Construction Management Fees Decoded: Understanding the Industry Standard
Understand the key factors that impact construction management (CM) fees, such as project complexity, size, location, and scope. Familiarize yourself with industry-standard CM fee ranges, typically expressed as a percentage of total construction costs, which can vary from 5% to 15% depending on the project. Project owners should negotiate CM fees based on the specific services required, the firm’s experience and reputation, and the overall value they bring to the project. Establish clear expectations and …