According to RealNet Canada Inc., in October 2003, nearly 30 high rise developments in Toronto featured units between 300 and 400 square feet and another 54 projects were selling suites between 400 and 500 square feet.

With the increasing cost of land and construction driving the price-per-square-foot of condos higher, smaller units open the market to budget-conscious buyers.

Does size matter? Less so when you merge efficient design with affordability. Open concept floor plans, innovations in furniture and cabinet design and multipurpose appliances allow for more efficient use of even the smallest space. Developments that include smaller units and that incorporate common area amenities offer buyers an affordable option without sacrificing lifestyle advantages. Resident media lounges, guest suites, fitness facilities and personal storage lockers are often incorporated into new developments so buyers have all the extras on-site without the need for a larger apartment.

According to Ted Tsiakopoulos, senior analyst with Canada Mortgage and Housing Corporation (CMHC), the condo buyers market is shifting to include more people who are looking to move up to a larger condo and those who are moving down from larger family homes but still want over 1000 square feet of living space. Does that make smaller units a tough sell? One Toronto developer finds that most people are initially skeptical about squeezing into a smaller condo until they are exposed to some of the advantages.

Toronto’s Downtown Plaza gives a glimpse of where the trend is working. Designed as a condominium hotel, owners can use their own space or rent it out on a daily, monthly or an annual basis and earn back a proportionate share from an income pool. Units are sold furnished and condo fees include typical hotel services. Although the market for projects like Downtown Plaza is limited many developers and buyers benefit from making smaller units an available option.

Apart from providing an affordable option to first time buyers, compact condo units are attractive to buyers who want rental income and commuters who spend their workweek in the city. Smaller condos also provide a practical solution for families supporting students that are living away from home and who would otherwise be paying high rent.

Whether you are a student or young professional, if you’re just entering the condo market, chances are you’ve been paying rent in some type of shared accommodation and your personal space has been limited to the size of your bedroom. Add up the hours you spend away from home while at work or in leisure activity and weigh them against the time you do spend at home and it’s easier to strike a balance between space and budget, especially when your accommodation costs are viewed as an investment rather than an expense.

Most developments in Calgary offer a variety of floor plans with an average new condo ranging from around 600 to just over 1000 square feet — not much of a squeeze when compared to Toronto where the measure is between 475 and 550 square feet.

From whatever end of the spectrum, condo designers are truly thinking outside the box and optimizing square footage with creative floor plans that use angles and open concept more effectively. Frequently offered as standards in new developments, high ceilings and large windows give a greater sense of space while features like kitchen islands with breakfast bars and dual function appliances make smart use of it. Even if your condo budget is a tight squeeze, your condo doesn’t have to be.