Knight Frank Investment Management LLP: Commercial Property Management Services- Project Pendolino

UK-London: Property management services of real estate on a fee or contract basis.
Section I: Contracting Authority
      I.1) Name and addresses
             Knight Frank Investment Management LLP (acting as agents on behalf of Lancashire County Council and London Pensions Fund Authority)
             Sixth Floor, One Crown Court, Cheapside, London, EC2V6LR, United Kingdom
             Tel. +44 2078611220, Email: john.styles@kf-im.com
             Main Address: www.kf-im.com
             NUTS Code: UKI32
      I.2) Joint procurement
      The contract involves joint procurement: Yes.
      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.3) Communication
      The procurement documents are available for unrestricted and full direct access, free of charge, at: http://www.delta-esourcing.com/tenders/UK-UK-London:-Property-management-services-of-real-estate-on-a-fee-or-contract-basis./2823B87ZQA
      Additional information can be obtained from: the abovementioned address
      Tenders or requests to participate must be sent to the abovementioned address       
      Electronic communication requires the use of tools and devices that are not generally available. Unrestricted and full direct access to these tools and devices is possible, free of charge, at: Not provided
      I.4) Type of the contracting authority
            Body governed by public law
      I.5) Main activity
            General public services

Section II: Object
II.1) Scope of the procurement
      II.1.1) Title: Commercial Property Management Services- Project Pendolino       
      Reference Number: Not provided
      II.1.2) Main CPV Code:
      70330000 - Property management services of real estate on a fee or contract basis.
      IA01-9 - Design and construction

      II.1.3) Type of contract: SERVICES
      II.1.4) Short description: Lancashire County Council and the London Pensions Authority (the “Authorities”) have pooled their assets under the management of the Local Pensions Partnership (“LPP”) and are retendering the property management services for four property investment portfolios as further described below. Knight Frank Investments Management LLP ("KFIM") is managing this procurement process on behalf of the Authorities, and will follow the Competitive Dialogue process in accordance with the Public Contracts Regulations 2015. This opportunity is divided into two Lots as further described below.       
      II.1.5) Estimated total value:
      Value excluding VAT: 8,648,000       
      Currency: GBP
      II.1.6) Information about lots:
      This contract is divided into lots: Yes       
      Tenders may be submitted for: All lots
      Maximum number of lots that may be awarded to one tenderer: 2
      The contracting authority reserves the right to award contracts combining the following lots or groups of lots: The Authorities may wish to award both Lots to the highest scoring Bidder in respect of Lot 1. Therefore, Bidders who wish to bid for Lot 1 must also submit a bid for Lot 2. Further details are provided below/within the procurement documents.

II.2) Description
II.2) Description Lot No. 1
      
      II.2.1) Title: Lancashire County Council and London Pension Fund Authority Property Management - National Portfolios       
      Lot No: 1       
      II.2.2) Additional CPV codes:
      70332200 - Commercial property management services.
      70330000 - Property management services of real estate on a fee or contract basis.
      79993000 - Building and facilities management services.
      70332000 - Non-residential property services.
      70332100 - Land management services.
      70332300 - Industrial property services.
      79993100 - Facilities management services.
      
      II.2.3) Place of performance:
      UK UNITED KINGDOM
      
      II.2.4) Description of procurement: Lot 1 consists of the following opportunities:
- Lancashire County Pension Fund National Portfolio ("LCPF National"). Approximate asset value: £600m. Approximate allocation to be invested: £100 m. Expected timeframe: 2 years.
- London Pensions Fund Authority Core Portfolio ("LPFA"). Approximate asset value: £150m. Approximate allocation to be invested: £150 m. Expected timeframe: 2 years.
An asset pooling vehicle is currently being established to acquire future property investments for the two Authorities jointly, the timing for creation of this vehicle is yet to be confirmed. The allocations shown above will be invested in the LCPF National or LPFA portfolios or in the new pooling vehicle depending on when the vehicle is incorporated. When the vehicle is incorporated, the property manager appointed for Lot 1 will be required to enter into a contract with the pooling vehicle on the same terms as its contracts in respect of the LCPF National and LPFA portfolios.
The LCPF National and LPFA portfolios, and the portfolio to be acquired in the pooling vehicle will have the same investment strategy, namely to provide a total return of CPI plus 4-6% per annum by investment in and active management of a portfolio of commercial property assets balanced across the retail, office, industrial and “alternative” sectors and across the geographic regions of the UK.
Details of the existing properties owned in all Lot 1 portfolios are provided in the Tenderbox facility via the Portal.
The services to be provided under the contracts for the Lot 1 portfolios will include the complete property management service from rent collection to service charge management and financial reporting. Candidates will be expected to have knowledge of and manage compliance processes and sustainability matters. Full details of the services to be provided are contained in the Lot 1 Specification which is available in the Tenderbox.
The estimated contract value is based on the total estimated income over the full contract period. The Authorities may either (i) make separate appointments in respect of Lot 1 and Lot 2; or (ii) make a single appointment encompassing both Lots 1 and 2 to the highest scoring Bidder of Lot 1 in accordance with the criteria set out in the procurement documents.
It is anticipated that the Authorities will require their costs incurred in connection with the procurement, up to a cap of £50,000 to be offset against the first year’s fees payable to the appointed property manager. Bidders will get an opportunity to comment on this during the dialogue sessions .
      II.2.5) Award criteria:
            Price is not the only award criterion and all criteria are stated only in the procurement documents            
      II.2.6) Estimated value:
      Value excluding VAT: 7,891,600       
      Currency: GBP       
      II.2.7) Duration of the contract, framework agreement or dynamic purchasing system:
      Duration in months: 120       
      This contract is subject to renewal: No       
      Description of renewals: Not provided
      II.2.9) Information about the limits on the number of candidates to be invited:
             Envisaged number of candidates: 5
            
      Objective criteria for choosing the limited number of candidates: Not provided
      II.2.10) Information about variants:
      Variants will be accepted: No
      II.2.11) Information about options:
      Options:       No             
      Description of options: Not provided
      II.2.12) Information about electronic catalogues:
      Tenders must be presented in the form of electronic catalogues or include an electronic catalogue: 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       
      Identification of the project: Not provided             
      II.2.14) Additional information: It is envisaged that there are likely to be TUPE requirements as part of the handover of this contract. Full details will be given at the request for outline solutions stage.       
II.2) Description Lot No. 2
      
      II.2.1) Title: Lancashire County Council Property Management - County Portfolio       
      Lot No: 2       
      II.2.2) Additional CPV codes:
      70330000 - Property management services of real estate on a fee or contract basis.
      70332000 - Non-residential property services.
      70332100 - Land management services.
      70332200 - Commercial property management services.
      70332300 - Industrial property services.
      79993000 - Building and facilities management services.
      79993100 - Facilities management services.
      
      II.2.3) Place of performance:
      UKD4 Lancashire
      
      II.2.4) Description of procurement: Lot 2 consists of the following opportunity:
- Lancashire County Pension Fund County Portfolio (“LCPF County”). Approximate asset value: £60m. Approximate allocation to be invested: £90m. Expected timeframe: 3 years.
The investment strategy of the LCPF County portfolio requires a total return of CPI plus 4-6% per annum by investment in and active management of a portfolio of commercial property assets balanced across the retail, office, industrial and “alternative” sectors. It is, however, restricted to investment within the County of Lancashire (NB: This excludes the Metropolitan Counties of Greater Manchester and Merseyside).
Details of the existing properties owned in the Lot 2 portfolio are provided in the Tenderbox facility via the Portal.
The services to be provided under the Lot 2 contract will include the complete property management service from rent collection to service charge management and financial reporting. Candidates will be expected to have knowledge of and manage compliance processes and sustainability matters. Full details of the services to be provided are contained in the Specification documents which are available in the Tenderbox.
The estimated contract value is made up of the total estimated income over the full contract period.
Note that Bidders who wish to be considered for Lot 1 must also bid for Lot 2. However, Bidders which are interested in Lot 2 only, are not required to also submit a bid for Lot 1. As part of this procurement exercise, the Authorities wish to explore whether economies of scale could be achieved by awarding both Lots to the Lot 1 provider. Bidders should therefore note that the Authorities may either (i) make separate appointments in respect of Lot 1 and Lot 2; or (ii) make a single appointment encompassing both Lots 1 and 2 to the highest scoring Bidder of Lot 1 in accordance with the criteria set out in the procurement documents. In expressing interest in Lot 2 only, those Bidders acknowledge that ultimately, the Bidder which achieves the highest score following completion of the evaluation exercise for Lot 2 may not be awarded the Lot 2 opportunity, as the Authorities may decide to award the Lot 2 opportunity to the highest scoring Bidder for Lot 1 if certain criteria are met. Those criteria are further described within the procurement documents available via the Tenderbox.
      II.2.5) Award criteria:
            Price is not the only award criterion and all criteria are stated only in the procurement documents            
      II.2.6) Estimated value:
      Value excluding VAT: 756,400       
      Currency: GBP       
      II.2.7) Duration of the contract, framework agreement or dynamic purchasing system:
      Duration in months: 120       
      This contract is subject to renewal: No       
      Description of renewals: Not provided
      II.2.9) Information about the limits on the number of candidates to be invited:
             Envisaged number of candidates: 5
            
      Objective criteria for choosing the limited number of candidates: Not provided
      II.2.10) Information about variants:
      Variants will be accepted: No
      II.2.11) Information about options:
      Options:       No             
      Description of options: Not provided
      II.2.12) Information about electronic catalogues:
      Tenders must be presented in the form of electronic catalogues or include an electronic catalogue: 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       
      Identification of the project: Not provided             
      II.2.14) Additional information: It is envisaged that there are likely to be TUPE requirements as part of the handover of this contract. Full details will be given at the request for outline solutions stage.       


Section III: Legal, Economic, Financial And Technical Information
   III.1) Conditions for participation
      III.1.1) Suitability to pursue the professional activity, including requirements relating to enrolment on professional or trade registers
      List and brief description of conditions:          
      Not Provided       
      III.1.2) Economic and financial standing          
      Selection criteria as stated in the procurement documents       
      List and brief description of selection criteria:       
      Not Provided    
      Minimum level(s) of standards possibly required (if applicable) :       
      Not Provided    
      III.1.3) Technical and professional ability    
      Selection criteria as stated in the procurement documents
      List and brief description of selection criteria:       
      Not Provided      
      Minimum level(s) of standards possibly required (if applicable) :          
      Not Provided   
      III.1.5) Information about reserved contracts (if applicable)   
      The contract is reserved to sheltered workshops and economic operators aiming at the social and professional integration of disabled or disadvantaged persons: No       
      The execution of the contract is restricted to the framework of sheltered employment programmes: No    
      
   III.2) Conditions related to the contract
      III.2.1) Information about a particular profession    
      Reference to the relevant law, regulation or administrative provision:          
      Not Provided    
      III.2.2) Contract performance conditions          
      Not Provided          
      III.2.3) Information about staff responsible for the performance of the contract
      Obligation to indicate the names and professional qualifications of the staff assigned to performing the contract: No

Section IV: Procedure
   IV.1) Description COMPETITIVE_DIALOGUE
      IV.1.1) Type of procedure:Competitive dialogue    
   
   IV.1.3) Information about a framework agreement or a dynamic purchasing system    
         The procurement involves the establishment of a framework agreement - NO    
         In the case of framework agreements justification for any duration exceeding 4 years: Not Provided    
   IV.1.4) Information about reduction of the number of solutions or tenders during negotiation or dialogue: Yes.
   
   IV.1.6) Information about electronic auction:
      An electronic auction will be used: No
      Additional information about electronic auction: Not provided
   IV.1.8) Information about the Government Procurement Agreement (GPA)
      The procurement is covered by the Government Procurement Agreement: Yes       
   IV.2) Administrative information
      IV.2.1) Previous publication concerning this procedure:
         Notice number in the OJ S: Not provided       
      IV.2.2) Time limit for receipt of tenders or requests to participate
       Date: 09/02/2018 Time: 12:00
      IV.2.3) Estimated date of dispatch of invitations to tender or to participate to selected candidates: 21/02/2018       
      IV.2.4) Languages in which tenders or requests to participate may be submitted: English,       
      IV.2.6) Minimum time frame during which the tenderer must maintain the tender:
         Duration in month(s): 6
      
      

Section VI: Complementary Information
   VI.1) Information about recurrence
   This is a recurrent procurement: No    
   Estimated timing for further notices to be published: Not provided
   VI.2) Information about electronic workflows
   Electronic ordering will be used No       
   Electronic invoicing will be accepted No       
   Electronic payment will be used No       
   VI.3) Additional Information: The contracting authority considers that this contract may be suitable for economic operators that are small or medium enterprises (SMEs). However, any selection of tenderers will be based solely on the criteria set out for the procurement.The process (which will be structured in broadly the same way for each Lot) will involve submitting 2 submissions to KFIM (Outline Solution and Detailed Solution), which will be discussed over two stages of dialogue. Bidders will then be invited to submit Final Tenders following closure of dialogue and on receipt of feedback on their Detailed Solutions from KFIM. Further information concerning the structure of the process is set out within the procurement documents available via the Portal (see link at I.3 above). In the first instance, Bidders will be invited to fill out a selection questionnaire ("SQ"), and will be furnished with a Specification and high level heads of terms. Bidders have also been provided with a draft version of the invitation to submit outline solutions ("ISOS"), which explains how the next stage of the process is intended to take shape. The SQ will be evaluated according to the marking procedure outlined in the SQ. Following evaluation, 5 candidates will be selected to move forward to the second stage of the tender process in respect of each Lot (the submission of Outline Solutions).
The 5 shortlisted candidates from the SQ Stage will be sent a final version of the ISOS and will be asked to submit their Outline Solutions. KFIM will review the Outline Solutions, and intends to provide feedback on the content of those submissions during dialogue sessions as further described in the timetable set out within the procurement documents. Following this, Bidders will then receive an invitation to submit detailed solutions ("ISDS") and will be required to submit their Detailed Solutions. The ISDS Stage of the process will essentially enable KFIM to informally 'test' Bidders' solutions against the evaluation criteria it intends to use at the final stage of the process. KFIM then intends to invite Bidders to attend a further dialogue session to provide feedback on their Detailed Solutions and take part in an interview. Following closure of dialogue, Bidders will be provided with the invitation to submit final tenders ("ISFT") and will be asked to submit their Final Tender response. Final Tenders will then be evaluated according to the criteria which will be confirmed in the ISFT (albeit a high level indication of the price/quality criteria which will apply at Final Tenders Stage is provided in the draft ISOS). The successful Bidder will then be informed of the award decision, and following a 10 day standstill period, the contract will be executed.
KFIM believes that face to face interaction with Bidders will be an important part of this procurement process, in light of some of the complexities involved connected to each contract. KFIM has therefore opted to utilise the Competitive Dialogue Procedure in respect of this procurement. KFIM will, however, endeavour to operate a streamlined and efficient procurement process, so as to reduce the amount of face to face dialogue required with Bidders and achieve a timely contract award. Bidders will remain responsible for all costs and expenses incurred by them or by any third party acting under instructions from Bidders in connection with taking part in this procurement, regardless of whether such costs arise as a consequence direct or indirect of any amendments made to the procurement documents by KFIM at any time.
KFIM reserves the right at any time to:
i) reject any/all responses and to cancel or withdraw this procurement at any stage;
ii) award a contract without prior notice;
iii) change the basis, the procedures and the timescales set out or referred to within the procurement documents;
iv) require a bidder to clarify any submissions in writing and/or provide additional information (failure to respond adequately may result in disqualification);
v) terminate the procurement process;
vi) withdraw one Lot and continue the competition in respect of the other Lot; and
vii) amend the terms and conditions of the selection and evaluation process
For more information about this opportunity, please visit the Delta eSourcing portal at:
https://www.delta-esourcing.com/tenders/UK-UK-London:-Property-management-services-of-real-estate-on-a-fee-or-contract-basis./2823B87ZQA

To respond to this opportunity, please click here:
https://www.delta-esourcing.com/respond/2823B87ZQA
   VI.4) Procedures for review
   VI.4.1) Review body:
             High Court of England and Wales
       Royal Courts of Justice, Strand, London, WC2A 2LL, United Kingdom
       Tel. +44 2079477882
       Internet address: http://www.justice.gov.uk
   VI.4.2) Body responsible for mediation procedures:
Not provided
   VI.4.3) Review procedure
   Precise information on deadline(s) for review procedures:    
    Any review proceedings should be promptly brought to the attention of John Styles of Knight Frank Investment Management LLP, Sixth Floor, One Crown Court, 66 Cheapside, London, and will be dealt with in accordance with the requirements of the Public Contracts Regulations 2015 ("PCR 2015"). Any review proceedings must be brought within the timescales specified by the applicable law, including, without limitation, PCR 2015. In accordance with PCR 2015, KFIM will incorporate a minimum 10 calendar day standstill period from the date information on the award of the contract is communicated to tenderers.    
   VI.4.4) Service from which information about the lodging of appeals may be obtained:
Not provided
   VI.5) Date Of Dispatch Of This Notice: 09/01/2018

Annex A



   IV) Address of the other contracting authority on behalf of which the contracting authority is purchasing
      Purchased on behalf of other contracting authority details:
      1: Contracting Authority
       London Pensions Fund Authority
       London, United Kingdom
       Email: john.styles@kf-im.com
       Main Address: https://www.lpfa.org.uk
       NUTS Code: UKI44

   IV) Address of the other contracting authority on behalf of which the contracting authority is purchasing
      Purchased on behalf of other contracting authority details:
      2: Contracting Authority
       Lancashire County Council
       Lancashire, United Kingdom
       Email: john.styles@kf-im.com
       Main Address: https://www.lancashire.gov.uk
       NUTS Code: UKD4