5 Reasons You Should Hire A Construction ManagerAug 25, 2023
Hey developers and aspiring developers!
When building a new rental property, I used to think there were two options: doing everything myself, or relying on a full-service contractor/builder.But there's a third option: construction managers. These project wizards act as your personal project managers, working alongside you to handle everything from timelines to budgets.
Now allow me to share my 5 top reasons you NEED to hire a construction manager 🏗️
1. Experience and Expertise: With years of industry experience, construction managers are your project's best friends. Their specialized knowledge and skills, often pooled from a larger team, ensure your project's success.
I’m currently working with The GeoFocus Group. The two principles with GeoFocus have over 70 years of combined experience in construction. There isn’t a situation that this company hasn’t been through already, and their expertise has been invaluable to me on my recent projects.
2. Value Engineering: Construction managers should always help you REDUCE costs. They meticulously assess your plans and find ingenious ways to reduce expenses while maintaining top-notch quality.
On our Dufferin project they worked with our architect and engineer to remove over $150k worth of steel and replace it with wood at a fraction of the cost. These savings alone nearly paid for the costs of hiring them!
3. Project Planning and Organization: Construction managers create realistic timelines, manage permits, subcontractors, and budgets, all while maintaining a centralized communication hub.
Having a realistic timeline helps you plan your project, but more importantly, helps you plan your finances. This is vital to any construction project.
4. Safety and Quality Control: CM’s are safety champs, enforcing protocols and upholding quality standards. You'll get a development built to last, with reduced safety incidents and subpar work.
On smaller sites like my current project, trade contractors aren’t always used to following the required safety standards. This is a huge liability for you as a developer. If someone is on your site and they aren't following the safety procedures, you could be liable if they get injured.
5. Problem Solving: No challenge is too big. They likely have the solution to any problem you might encounter.
On one of our recent projects, I had shoring placed in the wrong location, hadfootings poured on substandard soil and had multiple delays with our forming contractor. But at every turn, my construction manager had multiple suggestions as to how to solve these issues, which kept the project on track.
...And now, the million-dollar question: What's the cost?
Construction manager fees are typically a percentage of your construction costs. On my recent project, I’m being charged 10% of the construction hard costs. On some of my larger projects, we are paying closer to 5%. But in some cases, your CM fees can be fixed! Either way, a good CM will be worth every dollar, especially if you’re a new developer.