This approach is used when the Owner contracts directly with both the Architect and the General Contractor creating a cohesive team. The team works together during the preconstruction, procurement, construction and closeout/commissioning phases of the project.
The General Contractor’s current knowledge of the construction market helps to inform the team of accurate construction material cost and construction trends. As design evolves, the General Contractor solicits pricing from trade contractors and suppliers to support the estimates. When the team is ready to purchase work, the General Contractor uses an “open book” approach to receive competitive pricing for all bid packages.
Should the General Contractor opt to perform a portion of the work with its own forces, the General Contractor is required to submit a bid along with the other trade contractors.