Mixed-use developments have the potential to provide financial security and make any investor’s property portfolio more diverse, a property firm has claimed.
Despite being one of the most overlooked types of properties, mixed-use developments have the potential to provide high returns as these increase in value over time.
What are mixed-use developments?
When properties are designed for multiple purposes and are comprised of two or more types of real estate, they are described as “mixed-use”.
Different uses include but are not limited to shops, restaurants, takeaways, cafes, pubs, banks, legal practices, estate agencies, and more.
Property director for London City Auctions, Chris March, explains: “There are numerous advantages to investing in mixed-use properties. From high rental value, multiple income streams, and low vacancy rates, these are solid investments.”
Mixed-use developments on offer
London City Auctions have two properties on offer at their next auction. The first is a freehold mixed-use property located in Rhyl, Wales.
This property is described as being in an excellent location as it sits opposite a busy town centre, meaning it is likely to attract business from local shops and beach visitors. A potential rental income of £18,00 a year could be made and the current guide price is £200,000.
The second mixed-use property that is on offer is based in Worcestershire. This freehold investment opportunity is located in Evesham town centre and has a potential rental income of £12,960 a year.
Chris March concludes: “By converting unused space above into residential accommodation, you add value to the property whilst retaining its retail value and can source multiple income streams.”