The American Institute of Architects (AIA) announced that it has launched an online database that will let developers and architects network with investors interested in lending to projects that have been stalled primarily due to lack of financing.
The AIA designed the database, housed at www.aia.org/stalledprojects, to help address one of the persistent impediments facing the design and construction sector, which accounts for $1 in $9 of U.S. Gross Domestic Product, according to the U.S. Census Bureau. Each $1 million in new construction spending supports 28.5 full-time, year-round-equivalent jobs, according to a study by George Mason University economist Stephen J. Fuller.
“In large part the fortunes of the entire U.S. economy rest on whether the design and construction industry can create jobs,” said AIA President Clark Manus, FAIA. “For months, our industry has continued to suffer primarily because banks won’t lend. With this unprecedented online database portal, the AIA has decided to do something that could create more jobs and help grow the economy.”
The credit crunch crisis in design and construction shows no signs of abating. A report issued by the AIA’s economics and market research group finds that the share of projects stalled due to financing problems through August 2011 has almost doubled since 2008 and that one-in-five stalled projects directly result from financing problems. Indeed, almost two-thirds of architects responding to a May AIA survey reported at least one project stalled due to lack of financing.
To populate this database with both stalled projects and investors interested in financing them, the AIA in the last week initiated a communications campaign to solicit information about stalled projects around the country from its members and allied professionals. Since going live on October 31, the site has attracted projects seeking a total of almost $230 million in financing. The AIA expects these numbers to grow as word spreads throughout the architecture profession about this initiative.
“The four-month project to create this one-of-a-kind portal represents a comprehensive, intense effort by this organization to address an issue of vital importance to our members and to the economy in general,” said the AIA’s EVP and Chief Executive Officer Robert Ivy, FAIA. “As this initiative takes hold, we hope that the AIA’s Stalled Projects Page will prove to be an immense asset to architects, builders and developers throughout the country.”
By creating a login and clicking inside the “Get Started Now” box on the site, architects and developers can fill out a form and tell investors about their projects. By clicking in that same box, investors list their companies and tell project leaders about their firms and the types of investments they are interested in making. Once registered, both project owner and investor can see details on stalled projects or peruse investor information. BD+C
Related Stories
Adaptive Reuse | Oct 22, 2024
Adaptive reuse project transforms 1840s-era mill building into rental housing
A recently opened multifamily property in Lawrence, Mass., is an adaptive reuse of an 1840s-era mill building. Stone Mill Lofts is one of the first all-electric mixed-income multifamily properties in Massachusetts. The all-electric building meets ambitious modern energy codes and stringent National Park Service historic preservation guidelines.
MFPRO+ News | Oct 22, 2024
Project financing tempers robust demand for multifamily housing
AEC Giants with multifamily practices report that the sector has been struggling over the past year, despite the high demand for housing, especially affordable products.
Performing Arts Centers | Oct 21, 2024
The New Jersey Performing Arts Center breaks ground on $336 million redevelopment of its 12-acre campus
In Newark, N.J., the New Jersey Performing Arts Center (NJPAC) has broken grown on the three-year, $336 million redevelopment of its 12-acre campus. The project will provide downtown Newark 350 mixed-income residential units, along with shops, restaurants, outdoor gathering spaces, and an education and community center with professional rehearsal spaces.
Office Buildings | Oct 21, 2024
3 surprises impacting the return to the office
This blog series exploring Gensler's Workplace Survey shows the top three surprises uncovered in the return to the office.
Healthcare Facilities | Oct 18, 2024
7 design lessons for future-proofing academic medical centers
HOK’s Paul Strohm and Scott Rawlings and Indiana University Health’s Jim Mladucky share strategies for planning and designing academic medical centers that remain impactful for generations to come.
Sports and Recreational Facilities | Oct 17, 2024
In the NIL era, colleges and universities are stepping up their sports facilities game
NIL policies have raised expectations among student-athletes about the quality of sports training and performing facilities, in ways that present new opportunities for AEC firms.
Codes and Standards | Oct 17, 2024
Austin, Texas, adopts AI-driven building permit software
After a successful pilot program, Austin has adopted AI-driven building permit software to speed up the building permitting process.
Resiliency | Oct 17, 2024
U.S. is reducing floodplain development in most areas
The perception that the U.S. has not been able to curb development in flood-prone areas is mostly inaccurate, according to new research from climate adaptation experts. A national survey of floodplain development between 2001 and 2019 found that fewer structures were built in floodplains than might be expected if cities were building at random.
Seismic Design | Oct 17, 2024
Calif. governor signs limited extension to hospital seismic retrofit mandate
Some California hospitals will have three additional years to comply with the state’s seismic retrofit mandate, after Gov. Gavin Newsom signed a bill extending the 2030 deadline.
MFPRO+ News | Oct 16, 2024
One-third of young adults say hurricanes like Helene and Milton will impact where they choose to live
Nearly one-third of U.S. residents between 18 and 34 years old say they are reconsidering where they want to move after seeing the damage wrought by Hurricane Helene, according to a Redfin report. About 15% of those over age 35 echoed their younger cohort’s sentiment.
