ability to continue this track record of success for our region,” Waldo said.

Learn more about the "Emerging Trends in Real Estate" event .

By: Ron Gifford - President & CEO, The Indy Partnership

In winning the right to host the 2012 Super Bowl, Indianapolis beat out some tough competition: Houston and Phoenix had both hosted the game before, and both offered the promise of sunny weather and plenty of financial incentives for the NFL.

As seen on Inside Indiana Business with Gerry Dick



Despite these advantages, the Indianapolis region scored a victory with a shrewd and aggressive strategy, selling three decades of experience and investment that has made our region uniquely suited to host major championship events.

Now take this three-city contest and expand it to include every metropolitan area in America – and in some cases, around the world. That’s economic development today, a dog-eat-dog competition for new jobs. In this battle, Indianapolis has built a similarly focused approach – combining our geographic advantages and competitive business climate with strengths in industries like the life sciences, advanced manufacturing, logistics, technology and motorsports.

As a football fan, I was happy to hear that Indianapolis landed the big game. But I’m even more excited about this event in my day job as the head of our regional economic development effort. I’m confident that winning the Super Bowl will help us score more victories in the broader competition for business opportunities.

First, there’s the marketing value. The Super Bowl will bring many of the nation’s most influential corporate executives to Indianapolis – a first-time visit for several of them. Why does this matter? Well, we see this phenomenon time and time again: We’ll host someone who’s never been here, and typically they don’t have much of an impression of the region. And then they get to experience first-hand all that our city has to offer, and they are uniformly blown away. “I had no idea what a great city this is,” is a common refrain. Almost nobody moves their company on the spot, but this exposure certainly builds relationships and lays the groundwork for future business relocations or expansions.

Showing our region at its best to the audience of millions who tune in for the game also provides an invaluable brand-building opportunity. My organization, the Indy Partnership, is a consortium of local economic development organizations from ten counties tasked with marketing the region. Funded by private investment, we engage in a program of advertising, public relations, tradeshow participation and personal outreach to site selection consultants and business leaders.

Our efforts have borne success; 2007, for example, saw relocation, expansion and retention projects committed to create nearly 13,500 new jobs and bring new capital investment of $1.36 billion to the region. We’ve won these competitions despite the fact that our leading competitors spend millions on mass advertising to shape public awareness. The Super Bowl erases much of this advantage, bringing a wave of publicity so significant it would be impossible to buy…and if the city manages the event with its typical aplomb and hospitality, the boost to Indianapolis’ image will give us a solid new foundation to build upon.

There’s also the race for human capital. Dynamic economies are fueled by concentrations of talented people – the regions with the most educated workforces also tend to rank high in per capita income and job growth. Today, the Indianapolis metropolitan area ranks above the national average in college graduates as a percentage of the adult population. But this position is threatened by a ‘brain drain’ that sees too many of our young people leave the state after earning their degrees.

To thrive in the knowledge-based economy, we have to attract and retain more educated workers – Richard Florida’s ‘creative class.’ We can’t offer mountains, beaches, or year-round golf weather to entice tomorrow’s workforce. But a steady diet of world-class sports and cultural amenities, with the excitement that comes with hosting high-visibility events like the Super Bowl, helps put Indianapolis on the map as a great place to live, start a career and raise a family.

The Super Bowl will certainly provide a short-term bonanza for our region’s economy, with more than $120 million in direct spending of the course of game week. But the long-term ramifications are even more powerful: If we take full advantage of this opportunity, we’ll be more than just a destination for football fans in four years – we’ll be further down the road towards being a prime destination for capital, new job opportunities and top talent.