My super scientific Twitter balcony survey has revealed that most people seem to like balconies and terraces. Out of the 257 people that voted (not a huge number), 77.4% said that if they were in the market to buy or rent a new place, they would probably want a balcony or terrace. I realize now that my wording could have been more precise. Either way, the results seem to suggest a clear preference.

But there are all sorts of reasons for why you might want to avoid building balconies: energy performance, upfront costs, long-term maintenance, usability at high elevations, overall aesthetics, and so on. In fact, I once had an architect turn down a job because they don't typically work on residential buildings and, when they do, they refuse to work on ones that have balconies. He told me that they don't want the liability.

But then what inevitably happens is that the sales and marketing team joins the design meeting and says, "yeah, we hear what you're saying, but people like outdoor spaces." And then the great debate starts. Okay, so what percentage of the suites should have an outdoor space? What about a sliding glass well? I think so-and-so is doing it on their project. Yeah, but they're real expensive and they leak air.

The reality is that there are many buildings without private outdoor spaces and there are many cities where it is common not to build them. Moreover, my Twitter survey doesn't really tell you exactly how people might behave when they're about to make a purchasing decision. What you really want are data points and things like A/B tests.

Let's take for example two typical/identical 600 square foot suites, with the only difference being that one has a balcony and the other doesn't. Now let's say that the one with a balcony is selling for $1,400 psf or $840,000 and the one without a balcony is selling for $1,350 psf or $810,000. Will some of the 77.4% that voted balcony/terrace possibly buy the $810,000 suite? Of course. Because it's less expensive.

So how does one go about making the right decision when it comes to designing for outdoor spaces? Well, in some cases, you won't have a choice. We have had instances where the City has asked us (okay, forced us) to remove all of the balconies on a particular elevation because they didn't fit with the urban design aesthetic that they wanted for the streetscape. That always pisses me off.

That aside, my view -- and this is just my opinion -- is that you can't generalize when trying to make this decision. You need to carefully consider who your customer is or will be. I've written before about the divide between investor demand and end-user demand in residential buildings. It impacts design, and outdoor spaces are no different.

If you take for example Junction House, it is a predominately end-user building. That's who we thought would be buying and that is who bought. When the team was designing the two-storey House Collection, the intent was to create a kind of substitute for low-rise housing. And so these homes had to have outdoor spaces (they have terraces). This was never a question or a debate.

Similarly, one of the reasons why One Delisle looks the way that it does is because the team set out to create unique terraces, as well as varying outdoor spaces, all throughout the tower. The thinking was, "people like terraces in mid-rise buildings, like Junction House, so let's figure out how to do that in a high-rise building typology."

At the same time, we have suites with Juliet balconies at Junction House and it is certainly true that the above recipes may not be suitable for every project. Again, there are lots of buildings without private outdoor spaces, including ones that have sold during this pandemic. One of the things that I have also discovered is that common area outdoor spaces and nearby green spaces can have an impact on whether or not people feel they need private outdoor space.

All of this to say that one size does not fit all. Which is probably why this topic remains such a great debate.

Note: I am making a distinction between balconies and terraces. Balconies typically cantilever out from a building and are not insulated. Terraces, on the other hand, are typically a roof condition in that they sit above a conditioned space. This usually means that the concrete slab will need to get "built up" with insulation and paving. A drainage system will also be required.

Image: Junction House

Since 2009 when the U.S. economy started to recover, housing starts (i.e. new residential construction) have favored multifamily buildings over single family housing. Apartment/condominium construction has grown 3 times faster according to the U.S. Census Bureau (via Bloomberg).

A lot of this multifamily construction is assumed to be rental apartments, but this category also includes for sale condominiums. The classification has to do with building typology rather than housing tenure. (I would love to see how the above graph breaks down in terms of the latter.)

The typical explanations for this trend often relate back to Millennials being poor and saddled with student debt. That’s why they’re delaying buying single family homes. But eventually the expectation is that they will resume doing (largely) what previous generations have done.

Money and the economy, I’m sure, have something to do with the above trend. But I’m not convinced that it’s the whole story. 

There are also shifts happening with respect to consumer preferences and with respect to how we plan and build our cities. That’s why I’m very interested in monitoring family formations and housing choices. 

At the same time, I’m also a Millennial. And whenever I catch myself thinking a certain way, I assume that there are probably other Millennials out there who feel similarly.

My super scientific Twitter balcony survey has revealed that most people seem to like balconies and terraces. Out of the 257 people that voted (not a huge number), 77.4% said that if they were in the market to buy or rent a new place, they would probably want a balcony or terrace. I realize now that my wording could have been more precise. Either way, the results seem to suggest a clear preference.

But there are all sorts of reasons for why you might want to avoid building balconies: energy performance, upfront costs, long-term maintenance, usability at high elevations, overall aesthetics, and so on. In fact, I once had an architect turn down a job because they don't typically work on residential buildings and, when they do, they refuse to work on ones that have balconies. He told me that they don't want the liability.

But then what inevitably happens is that the sales and marketing team joins the design meeting and says, "yeah, we hear what you're saying, but people like outdoor spaces." And then the great debate starts. Okay, so what percentage of the suites should have an outdoor space? What about a sliding glass well? I think so-and-so is doing it on their project. Yeah, but they're real expensive and they leak air.

The reality is that there are many buildings without private outdoor spaces and there are many cities where it is common not to build them. Moreover, my Twitter survey doesn't really tell you exactly how people might behave when they're about to make a purchasing decision. What you really want are data points and things like A/B tests.

Let's take for example two typical/identical 600 square foot suites, with the only difference being that one has a balcony and the other doesn't. Now let's say that the one with a balcony is selling for $1,400 psf or $840,000 and the one without a balcony is selling for $1,350 psf or $810,000. Will some of the 77.4% that voted balcony/terrace possibly buy the $810,000 suite? Of course. Because it's less expensive.

So how does one go about making the right decision when it comes to designing for outdoor spaces? Well, in some cases, you won't have a choice. We have had instances where the City has asked us (okay, forced us) to remove all of the balconies on a particular elevation because they didn't fit with the urban design aesthetic that they wanted for the streetscape. That always pisses me off.

That aside, my view -- and this is just my opinion -- is that you can't generalize when trying to make this decision. You need to carefully consider who your customer is or will be. I've written before about the divide between investor demand and end-user demand in residential buildings. It impacts design, and outdoor spaces are no different.

If you take for example Junction House, it is a predominately end-user building. That's who we thought would be buying and that is who bought. When the team was designing the two-storey House Collection, the intent was to create a kind of substitute for low-rise housing. And so these homes had to have outdoor spaces (they have terraces). This was never a question or a debate.

Similarly, one of the reasons why One Delisle looks the way that it does is because the team set out to create unique terraces, as well as varying outdoor spaces, all throughout the tower. The thinking was, "people like terraces in mid-rise buildings, like Junction House, so let's figure out how to do that in a high-rise building typology."

At the same time, we have suites with Juliet balconies at Junction House and it is certainly true that the above recipes may not be suitable for every project. Again, there are lots of buildings without private outdoor spaces, including ones that have sold during this pandemic. One of the things that I have also discovered is that common area outdoor spaces and nearby green spaces can have an impact on whether or not people feel they need private outdoor space.

All of this to say that one size does not fit all. Which is probably why this topic remains such a great debate.

Note: I am making a distinction between balconies and terraces. Balconies typically cantilever out from a building and are not insulated. Terraces, on the other hand, are typically a roof condition in that they sit above a conditioned space. This usually means that the concrete slab will need to get "built up" with insulation and paving. A drainage system will also be required.

Image: Junction House

Since 2009 when the U.S. economy started to recover, housing starts (i.e. new residential construction) have favored multifamily buildings over single family housing. Apartment/condominium construction has grown 3 times faster according to the U.S. Census Bureau (via Bloomberg).

A lot of this multifamily construction is assumed to be rental apartments, but this category also includes for sale condominiums. The classification has to do with building typology rather than housing tenure. (I would love to see how the above graph breaks down in terms of the latter.)

The typical explanations for this trend often relate back to Millennials being poor and saddled with student debt. That’s why they’re delaying buying single family homes. But eventually the expectation is that they will resume doing (largely) what previous generations have done.

Money and the economy, I’m sure, have something to do with the above trend. But I’m not convinced that it’s the whole story. 

There are also shifts happening with respect to consumer preferences and with respect to how we plan and build our cities. That’s why I’m very interested in monitoring family formations and housing choices. 

At the same time, I’m also a Millennial. And whenever I catch myself thinking a certain way, I assume that there are probably other Millennials out there who feel similarly.