Contract award notice
Results of the procurement procedure
Section I: Contracting
authority
I.1) Name and addresses
Hertfordshire County Council
Hertford
SG138DE
UK
Contact person: Matthew Jones, Procurement Manager
E-mail: strategic.procurement@hertfordshire.gov.uk
NUTS: UKH23
Internet address(es)
Main address: www.hertfordshire.gov.uk
Address of the buyer profile: www.supplyhertfordshire.uk
I.1) Name and addresses
North Hertfordshire District Council
Letchworth
UK
E-mail: strategic.procurement@hertfordshire.gov.uk
NUTS: UKH23
Internet address(es)
Main address: www.supplyhertfordshire.uk
I.1) Name and addresses
Broxbourne Borough Council
Broxbourne
UK
E-mail: strategic.procurement@hertfordshire.gov.uk
NUTS: UKH23
Internet address(es)
Main address: www.supplyhertfordshire.uk
I.1) Name and addresses
The Police and Crime Commissioner for Hertfordshire
Hertfordshire
UK
E-mail: strategic.procurement@hertfordshire.gov.uk
NUTS: UKH23
Internet address(es)
Main address: www.supplyhertfordshire.uk
I.1) Name and addresses
Stevenage Borough Council
Stevenage
UK
E-mail: strategic.procurement@hertfordshire.gov.uk
NUTS: UKH23
Internet address(es)
Main address: www.supplyhertfordshire.uk
I.1) Name and addresses
Dacorum Borough Council
Hemel Hempstead
UK
E-mail: strategic.procurement@hertfordshire.gov.uk
NUTS: UKH23
Internet address(es)
Main address: www.supplyhertfordshire.uk
I.1) Name and addresses
East Herts District Council
Hertford
UK
E-mail: strategic.procurement@hertfordshire.gov.uk
NUTS: UKH23
Internet address(es)
Main address: www.supplyhertfordshire.uk
I.1) Name and addresses
Watford Borough Council
Watford
UK
E-mail: strategic.procurement@hertfordshire.gov.uk
NUTS: UKH23
Internet address(es)
Main address: www.supplyhertfordshire.uk
I.2) Joint procurement
The contract involves joint procurement
I.4) Type of the contracting authority
Regional or local authority
I.5) Main activity
General public services
Section II: Object
II.1) Scope of the procurement
II.1.1) Title
Creation of a New Property Delivery Model for Hertfordshire County Council
Reference number: HCC1709634
II.1.2) Main CPV code
71000000
II.1.3) Type of contract
Works
II.1.4) Short description
Hertfordshire County Council (the Council) has procured a partner to support it in moving to an innovative Property Delivery Model. The Council has a substantial portfolio of surplus land and property that can either be disposed of or developed. There is a consensus of opinion within the Council that there is a need to pursue an alternative model where the Council takes more of an active role in development with the aim of improving the financial returns to the Council and pace of delivery. The Council has therefore incorporated Herts Living Limited, a wholly owned subsidiary of the Council, and has also procured a strategic partner with development and funding expertise to work with it to identify opportunities from its land holdings and potentially those of its partners, and bring forward development and funding on these sites. The Council also reserves the right to pursue investment opportunities and land acquisitions during the lifetime of the partnership.
II.1.6) Information about lots
This contract is divided into lots:
No
II.1.7) Total value of the procurement
Value excluding VAT:
2 000 000 000.00
GBP
II.2) Description
II.2.2) Additional CPV code(s)
45210000
45211360
45211340
45211300
45211341
45211350
71240000
71540000
70110000
70123100
70120000
II.2.3) Place of performance
NUTS code:
UKH23
II.2.4) Description of the procurement
Please note that this is an award notice and the opportunity is now closed. See Section V (Award of Contract).
This procurement was conducted by the Council on behalf of itself and the twelve members of the Hertfordshire Property Partnership (“HPP”). More details regarding the HPP were included in the Descriptive Document. Whilst no members of the HPP are obliged to participate in any works ordered as a result of this procurement, all are entitled to do so, as determined in their sole discretion. In addition to the Council, the following members of the HPP have expressed interest in this procurement:
— North Hertfordshire District Council,
— Broxbourne Borough Council,
— The Police and Crime Commissioner for Hertfordshire,
— Stevenage Borough Council,
— Dacorum Borough Council,
— East Herts District Council, and
— Watford Borough Council.
The purpose of this competition was to procure a single strategic partner for the Council for a contract term of 15 years with the ability to extend by one or more periods up to a further aggregate of 5 years. A Prior Information Notice requesting soft marking testing in preparation for a formal procurement was issued on 13.12.2016. The partner will provide its development expertise, equity investment and access to private funding. The partnership will help select and then fund and deliver a programme of sites (including residential, commercial, community and other schemes) which are identified and declared as surplus by the Council and its partners. The partnership will select, according to the type and complexity of site or package of sites the most appropriate development and construction partners to deliver the site. The Council and its partner will share in any financial returns from the sale of the development sites in a manner that is commensurate with the risks taken.
The minimum requirements of the partner include:
— To optimise opportunities from a portfolio of property assets that will generate new long term financial returns (both capital and revenue),
— The use of the partnership model must deliver a greater total financial return to the Council than the return which could be achieved through its current approach,
— To drive the pace of development,
— To develop a quality brand for the developments, aimed at safeguarding the long term financial prosperity of the partnership, and
— To build a long term relationship with a partner with aligned objectives / visions and to utilise their expertise.
The total Gross Development Value (GDV) is estimated to be in the region of 2 000 000 000 (GBP) (II.1.7) Total value of the procurement (excluding VAT) of this Contract Award Notice refers), if all of the initial tranche of 12 sites, plus additional potential sites (approximately 40 in number) and 2 potential urban extension sites are developed via the partnership. The HPP could potentially offer further sites in addition.
II.2.5) Award criteria
Quality criterion: Quality
/ Weighting: 60
Price
/ Weighting:
40
II.2.11) Information about options
Options:
Yes
Description of options:
The Council reserves the right to extend the partnership by one or more periods up to a further aggregate of 5 years.
II.2.13) Information about European Union funds
The procurement is related to a project and/or programme financed by European Union funds:
No
II.2.14) Additional information
Organisations were made aware that due to the nature of the works provided, any contract formed as a result of this procurement process shall be executed as a deed. Organisations should have sought independent legal advice on the implications of this prior to submitting a tender, where appropriate.
Section IV: Procedure
IV.1) Description
IV.1.1) Type of procedure
Competitive dialogue
IV.1.8) Information about Government Procurement Agreement (GPA)
The procurement is covered by the Government Procurement Agreement:
Yes
IV.2) Administrative information
IV.2.1) Previous publication concerning this procedure
Notice number in the OJ S:
2017/S 085-164986
Section V: Award of contract
Contract No: HCC1709634
Title: Creation of a New Property Delivery Model for Hertfordshire County Council
A contract/lot is awarded:
Yes
V.2 Award of contract
V.2.1) Date of conclusion of the contract
16/04/2018
V.2.2) Information about tenders
Number of tenders received: 3
The contract has been awarded to a group of economic operators:
No
V.2.3) Name and address of the contractor
Morgan Sindall Investments Limited
8 Old Jewry
London
EC2R 8DN
UK
Telephone: +44 2073670100
E-mail: info@msinvestments.co.uk
NUTS: UKI
Internet address(es)
URL: https://www.msinvestments.co.uk/
The contractor is an SME:
No
V.2.4) Information on value of the contract/lot (excluding VAT)
Initial estimated total value of the contract/lot:
Total value of the contract/lot:
: 2 000 000 000.00
GBP
V.2.5) Information about subcontracting
Section VI: Complementary information
VI.4) Procedures for review
VI.4.1) Review body
High Court, Royal Courts of Justice
The Strand
London
WC2A 2LL
UK
VI.4.3) Review procedure
Precise information on deadline(s) for review procedures:
The Council incorporated a minimum 10 calendar day standstill period at the point information on the award of the contract was communicated to tenderers. This period allowed unsuccessful tenderers to seek further debriefing from the Council before the contract was entered into. If an appeal regarding the award of the contract has not been successfully resolved, The Public Contracts Regulations 2015 provide for aggrieved parties who have been harmed or who are at risk of harm by a breach of the rules to take action in the High Court (England, Wales and Northern Ireland).
VI.4.4) Service from which information about the review procedure may be obtained
See VI.4.1) Review body field of this Contract Award Notice.
See VI.4.1) Review body field of this Contract Award Notice.
UK
VI.5) Date of dispatch of this notice
27/04/2018