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The Development of a Policy on Architecture for Scotland: Report on the Public Consultation

5.0 ECONOMIC VALUE OF ARCHITECTURE

5.1 The majority of respondents were supportive of the proposition that good architecture and well-crafted building design can bring substantial and long-term economic benefits. Respondents pointed out that buildings represent a significant financial investment and are amongst society’s most valuable assets. Respondents suggested that good design can add significantly to a building’s asset value and that good design almost always has a positive financial return. Equally, respondents noted that indifferent design represented a poor investment that would prove costly to improve in the longer term.

5.2 Respondents acknowledged, however, that there are a number of difficulties inherent in promoting the economic benefits of good building design. Some noted, for example, that what constitutes good design is more a matter of judgement than definition and that, for this reason, it was often not regarded as a high priority in development agendas. Respondents suggested that development objectives were more usually orientated to financial yardsticks and that these did not sufficiently distinguish between good value and lowest cost or take proper account of longer term life-cycle issues such as durability, operational efficiency, maintenance and running costs. Respondents suggested that more attention should be given to a comparison of whole life to capital costs at the commissioning stage of projects when decisions about design and specification are made.

5.3 Many respondents emphasised the important role that good architecture and good building design played in ensuring that regeneration in urban and rural communities is both effective and sustainable. Respondents noted that the quality of the built environment in a regeneration area was a key factor in attracting inward investment and new industry. In addition to these economic benefits, respondents argued that the quality of the built environment also had important social benefits in terms of engendering a sense of worth and self-confidence in communities. Respondents noted that, whilst there were a great many examples of the regenerative benefits of design-led development, there have been few systematic attempts to categorise and quantify these benefits until recently. Work commissioned by the RIBA2 was cited in this respect.

5.4 A number of respondents pointed out that the framework document focused almost exclusively on new buildings with only passing reference to the existing stock. Respondents noted that there are compelling economic and cultural reasons why existing buildings will continue to play a significant part in most people’s lives. Respondents argued that the design quality of schemes which adapt or re-use existing buildings is as important as the quality of new build if the investment that the existing stock represents is to be properly protected.

5.5 Several respondents suggested that a commitment to the objectives of sustainable design and construction could have valuable economic benefits. Respondents noted that the realisation of the objectives of sustainable design depended, to a large extent, upon the development of new, clean technologies and the development and manufacture of environmentally benign materials and products. It was suggested that such developments could lead to the establishment of new industries, skills and jobs with the potential for export and for import substitution. The experience of other countries in this respect was cited.

5.6 One respondent noted that architecture was an important sector in Scotland’s creative industries. The respondent suggested that the trade and export opportunities which architecture offered should be promoted as vigorously as other sectors such as film, television and digital media.

CROSS-CUTTING TOPICS AND RESPONDENTS’ COMMENTS

TOURISM (6.0)
High quality buildings and built environments are important factors in marketing Scotland as a tourist destination.

EXPORT OF SKILLS (7.0)
There are potential economic benefits if Scottish skills and talent are marketed abroad.

THE DESIGN AND CONSTRUCTION PROCESS (8.0)
The choice of procurement method has an impact on the issues of "lowest cost" and "best value".

THE PUBLIC SECTOR AS CLIENT (11.0, 12.0)
Public sector procurement can serve to demonstrate the economic value and benefit of good architecture.

RESEARCH (22.0)
Research is required to quantify and demonstrate the economic value and benefit of good architecture.

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