INVESTMENT DESIGN APPROACH
The main goal of the firm’s architectural work is to maximize a building owner’s return on investment. Viewing a building principally as an asset or an investment, the firm develops designs which not only meet goals of functionality and environmental compatibility, but which are also cost effective to guild and operate.This is done by determining a client’s functional needs and investment goals for a building and then developing design options which create an effective balance of initial construction/renovation costs and owning and operation costs. The design alternatives are accompanied by a financial proforma, usually in the form of a net present value cash flow analysis. In this manner, the firm can provide a client with the means of making well informed cost-effective decisions.
A number of factors are considered in this asset oriented design approach. Initial construction or renovation costs may be controlled during design, for example, by:
· minimizing exterior surface to enclosed volume ratios
· maximizing the ratios of usable versus non-usable floor area
· judicious selection of exterior materials
· efficient and cost effective structural systems
· well coordinated structure and mechanical/electrical systems
· selection of building materials and systems which minimize construction time
· minimizing the size of space without sacrificing usability
Owning and operating cost may be minimized by:
· energy-efficient design and systems
· materials and equipment with longer operating lives and lower maintenance costs
· space designed for ease of adaptability to changing uses
Revenues generated by building sales or leasing are also highly dependent on the design of a building. These are potentially increased through architectural design by first developing a thorough understanding of the components of market demand for a building and then designing the building to meet those demands. Understanding market demand for a particular building and location can be accomplished by performing an independent market analysis prior to design, by working with the owner’s marketing representatives and/or working with brokers who will eventually be selling or leasing the building. Architectural factors which influence sales and leasing revenues include:
· flexibility
· security
· comfort
· visual quality
· amenity level
· finish materials
· furnishability
· views and orientation
A number of factors are considered in this asset oriented design approach. Initial construction or renovation costs may be controlled during design, for example, by:
· minimizing exterior surface to enclosed volume ratios
· maximizing the ratios of usable versus non-usable floor area
· judicious selection of exterior materials
· efficient and cost effective structural systems
· well coordinated structure and mechanical/electrical systems
· selection of building materials and systems which minimize construction time
· minimizing the size of space without sacrificing usability
Owning and operating cost may be minimized by:
· energy-efficient design and systems
· materials and equipment with longer operating lives and lower maintenance costs
· space designed for ease of adaptability to changing uses
Revenues generated by building sales or leasing are also highly dependent on the design of a building. These are potentially increased through architectural design by first developing a thorough understanding of the components of market demand for a building and then designing the building to meet those demands. Understanding market demand for a particular building and location can be accomplished by performing an independent market analysis prior to design, by working with the owner’s marketing representatives and/or working with brokers who will eventually be selling or leasing the building. Architectural factors which influence sales and leasing revenues include:
· flexibility
· security
· comfort
· visual quality
· amenity level
· finish materials
· furnishability
· views and orientation