Multifunctional complexes

Multifunctional complexes are relatively new, but at the same time an attractive and rapidly developing segment of our real estate market. The main trend of the real estate markets in Europe and the USA, followed by the development of the markets of large cities of the CIS, can be called a gradual shift in preferences towards the construction of large objects of a mixed type.

A multifunctional complex is a real estate facility (or several facilities) that combines premises of two or more operational purposes (shops, office space, entertainment facilities), in which commercial and residential functions can be combined. In this case, as a rule, one of the functions is the main one.

Today, in megacities, there is an acute problem of a shortage of land plots allocated for construction by facilities of any type. The frantic rhythm of life, the imperfection of the transport system and many other nuances of the life of million-plus cities make us look for new solutions to the problem and a way out of the current situation. In this regard, the active interest that buyers and tenants of real estate, as well as market players show in universal mixed-use buildings, is quite understandable.

However, the very concept of multifunctionality does not always have a real basis for such a name. Until now, the most common were the so-called retail and office complexes (a non-residential facility in which the main function is retail, while part of the building is occupied by office space), or vice versa: the office part dominates with a relatively small commercial component. In this case, both functions of the facility, as a rule, are neutral with respect to each other.

A few years ago, it was precisely such areas (one- or two-way) that had the most attractive characteristics in terms of payback periods and construction costs. It could be, as already mentioned, shopping and office centers, hotel and shopping or hotel and office complexes, shopping and entertainment or multifunctional residential complexes. Their so-called limited multifunctionality, ie. the presence of a dominant and one less developed module of additional space, today no longer meet the requirements of the market. Therefore, the emergence of truly large-scale multifunctional complexes with a rich infrastructure: an entertainment part, a hotel, and apartments is one of the latest trends.

The creation of multifunctional complexes is due to the following advantages over highly specialized centers:

• efficient use of land and saving resources (in particular, energy resources);

• reduction of unit costs for the creation of facility due to its scale;

• Possibility of flexible re-profiling in case of increased competition in the market;

• the target audience has several reasons for visiting the site;

• high investment attractiveness of the project, due to the reduction of risks by diversification of investments (investment in different types of real estate).

However, the construction of such facilities brings with it not only positive features and the possibility of solving the problem, but also additional difficulties that most often arise during their creation:

• selection of the concept of the complex at the design stage (should take into account the timing of construction and possible changes in the market during this period);

• zoning of facility to avoid possible clash of functions;

• application of a well-thought-out strategy for positioning and further promotion of facility;

• it is necessary to take into account the specificity, cost of operation and management of the facility, as well as the constant maintenance of the building at a qualitative level.

It is obvious that this segment is one of the most difficult on the market: projects of multifunctional buildings require especially careful study. Despite the fact that the hotel component appeared in the multifunctional complexes later than the others, it will soon become an integral part of the multi-complexes under construction. This is also associated with the development of the country's tourism and business activity, respectively, the progressive shortage of space for accommodating people, and, as a result, a successful investment in facility that requires long-term investment, but as a result, generates income that exceeds the return on business center or its retail part.

Multifunctionality prolongs the profitability of facility. The coordination of several components in one facility will allow to receive income from the complex at different stages of its development (first, commercial premises will bring profit, then offices, and then the hotel component, which will eventually become the fundamental financial flow).

With a competent approach to all components at the design stage (from the design features of the complex as a whole to the final management and ownership of the building), the multifunctional complex should ultimately be a kind of city that provides its "residents" with the necessary conditions for existence to the maximum, which contributes to the growth of the popularity of the complex among target audience. Investors, in turn, will receive facility that brings profit at all stages of the project's life: from the launch of the first stage (with proper planning, facility can be launched in stages) to the period of "obsolescence" of the areas and their partial re-profiling.

It can be considered that the construction of multifunctional complexes today is rather a necessity and, as a result, an inevitability, allowing, on the one hand, to solve the issues of developing the infrastructure of megacities, and on the other hand, to allocate capital to investors that will bring profit in the future.