Opportunity

South Thamesmead Phases 2 and 3 Joint Venture Partnership

  • Peabody Trust

F24: Concession notice

Notice reference: 2021/S 000-028657

Published 17 November 2021, 9:15am



Section one: Contracting authority/entity

one.1) Name and addresses

Peabody Trust

Minster Court, 45-47 Westminster Bridge Road

London

SE1 7JB

Contact

Adam Compton

Email

adam.compton@peabody.org.uk

Telephone

+44 2038284233

Country

United Kingdom

NUTS code

UKI6 - Outer London – South

Internet address(es)

Main address

www.peabody.org.uk

one.3) Communication

The procurement documents are available for unrestricted and full direct access, free of charge, at

https://www.delta-esourcing.com/tenders/UK-UK-London:-Building-construction-work./2ND68B5HZ8

Additional information can be obtained from the above-mentioned address

Applications or, where applicable, tenders must be submitted to the above-mentioned address

one.4) Type of the contracting authority

Other type

Housing Association

one.5) Main activity

Housing and community amenities


Section two: Object

two.1) Scope of the procurement

two.1.1) Title

South Thamesmead Phases 2 and 3 Joint Venture Partnership

two.1.2) Main CPV code

  • 45210000 - Building construction work

two.1.3) Type of contract

Works

two.1.4) Short description

Peabody is seeking to establish a 50:50 joint venture (‘JV’) between Peabody and a private sector partner (‘PSP’) to deliver phases 2 and 3 of the South Thamesmead regeneration project, at Harrow Manorway, near Abbey Wood, SE2 9LH (the ‘Development Site’). The Development Site totals circa 3.1 hectares (7.7 acres) split between a northern plot (Phase 2, c 1.7 ha (4.6 ac)) and southern plot (Phase 3, c 1.2 ha (3.1 ac)).

two.1.5) Estimated total value

Value excluding VAT: £300,000,000

two.1.6) Information about lots

This concession is divided into lots: No

two.2) Description

two.2.2) Additional CPV code(s)

  • 45211000 - Construction work for multi-dwelling buildings and individual houses
  • 45211340 - Multi-dwelling buildings construction work
  • 45211350 - Multi-functional buildings construction work
  • 90500000 - Refuse and waste related services
  • 77314000 - Grounds maintenance services
  • 79714000 - Surveillance services
  • 79713000 - Guard services
  • 79710000 - Security services
  • 79711000 - Alarm-monitoring services
  • 90911100 - Accommodation cleaning services
  • 90911200 - Building-cleaning services
  • 45000000 - Construction work
  • 45210000 - Building construction work
  • 45211100 - Construction work for houses
  • 45211341 - Flats construction work
  • 45213312 - Car park building construction work
  • 45223310 - Underground car park construction work
  • 71421000 - Landscape gardening services
  • 45231221 - Gas supply mains construction work
  • 45230000 - Construction work for pipelines, communication and power lines, for highways, roads, airfields and railways; flatwork
  • 45231000 - Construction work for pipelines, communication and power lines
  • 45231100 - General construction work for pipelines
  • 45231300 - Construction work for water and sewage pipelines
  • 45111000 - Demolition, site preparation and clearance work
  • 45231223 - Gas distribution ancillary work
  • 70000000 - Real estate services
  • 70110000 - Development services of real estate
  • 70111000 - Development of residential real estate
  • 50700000 - Repair and maintenance services of building installations
  • 50710000 - Repair and maintenance services of electrical and mechanical building installations
  • 45259300 - Heating-plant repair and maintenance work
  • 45331000 - Heating, ventilation and air-conditioning installation work
  • 45330000 - Plumbing and sanitary works
  • 71247000 - Supervision of building work
  • 45233100 - Construction work for highways, roads
  • 45233130 - Construction work for highways

two.2.3) Place of performance

NUTS codes
  • UKI6 - Outer London – South
Main site or place of performance

Outer London – South

two.2.4) Description of the procurement

50:50 joint venture (‘JV’) between Peabody and a private sector partner (‘PSP’) to deliver phases 2 and 3 of the South Thamesmead regeneration project.

It is anticipated that the PSP will provide finance, and development management and sales & marketing services to the JV, and may provide construction services.

In total the Development Site is estimated to have capacity for c 730 homes and c 1,000 square foot of community space (the latter assumed to be delivered in Phase 2).

Phase 2 benefits from an outline planning consent for delivery of up to 329 homes and up to 1,050 square metres of commercial floorspace (London Borough of Bexley ref. 16/01287/OUTM). Recent scheme testing estimates capacity for Phase 3 at c 400 homes.

Phase 3 is part of a separate outline application currently being determined by the local planning authority, across a wider area, for up to 1,950 homes and 3,225 square metres of commercial floorspace (ref. 21/01948/OUTEA).

Continued at section III 1.1)

two.2.5) Award criteria

Concession is awarded on the basis of the criteria stated in the procurement documents

two.2.6) Estimated value

Value excluding VAT: £300,000,000

two.2.7) Duration of the concession

Duration in months

120

two.2.13) Information about European Union Funds

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

two.2.14) Additional information

The estimated values in II.1.5, II.2.4 and II.2.6 represent the potential commercial value of the development. However, potential returns will depend on many commercial factors including (but not limited to) the performance of the developer and market conditions. Bidders should seek independent legal and commercial advice in relation to the potential value of the opportunity and overall scheme.


Section three. Legal, economic, financial and technical information

three.1) Conditions for participation

three.1.1) Suitability to pursue the professional activity, including requirements relating to enrolment on professional or trade registers

List and brief description of conditions, indication of information and documentation required

III.1.1) Suitability to pursue the professional activity, including requirements relating to enrolment on professional or trade registers

List and brief description of conditions, indication of information and documents required: 1,000 Characters

Continued from section II2.4)

However the number of homes anticipated in Phase 3 itself is c 400.

This procurement is concerned with Phases 2 and 3 only.

The final composition of the two phases will be determined by detailed planning applications. It is anticipated that commercial space will comprise only a small proportion of floorspace.

It is anticipated the scheme will comprise (by unit):

Phase 2Phase 3Total

Market Sale58%59%59%

Rented Affordable18%15%17%

Shared Ownership24%25%25%

The total gross development value of the scheme is estimated to be £250m - £300m. From start on site the scheme is expected to be delivered within c 3-5 years. However considering potential market fluctuations or unforeseen circumstances, it is anticipated the project may extend up to a period of 10 years.

Please refer to the draft procurement documents being released at this stage, notably the Draft Invitation to Participate in Dialogue and the Draft Heads of Terms, for further information.

three.1.2) Economic and financial standing

Selection criteria as stated in the procurement documents

three.1.3) Technical and professional ability

Selection criteria as stated in the procurement documents

three.2) Conditions related to the concession

three.2.2) Concession performance conditions

- all new homes achieve a minimum EPC rating of B (SAP 86)

- 1 apprentice placement should be offered by the contractor for every £2m of contract spend


Section four. Procedure

four.1) Description

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

The procurement is covered by the Government Procurement Agreement: Yes

four.2) Administrative information

four.2.2) Time limit for submission of applications or receipt of tenders

Date

20 December 2021

Local time

12:00pm

four.2.4) Languages in which tenders or requests to participate may be submitted

English


Section six. Complementary information

six.1) Information about recurrence

This is a recurrent procurement: No

six.2) Information about electronic workflows

Electronic invoicing will be accepted

Electronic payment will be used

six.3) Additional information

The Concession Contracts Regulation 2016 (CCR 2016) applies to the competition. The Authority intends to follow a process similar to the Competitive Dialogue procedure described in the Public Contracts Regulations 2015 (as amended) (PCR 2015). However, it reserves the right to deviate from the formalities of the PCR 2015 in conducting the competition due to the flexibilities permitted by the CCR 2016.

Final award criteria and further procurement documents will be provided at the commencement of the competitive dialogue stages to bidders that are shortlisted to participate.

The Authority reserves the right not to award the opportunity or to award only part (or a different arrangement) of the opportunity described in this concession notice.

For more information about this opportunity, please visit the Delta eSourcing portal at:

https://www.delta-esourcing.com/tenders/UK-UK-London:-Building-construction-work./2ND68B5HZ8

To respond to this opportunity, please click here:

https://www.delta-esourcing.com/respond/2ND68B5HZ8

GO Reference: GO-20211116-PRO-19245025

six.4) Procedures for review

six.4.1) Review body

High Court of Justice

The Strand

London

WC2A 2LL

Telephone

+44 2079476000

Country

United Kingdom

six.4.2) Body responsible for mediation procedures

Peabody

Minster Court, 45-47 Westminster Bridge Road

London

SE1 7JB

Telephone

+44 2038284233

Country

United Kingdom

six.4.3) Review procedure

Precise information on deadline(s) for review procedures

In accordance with Regulation 47 (Notice of decision to award a concession contract); Regulation 48 (Standstill Period) and Regulation 52 to 63 of the Concession Contracts Regulations 2016 (CCR 2016).

Following any decision to award the concession contract, the contracting authority will provide debriefing information to unsuccessful bidders (in accordance with Regulation 47 CCR 2016) and observe a minimum 10 day standstill period (in accordance with Regulation 48 CCR 2016) before the concession contract is entered into.

six.4.4) Service from which information about the review procedure may be obtained

Peabody

Minster Court, 45-47 Westminster Bridge Road

London

SE1 7JB

Telephone

+44 2038284233

Country

United Kingdom