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Contract Notice

Landlord Service Charge

  • First published: 20 October 2020
  • Last modified: 20 October 2020
  • Version: N/A
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Contents

Summary

OCID:
Published by:
NHS Property Services Ltd
Authority ID:
AA25057
Publication date:
20 October 2020
Deadline date:
06 November 2020
Notice type:
Contract Notice
Has documents:
No
Has SPD:
No
Has Carbon Reduction Plan:
N/A

Abstract

NHSPS has approximately 900 leased properties in its portfolio located across seven geographical regions and in many cases service charges and/or buildings insurance premiums are demanded by the landlord. In the first 6 months YTD of 2020/21, NHSPS has paid out c. GBP 13 million in landlord service charges across c. 600 headleases. In addition, we have paid out landlord service charges in excess of GBP 25 000 (YTD) at 144 of these headleases, and the 50 most expensive service charges (GBP 70 000 YTD and above) account for c. 50 % of the total paid out YTD.

Headlease interests held by NHSPS fall into two broad categories, commercial landlords and NHS Family landlords. Commercial landlords comprise a broad mixture of institutions, local authorities, JVs and management companies. NHS Family landlords comprise NHS Trusts and GPs. Where the landlord is a commercial entity the initial focus of this instruction will be to regularise all accounting matters and scrutinise documentation to eradicate (and where relevant seek reimbursement of) any charges that are not consistent with the headlease. As a member of the NHS Family, NHSPS adopts a more conciliatory approach with NHS Landlords and provides both support and advice to encourage best practice to be adopted where the headlease requires the landlord to administer a service charge or entitles the landlord to recover buildings insurance premiums.

We now require a consultant with a proven track record to assist our property management teams in ensuring that landlords discharge their liabilities in respect of service charges and buildings insurance recharges in a manner consistent with the lease and in addition ensure that financial reporting is accurate and fully transparent.

The primary reason we require this service to be delivered accurately is that we pass through all head landlord service charges to the occupiers of our buildings and accordingly we need to be in a position to demonstrate to our occupiers that all charges that we pass through are fully transparent and auditable.

Initially NHSPS requires the following elements of the scope detailed below to be delivered:

• landlord service charges – cost recovery.

As the contract progresses NHSPS may require to call on the supplier to provide the following elements of the scope:

• landlord service charge – best practice/service charge management;

• landlord insurance recharges – cost recovery;

• landlord insurance recharges – best practices/landlord insurance recharge management.

Full notice text

Contract notice

Section I: Contracting authority

I.1) Name and addresses

NHS Property Services Ltd

London

UK

E-mail: vee.sian@property.nhs.uk

NUTS: UK

Internet address(es)

Main address: https://www.property.nhs.uk/

I.2) Joint procurement

The contract is awarded by a central purchasing body

I.3) Communication

Access to the procurement documents is restricted. Further information can be obtained at:

https://supplierlive.proactisp2p.com/Dashboard?f=True


Additional information can be obtained from the abovementioned address


Tenders or requests to participate must be sent electronically to:

https://supplierlive.proactisp2p.com/Dashboard?f=True


I.4) Type of the contracting authority

Body governed by public law

I.5) Main activity

Health

Section II: Object

II.1) Scope of the procurement

II.1.1) Title

Landlord Service Charge

Reference number: DN160

II.1.2) Main CPV code

75122000

 

II.1.3) Type of contract

Services

II.1.4) Short description

NHSPS has approximately 900 leased properties in its portfolio located across seven geographical regions and in many cases service charges and/or buildings insurance premiums are demanded by the Landlord. In the first 6 months YTD of 2020/21, NHSPS has paid out c. GBP 13 million in landlord service charges across c. 600 headleases. In addition, we have paid out Landlord service charges in excess of GBP 25 000 (YTD) at 144 of these headleases, and the 50 most expensive service charges (GBP 70 000 YTD and above) account for c. 50 % of the total paid out YTD.

Headlease interests held by NHSPS fall into two broad categories, commercial landlords and NHS Family landlords. Commercial landlords comprise a broad mixture of institutions, local authorities, JVs and management companies. NHS Family landlords comprise NHS Trusts and GPs. Where the landlord is a commercial entity the initial focus of this instruction will be to regularise all accounting matters and scrutinise documentation to eradicate (and where relevant seek reimbursement of) any charges that are not consistent with the headlease. As a member of the NHS Family, NHSPS adopts a more conciliatory approach with NHS Landlords and provides both support and advice to encourage best practice to be adopted where the headlease requires the landlord to administer a service charge or entitles the Landlord to recover buildings insurance premiums.

We now require a consultant with a proven track record to assist our property management teams in ensuring that landlords discharge their liabilities in respect of service charges and buildings insurance recharges in a manner consistent with the lease and in addition ensure that financial reporting is accurate and fully transparent.

The primary reason we require this service to be delivered accurately is that we pass through all head landlord service charges to the occupiers of our buildings and accordingly we need to be in a position to demonstrate to our occupiers that all charges that we pass through are fully transparent and auditable.

Initially NHSPS requires the following elements of the scope detailed below to be delivered:

• landlord service charges – cost recovery.

As the contract progresses NHSPS may require to call on the supplier to provide the following elements of the scope:

• landlord service charge – best practice/service charge management,

• landlord insurance recharges – cost recovery,

• landlord insurance recharges – best practices/landlord insurance recharge management.

II.1.5) Estimated total value

Value excluding VAT: 660 000.00  GBP

II.1.6) Information about lots

This contract is divided into lots: No

II.2) Description

II.2.2) Additional CPV code(s)

70332200

71315200

II.2.3) Place of performance

NUTS code:

UK

II.2.4) Description of the procurement

NHSPS has approximately 900 leased properties in its portfolio located across seven geographical regions and in many cases service charges and/or buildings insurance premiums are demanded by the landlord. In the first 6 months YTD of 2020/21, NHSPS has paid out c. GBP 13 million in landlord service charges across c. 600 headleases. In addition, we have paid out landlord service charges in excess of GBP 25 000 (YTD) at 144 of these headleases, and the 50 most expensive service charges (GBP 70 000 YTD and above) account for c. 50 % of the total paid out YTD.

Headlease interests held by NHSPS fall into two broad categories, commercial landlords and NHS Family landlords. Commercial landlords comprise a broad mixture of institutions, local authorities, JVs and management companies. NHS Family landlords comprise NHS Trusts and GPs. Where the landlord is a commercial entity the initial focus of this instruction will be to regularise all accounting matters and scrutinise documentation to eradicate (and where relevant seek reimbursement of) any charges that are not consistent with the headlease. As a member of the NHS Family, NHSPS adopts a more conciliatory approach with NHS Landlords and provides both support and advice to encourage best practice to be adopted where the headlease requires the landlord to administer a service charge or entitles the landlord to recover buildings insurance premiums.

We now require a consultant with a proven track record to assist our property management teams in ensuring that landlords discharge their liabilities in respect of service charges and buildings insurance recharges in a manner consistent with the lease and in addition ensure that financial reporting is accurate and fully transparent.

The primary reason we require this service to be delivered accurately is that we pass through all head landlord service charges to the occupiers of our buildings and accordingly we need to be in a position to demonstrate to our occupiers that all charges that we pass through are fully transparent and auditable.

Initially NHSPS requires the following elements of the scope detailed below to be delivered:

• landlord service charges – cost recovery.

As the contract progresses NHSPS may require to call on the supplier to provide the following elements of the scope:

• landlord service charge – best practice/service charge management;

• landlord insurance recharges – cost recovery;

• landlord insurance recharges – best practices/landlord insurance recharge management.

II.2.5) Award criteria

Price is not the only award criterion and all criteria are stated only in the procurement documents

II.2.6) Estimated value

Value excluding VAT: 660 000.00  GBP

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

Start: 14/12/2020

This contract is subject to renewal: No

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

II.2.10) Information about variants

Variants will be accepted: No

II.2.11) Information about options

Options: No

II.2.13) Information about European Union funds

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

Section IV: Procedure

IV.1) Description

IV.1.1) Type of procedure

Restricted procedure

IV.1.8) Information about Government Procurement Agreement (GPA)

The procurement is covered by the Government Procurement Agreement: Yes

IV.2) Administrative information

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

Date: 06/11/2020

Local time: 17:00

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

EN

Section VI: Complementary information

VI.1) Information about recurrence

This is a recurrent procurement: No

VI.4) Procedures for review

VI.4.1) Review body

NHS Property Services Ltd

London

UK

VI.5) Date of dispatch of this notice

12/10/2020

Coding

Commodity categories

ID Title Parent category
75122000 Administrative healthcare services Administrative services of agencies
71315200 Building consultancy services Building services
70332200 Commercial property management services Non-residential property services

Delivery locations

ID Description
100 UK - All

Alert region restrictions

The buyer has restricted the alert for this notice to suppliers based in the following regions.

ID Description
There are no alert restrictions for this notice.

About the buyer

Main contact:
vee.sian@property.nhs.uk
Admin contact:
N/a
Technical contact:
N/a
Other contact:
N/a

Further information

Date Details
No further information has been uploaded.

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