The Provision of Property Management Services

The direct award is justified because TfL is acquiring a property within a fixed and compressed transaction timetable and must immediately assume landlord responsibilities to existing tenants. The incumbent suppliers are already delivering essential property management, maintenance and support services required under existing lease arrangements, and continuity of those services is necessary to ensure TfL can meet its contractual and operational obligations from the date of acquisition.

A competitive procurement before or immediately after completion is not practicable and would create a material risk of service interruption, exposing TfL to potential liability and impacting the effective operation of the property. The incumbent suppliers also possess detailed knowledge of the building's systems, infrastructure, plant and operational requirements, meaning that replacing them at the point of acquisition would likely result in service incompatibility, loss of critical knowledge, and disproportionate technical and operational difficulties.

The proposed arrangements are therefore consistent with the rationale underpinning Schedule 5, Paragraph 7 of the Procurement Act 2023, as a change of supplier would result in services that are different from or incompatible with those currently being provided, creating disproportionate technical and operational challenges. The direct award is intended as a short-term measure to maintain business continuity and allow TfL sufficient time to assess and implement appropriate long-term arrangements, including integration into existing property management structures or undertaking a competitive procurement within the next 12 months.