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Construction Management Agreement

This Construction Management Agreement outlines the terms and conditions between a client and a construction manager for the oversight and coordination of a construction project. It details responsibilities, scope of work, fees, and timelines.

Updated 15d ago
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{{company_name}}

{{company_address}}

Phone: {{phone}} | Email: {{email}} | Web: {{website}}

Construction Management Agreement

Construction Management Agreement

{{company_name}}

{{company_address}}

Phone: {{phone}}

Email: {{email}}

Website: {{website}}

CONSTRUCTION MANAGEMENT AGREEMENT

This Construction Management Agreement ("Agreement") is made and entered into as of {{date_of_agreement}} by and between:

**CLIENT:** {{client_name}}, with a principal place of business at {{client_address}} (hereinafter referred to as "Client").

AND

**CONSTRUCTION MANAGER:** {{construction_manager_name}}, with a principal place of business at {{construction_manager_address}} (hereinafter referred to as "Construction Manager").

Collectively referred to as "the Parties".

1. Project Description

The Client intends to undertake the construction of {{project_description}} located at {{project_location}} (hereinafter referred to as "the Project").

2. Scope of Services

The Construction Manager shall provide comprehensive construction management services for the Project, including but not limited to:

**2.1 Pre-Construction Phase:**

- Project planning and scheduling.

- Budget development and cost estimating.

- Contractor pre-qualification and selection assistance.

- Review of design documents for constructability and value engineering opportunities.

**2.2 Construction Phase:**

- On-site supervision and coordination of all construction activities.

- Quality control and assurance.

- Schedule management and progress monitoring.

- Cost control and budget management.

- Contract administration with trade contractors and suppliers.

- Health and safety compliance oversight.

- Regular reporting to the Client on project status.

**2.3 Post-Construction Phase:**

- Punch list development and close-out management.

- Review of as-built drawings and operation manuals.

- Warranty management assistance.

3. Construction Manager's Fee

In consideration for the services rendered, the Client shall pay the Construction Manager a fee as follows:

**3.1 Fixed Fee:** A fixed fee of {{fixed_fee_amount}} ({{fixed_fee_currency}}) payable in accordance with the payment schedule outlined in Section 3.3.

OR

**3.2 Percentage of Construction Cost:** A fee equivalent to {{percentage_of_cost}}% of the total actual construction cost of the Project, payable in accordance with the payment schedule outlined in Section 3.3.

**3.3 Payment Schedule:**

- {{initial_payment_percentage}}% upon signing of this Agreement.

- {{milestone_1_payment_percentage}}% upon completion of {{milestone_1_description}}.

- {{milestone_2_payment_percentage}}% upon completion of {{milestone_2_description}}.

- Remaining balance upon substantial completion of the Project.

4. Project Schedule

The Construction Manager shall diligently work to achieve the following Project milestones:

- Project Commencement Date: {{project_commencement_date}}

- Substantial Completion Date: {{substantial_completion_date}}

- Final Completion Date: {{final_completion_date}}

Any delays encountered will be communicated to the Client promptly, along with potential impacts on the schedule and proposed mitigation measures.

5. Client's Responsibilities

The Client shall provide, in a timely manner, all necessary information, access to the site, and decisions required for the Construction Manager to perform its services effectively. The Client shall also secure and maintain all necessary funding for the Project.

6. Insurance and Indemnification

The Construction Manager shall maintain appropriate general liability and professional indemnity insurance coverage throughout the term of this Agreement. Each Party agrees to indemnify and hold harmless the other Party from and against any and all claims, damages, losses, and expenses arising out of their respective negligent acts or omissions.

7. Termination

Either Party may terminate this Agreement upon {{notice_period}} days' written notice if the other Party materially breaches any of its obligations hereunder and fails to cure such breach within the notice period. In the event of termination, the Construction Manager shall be compensated for services rendered up to the effective date of termination.

8. Governing Law

This Agreement shall be governed by and construed in accordance with the laws of {{applicable_country}}.

9. Entire Agreement

This Agreement constitutes the entire agreement between the Parties and supersedes all prior discussions, negotiations, and agreements, whether written or oral.

SIGNATURES

IN WITNESS WHEREOF, the Parties hereto have executed this Construction Management Agreement as of the date first written above.

_____________________________

CLIENT: {{client_name}}

By: _________________________

Name: {{client_authorised_signatory_name}}

Title: {{client_authorised_signatory_title}}

Date: {{client_signature_date}}

_____________________________

CONSTRUCTION MANAGER: {{construction_manager_name}}

By: _________________________

Name: {{construction_manager_authorised_signatory_name}}

Title: {{construction_manager_authorised_signatory_title}}

Date: {{construction_manager_signature_date}}

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