What is the premium on high-end architecture, either built out or raw?
It can be as much as a few hundred dollars per square foot. What is the impact on the city of the mega-luxury, artful projects by architects like Richard Meier, Frank Gehry and Jean Nouvel? I think all the interest in architecture is great for the city. It upped the ante. The only reason it happened is not because the developer is interested in raising the level of art appreciation, but because it makes them more money. It costs more to build but you make more in the back end. Will there be fewer such projects as the credit market remains tight? Things have to adjust to the new world … there has been a phenomenal construction streak (where) everyone wanted to be in real estate and everyone was a developer … that leads to a lot of crappy buildings and failed deals and competition for sites. A lot of that is going to be weeded out. I think that is the real estate cycle, and it has just been an inordinately long run. I welcome the cleansing aspect of the credit crunch.
