Public procurement notice: Contract Notice
Published: 2016-07-13
Buyer: Basingstoke and Deane Borough Council
Country: UK
Region: Hampshire and Isle of Wight
Contract type: Services
Procedure: Competitive dialogue
CPV classification: 45000000: Construction work | 45100000: Site preparation work | 45111200 | 45211000: Construction work for multi-dwelling buildings | 45211100
Submission deadline: 2016-08-24
Award criteria: The most economic tender

Technical requirements: Manydown is a government-recognised transformational housing project comprising an area of approximately 843 ha (2,080 acres) west of Basingstoke, which could ultimately see the delivery of 7 800 homes in total in the current local plan period and beyond. The initial phases of the Manydown project have been allocated for at least 3 200 (with potential for this to be increased by 10 % up to 3 250) private and affordable dwellings in the first phase with the potential to develop a further 4 600 dwellings in future phases, subject to satisfactory performance during phase 1, community accommodation together with associated infrastructure and commercial/retail space. Basingstoke and Deane Borough Council and Hampshire County Council (‘the councils’), acting as joint land owners, wish to deliver the project in conjunction with a partner through a joint venture arrangement. The partner, or consortium of partners, will bring expertise, creativity and financial resources to the development.
The project has an estimated total value of 2 200 000 000 GBP, with phase 1 having an approximate value of 880 000 000 GBP. The councils are seeking a joint venture partner to enter into a 50/50 joint venture vehicle (‘JV’). The selected JV partner will have the financial capability, technical resource and experience to deliver a new neighbourhood of the highest quality. The councils' aim is to incentivise its JV partner to take a long-term approach with strong placemaking at the heart of the delivery strategy. This approach will deliver a high quality new community, whilst also creating value and financial returns. The JV will be required to undertake or procure the provision of: — at least 3 200 (with a potential for this to be increased by 10 % up to 3 520) private and affordable dwellings in the first phase with the potential to develop a further 4 600 dwellings in future development phases, subject to satisfactory performance during Phase 1; — a new district centre and supporting local centres including an appropriate provision of commercial and community facilities to support the wider placemaking of Manydown; — a small provision of self-build units and a permanent, pitch/plot provision to meet identified accommodation needs of gypsies, travellers and travelling showpeople in the borough; — the provision of social and physical infrastructure (including the development of a road through the development), including community facilities, local shopping facilities, healthcare facilities and sports and leisure facilities including playing pitches; — the enabling of two primary schools and the safeguarding of land for a secondary school; — appropriate green space/green infrastructure including a country park; — infrastructure for sewerage on and off site and surface water drainage; and — development management services in relation to the land interests referred to above. In order to deliver these outcomes, the JV will, as a minimum, be required to undertake: — land acquisition and land assembly (in addition to disposal and transfer of land interests); — the construction and master planning design process; — development of both residential, commercial and community aspects of the site; — agreeing terms with existing owners of third party community land interests and other land interests (as necessary); — ongoing consultation, communication and negotiation with stakeholders, as required; — obtaining planning consents and negotiating and entering into planning and other related agreements; — commissioning construction phases and entering into appropriate construction contracts; — entering into development management contracts in relation to the site; — marketing and managing sales of those phases within the site which are deemed to be appropriate for sale by the JV and entering into any necessary sales agency contracts and consultancy contracts in accordance with the JV's procurement policy; — entering into legacy arrangements for the long term management and maintenance of the site; — identifying new opportunities for the JV and preparing feasibility reports and plans for any such opportunities; and — securing finance as necessary including any applicable public sector funding. It is envisaged that the councils will participate in the JV through a corporate special purpose vehicle (councils' SPV'). The councils intend to contribute certain land interests to the JV (subject to satisfaction of certain conditions).
This procurement relates to the procurement of a JV partner for an initial 15 to 20 year JV with the councils (with the option to extend up to 25 to 30 years).
The councils wish to explore the potential of developing an investment strategy for this project with Bidders during, and as part of the scope of this procurement. The councils will be asking Bidders to produce their proposals on their proposed investment strategy at ISOS stage (which may or may not involve the successful Bidder being part of a separate investment vehicle in partnership with the councils). These proposals will be discussed with Bidders as part of the dialogue process, but will not be scored at ISOS stage.
At the end of the ISOS stage, the councils will, subject to internal approvals, determine whether or not they wish to further develop the investment strategy with Bidders and, if so, this is an aspect that the councils may choose to incorporate into the Evaluation Methodology at Detailed Solutions stage and beyond.
As this procurement relates to the procurement of a JV partner which will be an independent legal entity any financial or legal structure developed as part of this procurement process is not intended to be restrictive to the JV. During the term of the JV, it is envisaged that the JV may develop a variety of financial and/or land structures appropriate to the relevant phases of land (or otherwise).
Financial and performance guarantees or other forms of appropriate security may be required as set out in the procurement documents and the financing conditions and payment arrangements are as described in the procurement documents. In the event of a successful consortium bid, the councils may specify, at their discretion, that the consortium members adopt a particular legal form and/or require that a single consortium member takes primary liability or that each member undertakes joint and several liability irrespective of the legal form adopted. The selected JV partner may be required to actively participate in the achievement of social and/or environmental policy objectives. Accordingly, contract performance conditions may relate in particular to social, environmental and/or corporate social responsibility considerations. Further details will be set out in the procurement documents.
For more information about this opportunity, and to obtain the PQQ, please access the ProContract system at http://sebp.due-north.com. Details of all other available tender documents and additional sources of information are set out within the PQQ. Expressions of interest must be lodged by way of completion and return of the PQQ by the time and date specified in VI.2.2 above. The ITPD available at the link above explains the general approach to dialogue on this project, has been included for Bidders' information only at this stage and does not amount to an invitation to commence dialogue. The councils will evaluate Bidders' PQQ responses in accordance with the PQQ and, following the evaluation, will draw up a shortlist of the top 6 scoring bidders. The councils then intend to issue an Invitation to Submit Outline Solutions to this shortlist of bidders, which will commence the dialogue phase of the project.
The councils reserve the right not to award any contract(s) (in whole or part), to cancel or amend the procurement process and do not bind themselves to accept any tender. The councils shall not be liable under any circumstances for any costs, charges or expenses incurred by any Bidder or prospective Bidder in responding to this notice or in taking part in this procurement process and accept no liability for any costs, charges or expenses, irrespective of the outcome of the competition, or if the competition is cancelled or postponed.
Please note that all dates, time periods and figures in relation to values and volumes specified in this notice are approximate only and the councils reserve the right to change any or all of them.
Bidders are advised that the councils are subject to the Freedom of Information Act 2000 (FOIA) and the Environmental Impact Regulations 2004 (EIR). If a bidder considers that any of the information supplied as part of this procurement process should not be disclosed because of its commercial sensitivity, confidentiality or otherwise, they must, when providing this information, clearly identify the specific information they do not wish to be disclosed and clearly specify the reasons for its sensitivity. The councils shall take such statements into consideration in the event that they receive a request pursuant to FOIA and/or the EIR which relates to the information provided to the interested party. However, if the information is requested the councils may be forced to disclose such documentation, irrespective of a Bidder's wishes. Please note, it is not sufficient to include a statement of confidentiality encompassing all the information provided in the response.
Bidders are advised that pursuant to the Local Government Transparency Code, local authorities are also required to publish details of certain contracts, commissioned activities, purchase orders, framework agreements and any other legally enforceable agreements. The councils are also subject to the reporting requirements set out in Regulations 83 and 84 of the Public Contracts Regulations 2015. The councils reserve the right to publish details as required pursuant to the Local Government Transparency Code and the Public Contracts Regulations 2015.
In accordance with the Public Contracts Regulations 2015, a standstill period of a minimum of 10 calendar days will be applied starting from the date when the award decision is dispatched to bidders. This period allows unsuccessful bidders to consider the decision and highlight any errors in the award process. If an appeal regarding the award of a contract has not been successfully resolved, the Public Contracts Regulations 2015 provide for aggrieved parties who have been harmed or are at risk of a breach of the rules to take action in the High Court of England and Wales. Any such action must be brought within the time limits specified in the Public Contracts Regulations 2015.