Former Lisnagelvin Leisure Centre Development Brief and Site Disposal. T BUS20-090

Tender description

1. Introduction Derry City and Strabane District Council (DCSDC) is releasing the former Lisnagelvin Leisure Centre site for development. Interested parties are invited to submit their proposals for the site in accordance with the information presented in this Development Brief. The Development Brief is presented under the following headings: • Location and Surroundings • Access and Connectivity • Planning Considerations • Objectives for the Sites Future Development • Title • Net Annual Value • Energy Performance Certificate • VAT • Key Conditions of Sale • Disposal Conditions of Sale • Financial Considerations • Assessment and Selection • Returning Bids • Obtaining Full Documents for Submission • Further Information Bid proposals in respect of this development opportunity are to be on the basis of purchasing the site only. The Council has high aspirations for the site. The prime objectives in providing this development opportunity are to achieve an attractive, sustainable and well integrated commercial scheme that complements and enhances with its immediate surroundings. Please note that Derry City and Strabane District Council is required to ensure a sound financial return in any disposal of this asset. You must register with Lambert Smith Hampton to obtain full Development Brief documentation and be able to respond to this opportunity. The development brief is for general guidance only and while the information provided is done so in good faith, DCSDC cannot accept any warranty as to its accuracy. Interested parties are not entitled to place reliance on the information provided and must satisfy themselves by inspection or otherwise as to the correctness of the information contained therein 2. Specification The purpose of this development brief is to provide prospective developers with some guidance in terms of its future preferred use(s). The Council is keen to ensure that development will create a positive impact on the area from an economic development perspective – bringing benefits for the local community. Therefore, developers will be expected to bring forward feasible and viable proposals that seek to maximise the economic development potential and promoting job creation opportunities within a satisfactory timeframe. In achieving this, commercial-led proposals will be given preference as part of this process. In addition, DCSDC is required to ensure that it secures a sound financial return in any disposal of this asset. Council expressly reserves the right not to accept the best or any offer and preparation of bids is entirely at developers risk. Key conditions of Sale The site will be marketed by way of a development brief with transfer of title on the basis of a long lease, upon satisfactory completion of the development. Interested parties are invited to submit proposals in line with the assessment and selection criteria to ensure that this opportunity site is developed in accordance with the aims and aspirations of Derry City and Strabane District Council. This Development Brief is intended to provide information as to the nature of the site and anything contained herein is not to be construed as a representation by the Council or its agent. All matters contained within this Development Brief are subject to contract / lease. DCSDC is not bound to accept or proceed with any offer pursuant to this Development Brief and reserve the right to negotiate with any bidder to obtain further information / clarification on the detail of any proposal. All bidders will bear their own costs and expenditure associated with the preparation and submission of their proposal. The assessment and selection criteria has been designed to ensure the Council achieve the best price for the land and fulfil their statutory function to create an economic generator. Depending therefore on the nature of the preferred bid, the Council may have to seek departmental consent to the particular Development proceeding. Should the Council seek such consent, and such consent not be forthcoming, then the Council will not be obliged to proceed with that bid, and shall have no liability in relation to the Bidder should this be the case. Please do note the final agreed terms will be subject to formal Council approval. Disposal Conditions of Sale The disposal will be subject to the following conditions of sale: 1. Following appointment of the preferred bidder the Council will issue an Agreement for Lease and draft Lease, available on request. The Agreement for lease with the preferred bidder must be executed within 3 months of issue of same by the Council. 2. The preferred developer will be required to provide 20per cent of the financial bid as a nonrefundable deposit at the time of signing the Agreement for Lease. 3. The preferred developer will be required to submit a full planning application within 9 months of the execution of the Agreement for Lease. Failure to submit a full planning application within 9 months of the execution of the Agreement for Lease may lead to an option to terminate. 4. The preferred bidder will be required to provide a further 40per cent of the financial bid (nonrefundable) (60per cent in total) on receipt of the first planning approval granted. 5. Building work to commence on the development within 6 months of the grant of full planning permission. If necessary, a Building Licence Agreement will be entered into to enable development work to be undertaken on the site. 6. The balance 40per cent of the purchase price will be paid upon satisfactory completion of the development and grant of a Lease. 7. Prior to the date of the Agreement for Lease the Lessee will be required to provide details of the Lessee’s proposed works to the Council. 8. From the date of the Agreement for Lease the bidder will be responsible for insurance and liability during the duration of the Agreement. 9. The Permitted User Clause will reflect the submissions made by the bidders. 10. The Agreement for Lease will contain a Long Stop Date for Practical Completion. 11. The preferred developer will be granted a 999 year long leasehold title with a nominal rent of £1.00 per annum for the site. This will transfer to the preferred developer on the basis of payment of the remaining balance of the site price and satisfactory completion of the proposed development. Financial Considerations Guide Price Offers invited in the region of £500,000. The agreed purchase price will be payable in accordance with the terms of the Agreement for Lease which will include the above Disposal Conditions of Sale. Please refer to CfT Documents for full detail.