Lugar, Meadows projects get tax credits

Back to TopCommentsE-mailPrintBookmark and Share

Two high-profile apartment projects that were denied tax-credit funding in March were recently awarded the credits they need to proceed.

The developers of one of the projects, a $30 million renovation and expansion of the 15-story Lugar Tower at 901 Fort Wayne Ave., got permission in June from the Indiana Housing and Community Development Authority to sell $29 million in tax credits to finance the project.

The Lugar Tower project is to be co-developed by the Indianapolis Housing Agency and Flaherty & Collins Properties. It was placed on a waiting list for tax credits in March but was notified about a month ago that a combination of new and unused credits had become available, said Bruce Baird, Indianapolis Housing Agency’s director of strategic planning and development.

Baird said the agency hopes to sell the credits for about 70 cents on the dollar and start construction early next year. The project, which is being designed by national firm Looney Ricks Kiss, involves rehabbing the 220-unit tower, which was built in 1974. Another 74 units are to be built in a pair of three-story buildings that will be developed along Fort Wayne Avenue.

The Lugar Tower renovation and expansion is part of a massive upgrade of the Indianapolis Housing Agency’s housing portfolio in recent years. More than 1,300 of its almost 1,800-unit portfolio are being upgraded and 229 units are being added.

Another project that was recently awarded credits after being put on a waiting list could begin to transform the long-troubled Meadows area on the north side of 38th Street near Sherman Drive.

Strategic Capital Partners was awarded $19 million in credits that will be sold to help finance construction of The East Village at Avondale, a 248-unit apartment complex that will be built on about 15 acres of land that Strategic Capital put under contract early this year.

SCP, a five-year-old real estate investment management firm run by former Duke Associates partner Gene Zink and former city official Mike Higbee, expects to raise about $13 million in equity from selling the credits, Higbee said. Chicago-based National Equity Fund is the likely buyer of the credits.

The developer is considering its options for financing the balance of the $25 million project, said Higbee, who was head of the city’s Department of Metropolitan Development in the 1980s.

The apartment complex, construction of which is to begin by Oct. 15, will include 173 units for tenants who meet affordable housing income guidelines. The rest, about 30 percent, will be market rate units, Higbee said.

The developer of the project is a joint venture of SCP, Mishawaka-based The Sterling Group, Meadows Community Foundation and the city of Indianapolis. Some of the land for the development is being purchased from a Pentecostal church that previously tried to spur development in the area. The balance is land the city is transferring to the Meadows foundation. The development group is leasing the land from the foundation in a long-term lease that will provide the foundation with an income stream it can devote to its mission of improving the surrounding neighborhood.

Higbee said the property is among about 80 acres his group controls in the area. The East Village at Avondale project is the first phase of a development that is to include additional housing—both apartments and single-family—and retail development fronting 38th Street. Planning is also underway for a community center to serve the neighborhood. Higbee said some of the land might be set aside for recreational fields to serve the community and nearby schools.


  • Because thier stufff is boring
    Because most of the stuff produced by local companies looks pretty boring. See the posting about the new CSO HQ at Keystone at the Crossing. That should be enough to answer the questions.
  • Great news but . . .
    This is great news for these worthy projects! I'm just curious why they didn't choose a Indiana based architecture / design firm for the Lugar Towers project. Anyone know?

Post a comment to this story

We reserve the right to remove any post that we feel is obscene, profane, vulgar, racist, sexually explicit, abusive, or hateful.
You are legally responsible for what you post and your anonymity is not guaranteed.
Posts that insult, defame, threaten, harass or abuse other readers or people mentioned in IBJ editorial content are also subject to removal. Please respect the privacy of individuals and refrain from posting personal information.
No solicitations, spamming or advertisements are allowed. Readers may post links to other informational websites that are relevant to the topic at hand, but please do not link to objectionable material.
We may remove messages that are unrelated to the topic, encourage illegal activity, use all capital letters or are unreadable.

Messages that are flagged by readers as objectionable will be reviewed and may or may not be removed. Please do not flag a post simply because you disagree with it.

Sponsored by

facebook - twitter on Facebook & Twitter

Follow on TwitterFollow IBJ on Facebook:
Follow on TwitterFollow IBJ's Tweets on these topics:
Subscribe to IBJ
  1. I had read earlier this spring that Noodles & Co was going to open in the Fishers Marketplace (which is SR 37 and 131st St, not 141st St, just FYI). Any word on that? Also, do you happen to know what is being built in Carmel at Pennsylvania and Old Meridian? May just be an office building but I'm not sure.

  2. I'm sorry, but you are flat out wrong. There are few tracks in the world with the history of IMS and probably NO OTHER as widely known and recognized. I don't care what you think about the stat of Indy Car racing, these are pretty hard things to dispute.

  3. Also wondering if there is an update on the Brockway Pub-Danny Boy restaurant/taproom that was planned for the village as well?

  4. Why does the majority get to trample on the rights of the minority? You do realize that banning gay marriage does not rid the world of gay people, right? They are still going to be around and they are still going to continue to exist. The best way to get it all out of the spotlight? LEGALIZE IT! If gay marriage is legal, they will get to stop trying to push for it and you will get to stop seeing it all over the news. Why do Christians get to decide what is moral?? Why do you get to push your religion on others? How would legalizing gay marriage expose their lifestyle to your children? By the way, their lifestyle is going to continue whether gay marriage is legalized or not. It's been legal in Canada for quite a while now and they seem to be doing just fine. What about actual rules handed down by God? What about not working on Sundays? What about obeying your parents? What about adultery? These are in the 10 Commandments, the most important of God's rules. Yet they are all perfectly legal. What about divorce? Only God is allowed to dissolve a marriage so why don't you work hard to get divorce banned? Why do you get to pick and choose the parts of the Bible you care about?

  5. Look at the bright side. With the new Lowe's call center, that means 1000 jobs at $10 bucks an hour. IMS has to be drooling over all that disposable income. If those employees can save all their extra money after bills, in five years they can go to the race LIVE. Can you say attendance boost?