Reality Capture (RC) is a state-of-the-art technology for digital data gathering and visualization of the actual environment through virtual means. In recent years, RC has contributed significantly to the digitalization of the construction industry globally. However, there are no systematic critical analyses of the benefits and challenges of RC technologies in construction project management (CPM) to drive its adoption. This research provides a detailed overview of the potential benefits and constraints of RC to tackle CPM concerns successfully and efficiently. This study uses the PRISMA procedure to conduct a systematic literature review. Based on the inclusion and exclusion criteria set for the study, 96 articles were considered relevant for review. The articles were analyzed using content analysis techniques to synthesize identify emerging themes. A four-step procedure was used to classify the articles into pre-construction planning, —designing and construction. The review show that (a) RC is useful during the planning and designing stage, as the success of a construction project depends on accurate data to reduce the risk of cost and time overruns; (b) the benefits of RC adoption are accurate data, reduced time spent on project monitoring, progress tracking, and quality assessment; (c) RC on a construction site aids in the resolution of the industry’s fragmented nature through collaboration; quick and prompt decision making through remote monitoring and control of projects. RC is used as a visualization tool and for digital documentation of as-built models, construction verification, and flaw discovery, thereby improving work processes to achieve project success; (d) the most challenging aspect of incorporating RC on a construction site is the high investment cost. In the digital revolution era, this study could aid in the knowledge and optimal use of Reality Capture in numerous areas of CPM.