Indianapolis industrial space, the crossroads with the FedEx hub.
Indianapolis is a parcel and e-commerce market first, built around the FedEx Express hub at the airport and more interstate miles than any other metro its size. Vacancy peaked above eleven percent in 2024 and has fallen fast. Rents are above their prior peak. The window that was wide open two years ago is closing, but it is not shut.
Where the leverage sits right now.
Vacancy has dropped nearly 450 basis points in a year, to 6.5 percent on Colliers' count and 6.0 percent on Cushman & Wakefield's, on nearly 20 million square feet of rolling twelve-month absorption. This is the fastest-tightening market we publish. Only 2.4 million square feet is under construction. A tenant with a 2027 requirement should be in the market now, not next year.
Rent of $6.65 is above the 2023 peak and up more than nine percent year over year, but it is still among the lowest of any market with this reach. Indianapolis puts 29 percent of the US population on one-day ground and 75 percent on two-day, second only to Columbus and Nashville.
The remaining leverage is in the buildings that delivered into the 2024 peak and have not yet leased, concentrated in the Mt. Comfort and Whitestown corridors. Those landlords have carried vacancy for two years and are ready to transact.
What the major brokerages report.
Each firm tracks a slightly different building set, and in some markets a different metric, so the figures differ. We show all of them rather than average them, because an average of three different definitions describes nothing. Where the spread matters to a negotiation, we say so above.
| Firm | Quarter | Vacancy | Asking rent | Net absorption | Under construction |
|---|---|---|---|---|---|
| Colliers colliers.com | Q2 2026 | 6.5% | $6.65 NNN | +5.7M sq. ft. (first half) | 2.4M sq. ft. across seven bulk projects |
| Cushman & Wakefield cushmanwakefield.com | Q2 2026 | 6.0% | n/a | n/a | n/a |
Reach, infrastructure, and labor.
Share of the US population within 450 road-equivalent miles (one-day ground) and 1,000 miles (two-day ground) of the market center, computed against population-weighted centroids of all 3,125 US counties (2020 Census). Bands approximate FedEx and UPS Ground zone tables within roughly 10 percent and are for comparing markets, not quoting transit times.
Sources: ofis.trade.gov
Where the buildings are.
Plainfield and the area around Indianapolis International and the FedEx hub. The big-box core and the parcel and e-commerce concentration.
I-70 east in Hancock County. Large speculative distribution from the most recent cycle, and where much of the remaining vacancy sits.
I-65 north in Boone County. Newer large-format product serving Chicago and the upper Midwest.
I-65 south in Johnson County. Regional distribution and manufacturing at lower costs than the airport corridor.
The LEAP Innovation District on I-65, anchored by Eli Lilly. The pharmaceutical and life sciences supply chain forming around it.
The operations that choose Indianapolis.
We represent tenants and buyers only. No landlord listings in Indianapolis, so every building in the market is a candidate and every negotiation is on your side of the table. See the operations we serve.
Evaluating Indianapolis?
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