Giles Lane Student Accommodation Project

Description

Intention to award a Public Works contract under Regulation 32(2) (b) (iii) of the Public Contract Regulations 2015 for the development of student accommodation at Giles Lane, Canterbury, Kent. The Negotiated Procedure without Prior Publication is being followed and is justified under Regulation 32 (2) (b) (iii). Lot 1: This Notice sets out the contracting authority's intention to award a works contract using the negotiated procedure without prior publication, in accordance with Regulation 32 of the Public Contracts Regulations 2015. The University of Kent (the "University") intends to enter into a transaction to secure new student accommodation ("the Transaction"). The University will enter into an Agreement for Lease ("AFL") with Canada Life (the "Fund") and Giles Lane Investments Limited (the "Developer") for the construction of 91 new student rooms (the "Development") on a property known as Landon, Giles Lane ("Landon") which adjoins the University's Canterbury campus. The Developer has the option to purchase Landon from the current owners (the "Option") and has obtained planning permission for the Development. The AFL will contain obligations on the Developer to procure the construction of the Development and obligations on the Fund to grant an occupational lease to the University ("the Underlease") on practical completion of the Development. The Underlease will be a full repairing and insuring, financing lease, with limited rights of assignment by the University, containing an indexing rent with cap and collar. On expiry of the Underlease, subject to payment of all rents and interest to the Fund, the University will have the option to purchase the Headlease from the Fund for one pound (£1) (the Fund will also have the option to require the University to purchase the Headlease for one pound (£1)). The Transaction comprises a number of other arrangements, including: • a building contract between the Developer and a building contractor, and the appointments of a professional team by the Developer, with warranties in favour of the University; • arrangements in respect of the construction and maintenance of the wetland, which is described in section IV.1.1; • licence arrangements to enable the Developer to locate contractor welfare facilities and store other materials on the University's campus; • licence arrangements to enable certain other wetland works to be undertaken on the University's campus, to satisfy a planning condition for the Development; • the Developer has an option over other land of the University which, together with Landon and other parcels of land in third party ownership, was intended to comprise one large development of student accommodation, which option over the said University land is to be varied now that Landon will progress independently; • the University will receive a payment on completion of the Transaction. The works can only be provided by the Developer for the following reason: protection of exclusive rights under Regulation 32 (2) (b) (iii) of the Public Contracts Regulations 2015.