A Closer Look at the 2023 State of Downtown

Category Blog

Local leaders and civic stakeholders gather at Regions Tower for the 2023 State of Downtown

In celebration of Downtown Indianapolis, Downtown Indy, Inc. (DII) gathered local leaders and civic stakeholders this past month for the 2023 State of Downtown presented by JPMorgan Chase & Co. and Pacers Sports & Entertainment. During the event, DII’s data and analysis capabilities took center stage with a wide range of insights about livability and current residential, business, development, and tourism trends in the Downtown Regional Center boundaries. Read below for a look at important takeaways from the State of Downtown and Community Report.

Downtown Indy, Inc. President & CEO Taylor Schaffer kicks-off the 2023 State of Downtown

The Regional Center remains resilient thanks to operational investments made by the City of Indianapolis and the continued support of DII member organizations, a Downtown economy anchored by evolving in-office dynamics, a diverse hospitality industry that supports a strong convention pipeline, a growing resident population, and robust planned investment of more than $9 billion over the next 5 years.

Return to Work: Downtown continues to see a recovery of in-office visitation, due in part to an economy anchored by job sectors requiring employees to be physically present such as healthcare, government, hospitality, and education. There were over 143k jobs in the Downtown Regional Center at the end of 2022, equating to nearly 94% of the workforce present in 2019. Office visitation also increased approximately 32% year-over-year from 2021 to 2022. 2023 shows continued promise with office visits up 21% compared to the same time frame, January-October, in 2022.

BUTTER Fine Art Fair Director Deonna Craig (pictured center) accepts Arts & Culture Visionaries Award on behalf of GANGGANG Co-Founders Malina Simone Bacon & Alan Bacon

Tourism & Hospitality: Downtown, host to a rich tapestry of arts, culture, and entertainment experiences, saw growth in its tourism and hospitality metrics. In 2022, the number of visitors to the Regional Center, not including residents and employees, exceeded 49.8 million, a 12% increase year-over-year and a 63% increase year-over-two-years. Attendance for events, including GenCon and the NFL Scouting Combine, exceeded over 7.5 million, and the Indiana Convention Center alone attracted over 1.7 million visitors. Downtown remains an attractive cultural destination with a healthy tourism market.

On behalf of the entire Irsay Family, Carlie Irsay-Gordon (pictured center) accepts the Downtown Indy, Inc. Lifetime Achievement Award – celebrating the Indianapolis Colts' 40 years of inspiration, leadership, and impact in Downtown

Daniel Lopez (pictured center) with Pacers Sports & Entertainment accepts the Changing Our Skyline Award celebrating the newly opened Bicentennial Unity Plaza outside of Gainbridge Fieldhouse

Development & Amenities: Properties that are blending office, entertainment, and retail amenities such as Bottleworks District and the Stutz building have supported the Regional Center’s economic growth. The peripheral market of office properties Downtown, including all office asset types and classes, is sitting at a strong vacancy rate of nearly 9.3% as of the end of 2022. Real estate developers and the City of Indianapolis also continue to reinvent Downtown’s office towers through developments like 220 N. Meridian, which saw over 200,000 sq. ft. of office space converted to multi-family units to supply the burgeoning Downtown resident base, with nearly 29,000 residents and growing.

Sampson Levingston, founder of Through2Eyes, (pictured left) accepts the Spirit of Downtown Award for his self-created “Walk and Talk” tours

Residential: Downtown has experienced rapid growth in the number of residents and in its housing supply. Since 2010, the population has increased by 46%, households have increased by 62%, and the supply of housing units has increased by 54%. As of the end of 2022, the Regional Center produced over 3,000 new multi-family units since 2018 alone. The Downtown market sold more units in 2022 than in any year since 2018. Additionally, our Regional Center has reinvented itself as a place to not only start a career but raise a family. Over the last decade, the number of families living in the Regional Center has increased by a remarkable 53%.

Ishmael Nuñez (pictured right) with BDS Planning & Urban Design leads interactive segment with audience, inviting them to join the conversation about Downtown's future

Clean, Safe, & Beautiful: With $3.5 million in funding from the City of Indianapolis, DII’s Clean Team, tasked with various cleanliness projects in the Mile Square, has grown significantly from 12 to 36 full-time employees operating on a 24-hour response window. From January to August 2023, the Clean Team successfully removed just under 6,000 bags of trash from Downtown – a nearly 530% increase from the same year-over-year timeframe – totaling roughly 300,000 pounds. Furthermore, the team’s total worked hours increased nearly 500% during the same timeframe. With their district neon yellow shirts and jackets, we encourage you to give a friendly hello and thank them for their hard work in keeping our Downtown clean 365 days a year.

Curious to learn more about the 2023 State of Downtown and Community Report? Find these helpful resources below: