Purpose

1.       The purpose
of this Report is to seek approval to:

(i)      
Award Preferred Tenderer status to Tenderer A and subsequently to
enter into the Development Agreement with the Preferred Tenderer to
govern the financing, design, and build out of the
Bacton Low Rise Phase 2 residential scheme subject to
finalising the terms of the contract (which will be led by the
Community Investment Programme (CIP and its professional
advisors).
(ii)      Give authority
to the Director of Development to act on the Executive Director of
Supporting Communities’ behalf in taking all appropriate
actions (subject to compliance with all statutory requirements) to
progress and implement the Development Agreement and Delivery
Strategy. This includes but is not limited to entering into the
Development Agreement once it is finalised and agreeing temporary
lease of the site and any other legal mechanisms required.
2.       The Council
has carried out an intensive tender evaluation process to assess
final bids for the development partner to deliver
Bacton Phase 2. Details of the evaluation process and
final Tender Report by the Council’s Commercial Agent are set
out in PART II of the Report.
3.       Following
the evaluation of final bids, the highest scoring tenderer is
Tenderer
A. Officers and external advisors therefore recommend that
Tenderer A be awarded Preferred Tender status.
4.       Tenderer
A’s Financial Offer to the Council (a cash payment and land
value in kind for 61 social rent homes) is set out in Part II of
the Report.
5.       The
developer will fully fund the development. The Council has a small,
approved budget (up to £4.95m) to fund the Council’s
own costs, professional fees and other project costs to deliver the
scheme successfully in partnership
with the developer.
6.       The
Development Agreement does not have a fixed term. After the
rectification of defects, there will be limited obligations for the
parties to comply with.
7.       The Council
and Camden Living will have pre-emption rights to purchase any
additional affordable homes on the scheme.
 
 

Content

1.       That the
Executive Director Supporting Communities, in consultation with the
Cabinet Member New Homes, Jobs and Community Investment, Cabinet
Member for Better Homes and Cabinet Member for Finance and Cost of
Living, the Executive Director Corporate Services and the Borough
Solicitor in line with Contract Standing Orders, approves the
recommendation to:

(i)      
award Preferred Tenderer status to Tenderer A; and
(ii)      subsequently to
enter into the Development Agreement with the Preferred Tenderer to
govern the financing, design, and build out of the
Bacton Low Rise Phase 2 residential scheme subject to
finalising the terms of the contract (which will be led by CIP and
its professional advisors).
 
2.       That the
Executive Director Supporting Communities gives authority to the
Director of Development to act on her behalf in taking all
appropriate actions (subject to compliance with all statutory
requirements) to progress and implement the Development Agreement
and Delivery Strategy, including but not limited to:

(i)      
Entering into the Development Agreement once it is finalised;
(ii)      Agreeing
expenditure for the implementation of the project;
(iii)      Agreeing
temporary lease of the site and any other legal mechanisms required
as part of the Development Agreement; and
(iv)     Agreeing
ownership and management arrangements for the intermediate homes
and any commercial space.