Package of 16 apartment complexes back on the market

Back to TopCommentsE-mailPrintBookmark and Share

The owner of 16 downtown apartment complexes again is attempting to sell the properties after failing to attract a suitable buyer during a previous attempt four years ago.

The privately owned Zender Family Limited Partnership, an Indianapolis-based property management firm, is listing the buildings—many of them historic—without asking prices, said Tim Zender, who runs the business with his four brothers and sisters.

Zender, who declined to estimate an overall value for the 16 properties, said the family is expecting better results this time because it's willing to break up the portfolio and sell the buildings individually. In addition, the multifamily housing market has improved since 2008.

“I think we just missed the window last time,” Zender said. “I don’t think we’re going to miss it this time.”

Zender said the family previously fielded several offers that “weren’t what we expected.”

The original portfolio included 18 complexes listed for an estimated $40 million. Absent from the listing now is the Drake at 3060 N. Meridian St. and the Whitestone a block north. A sale is pending on those properties with a single buyer, Zender said.

The 16 available properties consist of a total of 873 units and are mostly located on North Delaware, North Meridian and North Pennsylvania streets. Some were built in the 1920s—or earlier—and have never been renovated, while others were constructed in the 1950s and rehabbed in the late 1980s. They are clustered downtown and just north of the city center, in areas that continue to experience improving occupancy rates and rising rents.

For example, rents range from $400 a month for a studio apartment to $2,000 a month for a penthouse at the 48-unit Admiral, built in 1929, at 3025 N. Meridian St.

“The portfolio is doing very well now and the downtown is as strong as it’s ever been,” said the family’s broker, George Tikijian of Indianapolis-based Tikijian Associates. “The ability to buy 873 units downtown all at once is unprecedented.”

The downtown apartment occupancy rate is nearly 96 percent and average rent is $1.18 per square foot, which is “dramatically” higher than any submarket in the city, said Steve LaMotte, a senior vice president at the Indianapolis office of CBRE.

An abundance of cheap cash available at very affordable rates also should make the properties attractive, LaMotte said.

“There is far more capital than available product to invest in,” he said. “And that’s particularly true here locally, where we see very little quality product on the market today.”

Zender said the decision to sell is motivated more by personal reasons than by any rush to cash in on the current market. The five partners all want to explore different interests.

“We’ve been doing this since my father started it in 1970,” Zender said. “In some form or fashion, we’ve been involved in this business for 42 years.”

Zender and his siblings all are involved in day-to-day management.

The Zenders’ parents, Jim and Grace, are no longer involved in daily operations but have an interest in the portfolio. Jim handed the reins to his children about 20 years ago, but he remains active in the general partnership.

“The Zender family is a longtime fixture in the apartment market,” LaMotte said. “They do a nice job.”


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. Hello Dear Are you tired of Seeking Loans and Mortgages,have you Been Turned down constantly By your banks and Other Financial Institutions or Micro Finance scheme. This is let you know with 100% guarantee that we Offer loans ranging from $1,000 Minimum to $1,000,000.00 Maximum at 3% interest rate per Month. We give out LOANS for developing business. a competitive edge/business expansion. email address: michealscottloan124@gmail.com We offer the following kinds of loans and many more; * Personal Loans ( Unsecured Loan) * Business Loans ( Unsecured Loan) * Consolidation Loan * Combination Loan * Home Improvement * Xmas Loans for contact to seek for loan email this email address: michealscottloan124@gmail.com Thanks

  2. My name is Mr Henry Josh and i live in the USA California and life is worth living right now for me and my family and all this is because of one man sent by GOD to help me and my family, i once had a life filled with sorrow because my first SON needed a kidney transplant and all our savings were going towards his medications and this normally leaves us with no money to pay our bills or even put enough food on our table and our rent was due and no funds to pay these bills and life felt so unfair to me and every night my wife will cry herself to sleep every night until one day, i was browsing through yahoo answers and i saw a striking advert of a man that gives out personal loans and that the offer is opened to all and i have heard so many things about internet scams but at this point of my life, i was very desperate and ready to take any risk and at the end of the day, i applied for this loan and from one step to another, i got my loan within 12 hours through bank transfer and you know, it was all like a dream and i called Mr Daniel Jones A Man who is the GOD sent lender i found and said, i have received my loan and he smiled stating that to GOD be the glory and i was so shocked as i have never ever seen anyone with such a GOD fearing and kind heart and today, i am the happiest man on earth because by GOD’S grace, my SON kidney transplant was successful and today he is healthy, i and my family are living very comfortable and happy and if you are in my former situation or in serious and legitimate need of a loan, you can reach this GOD sent lender via fidelityloanfirm@outlook.com

  3. Greetings to everyone reading this comment!!! I am Greg William by name. I am out here to recommend the effort of Mark Oscar,I was in need of a consolidation loan amount of 50,000 and as soon as I got in contact with Mark Oscar Loan Firm on Wednesday last week and on Friday last week as well I receive an alert from my bank(Royal Bank of Scotland Group) that the fund was transferred,I want everybody on this site to contact Mark Oscar now via email on how to get a loan because I got my loan from them and I am very happy,so contact them now. Oscarloanfinance@hotmail.com Thanks!!!!!!

  4. Elected officials, like Mourdock, get vested in 8 years. It takes 10 years for all other public employees, most of whom make a lot less money. So much for the promise to finish out his term.

  5. Great state treasurer and a good man!! Just curious if the folks who didn't quite understand his quote would like to tell my daughter-in-law that God didn't intend her! Mourdock's comment was correct but twisted and the article didn't mention that his opponent and the press let the impression stand that Mourdock meant that the rape was intended. Stupid people!!