Official UK procurement notice
The Forum, King's Quarter, Gloucester
Authority: Gloucester City Council (Local council)
What is being bought
Published requirement descriptionThe Council will enter into a development funding agreement (DFA) with R Blue Regen GL Limited and Reef Estates Limited (which are connected organisations) for a mixed use, urban campus known as King’s Quarter. The Council and a group company of Reef Estates Limited (R Blue Capital Ltd) both have land interests in the site. They will deliver retail, leisure and office space, dwellings and a hotel together with a multi-storey car park. On completion of the development a group company of Reef Estates Limited will transfer its land interest to the Council. The development will be undertaken in 2 phases. Works required to deliver the development (and a number of consultancy services) will be procured in accordance with an OJEU or UK Find a Tender procedures or under Frameworks. Reef/R Blue Regen GL Limited will also provide management and maintenance services for 5 years. R Blue Regen GL Limited and Reef (or a group member) will take a 5 year lease of incubator offices and provide a guarantee to the Council in connection with rent from the hotel.
CPV: Development of non-residential real estate · Development of residential real estate · Letting services of own property · Non-residential property renting or leasing services · Non-residential property services
The lotProcurement structure
single lot · no lot value publishedLot #1The Council, R Blue Regen GL Limited and Reef Estates Limited consider their…Awarded
The Council, R Blue Regen GL Limited and Reef Estates Limited consider their arrangement to be a joint endeavour to work together to revitalise an area of the City Centre. An element of the arrangements includes an obligation on R Blue Regen GL Limited / Reef Estates Limited (and or a group company) to lease the proposed incubator office space for 5 years and further to provide a guarantee to the Council in relation to rental income from the proposed hotel. The Council and group company of Reef Estates Ltd (R Blue Capital Ltd) both have land interests in the site and it is the intention of Reef Estates Ltd to ultimately transfer their land interests to the Council.
In order to be transparent the Council has listed the total value at £94,000,000 (Indexed) – some 86% of that value will be subject to public procurement. OJEU procurement or Frameworks (for Phase 1) and after 31st December 2020 under the UK's 'Find a Tender Procedure' or existing OJEU Frameworks which the Council has access to.
The development will be delivered in two Phases. Phase 1 is a site in Market Parade Gloucester City Centre and has a value of approximately £8 million (Indexed).This will deliver retail and residential space.
Phase 2 will be centred at the Forum, King's Quarter site Gloucester City Centre and has a value of approximately £86 million (indexed). This phase will deliver office, hotel and leisure space, together with a multi-storey car park. Phase 2 will be subject to a viability test which may result in changes to the uses and size of buildings delivered or even that Phase 2 does not proceed. The medium and long term economic impact of Covid19 on urban spaces is still uncertain.
The parties may enter into ancillary agreements with each other and/or with those third parties which they procure to provide development services/works.
The parties also contemplate entering into lease and guarantee agreements with each other in order to give effect to R Blue Regen GL Limited / Reef Estates (and or a group company) commitment to lease the proposed incubator office space and provide a guarantee to the Council in relation to rental income from the proposed hotel.
R Blue Regen GL Limited and Reef Estates Limited are part of the same group of companies and it is possible (though not expected) that another of their group companies could be involved in these arrangements.
As part of the arrangements R Blue Regen GL Limited/Reef Estates Limited will also provide general management and maintenance services for a period of 5 years.
Procedure terms & legal framework
From the official record- Procedure method
- Award procedure without prior publication of a call for competition
- Legal basis
- CELEX · 32014L0024 Public Contracts Regulations 2015 (Directive 2014/24/EU)
- Procurement category
- Services
- 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
- 24 Feb 2021, 12:00 GMT
- Last source update
- 24 Feb 2021, 12:00 GMT
- Authority reference
DN520087- FTS notice number
2021/S 000-003682- Classification (CPV)
- Delivery area
- Official registry OCID
ocds-h6vhtk-0295caFind a Tender
- Why no open competition
- The procurement falls outside the scope of application of the directive
- Published justification
The procurement falls outside the scope of application of the directive
Explanation:
The Council relies on the ground provided in Article 32(2)(b)(iii) of Directive 2014/24/EU and Regulation 32(2)(b)(iii) of the Public Contracts Regulations 2015 as this contract concerns assets which are subject to exclusive rights. Reef Estates Limited (or a group company) have an option over part of the land whereupon the development will take place. Accordingly, the agreement between the Council and Reef Estates (or a group company) cannot be entered into with anyone else. The rights held by Reef Estates Limited/R Blue Regen GL Limited are exclusive in nature. The Council would not be entering into an agreement to undertake this development but for the opportunity brought to it by R Blue Regen GL Limited / Reef Estates Limited. For the avoidance of doubt, those aspects of the joint endeavour that the Council considers are properly subject to the Public Contracts Regulations 2015 will be subject to public procurement.
Commercial outcome & contract awards
Published awards, contracts and bid statistics, not a forecast| Awarded to | Value | Date | Status |
|---|---|---|---|
| R Blue Regen GL Ltd and Reef Estates LtdSMESubcontracting: The Council and its partners will procure construction works (and allied consultancy services) in accordance with an OJEU procedure or from an OJEU procured framework agreement (for Phase 1 - procurement has commenced) or using UK Find a Tender procedures for procurements which commence after 31 December 2020. | £94,000,000 † | — | Awarded |
Contracts
Contract 003682-2021-1 · R Blue Regen GL Ltd and Reef Estates LtdSME
- Signed
- 4 Feb 2021
- Value
- £94,000,000
- Status
- active
Bid statistics published by the authority
| Bids | SME | VCSE | Valid bid range |
|---|---|---|---|
| 1bids | — | — | — |
Contracting authority & participating public bodies
Dispute resolution & review bodies
- Royal Courts of JusticeMediation bodyReview bodyReview contact point
Bidders & participating suppliers
1 commercial party on the notice- R Blue Regen GL Ltd and Reef Estates LtdAwarded supplier
Official documents & specifications
Official links; attachments are not copiedNo document links were published on the notice.