Indiana University Buys 57 Properties from Foundation for $23M

The Indiana University Board of Trustees has acquired 57 real estate properties from the Indiana University Foundation in a transaction valued at approximately $23.38 million. The sale, which took place on September 18, 2025, involves a diverse portfolio of land and buildings surrounding the Monroe County campus, yet both institutions have remained silent on the strategic reasons behind the significant transfer of assets.

According to Monroe County property records, the transaction consolidates ownership of these parcels, which were previously leased by the university from its affiliated nonprofit foundation. An Indiana University spokesperson has confirmed that there are no immediate plans to alter the current use of the properties, which range from administrative offices and residential homes to vacant lots.

Details of the Transaction

The transfer of 57 properties was formally recorded on September 18, 2025. Public records show the real estate was organized into 13 distinct groups for the sale. This method of batching the sales kept the value of each individual transaction under the $2 million mark. The cumulative price for all 57 parcels totaled approximately $23.38 million.

This move shifts the ownership of these assets directly to the university's governing body, the Board of Trustees. Previously, the university operated on these properties through lease agreements with the IU Foundation, a common arrangement where a university's fundraising and asset-management arm holds real estate for the institution's benefit.

A Diverse Portfolio of Properties

The real estate involved in the sale is varied and strategically located around the perimeter of the Indiana University campus. The portfolio reflects a mix of current uses and potential future development sites.

Types of Properties Acquired

The acquisition includes several key types of real estate:

• Administrative Buildings: One notable property is located at the corner of 3rd and Dunn streets, which currently serves as the university’s office of research administration.
• Residential Homes: Several residential properties, such as those along Bryan Avenue, were part of the transaction. These are often used for university housing, visiting faculty, or other related purposes.
• Vacant Land: The deal includes undeveloped parcels and sites with redevelopment potential, such as the location of a former strip mall on 10th Street.
• Commercial and Mixed-Use: Other properties have commercial applications or are situated in mixed-use zones that are integral to the campus environment.

Despite the change in ownership, university operations are expected to continue without interruption. According to a statement from an IU spokesperson, “There are no current plans to change the use of the properties being transferred.” This suggests the immediate goal was ownership consolidation rather than a shift in campus development strategy.

Tax Implications and Unanswered Questions

The transfer of ownership is not expected to affect local tax revenues. Because the IU Foundation is a tax-exempt nonprofit, it did not pay property taxes on these holdings. The Indiana University Board of Trustees, as a state entity, also holds tax-exempt status for property used for educational purposes. Therefore, the tax status of these 57 properties will remain unchanged, resulting in no new revenue for Monroe County.

However, the central question of why the transaction occurred now remains unanswered. Both the university and the foundation have acknowledged receipt of inquiries but have not yet provided details on the motivation behind the sale. The strategic reasoning could involve financial planning, simplifying asset management, or preparing for future capital projects.

The decision to structure the sale in 13 smaller batches, each under $2 million, has also not been explained. This approach could be related to internal financial approval processes, accounting standards, or other administrative requirements for transactions of a certain size.

Full List of Transferred Properties

The 57 properties are spread across numerous streets in Bloomington, primarily concentrated along major thoroughfares like 10th Street and 3rd Street, as well as several residential avenues. The following is a comprehensive list of the addresses involved in the September 18, 2025, transaction:

1. 1815 E 10th ST
2. 1789 E 10th ST
3. 2522 E 10th ST
4. 519 E 10th ST
5. 919 E 10th ST
6. 704 E 10th ST
7. 1827 E 10th ST
8. 904 E 14th ST
9. 902 E 14th ST
10. 1469 E 17th ST
11. 2427 E 2nd ST
12. 508 E 3rd ST
13. E 3rd ST (Parcel)
14. 1012 E 3rd ST
15. 1902 E 3rd ST
16. 1610 E 3rd ST
17. 501 E 3rd ST
18. 1600 E 3rd ST
19. 527 E 7th ST
20. 502 E 9th ST
21. 1815 E Atwater AVE
22. 829 E Cottage Grove AVE
23. 828 E Cottage Grove AVE
24. E Kirkwood AVE (Parcel)
25. 512 E Kirkwood AVE
26. E Matlock RD (Parcel)
27. 1239 E Matlock RD
28. 1001 E State Road 45 46 Bypass
29. 731 E State Road 45 46 Bypass
30. 2218 N Dunn ST
31. 309 N Indiana AVE
32. 621 N Indiana AVE
33. 528 N Indiana AVE
34. 327 N Jefferson ST
35. 715 N Park AVE
36. 815 N Park AVE
37. 721 N Park AVE
38. 408 N Union ST
39. 318 N Union ST
40. N Union ST (Parcel)
41. 325 S Arbutus DR
42. 200 S Bryan AVE
43. 212 S Bryan AVE
44. 204 S Bryan AVE
45. 206 S Bryan AVE
46. 214 S Bryan AVE
47. 209 S Dunn ST
48. 322 1/2 S Eagleson AVE
49. S Eagleson AVE (Parcel)
50. 320 S Eastside DR
51. 114 S Indiana AVE
52. 309 S Mitchell ST
53. S Rose AVE (Parcel 1)
54. S Rose AVE (Parcel 2)
55. 209 S Union ST
56. 111 S Union ST

As the university community and local observers await further details, this $23.38 million real estate deal stands as one of the largest internal asset transfers for Indiana University in recent years, signaling a potential shift in how it manages its physical footprint.