The latest draft of the Missoula 2045 Land Use Plan offers a vision that emphasizes balanced growth, sustainability, and resilience. The purpose of this plan is to guide future land use and growth in Missoula through a clear set of policies and strategies to support a thriving, sustainable community. The plan reflects changes in Missoula’s population growth, housing needs, and community priorities so that the city continues to grow in a way that benefits both current and future residents.
For SterlingCRE Advisors’ clients, this plan isn’t some boring policy document. Instead, it is a roadmap to emerging opportunities in Missoula’s commercial real estate (CRE) world.
Focus Inward: Infill Development and Mixed-Use Opportunities
One of the primary strategies laid out in the Missoula 2045 Land Use Plan is the “Focus Inward” approach, which encourages compact growth within urban boundaries to avoid sprawl. The intent behind Focus inward is to leverage existing infrastructure maximally.
The intended outcome of this plan is to spur significant investment in infill development. For commercial real estate investors and developers, this is an opportunity to capitalize on the increasing demand for well-connected urban environments.
Mixed-use developments within these areas can provide an attractive avenue for investors that can create properties that serve residential needs while also attracting retail and office tenants eager for accessible, well-located premises. Additionally, the emphasis on efficient land use along key transportation corridors could mean better zoning flexibility for mixed-use properties, opening doors for higher-intensity commercial developments.
However, given Missoula’s limited space for new development within the city, the feasibility of the 2045 Land Use Plan will require thoughtful implementation of its “Focus Inward” strategy. The cost of land within Missoula makes projects more expensive, particularly for housing, which offsets the potential infrastructure cost savings of infill development. Spotting gaps between cost and value as the city of Missoula grows will require in-depth market data.
Key Transit and Commuter Corridors: Transit-Oriented Development
The plan emphasizes developing housing and commercial spaces along key transit and commuter corridors, prioritizing sustainable growth and transportation access. This push aligns with a broader urban trend toward transit-oriented development (TOD), where real estate close to public transit systems experiences higher demand. Investors and developers should see this as an opportunity to acquire and develop properties near Missoula’s expanding transit network.
The Brooks Street Corridor, for instance, is an example of where planned improvements are expected to enhance transit options, increase accessibility, and support higher-density mixed-use development.
SterlingCRE Advisors represented the landlord in a recent transaction involving Mazevo Coffee. Developments like this stand to benefit from the Brooks Street Corridor improvements. Increased foot traffic and enhanced connectivity that will support its future growth.
This push aligns with a broader urban trend toward transit-oriented development (TOD), where real estate close to public transit systems experiences higher demand. Investors and developers should see this as an opportunity to acquire and develop properties near Missoula’s expanding transit network. Doing so maximizes public financing incentives aimed at reducing emissions and enhancing public transit use.
Transit-oriented projects can create spaces that are attractive not only to retailers and service providers but also to employees seeking convenient commutes. These factors boost property values and strengthen tenant demand. They also improve the likelihood of making a solid return on investment. Retail landlords, in particular, can benefit from this increased foot traffic brought by more efficient transit options.
Housing Choice and Access: Expanding Commercial Uses in Residential Areas
The Land Use Plan recognizes the importance of varied housing types throughout the city, promoting “missing middle” housing options like townhomes, duplexes, and small multifamily units. For commercial real estate investors, this diversification in housing also signals an opening for neighborhood-scale commercial ventures. As zoning evolves, the potential for integrating small retail, office, and community services within residential neighborhoods increases.
The growing Miller Creek Neighborhood is a prime example of how expanding commercial uses can enhance residential areas. SterlingCRE Advisors currently represents the landlord of The Vista, a new commercial building that now houses The Den restaurant and market. Additionally, a medical office will soon be located within The Vista, along with room for another tenant. Shops and businesses like these put key services in close proximity to residents.
Neighborhood-scale commercial use is a growing opportunity for businesses and retail operators to establish a presence in evolving residential areas. For landlords, these mixed-use neighborhoods are increasingly attractive to residents looking for convenience and quality of life.
Climate Resilience and Green Development
Missoula’s dedication to climate resilience is a key feature of the 2045 Land Use Plan. It includes goals for integrating green infrastructure, supporting multimodal transportation, and developing in environmentally sustainable ways. These climate-driven initiatives align well with the preferences of modern tenants and investors who prioritize sustainability.
For CRE developers, integrating green features such as energy-efficient building systems, sustainable materials, and accessible public spaces into future projects will likely be a requirement to align with the city’s evolving codes and consumer preferences.
SterlingCRE Advisors: Your Partner in Maximizing Opportunities
SterlingCRE Advisors is continually analyzing city and county growth plans and policy documents like the 2045 Land Use Plan to spot the best opportunities for our clients. By combining insights from these strategic public plans with our exclusive in-house data, we help our clients pinpoint ideal locations for investment and maximize the value of their portfolios. Our dedicated research and market intelligence give our clients a competitive advantage—ensuring they are positioned to capitalize on growth areas, adapt to zoning changes, and align with the city’s broader vision for a sustainable future.
The Bigger Picture: Leveraging Public Policy to Identify CRE Opportunities
Plans like Missoula’s 2045 Land Use Plan are instrumental for identifying commercial real estate opportunities. Understanding these public planning documents can help SterlingCRE Advisors’ clients anticipate where infrastructure and public investments will occur, which areas are likely to see zoning changes that enable higher-density projects, and how best to align development interests with community goals.
For example, commercial developers might consider investing in properties along key transit corridors or focusing on mixed-use projects that blend residential, retail, and green spaces. Landlords may benefit from the influx of diverse housing options, as new neighborhoods foster a community-oriented tenant base eager for nearby amenities. Ultimately, these elements help shape a future-ready approach that not only meets market demands but also builds community value in a growing Missoula.
