Market Conditions: End of an Era as Architect Lucien Lagrange Retires
Crain’s reports that Lucien Lagrange, the famed architect of such downtown condo high rises as Park Tower and The Elysian as well as the still under development 2520 N. Lakeview in Lincoln Park, is retiring.
One of the city’s most active designers for more than two decades, Mr. Lagrange, 69, says the firm filed for Chapter 11 protection from creditors Wednesday as a way to wind up its affairs and prevent him with being saddled with company debts after he stops working.
Mr. Lagrange declines to comment about the firm’s finances and says the Chapter 11 filing was merely a pragmatic business decision he made after deciding it was time to retire.
“Retiring, (there would be) a lot of liabilities are on my back. I can’t just walk away,” Mr. Lagrange says. “Chapter 11 gives you a chance to plan ahead, organize and close in a decent way.”
No closing date has been set for the firm, says Mr. Lagrange, one of four principals in the company, which employs four associates and other support staff.
The 69 year old Lagrange, who moved to Chicago in 1968, also seems aware that the market conditions may not improve soon enough for him to make a comeback.
Mr. Lagrange says he doesn’t see development rebounding for at least five years, when he might be too old to undertake another major project.
“I could maybe survive the economy downturn, but what’s the point?” he says.
Architect Lucien Lagrange retires, firm files Chapter 11 [Crain’s Chicago Business, Thomas Corfman, July 15, 2010]
sad way to leave a great career – although i am sure he is well taken care of!!!!!
The hell with the other principals, wow, that’s brutal. I’m sure there was some arraignment for them, but now the real value of the firm,(his name) is reduced to a line on their resumes.
Not surprised at all. Crains article neatly summarizes LaGrange’s modus operandi. He’s known to treat his employees as chattel, for his self-centered high-handedness, and for his extravagant “Chicago Social” wannabee lifestyle. Firm’s best (non faux frenchie) buildings were done by former SOM’er Michael Karlovitz, uncredited of course. I’m not a former disgruntled employee, but know many people who have cycled through this “sweatshop” firm.
Instead of his Chicago Social lifestyle, he should have been focused on his building designs (ahem, 510 werie 653 kingsbury) and the attraction they have to Spiders/flying insects.
And Chapter 11??? AUFKM?
All high-rises have the spider/insect issue.
He must be retiring because he has to – not because he wants to i.e. lack of work. He’s probably paying money out of his own pocket to keep the place operating but as a Chap 11 he can relieve himself of the liabilities. THere’s so little work and so few paying clients now for real estate related work. It’s all dried up. I’m surprised most shops have even lasted this long. When this depression is all over there will be hardly any left.
He’s been a net positive for the city IMO, shame he’s closing down.
And aren’t all architect jobs pretty much like working in a sweatshop? I mean they sweat shop you in college for christsakes!
I’d rather see him quit while he’s ahead rather than design cheap buildings just to stay in the game. There has been an obvious decrease in the quality of materials used over the years. 800N and 840 N LSD had much nicer exteriors than the Elysian and some of the other more recent buildings.
“I’m not a former disgruntled employee”
You’re a currently disgruntled former employee?
Architect – True, all high rises has spider/insect issues but not like this. I have been to plenty of units at both buildings where spiders create webs through the stuctural beams on the balconies and windows — I’m not talking about little spiders either or little webs, ever been to Australia?? Cool designs no doubt, with exposed supports…
840 N. Lake Shore is pretty much my dream building from a high-rise family perspective.
Or I could still rock that Trump 1 bdrm with terrace (keep me away from it please…help)
This is such a unsettling way of exiting a successful career that has brought much fame and financial success to this man and his firm. As if we did not already have enough of an influence to just throw in the towel and walk away leaving unsatisfied financial obligations, we have yet another prominent figure doing the same.
While I am not a die hard fan as I am to some of the starchitects here in NY, his projects never failed to leave me wanting to see more.
As far as him as a ‘wanna be’ socialite Chicagoan, I am sure he did gain the social status he desired…may not have gone the proper route to gain it, but nonetheless.
Many architects are known to be very harsh in relationships with their underlings and I am sure this is the case here. Nothing newsworthy on revealing that fact.
Regarding the statement that all RE related work has ‘dried up’, this is not the case. What he could be doing, like others in this Industry, is to explore other options that would still keep his name public and his firm in business.
In no way am I comparing my company to him or his firm, but we were forced to exit due to the present situation and reenter in a different capacity. Regardless of what industry one is a part of, in order to keep going forward during difficult times, you sometimes have to rebrand and reestablish yourself and just roll with the flow.
“True, all high rises has spider/insect issues but not like this. I have been to plenty of units at both buildings where spiders create webs through the stuctural beams on the balconies and windows — I’m not talking about little spiders either or little webs”
Standard Oil/Amoco/Aon had/has the gigantic spiders and webs. And very high up, too.
On the “sweat shop comment”, did the person’s paycheck bounce? I have a hard time listening to people complain about employers because employment is at will and a person can leave if he/she does not like it. Did your friend ever think it might feel like a sweat shop because of low margins from price competition or high operating costs? This is what especially bothers me with unions today. Unions cannot fix things for employees today unless they know how to raise prices for employers so that they can afford to raise wages. People open businesses to make a profit. They hire more people in order to make more profit. If there is no profit or profit growth, there is no reason to hire or be in business for that matter.
“In no way am I comparing my company to him or his firm, but we were forced to exit due to the present situation and reenter in a different capacity. ”
Would you do that if you were 69, had spent the last 15 years only working on large, prominent projects and had a top-architect’s typical relationship with his employees? C’mon, really?
And, until someone says differently, it’s possible he offered the firm to the staff in some fashion and they either didn’t want it or couldn’t meet a price than made sense to LaGrange.
“This is what especially bothers me with unions today. Unions cannot fix things for employees today unless they know how to raise prices for employers so that they can afford to raise wages.”
Every time I see the currently striking laborer with their “on strike for a fair contract” signs I say “you’re striking b/c your employers won’t give you a pay cut, like almost everyone else?”
Yup, I’ve got insects and spiders where I live too. Don’t blame the architect.
Lauren, regarding quality of materials, I wouldn’t blame the architect. That decision is a by-product of the developer’s budget. Regardless, I’m pretty happy with the cladding on the Elysian. Perhaps it’s subjective, but it looks every bit as good as the other buildings that you mentioned. Admittedly, I’m bothered by the green toward the top of the building. I keep waiting for it to be painted black, but it doesn’t appear that’s going to happen. Okay, and the size of the mansard bugs me. Other than that, I really like the building.
Not sure I agree he’s been a net-positive. I’m sure his buildings are outstanding to live in, but IMO aren’t great to look at. Elysian, for instance: the base came out better than I expected (though the faux wrought iron looks a bit cheap) but I can’t find much positive to say about the tower (especially its terrible crown, which you could possibly chalk up to value engineering on the builder’s part, i guess). 10 E Deleware, Ritz Carlton Residences, 840 N LS, Park Tower…all of them leave me cold, bored and wishing there was less painted concrete with fake mansard tops in this city…
Gotta hand it to him, though: his stuff sure does sell.
The architect can be blamed for any design flaw down from spiders to material choice.
This man is no F.L. Wright, Mies, or Minoru Yamasaki, and the fact that he claimed Chapter 11 after so many years of work says something….something not positive.
WTF happened to X/O too??? Stupid French…
anon(tfo),
Yes I would do that, regardless of my age. In my 50’s I know I have a lot more to offer and regardless of how I do it, I will remain in this industry until I leave Earth. If I had his background and talent….even more so yes, I would remain in the business in some capacity allowing my name to be spoken in the social circles he allegedly attempted to be in.
As far as offering the firm to his staff while retaining his name, I don’t think that is an option, especially with his reputation. There is just something about being in this business that leads you to believe that your name and stamp of approval is required in order for the project to be a success. To leave your company and let others decide how you will be remembered through your projects just would not be an option….as I see it anyway.
I do not personally know LaGrange, (just as 99.9% of posters here) so I cannot speculate on his philosophy of our industry or of his decision to bail. I think for him there are many roads he could take that would keep his name in the public and his ass out of bk court.
He could design only private residential or business projects. The demand for an established stararchitect to design a private residence for a wealthy individual is/always has been high. He could also enter most any University and teach while still doing smaller projects on the side. Consulting/doing speaking engagement while still overseeing his own company might be another option.
The possibilities for him, even at his age are many. Speculation that he just might be dealing with a large ego that comes from being in his position making it difficult for him to take one of those while still retaining his ‘dignity’ is just that, speculation.
While I totally comprehend the stress that economic situations bring, for a person of his caliber to simply throw in the towel and walk away from your company with debt is a loser’s way out. Sorry.
I come from a family which does not believe in retirement OR bankruptcy/failing to meet your $$$ obligations. My dad is in his 70’s and is still on their sites daily…many times without his crew. My grands is in his early 90’s and he too is still very active and involved in his arm of the family business. Over the years they have strayed away from performing in their original role, but they always returned, built back their reputation in their area of expertise and remained successful.
It is a personal decision to retire/slow down, change roles or file bankruptcy as a way to end your involvement and we all will view it differently. I just don’t agree with his chosen method.
A-fed: note that Lagrange didn’t design X/O himself. It was his firm, but associates did it, not him. Community opposition delayed the approval of the plans several times and by the time they were close to getting an approved design, the market was in decline. IIRC, it hadn’t sold many units (maybe in the 30% sold range?). Don’t think you can blame the failure of this project on Lagrange so much as a bad economy, a bad RE market and a community that is against dense and tall highrises.
I lived in the Hancock. The lowest floors start at 45 for residences.
We had spiders too. I’m not going after Mies.
“As far as offering the firm to his staff while retaining his name, I don’t think that is an option, especially with his reputation. There is just something about being in this business that leads you to believe that your name and stamp of approval is required in order for the project to be a success. To leave your company and let others decide how you will be remembered through your projects just would not be an option….as I see it anyway.”
There are plenty of examples to the contrary, starting with the firm that LaGrange started with in Chicago. So it’s all about his particular ego (a negative trait shared by more than a few other architects, but hardly universal).
On the “starchitect” thing–he’s a big name in Chicago, but I don’t put him anything *close* to starchitect status. No.where.close.
As the spouse of a disgruntled former employee, I can tell you that all architecture firms are mills but LLA was absolutely one of the worst. Good riddance. Also, a firm can survive a single architect’s career span (otherwise no firm would survive beyond one generation), but steps must be taken deliberately to groom and promote others to ensure that it occurs.
I too am an architect, and I do know LaGrange…
everything ever written negatively about him is… true!
I do not believe that guy has even an ounce of integrity to his profession much less his employees (I am also a friend of Karlovitz, who happens to be a very talented architect with immense integrity)
….as I see it anyway.”
Did you not see these few words anon. I am speaking for myself, a person WITH integrity, when I say I could not allow my company, my vision, to be left for another person to manage.
Being a ‘big name’ in Chicago still would be enough to wrangle a few commissions…if that is what he chose to do. All I was doing was offering exapmples of actions he could take that would not force him into Chap 11, nothing more.
Now if what Jack is saying is true, those options would be rather limited if not totally extinguished.
“Did you not see these few words anon.”
You started with:
“As far as offering the firm to his staff while retaining his name, I don’t think that is an option, especially with his reputation.”
so I took it to be clarifying that it was your opinion about LLG, based on your view of the industry. Wasn’t meant as a dig, just a conversation.
On the Star thing, sure, but with his (apparent) view of his underlings, there’s little chance he’d stoop to doing the sort of work the peons do, and begging for work *you* don’t want or need from one’s “peers” (ie, those beneath you, but with more money) is rather humiliating for an aristocrat.
I was on top of a 12,500 foot mountain over July 4th weekend and there were TONS of spiders and bees everywhere so I don’t think altitude has to do with insect/arachnid populations at all
Perhaps it is due to health reasons that he wants to shut down the business quickly. That would explain why he does not just downsize and keep the name in the market for occasional special projects. Or is he stuck in some long term expensive lease that is not personally guaranteed. Is there news of a pending lawsuit on one of his projects. BK might be a way to get him out quickly so that he can avoid legal issues and later form a new named business for those special projects.
This is purely speculation and not based on any facts!
My guess is that the firm has a negative balance sheet and none of the younger principles would be able or willing to take it over.
Most architects that I know have little to no net worth, and the pay sucks. Most firms or small businesses don’t have any real assets so to get a line of credit you need personal guarantee of assets such as cash, stock, realestate.
Also this is one of the first to go bankrupt but won’t be the last.
“As far as offering the firm to his staff while retaining his name, I don’t think that is an option, especially with his reputation.”
Sorry should read…….. younger principles wouldn’t be able
BTW I met him once. Sure he was arrogant and thought that his talents were immense but I guess that is not uncommon with people who think they are on top of their profession. He hired a neighbor. At the time the kid was right out of architecture school. I’m pretty sure the kid worked his ass off but I never heard him complain. He was happy that the job was giving him some credentials on his resume.
“I was on top of a 12,500 foot mountain over July 4th weekend…..”
sonies, how drunk were you and was SHE really that big?
(sorry i just had to let that out)
Jack, do you live in a one story house with a really cool, architecty facade?
If you do, come and say ‘hi’ I’m working on a project one block north.
lucien lagrange and that devleoper/architect who runs Magellan are two of the worse things to happen to Chicago architecture…..though to be fair, they only delievered what the market wanted.
So I guess that they are merely accessories to crime of ugly buildings (Magellan) and the faux-McMansion-turned-high-rise Parisian nostalgia of Lucien.
Too bad the rank-and-file get the shaft 🙁
*chuckling loudly for a few minutes now*
. . . I was sure I was going to see fawning here. . . couldn’t be more amused to see the general drift of these comments.
And couldn’t agree more. We don’t need any more buildings in Chicago like the last few (especially) from LL.
Y’all a bunch of haters. Here’s a man who devoted himself to Chicago architecture and you come here to anonymously bad mouth him. Whatever, you haters don’t mean nothing to him.
drama queens
HD you’re a gdam funny guy sometimes.
On another topic, inspired by HD–
I’m surprised that the last 600 NF post didn’t draw our 3 (or more) named friend out of the woodwork. Had it just become impossible for him to maintain that he hadn’t lost anything (w/o resorting to unrealized loss)?
not covered in the Crain’s article:
“Lagrange told the newspaper that he had run into financial trouble because he is owed more than $1 million for a project in Saudi Arabia that has not been built.”
http://cbs2chicago.com/business/lucien.lagrange.bankruptcy.2.1808980.html
So I was correct – there was financial trouble. You don’t just go Chap 11 for nothing and shut down the shop out of nowhere. He’s not getting paid.
for the spider conversation: watch the animation is great
http://www.npr.org/templates/story/story.php?storyId=128389587
*its
While I know nothing about Mr Lagrange, you all are too quick to point at his business model and not the economy. Almost all architects are struggling. See the chart below.
http://calculatedriskimages.blogspot.com/2010/06/architecture-billings-index-may-2010.html
Lagrange is getting divorced; he’s “protecting his assets”.
Think Small,
That chart shows the billings have dropped, but from my knowledge, this doesn’t even come close to describing the situation. Not only are we billing much less, but we are also getting paid for a much lower percentage of work performed. Many invoices are going out to clients who have also gone bankrupt and will never be able to pay.