Healthy Buildings, High Performance: Why Indoor Air Quality Should Drive Real Estate Value

By Tyson Dirksen, Founder of Evolve Development Group

Indoor air quality (IAQ) is no longer optional — it is a core driver of occupant health, asset performance, and investor value. Recent studies underscore that indoor pollutant exposure from sources like gas stoves can account for up to a third of total household Nitrogen Dioxide (NO₂) exposure (SFGate, 2025). For developers, failing to address this hidden hazard isn’t just a health risk — it’s a financial and reputational one.

At Evolve Development Group, led by Tyson Dirksen, we integrate advanced building science, mass timber construction, Passive House principles, and wellness-oriented design into every project. The goal: resilient, high-performing, healthy buildings that deliver measurable value.

For mixed-use buildings with condos over retail, the units typically range 500–1500 sq ft, providing the perfect scale for applying these strategies: they are spacious enough to attract premium tenants and buyers, yet compact enough that ventilation, moisture, and air quality need to be deliberately engineered.

1. Why Indoor Air Quality (IAQ) Matters

1.1 Hidden Pollutants are a Real Health Risk

Indoor air often contains higher concentrations of pollutants than outdoor environments. Gas stoves, off-gassing materials, and high-occupancy conditions contribute to NO₂, VOCs, particulate matter, and moisture accumulation (Brody et al., 2009; SFGate, 2025).

Solution: By specifying induction cooking, Evolve Development Group eliminates indoor NO₂ entirely, removing a major source of respiratory risk.

1.2 Occupant Health Drives Value

Studies consistently show that poor indoor air quality leads to:

• Respiratory illness and allergies

• Cognitive performance declines

• Sleep disruption and stress

• Increased absenteeism and turnover

Buildings that prioritize IEQ experience higher tenant satisfaction, faster lease-up, and premium pricing, directly impacting ROI.

2. Mass Timber: Structure Meets Wellness

2.1 Hygrothermal Regulation

Mass timber naturally buffers humidity swings (Built by Nature, 2025), preventing condensation and reducing mold risk — a common source of indoor illness.

2.2 Biophilic & Psychological Benefits

Exposed wood in interiors reduces stress, improves mood, and enhances cognitive function (Hariadi & Carlisle, 2025). In units of 500–1200 sq ft, this contributes to both well-being and premium market perception.

2.3 Low Emission Materials

When properly specified, cross-laminated timber (CLT) and glulam panels emit negligible VOCs, complementing our health-first design strategy (Sterling Structural, 2025).

3. Dedicated Ventilation: The Cornerstone of Healthy Units and Indoor Air Quality

3.1 Why Dedicated Ventilation Matters

Combining ventilation, heating, and cooling in one duct system is common, but this leads to:

• Poor airflow balance

• Inadequate ventilation CFM per occupant

• Risk of condensation and mold

Dedicated ventilation solves this:

• Separate ducts allow proper sizing of both heating/cooling and ventilation airflow (CFM) for each unit

• Optimizes fresh air delivery and temperature control simultaneously

• Ensures predictable IAQ performance, independent of HVAC runtime

3.2 ERV + Dehumidifier Integration

At Evolve Development Group, our recommended system is:

• Enthalpy Recovery Ventilation (ERV) to exchange heat and humidity while bringing in fresh air

• Paired whole-home dehumidifier to maintain 40–60% relative humidity, prevent condensation, and eliminate mold risk

This combination ensures perfectly balanced indoor air in every unit, every day — a key differentiator in modern multi-family development.

4. Compact Unit Design with Premium Outcomes (500–1200 sq ft)

Even mid-sized units benefit from these strategies:

• Air quality control ensures occupant comfort in higher-density living spaces

• Mass timber aesthetics deliver premium finishes while supporting wellness

• Efficient footprint maximizes per-square-foot value while maintaining spacious, healthy living

The result: units that feel luxurious, comfortable, and science-backed — attracting discerning tenants and buyers willing to pay a premium.

5. Investor Advantages of Health-First Design

Developers and investors gain tangible returns from high-performance, healthy buildings:

1. Market differentiation: Mass timber + wellness + advanced ventilation = premium positioning

2. Faster lease-up and sale: Occupants prioritize healthy indoor environments

3. Lower operational risk: Reduced mold, IAQ complaints, and maintenance costs

4. Long-term asset value: Healthier, durable, and sustainable construction drives investor confidence

5. Strong branding & credibility: Projects by Tyson Dirksen and Evolve Development Group are known for healthy, high-performance real estate

6. Conclusion: Healthy Indoor Air Quality Is High Performance

Indoor air quality, humidity control, and material selection are no longer secondary concerns — they are primary determinants of asset performance and occupant well-being. Through mass timber, ERV systems, dedicated ductwork, induction cooking, and dehumidification, developers can deliver buildings that:

• Protect occupant health

• Reduce long-term risk

• Enhance comfort and marketability

• Command premium pricing

Tyson Dirksen and Evolve Development Group demonstrate that building science, sustainability, and wellness aren’t just ideals — they are strategic tools for real estate success.

Healthy air. Healthy occupants. Higher value. That’s the future of high-performance, wellness-driven real estate.

Learn more about how Evolve Development Group and Tyson Dirksen build.

Read Calif. loves gas stoves. Stanford keeps flagging the health hazards.