NEW YORK CITY—Modular construction often connotes prefabricated single standing homes or an idea useful for remote areas with labor shortages. But Isaac-Daniel Astrachan, the executive architect from Stephen B. Jacobs Group Architects and Planners which designed the world's largest standing modular construction hotel, citizenM at 189 Bowery, says it's only a matter of time before its popularity catches on in urban areas, especially those needing affordable housing.

With construction costs of approximately $70 million, the 100,000-square-foot, 19-story citizenM New York Bowery Hotel stands 246-feet tall. There's already another modular hotel underway, the AC Marriott Hotel in NoMad that's planning to exceed citizenM's height, reaching 26 stories, 385 feet in the sky.

Astrachan says there's no inherent limitation as on how high modular construction can be stacked. He has seen modular buildings as high as 40 stories in London. As with any building it depends on the architectural and engineering structure. He disabuses the notion of modular construction compared to IKEA furniture—but just on larger scale, assembling a home or skyscraper. The construction is just as durable and safe for its inhabitants as traditional structures, according to Astrachan.

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Betsy Kim

Betsy Kim was the bureau chief, East Coast, and New York City reporter for Real Estate Forum and GlobeSt.com. As a lawyer and journalist, Betsy has worked as the director of editorial and content for LexisNexis Lawyers.com, a TV/multi-media journalist for NBC and CBS affiliated TV stations in the Midwest, and an associate producer at Court TV.