Text data is not held in the same physical location as varchar data unless you have the textinrow option turned on. Varchar is put right in there with the row, whereas text data is held in its own repository. I don't remember the technical details, you can find them in the SQL server help files, Books Online (BOL).
If you just changed a text column to varchar, you'd do well to rebuild and reindex the table before trying any performance tests as you probably had a godawful lot of page splits and so on.
Keep in mind that the total number of bytes in a row can never exceed 8060. With two 3500-character columns, you're left with 1060 bytes.
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Only the unvirtuous can be dutiful, for the virtuous already perform duty's requirements by inclination and for pleasure. Where there is no pain, no disinclination, there is no duty.
- Erik E