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 31 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 seeking to appoint a developer with the 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 were 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 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 was set out in the published tender documentation and accessible via the Chest portal used by the Council which can be accessed here: https://procontract.due-north.com (the "Portal").
The estimated value of this opportunity 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 were to 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 were provided with the publication of the tender notice to provide further information about the procurement and were 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; and
Grant Funding Agreement.
The following associated tender documents were 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") and
Underlease (which mirrors the terms set out in the Building Lease).
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. The funding will need to be used in accordance with the terms and conditions of the associated Grant Funding Agreement (which was made available with the Tender Notice).
The March 2031 estimated contract end date 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.