Awarded contract

Sale of ground with a requirement to enter into a contract for the Design and Construction of 34No. homes for social rent

  • Midlothian Council

F15: Voluntary ex ante transparency notice

Notice reference: 2024/S 000-012924

Published 22 April 2024, 11:43am



Section one: Contracting authority/entity

one.1) Name and addresses

Midlothian Council

Midlothian House, Buccleuch Street

Dalkeith

EH22 1DN

Email

procurement@midlothian.gov.uk

Telephone

+44 1312707500

Country

United Kingdom

NUTS code

UKM73 - East Lothian and Midlothian

Internet address(es)

Main address

http://www.midlothian.gov.uk

Buyer's address

https://www.publiccontractsscotland.gov.uk/search/Search_AuthProfile.aspx?ID=AA00336

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

Sale of ground with a requirement to enter into a contract for the Design and Construction of 34No. homes for social rent

two.1.2) Main CPV code

  • 45000000 - Construction work

two.1.3) Type of contract

Works

two.1.4) Short description

Sale of ground with a requirement to enter into a contract for the Design and Construction of 34No. homes for social rent

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: £7,382,774.15

two.2) Description

two.2.3) Place of performance

NUTS codes
  • UKM73 - East Lothian and Midlothian
Main site or place of performance

Phase AA2/AA3, Shawfair, Danderhall North, Midlothian

two.2.4) Description of the procurement

Sale of ground with a requirement to enter into a contract for the Design and Construction of 34No. homes for social rent, Shawfair, Danderhall

two.2.11) Information about options

Options: No

two.2.13) Information about European Union Funds

The procurement is related to a project and/or programme financed by European Union funds: No


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:

In terms of Midlothian Council’s affordable housing policy, it is noted that the Shawfair area is one of the Council’s locations with highest demand. As a result the Council requires to secure land within the Shawfair area to assist with meeting that demand and policy ambition and to deliver its Affordable Housing Supply Programme. The area of land at Shawfair owned by Bellway Homes fits with that policy ambition. The contract for the purchase of land is an excluded contract under Regulation 11(1) of the Public Contracts (Scotland) Regulations 2015 (2015 Regulations).

The Sellers have included as a condition of the sale of its land that the Council is required to enter into a construction contract with Bellway Homes for the construction of 34 social rented homes on the land being acquired. Without acquiring the land, the Council could not meet its policy in respect of affordable housing in the Shawfair area and the scheme would not be capable of progressing.

As a result the Council progressed using the negotiated procedure without prior publication on the basis the works could only be provided by Bellway Homes on the basis that (i) for technical reasons competition is absent and (ii) Bellway Homes has exclusive rights in respect of the land and has taken steps within the missives to protect its exclusive rights. There is no reasonable alternative in the Shawfair area. The negotiated procedure without publication was carried out pursuant to Regulation 33 (1) (b) of the 2015 Regulations.

Through this negotiated procedure, the Council has ensured that value for money has been achieved.

The Council will not award the contract for the period of at least 10 days from the date of publication of this notice and will also issue a contract award notice.

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

A contract/lot is awarded: Yes

five.2) Award of contract/concession

five.2.1) Date of conclusion of the contract

22 April 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

Bellway Homes East Scotland

6 Almondvale Business Park, Almondvale Way

Livingston

EH54 6GA

Telephone

+44 1506594420

Country

United Kingdom

NUTS code
  • UKM78 - West Lothian
Internet address

https://www.bellway.co.uk/new-homes/scotland-east

The contractor/concessionaire is an SME

No

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

Total value of the contract/lot/concession: £7,382,774.15


Section six. Complementary information

six.3) Additional information

NOTE: To register your interest in this notice and obtain any additional information please visit the Public Contracts Scotland Web Site at https://www.publiccontractsscotland.gov.uk/Search

(SC Ref:764419)

six.4) Procedures for review

six.4.1) Review body

EDINBURGH SHERIFF COURT

SHERIFF COURT HOUSE, 27 CHAMBERS STREET

EDINBURGH

EH1 1LB

Country

United Kingdom