A different way of looking at commercial value

Property decisions are often made through individual disciplines — investment, development, design, procurement and operations.

But the consequences of those decisions rarely remain within one discipline.

A decision about capital allocation affects the design.
A design decision affects how a space operates.
An operational decision affects the user experience.
The experience of a place ultimately influences how people value it.

j-woodhouse looks at these connections.

The objective isn't simply to spend less or create more.

It is to understand where decisions create value, where they don't, and what they set in motion.

Where value is created

Is the capital working hard enough?

Testing investment against the value it is intended to create.

Not all investment creates equal value. We test where capital allocation can have the greatest impact on the experience, performance and long-term potential of a place — and where expenditure may have limited return.

We look for opportunities where relatively small interventions can create disproportionate value.

Will the place work as intended?

Understanding how people will use, experience and operate the space — and challenging assumptions.

How people move, use and experience a space can have significant commercial consequences.

We interrogate the brief, spatial strategy and intended use to identify opportunities, inefficiencies and unintended consequences before they become embedded.

“A spreadsheet can tell you how many apartments there are. It cannot necessarily tell you whether the amenity space will work.”

Understanding how people interact with a place can reveal opportunities that conventional commercial analysis may overlook.

The objective is not to design for design's sake. It is to make sure the investment creates a place that works.

What are the consequences?

Understanding how decisions made in one part of a project affect what happens further downstream.

Investment, development, design, procurement and operations are interconnected.

A decision made during briefing can affect design.
Design can affect procurement.
Procurement can affect programme.
Programme can affect cost.

Seemingly minor omissions can become significant commercial problems when repeated across hundreds of units.

The earlier those consequences are understood, the greater the ability to influence them.

Good commercial judgement isn't only about making the right decision. It is understanding what that decision sets in motion.

Principles - 6 considerations behind better decisions

People

Understand the people who will use, operate and experience the space.

Place

Recognise that the built environment is the backdrop to the activity and experience taking place within it.

Value

Create value through intelligent capital allocation and by recognising opportunities that don't necessarily require more spending.

Timing

The earlier critical decisions are considered, the greater the ability to influence their eventual outcome.

Judgement

Use experience to recognise what analysis may not capture or reveal.

Unintended consequences

Understand what a decision creates elsewhere — and avoid solving one problem by creating another.