Consumer Demand for Walkability Drives Mixed Use Market
Digested from Mixed Use Trending in Apartment Market
Axiometrics, Inc. (2/22/16) Sorter, Dave
Prime real estate doesnt just mean easy access to public transportation anymore. Millennials and empty-nest baby boomers in renting apartment space are looking for a quick walk from their units to key amenities such as grocery stores, retail stores, restaurants and even their jobs.
Developers have responded to this walkability trend by getting on the mixed-use bandwagon. An apartment complex, for example, may include restaurants and shopping on the ground floor, parking on the second and third floors, and residential living on the upper floors.
This is hardly a novel concept, but statistics show a significant uptick in the multifunctional property trend in recent years. From 2010 to 2014, nearly 29 percent of apartment properties under development used this format. Mixed use is expected to grow to 34.9 percent of apartment developments planned for delivery over the next six years.
Mixed-use developments tend to be constructed in a citys central core. Major cities on the West Coast and Northeast are leading the mixed-use apartment boom, with Seattle, New York, Los Angeles and Washington, D.C., having the highest concentrations. Atlanta appears to be the sole metropolitan area in the South thats jumped on this trend.