New Indianapolis building offers luxury style for low-income families, formerly homeless
The modern St. Lucas Lofts building looks as though it could command luxury rent prices. Despite the building's premium countertops, modern design and onsite gym, the owners aim not to earn a profit but to help formerly homeless young adults and low-income families improve their lives.
The building on Indy's near east side will house families between 30% and 60% of the area's median income. Ten of the 48 units are set aside for young adults experiencing homelessness, who receive rental assistance from the City of Indianapolis’ Department of Metropolitan Development and the Indianapolis Housing Agency.
Some families have already moved into the complex at East New York Street and North Rural Street, which opened in June. The building held a ribbon-cutting ceremony Wednesday to celebrate the project's completion.
The building, funded partially by CVS Health, will offer on-site support for mental and community health. The philosophy underpinning the construction is “housing first,” where formerly unsheltered individuals are provided housing with wrap-around services designed to enable financial independence.
Indianapolis affordable housing 'need is incredibly high'
Pearl Brown, a 19-year-old from the Near Eastside, began experiencing intermittent homelessness at 18 after becoming pregnant. Brown said that she struggled to find a place to live.
“Especially young mothers out here, we suffer. We struggle to take care of our kids and then can’t find a house we can’t afford,” Brown said.
Brown spent months on a waiting list for housing before she finally received keys to an apartment in a building managed by the nonprofit Englewood Community Development Corporation, which also runs the lofts.
More than 300 individuals submitted inquiries or applications for the 48 units in the Lofts when applications opened. Englewood Community Development Corporation will manage about 400 dedicated affordable housing units in 10 buildings, including the lofts, by the end of the year.
“The need is incredibly high,” Abigail Lane said, director of Near Eastside initiatives for Englewood CDC, which fields daily requests for safe and affordable housing.
CVS Health, city of Indianapolis fund St. Lucas Lofts project
CVS Health contributed $10 million for the building’s construction, with the city of Indianapolis contributing another $3.5 million. CVS Health has contributed to the development of 1,500 housing units in Indiana since 1999.
Anne Crees, vice president of sales for CVS/Aetna, said the company aims to look at health holistically and find barriers to health outside of a doctor’s visit or pharmacy. Those can often include unsafe living conditions.
“We don’t just want to put people in housing; that doesn’t set them up for success. We want to empower them with access to social programs, education programs, transportation assistance, food insecurity initiatives and things like that,” Crees said.
Indianapolis Mayor Joe Hogsett said the city has no more significant civic duty than caring for its youth, especially those who lack safe places to live.
“It’s unacceptable, but also a tragedy,” Hogsett said about youth and young adult homelessness. “We are morally obligated to help them.”
Indianapolis homelessness, housing cost data
The 10 units dedicated to permanent supportive housing for young adults can adapt to the individual's needs. Outreach Inc, an Indianapolis-based non-profit focused on youth and young adult homelessness, works directly with individuals seeking housing and Englewood CDC to find appropriate units. St. Lucas Lofts units all feature at least one bedroom but other options exist depending on family size.
The opening comes as cities across the U.S. grapple with rising homelessness and rising housing costs. Homelessness decreased in Indianapolis by 8% in 2023, but those without consistent shelter increased by 77% from 2022. City officials and advocates have focused on creating programs to intervene before homelessness begins, but ever-increasing housing costs and low housing inventory create challenges.
Housing prices in central Indiana hit a record high in May, at an average of $315,000. The average rent in Indianapolis is $1,219 monthly, an increase of more than $300 since January 2018. One-bedroom units at St. Lucas Lofts will range between $400 and $800 monthly and about $1,000 for two-bedroom units.
Tyler Spence is a Pulliam Fellow primarily covering business. He can be contacted at jspence@gannett.com
This article originally appeared on Indianapolis Star: Indianapolis affordable housing opens near east side
