How do Mixed-Use Development Impact
Workplace Environments?
Mixed-use developments are transforming urban landscapes by integrating residential, commercial, and recreational spaces into cohesive communities. The potential benefits of this type of development for offices, specifically, are significant: a better work/life balance, walkable amenities, reduced commutes, a sense of community connection, and environmental impacts. We sat down with Workplace Practice Leader
Deborah Lukan and Architect and Urban Designer Nick Bilgri to talk about how a live/work/play approach is driving vibrant workplaces.
Nick Bilgri AIA, LEED GA // Architect | Urban Designer
Deborah Lukan AIA, LEED AP, NCARB, FITWEL AMBASSADOR // Workplace Practice Leader
Mixed-use developments have been around for a long time, and we often talk about the live/work/play aspect of this project type. It sounds like mixed-use has some new momentum these days though –what’s driving these developments right now?
DEBORAH The economic resilience of mixed-use developments is appealing as they offer diversified income streams, the possibility to maximize return by vertical stacking in urban environments, and can share infrastructural costs. There is an inherent flexibility benefit to mixed-use developments, allowing individual buildings to leverage growth in different markets and expand or contract accordingly.
In addition to the economic advantages, there are lifestyle preferences about the conveniences of the proximity between home, work, and recreation, and the dynamic, active setting that mixed-use locations provide. Vibrant developments crafted to provide activity at different times of the day offer a unique sense of identity and placemaking that is unmatched in developments focused solely on individual program types.
We also see momentum behind innovation hubs generated around an established program that could be a university, athletic stadium, a healthcare program, or a specialized corporate end user.
NICK We’re seeing a push towards big institutional partners driving these innovation hubs. A university or healthcare system might invest in a flagship building or program that attracts other entities. It makes sense for related companies to gravitate towards these hubs that intertwine academic and professional opportunities, and this activity starts to spur further growth in amenities like retail and restaurants to support the hub.
If these large institutions are the catalysts attracting other entities, you may not know who the other investors and major tenants will be. How do you think about planning both near-term and long-term growth?
NICK What we’re really doing is creating an ecosystem in which separate components can grow over time. In addition to the big institutional anchor component, we may have a range of start-ups and established businesses. For these innovation hubs to support growth, we have to design for flexibility and change; we need footprints that accommodate the needs of diverse businesses, and we need to implement smart urban planning strategies and architectural solutions that adapt and evolve.
DEBORAH It’s also so important to think about the right mix of components that truly support innovation. We might have co-working, hospitality, job training, labs, professional services, health sciences, and educational components in addition to the traditional live/work/play elements of mixed-use. You can’t just have one or two – it takes a deliberate mix of the right elements to make the magic happen.
What other trends are you seeing in the mixed-use markets these days?
NICK One thing we’re seeing in the Southeast in particular is ballpark-centered development. We see, for example, minor league teams moving to new stadiums to upgrade their facilities and comply with franchise requirements, and then these stadiums are anchoring larger entertainment districts. Companies like to be located near these districts; a baseball game is an ideal spot for corporate outings, and a lively neighborhood is a draw for employees, too. It’s not so much that mixed-use developers are driving this trend, but these external forces create some great live/ work/play opportunities.
If you’re an employer trying to decide where to locate your next office building, these kinds of amenities seem like a huge draw. Are mixeduse developments working well for employers?
DEBORAH Mixed-use developments create vibrant environments that improve employee quality of life and attract top talent. For employers, this boosts recruitment and retention. For owners and developers, even with significant class B office space available, we see the demand continuing to climb for well-located, high-performing commercial spaces that can command premium lease rates.
NICK I don’t think we can overstate the value of convenience and proximity to amenities. If you think about the average one-way commute in major American metros being 30 minutes, that’s at least an hour a day you’re spending in the car. If I need to run home at lunch or run errands offsite, that starts to be a lot of hours out of my week. If I can live near where I work, I gain time back. I can spend more time enjoying my free time with my loved ones instead of sitting in traffic.
People seem to enjoy mixed-use developments as a destination even if they don’t live or work there. We love to go somewhere we can enjoy a pedestrian lifestyle, even for a couple of hours.
DEBORAH Walkability plays a vital role in the success of mixed-use environments. Thoughtful design must address vehicular access and parking in a way that’s safe, intuitive, and minimally intrusive. When parking is convenient, visitors are free to enjoy the whole experience — walking to lunch or running errands. It also promotes a more sustainable, healthy, and engaging lifestyle that doesn’t rely on constant car use.
On to practical matters: how is the mixed-use market responding to a climate of economic uncertainty these days?
DEBORAH Uncertainty in the market is challenging; however, even in today’s cautious investment landscape, mixed-use developments continue to inspire confidence. These developments bring a strategic blend of location, amenities, and community appeal that attracts companies, top talent, institutions, and residents alike offering more opportunity and long-term value than traditional office buildings.
NICK Mixed-use projects often come together at the regional or municipal level, with funding shaped by local mechanisms such as property tax revenues and publicprivate partnerships (P3s). These partnerships empower local governments to actively influence development outcomes, aligning investments with community needs and priorities. When all stakeholders are engaged, the process becomes more integrated and authentic, resulting in placemaking that reflects the character and aspirations of the community. Thinking locally yields more meaningful and sustainable results.
This sounds like one of those situations where everyone wins!
DEBORAH: Exactly. When we start to bring the right components together, these kinds of significant investments start to “pencil” in terms of feasibility. Investments in public transit or infrastructure start to make more sense when we design them around density from increased private investment, and this creates compounding benefits in terms of community and sustainability. When we hit the right balance of live/work/play, we can develop destinations for the whole community to enjoy. It’s about placemaking, not just building. If you’re an employer or an employee, would you rather go to work at a “place” instead of just an office? Whether it’s an innovation hub, an entertainment district, or a retail center, mixed-use developments continue to be a great place to do business.
Meet the Contributers
Architect and Urban Designer Nick Bilgri is passionate about designing more resilient communities along the Southeastern coast and beyond. He takes a holistic, research-based approach to his work to assure a quality design, and enjoys the creative solutions achieved through firmwide collaboration. Since joining LS3P, Nick has worked on a diverse portfolio of projects spanning urban design and architecture, including those for civic, workplace, education, multi-family, and hospitality markets.
Deborah is a seasoned project manager and director renowned for delivering extensive and intricate mixeduse and urban projects. With over 22 years of experience in the field, her portfolio boasts diverse accomplishments, including high-end mixeduse developments, global campuses, corporate headquarters, and repositioning projects. Her exceptional track record is evidenced by the acquisition of 27 prestigious awards, marking her projects’ transformative impact on cities and skylines across the United States. Deborah’s dedication to prioritizing sustainability is exemplified through her work, with her projects collectively responsible for over 12 million GSF in LEED Gold and Platinum certification.