Search
 

As Construction Returns in Earnest, Construction Risk Management is Critical

With construction picking up more rapidly in recent months, an understand of Construction Risk Management tools is critical.

By Terry Dungan | Updated on April 17, 2012

Construction has started picking up more rapidly in recent months.  According to Forbes, construction starts in January were up 10% nationally from January 2011, and some major metros in particular like NYC, Dallas, Houston, Phoenix are seeing an uptick in new construction. 

In the past, construction lenders have looked to independent, third-party consultants to help manage construction lending risk.  Having gone through the recession and construction halt, many lenders are understaffed and the need to rely on 3rd party firms may be greater than ever.   With industry specialized expertise most lenders don’t have, 3rd party consulting firms have become a crucial asset to any commercial lender.  Construction Risk Management is no exception.

So what exactly do Construction Risk Management firms do?

Construction Risk Management firms offer a wealth of tools to help keep construction projects on track and can even save lenders loan dollars, from project start to finish – i.e. from the initial review of a project, to monitoring for progress during the project, to administering funds all the way through a project, to estimating the cost to complete a project that has halted.  

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.