Powys Real Estate Partnership

Powys Real Estate Partnership

Powys County Council is seeking a private sector partner to enter into a joint venture to support the Council to deliver its ambitions for regeneration across Powys.

United Kingdom-Llandrindod Wells: Real estate services

2015/S 162-297036

Contract notice

Services

Directive 2004/18/EC

Section I: Contracting authority

I.1)Name, addresses and contact point(s)

Powys County Council
County Hall
Contact point(s): Commercial Services
For the attention of: Garry Leatherland
LD1 5LG Llandrindod Wells
UNITED KINGDOM
Telephone: +44 1597826000

Internet address(es):

Address of the buyer profile: http://www.sell2wales.gov.uk/search/Search_AuthProfile.aspx?ID=AA0354

Electronic access to information: www.etenderwales.bravosolution.co.uk

Electronic submission of tenders and requests to participate: www.etenderwales.bravosolution.co.uk

Further information can be obtained from: The above mentioned contact point(s)

Specifications and additional documents (including documents for competitive dialogue and a dynamic purchasing system) can be obtained from: The above mentioned contact point(s)

Tenders or requests to participate must be sent to: The above mentioned contact point(s)

I.2)Type of the contracting authority

Regional or local authority

I.3)Main activity

General public services
Environment
Housing and community amenities
Social protection
Recreation, culture and religion
Education

I.4)Contract award on behalf of other contracting authorities

The contracting authority is purchasing on behalf of other contracting authorities: no

Section II: Object of the contract

II.1)Description

II.1.1)Title attributed to the contract by the contracting authority:

Powys Real Estate Partnership (PREP).

II.1.2)Type of contract and location of works, place of delivery or of performance

Services
Service category No 12: Architectural services; engineering services and integrated engineering services; urban planning and landscape engineering services; related scientific and technical consulting services; technical testing and analysis services
Main site or location of works, place of delivery or of performance: This will predominately focus on the Council’s estates portfolio in Powys but may potentially also include other sites acquired and used by the Council (or PREP). The PREP may also operate outside the county of Powys where it is successful in securing work for other organisations.

NUTS code UKL24

II.1.3)Information about a public contract, a framework agreement or a dynamic purchasing system (DPS)

The notice involves a public contract
II.1.4)Information on framework agreement

II.1.5)Short description of the contract or purchase(s)

Powys County Council (‘the Council’) is seeking a private sector partner (PSP) to enter into a joint venture (‘JV’) to support the Council to deliver its ambitions for regeneration across Powys. These ambitions include the raising of capital (as required), the optimization of asset value for development, and the acceleration of regeneration across key towns within the County in order to maximise land use, value and regeneration. The initial focus is expected to be on the towns of Brecon and Welshpool.
The final structure of the JV will be the subject of discussion with tenderers during the competitive dialogue process. It is currently envisaged that the Council and its selected PSP will establish a jointly owned corporate vehicle with the Council primarily contributing through proposing sites to be optimized for disposal and the private sector partner (PSP) providing services and financing working capital towards realising the maximum value from the sale of those sites for development. The Council reserves the right to agree a different JV structure such as a contractual joint venture or other structure.
The Council owns a wide and diverse range of assets including buildings, land (brown/green field) and farms. With thousands of assets in total, about 750 of these are buildings. The buildings include schools, centres, offices, depots, workshops, libraries, livestock markets and even a wharf. A rationalisation programme is already underway and is a top priority for the Council.
The Council recognises the significant savings that it has and will have to continue to make over the coming years. It continues to deliver services in a more efficient and innovative way (e.g. co-location of services) which is resulting in many site disposal opportunities becoming available.
Although a smaller Council, it Members and Offices have seen the need to find an innovative solution to maximise the value of its disposal assets and to meet its regeneration aspirations for the towns and people of Powys.
Welsh Government are keenly interested in the development of the Powys Real Estate Partnership (PREP) and their support has been demonstrated with funding from the Welsh Government Invest-to-Save I2S fund. Welsh Government are treating the PREP as a pathfinder project that may be rolled out in other Welsh Authorities.
There are many projects taking place within the Council which will lead to property becoming surplus such as the WG 21st Century Schools Modernisation Programme and collocation of services. Whilst the initial focus of PREP is in relation to Brecon, where the Council have identified a number of properties with huge potential, it has also identified Welshpool as another area where numerous properties will be coming available. The Council is already identifying other property becoming surplus as these programs develop and envisage properties across the County becoming available, in particular within and around the main towns. In the immediate future it is likely that some of its schools will become or be identified as becoming surplus and other service buildings as these programs develop.
The opportunity is to carry out pre-development activity to identify, promote, enhance, and optimize the value of property assets and sites in preparing them for market disposal for onward development. It is envisaged that the JV will have the following key roles, to be provided by the PSP:
(1) Strategic Property Enabling and Advisory Services across the portfolio of Council owned sites and also other sites which may be acquired by the Council (either directly or through the PREP) during the partnership period. This may also include preparation of a Partnership Business Plan advising on the optimum sequencing of pre-development and disposals. For further information on these services see the Memorandum of Information.
(2) Site Pre-Development Activities in optimising assets in preparation for market disposal including (but not limited to) development planning and securing planning permission; facilitating land assembly; structuring the transaction and identifying suitable purchasers and tenants for the site; provide working capital and resources; providing consultancy, sales and marketing, planning, financial modelling, master planning, enabling works planning and financial viability services as well as procuring, financing and managing initial enabling works contracts (such as decontamination works, refurbishment, demolition, archaeological surveys and other site investigations) where appropriate. For further information on these services see the Memorandum of Information.
The joint venture with the successful PSP (including through the PREP) will be for a period of 10 years with an option (at the sole discretion of the Council) to extend the contract for a further 5 years. The Council is also interested in the JV seeking other commercial and income generation opportunities in the public and private sector market over the long-term.
The PREP opportunity does not include carrying out or delivering the main developments of the sites but instead involves preparing and optimizing the value of sites for onward disposal for subsequent development.
However, the PREP may be called upon to plan, procure and contract manage some site clearance and decontamination; refurbishment; enabling works and related services (together the ‘enabling works’) as part of its role in delivering Site Pre-Development Activities to enhance assets.
To ensure value for money is achieved at the time when the site optimization projects are commenced and enabling works required (and in observing EU procurement principles on behalf of the Council), it is expected that the supply chain to deliver the enabling works will be competitively tendered by the PREP via a secondary procurement as required. The PSP (through the PREP) will therefore provide an integrator role in procuring and coordinating these third-party providers to deliver enabling works for the benefit of the Council (and would not be performing these enabling works itself).
Further details of the opportunity and scope and scale of potential sites are provided in the Memorandum of Information accompanying the pre-qualification questionnaire (see section VI.3) (Additional Information) for details of how to obtain these). Procurement Documents are also available to view through the portal referred to in section I.1) above (Electronic Access to Information) and can be accessed via the Attachments area on the portal.
Bidders should note that the Procurement Documents are draft documents at this stage, providing indicative information of the Council’s intended approach in the procurement process and are for general information only. The Council reserves the right to vary, amend and update any aspects of the Procurement Documents and final details and versions of the Procurement Documents will be confirmed to applicants successful in being selected to participate in the relevant tender stages of the procurement procedure.

Note: The authority is using eTenderwales to carry out this procurement process. To obtain further information record your interest on Sell2Wales athttp://www.sell2wales.gov.uk/search/search_switch.aspx?ID=28510

II.1.6)Common procurement vocabulary (CPV)

70000000, 70110000, 70111000, 70112000, 70330000, 70210000, 70310000, 70332100, 70332200, 70332300, 70331000, 70332000, 79400000,66171000, 66100000, 71000000, 71200000, 71241000, 71315200, 71315210, 71510000, 71324000, 71315400, 71315300, 71410000, 90712000,90712100, 71500000, 71520000, 71247000, 79418000, 79419000, 45453100, 45111213, 45112360, 45454100

II.1.7)Information about Government Procurement Agreement (GPA)

The contract is covered by the Government Procurement Agreement (GPA): yes

II.1.8)Lots

This contract is divided into lots: no

II.1.9)Information about variants

Variants will be accepted: yes
II.2)Quantity or scope of the contract

II.2.1)Total quantity or scope:

The potential return to the PSP from providing services will depend on many commercial factors including (but not limited to) the number of schemes and services approved by Council to be managed by the PREP, the performance of the PREP, market conditions, and the arrangements for financing activities and sharing returns agreed between the Council and the PSP in establishing the PREP. The basis on which the return to the PSP is provided is set out in the Memorandum of Information.
The potential return to the PSP, based on the potential enhanced value of the sites, based over a 10 year life of the PREP, is estimated to be between 5 000 000 GBP and 20 000 000 GBP.
The potential number of days of strategic property enabling and advisory services which the PSP (through the PREP) may be required to deliver is estimated to be a range of between 50 to 100 days per annum, although it may be a higher or lower number, as the exact number is yet to be determined. The value of these services to the PREP will be dependent upon the rates and the actual amount of work undertaken.
Bidders should seek independent legal and commercial advice in relation to the potential value of the opportunity of the scheme as a whole.

II.2.2)Information about options

Options: yes
Description of these options: The contract between the Council and the PSP (through the PREP) will be for an initial term of 10 years with an option to extend (exercisable during the initial term) for a further 5 years.

II.2.3)Information about renewals

This contract is subject to renewal: no
II.3)Duration of the contract or time limit for completion

Section III: Legal, economic, financial and technical information

III.1)Conditions relating to the contract

III.1.1)Deposits and guarantees required:

The Council reserves the right to require deposits, guarantees, bonds or other forms of appropriate security.

III.1.2)Main financing conditions and payment arrangements and/or reference to the relevant provisions governing them:

Details will be set out in the Invitation to Participate in Competitive Dialogue (ITPD) and/or the contractual documentation and will be developed throughout the competitive dialogue procedure.

III.1.3)Legal form to be taken by the group of economic operators to whom the contract is to be awarded:

Expressions of interest in response to this contract notice may be submitted by a single bidder or a consortium. The contracting authority reserves the right to require groupings of contractors to take a particular legal form or to require a single contractor to take primary liability or to require that each party undertakes joint and several liability.

III.1.4)Other particular conditions

The performance of the contract is subject to particular conditions: yes
Description of particular conditions: The PREP may be required to actively participate in the achievement of social and/or environmental policy objectives relating to recruitment and training and supply-chain initiatives. Accordingly contract performance conditions may relate in particular to social and environmental considerations.
III.2)Conditions for participation

III.2.1)Personal situation of economic operators, including requirements relating to enrolment on professional or trade registers

Information and formalities necessary for evaluating if the requirements are met: In accordance with Articles 57 to 63 of Directive 2014/24/EU and Regulations 57 to 63 of the Public Contracts Regulations 2015 and as set out in the pre-qualification questionnaire available from the address in section I.1).

III.2.2)Economic and financial ability

Information and formalities necessary for evaluating if the requirements are met: In accordance with Article 58 to 63 of Directive 2014/24/EU and Regulation 58 to 63 of the Public Contracts Regulations 2015 and as set out in the prequalification questionnaire which is available from the address in section I.1).
Minimum level(s) of standards possibly required: As set out in the pre-qualification questionnaire.

III.2.3)Technical capacity

Information and formalities necessary for evaluating if the requirements are met:
In accordance with Articles 58 to 63 of Directive 2014/24/EU and Regulation 58 to 63 of the Public Contracts Regulations 2015 and as set out in the prequalification questionnaire which is available from the address in section I.1).
Minimum level(s) of standards possibly required:
As set out in the pre-qualification questionnaire.
III.2.4)Information about reserved contracts
III.3)Conditions specific to services contracts
III.3.1)Information about a particular profession

III.3.2)Staff responsible for the execution of the service

Legal persons should indicate the names and professional qualifications of the staff responsible for the execution of the service: yes

Section IV: Procedure

IV.1)Type of procedure

IV.1.1)Type of procedure

competitive dialogue

IV.1.2)Limitations on the number of operators who will be invited to tender or to participate

Envisaged minimum number 4
Objective criteria for choosing the limited number of candidates: As set out in the pre-qualification questionnaire.

IV.1.3)Reduction of the number of operators during the negotiation or dialogue

Recourse to staged procedure to gradually reduce the number of solutions to be discussed or tenders to be negotiated yes
IV.2)Award criteria

IV.2.1)Award criteria

The most economically advantageous tender in terms of the criteria stated in the specifications, in the invitation to tender or to negotiate or in the descriptive document

IV.2.2)Information about electronic auction

An electronic auction will be used: no
IV.3)Administrative information
IV.3.1)File reference number attributed by the contracting authority:
IV.3.2)Previous publication(s) concerning the same contract
IV.3.3)Conditions for obtaining specifications and additional documents or descriptive document

IV.3.4)Time limit for receipt of tenders or requests to participate

21.9.2015 – 12:00

IV.3.5)Date of dispatch of invitations to tender or to participate to selected candidates

12.10.2015

IV.3.6)Language(s) in which tenders or requests to participate may be drawn up

English.
IV.3.7)Minimum time frame during which the tenderer must maintain the tender
IV.3.8)Conditions for opening of tenders

Section VI: Complementary information

VI.1)Information about recurrence
VI.2)Information about European Union funds

VI.3)Additional information

This project is funded by Welsh Government.
Section II.1.8) (Lots): The Council has not divided the contract into Lots because it is not appropriate for this arrangement.
Section II.1.9) (Variants) — The Council reserves the right to invite variant proposals and final details of whether variants will be invited will be provided to bidders that are shortlisted to participate in the competitive dialogue stage of the procurement.
Section II.1.2) Additional service categories: No 6 financial services; No 11 management consultancy services and No 14 property management services. The arrangements may also include managing enabling works.
It is anticipated that the invitation to participate in dialogue will be sent to short-listed bidders in October 2015.
Section IV.3.4) (Time-limit for requests to participate) — Expressions of interest must be by way of completion and return of the prequalification questionnaire (in accordance with the requirements set out in the prequalification questionnaire) by the date and time specified in Section IV.3.4).
Some confidential information relating to sites is available upon interested parties returning a signed confidentiality agreement via the messaging facility on the eTenderwales portal (a copy of the agreement can be found within the Attachments area on the portal). This information in its nature relates to properties which may currently be occupied and therefore the Council requires these measures be observed in order to govern access to this information.
Expressions of interest must be received before the deadline.
Bidders are encouraged to submit their submissions well in advance of the stated date and time in order to avoid such issues as technical difficulties with the electronic system that may be due to the high volumes of traffic attempting to submit applications on the same date at the same time. Expressions of interest delivered after the date and time specified or to a different address, electronically or otherwise, will not be considered.
The contracting authority reserves the right not to award the opportunity or to award only part (or a different arrangement) of the opportunity described in this contract notice.
— Instructions for Suppliers — Registration on eTenderwales:

Powys County Council will be conducting this tender through the Value Wales eTendering portal. This can be found atwww.etenderwales.bravosolution.co.uk , all information may be downloaded and returned through this channel.

Internet address(es): http://etenderwales.bravosolution.co.uk

Suppliers Instructions How to Express Interest in this PQQ.
1. Register your company on the eTenderwales portal (this is only required once)

— browse to the eSourcing Portal: www.etenderwales.bravosolution.co.uk ,

— click the ‘Click here to register’ link,
— accept the terms and conditions and click ‘continue’,
— enter your correct business and user details,
— note the username you chose and click ‘Save’ when complete,
— you will shortly receive an email with your unique password (please keep this secure).
2. Express an Interest in the PQQ
— login to the portal with the username/password,
— click the ‘Open Access PQQs’ link,
— click on the relevant PQQ to access the content. (PQQ_31882),
— click the ‘Express Interest’ button in the ‘Actions’ box on the left-hand side of the page,
— this will move the PQQ into your ‘My PQQs’ page. (This is a secure area reserved for your projects only),
— click on the PQQ code, you can now access any attachments by clicking the ‘Settings and Buyer Attachments’ in the ‘Actions’ box.
3. Responding to the PQQ
— you can now choose to ‘Reply’ or ‘Reject’ (please give a reason if rejecting),
— you can now use the ‘Messages’ function to communicate with the buyer and seek any clarification,
— note the deadline for completion, then follow the onscreen instructions to complete the PQQ,
— there may be a mixture of online and offline actions for you to perform (there is detailed online help available).
If you require any further assistance use the online help, or the BravoSolution help desk is available Mon-Fri (8:00-18:00) on:

— eMail: help@bravosolution.co.uk .

— phone: +44 8003684850 / fax: +44 2070800480.
Tenders or Requests to Participate must be sent to:

Official name: www.etenderwales.bravosolution.co.uk

(WA Ref:28510).

VI.4)Procedures for appeal
VI.4.1)Body responsible for appeal procedures
VI.4.2)Lodging of appeals
VI.4.3)Service from which information about the lodging of appeals may be obtained

VI.5)Date of dispatch of this notice:

18.8.2015

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