Best Business Practices

July 28, 2010

Looking Ahead at Adaptive Reuse: Designing for the Gain Factor

Chisholm Now that the commercial sector of design and construction has slowed to an imperceptible crawl, how are architects and interior designers going to prepare for the future? What can we do to keep going as creative, contributing, and prepared professionals in this situation that has confronted us? 

In reality, we have many alternatives for temporary or permanent career choices and alternative career paths that could lead us to make a living, keep busy, start a new life, and live life in complete bliss and happiness. But why get drastic? The game is not over by a long shot. It is merely the momentum shifting.

There will always be a need for architects and interior designers who can design with pragmatism and knowledge. This is as opposed to going downhill sans brakes with the previous "Dubaistic" buffet in design, which would take a client down the slippery slopes of a construction black hole and then suddenly owning an exotic white elephant who nobody wants to ride later on. We have all "heard" about those projects....never seen one? (You sure?)

The commercial architecture sector could really define any project that includes a pragmatic approach to gain, be it financial, perceptive, emotional, or spiritual. That definition certainly would include human beings temporarily or permanently using and or residing in such a structure. So then, you could easily justify any building as commercial due to the “gain factor.”

At any one time, any structure has or could have the gain factor in economics. That can be translated to the appeal of such a structure as a functional and aesthetically pleasing building so as to satisfy whatever future use this structure could have, as in retrofit and/or adaptive reuse. The future looks good for that sector: One of the most pragmatic approaches to a new building project that an architect can provide a client is the built-in flexibility within the confinement of a project program.
But why do historic structures in the USA fail to become recycled icons in a community as we see in quantity in Europe? Even though a lot of restrictions apply, Europeans adapt and conventional functional uses are also retrofitted to adapt and work within these given spaces.

It is simply because Europeans adapt to functional use and design based on what is frugally available instead of always starting on an abundant blank slate as we have grown accustomed in this country. In the USA, an “anchoring factor” adds to the appeal, meaning that a structure adds more to society because it is different and represents our evolving society.

The future of our design disciplines and service philosophies should bring a demand for increased ingenuity in design, flexibility, durability, and longevity in our buildings. The throw-away/disposable times should be over, as far as a lot of our culture is concerned, and it will definitely apply to the design and construction industry. There will be a focused expectation to return to basic fundamentals of rational approach, to problem solving and solutions, and clients in a new a new time of sobriety will demand it.

The evolution of professionalism and knowledge based involvement and provision of services in any aspect of business, including A&D, is already being much more emphasized than before. The architects and interior designers that can provide that level of knowledge, control, and visioning to a client will be at the forefront of that resurgence of new activity. Now, proof and evidence of studied knowledge is the requirement to undertake any endeavor. Is this a wish, a fact, a desire... or a real need after this recent economic lesson?

Share your thoughts by clicking on "comments" below...

Bob Chisholm, FAIA, is chairman of the board of R.E. Chisholm Architects. Headquartered in Miami, Fla., the firm has completed numerous high-profile projects since 1982. Current and other notable projects include Art Deco Historic Preservation Master Plan, Miami Baseball Park Stadium, Cuban Exile Museum and Library, U.S. Century Bank Headquarters Building, Everglades Farmworker Village (largest affordable housing community for the U.S. Department of Agriculture) and three comprehensive facilities for the homeless in Miami-Dade and Broward counties. He can be reached at bob@chisholmarchitects.com or (305) 661-2070.

July 26, 2010

Redefining the Hotel Gift Shop Experience

Img_6794 Forget the traditional kitschy gift shop—upscale hotels are stepping up their game with high-end retail that features some of the biggest names in the fashion industry. The Los Angeles Times reports on properties that are showcasing—and collaborating on—luxe items:


•For the second year, the Standard hotels including the property in downtown Los Angeles) have partnered with surf-style brand Quiksilver to sell board shorts, bikinis, and sunglasses in poolside vending machines.

•The Mondrian West Hollywood features the wares of retailer Ron Robinson, along with Stephen Webster jewelry and Apothia beauty products.

•W Hotel Times Square channels an exclusive boutique with merchandise such as Melissa jelly shoes, chic gift books, and jeweled dresses.

•The Ace Hotel in Manhattan showcases two New York City retailers, Project No. 8 and Opening Ceremony, offering everything from outlet adapters to handbags made of soccer balls.

•Hat maker Stephen Jones and handbag designer Louise Hempleman have created items exclusively for the Dorchester Collection’s locations, including the Beverly Hills Hotel.

•The Four Seasons Hualalai resort in Hawaii has increased revenue thanks to its Seaside Luxe retail outlet, offering everything from beachwear to one-of-a-kind jewelry.

--Hospitality Design

July 23, 2010

Design Business Flatlines

Recession It's been another tough month for the A&D industry. AIA's latest Architecture Billings Index (ABI) shows that business had a VERY slight uptick in June, which is not very reassuring after a sudden drop in May ended continuing growth earlier this year.

Is recovery still just an optimistic dream? Or, do you agree with AIA chief economist Kermit Baker, PhD, Hon. AIA, and expect to see some turnaround by the end of this year? Share your thoughts with us by commenting below or via e-mail.

--Stacy Straczynski

June 24, 2010

A&D Business Blues?

What do firms have to say about the recent ABI Index, released by the AIA yesterday (June 23)? While new opportunities seem to be cropping up, two words still seem to sum up sentiments: "flat" and "volatile."

"HOK’s revenue has been ‘flat’ since late 2009, but we’ve seen an increase in the number of new opportunities, and have been fortunate to secure many of them. I believe this will be a very slow recovery in the private sector, because businesses are still very reluctant to add people–and job growth is the single largest driver in commercial real estate, design, and construction. Some of our best prospects include healthcare (where major institutions have re-established funding for their capital needs), federally-funded public projects, and development in growing economies, like India and China."
–HOK vice chairman Clark Davis, FAIA

“I’d say that we're in a pretty volatile situation until 2012. If you look at any macro report, there’s nothing to indicate that we’ll see any huge growth soon. We're seeing a build up of cash out there, but investors don’t have a lot of places to put their money and people are looking for bargains in the real estate market. Additionally, there’s no jobs growth; we’re continuing to see a lot of volatility in global issues and changes in demographics; and there’s still a huge amount of debt owned by the American consumer. I’ve yet to see someone imagine what the economy will be like when the consumer isn’t two-thirds of it. It’s definitely going to be a different economy in the future."
   –Todd DeGarmo, CEO, STUDIOS architecture

"At M Moser, we continue to observe volatile market conditions in many industry sectors. In the corporate sector, however, we are actively engaged with many clients and prospective clients who are taking the opportunity to think strategically about the future workplace. Whereas many large scaled construction projects remain tabled, many corporate clients are pro actively examining their workplace strategies to be better positioned when the market stabilizes...In an age of global competition, conventional dogma is no longer relevant and yesterday's trends are being challenged at every level. We have repeatedly heard our clients state that they don't want to get left at the starting line when liquidity resumes. To this effect, the notion of "cram and jam" is having an adverse affect on earnings, as financially stable companies are better positioned to recruit the best and brightest in their sectors."
    --David Weinberg, AIA, M Moser director, head of New York office

 

But there are those firms who are riding a more optimistic wave, as well:

“We have actually found the opposite and have seen rising billings month over month, with May being our highest month of the year. It’s looking like June will top May by 38 percent.”
   –Simeon Meyer, CFO, The Puccini Group

"The decrease in the ABI recently released by the AIA is not reflective of what we are experiencing at IA Interior Architects. We see strong demand for our services throughout the U.S. Whether this is due to our exclusive focus on interiors or capture of additional market share, our current and projected revenues indicate continued improvement and growth."             
    –Joe McClelland, Chief Financial Officer, IA INTERIOR ARCHITECTS
 

What has business been like for you? Send Contract magazine your comments, or comment below, to be listed here.

--Stacy Straczynski

May 26, 2010

Cracking the Code

Bob-Chisholm_BW By Bob Chisholm, FAIA, chairman of the board, R.E. Chisholm Architects

How many times have you had your project “held up” at the building department?

All of us are in agreement that building codes and permits are necessary to protect the health, safety, and welfare of our citizens. At the same time, we could ask any professional architect or engineer (a/e) to provide narrative on frustrating accounts with our regulatory process from incompetent to vindictive. It is a fact that the licensed (and legally liable) a/e must be knowledgeable in the using building codes and provide well executed, code-complaint documents for building permit processing, period. 

On the other hand, it is also a fact that the building official and/or building plans reviewer (not legally liable) must be trained and knowledgeable in reviewing plans, the building code, and provide any interpretation or comments and defer to the professional a/e to respond and complete the submission to the objective approval of the reviewer.

So, why does this not happen as smoothly as the concept above?

There are many, many, reasons.

Focusing on the essence, we tried to come up with a couple of logical and descriptive observations:  “Each of us has a job to do, what we want is uniformity and consistency from people who are competent”…. quite a logical comment by a Florida architect who has been involved in untangling procedural issues in the building permitting process.

And of course, any observation easily applies to both sides of the process.  An observation that speaks volumes on turf protection is voiced by another involved Florida architect, who comments “lack of communication,” definitely from both sides.

(For the record, we tried to get building officials to also provide comment, but we were unable to.)

The above observations and actions are extremely significant to a process that should be a public/private partnership between the building official and the a/e.

Unfortunately, the perceptions are opposite to each side. The public sector feels the documents submitted by the a/e are incomplete and sloppy, insufficient details, no knowledge of the codes, and untimely responses by the a/e and to pour salt, the attitude is that building plan reviewers are actually getting the job done properly. In other words, the a/e is submitting deficient documents and is incapable of providing proper solutions.

However, the a/e feel that many reviewers are flexing their position of authority by mandating solutions that belong to the arena of the professional a/e and merely empowering a bureaucracy, shamelessly generating revenue. In other words, the building plans reviewers are abusing their job description.

There is most likely a lot of truth to the feelings of both sides.  What must be realized is that dysfunctional patterns easily become standard procedures, and that is complicating matters substantially. How about some old-fashioned defined accountability and responsibility?

Concepts are being tried in order to bring serenity to the process, some of them are:

  • Uniformity in content and minimum information required on submitted documents along with a check-off list submitted with the documents.
  • Reviewers get one pass per department to a set of documents, no new comments after the fact. 
  • The building code rules, so no biased interpretations, maybe using a local licensed third party to make a final interpretation ruling.
  • A mandatory pre-submission meeting to review plans prior to building permit submission.
  • Time limitations for the review process, two weeks maximum on any set of documents.
  • Uniform building codes for entire state along with emphasis on thoroughly coordinated fire and building codes to avoid contradictions, which cause continuous revisions and new code versions.

All these issues are not prevalent everywhere. Granted, in some areas of the country, the process is much easier or difficult than others. So if both sides work together in partnership and the rules of the game are adhered to, everybody wins—sounds so simple…

About the Author:
Bob Chisholm, FAIA, is chairman of the board of R.E. Chisholm Architects. Headquartered in Miami, Fla., the firm has completed numerous high-profile projects since 1982. Current and other notable projects include Art Deco Historic Preservation Master Plan, Miami Baseball Park Stadium, Cuban Exile Museum and Library, U.S. Century Bank Headquarters Building, Everglades Farmworker Village (largest affordable housing community for the U.S. Department of Agriculture) and three comprehensive facilities for the homeless in Miami-Dade and Broward counties. He can be reached at
bob@chisholmarchitects.com or (305) 661-2070.

May 19, 2010

A NeoCon Frame of Mind

Majora carter Allsteel is gearing up for NeoCon. The workplace furniture solutions company announced recently that it is sponsoring the NeoCon keynote speaker Majora Carter, executive director and founder of the first “green-collar” job training and placement systems. The sponsorship marks Allsteel’s 11th consecutive year of participation.

Carter’s “Green the Ghetto and How Much it Won’t Cost Us” presentation will discuss her definition of environmentalism and how it can lead all socio-economic communities to lead more sustainable lives. The keynote will be held on June 14 at 8 a.m.

Allsteel will showcase its sustainable office solutions at the Merchandise Mart Resource Center No. 1120.

May 05, 2010

Steelcase ‘Tweet’ on Target

Thumbnail Steelcase, the world’s largest office furniture company, is taking action to get on board with social media. To announce their partnership with Target to sell 11 select chair models via the Target.com site, the company blasted a 125-character Tweet—their briefest press release ever!

What a great step forward for Steelcase. Not only is the company now gaining traction on the consumer level (in addition to its steady designer clients), but Steelcase is also showing that it is confident enough that its products can market themselves via word-of-mouth in the digital age. Not only will Target followers most likely add Steelcase to their Twitter repertoire, but the company will have that many more eyes looking out for new products in the future. Plus, it’s a smart way to save dollars on marketing, as well.

The Steelcase tweet is a leading example of how A&D manufacturers, distributors, and designers can take advantage of social media and new forms of marketing. Since many in the A&D industry are still behind in fully understanding digital advancements (many manufacturers still opt for print-based advertisments and promotions), it’s nice to see someone taking a bold lead in this fashion.

--Stacy Straczynski

February 08, 2010

On the Cutting Edge of Spanish Architecture

By Adam Figman, Editorial Intern
 
Earlier today I attended “Architecture From Spain,” a look at the state and plans for evolution of Spanish architecture, specifically in the Castilla y León region of Northern Spain. The event took place in Tafel Hall at the New York Chapter of the American Institute of Architects, a large white room filled with natural light that poured in through the street-side windows.
 
AIA Executive Director Rick Bell kicked the day off with an introduction, during which he outlined the goal of the day’s seminars: to contribute to an understanding of the world via a knowledge of the materials we have and the way people construct things. Bell explained that research done on the computer or design done in a studio is not sufficient to fully comprehend the ways architects build the things they do. 
 
Bell went on to praise the work that’s been done in the Castilla y León region, and then had a moment of pride when he talked about the sustainability and green-ness of the building we were all sitting in.  Apparently, the New York AIA chapter is one of only a few buildings in the city powered by geothermal wells--two provide the institute’s energy in this case. This set forth the beginning of a trend on green architecture and sustainable development that consistently reappeared all day.
 
The first speaker was Mr. Juan I. Barroso, the head of the Department of Culture and Tourism of the Castilla y León government.  Barroso provided a plethora of information about the region of Spain for which he works, setting up the context for those who followed him.  Castilla y León, I learned, is spread over 36,600 square miles and contains 2,500,000 inhabitants. This leads to a very low population density, with only 70 people per square mile (the European average is 260).  These people are concentrated mostly in small towns, leaving vast countryside wide open throughout the area.
 
He also touched on the history of the vicinity. Interestingly, Castilla y León was subject to stints of Roman and Muslim rule in centuries past, the latter of which led to some pretty cool cultural integration.  Twelve Gothic cathedrals can be found in the region, and lots of movable works of art and contemporary architecture can be found, as well.
 
After Mr. Barroso’s history and cultural lesson, Mr. David Camara, president of Unex – Area Contract, took the stage. Camara’s position puts him charge of hospitality equipment, interior design, and home equipment, and he stressed the forward progress of the habitat industry in retail, which includes manufacturing fabrics, lighting, flooring decoration, and more.
 
Camara says restaurants are working to assist people with handicaps.  He also laid out all of the details that his work includes, such as “styles” (contemporary, modern, classical), “range” (high and medium-high products), and the ecological materials used (words, glass, ceramics, aluminum).  Quality service is key, says Camara, and he finds it important that the habitat and contract market in Castilla y León specializes itself so it can continue to increase in importance.  He stood behind the notion that the materials manufactured are qualified to meet the American demand, and that they offer a unique value option for architectural interior design projects throughout Europe.
 
Following Mr. Camara was Mrs. Sonia Para, who taught me everything I learned and then forgot in Introduction to Environmental Studies. Mrs. Para, a fourth generation stone business family member, sped through slides overflowing with science terms and descriptions of the different rock types offered in Northern Spain, which include sandstone, limestone, quartzite, marble and granite. She ended her seminar with a focus on (not surprisingly) sustainability, providing a scientific definition of the term and explaining that both a Life Cycle Assessment and Environmental Audit are now requirements for building in Castilla y León.
 
A pair of Spanish architects wrapped up the day, as they discussed a few projects they were completing. Mr. Miguel A. Alonso led off, and talked about the National Museum of Energy that he was working on in Ponferrada, Spain. The museum will celebrate the mining heritage or the area, while using the area’s natural elements as a thematic park. Solar power and biomass were used as energy sources, and a green covering and a solar skylight will also minimize the need for a powerful heating system. “The building is not trying to be a building with an exhibition inside, but a building that is an exhibition in itself,” he says. Mr. Rufino J. Hernandez concluded the day by talking about some projects he was working on, with pictures to accompany his explanations.

Overall, it was definitely an interesting event, even if the thick Spanish accents made it difficult for me to understand more than a sentence or two at a time. 

January 21, 2010

Salvaged Sustainability

By Stacy Straczynski, Associate Editor

AlchemyEveryone’s eyes seem to be green these days—and it’s not from envy. Sustainability is the word, and I’m sure the media has already covered almost every possible angle to greenwash us by now. (Quite frankly, I’m a bit jaded by it all myself.) But this one story that came across my desk about a start-up retail design studio in East London really caught my eye due to its innovation and feel-good vibes.

When it formed during the middle of the credit crunch last January, Campaign didn’t have extra dollars to spend on fancy high-end worktables for is small staff of five—four employees and a “designated mascot” pug named Effie. Rather than shell out cash it didn’t have, the company used its creative juices to rethink the traditional worktable (pictured right). The employees went to the streets of its surrounding metro area and reclaimed any type of abandoned furniture they could find, searching street corners, dumpsters, etc. Tables, chairs, cabinets, and even lamps were fair game. Once collected, the team gave the pieces a white finish to revitalize its appearance, compiled an interesting arrangement, and then bolted them together to create one single, albeit unique, piece of office furniture.

The Alchemy Table, as it’s now called by Campaign, has grown with the company over the last year. As more staff members joined the team, each have made some sort of contribution to the “work of art.” The homespun project is now not only a success in recycling, but can be interpreted as a symbol of successful teamwork and group collaboration.

December 21, 2009

AIA’s Architecture Billings Index Down Significantly

The Architecture Billings Index (ABI) dropped substantially in November to 42.8 after it reached its highest level since August 2008 with an October mark of 46.1, according to the AIA. Any score below 50 indicates a decline in demand for design services. The level of inquiries for new projects remained high and unchanged at 58.5.

 

“There continues to be a lot of uncertainty in the construction industry that likely will delay new projects in the near future,” said AIA Chief Economist Kermit Baker, PhD, Hon. AIA. “Perhaps the President’s plan calling for loans for small business, funding for infrastructure projects, and rebates for homeowners making energy efficient improvements will help speed a recovery in the construction industry.”

 

Here’s the breakdown:

  • Regional averages: South (46.4), Northeast (45.0),  Midwest (43.7), West (41.1)
  • Sector index breakdown: institutional (47.0), multi-family residential (45.8), mixed practice (42.8), commercial / industrial (40.7),
  • Project inquiries index: 58.5

As a leading economic indicator of construction activity, the ABI reflects the approximate nine to 12 month lag time between architecture billings and construction spending.