Pop culture and modern media have painted an incomplete portrait of multifamily living for the average prospective resident in 2025, depicting only either end of the spectrum: a spacious New York City loft with vigilant door attendants and complimentary valet, or cramped quarters with leaky AC units, incredulous neighbors, and ruthless landlords. 

However, most overlooked are institutional-quality multifamily communities in the Heartland that offer premier living experiences for residents and potentially impressive returns for investors. With multifamily real estate comprising about 34% of the commercial property investment market, it is worthwhile to dissect. [1]

Here, we will focus on one property, Nese Apartments in Whitestown, Indiana, and explore a detailed examination of multifamily communities that highlights key advantages of multifamily living and investing that you should know.

WHAT IS MULTIFAMILY REAL ESTATE?

Multifamily homes fall into two categories: residential and commercial. Residential multifamily homes consist of one to four units, while commercial properties have five or more units. Duplexes, for example, are residential because they have two units. A larger 200-unit+ multifamily property, such as Nese Apartments in Whitestown, Indiana, would fall under the commercial real estate umbrella. 

Nese Apartments | Whitestown, IN | Several cabanas are available for sunny days at the saltwater pool.

Despite its history of being considered a “transitional” housing market for students and artists, multifamily real estate was one-third of all commercial real estate investments in 2024, more than any other property type. In 2025, living in a multifamily community is more affordable than living in a single-family home. Multifamily communities continue trending upward in affordability for residents and potential profitability for investors. [2]

MULTIFAMILY LIVING ADVANTAGES

As mentioned above, multifamily homes can be more affordable than single-family homes in the real estate market. However, money is not the only factor when deciding to live in this type of property.

• AMENITIES: Amenities are items or services that provide comfort, convenience, or enjoyment. [3] Dissimilar to single-family homes, where your comfort is your responsibility, multifamily communities and their property management teams take on the responsibility of your comfort and enjoyment by offering specific conveniences. In-unit amenities in the Midwest are especially coveted, where harsh winter conditions necessitate services like central heating, in-unit washer/dryer, and ceiling fans. Other amenities like covered parking, snow removal, and valet trash services are also invaluable during winter. 

Other amenities can include pools, fitness centers, pet-friendly facilities, social spaces (community room/clubhouse), green spaces, fire pits, and outdoor grilling areas. 

Nese Apartments is an excellent case study for multifamily amenities. The community offers the following amenities: a resort-style pool, a sundeck with cabanas, an outdoor kitchen with grills, a 24-hour fitness center, yoga and cycle studios, a pickleball court, an entertainment area with a TV and fire pit, a pet spa and bark park, bike storage facilities, private workspaces, a clubhouse with a resident lounge, kitchen, pool table, and coffee/tea bar, a package room, valet trash services, private storage rooms, and detached garages.

• SUSTAINABILITY: Living in a multifamily community has many environmental benefits. The reduced size of each unit means fewer resources (electricity, water, gas, etc.) are necessary. Multifamily dwellers also tend to produce less waste than those in single-family homes. Because these communities must adhere to local ordinances, they often offer options for recyclables, compostables, and other types of waste management.

Each unit at Nese Apartments comes with a Samsung Smart Appliance package. Residents can remotely control and monitor these appliances using the SmartThings app. For example, a resident can preheat the oven on their way home, check if they left the fridge door open, or start a load of laundry from their phone. The appliances are energy-efficient and can track energy usage, helping residents optimize energy bill savings. These appliances can also send alerts when something needs attention, like replacing a filter or running diagnostics if a problem arises. An excellent design feature of these smart appliances is that they work together seamlessly, creating a connected home ecosystem where they can share information to improve overall functionality and convenience. The property management team encourages residents to use a designated recyclable bag to support their recycling efforts.

Nese Apartments | Whitestown, IN | Nese’s outdoor kitchen and bar area opens into an outdoor lounge for residents to enjoy.

• COMMUNITY: Amenities play a significant role in the sense of community experienced on a multifamily property. For example, when you live in an apartment community, you are more likely to see your neighbors at the pool or fitness center, walking their furry friends, grilling on holidays, or going for a stroll. Property management teams also do their best to bring the residents together on occasion for community celebrations and bonding. 

Nese Apartments held several notable community giveaways, contests, and events in 2024, including a Valentine’s Day gift bag giveaway, a solar eclipse watch party, a summer pool party, a pet photo contest, a gift card giveaway, rotating food truck(s), and Mother’s Day and Father’s Day grab-and-go treat displays. 

View on-site videos and images from Nese Apartments events here.

• AFFORDABILITY: Multifamily living can be cost-effective without sacrificing items from your amenities wish list. Whether a resident is a high- or low-income earner, multifamily living provides an opportunity to blur the lines between social/wealth classes. The exterior uniformity of multifamily living masks the range of interior designs, floor plans, and other structural differences. A 2024 U.S. News & World Report study states, “Median rents for single-family homes rose 4.7% year-over-year to $2,294, or nearly 20% more.” That same article reports that the U.S. median rent for multifamily is $1,916. [4]

With multifamily living, ancillary fees such as pet and security deposits, renters’ insurance, parking, or application/administrative fees can add up quickly. However, capable and experienced owners/operators, as well as their boots on the ground (property management teams), can mitigate the nature of fees by being transparent with prospective residents, ensuring that “hidden” fees are a thing of the past, and conducting due diligence, which can ease the transition to a new multifamily community. 

Unlike other apartment communities with a web presence that requires you to call for pricing, Nese Apartments details unit prices directly on their website. You can refine your search to show units in the exact price range you seek, with square footage, bedroom count, and desired move-in date all considered.

• LOCATION: Have you ever noticed that houses do not sit atop fine dining establishments, award-winning entertainment venues, or eclectic shops/boutiques? It is rare to view single-family homes from any focal point of a buzzing city with a thriving nightlife. However, cities like Kansas City, Pittsburgh, and Indianapolis are replete with multifamily units. They sometimes share a wall or floor with local establishments, promoting community and rewarding local patrons. Still, many suburban multifamily communities have ultraconvenient access to the urban core.

Nese Apartments is located in Whitestown, Indiana, the fastest-growing suburb in Indiana, known for its small-town charm and accessibility. Its proximity to I-65 and I-865 grants easy access to downtown Indianapolis, the booming US-31 employment corridor, and the LEAP Lebanon Innovation District, which will, once fully built, create over 50,000 jobs and house over 100+ employers such as Eli Lilly.

Indiana Economic Development Corporation, LEAP Lebanon

• LIFESTYLE & SECURITY: Maslow’s hierarchy of needs dictates that our basic requirements as a species deal with our physiology (food, water, warmth, rest) and our safety (security, resources, source of income, order, stability). [5] One’s level of safety is undoubtedly a motivating factor when considering the advantages of multifamily living. Being in close proximity to your neighbors, sometimes even sharing a wall with them, can provide an extra layer of protection. Multifamily communities are also typically gated or have hired security on patrol and 24-7-365 surveillance. Some multifamily communities may even install alarm/security devices in each unit as an amenity. Historically, commercial multifamily properties have had lower burglary rates than single-family homes. [6]

Residents at Nese Apartments can purchase home security devices and provide the property management team with their code to keep on file in case of emergencies. 

• MAINTENANCE: Maintenance expenses in multifamily communities can be considerably less than in single-family homes. While single-family homeowners and renters (depending on their leasing contract) are responsible for maintenance and repairs, property management and maintenance teams will likely handle exterior maintenance, such as repairs to the facade or roof, landscaping, green spaces, parking structures, etc. Property management and maintenance teams in these communities likely have an obligation to handle interior maintenance, like a nonfunctioning garbage disposal, a refrigerator that won’t refrigerate, or a leaky AC unit. 

Nese Apartments is owned and operated by The BAM Companies, a vertically integrated company. Vertical integration is when an operator takes direct ownership of various stages of its production to streamline its operations. Instead of outsourcing and relying on external contractors or suppliers, these companies acquire suppliers, distributors, manufacturers, etc. 

BAM Construction is the redevelopment and rehabilitation arm of The BAM Companies. This qualified construction team reviews every aspect of the property and determines the best value when upgrading and maintaining the exteriors, interiors, and amenities. In addition to BAM Construction, Nese Apartments benefits from professional maintenance workers who go above and beyond to reduce corrective maintenance and execute superior fixes.

BAM Management is the property management arm of The BAM Companies. It strives to hire the most professional and knowledgeable staff to ensure a pleasant experience for all residents. Its direct involvement with the day-to-day management of properties and residents provides the necessary levers for income growth and cost control.

MULTIFAMILY INVESTING ADVANTAGES

Alternative investment vehicles like multifamily real estate can offer accredited investors several advantages. These advantages are a direct result of economies of scale, the fund model, and portfolio diversification. Portfolio diversification involves spreading investments across different multifamily properties in various locations to mitigate risk. Economies of scale conceptualize unit volume within a fund to provide cost distribution benefits.

Another advantage is the potential for passive income. General partners (GPs) manage and execute the business plan and are responsible for taking on more operational risk. In contrast, investors/limited partners (LPs) assume a more passive role, contributing capital and profit sharing. BAM Capital aims to create forced appreciation. For multifamily investors, appreciation can provide several benefits. First, it can increase the equity in the property, allowing the sponsor to borrow against the increased value or sell the property for a profit. Second, appreciation can lead to higher rental income and property values, resulting in greater cash flow and higher returns on investment for shareholders. Finally, appreciation can hedge against inflation, as property values and rental income can rise alongside the general price of goods and services.

BAM Capital is the private equity arm of The BAM Companies, an institutional multifamily real estate owner/operator (general partner). As an Indianapolis-based sponsor that has established itself as a leader in its industry, BAM Capital offers its family of partners the means to achieve portfolio diversification through the fund model. Rather than single-asset investment opportunities (excluding some single-asset development deals), BAM Capital’s funds comprise several assets across the Midwest, Great Lakes, and Great River regions. In other words, the performance of any single asset has less influence on the overall fund returns than it would if that asset were the only investment.

BAM MULTIFAMILY GROWTH & INCOME FUND IV: RISK-ADJUSTED RETURNS AND LONG-TERM CAPITAL APPRECIATION TO ACCREDITED INVESTORS

Nese Apartments is an asset within BAM Multifamily Growth & Income Fund IV, a diverse portfolio of Class A assets seeking to balance cash flow stability and capital preservation while providing risk-adjusted returns to investors. This fund comprises 1,626 Class A apartment units less than a decade old, has raised and deployed over $165 million in equity, and has paid consistent monthly distributions totaling $5.5+ million.

Review the fund’s Offering Memorandum to learn more about BAM Capital’s track record and gain access to exclusive insights.

CONNECT WITH AN INSTITUTIONAL REAL ESTATE OWNER/OPERATOR 

BAM Capital partners with accredited investors who want to enjoy passive income and all the other benefits of multifamily private placement. As the private equity arm of The BAM Companies, BAM Capital has been focusing on buying the most profitable assets and staying disciplined in its investment thesis. BAM Capital’s investment strategy aims to create forced appreciation while mitigating investor risk. To date, the brand has successfully managed over $1.7 billion in assets across ~9,000 apartment units.

Remember that no investment is without risk. Before making financial decisions, consult your investment advisor and schedule a call with a BAM Capital investment team member.

Disclaimer: All investments carry risk, including potential loss of capital. This content is for informational purposes only and is not financial, legal, or investment advice, nor an offer or solicitation to buy or sell any security. Consult an independent advisor for personalized guidance and contact BAM Capital for details on current offerings. BAM Capital and its representatives are not fiduciaries or investment advisors. The information provided is general and may not reflect individual financial goals. Any financial terms, projections, or forward-looking statements contained herein are hypothetical in nature and should not be interpreted as guarantees of future performance or safety. Such statements reflect BAM Capital’s opinion and are subject to market fluctuations, economic conditions, and investment risks. Past performance does not predict future results. BAM Capital and its affiliates do not guarantee the accuracy or completeness of this information. BAM Capital offers investment opportunities under Rule 506(c) of Regulation D exclusively for accredited investors as defined by the SEC. Verification of accredited investor status is required prior to participating in any investment.

© 2025 BAM Capital. All rights reserved.

SOURCES:

[1]: Statista. (2024). “Market share of commercial real estate investments in the United States from 2020 to 2023, by property type.” https://www.statista.com/statistics/789084/share-of-property-investments-usa-by-property-type/#statisticContainer

[2]: Statista. (2024). “American multifamily homes – statistics & facts.” https://www.statista.com/topics/5396/multifamily-homes-in-the-us/#:~:text=Multifamily%20is%20one%20of%20the,buying%20a%20single%2Dfamily%20house. 

[3]: Merriam-Webster Dictionary. (n.d.). “Amenity.” https://www.merriam-webster.com/dictionary/amenities 

[4]: U.S. News & World Report. (2024). “Multifamily and single-family rental housing market trends.” https://realestate.usnews.com/real-estate/articles/multifamily-and-single-family-rental-housing-market-trends 

[5]: CNN. (2023). “What is Maslow’s hierarchy of needs? A psychology theory, explained.” https://www.cnn.com/world/maslows-hierarchy-of-needs-explained-wellness-cec/index.html 

[6]: ADT Security Services. (2018). “Burglary odds across America: What is the likelihood of your home being burglarized?”  https://www.adt.com/burglary-odds-across-america