Awarded contract

Acquisition of land and associated construction works relating to proposed Becketwell Venue, Colyear Street, Derby

  • Derby City Council

F15: Voluntary ex ante transparency notice

Notice reference: 2021/S 000-007848

Published 14 April 2021, 5:01pm



Section one: Contracting authority/entity

one.1) Name and addresses

Derby City Council

Corporation Street

Derby

DE12FS

Contact

Sherry Russell

Email

procurement@derby.gov.uk

Telephone

+44 1332640768

Country

United Kingdom

NUTS code

UKF11 - Derby

Internet address(es)

Main address

www.derby.gov.uk

Buyer's address

www.eastmidstenders.org

one.4) Type of the contracting authority

Regional or local authority

one.5) Main activity

General public services


Section two: Object

two.1) Scope of the procurement

two.1.1) Title

Acquisition of land and associated construction works relating to proposed Becketwell Venue, Colyear Street, Derby

Reference number

TD1718

two.1.2) Main CPV code

  • 45000000 - Construction work

two.1.3) Type of contract

Works

two.1.4) Short description

This notice is to advise that Derby City Council ("the Council") intends to enter into contractual arrangements with SJS (4) Limited and St James Securities Group for the development of a performance venue. The land which is to be the site of the performance venue is owned mainly by SJS(4) Limited and the balance by third parties and which will be purchased by the Council after SJS has satisfied conditions requiring SJS(4) Limited to secure planning permission for the development of the venue, achieve vacant possession and identify an operator for the venue and enter into an agreement for lease with that operator. The Council will also enter into a forward funding agreement under which the Council will provide funding for SJS(4) Limited to carry out demolition and construction at the site and St James Securities Group will act as Guarantor for the obligations of SJS(4) Limited.

two.1.6) Information about lots

This contract is divided into lots: No

two.1.7) Total value of the procurement (excluding VAT)

Value excluding VAT: £45,800,000

two.2) Description

two.2.2) Additional CPV code(s)

  • 44000000 - Construction structures and materials; auxiliary products to construction (except electric apparatus)
  • 45212000 - Construction work for buildings relating to leisure, sports, culture, lodging and restaurants

two.2.3) Place of performance

NUTS codes
  • UKF11 - Derby

two.2.4) Description of the procurement

The Council intends to acquire a venue which will be suitable to lease to an operating partner for the delivery of performance events with a capacity of approximately 3,500 and a guaranteed annual revenue stream. This will form part of the regeneration of the Becketwell area of Derby.

The Council intends to enter into agreements with SJS(4) Limited under which the Council will acquire land from SJS(4) Limited and the Council and SJS(4) Limited will acquire third party land. SJS(4) Limited will carry out demolition and construction work on the land. The Council will enter into two principal agreements with SJS(4) Limited: (1) A land sale agreement under which the Council will purchase land from SJS(4) Limited for a value of GBP 561,495 which is to be the main part of the site of the performance venue after SJS has satisfied conditions requiring SJS(4) Limited to secure planning permission for the development of the venue following approval of plans by the Council, achieve vacant possession, obtain relevant indemnity insurances and identify a tenant for the venue. (2) A forward funding agreement under which the Council will provide GBP 45,238,505 funding for SJS(4) Limited to carry out demolition and construction at the site and St James Securities Group will act as Guarantor for the obligations of SJS(4) Limited.

The negotiated procedure without prior publication is being used and is justified under Regulation 32(2)(b)(iii) of the Public Contracts Regulations 2015 for the award of a public works contract for the development of a performance venue. The site to be acquired by the Council meets the Council's requirements from a performance venue and there are no reasonable alternative or substitute development sites. The works can only be carried out by a particular economic operator because of its exclusive rights as landowner of most of the land within the development site.

two.2.11) Information about options

Options: No

two.2.14) Additional information

The Council will be observing a 10 day standstill period from the publication of this notice. The contract award is also subject to confirmation in a decision by the Council on the 23 April 2021.


Section four. Procedure

four.1) Description

four.1.1) Type of procedure

Award of a contract without prior publication of a call for competition in the cases listed below

  • The procurement falls outside the scope of application of the regulations

Explanation:

The negotiated procedure without prior publication is being used and is justified under Regulation 32(2)(b)(iii) of the Public Contracts Regulations 2015 for the award of a public works contract for the development of a performance venue. The site to be acquired by the Council meets the Council's requirements from a performance venue and there are no reasonable alternative or substitute development sites. The works can only be carried out by a particular economic operator because of its exclusive rights as landowner of most of the land within the development site.

four.1.8) Information about the Government Procurement Agreement (GPA)

The procurement is covered by the Government Procurement Agreement: Yes


Section five. Award of contract/concession

Contract No

TD1718

A contract/lot is awarded: Yes

five.2) Award of contract/concession

five.2.1) Date of conclusion of the contract

14 April 2021

five.2.2) Information about tenders

The contract has been awarded to a group of economic operators: No

five.2.3) Name and address of the contractor/concessionaire

St James (4) Limited

3rd Floor, Airedale House, Albion Street

Leeds

LS1 5AW

Country

United Kingdom

NUTS code
  • UKE42 - Leeds
The contractor/concessionaire is an SME

Yes

five.2.4) Information on value of contract/lot/concession (excluding VAT)

Total value of the contract/lot/concession: £45,800,000

five.2.5) Information about subcontracting

The contract/lot/concession is likely to be subcontracted

Short description of the part of the contract to be subcontracted

SJS (4) Limited intends to subcontract demolition and construction work relating to the venue to one or more approved subcontractors


Section six. Complementary information

six.3) Additional information

The Council will be observing a 10 day standstill period from the publication of this notice. The contract award is also subject to confirmation in a decision by the Council on the 23 April 2021.

six.4) Procedures for review

six.4.1) Review body

Derby City Council

Derby

Country

United Kingdom