In order to diferentiate their residential projects from one another as competition increases, developers are enlisting the services of name-architects…a.k.a. Starchitects. I wrote an article [Miller Samuel] on the phenomenon in the current issue of New York Living magazine which I periodically write articles for. [shameless plug -ed]
The use of Starchitects is growing in popularity as a marketing tool nationwide as inventory increases. It is also an added soft cost, so the use of this branding vehicle is placing more pressure on the bottom line.
I suspect that the growing cost of development (land prices, construction costs, along with marketing costs) will significantly stifle new products in the planning stages in the near future.
Here’s an excerpt:
The current Manhattan real estate new development scene is all about who instead of what. Branding has reached the housing market as a necessary and effective marketing tool to differentiate development projects as they enter the market. The housing boom prompted the explosive growth in creativity with condominium design as capital became more readily available to developers. This shift has been seen as a big step in a market that historically paid more attention to the exterior, rather than the interior of a building. Marketing has now morphed into the whole package, both inside and outside, including common areas and ancillary services. This creative packaging now includes bringing in a brand-name architect or other professional to leverage their reputation as an enhancement to the development….