200 senior housing apartments could be coming to the far east side
(MIRROR INDY) — The Sunspring Apartments on East 38th Street will look similar to this cottage-style building at Reserve at White River, a senior living community along Lafayette Road. Credit: Provided photo/Kittle Property Group
An Indianapolis-based real estate developer is seeking a 30-year tax abatement to build an affordable senior housing complex on the far east side.
Kittle Property Group, which owns, operates and manages 145 properties in 18 states, is looking to acquire a 54-acre vacant lot just south of East 38th Street between North German Church and County Line roads.
The $52 million project, named Sunspring Apartments, would include 208 cottage-style units for people who are 55 and older. Monthly rent for one-bedroom apartments would range in price from $800 to $1,125, while two-bedroom units would cost between $950 and $1,400.
The rent prices were determined by the Indiana Housing and Community Development Corp., which issues tax exempt bonds and rental housing tax credits for affordable housing projects, said Caroline Kimmel, development director for Kittle Property Group. She appeared before the City-County Council’s Metropolitan and Economic Development Committee this week to present the proposal and answer questions from elected officials.
The homes would be similar to those found in the Reserve at White River, a senior living community near Riverside Park on the west side, Kimmel said.
Construction is expected to begin in June, with an estimated completion date of June 2026, though leases will likely become available in summer 2025.
In exchange for not having to pay property taxes on the project, the developer would pay the city 2% of the property’s annual rental income minus utility costs, which is expected to amount to roughly $47,340 the first year, Kimmel said. The payments would increase by 3% each year until the end of the 30-year payment in lieu of taxes agreement.
Kimmel described the site as a “more private community” that will benefit from trees surrounding three sides of the development.
Amenities would include a fitness center, game room and community area, as well as access to a new sidewalk along 38th Street and to the planned Grassy Branch Trail. The developer also plans to partner with Community Action of Greater Indianapolis to provide additional resources for seniors, including help with utility payments, car repairs, financial literacy workshops and bus passes.
There would be a property manager and assistant property manager on site to handle leasing, as well as a part-time bus driver, Kimmel said.
No one from the public spoke out in favor of or against the project.
The committee members approved the agreement, sending it to the City-County Council for a final vote. The council’s next scheduled meeting is April 1.
More than half of older adult renters in Central Indiana are burdened by housing costs, which is defined as paying more than 30% of their income toward housing, according to a 2022 report from the Central Indiana Senior Fund. In addition, one-third of Marion County adults experiencing homelessness are aged 50 and older.
City-County Councilor La Keisha Jackson, who represents the far east side, said the project fulfills a need for affordable housing for older residents in her district.
“If you look at the data, by the year 2030, the senior population will be one of the largest populations that will be unhoused,” Jackson told committee members this week. “They’ll also be supporting… family members, grandchildren and children, and (they) will definitely need our support.”
Peter Blanchard covers local government. Reach him at 317-605-4836 or peter.blanchard@mirrorindy.org. Follow him on X @peterlblanchard.