Building and Construction - Chicago General Contractor Rates

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Chicago General Contractor Rates

crhras

2006-04-20, 3:21 pm

Anyone know the going rate in Chicago to rent a GC license on a project with
a 300K budget which is scheduled to take about 6 months ? I'm told that the
GC would just poke his head in once a week or so to sniff around.

Thanks,

mrsgator88

2006-04-21, 9:21 am

"crhras" <crhras@sbcglobal.net> wrote in message
news:CZP1g.17981$tN3.2449@newssvr27.news.prodigy.net...
>
> Anyone know the going rate in Chicago to rent a GC license on a project
> with a 300K budget which is scheduled to take about 6 months ? I'm told
> that the GC would just poke his head in once a week or so to sniff around.

I'm in the Chicago area, and I think most communities here will let the
homeowner act as the GC without a license. I know the hoity-toity NS city I
live in allows this. Does your community actually require a GC? Have you
asked about being your own GC? What did they say?

A GC takes on liabilities and responsibilities by attaching his name to the
legal government documents you will file to get your building permit. No GC
will engage is such a scheme. Think about it, lets say you flip the
property and the new owner right away has a major system failure. The new
owner won't sue you, because you're not the builder of record. He'll sue
the GC you "rented." I'm curious, please share what you do for a living,
and if you'd just rent the reputation of your livelihood.

SteveO

crhras

2006-04-21, 10:21 am

Ok, I knew I shouldn't have put it that way...

Anyone know the going rate in Chicago to GC a project with a 300K budget
which is scheduled to take about 6 months ?

Thanks,
Curt

"mrsgator88" <nomospam@nomospam.com> wrote in message
news:4Z32g.18272$tN3.8907@newssvr27.news.prodigy.net...
> "crhras" <crhras@sbcglobal.net> wrote in message
> news:CZP1g.17981$tN3.2449@newssvr27.news.prodigy.net...
>
> I'm in the Chicago area, and I think most communities here will let the
> homeowner act as the GC without a license. I know the hoity-toity NS city
> I live in allows this. Does your community actually require a GC? Have
> you asked about being your own GC? What did they say?
>
> A GC takes on liabilities and responsibilities by attaching his name to
> the legal government documents you will file to get your building permit.
> No GC will engage is such a scheme. Think about it, lets say you flip the
> property and the new owner right away has a major system failure. The new
> owner won't sue you, because you're not the builder of record. He'll sue
> the GC you "rented." I'm curious, please share what you do for a living,
> and if you'd just rent the reputation of your livelihood.
>
> SteveO
>

RicodJour

2006-04-21, 10:21 am

mrsgator88 wrote:
> "crhras" <crhras@sbcglobal.net> wrote in message
>
> I'm in the Chicago area, and I think most communities here will let the
> homeowner act as the GC without a license. I know the hoity-toity NS city I
> live in allows this. Does your community actually require a GC? Have you
> asked about being your own GC? What did they say?
>
> A GC takes on liabilities and responsibilities by attaching his name to the
> legal government documents you will file to get your building permit. No GC
> will engage is such a scheme. Think about it, lets say you flip the
> property and the new owner right away has a major system failure. The new
> owner won't sue you, because you're not the builder of record. He'll sue
> the GC you "rented."

The new owner would sue the old owner and the old owner would sue the
GC.

R

mrsgator88

2006-04-21, 1:21 pm

"crhras" <crhras@sbcglobal.net> wrote in message
news:Mn42g.73987$dW3.58220@newssvr21.news.prodigy.com...
> Ok, I knew I shouldn't have put it that way...
>
> Anyone know the going rate in Chicago to GC a project with a 300K budget
> which is scheduled to take about 6 months ?
>
> Thanks,
> Curt

I don't think the length of time is a factor. I have been under the
impression that 20% goes to the GC. So, if a builder submits a proposal to
you for $300k, then he's figuring to earn about $60k from the job. However,
like everything else, that figure may have gone up.

Now lets talk about your budget a little. Where did the 300k figure come
from? This sounds like a home addition, can you confirm this? Do you have
blueprints? When we were designing our home addition, our architect told us
it should cost 100k-110k. We started talking to builders and most came in
at 200-250k. Actually, most builders wouldn't even talk to us because in
our area the job was too small. If 300k is simply the amount you'd like to
spend, well, tell me where you're located in Chicagoland, what type of
addition, and how much square feet, and I'll be happy to give my opinion of
how reasonable that is. When I applied for my building permit, I was told
the "assumed" rate was (IIRC) $225 per sq-ft. That was summer/fall of 2004.
In my town, the building permit fee is partially based on the cost of the
project, which they assume to be sq-ft x $225. That works out to 1333
sq-ft.

FWIW, doing an addition here might be getting easier. The teardown jobs
were so easy and profitable that for a while it was hard to get truly
competitive bids. By me, teardowns are getting hard to sell, and spec
builders are warming up to doing contract work again. Not as profitable,
but you know what you're getting paid and when.

S

crhras

2006-04-21, 9:21 pm

Thanks for your reply. I was actually looking into this for a friend who
needs a GC on his project. I'm a GC in Chicago but I only build for my self
and don't know what fees a GC might charge a customer. 30% sound pretty
strong though. That would hurt if I had to pay that on my projects.

Curt

"mrsgator88" <nomospam@nomospam.com> wrote in message
news:b272g.68382$H71.2006@newssvr13.news.prodigy.com...
> "crhras" <crhras@sbcglobal.net> wrote in message
> news:Mn42g.73987$dW3.58220@newssvr21.news.prodigy.com...
>
> I don't think the length of time is a factor. I have been under the
> impression that 20% goes to the GC. So, if a builder submits a proposal
> to you for $300k, then he's figuring to earn about $60k from the job.
> However, like everything else, that figure may have gone up.
>
> Now lets talk about your budget a little. Where did the 300k figure come
> from? This sounds like a home addition, can you confirm this? Do you
> have blueprints? When we were designing our home addition, our architect
> told us it should cost 100k-110k. We started talking to builders and most
> came in at 200-250k. Actually, most builders wouldn't even talk to us
> because in our area the job was too small. If 300k is simply the amount
> you'd like to spend, well, tell me where you're located in Chicagoland,
> what type of addition, and how much square feet, and I'll be happy to give
> my opinion of how reasonable that is. When I applied for my building
> permit, I was told the "assumed" rate was (IIRC) $225 per sq-ft. That was
> summer/fall of 2004. In my town, the building permit fee is partially
> based on the cost of the project, which they assume to be sq-ft x $225.
> That works out to 1333 sq-ft.
>
> FWIW, doing an addition here might be getting easier. The teardown jobs
> were so easy and profitable that for a while it was hard to get truly
> competitive bids. By me, teardowns are getting hard to sell, and spec
> builders are warming up to doing contract work again. Not as profitable,
> but you know what you're getting paid and when.
>
> S
>

Phil Scott

2006-04-27, 12:21 am

--
Phil Scott
Ideas are bullet proof.
"crhras" <crhras@sbcglobal.net> wrote in message
news:Mn42g.73987$dW3.58220@newssvr21.news.prodigy.com...
> Ok, I knew I shouldn't have put it that way...
>
> Anyone know the going rate in Chicago to GC a project with a
> 300K budget which is scheduled to take about 6 months ?

10%...thats 30,000 dollars, for that you get his insurance,
oversight and supervision.. some will charge more..some
less..but thats close.

and he will want to call all the shots because its his
liability.

Phil Scott

>
> Thanks,
> Curt
>
> "mrsgator88" <nomospam@nomospam.com> wrote in message
> news:4Z32g.18272$tN3.8907@newssvr27.news.prodigy.net...
>
>

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