Scope
Reference
TD2137 / DN800111
Description
The Authority is undertaking a Procurement for the "Management of Derby City Council Leisure Centres"
The Scope of the Contract will include the management of:
- Derby Arena (including Café 42)
- Springwood Leisure Centre
This procurement is not divided into Lots. The Council does not consider that subdivision into lots would be appropriate, as this could risk tendering the execution of the Contract excessively technically difficult or expensive, and the need to coordinate different operators for the lots could seriously risk undermining the proper performance of the Contract and achievement of the Services' outcomes.
The objective of the procurement will be to secure the most advantageous tender considering the Authority's strategic outcomes whilst maximising the payment to the Authority.
In undertaking this procurement, the Authority wishes to achieve the following outcomes:
• Establish a long-term partnership with an experienced operator
• Financial stability for the Centres through reduced costs and increased income due to a more commercial approach
• Capital investment by the Operator for backlog maintenance and future works at the facilities
• Planned and funded lifecycle investment, given age of facilities and future requirements
• Increased participation of the Centres
• Increased participation by those residents who are normally less likely to use a leisure centre
• Promotion of improved wellbeing for residents
• Positive impact on reducing physical activity and health inequality in the City
• Maximise Derby Arena's primary focus as a regional, national, and international, sports venue that supports the City's sporting aspirations.
It is anticipated that the Contract will commence in April 2027.
The estimated value of the contract over the maximum 20 year term is between £82m-£98.4m. This has been calculated based on the total turnover estimated to be generated by the Operator at the Leisure Centres over the maximum 20 year term.
Total value (estimated)
- £82,000,000 excluding VAT
- £98,400,000 including VAT
Above the relevant threshold
Contract dates (estimated)
- 1 April 2027 to 31 March 2037
- 10 years
Options
The right to additional purchases while the contract is valid.
1 x 4-year extension
2 x 3-year extensions
The extensions may not be in this particular order but will be 10 years overall. The full term of the contract including extensions will be 20 years.
Main procurement category
Services
CPV classifications
- 92610000 - Sports facilities operation services
Contract locations
- UKF11 - Derby
Participation
Technical ability conditions of participation
Set out in ITT Part One - Process Overview document.
Submission
Enquiry deadline
30 January 2026, 11:59pm
Submission type
Requests to participate
Deadline for requests to participate
13 February 2026, 12:00pm
Submission address and any special instructions
Documents are available at www.eastmidstenders.org
Please search for TD2317
Please note: we will only accept expressions of interest through the e-tendering system.
Tenders may be submitted electronically
Yes
Languages that may be used for submission
English
Award decision date (estimated)
30 November 2026
Award criteria
| Name | Type | Weighting |
|---|---|---|
| Price | Price | 60% |
| Quality | Quality | 40% |
Other information
Payment terms
Set out in Part Three - Specification
Description of risks to contract performance
Set out in Part Three - Specification
Applicable trade agreements
- Government Procurement Agreement (GPA)
Conflicts assessment prepared/revised
Yes
Procedure
Procedure type
Competitive flexible procedure
Special regime
Light touch
Competitive flexible procedure description
Stage 1: Invitation to Participate
The Council will publish a Procurement Notice and issue the Invitation to Tender (ITT) at the commencement of the procurement. The ITT applies to all stages of the Competitive Flexible Procedure and sets out the structure, requirements and rules for each stage. The ITT remains in force throughout the procedure, subject to any refinements or updated documents issued by the Council. The Council does not intend to re-issue the ITT at each stage.
In Stage 1, suppliers will be required to complete a response to the Procurement Specific Questionnaire (PSQ). Responses to the PSQ will be assessed against the stated conditions of participation as detailed in the ITT Part One - Process Overview and associated assessment methodology. The Council intends to limit the number of participating suppliers invited to submit an Initial Tender at Stage 2 to a maximum of four (4) suppliers.
Stage 2 - Invitation to Submit Initial Tender
In Stage 2, Suppliers will be invited to submit Initial Tenders. Initial Tenders will be evaluated against the award criteria set out in the ITT. Following evaluation, the Council will invite a maximum of three (3) suppliers to participate in Stage 3.
The Council is interested in exploring the possibility of adopting an agency model for the delivery of the Services at the Leisure Centres. Those suppliers which are shortlisted at Stage 2 will be invited to submit a non-mandatory variant tender (which would only be permitted in addition to the submission of each supplier's standard tender) to enable the Council to consider the potential benefits of an agency model further. The Council reserves the right not to progress with its exploration of an agency model and to cease its consideration of variant tenders at any time during the Procurement process.
Stage 3 - Invitation to Participate in Negotiation
Suppliers invited to Stage 3 will be required to participate in structured negotiations with the aim of exploring their proposals for the Services further.
Stage 4 - Invitation to Submit Final Tenders (ISFT)
In Stage 4, suppliers will be invited to submit final tenders. The Council will seek to award the Contract to the supplier which submits the most advantageous tender. This could be on the basis of a standard tender or variant tender (see ITT for details).
Progression between stages will be managed through formal invitations issued via the E-Procurement System. Each invitation will confirm the stage, documents in force, submission requirements and timetable. Progression is not automatic.
Further Details on the assessment criteria and shortlisting arrangements can be found in Part One - Process Overview of the tender pack.
Documents are available at www.eastmidstenders.org
Please search for TD2317
Please note: we will only accept expressions of interest through the e-tendering system.
Contracting authority
Derby City Council
- Public Procurement Organisation Number: PQVM-1383-ZBXP
The Council House - Corporation Street
Derby
DE1 2FS
United Kingdom
Email: procurement@derby.gov.uk
Website: https://www.derby.gov.uk/
Region: UKF11 - Derby
Organisation type: Public authority - sub-central government
Other organisation
These organisations are carrying out the procurement, or part of it, on behalf of the contracting authorities.
MAX ASSOCIATES (HOLDINGS) LIMITED
Summary of their role in this procurement: Consultancy specialising in public sector sports, leisure, and cultural services
- Companies House: 07809606
- Public Procurement Organisation Number: PWLJ-6612-XBTD
6th Floor Capital Tower
London
SE1 8RT
United Kingdom
Email: kirsty@max-associates.com
Website: http://www.max-associates.com
Region: UKI45 - Lambeth