Official UK procurement notice
Basildon Hospital main entrance and retail facility
Authority: Mid and South Essex NHS Foundation Trust (Central government)
What is being bought
Published requirement descriptionMid and South Essex NHS Foundation Trust ("MSE") has entered into a series of leasing arrangements with Noviniti Dev Co 8 Ltd ("Noviniti") and WHSmith ("WHS") in respect of a retail development ("the Development") at Basildon Hospital, Essex ("the Hospital") with WHS as Noviniti's initial tenant and retail operator. MSE has structured the contractual arrangement as a land transaction exempt from the Public Contracts Regulations 2015 (PCR) and the Concession Contracts Regulations 2016 (CCR).
Noviniti has an option to draw down a 35-year ground lease ("GL") of the site in exercise of an option agreement ("OA") with MSE. The GL has break clauses in favour of MSE after 2 years (so MSE can recover the site if the Development is not commenced) and 30 years from practical completion of the Development
CPV: Construction work · Construction work for buildings relating to health · Entrance hall construction work · Hospital facilities construction work · Retail trade services
The lotProcurement structure
single lot · no lot value publishedLot #1MSE has entered into a tripartite Agreement for Underlease with Noviniti and WHSAwarded
MSE has entered into a tripartite Agreement for Underlease with Noviniti and WHS. In this agreement WHS commits to accepting the grant of a 15-year underlease (with rent obligations to Noviniti) on practical completion of the retail facilities. MSE (as head landlord) will have insurance obligations owed to WHS and a repairing covenant for the retail facilities. MSE may step-in to take the underlease if WHS fails to enter the underlease at practical completion. MSE may enter an Overriding Lease (to become WHS's landlord) if WHS becomes insolvent or defaults on its Underlease, in order to maintain the rental payments to Noviniti. MSE may enter a 15-year Reversionary Lease (with rent obligations to Noviniti) to take effect from the expiry of WHS's underlease. MSE may instead direct these leases be granted to an alternate operator if MSE guarantees rent.
There will be some office space and common parts delivered as part of the scheme. Additional information: Please see Voluntary Transparency Notice of 22/03/2021 for details of option agreement and ground lease - www.find-tender.service.gov.uk/Notice/005723-2021 ↗
Procedure terms & legal framework
From the official record- Procedure method
- Award procedure without prior publication of a call for competition
- Legal basis
- CELEX · 32014L0023 Concession Contracts Regulations 2016 (Directive 2014/23/EU)
- Procurement category
- Works
- Notice status
- Awarded without competition
- Procurement threshold
- Unspecified in notice
- Regulatory regime
- Standard
- Commercial structure
- Stand-alone contract (no framework)
- Competition type
- Direct award (no call for competition)
- GPA / WTO covered
- Unspecified in notice
- Recurring procurement
- Unspecified in notice
- First published
- 10 Oct 2021, 18:05 BST
- Last source update
- 10 Oct 2021, 18:05 BST
- FTS notice number
2021/S 000-025291- Classification (CPV)
- Delivery area
- Official registry OCID
ocds-h6vhtk-02ea38Find a Tender
- Review procedure
In accordance with Chapter 6 of the Public Contracts Regulations 2015 (as amended) (Regulations 88 to 104) or Chapter 2 of the Concession Contracts Regulations 2016 (Regulation 49 to 64).
Commercial outcome & contract awards
Published awards, contracts and bid statistics, not a forecast| Awarded to | Value | Date | Status |
|---|---|---|---|
| Noviniti Dev Co 8 Ltd | £10,650,000 † | — | Awarded |
Contracts
Basildon Hospital main entrance and retail facility · Noviniti Dev Co 8 Ltd
- Signed
- 15 Jul 2021
- Value
- £10,650,000
- Status
- active
Bid statistics published by the authority
| Bids | SME | VCSE | Valid bid range |
|---|---|---|---|
| 1bids | — | — | — |
Contracting authority & participating public bodies
Dispute resolution & review bodies
- High Courts of JusticeReview body
Bidders & participating suppliers
1 commercial party on the notice- Noviniti Dev Co 8 LtdAwarded supplier
Official documents & specifications
Official links; attachments are not copiedNo document links were published on the notice.