This quote summarizes the results well:
"Although the teammates were not looking forward to working in close quarters, over time they realized the benefits of having people at hand, both for coordination, problem solving and learning. They adapted to the distractions of radical collocation, both by removing themselves to nearby hotelling areas when they needed privacy, and by zoning out, made possible because of the distance between people in the larger rooms."
It feels productive to enter a flow-like state for several hours debugging a problem, but it's probably more productive if a teammate notices and provides the solution in minutes. Nevertheless, stretches of uninterrupted focus are often essential.