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West Marina Land Disposal and Development

Hastings Borough Council

This public procurement record has 1 release in its history.

Award

13 Oct 2021 at 15:31

Award Notice
Summary of the contracting process

The procurement process for the West Marina Land Disposal and Development, initiated by Hastings Borough Council, is now complete. This project, classified under the construction industry, involves the redevelopment of a long-vacant site located on Seaside Road, St Leonards-on-Sea. The contract, awarded on 8 October 2021, has a total value of £35 million and aims to create a mixture of commercial and residential developments, including at least 125 residential units and various other facilities. The procurement method was a limited procedure without prior publication of a call for competition, and the primary focus was on deliverability, experience, and financial offer as criteria for awarding the contract.

This tender presents significant opportunities for businesses in construction and development, especially those with experience in mixed-use projects. Companies that specialise in urban regeneration, residential housing, and commercial construction will find this project particularly relevant. Given the minimum requirements for residential units and commercial spaces, firms that can demonstrate a track record of successfully delivering similar developments are well-positioned to compete in future tenders within this category. Collaboration with local authorities and adherence to community regeneration needs will also enhance bidding prospects in similar contracts.

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Notice Information

Notice Title

West Marina Land Disposal and Development

Notice Description

A developmant agreement for commercial and residential development of land at West Marina, Seaside Road, St Leonards on sea and associated grant of leases and transfers of freehold properties

Lot Information

Lot 1

Hastings Borough Council ("the Council") has entered into an agreement with West Marina St Leonards Limited ("WMSLL") for the development and disposal of land at West Marina, Seaside Road, St Leonards-on-sea ("West Marina"). West Marina has been largely vacant for over 30 years following the closure of the former lido. The site represents an opportunity for land to be developed to create a high quality development which can help regenerate the area. Development of the site includes a mix of residential units (including some affordable housing) as well as commercial units, beach huts and "glamping spaces". The arrangements entails a minimum of 1,500 sqm of buildings comprising workshops / live works space within sui generis use class, 50 beach huts and 12 glamping huts as well as a minimum of 125 residential buildings and a car park. The Council invited proposals from two bidders, from which its preferred partner has been selected. Additional information: The Council has entered into a contract to WMSLL which is wholly owned by County Gate Properties Holdings Limited ("County Gate"). County Gate's bid is guaranteed by the Generator Group Holdings Limited who replaced County Gate's original proposed guarantor Sunley Holdings Limited.

Procurement Information

The Council considers that the contract entered into between the Council and WMSLL for the West Marina Development and Land Disposal falls outside the scope of Public Contract Regulations 2015 (PCR) as the main object of the transaction is a land transaction and not a public works contract. Therefore the Council relies on Regulation 10(1)(a) PCR, alternatively that the definition of a public works contract is not met. The Council considers that the contractual arrangements with WMSSL do not fall within the definition of a public works contract for the following reasons: (1) In respect of the land intended for residential use, the freehold will be transferred to WMSLL for a nominal value. Whilst the Council has stipulated the minimum number of residential units (125) and will be able to request variations to the plans and specifications for the construction of the residential units, WMSLL retain the absolute discretion to approve such variations. In relation to the land intended for the commercial use, the Council will dispose of this by way of a 250 year lease. The Council has specified a minimum number of 1,500 sqm of buildings comprising workshops / live works space within sui generis use class, 50 beach huts and 12 glamping huts. The Council has the right to approve the planning application in so far as it relates to the commercial development. The Council may (before the development commences) request variations to the plans and specifications for the construction of the commercial developments and WSMLL must not unreasonably withhold its approval of any such variation (although it may do so if the variation would, in WSMLL's reasonable opinion, have a significant adverse financial consequence to WSMLL). There is no absolute obligation on WMSLL to carry out the works as it has a right to issue a notice of unsatisfactory survey and subsequently terminate the agreement. (2) In terms of economic benefit, as said above, the freehold of the residential units will be transferred to WMSLL following completion of the development albeit that the Council will have pre-emption rights over fifteen residential units for purchase at market value with a 5% discount if the Council purchases six or more units. The Council will not retain nomination rights in relation to the affordable housing units. For the commercial units, in consideration of the grant of the 250 year lease the Council will derive a rent. The rent is fixed at a minimum amount. There is an additional rent paid in the form of 50% of the profits generated by the commercial units once the commercial development has been completed. Given the length of the lease, the Council does not anticipate to obtain an economic benefit from the development itself as by the time the land reverts back to the Council the works are likely to no longer exist. The Council therefore considers that the contract is outside the scope of the PCR.

Notice Details

Publication & Lifecycle

Open Contracting ID
ocds-h6vhtk-02eb6c
Publication Source
Find A Tender Service
Latest Notice
https://www.find-tender.service.gov.uk/Notice/025599-2021
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
SME

Common Procurement Vocabulary (CPV)

CPV Divisions

45 - Construction work

CPV Codes

45000000 - Construction work

Notice Value(s)

Tender Value
Not specified
Lots Value
Not specified
Awards Value
Not specified
Contracts Value
£35,000,000 £10M-£100M

Notice Dates

Publication Date
13 Oct 20214 years ago
Submission Deadline
Not specified
Future Notice Date
Not specified
Award Date
8 Oct 20214 years ago
Contract Period
Not specified - Not specified
Recurrence
Not specified

Notice Status

Tender Status
Complete
Lots Status
Cancelled
Awards Status
Active
Contracts Status
Active

Buyer & Supplier

Contracting Authority (Buyer)

Main Buyer
Hastings Borough Council
Contact Name
Available with D3 Tenders Premium →
Contact Email
Available with D3 Tenders Premium →
Contact Phone
Available with D3 Tenders Premium →

Buyer Location

Locality
HASTINGS
Postcode
TN34 3UY
Postcode Area
Tonbridge
Country
England
Major Region (ITL 1)
TLJ South East (England)
Basic Region (ITL 2)
TLJ2 Surrey, East and West Sussex
Small Region (ITL 3)
TLJ22 East Sussex CC
Delivery Location
TLJ22 East Sussex CC
Local Authority
Hastings
Electoral Ward
Castle
Westminster Constituency
Hastings and Rye

Supplier Information

Number of Suppliers
1
Supplier Name

West Marina St Leonards Limited

Further Information

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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