WBC Town Hall Quarter - Development Partner Procurement

The Council has recognised the potential of the area around the Town Hall to deliver an exciting, major regeneration programme. The Council has a stated ambition within its Corporate Plan and Delivery Plan that it intends to take forward plans to revitalise the ‘High Street North’ area (within which the Town Hall Quarter is located) to create a vibrant and attractive neighbourhood for residents to enjoy, reinforcing its importance as a civic hub for the town, its attraction as an area for culture to flourish and create a new vibrant neighbourhood.

Watford is an ambitious council and has a good track record of delivering on its promises. Over the last five years the Council has successfully implemented a significant programme of change and transformation. This has included schemes that have delivered major improvements to the town and to the quality of life experienced by residents. The Town Hall Quarter (THQ) programme will transform the area, securing a thriving new quarter with new homes, employment and public space, which will be underpinned by a revitalised creative, cultural and heritage offer. The opportunity area (as detailed in the procurement documents) accommodates Watford Borough Council’s principal offices (the Town Hall), Watford Leisure Centre, Watford Central Library, Watford Colosseum entertainment venue, the Horn’s Public House, two NHS clinics, and surface level car parking with a capacity of circa 360 spaces.

The Council will be looking for a joint venture partner to form a limited liability partnership (LLP) on a 50/50 basis. Whilst the joint venture LLP will not deliver all the THQ programme objectives it is expected to play a vital role in securing some of the objectives through the evolution of the THQ masterplan. The Council’s primary objective for seeking to set up a corporate joint venture is to progress redevelopment of the land around the Town Hall to deliver a new neighbourhood comprising at least 300 new homes. This will involve mixed-use development with supporting public realm and infrastructure. The joint venture LLP may also have opportunity to contribute to the wider THQ project, for example by means of its supply chain or as may be agreed in dialogue.

The Council intends to enter into a members’ agreement under which a private sector partner will be appointed to carry out preparation, design, build and finance, including (but not limited to) housing, retail, new residential units, commercial units, public government buildings and spaces including NHS clinics and education facilities. There may be a requirement for the private sector partner to undertake other specialist areas such as highway works.

The Council will invest its land in the joint venture LLP and the overall funding solution (including for pre-development costs) will be addressed through the competitive dialogue procedure. The Council will wish to have the opportunity to act as a senior lender where that may deliver commercial benefit to the joint venture LLP. The private sector partner will provide its development expertise and access to funding. This will include the provision or procurement of development management services which will be delivered under a Development Management Agreement (which forms part of the procurement documents).

The Council and its private sector partner will share in any financial returns from the sale or development of the Site in a manner that is commensurate with the risks taken. Additional information: The resources and range of services needed for the joint venture LLP are such that the Council understands that it may receive applications from either a single organisation or organisations that may wish to collaborate to form a consortium (either by forming a separate legal entity or in unincorporated grouping).