The concepts presented .

This architectural competition has been a real challenge for everyone, the participants and the organizers. The task of integrating the various aspects (economic, design, ecology, catchment area, functionality) in a reality that already exists, is very difficult. Considering the shortcomings of the documents and of the time, we wish to express that for us there is not only one winner.  

All those who participated by submitting an 'idea, a concept, won in a very special way by giving their contribution. Because of this, we would like to publish some of the concepts developed to demonstrate respect for the participants, sure that the criticism is an opportunity for improvement for the future and not a defeat.

This part is not, and is not meant to be an evaluation of one concept! For this reason, we take some elements of all concepts to present them here - without giving a rating or a review. We would like also to convey our satisfaction and enthusiasm for these results and contents, presenting images / photos / plans without going into details.

We divide this guide into several areas

 

Functionality of the concept 

Some of the concepts presented are very innovative and also detailed. Have been submitted for the redevelopment projects with a strong emphasis in the field of Bio - agriculture, one of these, use the backside of the shopping center, such as agri-food market, education, and urban gardens. `A further project is divided into several areas with a soul as Bio (Biofit, Biodrive, bioshop, Biorestaurant). As summarized the concept is called BIOFUN, another is called Science Park "Bio" which also includes R & D. A further proposal in this area unfolds from the production process, with all phases of the product, until you get to the end customer.

 

A proposal entitled, Motor World - very innovative - everything revolves around the world of motorsports, car and motorcycle service. There are several areas such as retail, promotion, merchandising, modeling, simulation, go-kart for adults and juniors as well as a radio remote-controlled track.
In some proposals, the shopping center has been redesigned as a multi-purpose medical center incorporating a spa and swimming pool to complete, multi-functional and flexible in use concepts with an emphasis in sports and wellness.
A further proposal provides for a reduction of retail space, better visibility from the road with the installation of a large arch covered with solar panels and the integration of a market square.

 

Layout / Graphics / Quality:

 

All concepts have posted enough material to illustrate the different views. Some focus more on the level as the functional structure and the management of other areas, put more emphasis on appearance.  

 

 

 

 

 

 

Floor plans of the structure 

The majority of the presented concepts is very detailed, some describe even individual stores and have a plan, studied in detail. Various proposals present the general areas / sectors rather than specific servicesi.

  

The sheds in the rear of the shopping center (Lot 2) 

An interesting question concerned the choices regarding the three old warehouses disused in the back. Most of the designers has ruled out the use or postponed any decision in the future, focusing on investment and commercial center. In two of these projects, the sheds were only considered for a sale intended to improve cashflow. There are three proposals that have considered to use them as organic-garden. Finally, in one of the proposals received, was recovered the airspace of the sheds, to create a sport center and use the land as a surface  for sport. 

 

     

 

Catchment area

The users of the catchment area, as a planning tool, has been used marginally, only in one case it was deepened to complete the project. 

    

Business plan / economic

This was definitely the most difficult challenge. Our decision, as organizers of the Architectural Competition, was very innovative compared to the vast majority of calls or projects that are published. A difficult decision, but justified by the idea, that a project, can’t ignore the economic aspects. In fact, in a housing market in crisis and very competitive, it has become imperative to consider the economic aspects of any operation before investing. We are aware that our choice led the participants to a considerable effort, in changing the approach. A designer often, doesn’t ask what will be the profit or loss for an investor and doesn’t ask how to make a profit. We believe that our invitation was necessary to make this reflection and we are delighted to have received a number of projects that have developed this field.

For the business plan we found three different approaches:

 

• Some projects have cited only the costs (demolition, reconstruction, extension, cost of services ..)
• One party also considered the income from rents or partial sale / totals
• Some have created a model for the management of the business that is, the revenues come from the services offered because the owner creates and manages the business

 

 

To consider that they didn’t always include the costs of financing, the timing for the return of the investment is between 10 and 25 years for the calculation of the return / IRR.
From the proposals received, we realized that the future will need to include a business plan template as a tool for the development of a comparable business plan.

COSTS FOR PURCHASING / AUCTION

NIn the Notice, to simplify the calculations and make a realistic common starting point, it was expected to consider a cost of 10 million for the purchase of the property to be included in the business plan. In one case, this cost has been interpreted as including the costs of retraining.

This property will be beaten in the Judicial Auction at the Court of Rimini, June 26, 2014 to 10.45 million Euros  

 

 

COSTS TO RESTART / RESTORE WHAT ALREADY IS BUILD.

The costs for upgrading / re-thinking the existing mall differ greatly depending on the project. Depending on the planned works, the computation cost varies from 1.5 million to about 19. For example, projects that involve the construction of a swimming pool or a cinema have higher costs.   

COSTS FOR NEW STRUCTURES (LOT 2)

These relate to the old poultry houses that are located behind the shopping center. Obviously depends on different strategies or functionality. In several cases they are for sale in others recovery or retraining. In one project is expected the total destruction of the buildings to retrieve the airspace in a new facility adjacent to the center.   

REVENUES (AS RENT TO THIRD PARTIES))

This part is rather delicate because normally the design studies, are not concerned with addressing the issue of revenues by an investor. The classic design is attached to the bill of costs and there is no trace of revenues. In this Competition, we have pursued an ambitious goal in order to attract potential investors not only based on an idea of redevelopment and design, but on an effective and feasible business plan.For this reason, the designer has to take the role of the investor and first start thinking about the revival of the structure starting from the ideas, their economic feasibility and the user base. 

In most of the received proposals the hypothesized revenues come from renting the retail space and / or partial sale of the property.

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LOCAZIONE / ROI / TIMESCHEDULE

The proposals generally have an economic planning at least for 10 years, sometimes detailed, but  we didn’t receive a standard model for the presentation or for a business plan. The calculated yields vary widely from 6% to 11% with a vision, in some cases, quite optimistic of the leases. The creation of a business plan is certainly a new frontier for a design firm, but in a competitive real estate market and always more selective, it becomes an indispensable complement. In the future, we are sure, the design team will increasingly become a multi-disciplinary team, including more and more of the business side and statistics to give concreteness to the proposals sought by investors. 

  

 

SUMMARY:

We were impressed by the quality and innovation of the presented concepts. The proposed scenarios are different, although in some aspects they meet or overlap. Starting from the existing building, the investment in the redevelopment and revitalization involving a total expenditure of 14 to 28 million Euros with yields around 10% p.a. With the increase of the investment this result, of course, is more difficult to obtain. The named jury pointed to the winning project and the other four projects mentioned as the most interesting for various reasons.
With regard to the practical implementation, we will not decide which concept is the best or the most suitable. We leave this "beautiful job" to the users, people, politics, and of course investors. With our work, we give a daily contribution to arouse interest, to create the fertile ground necessary for the development and spread of ideas and concepts, convinced to go in the right direction to help the revitalization of the mall of Verucchio and other shopping centers in Italy or elsewhere