Mixed development vs integrated development: Do you know the difference?

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Connectivity

By Joseph Wong

josephwong@thestar.com.my

There are many mixed developments in Malaysia but fewer integrated ones in this country. Malaysians typically interchange to two definitions without being fully aware that there are differences between the terms “integrated development” and “mixed development”.

A mixed development usually is a residential project such as a condominium or serviced apartment venture some form of commercial element added to it. This can be in the form of a coin-operated laundromat, small grocery shops or café outlet for the convenience of residents.

MRT train moving  toward Kajang from Kuala Lumpur City Centre on first day opeartion after the Prime Minister  launching MRT Sungai Buloh -Kajang lanetoday.. AZHAR MAHFOF/The Star.

It is different for integrated development. This implies a complete integration of amenities, retail space, transportation, dining and lifestyle component.  A prime example is the transportation hub KL Sentral, which is linked to the mass rail transit (MRT), light rail transit (LRT), trains (KTM), monorail as well as buses.

There are also hundreds of shops and retail outlets within out outside of the hub including Nu Sentral Mall.

Due to this, integrated developments can command higher premiums as they tend to have better rental returns and experience greater capital appreciation.

Interestingly, a smaller integrated development can sometimes be referred to as a mixed development, abet technically imprecise, but not the other way round.

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