In a world where everything is changing, corporations are no exception. While it has largely been unheard of for a business to occupy a residential or industrial building, the lines between the three are becoming increasingly blurred. This is referred to as mixed-use development and is a growing trend in today’s competitive landscape.
However, this trend’s growth does not mean that businesses using it are guaranteed to benefit from it. While mixed-use development may give companies more options, it also tasks them with living up to more responsibilities.
It can be difficult to choose the best possible property in a situation such as this one. Before choosing anything, it is essential to understand that there are two types of mixed-use development; vertical and horizontal.
Most people define mixed-use as a property with commercial businesses on the ground floor and apartments or condos on the above floors. Though this is the most common type, it is not the only type of mixed property. A property with businesses on the bottom and residences above them is classified as vertical.
When it comes to horizontal, this type of development involves a building with one purpose and one purpose only. Consecutive buildings can then be used for either business or residential space.
Investors have found that these types of properties are beneficial to them. One benefit is that it gives property managers the ability to handle numerous properties at the same time efficiently. Another is that the residential spaces are easy to rent out because people enjoy having various businesses conveniently close to where they live.
The more types of tenants that occupy a particular building, the better it is for investors. They are taking less of a risk when it comes to renting spaces out to those who need them. Redevelopers also appreciate the lack of risk they are taking when they invest in mixed-use properties. These types of properties tend to attract renters, whether business or residential, that are extremely unlikely to have a problem making their payments on time and in full.
Last but not least, everyone benefits from mixed-use development because they make it easy for people to travel between their residence and the businesses they frequent. The convenience is appealing.