Purchase of a Discretionary Real Estate Manager

The Pensions and Investment Committee is inviting tenderers from Real Estate Investment Managers who can offer a high quality Discretionary Management Service.

United Kingdom-Matlock: Pension fund management services

2015/S 057-100198

Contract notice

Services

Directive 2004/18/EC

Section I: Contracting authority

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

Derbyshire County Council
County Hall
Contact point(s): Michelle Smith
For the attention of: Julia Apperley
DE4 3AH Matlock
UNITED KINGDOM
Telephone: +44 1629536854
E-mail: julia.apperley@derbyshire.gov.uk

Internet address(es):

General address of the contracting authority: www.derbyshire.gov.uk

Electronic access to information: www.sourcederbyshire.gov.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

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:

CTP717 Purchase of a Discretionary Real Estate Manager.

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

Services
Service category No 6: Financial services a) Insurances services b) Banking and investment services

NUTS code UKF1

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)

Derbyshire County Council Pension Fund, administered by Derbyshire County Council, has assets under management of 3.4bn GBP, including direct property holdings, last valued at nearly 104 000 000 GBP in March 2014. The holdings constitute 12 commercial real estate properties, all within the UK.
The Pensions and Investment Committee is inviting tenderers from Real Estate Investment Managers who can offer a high quality Discretionary Management Service. This service would include both the operational and financial management of the existing property assets and the formulation and execution of a strategy to diversify the UK real estate portfolio further. The Committee is proposing to add a significant cash sum to the direct property asset allocation – the exact figure dependent on the outcome of the Fund’s current Actuarial Asset/ Liability Study. The contract is for an initial period of 4 years, with the possibility of an extension for two periods of three years thereafter. For the avoidance of doubt the contract will be no longer than ten years as a maximum.
For many years, Derbyshire County Council Pension Fund’s real estate assets have been managed on an advisory basis. By transferring this to a discretionary mandate, the Pensions and Investment Committee is seeking a provider who has sufficient resources and expertise to maximise the return from the existing assets and who can transact sales and acquisitions to improve the overall investment performance. The Committee is also seeking a provider who can maintain a reliable and professional relationship with the Committee and all other stakeholders over the term of the contract.
It is anticipated that the successful applicant will coordinate with the existing provider and the Derbyshire in-house investment team to agree Service Levels, Acceptance Testing arrangements and an Exit Plan, when requested by the Council. Any Additional Services likely to be required by the Council, commensurate to the Services set out in this agreement, will also be detailed.
In addition the provider will be expected to propose an initial Business Plan for each direct real estate agent and the initial strategy for future diversification of the portfolio.
This contract is not open to other local authorities.

II.1.6)Common procurement vocabulary (CPV)

66141000

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

II.2)Quantity or scope of the contract

II.2.1)Total quantity or scope:

II.2.2)Information about options

Options: no

II.2.3)Information about renewals

This contract is subject to renewal: no

II.3)Duration of the contract or time limit for completion

Duration in months: 120 (from the award of the contract)

Section III: Legal, economic, financial and technical information

III.1)Conditions relating to the contract

III.1.1)Deposits and guarantees required:

As stated in the original tender documents.

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

As stated in the original tender documents.

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

As stated in the original tender documents.

III.1.4)Other particular conditions

The performance of the contract is subject to particular conditions: no

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: As stated in the original tender documents.

III.2.2)Economic and financial ability

Information and formalities necessary for evaluating if the requirements are met: As stated in the original tender documents.
Minimum level(s) of standards possibly required: As stated in the original tender documents.

III.2.3)Technical capacity

Information and formalities necessary for evaluating if the requirements are met:
As stated in the original tender documents.
Minimum level(s) of standards possibly required:
As stated in the original tender documents.

III.2.4)Information about reserved contracts

III.3)Conditions specific to services contracts

III.3.1)Information about a particular profession

Execution of the service is reserved to a particular profession: yes
Reference to the relevant law, regulation or administrative provision: Providers must be registered in term of the UK Financial Services and markets Act 2000, or equivalent law of the European Economic Area (EEA) member state to manage the assets of occupational pension schemes. Proof of registration must be provided.

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: no

Section IV: Procedure

IV.1)Type of procedure

IV.1.1)Type of procedure

Open

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

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 no

IV.2)Award criteria

IV.2.1)Award criteria

The most economically advantageous tender in terms of the criteria stated below

1. Technical assessment. Weighting 70

2. Price. Weighting 30

IV.2.2)Information about electronic auction

An electronic auction will be used: yes
Additional information about electronic auction:

IV.3)Administrative information

IV.3.1)File reference number attributed by the contracting authority:

CTP 717

IV.3.2)Previous publication(s) concerning the same contract

IV.3.3)Conditions for obtaining specifications and additional documents or descriptive document

Time limit for receipt of requests for documents or for accessing documents: 16.4.2015 – 23:59
Payable documents: no

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

16.4.2015 – 23:59

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

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

in days: 180 (from the date stated for receipt of tender)

IV.3.8)Conditions for opening of tenders

Date: 17.4.2015 – 11:00

Place:

Matlocl Derbyshire.

Persons authorised to be present at the opening of tenders: yes
Additional information about authorised persons and opening procedure: Senior officers of Derbyshire County Council.

Section VI: Complementary information

VI.1)Information about recurrence

This is a recurrent procurement: no

VI.2)Information about European Union funds

The contract is related to a project and/or programme financed by European Union funds: no

VI.3)Additional information

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:

18.3.2015