Tender

2026 Development Agreement Opportunity

LONDON BOROUGH OF SOUTHWARK

This public procurement record has 2 releases in its history.

Tender

20 Feb 2025 at 17:57

Planning

12 Nov 2024 at 11:14

Summary of the contracting process

The London Borough of Southwark is initiating a procurement process for the "2026 Development Agreement Opportunity" to engage two development partners for two multi-site lots (Lot A and Lot B) within the Borough. This tender, currently in the active stage, comes under the "Construction work" industry category. The locations for Lot A include the Peckham, Old Kent Road, and Camberwell Green wards, while Lot B covers the Rotherhithe and North Bermondsey wards. Key dates include a tender period ending on 24 March 2025. The contract is initially for six years, with an option to extend for an additional four years. The estimated value for Lot A is £128,857,182, and for Lot B it is £135,442,064, excluding optional pipeline sites valued at £391,606,372.

This tender provides a significant opportunity for businesses specialising in construction, real estate development, and urban planning. Companies that can fund, design, develop, and manage residential projects, especially those with a focus on affordable housing, would find this project particularly beneficial. By participating, businesses can gain substantial contracts and establish robust partnerships with the council, contributing to a decade-long development programme aiming to enhance housing quality and sustainability within the Borough. Competitive dialogue and variant policy restrictions will apply, ensuring a meticulous selection process for the most capable partners.

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Notice Title

2026 Development Agreement Opportunity

Notice Description

The London Borough of Southwark ('the council') is seeking two development Partners ('Partner' or 'Partners') to fund, design, develop and undertake sales activity for two multi-site lots ('Lot A' and 'Lot B') within the Borough, via Development Agreements. The purpose is to work in partnership with the two Partners on the respective lots to deliver good quality and sustainable homes, with a key priority to maximise the numbers of affordable housing in each of the Lots. The sites forming the development programme are split across two Lots (with the Council appointing a different Partner for Lot A and Lot B each). Through the Development Agreements, the Council requires the two Partners to develop a package of sites in two distinct areas of the borough for each Lot, to deliver predominantly residential-led schemes with affordable housing and market housing (as well as potentially other buildings, structures and landscaping as required). Details of the sites forming each of the Lots are detailed in the Descriptive Document. Applicants should note that a single pool of Pipeline Sites also falls within scope of the overall procurement. The Council reserves the right, at its sole discretion, to bring forward any or all of the Pipeline Sites in either Lot, and to offer those sites to the developer who has been successful in either Lot. There is a single pool of Pipeline Sites and Applicants should note that it remains at the Council's sole discretion to which (if any) of the Lots those Pipeline Sites may be offered. For the avoidance of doubt, there is no guarantee that any or all of the Pipeline Sites will be offered to either developer in either Lot A or Lot B during the course of the development programme. Where a developer is offered a Pipeline Site and the developer chooses to opt to include that Pipeline Site as part of the programme, the Pipeline Site will become subject to the terms of the Development Agreement. Taking forward any of the "Pipeline Sites" will be subject to council decision-making processes which have not yet been completed. This includes taking account of the outcomes of any resident ballots. The estimated duration of the contract is for a term of six (6) years, with an option to extend at the Council's sole discretion by a further period of 4 years (subject to obtaining Council approval to such extension), giving a total possible contract term of 10 years. The total estimated possible value is as set out in II.1.5. The estimated value of Lot A excluding any pipeline sites is PS128,857,182 (GDV) The estimated value of Lot B excluding any pipeline sites is PS135,442,064 (GDV) The estimated value of the optional pipelines sites is PS391,606,372 (GDV)

Lot Information

Lot 1

The purpose of the pre-market consultation is to gain an understanding of the approach of the market to several pertinent questions that will help Southwark Council to inform and optimise the design of the forthcoming procurement. At this stage, any information gathered may be used to support the design of the procurement process and associated opportunity but will not be appraised in any future tender evaluation exercise. Please note that participation or non-participation in this pre-market consultation exercise shall not prevent any provider participating in any potential procurement process, nor is it intended that any information supplied shall place any provider at an advantage or disadvantage in any forthcoming procurement process. The themes that the council welcomes market views are: 1. Demolition Approach 2. Site Survey 3. Working on Educational Land Sites 4. Guarantees 5. Site Grouping 6. Affordable Housing Delivery 7. Building Safety Act Organisations interested in participating in the pre-market engagement should contact the Contracting Authority at 2026_DA@southwark.gov.uk to request further information. All those interested are encouraged to contact the Contracting Authority at their earliest convenience, but by no later than 17:00 on the 22nd of November. The form of the pre-market engagement will be face-to-face discussion sessions held in hybrid. The resulting procurement will be advertised separately, this notice is solely to advertise the pre-market engagement.

2026 Development Agreement Programme: Lot A

Lot A consists of four sites in the Peckham, Old Kent Road and Camberwell Green wards of the Borough for the Lot A Partner to fund, design, develop and undertake sales activity for via the Development Agreement. Details of the sites forming each of the Lots are detailed in the Descriptive Document. Applicants should note that a single pool of Pipeline Sites also falls within scope of the overall procurement. The Council reserves the right, at its sole discretion, to bring forward any or all of the Pipeline Sites in either Lot, and to offer those sites to the developer who has been successful in either Lot. There is a single pool of Pipeline Sites and Applicants should note that it remains at the Council's sole discretion to which (if any) of the Lots those Pipeline Sites may be offered. For the avoidance of doubt, there is no guarantee that any or all of the Pipeline Sites will be offered to either developer in either Lot A or Lot B during the course of the development programme. Where a developer is offered a Pipeline Site and the developer chooses to opt to include that Pipeline Site as part of the programme, the Pipeline Site will become subject to the terms of the Development Agreement. Taking forward any of the "Pipeline Sites" will be subject to council decision-making processes which have not yet been completed. This includes taking account of the outcomes of any resident ballots. The estimated value of Lot A excluding any pipeline sites is set out in II.2.6. The estimated value of the optional pipelines sites is PS391,606,372 (GDV) Additional information: The Council anticipates that it will shortlist the three highest scoring Applicants to participate in Dialogue. However, where the identity of the shortlisted Applicants across both Lots 1 and 2 are the same, the Council reserves the right at its sole discretion to shortlist the fourth highest scoring Applicant in each Lot.

Options: The estimated duration of the contract is for a term of six (6) years, with an option to extend at the Council's sole discretion by a further period of 4 years (subject to obtaining Council approval to such extension), giving a total possible contract term of 10 years.

2026 Development Agreement Programme: Lot B

Lot B consists of three sites in the Rotherhithe and North Bermondsey wards of the Borough for the Lot B Partner to fund, design, develop and undertake sales activity for via the Development Agreement. Details of the sites forming each of the Lots are detailed in the Descriptive Document. Applicants should note that a single pool of Pipeline Sites also falls within scope of the overall procurement. The Council reserves the right, at its sole discretion, to bring forward any or all of the Pipeline Sites in either Lot, and to offer those sites to the developer who has been successful in either Lot. There is a single pool of Pipeline Sites and Applicants should note that it remains at the Council's sole discretion to which (if any) of the Lots those Pipeline Sites may be offered. For the avoidance of doubt, there is no guarantee that any or all of the Pipeline Sites will be offered to either developer in either Lot A or Lot B during the course of the development programme. Where a developer is offered a Pipeline Site and the developer chooses to opt to include that Pipeline Site as part of the programme, the Pipeline Site will become subject to the terms of the Development Agreement. Taking forward any of the "Pipeline Sites" will be subject to council decision-making processes which have not yet been completed. This includes taking account of the outcomes of any resident ballots. The estimated value of Lot B excluding any pipeline sites is set out in II.2.6. The estimated value of the optional pipelines sites is PS391,606,372 (GDV) Additional information: The Council anticipates that it will shortlist the three highest scoring Applicants to participate in Dialogue. However, where the identity of the shortlisted Applicants across both Lots A and B are the same, the Council reserves the right at its sole discretion to shortlist the fourth highest scoring Applicant in each Lot.

Options: The estimated duration of the contract is for a term of six (6) years, with an option to extend at the Council's sole discretion by a further period of 4 years (subject to obtaining Council approval to such extension), giving a total possible contract term of 10 years.

Publication & Lifecycle

Open Contracting ID
ocds-h6vhtk-04b5ba
Publication Source
Find A Tender Service
Latest Notice
https://www.find-tender.service.gov.uk/Notice/006460-2025
Current Stage
Tender
All Stages
Planning, Tender

Procurement Classification

Notice Type
Planning Notice
Procurement Type
Standard
Procurement Category
Works
Procurement Method
Selective
Procurement Method Details
Competitive dialogue
Tender Suitability
Not specified
Awardee Scale
Not specified

Common Procurement Vocabulary (CPV)

CPV Divisions

45 - Construction work

70 - Real estate services

71 - Architectural, construction, engineering and inspection services


CPV Codes

45000000 - Construction work

45111100 - Demolition work

45111200 - Site preparation and clearance work

45111213 - Site-clearance work

45113000 - Siteworks

45211340 - Multi-dwelling buildings construction work

45211341 - Flats construction work

45211350 - Multi-functional buildings construction work

45211360 - Urban development construction work

70110000 - Development services of real estate

71247000 - Supervision of building work

Notice Value(s)

Tender Value
£655,905,618 £100M-£1B
Lots Value
£264,299,246 £100M-£1B
Awards Value
Not specified
Contracts Value
Not specified

Notice Dates

Publication Date
20 Feb 20251 years ago
Submission Deadline
24 Mar 2025Expired
Future Notice Date
31 Jan 2025Expired
Award Date
Not specified
Contract Period
Not specified - Not specified
Recurrence
Not specified

Notice Status

Tender Status
Active
Lots Status
Active, Planned
Awards Status
Not Specified
Contracts Status
Not Specified

Contracting Authority (Buyer)

Main Buyer
LONDON BOROUGH OF SOUTHWARK
Contact Name
Margaret Burrell
Contact Email
2026_da@southwark.gov.uk
Contact Phone
+44 2075255000

Buyer Location

Locality
LONDON
Postcode
SE1 2QH
Post Town
South East London
Country
England

Major Region (ITL 1)
TLI London
Basic Region (ITL 2)
TLI4 Inner London - East
Small Region (ITL 3)
TLI44 Lewisham and Southwark
Delivery Location
TLI44 Lewisham and Southwark

Local Authority
Southwark
Electoral Ward
London Bridge & West Bermondsey
Westminster Constituency
Bermondsey and Old Southwark

Open Contracting Data Standard (OCDS)

View full OCDS Record for this contracting process

Download

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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