Houses construction work

Tender description

Leeds City Council Council and Climate Innovation District Phase 3 Ltd (Citu) are proposing to enter into a development lease to develop land at Clarence Road, Leeds. CITU, a local developer, have approached the Council to purchase the subject site at market value for the purposes of developing a mixed use scheme which includes a primary school, to be incorporated into a much larger multi-generational building that will also include a nursery, elderly care and residential flats. The cost of the development is estimated to be in the region of 15 500 000 GBP for the whole build and base build cost of the school will be circa 3 000 000 GBP (which is part of the 15 500 000 GBP). Leeds City Council (LCC) believes this falls outside the scope of the Public Contracts Regulations 2015 because LCC is simply entering into these agreements to ensure that the Developer (Citu), should it choose to do so, develops the land in question to include school use in accordance with the planning permission granted to Citu. There will be no consideration paid to Citu by LCC on account of the execution of any works undertaken as a result of the agreements and no direct economic benefit will accrue to LCC as a result thereof. There is no legally binding contractual obligation to undertake work or works under applicable national contract law. The site as a whole would be developed in accordance with the planning permission granted to Citu for the land in question and Citu has put forward its own intentions, proposals and specifications as part of its planning application. Should Citu be granted planning permission and works incorporating a school use are not completed (but with no obligation for Citu to do so) within an agreed period LCC will have the ability to buy back the land in question. The draft agreement proposed in connection with this transaction can be obtained by contacting Ben Smithson, Senior Land and Property Officer, Leeds City Council at ben.smithson@leeds.gov.uk