Mix-use trends offer both real estate investors and residents many advantages. If the residential market slows during development projects, commercial or industrial markets may help sustain the property value.
Mixed-use developments also reduce auto dependency by providing shopping, dining and entertainment in one neighborhood. KPF has designed some of the world’s premier mixed-use buildings such as Roppongi Hills in Tokyo and JR Central in Shanghai – two such structures can be seen here.
Common Spaces
Vertical mixed-use developments incorporate various uses within one building, such as shops, restaurants, office spaces and residential apartments. Recreational spaces like parks or rooftop gardens also help provide residents with healthy environments that promote an optimal living experience. These are especially suitable for urban areas with limited land available for development.
Integrating mixed-use developments with existing infrastructure is one of the greatest obstacles for these projects, necessitating coordination among multiple stakeholders – which can be both time consuming and expensive. Furthermore, using different building designs increases project complexity while raising construction costs.
Mixed-use development projects are an excellent way to mitigate urban sprawl and preserve green space, while providing residents with an ideal living environment. Furthermore, mixed-use developments can promote social inclusion as well as boost economic vitality by encouraging local businesses and creating jobs; improving overall quality of life by increasing access to public services and amenities and using energy efficient systems while helping reduce carbon emissions and promote sustainability.
Retail
Retail in mixed-use development provides retailers with a unique opportunity to reach new audiences and capture more market share. Compared with standalone locations, these developments provide various benefits such as shared services and economies of scale to offset higher base rents. Furthermore, a well-structured project team can optimize energy usage and operational efficiencies to reduce expenses and enhance profitability.
Mixed-use developments provide tenants, residents, and visitors the perfect setting to engage with one another through proximity and physical interaction. Their design fosters spontaneous conversations as well as creating a sense of inclusion which fosters collaboration and innovation.
Mixed-use development provides convenient solutions that meet consumers’ changing work-life balance and mobility preferences, including their increasing desire for minimal commutes while managing personal errands, working intensively during the day and enjoying short bursts of entertainment during evening hours all without incurring excessive travel costs. Thus, successful retail strategies that tap into this new work-life paradigm will drive customer traffic and engagement.
Residential
Mixed-use development’s most essential element is residential, providing people with both living and working spaces. Live-work spaces have become increasingly popular among individuals looking for an integrated living and working experience, helping promote entrepreneurship while supporting small businesses (Kim and Jin 2019).
Residents can take pleasure in the cultural spaces, walkable shopping, and seamless transit connections offered by mixed-use neighborhoods to enhance their quality of life. These communities foster a sense of community while offering multiple housing options tailored specifically for residents (Cooper 2014).
Communities should engage stakeholders early on in the planning process to identify areas suitable for mixed-use developments and distribute benefits equitably. This involves setting zoning regulations to ensure land-use compatibility, reflecting local priorities for spaces that accommodate multiple uses, and devising strategies to mitigate unintended consequences such as displacement through mixed-use development such as creating affordable housing requirements or accessible everyday destinations (Nelson 2012).
Transportation
Attracting housing, office space, retail, and civic functions within walkable distance of each other encourages the use of public transit or other forms of low-carbon transport – thus decreasing automobile usage and helping to limit urban sprawl, preserve natural resources, and avoid expensive infrastructure development in outlying areas.
Mixed-use buildings have become an incredibly popular trend globally, with notable projects like KPF’s 900 North Michigan in Chicago leading the charge; Roppongi Hills and JR Central towers creating dense urban neighborhoods in Japan; Landmark and International Commerce Centre in China setting new heights for shopping and work hubs within dense cities; these projects demonstrate how humanizing density brings an additional sense of place and humanity to urban centers.
Implementation of these types of developments does not come without its share of challenges, including complex zoning regulations that are difficult to navigate and increased upfront costs due to multiple land uses. Communities also must address noise concerns, parking needs and changes in character that come with such developments.