Addressing the Housing Market
The housing data has long been clear: there is not enough affordable housing available. The mix of types of housing (i.e., multi-family, condominiums, HOAs, and SLRs (Single Family Residences) does not adequately match our growing needs. Meanwhile, municipalities and developers are attempting to plan for evolving trends, designs, and technologies needed in the future condo market attracting 30-somethings and retiring Boomers.
One of the methods available to ease the housing inventory shortage is progressive zoning reform. These changes could include higher height and density parameters for condos and multi-family developments. Increasing the number of residential zones in urban areas while expanding mixed-use zoning to encourage residential development to be near retail and commercial establishments.
An example of this trend is the recent approval of building permits for a mid-rise condo on Pine Street by the Portland Planning Board despite neighbor objections to the height of the building. Another controversial housing density tool is the allowance of ADUs (Accessory Dwelling Units) in established residential neighborhoods where they have been prohibited in the past per building code. Though ADU’s are typically associated with single family properties, a Portland developer has introduced for the first time two separate condo developments to include ADU’s creating ‘new age starter homes.’
One of these projects is a 100-unit development off outer Congress Street in the Stroudwater neighborhood. The proposed condo units will have an attached studio apartment for relatives in a multi-generational household or as a rental for supplemental income. This ADU-type of condo is possible because of the passage in 2022 of L.D.2003 allowing accessory dwelling units statewide even in communities currently prohibiting them. This same developer has introduced a second 100-unit condo/ADU mixed complex in Portland on Auburn Street. The progress of these proposed projects is being monitored by other developers throughout Maine.
Another interesting trend is the significant increase in the number of ongoing and proposed luxury condominium developments despite Maine’s cities facing an affordable housing crisis. There should be no surprise the recent housing sales reports reveal Cumberland and York counties leading the state in expensive residential sales with Portland and other urban centers as the source. The reason developers are choosing luxury unit projects over more affordable is of course scarcity. These urban areas only have a limited number of lots suitable for multi-family development under current planning rules. This results in condo developers proposing high-end condominiums to seek the most affluential buyers to maximize their investment.
Transforming the Home into a Tech Hub
As one would expect, condo technology improvements reflect the modern national trends of ultra-connectivity; convenience; and sustainability. And not surprisingly, many of these require the universal availability of smartphones giving rise to the trend toward smart apartment technology. New condo unit systems are routinely controlled from a distance with apps used for unit climate control; energy conservation; safety; and security. Upon entrance or egress of smart units, the alarms are activated on and off; the proper room temperature is set; the current weather is reported; and building updates are provided.
The recent pandemic accelerated the use of in-home, on-line shopping with phones screening deliveries at the door with audio / visual doorbell cameras. In multi-family buildings, vestibules are being designed with secure, automated parcel delivery systems. Upon arrival of the package, the system notifies your phone of its arrival and secures it until your pickup. Large buildings with ‘fob’ tag systems are being upgraded with automatic pass-thru security for elevators; common rooms; and other secure spaces through use of smart phone coding. These amenity features will include free Wi-Fi in common spaces; remote office/ Zoom meeting spaces; and dedicated pet waste disposal stations. Even the garage door will open when sensors recognize your license plate.
Smart home technology is not limited to new luxury condominiums. Existing condos can easily be retrofitted for these tech benefits without a major investment by simply installing the proper sized, property-wide Wi-Fi extension hub equipment to permit all smart devices in the building to connect wirelessly with limited interruption. An alternative method would be the installation of 5G small cell technology throughout the complex with each unit having a PropTech (Property Technology) device. Unit owner training is necessary.
An existing condo may wish to consider converting an under-utilized space into a coworking space. A modern trend for condos is to meet the needs of residents who wish to remote work to reduce commuting costs or just get out of their unit. With a high-speed Wi-Fi system and adding chairs, tables, and a new printer, a condo complex can create a valuable alternate workspace amenity for its residents.
In today’s competitive real estate market, property managers and condo boards should always be striving to ensure their condo complex not only meets today’s needs for its residents but the future needs to protect the market value in the eyes of future buyers. Improvements to security, energy efficiency, convenience, and overall unit owner wellness will always pay dividends.
Written by Jack Carr, P.E., R.S., LEED-AP, Senior Consultant Criterium Engineers
Published in Condo Media