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that application fee is a scam man

but one of the pieces that didn't make it to the top of reddit's discussion was that it's a shared-living situation, not your own apartment or isolated basement.

its shitty, but it's not like a landlord trying to regulate how often you're in your own private apartment

Why are we writing articles about some random, single-event rental ad. What are we doing here?
Assuming nothing illegal, it isn't the landlord's business what a tenant is doing inside, working or sitting around watching TV... why does it matter? They should just be happy the person has a job and can pay the rent on time.
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If the FTC had enough time, people and competence, they could get rid off all the apartment junk fees like: valet trash, forcing you to have a cable subscription plan, package locker fee, etc
Context matters...

According to the article, the lease (rental rate) includes fully paid utilities and internet.

The landlords are then saying - if you're going to work from home full time, we'll raise the rate by $200.

One can dispute the figure/amount but the logic seems reasonable i.e. if you're working from home full time, then you'll probably run the AC for way longer than if you went to the office 5 days a week for at least 6 hours each day, you'll user more internet and/or we might need a higher speed internet/bandwidth, you'll use more power, etc.