Notice Information
Notice Title
Retail Development
Notice Description
The Shrewsbury and Telford Hospital NHS Trust ("SATH") intends to enter into contractual arrangements with Noviniti Dev Co 1 Limited ("Noviniti") and Compass Contract Services (UK) Limited ("Compass") and Compass Group (UK and Ireland) Limited (as Guarantor) in respect of a new retail and administrative use development being constructed by SATH at the Princess Royal Hospital in Telford ("the Hospital") ("the Building") . The documents to be executed by SATH comprise a Principal Agreement for Underleases ("S2AFL") and a Licence for Alterations ("LTA") to be granted to Noviniti to permit Noviniti to undertake internal alterations and fit-out works pursuant to Noviniti's lease of the ground floor of the Building ("Noviniti Works"). The contractual arrangements are structured as a land transaction exempt from the Public Contracts Regulations 2015 ("PCR") and the Concession Contracts Regulations 2016 ("CCR").
Lot Information
Lot 1
SATH intends to enter into the S2AFL with Noviniti, Compass and the Guarantor and the LTA with Noviniti. Under the S2AFL and the LTA, Noviniti has the right to undertake the Noviniti Works at the Building. Following completion of the Noviniti Works, Noviniti will grant leases of the retail space to Compass and a lease of the communal space to SATH. SATH will be obliged to accept leases of the retail space directly from Noviniti if Compass defaults. SATH has structured the contractual arrangements as a land transaction exempt from the Public Contracts Regulations 2015 and the Concession Contracts Regulations 2016.
Procurement Information
The subject of this notice is the proposal by SATH to enter into the contractual arrangements contained in the S2AFL and the LTA. These arrangements follow-on from the Agreement for Lease dated 19 May 2023 entered into between SATH and Noviniti ("S1AFL") relating to the grant to Noviniti of a lease of the ground floor of the Building for a term of 33 years ("the Noviniti Lease"). Completion of that lease will take place following completion by SATH of the relevant parts of the building works being undertaken by SATH in the construction of the Building. The S1AFL was the subject of a VEAT Notice published by SATH on 6 April 2023.<br/><br/>Under the terms of the S2AFL Noviniti is not obliged to undertake the Noviniti Works but if it fails to do so, SATH may terminate the Noviniti Lease. the Noviniti Lease contains a break right in favour of SATH in the event that Noviniti does not commence the Noviniti Works by an agreed deadline. It has a similar break right where Noviniti fails to complete the Noviniti Works by an agreed deadline. <br/>Where Noviniti completes the Noviniti Works then under the S2AFL it may call for Compass and the Guarantor to accept leases of the retail areas within the Building for a term of 15 years and for SATH to accept reversionary leases of those areas for a further term of 15 years. (There is also a provision for SATH to accept a lease of the communal areas of the Building at a peppercorn rent and to accept a sublease from Compass of one of the retail units at a peppercorn rent.) <br/>SATH considers that the arrangements fall within the land exemption under Regulation 10(1)(a) PCR and/or regulation 10(11)(a) CCR.<br/><br/>Noviniti is under no obligation to serve notice to elect to carry out the Noviniti Works. No public works contract arises due to the lack of an enforceable obligation. <br/><br/>Following completion of the Noviniti Lease Noviniti has the exclusive right to undertake the Noviniti Works for as long as the Noviniti Lease remains in operation and until such time as any of SATH break rights under the Noviniti Lease become capable of exercise.
Notice Details
Publication & Lifecycle
- Open Contracting ID
- ocds-h6vhtk-03bd40
- Publication Source
- Find A Tender Service
- Latest Notice
- https://www.find-tender.service.gov.uk/Notice/018873-2023
- 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
-
- CPV Codes
45213100 - Construction work for commercial buildings
Notice Value(s)
- Tender Value
- Not specified
- Lots Value
- Not specified
- Awards Value
- Not specified
- Contracts Value
- Not specified
Notice Dates
- Publication Date
- 3 Jul 20232 years ago
- Submission Deadline
- Not specified
- Future Notice Date
- Not specified
- Award Date
- 2 Apr 20232 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
Buyer & Supplier
Contracting Authority (Buyer)
- Main Buyer
- THE SHREWSBURY AND TELFORD HOSPITAL NHS TRUST
- Contact Name
- Will Nabih
- Contact Email
- w.nabih@nhs.net
- Contact Phone
- +44 1743261456
Buyer Location
- Locality
- SHREWSBURY
- Postcode
- SY3 8XQ
- Post Town
- Shrewsbury
- Country
- England
-
- Major Region (ITL 1)
- TLG West Midlands (England)
- Basic Region (ITL 2)
- TLG2 Shropshire and Staffordshire
- Small Region (ITL 3)
- TLG22 Shropshire
- Delivery Location
- TLG21 Telford and Wrekin
-
- Local Authority
- Shropshire
- Electoral Ward
- Bowbrook
- Westminster Constituency
- Shrewsbury
Further Information
Notice URLs
Open Contracting Data Standard (OCDS)
View full OCDS Record for this contracting process
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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