i was part of an art gallery that did this.
the owner of the building had a frame shop and then the other half of the building was all hand crafted items - there was textile arts by me, jewelry by some one else, pottery by some one else, etc.
this place was special because he would not allow duplicate items - meaning no one else sold jewelry except that person, etc.
sadly when the economy went south he couldn't keep the building any longer.
i tried to get all the artists to go in on the space together but they didn't feel it was worth it.
now i work with all the local galleries and boutiques instead of having my own space - the upside for me now is i don't have to be there and i'm glad it worked out the way it did.
my income has remained the same and i don't have to spend time in the store trying to move product the owners do that for me.
when they need more product they just give me a call and i drop more off.