State of Downtown: Downtown Indy Hits $4 Billion Stride
INDIANAPOLIS — Downtown Indianapolis is experiencing a boom, a testament to thriving tourism, significant new development, and a focus on enhancing the overall urban experience.
The Downtown Indy Alliance (DIA) recently released its “2025 State of Downtown” report, celebrating a year marked by major events like Taylor Swift’s concert, the WNBA All-Star Weekend, and the Indianapolis 500, which set a record for hotel room sales. This hospitality success is expected to continue with major upcoming events, including the 2026 NCAA Final Four. City leaders, like Mayor Joe Hogsett and CEO Taylor Schaffer, gathered Thursday to celebrate the event.
The average resident is young, at 32 years old, with a median household income of $81,400. Furthermore, downtown is rapidly becoming a magnet for young, educated talent, with over 60% of residents holding a bachelor’s or post-graduate degree. This livability is supported by the existence of over 400 restaurants, coffee shops, and bars.
Fueling this momentum are over $4 billion in planned development projects, including the expansion of the Convention Center with the Signia hotel, the new IU Health campus, and the repurposing of the Circle Center Mall into a major residential and retail community.
Despite these successes, challenges remain, particularly with offices vacancies rising to 12.1% and a negative perception among older residents and those in surrounding counties.
To address these issues and maintain momentum, the DIA has implemented the new Downtown Economic Enhancement District. This initiative provides dedicated funding for essential services like cleaning crews, safety ambassadors, and homelessness support, replacing previous federal funding. City leaders are committed to leveraging the downtown’s appeal to younger, diverse populations while strategically addressing concerns to broaden support and work toward the ambitious goal of attracting 20,000 new residents over the next decade.
