Higher education institutions are using virtual telepresence systems to engage in collaborative course redesign and research projects. These systems hold promise and challenge for inter-institutional work in STEM areas. This paper describes a case study involving two universities in the 4-VA consortium, and the redesign of a shared STEM lab. The purpose of this study was to investigate pedagogical needs across related content areas, and to use findings to make informed lab design recommendations that support beliefs and best practices involving knowledge acquisition. The researchers used several data collection points involving human subjects, site visits and technology testing and evaluation. Results emphasize the need for remote presence in the student-centered and distributed space. Design recommendations are organized into the following categories: general lab space, projection and display, storage, cable management and outlets, videoconferencing, use and management of the lab, computing and mobile devices, software, and training. Further research is proposed.