In Multiple Prime Delivery, the Owner Becomes the Coordinator
In standard Design-Bid-Build, the owner hires one general contractor who subcontracts the specialized work to trade contractors. In multiple prime delivery, the owner contracts directly with each trade contractor - structural, mechanical, electrical, and plumbing contractors may each have a direct contract with the owner rather than flowing through a GC. This shifts significant coordination risk from the contractor to the owner and creates a different role for the architect. It is a real option for sophisticated owners and appears on the ARE PcM exam.
Why Owners Choose Multiple Prime Contracts
The primary motivation is cost savings: by eliminating the general contractor’s markup on subcontract work (typically 5–10% of trade contract costs), the owner can reduce overall project cost if they are willing to take on the coordination responsibilities themselves. Other motivations include the ability to overlap phases (award the steel contract before the mechanical is fully designed), retaining direct relationships with trade contractors for future work, and avoiding a GC markup on public-funded projects where every dollar counts.
The Coordination Problem
The significant disadvantage of multiple prime delivery is that no single contractor is contractually responsible for coordinating the work of all the trades. When the mechanical and electrical systems conflict in a ceiling space, there is no GC to resolve the conflict - the architect or a construction manager must adjudicate. Delays and damage claims between prime contractors become owner’s problems because the owner holds all the contracts. The AIA A201 acknowledges this with Article 6, which requires the owner to provide for coordination when using separate contracts and requires each prime contractor to cooperate with other primes.
AIA Documents for Multiple Prime Projects
AIA A101 (stipulated sum owner-contractor agreement) and A201 (General Conditions) are used for each prime contract. For large multiple prime projects, the owner may also hire a Construction Manager as Agent (CMa) under AIA A231 to handle coordination on their behalf - maintaining the advantages of multiple prime pricing while giving a professional manager responsibility for coordination. The architect’s scope of services may expand to cover additional coordination meetings and site visits not anticipated in a single-contractor project.
Key ARE PcM Exam Points
- Multiple prime delivery means the owner contracts separately with each major trade contractor - no single GC holds all subcontracts.
- The owner saves the GC markup on trade work but assumes responsibility for inter-trade coordination.
- AIA A201 Article 6 requires the owner to coordinate separate contractors and makes each prime cooperate with others.
- A Construction Manager as Agent (CMa) can be hired to coordinate on the owner’s behalf without taking on GC risk.
- Multiple prime is most common in public projects where competitive bidding requirements make separate trade bids advantageous.
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