A Construction Manager at Risk (CMAR) contract is a delivery method in the construction industry where the owner of the project hires a construction manager or a construction management firm at the beginning of the project to provide pre-construction services. The construction manager then works alongside the owner and the design team during the planning phase to ensure that the project meets the owner's goals, budget, and timeline.
Once the pre-construction phase is completed, the construction manager becomes the general contractor and takes on added responsibility for delivering the project on time and within budget. They manage the construction process, hire subcontractors, and assume the risk for delivering the project as a whole.
The CMAR contract places a shared risk on the owner and the construction manager. The owner assumes the risk for the design and the overall project, while the CMAR takes on the risk for the construction phase. The objective of this delivery method is to create a collaborative approach between the owner, the construction manager, and the design team, resulting in a more efficient and effective construction process.
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