We just heard about a new kind of “mixed-use development” (you know, retail shops on the ground floor, residences up above.) Some of the new townhouses being sold in a planned resort community come with a first-floor retail shop. The owner of the townhouse owns the shop space as well!
- The retail space and a powder room on the ground floor total 753 square feet.
- The two upper floors provide 1,935 square feet of living space (3 bedrooms, 2.5 baths).
- A carport in the back contains the stairway leading to the living space.
- A balcony on the second level overhangs the retail entrance on the street.
- The townhouse owner can then choose to operate a shop in “their” space, or, be a landlord, and rent it out to another retailer.
While a 3-bedroom condo might not be your idea of “downsizing”, the opportunity to also own the retail space offers some intriguing opportunities.
- Maybe you still want to run a small shop (perhaps a smaller version of what you’ve been doing for many years.)
- The internet could balance out the seasonality of being in a resort community.
- Or, you rent out the space to another retailer, and receive the rental income.
As we thought about it more, this may be a concept that already is happening in a variety of settings other than a resort community.
- Perhaps a college town?
- Or, in one of the “lifestyle centers” that are being built/redeveloped in suburban communities?
- Or, maybe in the town where you already live?
We think it's a fun new wrinkle on an issue facing many owners. All part of “making the business work for you!”
Might it be "an exit strategy" to look into?