Award

Basildon University Hospital main entrance and retail facility

MID AND SOUTH ESSEX NHS FOUNDATION TRUST

This public procurement record has 1 release in its history.

Award

22 Mar 2021 at 10:22

Summary of the contracting process

The procurement process involves the Mid and South Essex NHS Foundation Trust (MSEFT), which has completed a tender for the construction of a new main entrance and retail facility at Basildon University Hospital, located in Basildon, United Kingdom. This project is classified under the construction works category, with the procurement method being limited and structured to award a Ground Lease to Noviniti Dev Co 8 Ltd. Key dates include the contract sign date of 22nd March 2021, with the option agreement running for an initial period of 39 weeks. The arrangement is a land transaction exempt from the Public Contracts Regulations 2015.

This tender represents an excellent opportunity for construction and retail businesses looking to expand their operations, particularly those experienced in health facility construction and retail trade services. Companies capable of undertaking substantial construction projects or those looking to develop retail spaces aligned with health services would find this procurement process advantageous. With a significant contract value between £6.5 million and £8 million, businesses in these sectors should consider engaging with MSEFT to explore potential collaborations or bids for future projects, especially as the groundwork and planning permissions evolve.

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Notice Title

Basildon University Hospital main entrance and retail facility

Notice Description

IV Mid and South Essex NHS Foundation Trust ("MSEFT") intends to enter into an option agreement and ground lease with Noviniti Dev Co 8 Ltd ("Noviniti") in respect of a new main entrance and retail development at Basildon University Hospital, Basildon ("the Hospital"). MSEFT has structured the contractual arrangement as a land transaction exempt from the Public Contracts Regulations 2015.

Lot Information

Lot 1

MSEFT intends to enter into an option agreement and Ground Lease with Noviniti in respect of a new main entrance and retail development at the Hospital. MSEFT has structured the contractual arrangement as a land transaction exempt from the Public Contracts Regulations 2015.

Procurement Information

The subject of this notice is an agreement to be entered into between MSEFT and Noviniti for the grant of an option entitling Noviniti to call for the grant of a 35 years Ground Lease of part of MSEFT's freehold land at the Hospital. The area which will be subject to the option is defined within the option agreement and the option period will run for an initial period of 39 weeks (subject to extension). MSEFT has had valuation advice and will grant the Ground Lease at a premium which reflects market value. If Noviniti exercises the option and calls for the grant of the Ground Lease that Ground Lease will be for a period of up to 35 years. The Ground Lease is subject to break clauses in favour of MSEFT after 2 years and again at an agreed date reflecting the 30th anniversary of practical completion of the Potential Development (as defined below) by Noviniti. The Ground Lease anticipates that Noviniti may choose (but with no obligation to do so) to undertake a Permitted Alteration (in accordance with a Licence for Alterations that may be entered into) of a building extension at the Hospital for retail and ancillary uses (the "Potential Development"). The detail of the Potential Development will have been agreed between MSEFT and Noviniti prior to the grant of the option agreement. MSEFT has a right to terminate the Ground Lease if Noviniti has not commenced the works comprising the Potential Development by the date 2 years after the date of the Ground Lease. MSEFT will have obligations to use reasonable endeavours to assist Noviniti in dealing with matters relating to the planning permission for the Potential Development including entering into third party agreements necessary to facilitate the Potential Development. The exercise of the option by Noviniti to call for the Ground Lease does not trigger any obligation on Noviniti to undertake or on MSEFT to procure the Potential Development. If Noviniti decides to undertake the Potential Development, (and if MSEFT subsequently so decides) Noviniti and MSEFT may enter into an agreement for lease. The agreement for underlease would allow Noviniti to grant an underlease of the completed development to a third party operator for part of the term of the Ground Lease and a reversionary underlease to MSEFT for the remainder of the term of the Ground Lease. If that agreement is reached MSEFT anticipates that MSEFT, Noviniti and any third party operator will enter into further documents including the agreement for lease, a licence for alterations and underleases of the completed development.

Publication & Lifecycle

Open Contracting ID
ocds-h6vhtk-029dcc
Publication Source
Find A Tender Service
Latest Notice
https://www.find-tender.service.gov.uk/Notice/005723-2021
Current Stage
Award
All Stages
Award

Procurement Classification

Notice Type
Award Notice
Procurement Type
Standard
Procurement Category
Works
Procurement Method
Limited
Procurement Method Details
Award procedure without prior publication of a call for competition
Tender Suitability
Not specified
Awardee Scale
Large

Common Procurement Vocabulary (CPV)

CPV Divisions

45 - Construction work

55 - Hotel, restaurant and retail trade services


CPV Codes

45000000 - Construction work

45214710 - Entrance hall construction work

45215100 - Construction work for buildings relating to health

45215140 - Hospital facilities construction work

55900000 - Retail trade services

Notice Value(s)

Tender Value
Not specified
Lots Value
Not specified
Awards Value
Not specified
Contracts Value
Not specified

Notice Dates

Publication Date
22 Mar 20214 years ago
Submission Deadline
Not specified
Future Notice Date
Not specified
Award Date
22 Mar 20214 years ago
Contract Period
Not specified - Not specified
Recurrence
Not specified

Notice Status

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

Contracting Authority (Buyer)

Main Buyer
MID AND SOUTH ESSEX NHS FOUNDATION TRUST
Contact Name
Tracey Leforte
Contact Email
tracey.leforte@southend.nhs.uk
Contact Phone
+44 1702508120

Buyer Location

Locality
BASILDON
Postcode
SS16 5NL
Post Town
Southend-on-Sea
Country
England

Major Region (ITL 1)
TLH East (England)
Basic Region (ITL 2)
TLH3 Essex
Small Region (ITL 3)
TLH37 Essex Thames Gateway
Delivery Location
TLH37 Essex Thames Gateway

Local Authority
Basildon
Electoral Ward
Langdon Hills
Westminster Constituency
South Basildon and East Thurrock

Supplier Information

Number of Suppliers
1
Supplier Name

NOVINITI DEV CO 8

Open Contracting Data Standard (OCDS)

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The Open Contracting Data Standard (OCDS) is a framework designed to increase transparency and access to public procurement data in the public sector. It is widely used by governments and organisations worldwide to report on procurement processes and contracts.

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