Fees other than for design may apply if we are also involved in the total project formation, preliminaries, construction and sales or if we are administering a Development Fund. These fees are split into distinct responsibilities.
The Project Manager’s role for multi unit and commercial developments is to administer the contract with the Builder and has control of the Building Site during construction only. The scope of works is the same as that set out above for residential Contract administration. He has no involvement or responsibilities with any preliminary or post construction activity.
The Project Formation Fee is either a fixed fee or based on profitability of the development and covers time and reward for:
Finding the project and negotiating the deal between investors and vendors
Analysis of the site and its potential
Preliminary analysis of Development and Building Codes for feasibilities
Doing the Preliminary Feasibility
Structuring the deal to work in the most profitable way possible
Finding the Investors and/or Bank Finance to complete the project for clients who have land or a project in mind but can not fund the Development
The Development Management Fee is based as a percentage of the overall costs of the project depending on size and complexity. The Development Manager has total overall responsibility for the project. The fee is based on overall costs of the project including the following areas:
Land, building and furnishing costs
All professional Consultants
Marketing and sales costs
The fee is for services in the overall planning, co-ordination and directing of all these aspects, provide technical assistance, correlate all documentation, set up the proper legal structure for the development entity and to keep control of the Compliance, Time schedules, budgeting, arranging finance, book keeping and financial reporting.