Cont: Mixed-Use Developments: Centum Real Estate Insights

Written by: Erick Ochieng                                                                                Edited by: Linet Kanario

Benefits of Mixed-use developments

Financial Well-Being

Mixed-use buildings boost the economy by various businesses and customers, therefore promoting economic growth. Building commercial spaces in residential neighborhoods benefits the local economy and offers residents easy access to goods and services. This collaboration fosters a flourishing economic atmosphere, backing small businesses and bigger corporations.

Improved Circulation and Decreased Traffic

Combining different functions in mixed-use buildings encourages walking and decreases dependence on cars. Residents have the convenience of walking to work, shopping, or engaging in leisure activities, thus reducing traffic congestion and decreasing carbon emissions. This move towards creating a pedestrian-friendly setting aligns with sustainable design patterns and helps make cities healthier and more conducive to living.

Challenges

Although these developments are considered gems, they are not without challenges. These challenges are discussed below:

Zoning Regulations

One major obstacle for mixed-use buildings is dealing with intricate zoning laws. Conventional zoning regulations frequently separate residential, commercial, and industrial zones, posing obstacles to creating mixed-use environments. To tackle this obstacle, teamwork is crucial among developers, urban planners, and decision-makers to establish zoning regulations that are adaptable and favorable.

Infrastructure Demands

Mixed-use buildings require special requirements for urban infrastructure. Strong transportation networks, utilities, and public services are necessary to support high density and various uses within a single development. Updating the current infrastructure to meet these requirements can be expensive and take time.

Lessons Learned from Mixed-Use Developments

1. Master Planning is Critical
   Private developers like Centum Real Estate emphasize the importance of comprehensive master planning to ensure seamless integration of different functions e.g. zoning, infrastructure development, and environmental considerations.
2. Community Engagement Matters
   Successful mixed-use developments require buy-in from local communities. Developers must prioritize stakeholder engagement to address concerns and align projects with community needs.
3. Sustainability is Key
   Incorporating green building practices, such as energy-efficient designs and waste management systems, into these projects is necessary. This aligns with global trends toward sustainable urban development.
4. Adaptability is Essential
   Mixed-use developments must be flexible to accommodate changing market demands. These projects are designed to evolve over time, ensuring long-term relevance and profitability.

Conclusion

Mixed-use environments could provide a solution to a range of problems facing the housing market – not just in the Kenya but across the globe. Apart from easing the housing crisis burden, they can also enhance the wellbeing of local communities. Also, with sustainability a key focus for the sector and the UN’s 2050 net zero target on the horizon, perhaps these multi-purpose buildings and developments are something every business should be exploring.

References

JLL (2023). Real Estate Market Insights and Investment Trends.

Centum Real Estate (2024). Project Reports and Sustainability Strategies.