If you live in a small apartment, you'll find yourself craving for some real estate. There's just not enough space to put everything. Or to have everything that you want! Unless of course, you have transforming furniture like this - the Palazzo.

It is a double decker spot for a couple of people to sleep in. It can be transformed by just oneperson, and when it gets deployed, you have a second story of sleeping space. There's even a ladder for easy access to the upstairs part of it. [Resource Furniture via Inhabitat]