Renter expectations are shifting, leading Indiana development into relatively new territory: Build-to-rent communities. Thoughtfully-designed communities with equally intentional living spaces are setting the standard for flexibility, convenience, and quality, while delivering residences that align with diverse lifestyle needs and goals. There is an opportunity here for developers to not only meet this demand but to realize the competitive edge in a burgeoning market.
What is Build to Rent?
Build-to-rent developments themselves are not new. The average apartment complex, after all, is build-to-rent: Tenants sign a lease, pay their deposits, and, going forward, pay rent. The complex or community is owned and managed by a single entity, which retains full ownership. Tenants do not expect to rent-to-own or otherwise purchase their unit. And, in the case of an increasing number of higher-income and upscale renters, they do not want to.
Build-to-Rent: Growing Demand
Build to rent properties like duplexes, apartments, or hybrid dwellings are part of larger communities. Think of build-to-rent as having all the perks of home ownership, like private space and elevated amenities, while also being maintenance free and having the flexibility of a lease. While possessing some of the attributes of an apartment and some of a private home, they are a unique product offering that satisfies the evolving requirements of renters. Several factors are driving this growth:
Enhanced Space and Privacy
Traditional apartments are often lacking in both space and privacy. Living in a BTR community offers multi-level living, private entrances, and even personal outdoor areas.
While spacious and boasting exceptional finishes and layouts, a great deal of the allure of build-to-rent is the amenities available outside one’s own unit. These can include pool, fitness center, communal and private outdoor spaces, etc. Individual units are private and quiet, but residents do not feel isolated, which aligns with a concurrent shift towards wanting to live within a cohesive community.
Maintenance-Free Living
The desire to be free of worries about the roof, about painting, about caring for the lawn, and the myriad other duties involved with ownership is spurring growth in build to rent. The convenience attached makes BTR living all the more attractive.
Flexibility
This is perhaps the biggest driver in the luxury build-to-rent market. That is, the primary focus is not on affordability but on flexibility. This is why we see more people who are ideally positioned to buy opting to rent. There is flexibility in reclaiming time and resources otherwise spent on maintenance and upkeep; there is flexibility in allocating funds to other investments or greater liquidity; there is flexibility in being able to experience a locale without being tethered.
A build-to-rent community offers numerous benefits for renters and are just as advantageous for developers. There is great potential for stable long-term rentals, and thus, favorable income and investment opportunities.
Indiana Development That Meets – and Creates – Demand
While relatively new in terms of Indiana development, the growing popularity of, and demand for, build-to-rent in key markets signals opportunity in the Midwest. Renters want thoughtfully-designed residences that maximize both comfort and convenience, offering all the accouterments and aesthetics of home – in a flexible rental.
Delivering build-to-rent communities that resonate with these renters and align with their evolving needs requires a coordinated, strategic approach at every stage, from initial feasibility to design and development through to construction management and completion.
Bedrock Builders is uniquely positioned to deliver build-to-rent communities that draw renters to the property with exceptional layouts, high-quality finishes, upscale amenities, and enduring value. Every detail is meticulously planned and executed to ensure a seamless transition from concept to completion. With over 25 years of experience in custom home building and a proven track record of scaling this expertise to meet the needs of complex large-scale residential and multifamily projects, Bedrock Builders will transform your vision into profitable, resident-focused living.
The demand for build-to-rent communities is there, and your firm can play a central role in shaping a market that redefines renting. Ready to solidify your plans and move forward? Connect with Bedrock Builders.