Buying

Why Large Lots Are a Smart Buy in 2025

“A Case Study on 59 Menno Street, Breslau”

Introduction

As cities grow and available land becomes scarce, large-lot properties are becoming increasingly valuable for those looking to invest wisely. While smaller lots and high-density housing developments dominate the market, larger properties offer opportunities for greater financial flexibility, long-term appreciation, and multiple revenue streams.

One such opportunity exists at 59 Menno Street in Breslau. This property exemplifies how strategic investment in a large lot can provide rental income, business space, and future appreciation potential, making it an exceptional case study in why large lots are a smart buy in 2025.

The Income Potential of a Large Lot

Large lots offer more than just extra outdoor space—they provide a unique opportunity to generate multiple streams of income. With the right approach, a property like 59 Menno Street can work for its owner rather than the other way around.

The walkout basement in this home can easily be converted into a two-bedroom rental unit, providing a steady monthly income while allowing the homeowner to continue living on the main floor. With demand for rentals increasing, a well-designed basement unit could become a significant financial asset.

The insulated workshop on the property adds even more income potential. It could be rented out to tradespeople, mechanics, or small business owners needing storage or workspaces. Alternatively, an entrepreneur living in the home could save thousands each year by using the workshop instead of renting commercial space elsewhere.

For those thinking long-term, there is also the possibility of building an Accessory Dwelling Unit (ADU). With the increasing demand for rental housing and changes in municipal zoning laws allowing for more secondary dwellings, an ADU could provide additional income or multi-generational living options.

Savvy investors may also choose to build the ADU to suit their future needs. If severance is granted, they could move into the ADU as their primary residence while selling the original home, allowing them to cash in on appreciation while downsizing without leaving the neighborhood.

Mortgage-Free Faster with Smart Investments

One of the biggest advantages of a large-lot property with rental income potential is the ability to significantly offset mortgage costs. By leveraging a basement rental, workshop rental, and an ADU, an investor could potentially generate enough passive income to cover the majority—or even all—of their monthly mortgage payment.

For those who own a business or work in a trade, the ability to save thousands on commercial rent by using the on-site workshop could accelerate mortgage payments even further. Rather than paying for separate business and living spaces, an owner can consolidate expenses into a single property and build equity faster.

Long-Term Growth & Appreciation

Beyond the immediate financial benefits, large-lot properties often appreciate at a higher rate than smaller, high-density developments. As urban expansion continues, properties with significant land tend to increase in value, especially in areas where future development is planned.

In the case of 59 Menno Street, the surrounding area is undergoing municipal expansion, with new developments expected to bring full municipal water and sewer services in the future. This could make severance possible, allowing the lot to be split and sold separately, further increasing the return on investment.

Even without severance, the continued growth of the Breslau area and its proximity to major cities like Kitchener, Waterloo, and Guelph position it as an ideal location for long-term appreciation.

Why Large Lots Are a Better Investment Than Small Lots

As more buyers focus on smaller, new-build properties, those who invest in large lots gain unique advantages that smaller homes cannot offer:

✔ Higher resale value over time – Large properties are harder to find and appreciate faster in growing cities. ✔ Greater flexibility – Homeowners can add rental units, workshops, gardens, or additional structures for increased value. ✔ Multi-purpose opportunities – From rental income to home-based businesses, large lots offer more ways to generate revenue. ✔ Limited availability – As urban centers expand, land scarcity increases, making large properties a valuable long-term investment.

Conclusion: 59 Menno Street as the Ultimate Smart Buy

Large-lot properties like 59 Menno Street provide homeowners and investors with exceptional financial opportunities, offering a combination of rental income, workspace savings, and long-term appreciation.

For those looking to become mortgage-free faster, generate passive income, or invest in a high-growth area, this property serves as a prime example of why large lots are a smart buy in 2025.

 

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Tanya Tagwerker
REALTOR®
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