ID605 Ryepark Development

Location

Land between Ryecroft, Liverpool Road, Corporation Street and Merrial Street Newcastle Under Lyme

Description

Intention to enter into (a) a tri-party conditional contract for the sale of freehold land with Newcastle-under-Lyme Borough Council ("Council") and Capital & Centric (Illusion) Limited ("Developer") and (b) a development agreement with Developer as part of a land and build package arrangement using the negotiated procedure without notice under Regulation 32 of the Public Contract Regulations 2015 ("PCR 2015").

Total Quantity or Scope

Under terms and conditions of this tri-party conditional contract for the sale of freehold land with the Council and the Developer, the Council shall sell the land to Aspire for residential development on the land. Main conditions of this sale are (a) the Council shall complete infrastructure works and a golden brick level shall be reached prior to transfer (b) Aspire shall enter into a development agreement with the Developer to complete the residential development, including design and construction of 43 affordable homes. Funding is being received for infrastructure works for this project by the Council from Homes England Brownfield, Infrastructure and Land Grant Fund.

Award Detail

CPV Codes

• 45211000 - Construction work for multi-dwelling buildings and individual houses

Indicators

• Award on basis of price and quality.

Legal Justification

The award is permitted using the negotiated procedure without a notice on technical grounds on the basis of Regulation 32(2)(b)(ii) of the Public Contracts Regulations 2015. The direct award without prior publication justification applies because: (a) the Council is prepared to sell the land only as part of arrangements that also includes completion of the residential development; (b) Aspire has significant unmet need in the locality of the development, evidenced through long housing waiting lists and (c) there is no sufficient other land on the market which is available for affordable housing development within reasonable timeframes local to fulfil the unmet demand of affordable housing.

Other Information

As negotiations with the Council and Developer were in progress before 24th February 2025 (i.e. when the Procurement Act 2023 came into effect), these development arrangements fall within Regulation 5(3)(b) of the Procurement Act 2023. (Commencement No. 3 and Transitional and Saving Provisions) Regulations 2024 and therefore PCR 2015 is applicable. Name and address of Developer's Contractor: HBC Construction Limited (Company number 02880202) having registered office at Callywhite Lane, Dronfield, England, S18 2XN