2024: A Year in Review
2024 has come to a close, so let’s look back on the commercial real estate activity in Fort Wayne and Northern Indiana.
The past year brought a wide mix of transactions across industrial, investment, land, office, and retail deals, and the needs of businesses and investors across the region remained steady and strong.
These deals completed in 2024 offer just a small picture of the market. We’ve facilitated industrial leases, supported investment property sales, and managed large-scale land transactions.
Industrial Deals
Industrial deals were steady throughout 2024. Existing tenants were satisfied with their current spaces and exercised lease renewals, and investors were confident to buy and sell.
One of the most notable deals included the sale and subsequent lease of the Class A warehouse and showroom at 5105 Industrial Road. Our brokers Neal Bowman and Philip Hagee first represented the Buyer and Seller at the beginning of the year and then represented the Landlord in the lease of the space at the end of the year. This 51,247 SF property will soon be home to an exterior building materials supplier.
- Bill Cupp represented the Landlord in the lease of 16,190 SF of industrial space at 502 Incentive Dr, Fort Wayne. (Pictured left.)
- John Caffray and Andrew Eckert represented the Buyer and Seller in the sale of 32,233 SF of industrial space at 1615 Estella Avenue, Fort Wayne.
- Bill Cupp represented the Landlord in the lease renewal of 25,056 SF of industrial space at 1515 Dividend Road, Fort Wayne.
Investment Deals
Investment deals were made by our brokers across a variety of property types, from multifamily to office to industrial, and even across state lines.
Sturges Property Group expanded our reach to Joplin, Missouri in the sale of a 12,720 SF industrial complex on 1.2 acres. Our brokers Andrew Eckert and John Caffray collaborated with a local Missouri broker to accomplish this deal.
Andrew and John also completed another investment deal at 1848-1860 South Business 31 in Peru, Indiana. There, they represented the Buyer and Seller in the sale of 46,488 SF of a well-established apartment complex spanning 7 acres. (Pictured below.)
- Neal Bowman and Philip Hagee represented the Seller in the investment sale of a 25,2000 SF medical office building, located at 2622 Lake Avenue in Fort Wayne.
- John and Andrew represented the Seller in the investment sale of a 41,000 SF industrial building on 2.99 acres near Fort Wayne International Airport. This property offers excellent accessibility due to its proximity to the airport, and this sale proves how strong the industrial market remained in 2024.
Land Deals
A desire for both industrial and commercial land reflects more long-term investment strategies, especially in regions other than Fort Wayne.
Our CEO Barry Sturges represented the Seller in the sale of 16 acres of commercial land near the intersection of US 23 and Chesire Road in Delaware, Ohio. Investors are targeting areas with growth potential at more affordable prices.
- Bill Cupp represented the Buyer in the sale of 63.14 acres of industrial land at Smith Road and Dalman Road, Fort Wayne.
- Barry Sturges represented the Buyer and Seller in the sale of 28.61 acres of commercial land at 4335 East Dupont Road, Fort Wayne. (Pictured left.)
- Andrew Eckert and John Caffray represented the Seller in the sale of 9.0 acres of land near 1820 Reed Rd, Fort Wayne.
Office Deals
Several office users expanded their footprint while exercising lease renewals.
For example, Brad Sturges and Shelby Wilson represented both the Landlord and the Tenant in the expansion of a lease at 111 East Wayne Street in Fort Wayne. This user’s square footage now adds up to 10,052 SF, and they’ve leased their space for ten years.
The office market is not limited to lease renewals, though. Brad Sturges, Kevin Ellis, and Shelby Wilson represented the Landlord and the Tenant in the lease for a new tenant occupying 3,944 SF at 9910 Dupont Circle Drive East in Fort Wayne for ten years. (Pictured below.)
- Neal Bowman and Philip Hagee represented the Seller and Robert Doyle represented the Buyer in the sale of 3,858 SF of office space at 4214 Hobson Court, Fort Wayne.
- Shelby Wilson and Brad Sturges represented the Landlord and Tenant in the lease renewal of 10,974 SF of office space at 111 E Wayne Street, Fort Wayne.
- Kevin Ellis and Shelby Wilson represented the Landlord and Tenant in the lease renewal of 19,887 SF of office space at 3400 E Coliseum Blvd, Fort Wayne.
- John Caffray and Andrew Eckert represented the Buyer and Seller in the sale of a 30,058 SF office building on 4.6 acres at 5717 South Anthony Blvd, Fort Wayne.
Retail Deals
The few retail spaces we had available in 2024 were popular and leased quickly to several national and local retailers.
Neal Bowman and Philip Hagee represented the Tenant in the lease of 3,495 SF commercial space at 1727 Apple Glen Boulevard, which is now home to City BBQ, a national chain restaurant offering classic barbeque fare. (Pictured below.) On the other side of Apple Glen Boulevard, Neal and Philip also leased 2,411 SF to the second Fort Wayne location of Nothing Bundt Cakes.
- John Caffray and Andrew Eckert represented the Buyer and Seller in the sale of 6,443 SF of commercial space at 1415 Flaxmill Rd, Huntington, IN.
- Neal Bowman and Philip Hagee represented the Tenant in the lease of 13,604 SF of retail space at 9925 Illinois Rd, to Parlor Doughnuts.
- Robert Doyle represented the Seller in the sale of a 17,871 SF commercial building at 7445 W SR 8, Elwood, IN.
- Ian Smith represented the Tenant in the lease of 2,250 SF of retail space at 2592 Walton Blvd, Warsaw, IN.
We’ve had some great things happen this past year.
- Sturges Property Group brought on a new team member to our brokerage department, Ian Smith, who has been indispensable in retail prospecting.
- We also introduced a new service, Business Brokerage & Advisory, to help business owners sell their businesses and help business buyers find sellers. Our broker Robert Doyle spearheads our business brokerage service.
- Our Property Management department had a great year as well. We managed over 2.6 million square feet across 77 buildings and associations.
2024 also taught us a few things about the commercial real estate market in Fort Wayne and beyond.
- Throughout the year, investment sale volume was down, but there are still plenty of buyers looking for deals going into 2025.
- Owner/user space remained in high demand, regardless of rising interest rates. Appropriately priced investment deals continued to see success, even with lower sales volume.
- Suburban shopping centers remain full, with increasing lease rates. Most existing tenants continue to renew their leases.
- High construction costs have continued to slow new retail development. That lack of new development, combined with tenants renewing their leases, continues to drive down lease rates.
Looking back helps us to make predictions for 2025.
- We expect to see retail and industrial leasing remain strong.
- There will continue to be demand for owner/user industrial space.
- Capitalization rates will likely continue to increase, dropping prices down on investment sales. Hopefully, the gap in pricing expectations will close on investment deals, which was a challenge in 2024.
2025 also brings forth Sturges Property Group’s 50th anniversary!
What began as a partnership known as Sturges, Griffin, Trent & Co. in 1975 has now developed into a commercial real estate powerhouse in Northeast Indiana. We are excited to see what the year will bring and are ready to make 2025 the best year yet!
Stay tuned throughout the year to learn more about Sturges Property Group's history, our committed employees, fun facts, and upcoming events to celebrate this milestone year.
