(I studied architecture until I switched to CS.)
It's not beauty, exactly. It's norms.
Some places have fairly strong norms. If you own a plot of land (perhaps with an old building) in such a place and go to an architect ask for a proposal to renovate/rebuild/whatever, the architect will tell you clearly what you'll be permitted to build and what not.
In such a place, your new building will look rather like its neighbours. Unless you want to try to fight the building commission, maybe you think the voters disagree with the commission and you can force the elected officials to overrule the commission.
In other places you have a lot more flexibility, and in that case you have the option to build beautifully, and you also also a lot of less beautiful options.
You may think the second question is the key: Do people who hire architects and builders choose to build beautifully or not? I think the first one is the most important factor. The second matters seldom, because even when the choice is there, the choice is usually for such a small area that you can see five or ten independent buildings, and the overall effect will lack beauty even if one or two buildings are beautiful.