Agency CM Project Delivery Stalls, While Program Management Soars
For construction management firms delivering construction management and program management services on a fee-only basis, it’s the best of times and it’s the worst of times. At a time when CM-for-fee as a discrete project delivery approach is struggling despite a torrid market, program management is on fire.
ENR’s Top 100 CM/PM Firms generated $8.72 billion in fees in 2006, up a strong 18.1% from 2005’s number. But this hides the real story. CM-for-fee revenue in 2006 was $3.87 billion for the group, up only 1.3% from $3.83 billion in 2005. But PM fees for the Top 100 skyrocketed to $4.85 billion, up 36.2% over 2005’s mark of $3.56 billion.