There is an interesting story happening outside the CLT too. This house is built like a Passive House, wrapped in an orange Wrapshield vapor permeable air barrier (I used this too, see Help, my house is covered by sticky orange frogs). Then there is a thick insulating blanket of Roxul rock wool, making this an almost foam-free house with much lower embodied energy. Because the rock wool compresses, the strapping is installed with crazy expensive Heco Topix screws that have a thread that reverses so that they only can go in a specific distance. The cladding is my second favorite material, Shou sugi ban, which is all the rage these days among Seattle architects.
Susan doesn't know if it will meet passive house standards because of the air tightness requirements. The electrical wiring is done on the outside of the wood, so it has been drilled full of holes. A blower test will be done to test how close it gets to Passive House air change requirements. But there is so much else going on it's not a huge deal and really, Susan had enough on her plate here.
It's a lot more work to do a wall this way rather than just covering it with blue foam and nailing through it. It also takes up more space. But a lot of architects are trying to get away from using foam. Read more in TreeHugger:
Does Foam Insulation Belong in Green Buildings? 13 Reasons It Probably Doesn't