Jimmy Baikovicius, principal at Ikatu, a Boca Raton-based integrator that's working on the Jade and Asia condo projects, says updating the software is done transparently. "The touchpanel in each unit is programmed to look like a typical button-type interface, but it is actually a Web page on an always-connected browser," he explains. Each unit is a private network that rides on the buildings' common fiber-optic cabling with an ultra-high-speed DS3 connection for the entire building.

High-tech systems integration in MDUs isn't a completely new phenomenon. Luxury "condo hotels" popular in markets like South Florida and Las Vegas have often integrated so-called concierge services, ranging from unit maintenance to valet services, available to the homeowner and any guest using the unit. Gillenwater says these kinds of services, along with entertainment content packages, will help sell systems-connected MDUs, using the same kind of good-better-best approach that builders have long used for single-family residences.

"You're going to offer the same basic functionality to the entire building, such as concierge access, security camera access and cable television," Gillenwater says. "After that, the developer can arrange tiered packages of systems capability that the homeowner can either purchase along with the unit or upgrade to later. Structured wiring and an IP-based network are crucial to being able to do this, because all of the systems will need software upgrades to stay current and that's what gives the systems aspect a lot of resale value. The functionality isn't going to go out of style."

Such an implicit and potentially appreciating value proposition could overcome what Gillenwater believes has historically held back wider and more comprehensive implementation of integrated home systems in MDUs . "Developers did not see the value in systems and as a result were reluctant to pay for them," he says. "They couldn't see the possibility of passing the costs on successfully to the buyer. When you have a flexible set of systems and give the buyer options, you have a better chance of making the upsell and creating an ongoing revenue source."

Residential MDU developers will have many more choices of systems and devices to offer buyers. But systems makers caution that not everything on the market is ready for prime time, and that anything that's not bulletproof could offset the benefits of a well-connected building.

"Energy conservation, in the form of lighting control and automated window shades, is a huge priority for homebuyers now, and the processing power that you can get with a more powerful central server system makes it a real advantage," says Bill Schafer, director of channel development at control systems manufacturer Crestron. "But builders have to make sure that the components going into these systems are capable of working in an MDU environment, which is different from that of a single-family home."

For instance, Schafer cites the wide use of wireless dimmers in MDUs as a way to expedite the electricians' installation work. "But you can't put a wireless dimmer designed for a house in Kansas into a condo in Manhattan," he states. "The RF environments are totally different. The condo wireless dimmer has to be properly shielded against a higher level of RF." Echoing Gillenwater's caution, he adds, "Using components that aren't [specified] for heavy-duty use is taking a chance on making the home automation systems a liability rather than an asset when it comes to using them as a selling point." In fact, says Schafer, the products Creston recommends for MDU use are the same one it specifies for medical and military applications.

The concierge idea can go well beyond the condo hotel concept, using the building's central backbone to deliver a huge variety of services. Thus, connected MDUs offer one additional benefit to builders and building management: fees for services that can be accessed via the system. "These are all things that that can be combined to create incentives for builders to include systems like these in MDUs," says Gillenwater. "There's finally a realistic potential for ROI on the systems themselves."