Architect as Developer

College Majors Architecture Majors
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<p>I am becoming increasingly interested in architects who develop and design their own projects. It is interesting how it wasn’t until the 1970’s that the AIA removed their ban against architects from developing…so i think this trend of architects developing their projects is relatively new to the profession. I know there are some successful architect/developers such as jonathan segal and david hovey who have been able to fuse ‘good’ design in their own developments. </p>

<p>i know this is a long time from now and it’s all speculation but in the future after finishing my B.Arch degree, I might pursue a 1 year MSRED degree (masters in real estate development) and perhaps find a business partner in RED who also shares the same view in promoting ‘good’ design through development. maybe we’ll start a design + development firm. here are my reasons why</p>

<li><p>a very low portion of all the buildings in the US are designed by architects (what is it…like 4%?) . developers play a HUGE role in influencing the fabric of the urban environment yet most of them aren’t trained to think like architects. I think architects would play a more influential role in producing healthy and sustainable communities if they developed as well.</p></li>
<li><p>with a b.arch degree, I’ll hopefully understand the value of ‘good’ design and be able to add value to a piece of property by producing quality design as a way of adding value to the land then simply just ‘adding square footage’. and since architects are trained to view problems holistically, i think that asset would be very helpful in speculating the market conditions…needs etc. </p></li>
<li><p>i think infill development + responsible design has an enormous amount of potential to help revitalize communities. responsible and good design is a good economic strategy.</p></li>
<li><p>developing with an architect’s point of view but with also a substantial knowledge in developing (with MSRED degree) will give me an edge over other developers who prioritize on simply cost per square footage. since architectural design is typically holistic, developing from an architectural perspective will produce positive externalities (revitalize cities, densify cities, help environment) rather than negative externalities seen commonly with developers such as del webb (urban sprawl, increase reliance on the automobile, etc), which will help reduce city costs. </p></li>
<li><p>more control over design…since I am my own client</p></li>
<li><p>and with a business partner in RED, I can be more involved in the design aspect while my partner can be involved more in the raising money and business aspects. also, with a partner who understands the impact of good development, hopefully there will be less of the typical friction commonly seen between architects and developers. </p></li>
<li><p>since value particularly in our society is highly based on net worth, increase in profits as a result of using good design will show the public how valuable quality design is (which is something that is incredibly undervalued in the US) and will give this approach an edge over traditional development. </p></li>
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<p>and hopefully as a result of developing their own projects, architects can begin to be paid more since developments often services a higher number of people (esp if you’re doing housing). the more people use your service, the more profit there is to be made. my theory as to why most architects are not paid as highly as other professions is because 1) it is catered to largely the rich people since most people can’t afford hiring an architect and 2) again, design is undervalued in our society and viewed largely as a commodity. </p>

<p>the firm i am working at right now is doing a couple of infill developments around the city. the developer wanted to try something new…and these developments that the architects designed are very high-end, sustainable, and very contemporary. they’re selling out so quickly…and i’m thinking because they were designed holistically (close to light rail, energy efficient etc) and has a very unique aesthetic to it. hot architecture sells</p>

<p>and maybe some of you know…yansong ma of MAD architecture in China recently won a competition with his entry for a residential tower in toronto. it sold out so quickly even before it got built that developers had to build a second tower next to it. </p>

<p>i only know very few design+ development firms yet there are many design/build firms out there. it must be a new thing?</p>

<p>sorry…i am rambling here…and if you’ve read this whole thing, thanks a lot. its just been on my mind lately. since there are some professionals on here, i was just wondering what you guys think about this…whether it’s a viable solution…or never…or somewhat. it could be a lot of BS…</p>

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<p>Sashimi, I applaud your goals and wish you luck with development. I have had the privilege/misfortune of working with a lot of big time developers over the years, and they are an interesting breed. These are the deal makers, not the development managers, the guys and gals who can make a real impact.</p>

<p>Though a few have had MBA’s, most have had no special training, perhaps an undergraduate business degree. They have all had one thing in common; a willingness to take risk. They have typically come up through the broker ranks where you work on commission, and don’t make money unless they close deals. They will risk all they own for the opportunity to close a big deal. Some were more concerned with design than others, but they were all deal junkies. Getting the landowner/lender/tenant to sign on the bottom line is everything, because without that they don’t make any money.</p>

<p>With the background you are proposing you will have an educational advantage over most. The challenge is really to develop the aggressive mindset that will make you successful.</p>

<p>rick</p>

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<p>sashimi…interesting points. One thing you don’t know yet is that the Tri-partite relationship between Owner/Architect/Builder works very very well. I’m a big fan of the way it is delineated in teh AIA contracts.</p>

<p>Basically, when the relationship goes well, (and you can learn how to make it go well), the Architect and the Builder enter into a friendly competition to gain the approval of the Owner. On a good project, the favor tips back and forth–ever so slightly. They find our mistakes–and in doing so make us better architects. We keep them on the straight and narrow and we keep them from selling the Owner the equivalent of an expensive new-but-useless-long-distance plan. Working with the builders is one of the highlights of my day. I appreciate their craft and their effort and in turn, they work into the dusk hours trying to make my work the best it can be. </p>

<p>God is in the detail but in order to get to God, you’ve got to have great collaboration from all three parties.</p>

<p>I agree with Rick. Developers come in all shapes and sizes. In my 21 years of owning a firm, I’ve had the coke snorting call you every day maniac type–and the hands-off never-calls, hardly-visits, billionaire type. </p>

<p>I currently have one client who has a property degree. Clever clever man. He runs the new development division for a massive property trust. We are working on a 8000 acre development on the Pacific for him.</p>

<p>One regret I have is that I didn’t develop property in a small way from the get-go. I don’t want to be my own client. I don’t think that process produces interesting architecture. However, my property purchases have been savvier than the general market becuase of my insider’s knowledge. From the get-go, I wish I had purchased small homes and apartments, paid the deposit and rented them out. I’d be a gabillionaire myself if I had done that from age 25 onwards. </p>

<p>In other words, there are many ways to be a developer.</p>

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<p>thanks!</p>

<p>cheers- 8000 acre development?! what does he develop on 8000 acres???
i also do think, like you said, that developing as an architect gives you a lot of insider knowledge about the business because architects always talk to people a lot about what’s going on with the real estate etc, which is an enormous advantage. however, i wonder what kind of insider knowledge is it that gives you an edge above everyone else?</p>

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<p>It’s the ability to ‘see’ potential. Learn the basic factors of what makes property desirable (good school district is numero uno) and then start buying. Borrow the deposit if you have to.</p>