One of the major life and death questions that a builder has to correctly address is the “nature” of the project to be floated. Should it residential or commercial? Or should it be both!
The Indian builders and investors didn’t have the guts to get into in the beginning, but ever since the 2008 recession in the real estate business, more and more builders are clubbing commercial and residential properties into one. And it has proved to be a winning formula.
Though initially it helped developers to reduce their risk, it proved to be a boon, as residents got closer to their places of work. Saving lot of time for love ones and loved activities. The main attraction is that bring together the residence, the work space, shopping and entertainment area into one.
For example, Supertech in Noida is building “SuperNova” which is claimed to be the largest mixed use real estate project in India. One of its buildings “Spira” is expected to have residences, studio apartments, a hotel, a shopping mall and office spaces. Similarly in Kerala, Calicut Landmark is building Abacus in its township project, Acropolis, which is going to be a mixed development of studio apartments and office spaces, within the boundaries of a planned city like development. The target market being the booming Calicut market along with the upcoming IT Parks, and the developments to result from it.
But of course, such projects require immense planning. As a mix, mixed in the wrong format affecting easy of flow, security, jamming of traffic, scarcity of parking, wastage of space etc can lead the project to failure.
I always suggest that mixed properties should also have provisions for schools, especially kindergartens or Montessori schools. At present, little kids have to sit for hours in buses to reach schools and back home. Precious moments of their childhood are wasted in the buses. Even more in the hassle back home of having to drive them to and fro from the school. All these are resolved if schools are part of such developments.
From a developer point of view, such mixed projects are self-sustaining and enables distribution of risk, and is better to sell, as target marketing is possible more efficiently. It also enables success of properties that are developed away from the main cities, making it cost effective to the buyers.
By Ameen Ahsan