Micro Apartments

The younger generation is starting a new trend in apartment living.  Granted, it’s not for everyone but it is catching on. Typically ranging between 180 and 300 square-feet, these tiny apartments are becoming increasingly popular among the young-and-single set and even some retirees, seeking affordable places to live in the nation’s costliest cities.  Nowhere is the micro trend hotter than in Seattle. More than 40 micro-apartment developments have been built in the city in the past three years. Other emerging micro-apartment hotspots include San Francisco, Boston, Providence, R.I., New York and Portland, Ore.

Those willing to get into a micro-apartment should expect sharing the kitchen with some of their neighbors.  Living quarters might be a room just big enough for a twin bed, corner desk, and little else.  Who needs a closet?  Hooks and shelves have dual purposes.  Micro-apartments are cropping up in major cities to meet the demands of individuals who want to live in pricey areas but don’t have the money for the pricey rents.

Micro Features

Micros, also known as “hostel-style” apartments, usually offer minimal square footage or square feet.  Most including private bathrooms, and they typically come furnished, sometimes with built-in beds and other amenities to save space. Most feature a group kitchen that may be shared among eight units.  Some are equipped with microwave ovens and small refrigerators. They also include Internet connections and utilities in the price of the rent. There are no elevators.  Few come with defined parking areas.  Instead, they get “street parking passes” for their neighborhood.  What micro apartments lack in space they often make up for in proximity to prime locations rich in restaurants, bars and shops.

Not everyone is in favor of the trend. Residents of some conventional homes and apartments worry that micro sprawl could overcrowd their neighborhood infrastructure, adding to traffic congestion and making already scarce parking harder to find. Micro developments have drawn criticism for not facing the same level of design and environmental review that a newly constructed conventional apartment undergoes because a single-dwelling is defined as a unit that includes its own kitchen and are not subject to the same regulations as other apartments.

Micro Tenants

In San Francisco, some see the potential for micro apartments to become the domain of high-paid, high-tech suburbanites who keep them for the occasional night in the city as opposed to serving as real homes for working-class residents.   In New York (where development is also taking place) many are used to living in shoebox size areas so it won’t be as dramatic as others see it.  Micro apartments may be used for college students, who have trouble finding an affordable place to live in.  Other tenants (older than college students)  near-by may not find student accommodations as what they signed up for.  If a crowd of “hi tech” individuals fill the apartment space in the city where the micros are located, it will most likely drive up the rent for apartment dwellers around them.  Techies have a way of making and setting trends.

Summary

Some realtors are not surprised by the rush to build micro apartments in the past year. Young urban professionals want to be close to where they live along with the city life that comes with it.  Another angle to look at it is that realtors may be able to sell space to these micro-dwellers where otherwise no money could be pulled in.  It’s filling the high rent district desire to those that are cash strapped niche.  A niche that previously did not exist. The average stay in a micro apartment is one year, and the residents’ average age is about 33. Most have incomes below $35,000 a year and do not own a car. No matter what your age, micro-apartments can take some getting used to — unless you’re already living in tight quarters.  This trend may not have taken hold in New Jersey yet, but when it does, property appraisers like Abbe Edleman will be there to provide property appraisals for areas where future sites may be developed.