Carmel’s office market gains momentum as employers expand

Carmel’s office market is drawing demand from employers with ties to Central Indiana. Republic Airways moved its headquarters from Indianapolis to Carmel, local freight broker Koola Logistics opened a larger headquarters, and investment manager Capital Group plans to expand its client-service operation on North Meridian Street.

Commercial real estate firm CBRE singled out Carmel and Keystone for office demand in its third-quarter Indianapolis report. Across the Indianapolis market, office vacancy fell to 19.8% from 20.2% in the second quarter. Occupied office space continued to grow across the market, though the net gain slowed from the prior quarter.

Republic’s move turned the former Hamilton Crossing retail site into an aviation campus with headquarters offices and a training center. The move brought an established Indianapolis employer to Carmel through a relocation within the region.

Koola, which started in Carmel in 2019 with three employees, opened a roughly 38,000-square-foot headquarters at Hamilton Crossing VI in August. The company reported about 100 employees at the time and said the new office had room for more than 300 workstations.

Capital Group announced plans in June to invest $13.5 million in its existing Carmel operation and add up to 200 jobs by the end of 2028, according to the Indiana Economic Development Corp. The company said it would recruit for client service and operations roles and offer relocation assistance to employees at its Hampton Roads, Virginia, office, which it plans to close at the end of 2027.

For Carmel, the deals show three ways established employers can put office space to use. Republic consolidated operations at a redeveloped site, Koola took more space as its business grew, and Capital Group committed to expanding a hub it already operates. Capital Group’s hiring over the next two years will show how much of that planned expansion translates into jobs.

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