www.REBusinessOnline.com September 2022 • Volume 21, Issue 1 REMOTE WORK BREATHES NEW LIFE INTO APARTMENT DESIGN By Kristin Hiller he lifestyle changes resulting from COVID-19, most notably working from home and an in-creased emphasis on wellness, in-uence the way today’s apartment buildings are designed. Some of the most prominent features that archi-tects have on the drawing board today include coworking lounges, exible oor plan layouts, functional outdoor spaces and pet-friendly amenities. “With many employers moving to hybrid or fully remote work sched-ules, a well-equipped coworking amenity that gives residents all of the As residents spend more time at home, they seek larger units, coworking settings and access to the outdoors. T same features and functionality they could get at an of ce is now a must-have in new developments,” says Mary Cook, president and founder of Chicago-based Mary Cook Associates. “I don’t anticipate that changing any-time in the near future.” Cook says that her rm is putting more emphasis on the ergonomics of coworking settings, incorporating a variety of spaces where residents can work quietly or in collaboration. These spaces are also out tted with the latest technologies so that users can work ef ciently, without compro-mising anything they would have in an of ce environment. “In today’s work-from-anywhere world, an amped-up coworking area — with plenty of plug-ins and a vari-ety of comfortable seating options like booths, pods and individual of ces for privacy — is at the top of many residents’ must-have list,” says Cook. Within coworking amenity spaces, some features include phone booths, small of ces, conference rooms and rentable of ces that can be reserved and locked, according to Mike Krych, senior design leader and managing see APARTMENTS page 22 BKV Group designed The Fynn, which features work-from-home booths for its residents. KC INDUSTRIAL MARKET UNDERGOES CONSTRUCTION BOOM ndustrial projects under construc-tion in the Kansas City market have accelerated at “an exponential pace,” according to Newmark Zim-mer. As of the second quarter, con-struction activity was up 42.7 percent compared with the same period one year earlier. But overbuilding does not seem to be a concern, as Newmark Zimmer projects 16.1 million square Strong absorption has maintained equilibrium and helped drive up rents, but rising interest rates could lead to some pause. I By Kristin Hiller feet of total net absorption over the next six quarters. An increase in the price of land, ris-ing construction costs and an uptick in user demand have driven up rents in the metro area, according to the bro-kerage rm. As of the second quarter, the average asking rent was $5.68 per square foot triple net, up from $4.81 one year ago. Nationwide, in ationary pressures persist, as the Consumer Price In-dex increased 8.5 percent in July on a year-over-year basis. In late July, the Federal Reserve raised its benchmark interest rate by three-quarters of a per-centage point to a range of 2.25 to 2.5 percent. Another rate hike is anticipat-ed in September. Against that backdrop, Heartland see INDUSTRIAL page 20 A new 1 million-square-foot facility at Liberty Commerce Center is slated to open this fall in suburban Kansas City. No End Is in Sight for Kansas City’s Multifamily Development Needs page 14 Metro St. Louis Multifamily Market Caters to Aging Population page 17 Expanding Providers Boost Minneapolis Medical Of ce Market page 19