Indianapolis begins renovation of Old City Hall into hotel and public art museum

The Indianapolis Economic Development Commission convened on March 10, 2025, to discuss significant developments in the city, particularly focusing on the renovation of the Old City Hall and the construction of a new hotel and residential tower.

The meeting began with a presentation detailing the project, which includes five apartments designated for individuals at 30% Area Median Income (AMI) and a hotel featuring 56 rooms, alongside 2,500 square feet of retail space. The development will also provide 208 parking spaces. The renovation of the Old City Hall is set to transform the first two floors into a public art museum in collaboration with the 21c Museum Hotels, while the upper floors will be allocated for office space.

The timeline for the project was outlined, indicating that construction is expected to commence in late summer 2025, with completion anticipated three years later. The project has progressed through various phases, including the awarding of a Request for Proposal (RFP) in August 2023, the approval of a Tax Increment Financing (TIF) bond, and the completion of the schematic design phase, which involved extensive collaboration with architects and engineers.

A crucial aspect of the project is the partnership with 21c Museum Hotels, known for their extensive private art collection. The hotel will be one of nine locations across the country, providing public access to curated art collections and local artwork. The design phase has been finalized, and the project has received a Certificate of Appropriateness from the Indianapolis Historic Preservation Commission, ensuring that the design aligns with the historic character of the area.

During the meeting, discussions also addressed a financing gap that emerged in late 2024. The team is actively seeking additional funding solutions and is in talks with potential equity and debt partners. The goal is to finalize all necessary approvals and permits within the next 120 days to facilitate a groundbreaking later this summer.

Overall, the meeting highlighted the city's commitment to enhancing its cultural landscape through this ambitious project, which aims to blend residential, commercial, and artistic elements in a historically significant setting. The commission expressed optimism about the project's potential to serve as a cultural destination for both residents and visitors.