Assessing the current state of a real estate market is key to making successful investments in the area. Bruce Strebinger, a seasoned real estate developer and co-founder of Fanarah Global, offers some insight into the growing popularity of mixed-use developments and provides insight into how this trend will impact aspiring homeowners, real estate developers, and investors in Vancouver and British Columbia.
Mixed-use developments have much to offer, Bruce Strebinger notes. One huge practical benefit of such developments is that individuals can live, work, and shop in the same general area without spending long hours in traffic. While some still prefer suburban areas with nothing but houses, yards, and parks, others have found that spending long hours in traffic is a drain and have shifted their views in favor of easy access to practical amenities. Growing concern about the environment is also causing some to turn their views on housing and community building in general.
A survey from several years ago found that more than 75% of respondents wanted to learn how to live more sustainably, and being able to walk rather than drive a car or take public transport is a massive boon to the local environment. Bruce Strebinger also points out that in Canada alone, over 15,000 people die prematurely due to air pollution. The rise in mixed-use developments has the potential to lower the death rate and save the lives of untold thousands of people.
Furthermore, as Bruce Strebinger notes, a growing desire for community leads many to ditch traditional neighborhoods in favor of a living situation that enables them to regularly see their friends and neighbors. “Wealthy people want to spend quality time with their neighbors too,” Strebinger points out, refuting the notion that mixed-use developments are only for specific cities or neighborhoods. Indeed, a recent Bruce Strebinger Vancouver analysis shows that the city has approved a growing number of these developments and is also setting trends in the field by allowing the construction of mixed-use communities that double as architectural masterpieces that incorporate all seven aspects. Of a “living city.”
Bruce Strebinger recommends that Vancouver investors who want a diversified portfolio and the ability to rent/lease space to commercial and residential clients seriously consider mixed-used space and all that it offers. Mixed-use spaces appeal to consumers and businesses that can take advantage of the foot traffic. Demand is high and will likely rise for the foreseeable future. On the other hand, careful research is in order to ensure the development is appropriately planned to appeal to potential renters.
What’s more, commercial and residential tenants must be picked with care to ensure they are a good fit for each other. In short, investing in mixed-use space has the potential to be very profitable, but it can be more challenging than investing in other real estate options; thus, Strebinger notes caution is in order to avoid mistakes and ensure optimal returns on mixed-use developments.