The invention relates to a coated article having enhanced reversible thermal properties. The coated article comprises a substrate having a surface and a coating covering a portion of the surface and comprising a polymeric material and a temperature regulating material dispersed in the polymeric material. The coating is formed with a plurality of regions of discontinuity that are separated from one another and expose a remaining portion of the surface to provide improved flexibility, softness, air permeability, or water vapor transport properties. The coated article may be used in apparel, footwear, medical products, containers and packagings, building materials, appliances, and other products.