Hale And Hearty

by Laura Girmscheid and Sheila Kim-Jamet -- Interior Design, 11/1/2007

Design is a healing tool. According to research conducted for the 2007 list of the top Interior Design Giants in health care, decision-makers for medical facilities continue to recognize this fact—the numbers don't lie. These 40 firms reported a 4 percent increase in health-care design fees for a total of more than $359 million over the period from July 2006 through June 2007; 5,116 projects encompassed 146 million square feet. The same firms are forecasting a 6 percent increase for July 2007 through June 2008.

As we noted a year ago, many of the Giants are committed to sustainable design when possible, although they admit it's a challenge to balance clients' budgets with the selection of eco-friendly products for this market. Many Giants find creative ways of going green with such standard materials as glass and rubber. And one firm reminded us of the opportunity to collaborate with manufacturers to address the needs of an industry in which success is measured a life at a time.

2007 Rank	Firm Headquarters; Web Site	Health-Care Fees (millions)	Work Installed		Design Staff	2006 Rank
			Value (millions)	Sq. Ft. (millions)
01	HDR Omaha; hdrinc.com	$42.827	$4,093.98	5.02	256	2
02	Perkins + Will Chicago; perkinswill.com	$28.350	$1,671.67	10.53	247	1
03	Anshen + Allen San Francisco; anshen.com	$24.175	$507.64	1.70	106	4
04	Perkins Eastman New York; perkinseastman.com	$21.564	$309.00	2.00	172	5
05	Cannon Design New York; cannondesign.com	$18.495	NR	2.24	212	6
06	NBBJ Seattle; nbbj.com	$17.075	NR	NR	209	8
07	PageSoutherlandPage Houston; pspaec.com	$16.208	$325.00	2.93	160	7
08	Shepley Bulfinch Richardson & Abbott Boston; sbra.com	$13.824	$122.00	4.10	22	10
09	HKS Dallas; hksinc.com	$11.200	$58.50	10.60	63	-
10	SmithGroup Detroit; smithgroup.com	$10.773	NR	8.18	138	9
11	Zimmer Gunsul Frasca Architects Portland, Oregon; zgf.com	$10.200	$220.00	0.55	76	11
12	Hammel, Green and Abrahamson Minneapolis; hga.com	$9.750	NR	NR	27	-
13	Karlsberger Columbus, Ohio; karlsberger.com	$9.502	$633.40	2.41	19	14
14	Granary Associates Philadelphia; granaryassoc.com	$8.707	NR	NR	20	3
15	HoK St. Louis; hok.com	$7.895	$73.00	19.00	15	13
16	WHR Architects Houston; whrarchitects.com	$7.492	NR	1.01	16	15
17	Gresham, Smith and Partners Nashville; gspnet.com	$7.034	$98.00	7.47	72	20
18	Francis Cauffman Philadelphia; franciscauffman.com	$6.840	$600.00	2.50	57	23
19	Anderson Mikos Architects Oak Brook Terrace, Illinois; andersonmikos.com	$6.590	$63.18	4.90	52	21
20	Flad & Associates Madison, Wisconsin; flad.com	$6.413	$180.00	2.00	172	26
21	TRO Jung/Brannen Boston; trojungbrannen.com	$6.141	$427.50	1.90	30	19
22	Loebl Schlossman & Hackl Chicago; lshdesign.com	$5.898	$161.50	0.65	33	24
23	OWP/P Chicago; owpp.com	$5.494	NR	0.36	35	28
24	Harley Ellis Devereaux Southfield, Michigan; harleyellisdevereaux.com	$5.472	$262.00	1.58	14	25
25	Leo A Daly Omaha; leodaly.com	$5.264	$116.20	0.33	166	22
26	Ballinger Philadelphia; ballinger-ae.com	$5.160	$220.00	0.57	23	18
27	EwingCole Philadelphia; ewingcole.com	$5.125	$265.00	2.00	31	17
28	Array Healthcare Facilities Solutions King of Prussia, Pennsylvania; arrayhfs.com	$5.099	$250.00	2.05	20	16
29	Lawrence Group St. Louis; thelawrencegroup.com	$4.499	$74.60	1.20	46	29
30	Tsoi/Kobus & Associates Cambridge, Massachusetts; tka-architects.com	$3.876	NR	0.17	17	27
31	Ratcliff Emeryville, California; ratcliffarch.com	$3.833	NR	0.73	41	-
32	Maregatti Interiors Indianapolis; maregattiinteriors.com	$2.844	$110.00	5.20	22	30
33	JRS Architect Mineola, New York; jrsarchitect.com	$2.776	NR	0.15	27	31
34	Steffian Bradley Architects Boston; steffian.com	$2.400	NR	1.20	13	-
35	RLF Winter Park, Florida; rlfae.com	$2.113	$556.15	2.06	9	35
36	NTD Architecture San Diego; ntdstichler.com	$2.080	$45.00	1.02	12	32
37	Ronald Schmidt & Associates Englewood, New Jersey; rsaaia.com	$1.819	$116.00	0.31	20	33
38	Reilly + Associates Architects Seacliff, New York; reilly-assoc.org	$1.710	$4.50	0.10	14	-
39	RMJM Hillier Princeton, New Jersey; rmjmhillier.com	$1.303	NR	NR	NR	34
40	Gallun Snow Associates Denver; gallunsnow.com	$1.280	$137.10	1.50	17	-
NR=Not Reported

	Health-Care Fee Income	% Of Fee Income
Hospital	$220,975,346	62%
Outpatient facility	$53,433,415	15%
Medical office	$25,663,709	7%
Clinic	$22,441,587	6%
Senior living	$11,203,220	3%
Rehabilitation facility	$7,268,321	2%
Mental health facility	$6,265,297	2%
Assisted living	$2,704,018	1%
Skilled nursing facility	$4,432,407	1%
Hospice	$772,117	0.2%
Other	$3,940,092	1%
Total	$359,099,529	100%

West	54%
Northeast	44%
South	39%
Midwest	36%
Middle East	15%
Canada	13%
Europe	13%
Asia	13%
Mexico	5%
Pacific Rim	5%
Caribbean	3%

New construction	60%
Renovation	40%
Domestic	96%
International	4%

1. NBBJ
2. Perkins + Will
3. HOK

	Agree	Disagree
Health-care clients are more willing to invest in design than before.	100%	0%
Today's health-care clients understand that design is a healing tool.	97%	3%
Sustainability is becoming a more important part of designing health-care facilities.	95%	5%
More clients are interested in integrating "green" products into health-care facilities.	95%	5%
There is now more crossover between hospitality and health care.	92%	8%

Methodology

The annual business survey of health-care Interior Design Giants ranks the largest firms by health-care design fees for the 12-month period from July 2006 to June 2007. (In the event of a tie, the firm with the larger dollar value of installed work is listed first.) Health-care design fees include fees attributed to:

All health-care interiors work.
All aspects of a firm's health-care design practice, from strategic planning/programming to design/project management.
Fees paid to a firm for work performed by employees and independent contractors who are "full-time staff" equivalent.

Health-care design fees do not include revenues paid to a firm and remitted to subcontractors that are not considered full-time staff equivalent. For example, certain firms attract work that is subcontracted to a local firm. The originating firm may collect all the fees and retain a management or generation fee, paying the remainder to the performing firm. The amounts paid to the latter are not included in the fees of the collecting firm in determining its ranking. The data was compiled and analyzed by the Interior Design market research staff in New York: Laura Girmscheid, research manager, and Wing Leung, research director.