South Florida retail projects morphing into mixed-use "live-work-shop-play" environments

South Florida retail projects, like many others throughout suburban communities around the country that are experiencing a housing shortage, are adding multifamily uses evolving the long-lived shopping centers into truly mixed-use properties. Some examples:

- The Bainbridge Companies will redevelop The Mall at Wellington Green in Palm Beach County, adding a 620-unit apartment project, a clubhouse and a parking garage on the former Nordstrom site.

- Simon Property Group plans to redevelop the former Sears site at Town Center at Boca Raton into a mixed-use project with a 197-room hotel, 374 apartments and 157,000 square feet of retail.

- Washington Prime Group Inc. plans to redevelop Boynton Beach Mall into a mixed-use project, with at least 1,700 apartments, which includes the Macy's site.

- Russell Galbut unveiled updated plans for the redevelopment of The Galleria at Fort Lauderdale into a mixed-use district with nine 30-story towers, more than 3,000 apartments, a 170-room hotel, office space, 30 restaurants and revamped retail.

- Whitman Family Development plans to expand Bal Harbour Shops with three 275-foot towers, including offices, a hotel and 500 apartments.

- Affiliates of Midtown Opportunity Fund plan to redevelop The Shops at Sunset Place in South Miami by adding to the retail property seven towers ranging from 12 to 33 stories, 1,513 residences, a 287-room hotel, a 1,300-seat movie theater, offices, restaurants and entertainment uses.

- Simon Property Group is redeveloping Miami International Mall as a mixed-use development, where Greystar has proposed an 896-unit apartment project on the former Sears and JCPenney sites.

What’s driving all this?

Retail properties are increasingly transforming into mixed-use developments with multifamily housing to maximize underutilized land and diversify revenue streams against market forces volatility.

Driven by changing consumer preferences toward walkable, sustainable, and convenient "live-work-shop-play" neighborhoods, these redevelopments inject a built-in customer base directly above or adjacent to existing stores, effectively boosting foot traffic and retail sales.

Moreover, combining retail and residential uses allows developers to address severe housing shortages and capitalize on the resilient demand for multifamily units, creating a symbiotic ecosystem that achieves accelerated lease-up periods, higher rental premiums for both retail and apartments, and long-term asset appreciation.

Read more: Mixed-use mania: Mapping mall redevelopments planned in South Florida (The Real Deal)