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By Leah Blackman
After a year – or let’ s face it – nearly six years of economic uncertainty, supply chain woes, and rising construction costs, the traditional design, bid, build construction approach is no longer sufficient. Clients who once questioned whether they could afford to hire a construction manager have now flipped the script – they can no longer afford not to engage a construction manager.
As senior vice president of client partnerships at CM & B, a Northeastbased construction management firm and general contractor, I’ ve seen firsthand how early engagement can transform project outcomes. For the past three years, I’ ve also had the privilege of serving alongside an esteemed group of developers, architects, retailers and operators as a juror for the ICSC Global Design & Development Awards, where we’ re tasked with reviewing some of the world’ s most innovative retail projects.
As part of the submission process, one question we ask every entrant is:“ If you could do the project over again, what would
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you do differently?” This year, a striking pattern emerged. Multiple submissions shared the same lesson: the need for earlier engagement with a construction partner to enable better project outcomes. That’ s not a coincidence; it’ s a clear signal that the retail real estate industry recognizes the value of proactive collaboration.
Recurring Themes from Global Projects
Across diverse markets from Nashville to Mexico City and projects ranging from multi-acre ground-up retail developments to cutting edge retail environments, the pain points were consistent, and the needs were clear:
• Supply Chain Preparedness: With continued supply chain volatility and global disruptions of lead times for critical materials, teams wished they had anticipated long-lead items earlier, especially critical components like electrical gear and vertical transportation.
• Schedule Optimization: Delays in permitting and skilled labor shortages often pushed start dates into peak retail seasons, creating operational headaches.
• Phasing and Technology: Several projects noted that phased construction and early integration of digital tools could have minimized disruption and enhanced sustainability measures and ultimately the customer experience.
Why Early Engagement Matters More Than Ever
To combat increasing volatility and uncertainty in the retail development
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market, due diligence and earlier involvement in pre-development has become essential. Here’ s why:
• Risk Mitigation: Global supply chains remain unpredictable. By engaging early, teams can identify lead times, secure procurement strategies, and avoid costly delays.
• Cost Predictability and Budget Control: As we’ ve seen with the chaotic threat of tariffs in 2025, market conditions shift quickly. Early collaboration allows for real-time cost modeling and value engineering before design is finalized, reducing surprises later.
• Schedule Certainty: Construction timelines are often impacted by permitting, seasonal factors, and labor availability.
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Early engagement helps align schedules with operational realities.
• Design Integration: When construction expertise informs design decisions from day one, projects benefit from details with an eye toward constructability and fewer change orders.
• Innovation and Sustainability: Technology and sustainability goals are most effective when planned early. From energy monitoring to smart systems, early adoption amplifies long-term value.
A Strategic Framework for Successful Collaboration
By establishing a partnership between all stakeholders from inception of a project, all parties are invested in successful project outcomes. Early engagement in due diligence and pre-construction planning ensures predictable outcomes.
For developers, retailers, and owners, the value in involving a construction partner early is clear: reduced risk, improved efficiency, and enhanced customer experience. These benefits are simply too significant to ignore, and the stakes are too high to risk the common pitfalls of a traditional approach.
As we start 2026, let’ s embrace lessons learned and chart a new path forward, where it’ s not just about building smarter – it’ s about creating peace of mind.
Leah Blackman is senior vice president of client partnerships at Construction Management & Builders, Inc.( CM & B).
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By Jeff Birenbaum
As the New England construction landscape moves into 2026, experienced construction cost estimators believe the tone is shifting from volatility to a steadier footing. By carefully studying the markers that shape cost outcomes: material trends, labor availability, logistics, and escalation, that quietly but meaningfully influence project budgets, there are signs of a shift, and the result is a clearer picture of where costs are heading and how owners can set more grounded expectations.
After several years of price swings tied to tariffs, supply disruptions, and political uncertainty, raw material markets have largely calmed. While volatility hasn’ t
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disappeared entirely, the disruptive spikes experienced over the past two years have eased. For 2026, we are projecting a 3.9 % escalation forecast, reflecting a more stable environment. This outlook extends across many of the sectors driving New England’ s public and quasi-public pipeline— K-12 schools, public safety facilities, libraries, museums, aviation, and utilities— each of which continues to experience steady demand.
One trend that remains front and center is the high volume of change order analysis tied to projects bid 16-24 months ago. Many of those bids were locked in during peak uncertainty, and true market pricing at the time was difficult to pinpoint. As these projects move deeper into construction, owners are increasingly looking for support to distinguish valid cost shifts from avoidable risk transfer. This work has become essential to keeping programs on track.
Regional labor conditions, market competition, and the logistics needed to execute complex projects— especially in dense urban centers or on constrained
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sites— will remain the biggest differentiators for cost impacts. Beyond direct construction costs, owners should continue paying close attention to the elements often treated as background items: general conditions, general requirements, bonding, and insurance structures. These components can quietly add meaningful cost variance from project to project. Understanding these variables early— before they are |
embedded in contractor pricing— can help owners avoid unnecessary surprises during procurement.
As New England moves into a more predictable cost environment, the opportunity now is to realign budgets, strengthen scope discipline, and refine risk strategies. Stabilization doesn’ t remove the need for careful planning, but it does provide the clarity that owners have been waiting for. With thoughtful forecasting and a close eye on the indirect cost drivers that shape total project cost, 2026 offers a more manageable runway for project delivery across the region. CHA Consulting’ s Cost Estimating Group— supporting projects from conceptual planning through construction documents— continues to monitor shifting costs and trends and will provide additional market outlook insight throughout the coming year.
Jeff Birenbaum, MRED + U is business practice leader – cost estimating and commercial services at CHA Consulting, Inc.
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