{"id":1004671725,"date":"2023-08-01T11:02:23","date_gmt":"2023-08-01T19:02:23","guid":{"rendered":"https:\/\/www.commercialsearch.com\/news\/?p=1004671725"},"modified":"2024-03-06T10:39:08","modified_gmt":"2024-03-06T18:39:08","slug":"getting-in-the-heads-of-mixed-use-owners-occupiers","status":"publish","type":"post","link":"https:\/\/www.commercialsearch.com\/news\/getting-in-the-heads-of-mixed-use-owners-occupiers\/","title":{"rendered":"Getting Into the Heads of Mixed-Use Owners, Occupiers"},"content":{"rendered":"
\"Aerial<\/a>

In a mixed-use space, retail tenants benefit from the clients, and commercial and residential tenants benefit from convenience. Image by Mohit Kumar via Unsplash<\/em><\/p><\/div>\n

People love convenience. And what\u2019s more convenient than being able to get all your errands done in one place? Or grabbing a coffee in the same building as your office?<\/p>\n

To the public, mixed-use properties offer the ability to be more efficient and productive, Alex Valente, principal with Trammell Crow Co.<\/strong>\u2019s residential subsidiary High Street Residential<\/strong>, told Commercial Property Executive<\/em>.<\/p>\n

\u201cEveryone is so busy all the time, and when a developer can provide a mix of uses that appeal to or meet the needs of a resident in a multi-faceted manner, it\u2019s typically a winning formula,\u201d he observed.<\/p>\n

It\u2019s not just the public that benefits, however. Tenants and owners see plus sides, too.<\/p>\n

The advantages of a mixed-use space<\/h2>\n

While the format of a building may not be the primary driving factor in whether or not a tenant signs the space, it is an extremely important consideration. If other factors\u2014location, workforce, population migration, etc.\u2014are all satisfactory, property type can be the deciding factor.<\/p>\n

\u201cIt depends upon the tenant, but there can certainly be great advantages for a tenant in a mixed-use environment, whether it be coworking, multifamily, retail, etc.,\u201d said Todd Caruso, retail services lead, Americas at CBRE<\/strong>.<\/p>\n

Advantages include a retail tenant having a built-in client base, whether they be located in a commercial building with office companies overhead or a residential building. Even a hotel component can be advantageous when an office space has clients coming in and out. This beneficial relationship flows both ways.<\/p>\n

\u201cFor the tenant, it is typically a nice amenity to have services such as coffee, dining, dry cleaning, etc. easily accessible to where a resident lives. This can be especially advantageous in a suburban setting, where a resident may not need to get in their car to access such amenities,\u201d said Valente.<\/p>\n

In a mixed-use space, retail tenants benefit from the clients and commercial and residential tenants benefit from convenience. \u201cWe\u2019ve also found that residents will tend to identify where they live to friends and family based specifically on the associated retailer in the building,” Valente noted. “It can be a point of pride or status for a resident.”<\/p>\n

On the owner’s side, there are benefits to a mixed-use property, as well. With the trend of redeveloping B- and C-class malls, converting these spaces to mixed-use commercial properties means saving on some sales tax, according to a J.P. Morgan 2023 economic outlook<\/a>.<\/p>\n

Tenant considerations<\/h2>\n

Some retailers prefer mixed-use formats due to the built-in customers. Other companies like these properties because the landlords are typically better capitalized, and commercial tenants often need generous tenant improvement allowances for a build-out, said Valente.<\/p>\n

There are other considerations for tenants. For example, considering the office distress<\/a> that commercial real estate is currently seeing, some retail tenants may not want to rely on a mixed-use office space for success. This is especially true in large-scale, self-absorbing projects.<\/p>\n

\u201c(Office tenants) may not represent 100 percent of the customer base for the retailer, but they represent a large portion,” Caruso told CPE. <\/em>“So those retailers may hesitate to see other square footage leased first.” Smaller mixed-use environments may be less dependent on this factor.<\/p>\n

\n

READ ALSO<\/strong>: The Big City Rebound and Its CRE Implications<\/a><\/p>\n

\n

Further, the right tenant mix is one that reflects the surrounding market. In areas with a high volume of retailers nearby, non-retail companies may look to occupy space.<\/p>\n

\u201cDon\u2019t discount the unique uses that might be associated with a mixed-use environment,\u201d said Caruso.<\/p>\n

More specifically, he noted a number of malls and mixed-use environments where health-care companies have introduced themselves. Whatever is in demand for consumers is a tenant consideration for the property.<\/p>\n

Creating synergy<\/h2>\n

For tenants, finding success in a mixed-use environment means researching the current market demands as well as understanding the existing tenant mix. On the owner and developer side, success can come down to the curated environment.<\/p>\n

\u201cWe spend a lot of time focused on the interplay and coordination between the multifamily and commercial spaces in our mixed-use projects,\u201d said Valente. \u201cWe also put in a lot of work to make sure that the retail use at a mixed-use property fits our understanding of our tenant demographics, or, in the case of to-be-delivered buildings, our demographic thesis (i.e., who we think our tenants will be).\u201d<\/p>\n

Aligning one aspect of a mixed-use project with another is equally as important as ensuring the mixed-use development fits the tenant base. The energy throughout the project needs to flow.<\/p>\n

Caruso explained that to ensure that synergy, placemaking is key. There must be a method to green space locations, open seating, underground parking, proximity from retail to office to residential, different types of food and beverage uses, etc.<\/p>\n

\u201cMixed-use has to be integrated in order to work,\u201d he said. \u201cIt needs to be well thought out architecturally and design wise to ensure you have appropriate integration.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"

The benefits of this format are plentiful, but there are serious considerations for tenants. <\/p>\n","protected":false},"author":3006,"featured_media":1004671730,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21784,21782,21783,21752,23891,21742,21785],"tags":[32789,38826,32893],"class_list":["post-1004671725","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-brokerage","category-development","category-investment","category-mixed-use","category-national","category-latest","category-property-management","tag-cbre","tag-high-street-residential","tag-trammell-crow-company"],"acf":[],"yoast_head":"\nGetting Into the Heads of Mixed-Use Owners, Occupiers - Commercial Property Executive<\/title>\n<meta name=\"description\" content=\"Benefits in a mixed-use format are plentiful. However, there are serious considerations tenants must make. Experts weigh in.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.commercialsearch.com\/news\/getting-in-the-heads-of-mixed-use-owners-occupiers\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Getting Into the Heads of Mixed-Use Owners, Occupiers\" \/>\n<meta property=\"og:description\" content=\"Benefits in a mixed-use format are plentiful. However, there are serious considerations tenants must make. Experts weigh in.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.commercialsearch.com\/news\/getting-in-the-heads-of-mixed-use-owners-occupiers\/\" \/>\n<meta property=\"og:site_name\" content=\"Commercial Property Executive\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/CPExecutive\" \/>\n<meta property=\"article:published_time\" content=\"2023-08-01T19:02:23+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2024-03-06T18:39:08+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2023\/07\/mohit-kumar-6M9xiVgkoN0-unsplash.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"800\" \/>\n\t<meta property=\"og:image:height\" content=\"620\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Jordana Rothberg\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@cpexecutive\" \/>\n<meta name=\"twitter:site\" content=\"@cpexecutive\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.commercialsearch.com\/news\/getting-in-the-heads-of-mixed-use-owners-occupiers\/\",\"url\":\"https:\/\/www.commercialsearch.com\/news\/getting-in-the-heads-of-mixed-use-owners-occupiers\/\",\"name\":\"Getting Into the Heads of Mixed-Use Owners, Occupiers - Commercial Property Executive\",\"isPartOf\":{\"@id\":\"https:\/\/www.commercialsearch.com\/news\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/www.commercialsearch.com\/news\/getting-in-the-heads-of-mixed-use-owners-occupiers\/#primaryimage\"},\"image\":{\"@id\":\"https:\/\/www.commercialsearch.com\/news\/getting-in-the-heads-of-mixed-use-owners-occupiers\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2023\/07\/mohit-kumar-6M9xiVgkoN0-unsplash.jpg\",\"datePublished\":\"2023-08-01T19:02:23+00:00\",\"dateModified\":\"2024-03-06T18:39:08+00:00\",\"author\":{\"@id\":\"https:\/\/www.commercialsearch.com\/news\/#\/schema\/person\/366883c93fc1efde412301ab6a4570f9\"},\"description\":\"Benefits in a mixed-use format are plentiful. However, there are serious considerations tenants must make. Experts weigh in.\",\"breadcrumb\":{\"@id\":\"https:\/\/www.commercialsearch.com\/news\/getting-in-the-heads-of-mixed-use-owners-occupiers\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/www.commercialsearch.com\/news\/getting-in-the-heads-of-mixed-use-owners-occupiers\/\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.commercialsearch.com\/news\/getting-in-the-heads-of-mixed-use-owners-occupiers\/#primaryimage\",\"url\":\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2023\/07\/mohit-kumar-6M9xiVgkoN0-unsplash.jpg\",\"contentUrl\":\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2023\/07\/mohit-kumar-6M9xiVgkoN0-unsplash.jpg\",\"width\":800,\"height\":620,\"caption\":\"Image by Mohit Kumar via Unsplash\"},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/www.commercialsearch.com\/news\/getting-in-the-heads-of-mixed-use-owners-occupiers\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/www.commercialsearch.com\/news\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Getting Into the Heads of Mixed-Use Owners, Occupiers\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/www.commercialsearch.com\/news\/#website\",\"url\":\"https:\/\/www.commercialsearch.com\/news\/\",\"name\":\"Commercial Property Executive\",\"description\":\"\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/www.commercialsearch.com\/news\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Person\",\"@id\":\"https:\/\/www.commercialsearch.com\/news\/#\/schema\/person\/366883c93fc1efde412301ab6a4570f9\",\"name\":\"Jordana Rothberg\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.commercialsearch.com\/news\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2022\/09\/Professional-Pic.jpg?w=96\",\"contentUrl\":\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2022\/09\/Professional-Pic.jpg?w=96\",\"caption\":\"Jordana Rothberg\"},\"description\":\"Jordana is an Associate Editor with a background in journalism, copywriting, and real estate property management. Before joining the Yardi team, Jordana worked for a start-up. She also managed development progress on Colorado properties for the Aspen Building Company.\",\"sameAs\":[\"https:\/\/www.linkedin.com\/in\/jordana-rothberg-003a06177\/\"],\"url\":\"https:\/\/www.commercialsearch.com\/news\/author\/jordana-rothberg\/\"}]}<\/script>\n<!-- \/ Yoast SEO Premium plugin. -->","yoast_head_json":{"title":"Getting Into the Heads of Mixed-Use Owners, Occupiers - Commercial Property Executive","description":"Benefits in a mixed-use format are plentiful. However, there are serious considerations tenants must make. Experts weigh in.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.commercialsearch.com\/news\/getting-in-the-heads-of-mixed-use-owners-occupiers\/","og_locale":"en_US","og_type":"article","og_title":"Getting Into the Heads of Mixed-Use Owners, Occupiers","og_description":"Benefits in a mixed-use format are plentiful. However, there are serious considerations tenants must make. Experts weigh in.","og_url":"https:\/\/www.commercialsearch.com\/news\/getting-in-the-heads-of-mixed-use-owners-occupiers\/","og_site_name":"Commercial Property Executive","article_publisher":"https:\/\/www.facebook.com\/CPExecutive","article_published_time":"2023-08-01T19:02:23+00:00","article_modified_time":"2024-03-06T18:39:08+00:00","og_image":[{"width":800,"height":620,"url":"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2023\/07\/mohit-kumar-6M9xiVgkoN0-unsplash.jpg","type":"image\/jpeg"}],"author":"Jordana Rothberg","twitter_card":"summary_large_image","twitter_creator":"@cpexecutive","twitter_site":"@cpexecutive","schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/www.commercialsearch.com\/news\/getting-in-the-heads-of-mixed-use-owners-occupiers\/","url":"https:\/\/www.commercialsearch.com\/news\/getting-in-the-heads-of-mixed-use-owners-occupiers\/","name":"Getting Into the Heads of Mixed-Use Owners, Occupiers - Commercial Property Executive","isPartOf":{"@id":"https:\/\/www.commercialsearch.com\/news\/#website"},"primaryImageOfPage":{"@id":"https:\/\/www.commercialsearch.com\/news\/getting-in-the-heads-of-mixed-use-owners-occupiers\/#primaryimage"},"image":{"@id":"https:\/\/www.commercialsearch.com\/news\/getting-in-the-heads-of-mixed-use-owners-occupiers\/#primaryimage"},"thumbnailUrl":"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2023\/07\/mohit-kumar-6M9xiVgkoN0-unsplash.jpg","datePublished":"2023-08-01T19:02:23+00:00","dateModified":"2024-03-06T18:39:08+00:00","author":{"@id":"https:\/\/www.commercialsearch.com\/news\/#\/schema\/person\/366883c93fc1efde412301ab6a4570f9"},"description":"Benefits in a mixed-use format are plentiful. However, there are serious considerations tenants must make. Experts weigh in.","breadcrumb":{"@id":"https:\/\/www.commercialsearch.com\/news\/getting-in-the-heads-of-mixed-use-owners-occupiers\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.commercialsearch.com\/news\/getting-in-the-heads-of-mixed-use-owners-occupiers\/"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.commercialsearch.com\/news\/getting-in-the-heads-of-mixed-use-owners-occupiers\/#primaryimage","url":"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2023\/07\/mohit-kumar-6M9xiVgkoN0-unsplash.jpg","contentUrl":"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2023\/07\/mohit-kumar-6M9xiVgkoN0-unsplash.jpg","width":800,"height":620,"caption":"Image by Mohit Kumar via Unsplash"},{"@type":"BreadcrumbList","@id":"https:\/\/www.commercialsearch.com\/news\/getting-in-the-heads-of-mixed-use-owners-occupiers\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/www.commercialsearch.com\/news\/"},{"@type":"ListItem","position":2,"name":"Getting Into the Heads of Mixed-Use Owners, Occupiers"}]},{"@type":"WebSite","@id":"https:\/\/www.commercialsearch.com\/news\/#website","url":"https:\/\/www.commercialsearch.com\/news\/","name":"Commercial Property Executive","description":"","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/www.commercialsearch.com\/news\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/www.commercialsearch.com\/news\/#\/schema\/person\/366883c93fc1efde412301ab6a4570f9","name":"Jordana Rothberg","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.commercialsearch.com\/news\/#\/schema\/person\/image\/","url":"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2022\/09\/Professional-Pic.jpg?w=96","contentUrl":"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2022\/09\/Professional-Pic.jpg?w=96","caption":"Jordana Rothberg"},"description":"Jordana is an Associate Editor with a background in journalism, copywriting, and real estate property management. Before joining the Yardi team, Jordana worked for a start-up. She also managed development progress on Colorado properties for the Aspen Building Company.","sameAs":["https:\/\/www.linkedin.com\/in\/jordana-rothberg-003a06177\/"],"url":"https:\/\/www.commercialsearch.com\/news\/author\/jordana-rothberg\/"}]}},"jetpack_featured_media_url":"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2023\/07\/mohit-kumar-6M9xiVgkoN0-unsplash.jpg","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/posts\/1004671725","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/users\/3006"}],"replies":[{"embeddable":true,"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/comments?post=1004671725"}],"version-history":[{"count":10,"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/posts\/1004671725\/revisions"}],"predecessor-version":[{"id":1004705356,"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/posts\/1004671725\/revisions\/1004705356"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/media\/1004671730"}],"wp:attachment":[{"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/media?parent=1004671725"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/categories?post=1004671725"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/tags?post=1004671725"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}