I'm always doubtful of mixed development properties where a condo is built above a commercial center like malls.

Mainly because if the mall fails, which is often, you'll be stuck with a property that looks like an abandoned project. Because the face of the property is the mall.

I would rather a standalone condo project, but is nearby a commercial area.

I meant the condo shouldn't be associated with the commercial area. It should be its own standalone development. Merit should be its value based on location, convenience and market price.

When a condo is built above a commercial mall, the face of the condo is the mall. It doesn't matter if it looks fantastic inside the condo compound when the entire outlook of the property look like a ghetto when the mall fails. Thus when buying a condo with a mall attached, the premium is partly because of the mall as well. If the mall fails, then your premium goes with it. In other words, the valuation of your condo solely depends on the success of the mall.

Malls need a certain population/visitors to keep it running successfully. It cannot sustain itself just from the condo population itself. And when shops inside malls fail, it has a cascading effect. No one wants to visit a dying mall, and leftover shops inside has less incentive to stay open. Thus once a mall starts dying, it will fail quickly if nothing is done to attract more shoppers and retailers.

This post has been edited by Skidd Chung: Jan 16 2023, 12:49 PM