What’s in a Name?

Tim Elli, Principal

What’s in a Name? Owner’s Rep, Construction Manager, Owner’s Project Manager – What’s the difference?

Construction, like many industries, has its own language consisting of acronyms, industry specific jargon and slang. For those of us that work in the industry, it’s like our native tongue. But for businesses embarking on a construction project, not knowing the language can put your success at risk.

A world traveler interested in visiting exotic locales will hire a “fixer” to ensure a successful trip.  But, who are the fixers for businesses needing to construct a building? Is it an “Owner’s Rep” or a “Construction Manager” or a “Owner’s Project Manager”?  Who should you put on your team first?

Owner’s Representative (Owner’s Rep)

The Owner’s Rep is your advocate. They represent your interests from start to finish, making sure the design team, contractors, and vendors deliver what you need—on time, on budget, and with the quality promised. They don’t answer to the contractor or architect. They answer directly to you.  The Owner’s Rep will assist in assembling and managing all the resources necessary for a successful construction project.  Generally, an Owner’s Rep has significant experience working in the construction or architecture fields and now uses that experience to represent their client. 

Owner’s Project Manager (OPM)

This one is easy.  For the most part, an Owner’s Rep and Owner’s Project Manager are the same thing.  However, I’d like to offer a distinction between these two titles.  I prefer the title of Owner’s Project Manager.  It is tempting for an owner to singularly focus on the construction phase at the exclusion of the rest of the project.  After all, the construction phase of the project is the costliest in terms of capital and time.  This focus may lead the Owner to hire an advocate who has construction experience but no experience in the rest of the PROJECT.  Owner’s Project Managers manage the entirety of your project, not just the construction phase of the project: Design, Construction, Materials Testing, Geotechnology, Due Diligence, Entitlements, Furniture/Fixtures/Equipment, Technology, Move Management, Etc.  

·     The title of Owner’s Project Manager seems to better capture the idea that the OPM represents their client in all phases of the project.

 Construction Manager (CM)

The title of Construction Manager is my least favorite because it is the most confusing.  The title of Construction Manager is specific to certain engagements, even if Owner’s Reps and Owner’s Project Managers are often referred to as Construction Managers.  There are multiple roles that go by the title of CM. 

Construction Manager – Commercial Real Estate

  • Often there is a section in leases between a building owner and a tenant that details how the tenant’s space will be constructed for their use.  The lease defines the role of the Construction Manager. 
  • Typically, the Construction Manager ensures that the construction activities are not too disruptive to other tenants and ensures that the actions of the General Contractor does not harm the building. 
  • In this capacity. the CM represents the Landlord, not the Tenant.  It is not unusual for a Tenant to hire an Owner’s Rep/Owner’s Project Manager to represent their interests while the CM represents the Landlord’s interests.

If you are embarking on a construction project, the Owner’s Rep/Owner’s Project Manager should be your first hire and the last teammate to depart your project.