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CONSTRUCTION KNOWLEDGE BLOG

May 5, 2011

Xanadu: 2.4 Million SF of Ugly
Filed under: Cool Projects — Tags: — nedpelger

The North Jersey shopping mall Xanadu got caught in the Great Recession. As the whimsically designed Meadowlands mall was being built in 2008, the economy sputtered. The project developers got worried and cut costs, producing what Gov. Chris Christie called, “the ugliest damn building in New Jersey and maybe America.”

David Jansen, the architect of record, took the abuse for a few years as the project sat empty, waiting for a rescuer. Now he’s broken his silence. Jansen noted that the color grid was supposed to be a background only, mostly covered by digital display screens, cascading lights, pulsating helixes over entrances and extensive landscaping. When the developers cut all the cool and expensive foreground, the design was fundamentally altered.

In an important sign of confidence in the economic recovery, the project now has new owners, a new name and will have a new look. Triple 5, the new owner, also owns the Mall of America in MN and the 5.3 Million SF West Edmonton Mall in Alberta, Canada (the largest mall in North America). They’ve changed the name from Xanadu to The American Dream @ Meadowlands and plan to spend another $1.5B, expanding the mall to 3 Million SF. They plan to add a water park, amusement park, skating rink and rooftop outdoor movie theater. Here’s an interior view.

I think this project provides another sign that the recession has bottomed out and the time to buy and build is now.

CONSTRUCTION KNOWLEDGE BLOG

May 3, 2011

You Can Eat Wetlands, But They Taste Like Crap
Filed under: Industry outlook — Tags: — nedpelger

The Florida House of Representatives just passed a bill to streamline land development approvals. The environmentalists are steamed.

“In 30 years of working to protect Florida’s unique natural wonders, never have I witnessed such an egregious and blatant dismantling of those protections,” said Debra Harrison of the National Parks Conservation Association.

Those of us in the construction business for many years have watched the steady increase of complexity of environmental regulations and land development approvals. Every year for decades the time and cost to get a project approved for construction has increased. The rules tend to get written by folks who benefit from the increased complexity. Consulting engineers and planners have their fees increase as the land development process requires more. Local boards and zoners feel more power against developers as their regulation books get fatter.

Meanwhile, the cost of construction goes up and the appetite of owners willing to jump into the convoluted mess goes down. Hopefully, the Florida legislators will lead the way for many other regulatory bodies to consider simplifying.

I consider myself a conservationist, spending large amounts of time in the woods and in nature. We have a responsibility to take care of the Earth. Our environmental responsibility must be balanced with our responsibility for economic growth and productivity. You can eat wetlands, but they taste like crap.

A few years ago I was managing construction on a 100,000 sf factory for welding firm. The Owner’s Rep was building a factory in California at the same time. When he’d start railing about our punitive approval process and the extra costs he was having to endure, I’d discreetly ask about the CA project. Then he’d really get fired up! CA was making him spend on all sorts of whims…like putting a 8′ high brick wall around the entire 30 acre property or putting a lawn irrigation system for all the grass areas. We sucked, but not as bad as CA.

As those trends have come forward, CA has become a place no one wants to build or do business. We aren’t quite there yet, but we’re headed in that direction. This financial crisis and slow recovery recession should help legislators and local officials think hard about where they want to head. The story of the golden goose applies.

If we are are going to succeed together, we need to drop our arrogance and our win/lose mentality. We need to learn to see the other person’s point of view and compromise. It’s what made America great and we need to find that skill again.

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