Directors Row Business
For Sale
Contact for pricing
2401 Directors Row, Indianapolis, IN 46241
Eight-building office and flex-industrial campus near Indianapolis International Airport.
Property Size214,200 SF
Price / SF$85.53
Days on Market103
Property Features for 2401 Directors Row
General Information
Standard status
Active
Size
214,200 SF
Class
B
Total Parking Spaces
481
Property subtype
Office, Industrial
Zoning
ZO01
Occupancy
90%
Investment Type
Value Add
Net Operating Income
$1,465,638
Building Details
Year Built
1985
Year Renovated
2025
Buildings
8
Units
39
Tenancy
Multi
Listing Agency:
Marcus & Millichap - Indianapolis
Listed By:
Forest Bender · License #IN AB21405968
Source:
Crexi
Added: May 19
Changed: Aug 14
Last Checked: Aug 29 at 4:54AM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of Marcus & Millichap - Indianapolis
Investment Insights
Based on property information with market context.
Directors Row Business Center is an eight-building office and flex-industrial campus totaling 214,200 square feet. It is located at the entrance to Park Fletcher, a business park in Indianapolis. The campus is 91% occupied, featuring a mix of national, regional, and local tenants across 39 suites. The property offers a value-add profile through the conversion of gross leases to NNN leases, below-market rents, and vacancy lease-up potential. Since 2021, ownership has invested $2.3M into the assets through tenant-specific renovations, roof replacements, and HVAC improvements. The property includes six flex industrial buildings and two office buildings, each with a brick façade and flexible suite configurations ranging from small professional offices to large flex-industrial bays. There are 40 drive-in doors across all eight buildings. Directors Row is positioned directly across from Indianapolis International Airport with immediate access to the I-70 / I-465 interchange, making it attractive to logistics, e-commerce, and next/same-day delivery operators.
Key Highlights
- Prime location directly across from Indianapolis International Airport with immediate access to I‑70/I‑465 interchange.
- Value‑add opportunity through conversion to NNN leases, below‑market rents, and vacancy lease‑up.
- Well‑maintained campus with $2.3M invested since 2021 in renovations, roof replacements, and HVAC improvements.
Financial Insights
Estimated NOI and Cap Rate
NOI = area × lease_rate × (100 − vacancy) / 100 × (1 − expense_ratio). Net Operating Income — what the owner takes home each year before mortgage payments and income tax. Effective rent (asking rent minus vacancy losses) minus operating costs (taxes, insurance, maintenance, management).
NOI / Yr
$1,067,783
Cap rate = NOI / list price × 100. Capitalization rate — annual return on a fully cash purchase, before financing. NOI divided by price. Higher means more income per dollar invested, but usually also more risk or older condition. 5–8% is typical for stabilized commercial property; double digits often signal distressed deals.
Cap Rate
5.83%
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$21,355,660
$21.4M
Cap Rate 7%
$15,254,043
$15.3M
Cap Rate 9%
$11,864,256
$11.9M
Market Conditions
NOI Build-Up for 214,200 SF
Vacancy — income lost from leasable area expected to sit empty during the year, subtracted from gross rent.
EGI (Effective Gross Income) — gross rent minus vacancy losses, the realistic income before paying operating costs.
OpEx (Operating Expenses) — recurring costs to operate the property (property tax, insurance, utilities, maintenance, management); excludes financing and capital improvements.
NOI (Net Operating Income) — income a property generates after operating costs but before financing and taxes.
Gross rent
$1.67M $7.80/SF
− Vacancy
−$145.4K −$0.68/SF
EGI
$1.53M $7.12/SF
− OpEx
−$457.6K −$2.14/SF
NOI
$1.07M $4.98/SF
Area
Indianapolis, IN
Vacancy
8.70%
Lease Rate
$7.80 /SF/Yr
Expense Ratio
30.00%
Simulate Cap Rate and NOI
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$21,355,660
Cap Rate 7%
$15,254,043
Cap Rate 9%
$11,864,256
Alternative Uses
Best Use
Mixed Use
$37.18M
$32.53M – $43.38M
NOI $2,602,530 @ 7.0% cap · market cap 14.21%
Second Best
Flex RnD
$30.07M
$26.31M – $35.09M
NOI $2,105,158 @ 7.0% cap · market cap 11.49%
Theoretical Best
Office A
$53.32M
$46.65M – $62.20M
NOI $3,732,221 @ 7.0% cap · market cap 20.37%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
712
Businesses Nearby
Explore this area
Business Placement
Demographics for 46241, IN
33,568
Population
12,414
Households
2.7
Avg Household Size
33
Median Age
15%
College-Educated
73%
High-School Grad
23.9 sq mi
ZIP Area
1,405
Density / Sq Mi
$51,598
Median Household Income
$33,477
Median Earnings
$1,118
Median Rent
$111,500
Median Home Value
Market
Vacancy Rate% for Industrial in Indianapolis, IN
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Eight-building office and flex-industrial campus near Indianapolis International Airport.
Where is this mixed-use property located?
The property is located at 2401 Directors Row Indianapolis, IN.
What is the asking price?
The asking price for this property is $18,320,475.
What are key features of this property?
This property features: Prime location directly across from Indianapolis International Airport with immediate access to I‑70/I‑465 interchange.; Value‑add opportunity through conversion to NNN leases, below‑market rents, and vacancy lease‑up.; Well‑maintained campus with $2.3M invested since 2021 in renovations, roof replacements, and HVAC improvements.
