The hottest CRE trend? A home office in your backyard

Americans forced to work from home amid the coronavirus pandemic are looking to their backyards for a bit more space and solitude to work.

They’re driving demand for accessory dwelling units that are quick, relatively inexpensive, and relatively painless to build. There are a handful of companies that offer that and business is rolling in, according to the New York Times.

Some companies offer structures that are small enough that they don’t require building permits. A couple living in Oakland got a 100-square-foot unit with electricity, transom windows, and laminate flooring for $31,000 from Boulder, Colorado-based Studio Shed.

Studio Shed’s units are made of prefabricated panels and assembled on site. The entire process from ordering to completion was a little over four weeks. Company president Mike Koenig said Studio Shed “easily doubled our sales over last year,” and expanded from 28 to 38 employees to keep up with the business.

Waco, Texas-based Kanga Room Systems manufactures prefabricated units as big as full-size cottages, according to the Times. Demand has shot up for its smallest unit, an 80-square-foot assemble-it-yourself kit that starts around $5,000.

Seattle, Washington-based Modern Shed has increased business by about 25 percent since coronavirus hit the States. “We’ve always offered this very simple solution, because you don’t need to tear up an existing house and you can just add it to your backyard,” said founder Ryan Grey Smith. “It’s this little structure where you can feel like you’re working miles away, even though you’re only 30 feet away.” [NYT] — Dennis Lynch