From 1963 to 1987, under the directorship of Paul J. Smith, the museum presented dynamic and often participatory exhibitions that reflected the social currents of the era and broke down hierarchies in the arts with the celebration of popular culture and mundane materials.

The continued growth of MAD's collections, public programs, and attendance resulted in its successful 2002 bid to the New York City Economic Development Corporation to acquire the building at 2 Columbus Circle.

The proposed changes to the building originally designed by Edward Durell Stone sparked a preservation debate joined by Tom Wolfe (The New York Times; October 12, 2003 and October 13, 2003), Chuck Close, Frank Stella, Robert A. M. Stern, Columbia art history department chairman Barry Bergdoll, New York Times architecture critics Herbert Muschamp and Nicolai Ouroussoff, urbanist scholar Witold Rybczynski, among others.

With its textured façade of glazed terra-cotta tile and fritted glass, the Jerome and Simona Chazen Building reflects MAD's craft heritage and permanent collections.

It includes four floors of exhibition galleries for works by established and emerging artists; a 150-seat auditorium in which the museum plans to feature lectures, films, and performances; and a restaurant.