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Overview Of Construction Manage And Design Build Contracts In Florida


You hear about the Florida construction boom in the news and see the construction cranes dotting the skylines, but you may not fully grasp the magnitude of the growth until you review a few key indicators. According to Cumming Insights, a leader in construction market analysis, the total construction market volume in Miami, FL is set to hit more than $23.3 million by 2023. This figure reflects a 10 percent increase over 2020, so property owners, contractors, and design professionals should be gearing up for busy times to come.

One of the initial considerations when diving into a construction project will be the best delivery model based upon the priorities, objectives, and intended involvement in the process. Though you should consult with your Florida construction contracts lawyer about what method suits your specific needs, there are three options to weigh.

  1. Construction Management At Risk (CM@R): With this delivery method, the property owner contracts separately with a design team and a general contractor – termed construction manager at-risk in this context. These parties provide professional and consultative services to the owner throughout the development and construction phases, promoting a collaborative team environment. Additional benefits of this model include:
  • By working together, the parties establish trust prior to starting construction.
  • It is easier to estimate costs in the early stages because you have the team on board from the start. 
  1. Design-Build: To the property owner, this is the classic “turnkey” project delivery method. Instead of two contracts, the general contractor will be the owner’s single point of contact and contractual obligations. The GC will handle subcontracting for construction trades, design professionals, and other requirements. The contractor also bears responsibility for costs, staying on schedule, and performance. The advantages to the owner are minimal time commitment and faster time to completion, since the GC handles primary tasks. These factors also lead design-build to be lower in cost in many cases.
  1. Design-Bid-Build: Many parties opt for this project delivery method because it makes cost a top priority from the very beginning, when the design team contracts with the owner to develop the construction documents. The specifications contained in the contract become the basis for a competitive bidding process among contractors; the GC is chosen based upon the lowest bid, which means it may not always be the most qualified. The downside of this model is the potential for more change orders, since the GC that won the bidding process did not participate or provide input when the construction documents were created.

Get More Information from a Palm Beach, FL Construction Contract Attorney

This overview of project delivery methods should help you understand the basics, but there is one key point to remember whatever option you choose: Success starts with a well-crafted construction contract, and an experienced lawyer will help ensure protection of your interests. To learn how our team can assist with creating and reviewing agreements, please contact Linkhorst Law Firm, P.A. to set up a consultation at our offices in Jupiter, FL.


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