Opportunity

Sheffield Catalyst Sites - Furnace Hill and Neepsend Development Opportunity

  • Homes England (the name adopted by the Homes and Communities Agency)

F02: Contract notice

Notice reference: 2024/S 000-035990

Published 6 November 2024, 5:01pm



Section one: Contracting authority

one.1) Name and addresses

Homes England (the name adopted by the Homes and Communities Agency)

The Lumen, St James Boulevard, Newcastle Helix

Newcastle upon Tyne

NE4 5BZ

Email

furnacehillneepsend@homesengland.gov.uk

Country

United Kingdom

NUTS code

UKC - North East (England)

Internet address(es)

Main address

https://www.gov.uk/government/organisations/homes-england

Buyer's address

https://www.gov.uk/government/organisations/homes-england

one.3) Communication

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

https://procontract.due-north.com/Advert?advertId=b653ca9c-9c97-ef11-8132-005056b64545&fromRfxSummary=True&rfxId=163b0c25-9d97-ef11-8132-005056b64545

Additional information can be obtained from the above-mentioned address

Tenders or requests to participate must be submitted electronically via

https://procontract.due-north.com/Advert?advertId=b653ca9c-9c97-ef11-8132-005056b64545&fromRfxSummary=True&rfxId=163b0c25-9d97-ef11-8132-005056b64545

one.4) Type of the contracting authority

National or federal Agency/Office

one.5) Main activity

Housing and community amenities


Section two: Object

two.1) Scope of the procurement

two.1.1) Title

Sheffield Catalyst Sites - Furnace Hill and Neepsend Development Opportunity

Reference number

DN739377

two.1.2) Main CPV code

  • 45211100 - Construction work for houses

two.1.3) Type of contract

Works

two.1.4) Short description

Homes England is seeking Development Partners with the requisite skills, expertise, resource and creativity to deliver the comprehensive development of two significantly important and ambitious residential-led mixed use development opportunities in Sheffield City Centre. The development opportunities comprise two separate Lots. Following the initial selection stage, Homes England will shortlist three bidders for each of the following Lots:

• Lot 1 Furnace Hill; and

• Lot 2 Neepsend.

Homes England has jointly prepared a Development Framework with Sheffield City Council to guide the delivery of each site and established the following Vision:

“To transform Furnace Hill & Neepsend into two distinct and vibrant, urban neighbourhoods, capitalising upon their historic and natural assets to create a varied townscape, with a network of new public spaces and streets to improve legibility and connections between the City Centre and Kelham Island”

Homes England is committed to developing a long-term relationship with Development Partners who have a proven track record in successfully delivering sustainable and high quality residential-led regeneration, matching the scale of Homes England’s ambition for these two sites and Sheffield’s huge potential.

Furnace Hill and Neepsend each have an industrial heritage but inherently different characteristics with the potential for each neighbourhood to provide a distinct and varied residential offer that will play a pivotal role in meeting Sheffield’s housing needs. Homes England is therefore presenting this opportunity for the appointment of a Development Partner for each site which can be delivered independently of each other.

two.1.5) Estimated total value

Value excluding VAT: £290,000,000

two.1.6) Information about lots

This contract is divided into lots: Yes

Tenders may be submitted for all lots

Maximum number of lots that may be awarded to one tenderer: 2

two.2) Description

two.2.1) Title

Furnace Hill

Lot No

1

two.2.2) Additional CPV code(s)

  • 45211000 - Construction work for multi-dwelling buildings and individual houses

two.2.3) Place of performance

NUTS codes
  • UKE32 - Sheffield

two.2.4) Description of the procurement

Working closely with Sheffield City Council through the Sheffield Together Partnership, Homes England is progressing a comprehensive programme of place-based regeneration activity in Sheffield City Centre.

The Council has identified two principal sites within Furnace Hill and Neepsend as catalysts for the regeneration of its urban core. The vision is for these sites to become two distinct, vibrant new neighbourhoods for people to live, work and play in the heart of the City.

Lot 1 Furnace Hill Description:

Furnace Hill is located as a key northern gateway to the City Centre bounded by the major arterial routes of Hoyle Street and Shalesmoor to the west and north respectively. The site is bound by Shepherd Street to the east and by Meadow Street to the south. The site is currently under-utilised and mainly comprises a mix of vacant land and vacant/derelict industrial buildings. The site extends to approximately 2.57 hectares.

The site holds historical significance and includes a range of designated and non-designated heritage assets including the Hoyle Street Cementation Furnace (Scheduled Monument); the last intact cementation furnace in Sheffield, and Don Cutlery Works (Grade II Listed); a rare surviving mid-to-late 19th century metal works. Furnace Hill Conservation Area extends through part of the site.

Key aspects identified in the Development Framework include:

• 825 new homes

• 1,900 sqm of non-residential uses

• Mix of one, two and three bedroom mid to high rise apartments and maisonettes

• Landmark tall building of exceptional quality at the corner of Shalesmoor/Hoyle Street

• Repurposed and transformed Don Cutlery Works

• High quality public realm including the new “Furnace Square”

• Indicative GDV of £165,000,000

Development Partner Requirements:

Homes England is seeking to appoint a Development Partner for Lot 1 (Furnace Hill) and a Developer Partner for Lot 2 (Neepsend) with the financial means and relevant experience, skills, and resources to deliver the comprehensive development of these strategically important Catalyst Sites.

The role of the Development Partner for each Lot will include:

• To produce a masterplan and scheme designs based on the Development Framework;

• To prepare and submit planning applications and secure planning approval for agreed schemes;

• To secure funding commitments from investment partners;

• To procure and manage construction contracts for the delivery of infrastructure and development works;

• To coordinate the marketing and sale process for individual phases of development, and where appropriate the operational and letting/management arrangements for rented assets; and

• To manage the development process through to the completion of construction and sale/exit.

two.2.5) Award criteria

Quality criterion - Name: Quality / Weighting: 70

Price - Weighting: 30

two.2.6) Estimated value

Value excluding VAT: £165,000,000

two.2.7) Duration of the contract, framework agreement or dynamic purchasing system

Duration in months

96

This contract is subject to renewal

No

two.2.9) Information about the limits on the number of candidates to be invited

Maximum number: 3

two.2.10) Information about variants

Variants will be accepted: No

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

two.2) Description

two.2.1) Title

Neepsend

Lot No

2

two.2.2) Additional CPV code(s)

  • 45211000 - Construction work for multi-dwelling buildings and individual houses

two.2.3) Place of performance

NUTS codes
  • UKE32 - Sheffield

two.2.4) Description of the procurement

Working closely with Sheffield City Council through the Sheffield Together Partnership, Homes England is progressing a comprehensive programme of place-based regeneration activity in Sheffield City Centre.

The Council has identified two principal sites within Furnace Hill and Neepsend as catalysts for the regeneration of its urban core. The vision is for these sites to become two distinct, vibrant new neighbourhoods for people to live, work and play in the heart of the City.

Lot 2 Neepsend Description:

Neepsend is located along the River Don, just to the north of the A61 outside of the ring road, being bound by Penistone Road along its western boundary and Cornish Works to the south beyond which is the Kelham Island neighbourhood.

The site mainly comprises vacant and/or derelict industrial buildings together with two operational uses (Wickes retail store and Westpack industrial building). The site extends to approximately 2.5 hectares.

The site holds historical significance and includes a range of designated and non-designated heritage assets such as Cornish Works (Grade II Listed) which encapsulates the historical evolution of the cutlery industry in Neepsend. Rutland Road Bridge and Insignia Works are located adjacent to the site boundary and are Grade II listed. The Kelham Island Industrial Conservation Area extends through the majority of the site.

Key aspects identified in the Development Framework include:

• 480 new homes

• 2,000 sqm of non-residential uses

• Wide range of typologies including maisonettes, townhouses, low and mid-rise apartments

• Repurposed and transformed Cornish Works

• High quality public realm including the new “Artisan Square” and riverside walkway & pocket park

• Indicative GDV of £125,000,000

Development Partner Requirements:

Homes England is seeking to appoint a Development Partner for Lot 1 (Furnace Hill) and a Developer Partner for Lot 2 (Neepsend) with the financial means and relevant experience, skills, and resources to deliver the comprehensive development of these strategically important Catalyst Sites.

The role of the Development Partner for each Lot will include:

• To produce a masterplan and scheme designs based on the Development Framework;

• To prepare and submit planning applications and secure planning approval for agreed schemes;

• To secure funding commitments from investment partners;

• To procure and manage construction contracts for the delivery of infrastructure and development works;

• To coordinate the marketing and sale process for individual phases of development, and where appropriate the operational and letting/management arrangements for rented assets; and

• To manage the development process through to the completion of construction and sale/exit.

two.2.5) Award criteria

Quality criterion - Name: Quality / Weighting: 70

Price - Weighting: 30

two.2.6) Estimated value

Value excluding VAT: £125,000,000

two.2.7) Duration of the contract, framework agreement or dynamic purchasing system

Duration in months

72

This contract is subject to renewal

No

two.2.9) Information about the limits on the number of candidates to be invited

Maximum number: 3

two.2.10) Information about variants

Variants will be accepted: No

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 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

In the procurement documents

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 contract

three.2.2) Contract performance conditions

In the procurement documents


Section four. Procedure

four.1) Description

four.1.1) Type of procedure

Competitive dialogue

four.1.4) Information about reduction of the number of solutions or tenders during negotiation or dialogue

Recourse to staged procedure to gradually reduce the number of solutions to be discussed or tenders to be negotiated

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.2.1) Previous publication concerning this procedure

Notice number: 2024/S 000-027906

four.2.2) Time limit for receipt of tenders or requests to participate

Date

9 December 2024

Local time

5:00pm

four.2.3) Estimated date of dispatch of invitations to tender or to participate to selected candidates

20 January 2025

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 ordering will be used

Electronic invoicing will be accepted

Electronic payment will be used

six.3) Additional information

1) All values stated in the notice is the envisaged gross development value (GDV)

2) The information contained in this notice may be subject to change due to the impact of governance, assurance and regulatory changes. Insofar as permitted by law, Homes England shall not be liable for any losses incurred by any party as a result of reliance on the information contained/linked herein. Homes England may cancel or abandon this procurement at any time and may not award any contract and accepts no liability to bidders for their participation in this procurement;

The opportunity can be accessed via Home England’s e-Tendering system. Tenderers wishing to be considered for this contract must register their expression of interest and submit a tender through our e-Tendering system. If not already registered, candidates should register at https://procontract.due-north.com/Advert?advertId=b653ca9c-9c97-ef11-8132-005056b64545&fromRfxSummary=True&rfxId=163b0c25-9d97-ef11-8132-005056b64545

All discussions, meetings, and communications will be conducted in English.

Homes England is committed to protecting the privacy and security of your personal data.

The privacy notice aims to give you information on how Homes England collects and processes personal data provided to us, including information that you provide directly, and tell you about your rights and how the law protects you. Please refer to our Privacy Notice at https://www.gov.uk/government/organisations/homes-england/about/personal-information-charter for further information.

The contract will be subject to English law. Tenders and all supporting documents must be priced in GBP and all payments under the contract will be made in GBP.

six.4) Procedures for review

six.4.1) Review body

Royal Courts of Justice

The Strand

London

WC2A 2LL

Country

United Kingdom