Award

The redevelopment of part of London Liverpool Street Station.

NETWORK RAIL INFRASTRUCTURE LTD

This public procurement record has 1 release in its history.

Award

10 Dec 2021 at 22:45

Summary of the contracting process

The public procurement process involves the redevelopment of part of London Liverpool Street Station by Network Rail Infrastructure Limited (NR). The contract is classified under the category of railway station construction work, with an estimated value of £1.55 billion. Currently, the procurement stage is at the award level, with the related award to Mersey 1 Limited having been signed on 10 December 2021. The award criterion for this contract does not allow for options, and the procurement method followed is a limited procedure, allowing for negotiation without prior publication. The expected completion of the negotiations is by 25 January 2023.

This redevelopment presents significant opportunities for businesses involved in various construction sectors, particularly those specialising in urban development, hotel construction, and engineering design services. Companies with expertise in major infrastructure projects, including those experienced in transforming rail station environments, will find themselves well-positioned to compete. The strategic need for improved accessibility and permeability at one of the UK’s busiest stations makes this tender particularly vital, enabling growth for small to large firms that can contribute innovative solutions to enhance passenger experiences and facility access.

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Notice Title

The redevelopment of part of London Liverpool Street Station.

Notice Description

This notice is published by Network Rail Infrastructure Limited (NR). It relates to negotiations with Mersey 1 Limited (the JV), a joint venture led by Sellar Property Group NR is commencing commercial negotiations for a proposed agreement in relation to the redevelopment of part of Liverpool Street Station with the JV, which holds exclusive rights in relation to that part of the station and is in a unique position (as described further in Sections II.2.4 and IV.1.1 of this notice). Please note that, due to the early stage in the procurement process, any dates and values stated in this notice are entirely indicative and have been completed only due to mandatory fields in the notice format. These are highly likely to change as the procurement progresses. Costs to complete the overall project are currently estimated on a very preliminary basis to be in the order of PS1.55bn. The date in V.2.1 should be disregarded when viewing this notice, it is the date of sending this notice and is completed only as it is a mandatory field which does not enable a date in the future to be entered. The current indicative date for an award is 25 January 2023.

Lot Information

Lot 1

NR is commencing negotiations with the JV with a view to entering into a development agreement for the redevelopment of a part of London Liverpool Street Station. The station is a terminus station located in the City of London and in NR's Anglia Route of its Eastern Region. The national rail station has 17 platforms below street level. It provides connections to the London Underground, buses and taxis from its southern station concourse, which is also below street level. The Broadgate Estate surrounds the northern, western and eastern sides of the station and 50 Liverpool Street and the Andaz hotel are located in the south-eastern corner. There are two main southern entrances to the station. One (the South Entrance) adjoins Liverpool Street, between 50 Liverpool Street and 100 Liverpool Street. The other (the South Eastern Entrance) adjoins Bishopsgate, between the Andaz hotel and 135 Bishopsgate. 50 Liverpool Street, which adjoins the Andaz hotel, is owned by NR. The JV has exclusive rights in the Andaz hotel. The station is the third busiest in the United Kingdom and has significant overcrowding problems. The current conditions at the station are predicted to get worse as a result of forecast growth in passenger arrivals and interchanges. Consequently, NR has produced a long-term Vision for the station, which outlines its strategic objectives and the critical success factors for achieving the Vision. Improving the presence and efficient permeability and accessibility of the main southern entrances is a strategic objective for achieving NR's Vision for the station. The Andaz hotel is uniquely located to deliver the significant degree of improvement in permeability and accessibility that is required at the station, by enabling the South Entrance to be substantially widened, offering a fundamental expansion of street frontage access (compared to both the current position and any improvements that NR could deliver using its own land and / or land that is currently owned by other third parties). The JV, by virtue of its exclusive rights in the Andaz hotel, is therefore uniquely able to deliver the improved permeability and accessibility of the main southern entrances that is required by NR and, by doing so, to contribute towards the achievement of NR's overall Vision for the station as a whole. The proposed redevelopment will also improve the presence and efficient permeability and accessibility of the main southern entrances by removing 50 Liverpool Street and remodelling the South Eastern Entrance. In addition, the proposed redevelopment to be undertaken by the JV will involve: repurposing the Andaz hotel; construction of a new two-level station concourse with greatly increased circulation space; construction of a new hotel; and construction of a new office building and associated ancillary facilities Additional information: N/A

Procurement Information

The provision of suitable station facilities, including at London Liverpool Street Station (which is a NR managed station), is at the heart of NR's duties as the provider and operator of a GB railway network that delivers an essential public transport service. This notice is being published voluntarily by NR because it is possible that (depending on the final terms of agreement reached with the JV) the development agreement may contain elements of a works concession contract for the purposes of the Concession Contracts Regulations 2016 (CCR) or a works contract for the purposes of the Utilities Contracts Regulations 2016 (UCR). However, even where the CCR or UCR apply to the development agreement, NR is entitled to negotiate, agree and enter into the development agreement with the JV, without prior publication of a concession notice because Regulation 31(6)(b)(iv) of the CCR applies or (alternatively) NR is entitled to use the negotiated procedure without prior call for competition to negotiate, agree and enter into the development agreement with the JV because Regulation 50(1)(c)(iii) of the UCR applies. The relevant works involved in redeveloping the southern part of the station can only be delivered by a particular economic operator (the JV) due to the protection of its exclusive rights. The JV is the only economic operator that can redevelop the southern part of the station in a way that will deliver the required improvements in permeability and accessibility at the station, and by doing so contribute towards the achievement of NR's overall Vision for the station as a whole. For the reasons explained in Section II.2.4, the location of the Andaz hotel is of paramount importance and its inclusion in this part of the redevelopment offers a radical solution to which there is no reasonable alternative or substitute NR's Vision for London Liverpool Street Station sets down its objective requirements for a station that is capable of meeting the needs of passengers and the wider public. The improvements to permeability and accessibility are of particular importance if those needs are to be met. The absence of competition is not, therefore, the result of an artificial narrowing down of the parameters of the procurement. Similarly, given the location of the Andaz hotel and the criticality of the southern entrances, NR considers that no reasonable alternative or substitute exists to pursuing a redevelopment of this part of the station that includes the Andaz hotel site. The JV has exclusive rights in the Andaz hotel site, in the form of a contract to acquire the ownership of the Andaz hotel. There is no other economic operator that has the legal right to develop the Andaz hotel site and to contribute this site to the redevelopment of the part of the station described in this notice.

Publication & Lifecycle

Open Contracting ID
ocds-h6vhtk-030029
Publication Source
Find A Tender Service
Latest Notice
https://www.find-tender.service.gov.uk/Notice/030898-2021
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

50 - Repair and maintenance services

70 - Real estate services

71 - Architectural, construction, engineering and inspection services


CPV Codes

45000000 - Construction work

45111291 - Site-development work

45211360 - Urban development construction work

45212411 - Hotel construction work

45213112 - Shop units construction work

45213150 - Office block construction work

45213320 - Construction work for buildings relating to railway transport

45213321 - Railway station construction work

45230000 - Construction work for pipelines, communication and power lines, for highways, roads, airfields and railways; flatwork

45234100 - Railway construction works

45234125 - Underground railway station

50220000 - Repair, maintenance and associated services related to railways and other equipment

70110000 - Development services of real estate

71220000 - Architectural design services

71322000 - Engineering design services for the construction of civil engineering works

Notice Value(s)

Tender Value
Not specified
Lots Value
Not specified
Awards Value
Not specified
Contracts Value
£1,550,000,000 £1B-£10B

Notice Dates

Publication Date
10 Dec 20214 years ago
Submission Deadline
Not specified
Future Notice Date
Not specified
Award Date
10 Dec 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
NETWORK RAIL INFRASTRUCTURE LTD
Contact Name
Not specified
Contact Email
shehroz.latif@networkrail.co.uk
Contact Phone
+44 1908781000

Buyer Location

Locality
LONDON
Postcode
NW1 2DN
Post Town
North West London
Country
England

Major Region (ITL 1)
TLI London
Basic Region (ITL 2)
TLI3 Inner London - West
Small Region (ITL 3)
TLI36 Camden
Delivery Location
Not specified

Local Authority
Camden
Electoral Ward
Regent's Park
Westminster Constituency
Holborn and St Pancras

Supplier Information

Number of Suppliers
1
Supplier Name

MERSEY 1

Open Contracting Data Standard (OCDS)

View full OCDS Record for this contracting process

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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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