Project management fees

[AG83]

Hello all, I am currently a site manager on a multi million pound development and that is my bread and butter.

  I've been asked by a friend of a friend if I could hands off PM a conversion of a bungalow into a house (I have suggested timber kit upper level as opposed to traditional build), I have explained that I already have a full time job and the client is ok with that as they will be on site everyday so my role will be programming works and bringing in sub-contractors I trust to do the works on site without my daily supervision. 

 

The client has no experience in this industry (and been ripped off in past) hence the need for advice.

 

My question is in terms of fees what would seem like a fair fee ?  I have explained I cannot be on the phone 10 times a day and will be bringing in subcontractors at the required stages who can run their own ship so to speak.  Its hard to quantify an hourly rate so I was thinking along the lines of a % fee. It has to be worthwhile as I would maybe be looking at 2 visits a week to site(40 mins away) and numerous emails and assuming calls (this has already started gauging prices).

 

I feel like it's more of a consultancy role then PM but where would that fall under CDM etc also?

 

Any information would be much appreciated 

[markc]

Only you can determine what your time or ability is worth. How much responsibility are you going to or are willing to take? Do you have experience and a track record of managing a house build/conversion? Very different from a big commercial site

 

[Kelvin]

Personally I wouldn’t. 

[AG83]

59 minutes ago, markc said:

Only you can determine what your time or ability is worth. How much responsibility are you going to or are willing to take? Do you have experience and a track record of managing a house build/conversion? Very different from a big commercial site

 

Yes I have lots of experience in conversion work, my previous development was 5 x basement conversions below occupied buildings, plus I am a joiner by trade so quite a good range of experience.

 

Again I see it more as an advisory role then PM with it being such a small development and the onus would be on the sub-contractors (this will be made clear at the outset) to provide their own supervision and insurances etc. The client would be handling the finances.

 

The client just does not want to be ripped off or fed a load of rubbish from Bob the builder if she were to bring in a general builder to do the job as she has had previous bad experiences.

 

I was wondering if anyone had fulfilled a similar role before and would give an idea of how they billed for their time rather then an actual amount.   I've seen some quote between 5-15% of the build cost for being PM, again I would find it difficult quantifying time spent in order to charge an hourly rate.

[Kelvin]

If you are going to charge x% of the total build cost then you are taking on more responsibility for the whole build. It’s certainly what I would expect of someone charging me in such a way. If you are just offering advice/consultancy on aspects of it then figure out an hourly rate and charge her for time spent. 
 

 

[nod]

The problem you will have You will be getting calls day and night 

Are you going to be ringing trades that haven’t turned up ? I bet you don’t do that on site 

Whilst a renovation or one new build isn’t a full time job I would allow a day per week of your time 

[Kelvin]

Exactly. The number of phone calls emails and chasing I’ve had to do and we’ve not started building yet. 

[nod]

1 hour ago, Kelvin said:

Exactly. The number of phone calls emails and chasing I’ve had to do and we’ve not started building yet. 

On our last build I thought I was being clever setting the gate code as 1066 

But two young Brickies would ring each morning and say they had forgotten the code 😁

[SteamyTea]

18 hours ago, nod said:

On our last build I thought I was being clever setting the gate code as 1066 

Good, will stop then going into most National Trust places.