Development Partner - Wallasey Town Hall Annexes

Description

Wirral Borough Council (the "Council") has previously identified the Wallasey Town Hall Quarter as a priority area in need of regeneration. Following the recent adoption of the Wallasey Town Hall Quarter Masterplan ("Masterplan"), the Council is seeking a suitably experienced developer to bring forward affordable housing developments on two sites within Wirral known as the former North and South Annexe Buildings fronting Brighton Street and located either side of Wallasey Town Hall (the "Sites"). The Council adopted its new Local Plan on 31st March 2025, which requires 14,400 net additional dwellings by 2040. These are all to be delivered on brownfield sites, two of which are the sites of the former Wallasey Town Hall annexes. The 2021 Strategic Housing Market Assessment for Wirral, which was a key piece of evidence in developing the Local Plan, states a need for around 700 affordable homes each year. Whilst there is a high need for all types of affordable housing across the Borough, the greatest pressure for the local authority is for rented affordable housing. There are currently around 5,000 households on the housing waiting list, with over 600 of these having the highest priority need. The Council is now seeking to appoint a developer which can bring skills, experience and expertise in delivering the affordable housing at pace and in line with local housing needs within the Borough. The indicative plans included within the Masterplan show potential massing up to four storeys and focussed on the provision of apartments at the Site. Indicative sketch plans and corresponding accommodation schedules show c.80 residential units could be constructed across both sites. However, the Council is interested in the commercial acumen and expertise in design and construction that Suppliers can provide. Suppliers are therefore encouraged to put forward proposals via the procurement process that they think best meets the Council's requirements and objectives, which are: (a) Deliver much needed Affordable Housing; and (b) Submit proposals that are guided by the Masterplan contents. Noting the above, the Council has set the following Minimum Requirements that must be delivered for this Procurement: (i) requirement to deliver 100% affordable housing for rent (preferably social rent) with property types that meet local demand; and (ii) requirement to deliver a minimum of 75 units. Further information on these Minimum Requirements is set out in the published tender documentation. Development Prospectus For further information regarding the opportunity, please refer to the Development Prospectus which can be accessed via the Chest portal used by the Council which can be accessed here: https://procontract.due-north.com (the "Portal"). The estimated value in this notice represents the upper value of the potential range of the gross development value of the scheme which is between £15,000,000 (excluding VAT) / £18,000,000 (including VAT) - £20,000,000 (excluding VAT) / £24,000,000 (including VAT). However, potential returns will depend on many commercial factors including (but not limited to) the performance of the developer and market conditions. Suppliers should seek independent legal and commercial advice in relation to the development potential of the site and the potential value of the opportunity. The following associated tender documents are being provided with the publication of this tender notice to provide further information about the procurement and are available via the Portal: • Procurement Specific Questionnaire ("PSQ") • Invitation to Submit Draft Solutions ("ISDS") • Development Prospectus • Heads of Terms • Agreement for Lease and Development • Land Transfer • Building Lease • Grant Funding Agreement The following associated tender documents will be made available later through the Portal to suppliers shortlisted to participate in the tender stage of the competitive flexible procedure: • Invitation to Continue Dialogue ("ITCD"); • Invitation to Submit Final Tenders ("ISFT"). This procurement concerns the award of a public contract via the competitive flexible procedure in accordance with s20(1) and (2)(b) of the Procurement Act 2023. The Development Agreement is a concession contract as defined in s8 of the Procurement Act 2023, the main object of which is the delivery of works. The CPV codes included in this notice provide transparency on the range of works and/or services that may be required as part of the scheme. The Council has secured funding in the region of £1.7m which it intends to make available to the successful supplier to assist with the delivery of this scheme. This funding will need to be used in accordance with the terms and conditions of the associated Grant Funding Agreement (which is made available with this Tender Notice). The intention is to make this funding available to the successful supplier via a Grant Funding Agreement, which will be a "back-to-back" arrangement with the grant arrangement that the Council will enter into with the funder. There are a number of conditions attached to this funding as more particularly described in the Grant Funding Agreement. One of the conditions within the Grant Funding Agreement is the date on which the Council is required to have entered into a conditional contract with the successful supplier on, which is currently set as 31 December 2025. Another condition within the Grant Funding Agreement is the date on which the scheme will go unconditional, which is currently fixed as the 31 March 2027. The Council acknowledges that the above dates present various challenges especially in light of the issued procurement timetable. Noting the above, the Council intends to seek an extension to the Grant Funding Agreement deadline (referred to above) and will provide further information on this to suppliers during the competitive tendering process. The Council will provide further information/updates on the availability of this funding and/or any revisions to the conditions/deadlines referred to in the Grant Funding Agreement as soon as it is able to. The Council anticipates providing this further information following the shortlisting of suppliers following the evaluation of PSQ responses. However, the Council reserves the right to provide this information at a later stage of the competition, but before the request for tenders in the event that there are delays in agreeing an extension with the funder. Suppliers are therefore to note that (i) the level and availability of the funding (and the conditions attached to that funding) to be made available as part of this process may be subject to change; (ii) if the Council is unable to seek agreement to the extension sought, the unconditional date may remain unchanged; and (iii) the funding referenced in this notice may be withdrawn entirely. Further details on this will be confirmed to participating suppliers during the competition. Prospective suppliers should therefore note that the Council reserves the right to vary or withdraw the available funding during the procurement process. The March 2031 estimated contract date (below) represents the timeframe whereby practical completion of the scheme must be delivered by in accordance with the longstop date set out in the Grant Funding Agreement. However, as stated in this notice, the dates provided for in the Grant Funding Agreement may be subject to change, and this will be communicated to suppliers at a later stage of the procurement process. Suppliers requesting to participate in this procurement competition are also required to submit their completed PSQs through the Portal.