Thoughts on Anderson, IN Market?

[Jared Fisher]

Hey everyone,

I came across a potential cash-flowing property in Anderson, IN, and wanted to get some input before diving deeper. After doing a bit of research, I noticed the population growth seems flat, job growth looks  slow, and it sounds like the tenant pool can be hit or miss.

Does anyone here have experience investing in Anderson? Curious to hear if you think there's upside to be found there—or if it’s better to steer clear.

Also, if you know of any good resources for digging into the Anderson market, I’d really appreciate a nudge in the right direction. Thanks in advance!

[Shawn Long]

Hey Jared, I've had a crazy experience. I absolutely didn't want to invest in Anderson again. But my partner and I bought a 2nd building there. (Mixed use multi-unit). The only reason we survived the first deal and not mention profited, was sheer luck and determination. Through the same sheer luck and extreme determination we were able to secure some nice anchor tenants for the building. We have 3 of 8 units leased. The property is cash flowing $3,150 a month. And now we are selling at auction because we believe we have reached the highest and best use for the property. Bringing tenants into the upstairs apartments is very hit or miss and will almost certainly cause trouble.. Anderson has huge homeless and drug addicted populations. FMR aren't being paid for section 8 (or so the ihda for the city tells us and others we know) We can google it and see the numbers are not as low as they say. That is your first clue to how the administration works there. They are dirty! They are whats keeping the city in its current poor condition if you ask me. I never want to be there again. That said. We are working on out our 2nd win there. Metropolitan ghettos around the country are seeing influxes of investors now. Detroit, Memphis, Anderson, etc, etc. As always RE is location. I think there are a few select places I would consider buy and holds on residential. I would never willingly enter Andersons commercial market ever again. The administration there are friends/family/ and part owners of everything! The deputy mayor owns the utility company for example. If you scratch only that surface with residents of Anderson you will quickly learn of the corruption surround them. They charged us $30k light bill PER MONTH when the building was VACANT and the lights were mostly off. They could provide no accurate readings, can't explain anything, won't try to help figure it out. My associate with a similar building 1 block away was paying $1500 per month when it was fully operational. Which is waybtoo low. I'm guessing you've heard enough. Happy to share experiences or help you guide through the nightmare if you haven't scratched them out of your buy box yet. Hope this brought some clarity for you