What do a new West Loop condominium building and the Japanese auto industry have in common? According to Bob Horner, co-principal of Winthrop Properties and developer of One One One Morgan, both are built on a philosophy of Total Quality Management (TQM) pioneered by noted quality guru Dr. W. Edwards Deming.

Deming, a statistician from Sioux City, Iowa, helped transform Japan's auto industry after World War II with his revolutionary ideas about design, manufacturing, management and problem solving. Today, an institute and an international award bear his name, and companies like Toyota and Honda consistently dominate the quality rankings.

The average homebuyer might not give much thought to Deming, but Horner does, and he believes he builds better homes as a result. Horner has studied the teachings of Deming throughout his career, and applies them to each of his projects, including his latest - One One One Morgan.

The 166-unit, new-construction loft building at the northeast corner of Adams and Morgan streets offers more than 40 floor plans with one to two bedrooms plus den, one to two baths and 680 to 1,535 square feet. Base prices range from $180,900 to $426,000 with indoor parking available for $25,000 per space. There is also a three-bedroom, 2,376-square-foot duplex penthouse available for $726,000. The building is more than 60 percent sold, and construction is well underway.

As it relates to homebuilding, TQM involves a cooperative and continuous approach to planning, design, construction and sales, noted Horner. Rather than working separately, all of the key players - including the developer, architect, general contractor and marketing agent - collaborate from the beginning to optimize each of the development's components, thus optimizing the whole.

"The Japanese pioneered this integrated approach, where challenges are resolved on paper, not steel. We all know how successful it has been for them," said Horner. "It's the same with homebuilding, and the benefits to the homeowner are tangible."

In addition to Winthrop Properties, the One One One Morgan team includes architect, Fitzgerald Associates; general contractor, The Walsh Group; and sales and marketing agent, Superior Marketing Ltd.

One of the team's first tasks was to design a building that was appealing not only to potential homebuyers, but also to the City of Chicago and West Loop Gate neighborhood.

Taking into account the wishes of these groups, One One One Morgan was designed as a 100-percent brick-clad building on all four sides. At nine stories, it meets the neighborhood's height restrictions. And it exceeds the city's parking requirements, with 20 percent more parking spaces than units.

"Our approach with the city and the neighbors was to contact them very early in the process to determine what they wanted. By addressing these issues up front, we were able to avoid costly delays and plan revisions," said Horner.

The balconies and terraces at One One One Morgan are another example of how the TQM process affected the building even before the start of construction.

Winthrop wanted to create large outdoor spaces as an extension of each home's living space, but it didn't want to use the type of hanging balcony common in lofts. Instead, the development team came up with the solution to extend the concrete slab of each floor to create oversized balconies that are integrated into the building's footprint.

"Instead of the traditional 30- to 40-square-foot loft balcony, the balconies and terraces at One One One Morgan range from 60 to more than 600 square feet. Plus, the look is more refined than a hanging balcony, and the method we used to achieve that look is more cost-effective," said Ibrahim Shihadeh, co-principal of Winthrop Properties.

TQM also resulted in a high standard amenity base at One One One Morgan. Standard features include designer Italian kitchen cabinetry, granite counters, hardwood flooring, track lighting, and gas fireplaces with custom-milled surrounds.

Horner and Shihadeh made an early decision to include these items in the base prices, which allowed them to purchase in bulk and reduce costs.

"It's going to look like our homebuyers spent a lot of money to upgrade their homes. In fact, they won't have to spend much at all," said Shihadeh. "When you take into account features like granite and imported cabinetry, we think we're about $15 per square foot below the competition. That's Total Quality Management affecting the bottom line, and that's what we like to see."

One One One Morgan features a new-construction-loft concept with exposed ductwork, 10-foot ceilings and open floor plans. Common amenities include a 24-hour doorman, individual storage, high-speed elevators, and a high-rise fire-protection system.

The sales center for One One One Morgan is located at the Southeast corner of Morgan and Jackson, two blocks west of Halsted. It has a decorated kitchen/living room vignette.

To reach the sales center, take Interstate 90/94 to Adams Street, go west to Morgan, turn left and continue south for one block. Sales hours are 11 a.m. to 6 p.m. daily. For more information, call (312) 421-0111 or visit www.111morgan.com.

Winthrop Properties is a joint enterprise of developers Bob Horner and Ibrahim Shihadeh. Horner and Shihadeh share more than 40 years of real estate experience, during which time they have built and sold more than 5,000 homes.

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