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If they closed the two open windows, it would be warmer. And sandwiched in between two other houses like that, you could probably get away without heating it because the neighbors would heat you. Just have to have good insulation in the roof and exterior walls.
It's too small for a family of four, but for a couple it might be OK. Depends entirely on the bathroom quality though. If it's like an airplane bathroom, that would be a deal killer.
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