Section one: Contracting authority/entity
one.1) Name and addresses
Optivo Development Services Limited
Fleet House, 59-61 Clerkenwell Road, London, England, EC1M 5LA
London
EC1M 5LA
Contact
Altaf Sharif
Altaf.Sharif@southernhousing.org.uk
Country
United Kingdom
Region code
UK - United Kingdom
Companies House
Companies House
Internet address(es)
Main address
one.4) Type of the contracting authority
Body governed by public law
one.5) Main activity
Housing and community amenities
Section two: Object
two.1) Scope of the procurement
two.1.1) Title
324-338 Bensham Lane Works Contract
two.1.2) Main CPV code
- 45000000 - Construction work
two.1.3) Type of contract
Works
two.1.4) Short description
A contract for the carrying out and completion of the following works at the 324-338 Bensham Lane site:
The design and construction of 44 units comprising of a six-storey building (including lower ground floor) fronting Bensham Lane comprising of: 17 one bedroom flats,18 two bedroom flats, 1 two bedroom Duplex, 1 three bedroom Duplex and 7 three bedroom townhouses. This also includes the formation of vehicular accesses and provision of associated off-street parking; provision of associated refuse cycle storage formation of vehicular accesses and provision of associated off-street parking.
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: £14,009,292
two.2) Description
two.2.2) Additional CPV code(s)
- 45000000 - Construction work
two.2.3) Place of performance
NUTS codes
- UK - United Kingdom
Main site or place of performance
324-338 Bensham Lane
Thornton Heath
Croydon
CR7 7EQ
two.2.4) Description of the procurement
A contract for the carrying out and completion of the following works at the 324-368 Bensham Lane site:
The design and construction of 44 units comprising of a six-storey building (including lower ground floor) fronting Bensham Lane comprising of: 17 one bedroom flats,18 two bedroom flats, 1 two bedroom Duplex, 1 three bedroom Duplex and 7 three bedroom townhouses. This also includes the formation of vehicular accesses and provision of associated off-street parking; provision of associated refuse cycle storage formation of vehicular accesses and provision of associated off-street parking.
two.2.11) Information about options
Options: No
Section four. Procedure
four.1) Description
four.1.1) Type of procedure
Negotiated without a prior call for competition
- Extreme urgency brought about by events unforeseeable for the contracting authority
Explanation:
Optivo Development Services Limited (ODSL) is a subsidiary within the Southern Housing Group. ODSL intends to award the Contract to Oakwood Building Contractors Limited ("Oakwood") pursuant to Regulation 32(2)(c) of the Public Contracts Regulations 2015 ("PCR"), for the reasons set out below:
DCB (Kent) Limited ("DCB") were originally appointed to carry out the development works at the site under a building contract with ODSL. Kinovo Plc ("Kinovo") provided a parent company guarantee ("PCG") in respect of DCB's performance of the building contract.
In May 2022 DCB entered into administration. Pursuant to the terms of the PCG, Kinovo were required to arrange for the completion of the works, subject to ODSL's agreement. Accordingly, Kinovo took steps to procure a replacement building contractor, but have not been able to secure a proposal that is acceptable to ODSL both in terms of the price payable for the completion of the works and the experience and credentials of the proposed replacement contractor.
In light of the above ODSL has decided to take direct control of the selection and appointment of a replacement contractor. ODSL now wish to appoint Oakwood as the replacement contractor.
Regulation 32(2)(c) allows a contracting authority to award a contract under the negotiated procedure without prior publication "insofar as is strictly necessary where, for reasons of extreme urgency brought about by events unforeseeable by the contracting authority, the time limits for the open or restricted procedures or competitive procedures with negotiation cannot be complied with"
ODSL is relying on this exemption to award the Contract to Oakwood on the following basis:
(i) The events that have given rise to the need to appoint Oakwood on an urgent basis without undertaking a competitive tender process in accordance with the PCR were not foreseeable by, or attributable to, ODSL - such events being DCB entering into administration originally, and Kinovo subsequently being unable to secure a proposal for the completion of the works that is acceptable to ODSL;
(ii) If a contractor is not appointed urgently to complete the remaining works this will result in ODSL incurring significant additional costs (to add to the costs that it has already incurred);
(iii) Any further delay in completing the works could also give rise to health and safety issues and/or security issues on 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
1
Title
324-338 Bensham Lane Works Contract
A contract/lot is awarded: Yes
five.2) Award of contract/concession
five.2.1) Date of conclusion of the contract
26 March 2024
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
Oakwood Building Contractors Limited
Suite 4 Oaks House, 12 - 22 West Street, Epsom, Surrey, KT18 7RG
Epsom
KT18 7RG
Country
United Kingdom
NUTS code
- UKJ - South East (England)
Companies House
02085761
The contractor/concessionaire is an SME
Yes
five.2.4) Information on value of contract/lot/concession (excluding VAT)
Initial estimated total value of the contract/lot/concession: £14,009,292
Total value of the contract/lot/concession: £14,009,292
Section six. Complementary information
six.3) Additional information
The Contracting Authority intends to enter into this contract following a minimum 10 day calendar day standstill period starting on the day after this notice is published in the UK Find a Tender Service. The Public Contracts Regulations 2015 (SI 2015 No 102) (as amended) (the Regulations) provide for aggrieved parties who have been harmed or who are at risk of harm by a breach of the Regulations to bring proceedings in the High Court. Any such proceedings must be brought within the limitation period specified by the Regulations according to the remedy sought.
six.4) Procedures for review
six.4.1) Review body
High Court
The Strand
London
Country
United Kingdom
six.4.3) Review procedure
Precise information on deadline(s) for review procedures
In accordance with Part 3 of the Public Contracts Regulations 2015