The current cover story of Development magazine interviews a half-dozen mixed-use developers on current trends and their expectations for the future. Concerns such as rising construction and building materials costs, declining job growth and the downturn in residential development are leading to postponements and outright cancellations of mixed-use developments in some areas - California, Las Vegas and elsewhere. Still, experts say the synergies of mixed-use still offer advantages over single-asset developments for well-planned, well-located properties.

Development is the official publication of the national Association of Industrial and Office Properties.

Mixed-use fever shows no signs of cooling, according to a survey published in Building + Design magazine. The Fall 2006 survey of development execs, conducted by National Real Estate Investor and Retail Traffic magazines, showed that mixed-use was the dominant retail property type for both new development and redevelopment projects over the previous 12 months.

Here are the stats:

• 28% of respondents developed mixed-use properties during the last 12 months.
• 28% developed freestanding/single-tenant properties.
• 25% developed non grocery-anchored strip centers
• 18% developed lifestyle centers.

Mixed-use projects ranked even higher in developers’ future plans. Fifty-two percent plan to develop mixed-use properties, followed by freestanding, single-tenant properties (36%), non-grocery-anchored strip centers (32%), grocery-anchored strip centers (30%), downtown urban centers (29%), and lifestyle centers (28%).

The reasons? More people want to live - and shop - in urban areas where the action is. And the rising cost and availability of greenfield sites is prompting developers to consider in-fill in urban areas. Also, communities increasingly want “smart-growth” projects that minimize sprawl and create a live-work-play environment.