Award

Delivery Partner Panel 3 - North East, Yorkshire & The Humber Lot, Cottingwood - St Georges Phase 1, Morpeth, Northumberland - Modification Notice

HOMES ENGLAND (THE NAME ADOPTED BY THE HOMES AND COMMUNITIES AGENCY)

This public procurement record has 1 release in its history.

Award

19 Jul 2024 at 14:04

Summary of the contracting process

Home England has awarded a contract for the Delivery Partner Panel 3 project in Northumberland. The contract, with a value of £88,200,000, falls under the construction works category. The procurement method used was Other. The tender period ended on 5th November 2021, and the contract period runs from 1st April 2022 to 31st March 2030.

This opportunity, suitable for SMEs, presents a chance for businesses to participate in a residential development project to deliver 260 homes, with 15% of them being affordable housing. Companies in the construction industry, especially those experienced in residential developments, would be well-suited to compete for this tender and contribute to the growth of their business.

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Notice Title

Delivery Partner Panel 3 - North East, Yorkshire & The Humber Lot, Cottingwood - St Georges Phase 1, Morpeth, Northumberland - Modification Notice

Notice Description

Homes England's Cottingwood Phase 1 site at the former St Georges Hospital, Morpeth is a residential development delivering 260 homes with 15% affordable. This was originally procured via Homes England's Development Partner Panel 3 (DPP3) during 2021/22. The purpose of this additional contract notice is to provide explanation of a modification that has become necessary since the original contract was agreed. The details of this modification are provided below. Please note that contract dates have been revised to reflect the updated timescale and the value has been increased to reflect the updated Gross Development Value (GDV). Costs have increased to a higher degree resulting in the reduction in land value outlined in the additional details section. This notice and the previous notice do not disclose the land value for commercial sensitivity reasons. Additional information: The purpose of this additional contract award notice is to fulfil transparency obligations necessary to validate the modification of the contract during its term. The original award notice's reference was THCA001-DN536322-77438466. The ground for this modification is 'the need for modification brought about by circumstances which a diligent contracting authority/entity could not foresee' (Regulation 72.1(c)). The land value, as assessed at the time of the tender, has reduced by 17.1% in net present value terms. This change does not undermine the original award decision and is within 50% of the original tendered value permitted by this ground. A Supplemental Agreement was exchanged between Homes England and BDW Trading Limited on 28th June 2024 to reflect the approved changes to the land price as a result of the macroeconomic impacts experienced since the Agreement for Lease was exchanged on 31st March 2022. The macroeconomic impacts are principally cost inflation, which has outweighed forecast value growth, and a requirement to extend the build programme due to the current and projected delivery and sales pace. The impact on the land price has been mitigated by changes to other commercial terms.

Publication & Lifecycle

Open Contracting ID
ocds-b5fd17-41d0f680-c19a-49ef-b628-375c4e44f2c5
Publication Source
Contracts Finder
Latest Notice
https://www.contractsfinder.service.gov.uk/Notice/78f870f8-0c25-4fd6-9f32-cd9ea2fe109d
Current Stage
Award
All Stages
Award

Procurement Classification

Notice Type
Award Notice
Procurement Type
Standard
Procurement Category
Works
Procurement Method
Not Specified
Procurement Method Details
Other -
Tender Suitability
SME
Awardee Scale
Large

Common Procurement Vocabulary (CPV)

CPV Divisions

45 - Construction work


CPV Codes

45000000 - Construction work

Notice Value(s)

Tender Value
£88,200,000 £10M-£100M
Lots Value
Not specified
Awards Value
£88,200,000 £10M-£100M
Contracts Value
Not specified

Notice Dates

Publication Date
19 Jul 20241 years ago
Submission Deadline
5 Nov 2021Expired
Future Notice Date
Not specified
Award Date
24 Feb 20224 years ago
Contract Period
31 Mar 2022 - 31 Mar 2030 Over 5 years
Recurrence
Not specified

Notice Status

Tender Status
Complete
Lots Status
Not Specified
Awards Status
Active
Contracts Status
Not Specified

Contracting Authority (Buyer)

Main Buyer
HOMES ENGLAND (THE NAME ADOPTED BY THE HOMES AND COMMUNITIES AGENCY)
Contact Name
Not specified
Contact Email
etendering@homesengland.gov.uk
Contact Phone
Not specified

Buyer Location

Locality
NEWCASTLE UPON TYNE
Postcode
NE4 5BZ
Post Town
Newcastle upon Tyne
Country
England

Major Region (ITL 1)
TLC North East (England)
Basic Region (ITL 2)
TLC4 Northumberland, Durham and Tyne & Wear
Small Region (ITL 3)
TLC43 Tyneside
Delivery Location
TLC North East (England), TLD North West (England), TLF East Midlands (England), TLG West Midlands (England), TLH East (England), TLJ South East (England), TLK South West (England)

Local Authority
Newcastle upon Tyne
Electoral Ward
Arthur's Hill
Westminster Constituency
Newcastle upon Tyne Central and West

Supplier Information

Number of Suppliers
1
Supplier Name

BARRATT DEVELOPMENTS

Open Contracting Data Standard (OCDS)

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