Short answer: most owner’s representatives charge 1% to 5% of construction cost, a fixed fee for a defined scope, or $75 to $250 an hour for targeted reviews. Smaller and more complex projects sit at the high end of the percentage range; large, predictable projects sit at the low end. Epex Consulting quotes a fixed fee by phase or a monthly fee during construction, scoped to your project after a free 20-minute project review.
| Fee model | Typical range | Best for |
|---|---|---|
| Percentage of construction cost | 1%–3% on mid-size and larger projects; 3%–5% on smaller or complex work | Full representation from planning through closeout |
| Fixed fee (lump sum) | Often $10,000–$50,000+ on small to mid-size work | Tenant improvements, franchise build-outs, custom homes with a clear scope |
| Hourly | $75–$150 standard; $150–$250+ senior or specialty | One-time contract, proposal or budget reviews; early feasibility |
The percentage falls as projects get bigger because oversight hours do not grow as fast as construction cost. Many engagements blend models, for example a fixed fee for preconstruction and a monthly fee during construction.
Illustrative ranges based on the industry rates above. Your number depends on scope, schedule and how much of the project you want covered.
| Project | Construction cost | Likely model | Typical owner’s rep fee |
|---|---|---|---|
| One-time contractor proposal review | Any | Hourly or fixed | $1,500–$5,000 |
| 2,500 sq ft franchise or medical build-out | $450,000 | Fixed fee | $13,500–$22,500 (3%–5%) |
| Custom home in Greater Houston | $1.2 million | Fixed fee by phase | $24,000–$48,000 (2%–4%) |
| 8-unit townhome development | $2.4 million | Monthly during construction | $48,000–$96,000 (2%–4%) |
We scope each engagement to the project, not a rate card, and we say on the first call if a project is too small to justify one.
We hold no construction contract and take no markup on construction cost, so nothing on our side of the table rewards approving a draw or a change order.
The fee is usually recovered on one decision: an allowance priced too low, an exclusion buried in the proposal, a change order approved without review, or a draw that ran ahead of the work. On a $450,000 build-out, a 4% fee is $18,000; a single missed exclusion on mechanical or kitchen scope can cost more than that.
It is worth it when the lease, contract or budget is still open to negotiation, when a lender draw process is involved, or when an opening date is fixed. It is usually not worth it when the scope is small, fully designed, competitively bid and you already have construction experience in-house.
Typically 1% to 5% of construction cost, a fixed fee for a defined scope, or $75 to $250 an hour for targeted work. Smaller projects pay a higher percentage.
The owner, as a soft cost in the project budget. The fee is separate from the contractor’s price and the design fees because the representative works only for you.
A fixed fee gives cost certainty when the scope is clear, which suits most build-outs and custom homes. A percentage fits long or open-ended projects where the workload grows with the job.
Yes. A one-time contractor proposal review is a fixed fee and is often the best first step.
The first month includes a reconciliation of the budget, draws paid, lien waivers and schedule. We scope that month separately so you know the cost before we start.
Bring the lease, proposal, plans or budget you have. We’ll scope the engagement on a free 20-minute call and send a written summary the next business day.
Related: Owner’s representation services · Custom home owner’s representative · Owner’s rep vs. construction manager
