This public procurement record has 1 release in its history.

Award

21 Nov 2023 at 11:27

Summary of the contracting process

The East of England Ambulance Service NHS Trust has awarded a contract for the construction of the Basildon Ambulance Hub to Basildon Borough Council. The procurement process was initiated as a tender and has now reached the award stage. The Hub is planned to be built on a site owned by the Council in Basildon, UK. The contract falls outside the scope of application of the Public Contracts Regulations 2015. The Trust aims to deliver an optimally located station at a lower cost compared to alternative options, leveraging the Council's exclusive rights to the site.

The construction of the Basildon Ambulance Hub presents an opportunity for construction contractors to compete for the development agreement with the Council. Businesses well-suited for this tender are those capable of undertaking site-development work within the health industry sector. The contract value is £30,000,000 GBP, with a 30-year finance lease agreement upon completion. The Trust will have the right to purchase the freehold at the end of the lease. The tender offers businesses the chance to contribute to the vital healthcare infrastructure in the East of England region.

How relevant is this notice?

Notice Title

Basildon Ambulance Hub

Notice Description

East of England Ambulance Service NHS Trust (the "Trust") wishes to deliver a new ambulance hub facility (the "Hub") and intends to enter into a development agreement with Basildon Borough Council (the "Council") for the construction of the Hub on a site owned by the Council. Under the terms of the development agreement with the Council, the Council intends to run a competitive process in order to appoint a suitably qualified construction contractor to undertake the works.

Lot Information

Lot 1

The Council owns land which sits adjacent to Basildon University Hospital (the "Site"). The Site is located next to the hospital's emergency department which brings about significant logistical benefits, optimising the Trust's ability to deliver an effective and efficient service, as well as enabling funding to be obtained from the public works loan board, ensuring value for money. The Trust requires a site of approx. 2 acres (sites of less than 1.75 acres are regarded as unsuitable) within 500-1000 metres of the hospital entrance. The current facility is 1500m away from the hospital entrance and, unless the new Hub was located closer to the hospital, it would be of little additional benefit to the Trust. In addition, the new Hub needs to: - provide good access onto the major roads network (access into local residential roads would not be acceptable as this would likely give rise to significant disruption to the local area and would jeopardise the speed at which ambulances could be despatched from the Hub); - be located on a site which would be regarded as likely to achieve a planning consent for an Ambulance Hub; - be located on a site where the owner agrees to the development of the site for an ambulance hub; and - be located on a site where the owner is prepared to deliver a new hub as a "turnkey" development on the site. I.e. design construct and lease the finished scheme to the Trust as the Trust requires to fund the development through rental, not capital. However, the Trust also requires the flexibility to invest capital and reduce its rental obligations under the project, in the event that any capital funding becomes available to the Trust. After performing an analysis of sites within a 1,500m radius of the hospital entrance: - 4 of those sites were regarded as being too small; - due to the major regeneration schemes being progressed by owners in the town centre, several of the larger sites are already well progressed in planning terms for mixed use development that are primarily residential; - only 3 sites were identified as being likely to obtain a planning consent for a Hub development, and one of those is the Hospital site itself. The Hospital Trust is seeking to relocate non-clinical services away from this site to enable a focus on clinical care. Setting aside a 2-acre site for an Ambulance Hub within the hospital site would not therefore be possible; Therefore, the only site that emerged from the above analysis, which meets the criteria discussed above, is the Site.

Procurement Information

The contract provides that if the Council (i) proposes a design for the proposed development of an ambulance hub facility of circa 2000 square metres ("the PD") (ii) obtains a planning permission for the PD;(iii) selects a contractor through a competitive process; (iv) obtains a highways stopping up order necessary for the PD; and (v) resolves a title issue, in each case to the satisfaction of the Trust (which conditions the Council agrees to use specified endeavours to satisfy) the Council shall appoint the contractor to complete the PD in accordance with standard development obligations. On practical completion, the Trust will be obliged to accept a finance lease of the PD for 30 years. The Trust will have a right to terminate the development agreement at any time by notice up until the point at which the Council is obliged to appoint the contractor. The Council will have certain rights to terminate where it complies with its obligations but the conditions are not satisfied within certain time limits. The Trust will bear development cost risk and the Council will receive a 10% margin on the development costs. Therefore: where the development agreement is terminated (other than for Council default) abortive costs will be payable by the Trust to the Council, excluding certain costs (including those from which the Council may derive future benefit); the Council shall have the ability to review its appraisal of the development costs during the development process and (subject to the Trust's right to terminate, and certain categories of excluded costs) to include increased costs in its appraisal (which would then be subject to the rentalisation formula, described below); the Council's costs in its appraisal shall be rentalised pursuant to a formula in the development agreement. The costs to be rentalised include the development costs (plus margin), the land value and the Council's borrowing costs pursuant to the proposed public works loan board loan. As the rent payable by the Trust will vary depending on the cost of the PD, the quoted contract value in section II.1.7 of this notice is a best estimate at this time. At the end of the Trust's lease, subject to all rent having been paid, the Trust will be entitled to purchase the freehold from the Council for PS1. The Trust's lease will otherwise be on standard institutionally acceptable FRI terms with the Trust's rights to assign limited to similar public sector bodies. Further information is provided at Section VI.3 of this notice. The Trust considers in good faith, for the reasons described in Section II.2.4 of this notice, that the Site is the only site upon which the Hub can be constructed and the transaction is therefore exempt from the Public Contracts Regulations 2015 pursuant to regulation 32(2)(b)(iii), i.e. the Hub can only be delivered by the Council due to the existence of exclusive rights (i.e. the Council's ownership of the Site) and that no reasonable alternative exists.

Publication & Lifecycle

Open Contracting ID
ocds-h6vhtk-041b8e
Publication Source
Find A Tender Service
Latest Notice
https://www.find-tender.service.gov.uk/Notice/034376-2023
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

45111291 - Site-development work

Notice Value(s)

Tender Value
Not specified
Lots Value
Not specified
Awards Value
Not specified
Contracts Value
£30,000,000 £10M-£100M

Notice Dates

Publication Date
21 Nov 20232 years ago
Submission Deadline
Not specified
Future Notice Date
Not specified
Award Date
17 Jul 20179 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
East of England Ambulance Service NHS Trust
Contact Name
Available with D3 Tenders Premium →
Contact Email
Available with D3 Tenders Premium →
Contact Phone
Available with D3 Tenders Premium →

Buyer Location

Locality
MELBOURN
Postcode
SG8 6EN
Postcode Area
Stevenage
Country
England

Major Region (ITL 1)
TLH East (England)
Basic Region (ITL 2)
TLH4 Cambridgeshire and Peterborough
Small Region (ITL 3)
TLH42 Cambridgeshire CC
Delivery Location
TLH East (England)

Local Authority
South Cambridgeshire
Electoral Ward
Melbourn
Westminster Constituency
South Cambridgeshire

Supplier Information

Number of Suppliers
1
Supplier Name

Basildon Borough Council

Further Information

Open Contracting Data Standard (OCDS)

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