Ideas and Reflections

Ideas and Reflections

June 29, 2025

This article resonates deeply with me. I left architecture to study finance. Why? Because I realized beautiful designs don’t build themselves – numbers do. After four years immersed in architectural practice, I saw a critical gap: the disconnect between design vision and financial reality.

Architecture school taught me to dream big, to design spaces that inspire and serve. But it largely ignored the fundamental truth: buildings aren’t charities. A stunning master plan is just a concept if it’s not financially viable.

That's why I pivoted to finance. I saw firsthand how architects often overlook the critical role of cash flow. More rentable space and well-planned amenities are the lifeblood of a project. Yet, we often forget that 35-40% of revenue goes to operating costs, and 60-70% of construction is financed with debt. Don't forget capital reserves - a building's 'savings' for future repairs. Ultimately, only 10-15% remains as profit – the very thing that attracts investors.

Complex designs, while award-worthy, can be project killers. Delays in approvals, higher construction costs, and extended build times erode investor capital. In real estate, time is truly money. Every extra month can make or break a project.

To create real value, architects must prioritize functionality - optimize usable space, simplify circulation, maximize natural light, and control costs. Thoughtful material selection and efficient layouts reduce expenses and long-term maintenance, ensuring sustainability.

A good architect is a strategic financial partner, not just a designer. By focusing on cost control, efficiency, and feasibility, we can transform designs from paper dreams into built realities.

Having trained under great architects and now armed with financial expertise, my goal is clear: to contribute to making building a reality – affordable for people and profitable for investors.