CMR

Construction Manager at Risk (CMAR): The Delivery Method That Puts the CM on the Hook for the Guaranteed Maximum Price

Construction Manager at Risk (CMAR) brings the construction manager in early for preconstruction services, then transitions the CM to a Guaranteed Maximum Price (GMP) for construction where the CM takes on cost overrun risk. The model blends design-bid-build's clear separation of design and construction with design-build's early CM involvement, and it's become the dominant alternative to lump-sum delivery on complex public and private projects. Understanding the preconstruction phase, GMP conversion, and shared-savings mechanics is key.