Developments like this can spur the need for more transit options around cities, such as Trams/LRTs and trains. It can also keep business in the city and inside your neighborhood and make a city more walkable and enjoyable. Ultimately less car dependent.

The hard part for cities is to implement this well. Currently almost all new buildings in north america prioritize 1 and 2 bedroom units. Trying to find a well priced 3 or 4 bedroom in a "lively" downtown center, close to transit and work, with plenty of schooling in the area is almost impossible.

Here's another good article talking about why developers don't provide adequate family units.

https://www.centerforbuilding.org/blog/we-we-cant-build-family-sized-apartments-in-north-america

If this same building technique was implemented in north america, together with rethinking zoning requirements it could push developers to create these "missing middle" communities.