Complications of crowdfunded architecture

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Overview

As Crowdfunding appears in many different ways, catering various services and fields, certain non beneficial aspects appear. This is an article discussing those aspects for architectural content. What are the downsides and weaknesses when trying to crowdfund an architecture project? How could they be avoided? Starting with an theoretic approach and finishing with examples and case studies.


Complications

A list of complications that make architectural projects special when it comes to crowdsourcing. why do these arise? blabla

GRAPHIC

cost

Complications-02.jpg

When dealing with architecture its obviously not like financing a new book or design gadget. The money involved is in most cases excessively outranking other design fields. Making a realistic and understandable demand when starting a crowdfunding campaign is crucial for its success. Considering the high building costs, it seems viable to implement strategies to avoid overreaching the campaigns potential.
These strategies could be for example to break a big project into smaller pieces to make it more accessible. Step by step the Project reaches its goals. During the funding process it gains not only reputation, but also followers who will in turn further its completion.
Another potential strategy could be, to combine crowdfunding with other financial solutions. Private investors but also governmental funds tend to invest or support projects far easier when they see a potential market or demand for it. This follows a classic supply and demand economy.

main problems

- The cost of architecture projects is in comparison excessively high.
- additional costs may occur during the process. who is paying them?
- more then 10.000 often seems to be an unrealistic amount.

theoretical solutions

- crowdfunding step by step / research.
- crowdsourcing instead of funding
- combining crowdfunding with other approaches
- financing the growth instead of the initial project

examples

+pool

+pool is a great example on how to deal with a major financial expense in terms of crowdfunding.
The estimated project budget is 15$ million. This number not only scares people away, it is also very unlikely to be achieved. Especially considering the reach that architecture projects normally generate. So +pools solution involved a strategy of funding the project step by step while raising awarenesss and attracting other funds and supporters.
The initial kickstarting campaign therefore tries to generate 250.000$ for research instead of the whole 15$. This is still a lot, but considering the public accessibility and the fact that new york harbors a world wide attraction it is realistic and met his goals.

https://www.kickstarter.com/projects/694835844/pool-tile-by-tile

treshold

Complications-03.jpg

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main problems

- exclusive.
- limited demand.
- either-/or principal.
- trade of

theoretical solutions

- research thoroughly
- use niches
- initiate urban experiments

examples

catchment

Complications-01.jpg

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main problems

- Reach mostly limited locally
- Only exceptional cases generate outsiders interest.
- smaller reach> more participation per person needed.

potential solutions

- Kampagne im ersten Schritt bewusst Lokal auslegen.
- Klare definition des Wertes für Aussenstehende. Vermittlung!
- Geographie realistisch ausloten
- Netzwerk gründen.
- Marke statt Gebäude > Identifikation > Wachstum
- Produktion im Produkt > Mehrwert.
- Crowdsourcing statt funding.

examples

approval

Complications-04.jpg

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main problems

- Finanziert heist nicht genehmigt!
- Öffentliche/ Behördliche Interessen

potential solutions

- Aufklärung über Ablauf und nötige Genehmigungen.
- Einbindung in festgelegten Prozess
- Nutzung definierter Netzwerke zur Überwindung der Hürden.(Macht)

examples

longlevity

Complications-05.jpg

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main problems

- lasting responsibility
- subsequent use
- who carries lasting costs? maintainance? renovation?
- Recycling possibilities?

potential solutions

- Nachnutzungen mit einplanen
- Temporär und recyclebar bauen
- Management und Nutzung von Anfang an einkalkulieren.

examples

Conclusions

what can we learn from this article?

Outlook

how could the future of crowdfunded architecture look like?