Councillor Sarah Williams, Cabinet Member for Housing and Planning (Deputy Leader), approved the award of four housing asset management partnering contracts, and also approved contract variations for refurbishment programmes at Kenneth Robbins House and Stellar House, due to delays in securing approval from the Building Safety Regulator¹ (BSR).

Housing Asset Management Partnering Contracts

Councillor Sarah Williams approved the award of four partnering contracts across four geographical lots to separate bidders, for a period of five years, with the option to extend for a further five years. This decision was conditional on leaseholder consultation. The Director of Housing, in consultation with the Corporate Director of Finance and Resources, was delegated the authority to issue works orders under the contract, in line with the annual Cabinet-approved Housing Revenue Account Housing Capital Programme.

The council originally approved the partnering contracts strategy in July 2022, stating that it was the best way to address decency issues, take a holistic approach to refurbishing properties, and maximise the social value benefits of the council’s investment.

Objectives of the partnering contracts include:

• Ensuring all stock meets the Decent Homes Standard², and that this is maintained going forward.
• Ensuring that all council-owned homes have a minimum EPC³ rating of B by 2035.
• Ensuring that statutory safety standards are maintained in all blocks.
• Providing employment and training opportunities, supporting small and medium-sized enterprises (SMEs) in the borough, and involving residents in the procurement and delivery process.

The partnering contracts will deliver housing capital investments works to properties owned and managed by the council, including:

• Decent Homes related works
• Building safety and fire safety related works
• Block refurbishment works
• Mechanical and electrical works
• Decarbonisation related works
• Neighbourhood and estate improvement works
• Internal and external cyclical works

The procurement process involved a mini-competition through Lot 2.3 of the London Construction Programme (LCP) MW24-H Housing Framework, to find four suitable contractors, one for each of four geographical lots, to provide capital repairs and maintenance services to the council's housing stock.

The report noted that 15 bids were received for three of the partnering procurement lots (West, East North, and East South) and 14 bids were received for the Central region lot. Bidders were able to submit bids for all four lots, but to minimise risk and maximise competition, they could only win one. Bidders who submitted bids for more than one lot were required to express their lot preferences in priority order, which formed part of the evaluation process.

The selection of contractors was based on 65% quality and 35% cost. Of the quality evaluation element, 25% of the quality marks were based on the response to social value, equating to a weighting of 16% of the total marks.

The report detailed the outcome of the tender evaluation for each lot:

• Lot 1 – West: Bidder 3 was recommended for appointment.
• Lot 2 – Central: Bidder 9 was recommended for appointment.
• Lot 3 – East North: Bidder 2 was recommended for appointment.
• Lot 4 – East South: Bidder 14 was recommended for appointment.

The cost of providing the service is funded through the Housing Revenue Account (HRA) capital budget, which is approved annually by Cabinet as part of the business planning process.

The report stated that the award of the contracts aligns with the council's Asset Management Strategy (2021), the Housing Asset Management Strategy (2023–2028), and the Corporate Delivery Plan (2023/24). It is designed to support the Housing Strategy (2022) and ensure all council homes meet the Decent Homes Standard by 2028. It also aims to respond to the climate emergency by delivering energy efficiency upgrades and decarbonisation measures, aligned with the borough's net zero target by 2041, and ensure building safety and compliance.

Kenneth Robbins House - Contract Variation

Councillor Sarah Williams approved a variation to the existing contract for the major refurbishment programme at Kenneth Robbins House, increasing the contract sum by £1,751,359.36, revising the total contract value to £10,164,213.00. The programme duration was also extended from 78 weeks to 150 weeks. This extended timeframe will accommodate the process of obtaining Gateway 2 approval for the works from the Building Safety Regulator, as well as provide sufficient allowance for final signoff at Gateway 3. A Letter of Intent will be issued to the contractor for the sum of £900,000.00, to enable them to place an order with their supply chain to meet the revised programme.

The report stated that the variation in contract sum or programme will not affect the total amount rechargeable to leaseholders, as outlined in the Notice of Estimates issued on 23 August 2024.

The report noted that the initial contract award was predicated on an anticipated 8-week period for securing Building Safety Regulator (BSR) approval for the proposed works, however, due to a significant industry-wide backlog in BSR applications, current estimates indicate approval periods ranging from 30 to 45 weeks. As a result, the commencement of works is now deferred, with Autumn 2026 representing the earliest feasible start date.

The report stated that following discussions between the contractor, the multi-disciplinary consultant, and the council's project team, it was agreed that it would be unreasonable to require the appointed contractor, United Living, to maintain the tendered price submitted in April 2024, given the extended delay in securing Building Safety Regulator (BSR) approval. Consequently, the contractor was invited to submit a revised financial proposal to account for the prolonged approval period and increased supply chain costs, resulting in the contract variation.

Alternative options considered included doing nothing, which was ruled out because the works to Kenneth Robbins House are essential to ensure the building meets current fire safety regulations. Retendering was also considered, however, the appointed contractor was awarded the contract having submitted the most economical and advantageous tender.

Kenneth Robbins House is a residential purpose-built 17-storey block on the Northumberland Park Estate in North Tottenham. It contains 128 self-contained units, of which 64 are 1-bedroom and 64 are 2-bedroom apartments.

The report stated that Haringey commissioned a report to develop a major works programme to the block, which concluded that major works are required. A package of work was developed to include replacement windows and spandrel panels, structural repairs, replacement of the internal soil and vent pipe, upgrade to some bathrooms and kitchens, communal decorations, lighting and flooring, and general improvements and upgrades to fire safety elements.

Tenders were invited for the above works on 29 January 2024, and 11 bidders were received on 08 April 2024. The contract was awarded to United Living in the sum of £8,412,853.64, based on a 78-week programme.

The report noted that prior to the initial award report dated 29 October 2024, leasehold consultation was undertaken and concluded in line with the requirements of Section 20 of the Landlord and Tenants Act 1985⁴. The total amount rechargeable to leaseholders was estimated at £660,998.64, with an average leaseholder charge of £34,789.40.

The report stated that the above figures reflect the restrictions placed upon the council under Part 5 of the Building Safety Act 2022, which contains provisions that prevent or limit the council's ability to recover service charges from its leaseholders where it undertakes works to remedy relevant defects in relevant buildings .

Stellar House - Contract Variation

Councillor Sarah Williams approved a variation to the existing contract for the major refurbishment programme at Stellar House, increasing the contract sum by £1,398,776.55, revising the total contract value to £8,011,626.90. The programme duration was also extended from 78 weeks to 150 weeks to accommodate the process of obtaining Gateway 2 approval for the works from the Building Safety Regulator, as well as provide sufficient allowance for final signoff at Gateway 3. A Letter of Intent will be issued to the contractor for the sum of £700,000.00, to enable them to place an order with their supply chain to meet the revised programme.

The report stated that the variation in contract sum or programme will not affect the total amount rechargeable to leaseholders, as outlined in the Notice of Estimates issued on 23 August 2024.

The report noted that the initial contract award was predicated on an anticipated 8-week period for securing Building Safety Regulator (BSR) approval for the proposed works, however, due to a significant industry-wide backlog in BSR applications, current estimates indicate approval periods ranging from 30 to 45 weeks. As a result, the commencement of works is now deferred, with Autumn 2026 representing the earliest feasible start date.

The report stated that following discussions between the contractor, Equans, the multi-disciplinary consultant, and the council's project team, it was agreed that it would be unreasonable to require the appointed contractor to maintain the tendered price submitted in March 2024, given the extended delay in securing Building Safety Regulator (BSR) approval. Consequently, the contractor was invited to submit a revised financial proposal to account for the prolonged approval period and increased supply chain costs, resulting in the contract variation.

Alternative options considered included doing nothing, which was ruled out because the works to Stellar House are essential to ensure the building meets current fire safety regulations. Retendering was also considered, however, the appointed contractor was awarded the contract having submitted the most economical and advantageous tender.

Stellar House is a residential purpose-built 19-storey block located on High Road Tottenham. There are 106 self-contained units, of which 104 are 1-bedroom and 2 are 2-bedroom apartments.

The report stated that in May 2022, an options appraisal and feasibility study were carried out to the block to assess the condition of the main building elements and develop a major works programme. The report concluded that major works are required, including replacement windows and spandrel panels, structural repairs, replacement of the internal soil and vent pipe, upgrade to some bathrooms and kitchens, communal decorations, lighting and flooring, and general improvements and upgrades to fire safety elements.

Tenders were invited for the above works on 15 January 2024, and 15 bidders were received on 25 March 2024. The contract was awarded to Equans in the sum of £6,612,850.35, based on a 78-week programme.

The report noted that prior to the initial award report dated 29 October 2024, leasehold consultation was undertaken and concluded in line with the requirements of Section 20 of the Landlord and Tenants Act 1985. The total amount rechargeable to leaseholders is estimated at £423,858.02, with an average leaseholder charge per unit of £26,444.76.

The report stated that the above figures reflect the restrictions placed upon the council under Part 5 of the Building Safety Act 2022, which contains provisions that prevent or limit the council's ability to recover service charges from its leaseholders where it undertakes works to remedy relevant defects in relevant buildings .