Torus62 Ltd: Contract for the Development of Flowers Lane and Purchase of 460 Additional Housing Units

UK-St.Helens: Site-development work.

Section I: Contracting Authority

   I.1) Name, Addresses and Contact Point(s):
       Torus62 Developments Limited
       Helena Central, 4 Corporation Street, St.Helens, WA9 1LD, United Kingdom
       Tel. +44 7718707048, Email: eamonn.cullen@torus.co.uk
       Contact: Eamonn Cullen
       Main Address: https://www.torus.co.uk
       NUTS Code: UKD

   I.2) Joint procurement:
      The contract involves joint procurement: No          
      In the case of joint procurement involving different countries, state applicable national procurement law: Not Provided
      The contract is awarded by a central purchasing body: No

   I.4)Type of the contracting authority:
      Body governed by public law

   I.5) Main activity:
      Housing and community amenities

Section II: Object Of The Contract

   II.1) Scope of the procurement

      II.1.1) Title: Contract for the Development of Flowers Lane and Purchase of 460 Additional Housing Units            
      Reference number: Not Provided

      II.1.2) Main CPV code:
         45111291 - Site-development work.


      II.1.3) Type of contract: WORKS

      II.1.4) Short description: The development agreement relates to sale of Torus62 Developments Ltd’s Flowers Lane site to the developer, who will provide build-out of 120 x s.106 units and provide a further 460 x housing units to Torus62 Developments Ltd across various additionality sites. The development agreement is being entered into by Torus62 Development’s Ltd for the purpose of providing affordable housing that will support the existing and future needs of the local community.

      II.1.6) Information about lots
         This contract is divided into lots: No
            
      II.1.7) Total value of the procurement (excluding VAT)
          Value: 124,000,000
                  
         Currency:GBP            

   II.2) Description

      II.2.2) Additional CPV code(s):
      Not Provided

      II.2.3) Place of performance
      Nuts code:
      UKD - NORTH WEST (ENGLAND)
   
      Main site or place of performance:
      NORTH WEST (ENGLAND)
             

      II.2.4) Description of the procurement: This Contract Award Notice is being published to provide notice of the use of a negotiated procedure without prior publication, in accordance with Regulation 32 of the Public Contracts Regulations 2015.

Torus’ Flowers Lane site benefits from full planning permission with the Section 106 requirement for a minimum of 30% affordable homes. Provisionally, the site was openly advertised to the market with proposals invited for any of the following: -

i)The building out of the site
ii)The purchase of the land
iii)The building out of the s.106 units and the remainder of the site for the developer
iv)Any other proposals.

Given exceptional market conditions and significant costs, the building out of the site was not a viable option. Castle Green Homes Limited proposed to buy the land and provide build-out of 120 x Section 106 units and provide a further 460 x housing units to Torus at additionality sites.

While alternative offers were received, none were comparable with Castle Green Homes Limited’s proposal, which offered Torus three times the amount of additional affordable units via additionality sites compared to any other bid.

Under Regulation 32(2)(b) of the Public Contract Regulations 2015, the contracting authority considers that the works can be supplied only by Castle Green Homes Limited, who hold exclusive rights of ownership over the additionality sites.

Further, in accordance with Regulation 32(2)(b)(iii) in conducting a market test prior use of the negotiated procedure, the contracting authority considers that there has been no artificial narrowing down of the parameters of the procurement and that no reasonable alternative or substitute exists.

      II.2.5) Award criteria:
                  
      Price - Weighting: 100
            

      II.2.11) Information about options
         Options: No
         

      II.2.13) Information about European Union funds
         The procurement is related to a project and/or programme financed by European Union funds: No
         

      II.2.14) Additional information: Not Provided


Section IV: Procedure

IV.1) Description

   IV.1.1)Type of procedure: Award of a contract without prior publication of a call for competition in the Official Journal of the European Union in the cases listed below (please complete Annex D1)


   IV.1.3) Information about a framework agreement or a dynamic purchasing system
      The procurement involves the establishment of a framework agreement: No       
      

   IV.1.6) Information about electronic auction
      An electronic auction has been used: No

   IV.1.8) Information about the Government Procurement Agreement (GPA)
      The procurement is covered by the Government Procurement Agreement: No

IV.2) Administrative information

   IV.2.1) Previous publication concerning this procedure
       Not Provided
   

   IV.2.9) Information about termination of call for competition in the form of a prior information notice
      The contracting authority will not award any further contracts based on the above prior information notice: No

Section V: Award of contract

Award Of Contract (No.1)

   Contract No: Not Provided    
   Lot Number: Not Provided    
   Title: Not Provided

   A contract/lot is awarded: Yes


   V.2) Award of contract

      V.2.1) Date of conclusion of the contract: 31/10/2022

      V.2.2) Information about tenders
         Number of tenders received: 1
         Number of tenders received from SMEs: Not Provided          
         Number of tenders received from tenderers from other EU Member States: Not Provided          
         Number of tenders received from tenderers from non-EU Member States: Not Provided          
         Number of tenders received by electronic means: Not Provided

      V.2.3) Name and address of the contractor

      The contract has been awarded to a group of economic operators: No
         
         Contractor (No.1)
             Castle Green homes, 01932141
             Unit 20 St. Asaph Business Park,, Denbighshire, LL17 0LJ, United Kingdom
             NUTS Code: UKL
            The contractor is an SME: No

      V.2.4) Information on value of the contract/lot (excluding VAT)
         Initial estimated total value of the contract/lot: Not Provided          
         Total value of the contract/lot: 124,000,000
         Currency: GBP

      V.2.5) Information about subcontracting
         The contract is likely to be subcontracted: No
         
Section VI: Complementary information

   VI.3) Additional information: To view this notice, please click here:
https://www.delta-esourcing.com/delta/viewNotice.html?noticeId=726430947

   VI.4) Procedures for review

      VI.4.1) Review body
          Torus62 Developments Ltd
          Helena Central, 4 Corporation Street, St.Helens, WA9 1LD, United Kingdom
          Tel. +44 7718707048, Email: eamonn.cullen@torus.co.uk

      VI.4.3) Review procedure
         Precise information on deadline(s) for review procedures: Not Provided

      VI.4.4) Service from which information about the review procedure may be obtained
         Not Provided

   VI.5) Date of dispatch of this notice: 01/11/2022




ANNEX D

   1. Justification for the choice of the negotiated procedure without prior publication of a call for competition in accordance with Article 32 of Directive 2014/24/EU

      No tenders or no suitable tenders/requests to participate in response to: Not Provided

            
      
      The works, supplies or services can be provided only by a particular economic operator for the following reason: protection of exclusive rights, including intellectual property rights

      Extreme urgency brought about by events unforeseeable for the contracting authority and in accordance with the strict conditions stated in the directive: No

      Additional deliveries by the original supplier ordered under the strict conditions stated in the directive: No

      New works/services, constituting a repetition of existing works/services and ordered in accordance with the strict conditions stated in the directive: No
      
      

      


   3. Explanation
          Torus’ Flowers Lane site benefits from full planning permission with the Section 106 requirement for a minimum of 30% affordable homes. Provisionally, the site was openly advertised to the market with proposals invited for any of the following: -

i)The building out of the site
ii)The purchase of the land
iii)The building out of the s.106 units and the remainder of the site for the developer
iv)Any other proposals.

Given exceptional market conditions and significant costs, the building out of the site was not a viable option. Castle Green Homes Limited proposed to buy the land and provide build-out of 120 x Section 106 units and provide a further 460 x housing units to Torus at additionality sites.

While alternative offers were received, none were comparable with Castle Green Homes Limited’s proposal, which offered Torus three times the amount of additional affordable units via additionality sites compared to any other bid.

Under Regulation 32(2)(b) of the Public Contract Regulations 2015, the contracting authority considers that the works can be supplied only by Castle Green Homes Limited, who hold exclusive rights of ownership over the additionality sites.

Further, in accordance with Regulation 32(2)(b)(iii) in conducting a market test prior to use of the negotiated procedure, the contracting authority considers that there has been no artificial narrowing down of the parameters of the procurement and that no reasonable alternative or substitute exists.