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- calendar_today October 31, 2026
KMG Prestige Set to Manage Two Indianapolis Housing Properties
The Indianapolis Housing Agency announced that KMG Prestige will assume management of Lugar Tower and Braxton Annex on November 2, marking a significant transition for two properties that have faced ongoing safety and maintenance issues.
Background: Challenges at Lugar Tower and Braxton Annex
Both Lugar Tower and Braxton Annex have struggled with issues related to crime and squatters. These problems, together with concerns about property management, have impacted senior tenants residing in these buildings. The changes come as part of a broader effort to address these challenges and improve living conditions for residents.
Upcoming Sale of Lugar Tower
Preparations are currently underway to facilitate the sale of Lugar Tower, with a goal to complete the process before the end of the year. The Indianapolis Housing Agency confirmed its intention to sell the property by year-end, an action seen as a critical step forward for the building and its tenants.
Tenant Reactions and Community Engagement
Longtime residents, including Jay Fletcher and Randy Highbaugh, expressed optimism about the incoming management and planned renovations. "I’m looking forward to the renovations," Fletcher said, calling them "long overdue." Highbaugh added, "It’s time for a change." The shift in management and prospects of improvement have helped raise morale among tenants.
Indianapolis City-County Councilor Jesse Brown also acknowledged improved optimism, stating that planned renovations are pending approval of a proposed Payment in Lieu of Taxes (PILOT) agreement. Brown intends to introduce this proposal at the upcoming City-County Council meeting.
PILOT Proposal and Management Details
The PILOT proposal stems from ongoing discussions between the federal housing and urban development (HUD) agency and the City of Indianapolis. Brown explained that the arrangement would enable Lugar Tower's new management to make a lump-sum payment to the city, rather than paying the full amount ordinarily required in property taxes. The housing agency would retain ownership of the land through a ground lease until the building is sold.
KMG Prestige, the incoming property management company, is based in New York City and operates as a for-profit organization. Councilor Brown noted initial reservations due to the company’s background but reported a positive impression after attending a recent community meeting and discussing the company’s approach. "They have bold plans, I think, to recenter residents and make sure that they feel like they are residents living at homes as opposed to tenants renting space from a kind of soulless agency," Brown said.
Renovation Plans and Tenant Protections
The proposed renovations for both Lugar Tower and Braxton Annex are intended to address longstanding issues without increasing rents for current tenants. Fletcher expressed cautious optimism about the outcomes, saying, "We had our difficulties in the past, my challenges. But I hope working through with KMG Prestige that the property will work out." Renovation timelines and specific updates have not yet been detailed.
Looking Ahead
As KMG Prestige prepares to take over management of Lugar Tower and Braxton Annex on November 2, city officials and residents anticipate improvements in safety, maintenance, and community well-being. The future sale of Lugar Tower and the implementation of the PILOT agreement remain key milestones in the ongoing revitalization efforts for these Indianapolis housing properties.
Source: fox59.com.
