Mixed-use buildings offer exceptional versatility for property owners and accommodate a wide range of use for tenants. However, they present unique challenges when it comes to insurance and require specialized coverage. Finding out how to properly insure your mixed-use building is easier alongside a professional. Serving clients for over 100 years across multiple states, Muller Insurance specializes in these types of policies and has you covered. Here, we’ll take a closer look at how the different types of businesses you rent affect the types of coverage you will need.

What is a Mixed-Use Building?

Mixed-use properties are those that serve multiple functions. They typically combine two or more types of real estate, such as retail and residential or office and commercial in a pedestrian-friendly setting. By combining different property types, developers and landlords are able to better serve the businesses and residents who occupy their spaces, as well as the neighborhood as a whole.

Oftentimes, mixed-use buildings contain many commercial entities that have their own unique insurance needs. As an owner of a mixed-use building, it’s important to understand the tenets that rent from you and seek out the most appropriate coverage from an insurance professional.

Types of Mixed-Use Insurance Coverage

Your insurance policies should provide the same coverage they would for apartment buildings and simultaneously protect your retail spaces. Some of the different types of coverage you may need include:

  • Residential: Each mixed-use building with residents needs to have its own landlord policy, which will reimburse the owner for repairs if the building is damaged or destroyed. It also covers loss of rental income if the building is unable to be used by your tenants for a period of time.
  • Retail: In order to protect retail spaces, you will need a mixed-use insurance policy that is appropriate for buildings with retail shops. In doing so, your business property will be protected from loss or damage. Retail liability coverage typically includes damages to signs, merchandise, and structures as well as injuries to clients.

If your commercial space is occupied by a non-retail business, a specialized policy is needed to ensure proper coverage. Some examples of these types of renters include:

  • Cafés, restaurants, and bars
  • Childcare centers
  • Corporate offices
  • Salons and barbershops

It’s important to note that while your tenants may not need to insure any part of the building itself, they should insure their own belongings. What’s more, mixed-use buildings may also need additional coverage to comply with complex building codes and ordinances, as well as inherent risks associated with locations susceptible to flooding and other unfortunate natural events.

Learn More about Mixed-Use Building Coverage

If you own a mixed-use building, it is essential to work with an insurance adviser who can provide customized solutions tailored to the unique needs of your property. Muller Insurance serves property owners from New Jersey, New York, Connecticut, Pennsylvania, Nevada, and other states, guiding them through the process and finding the ideal insurance policies for them. Reach out to us today to learn more information.

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