3 Thames Road Newham - residential Agreement for Lease

{
    "tag": [
        "compiled"
    ],
    "id": "ocds-h6vhtk-030575-2021-12-23T16:09:16Z",
    "date": "2021-12-23T16:09:16Z",
    "ocid": "ocds-h6vhtk-030575",
    "initiationType": "tender",
    "tender": {
        "id": "ocds-h6vhtk-030575",
        "legalBasis": {
            "id": "32014L0024",
            "scheme": "CELEX"
        },
        "title": "3 Thames Road Newham - residential Agreement for Lease",
        "status": "complete",
        "classification": {
            "scheme": "CPV",
            "id": "45211360",
            "description": "Urban development construction work"
        },
        "mainProcurementCategory": "works",
        "description": "The Contracting Authority proposes to enter into an Agreement for Lease with a developer and a proposed landowner under which, if the developer develops 161 residential units (comprising a mixture of private rent, discount market rent and London affordable rent units) at 3 Thames Road, Newham by an agreed longstop date, the Contracting Authority will take a 50-year lease of the property, with an agreement to purchase the reversion at the end of the lease term.",
        "lots": [
            {
                "id": "1",
                "description": "The Contracting Authority proposes to enter into an Agreement for Lease with a developer and a proposed landowner under which, if the developer develops 161 residential units (comprising a mixture of private rent, discount market rent and London affordable rent units) at 3 Thames Road, Newham by an agreed longstop date, the Contracting Authority will take a 50-year lease of the property, with an agreement to purchase the reversion at the end of the lease term. Additional information: The total value of the procurement referred in 11.1.7 above does not take account of inflationary rent increases during the 50 year lease term.",
                "hasOptions": true,
                "options": {
                    "description": "The Contracting Authority will have an option to purchase the freehold reversion from the landlord for PS1, at the end of the 50-year term of the Lease. The landlord will also be able to require the Contracting Authority to purchase the freehold reversion for PS1, at the end of the 50-year term of the Lease."
                }
            }
        ],
        "items": [
            {
                "id": "1",
                "additionalClassifications": [
                    {
                        "scheme": "CPV",
                        "id": "45211300",
                        "description": "Houses construction work"
                    },
                    {
                        "scheme": "CPV",
                        "id": "45211340",
                        "description": "Multi-dwelling buildings construction work"
                    },
                    {
                        "scheme": "CPV",
                        "id": "45211341",
                        "description": "Flats construction work"
                    },
                    {
                        "scheme": "CPV",
                        "id": "45211350",
                        "description": "Multi-functional buildings construction work"
                    },
                    {
                        "scheme": "CPV",
                        "id": "45215214",
                        "description": "Residential homes construction work"
                    }
                ],
                "deliveryAddresses": [
                    {
                        "region": "UKI41"
                    }
                ],
                "deliveryLocation": {
                    "description": "3 Thames Road, Royal Docks, Newham E16 2EZ"
                },
                "relatedLot": "1"
            }
        ],
        "procurementMethod": "limited",
        "procurementMethodDetails": "Award procedure without prior publication of a call for competition",
        "coveredBy": [
            "GPA"
        ],
        "procurementMethodRationaleClassifications": [
            {
                "scheme": "TED_PT_AWARD_CONTRACT_WITHOUT_CALL",
                "id": "D_OUTSIDE_SCOPE",
                "description": "The procurement falls outside the scope of application of the directive"
            }
        ],
        "procurementMethodRationale": "The Contracting Authority (CA) proposes entering into a conditional agreement for lease (AfL) with R Blue Regen TR Limited (Developer), Reef Estates Limited (Guarantor), and Pension Insurance Corporation Plc (proposed Landowner, a pension fund which will own the Site). Under the AfL, if the Developer develops 161 residential units (the Development, a mixture of private rent, discount market rent (DMR), and London affordable rent units) at 3 Thames Road, Newham (Site) by a longstop date, CA will take a 50-year lease of the Site, acquiring the reversion on lease expiry. The AfL will be conditional on the Landowner completing Site acquisition, and on a resolution for supplemental planning consent for intermediate affordable homes to be used as DMR homes. The AfL won't require the Developer to carry out the Development, although it specifies that if the Developer starts the Development, it mustn't depart from a specification in the AfL. If the Developer doesn't complete the Development by the agreed longstop, or departs from the AfL specification, CA can terminate the AfL and not take the Lease, or still take the Lease. If the Developer practically completes the Development by an agreed longstop, the supplemental planning consent having been issued and in place for an 8-week lead-in period, CA takes the Lease. CA pays an PS8,200,000 premium (Premium) to the Landowner, on Lease grant, then PS1,935,000 annual rent (index-linked). Under a separate funding agreement between the Landowner and the Developer, the Landowner will fund the Development, including paying a profit to the Developer if the Developer completes the Development and CA takes the Lease. If the Developer fails to complete the Development or becomes insolvent, the funding agreement will give the Landowner funder's rights to step into the AfL and complete the Development. If the Landowner then completes the Development by a longstop, CA still takes the Lease. If the Landowner steps into the AfL as above, CA will, as a deposit, pay an advance payment of the Premium to the Landowner. If the Landowner steps into the AfL but doesn't finish the Development by a longstop, and/or departs from the AfL specification, CA can terminate the AfL and not take the Lease, the Landowner repaying the Premium to CA, or CA can still take the Lease. For the above reasons, CA considers that the AfL does not constitute a public works contract under the Public Contracts Regulations 2015, but is an exempt land transaction."
    },
    "awards": [
        {
            "id": "032254-2021-1",
            "relatedLots": [
                "1"
            ],
            "status": "active",
            "suppliers": [
                {
                    "id": "GB-FTS-39122",
                    "name": "R Blue Regen TR Limited"
                },
                {
                    "id": "GB-FTS-39123",
                    "name": "Reef Estates Limited"
                },
                {
                    "id": "GB-FTS-39124",
                    "name": "Pension Insurance Corporation Plc"
                }
            ]
        }
    ],
    "parties": [
        {
            "id": "GB-FTS-39121",
            "name": "LONDON BOROUGH OF NEWHAM",
            "identifier": {
                "legalName": "LONDON BOROUGH OF NEWHAM"
            },
            "address": {
                "streetAddress": "1000 Dockside Road",
                "locality": "London",
                "region": "UKI41",
                "postalCode": "E16 2QU",
                "countryName": "United Kingdom"
            },
            "contactPoint": {
                "name": "Andrew Ireland",
                "telephone": "+44 2033737104",
                "email": "andrew.ireland@newham.gov.uk"
            },
            "roles": [
                "buyer"
            ],
            "details": {
                "url": "https://www.newham.gov.uk",
                "classifications": [
                    {
                        "scheme": "TED_CA_TYPE",
                        "id": "REGIONAL_AUTHORITY",
                        "description": "Regional or local authority"
                    },
                    {
                        "scheme": "COFOG",
                        "id": "06",
                        "description": "Housing and community amenities"
                    }
                ]
            }
        },
        {
            "id": "GB-FTS-39122",
            "name": "R Blue Regen TR Limited",
            "identifier": {
                "legalName": "R Blue Regen TR Limited"
            },
            "address": {
                "streetAddress": "51 Welbeck St",
                "locality": "London",
                "region": "UKI32",
                "postalCode": "W1G 9HL",
                "countryName": "United Kingdom"
            },
            "contactPoint": {
                "telephone": "+44 7747536644",
                "email": "ekievenaar@reefgroup.co.uk"
            },
            "roles": [
                "supplier"
            ],
            "details": {
                "url": "http://www.reefgroup.co.uk/contact",
                "scale": "large"
            }
        },
        {
            "id": "GB-FTS-39123",
            "name": "Reef Estates Limited",
            "identifier": {
                "legalName": "Reef Estates Limited"
            },
            "address": {
                "streetAddress": "51 Welbeck Street",
                "locality": "London",
                "region": "UKI32",
                "postalCode": "W1G 9HL",
                "countryName": "United Kingdom"
            },
            "contactPoint": {
                "telephone": "+44 7747536644",
                "email": "ekievenaar@reefgroup.co.uk"
            },
            "roles": [
                "supplier"
            ],
            "details": {
                "url": "https://www.reefgroup.co.uk/contact",
                "scale": "large"
            }
        },
        {
            "id": "GB-FTS-39124",
            "name": "Pension Insurance Corporation Plc",
            "identifier": {
                "legalName": "Pension Insurance Corporation Plc"
            },
            "address": {
                "streetAddress": "14 Cornhill",
                "locality": "London",
                "region": "UKI31",
                "postalCode": "EC3V 3ND",
                "countryName": "United Kingdom"
            },
            "contactPoint": {
                "telephone": "+44 8006527000",
                "email": "cawthorn@pensioncorporation.com"
            },
            "roles": [
                "supplier"
            ],
            "details": {
                "url": "https://www.pensioncorporation.com/",
                "scale": "large"
            }
        },
        {
            "id": "GB-FTS-39125",
            "name": "Her Majesty's High Court of Justice in England",
            "identifier": {
                "legalName": "Her Majesty's High Court of Justice in England"
            },
            "address": {
                "streetAddress": "Royal Courts of Justice, Strand",
                "locality": "London",
                "postalCode": "WC2A 2LL",
                "countryName": "United Kingdom"
            },
            "contactPoint": {
                "telephone": "+44 2079476000"
            },
            "roles": [
                "reviewBody"
            ],
            "details": {
                "url": "https://www.judiciary.uk/you-and-the-judiciary/going-to-court/high-court/"
            }
        }
    ],
    "buyer": {
        "id": "GB-FTS-39121",
        "name": "LONDON BOROUGH OF NEWHAM"
    },
    "contracts": [
        {
            "id": "032254-2021-1",
            "awardID": "032254-2021-1",
            "status": "active",
            "value": {
                "amount": 104950000,
                "currency": "GBP"
            },
            "dateSigned": "2021-11-02T00:00:00Z"
        }
    ],
    "language": "en"
}