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The traditional terrace-house plan is as relevant as it was 200 years ago, but the size and shape of the footprint are crucial to its flexibility, affecting both the quality of life of its occupants, and its ability to accommodate future change. This chapter explores the options and principles behind the terraced typology to see what benchmarks emerge and what can be learnt from examples. At initial concept stage, in most situations it is useful to have some idea of the relationship between different terrace-house layouts and the densities likely to be achieved on sites that are a regular shape. In contrast, during the Industrial Revolution the economy of construction offered by terrace houses was adopted by the new factories to provide workers’ accommodation. The larger-scale apartment buildings and terraces are associated with the larger-scale open spaces and are typically on an east–west orientation to minimise overshadowing adjacent homes.