2026 Development Agreement Opportunity
A Tender Notice
by LONDON BOROUGH OF SOUTHWARK
- Source
- Find a Tender
- Type
- Contract (Works)
- Duration
- 6 year
- Value
- £264M-£656M
- Sector
- CONSTRUCTION
- Published
- 20 Feb 2025
- Delivery
- To 21 Feb 2031 (est.)
- Deadline
- 24 Mar 2025 14:00
Concepts
Location
1 buyer
- London Borough of Southwark London
Description
The London Borough of Southwark (‘the council’) is seeking two development Partners ('Partner' or 'Partners') to fund, design, develop and undertake sales activity for two multi-site lots ('Lot A' and 'Lot B') within the Borough, via Development Agreements. The purpose is to work in partnership with the two Partners on the respective lots to deliver good quality and sustainable homes, with a key priority to maximise the numbers of affordable housing in each of the Lots. The sites forming the development programme are split across two Lots (with the Council appointing a different Partner for Lot A and Lot B each). Through the Development Agreements, the Council requires the two Partners to develop a package of sites in two distinct areas of the borough for each Lot, to deliver predominantly residential-led schemes with affordable housing and market housing (as well as potentially other buildings, structures and landscaping as required). Details of the sites forming each of the Lots are detailed in the Descriptive Document. Applicants should note that a single pool of Pipeline Sites also falls within scope of the overall procurement. The Council reserves the right, at its sole discretion, to bring forward any or all of the Pipeline Sites in either Lot, and to offer those sites to the developer who has been successful in either Lot. There is a single pool of Pipeline Sites and Applicants should note that it remains at the Council's sole discretion to which (if any) of the Lots those Pipeline Sites may be offered. For the avoidance of doubt, there is no guarantee that any or all of the Pipeline Sites will be offered to either developer in either Lot A or Lot B during the course of the development programme. Where a developer is offered a Pipeline Site and the developer chooses to opt to include that Pipeline Site as part of the programme, the Pipeline Site will become subject to the terms of the Development Agreement. Taking forward any of the “Pipeline Sites” will be subject to council decision-making processes which have not yet been completed. This includes taking account of the outcomes of any resident ballots. The estimated duration of the contract is for a term of six (6) years, with an option to extend at the Council's sole discretion by a further period of 4 years (subject to obtaining Council approval to such extension), giving a total possible contract term of 10 years. The total estimated possible value is as set out in II.1.5. The estimated value of Lot A excluding any pipeline sites is £128,857,182 (GDV) The estimated value of Lot B excluding any pipeline sites is £135,442,064 (GDV) The estimated value of the optional pipelines sites is £391,606,372 (GDV)
Lot Division
1 | 2026 Development Agreement Programme: Lot A
Lot A consists of four sites in the Peckham, Old Kent Road and Camberwell Green wards of the Borough for the Lot A Partner to fund, design, develop and undertake sales activity for via the Development Agreement. Details of the sites forming each of the Lots are detailed in the Descriptive Document. Applicants should note that a single pool of Pipeline Sites also falls within scope of the overall procurement. The Council reserves the right, at its sole discretion, to bring forward any or all of the Pipeline Sites in either Lot, and to offer those sites to the developer who has been successful in either Lot. There is a single pool of Pipeline Sites and Applicants should note that it remains at the Council's sole discretion to which (if any) of the Lots those Pipeline Sites may be offered. For the avoidance of doubt, there is no guarantee that any or all of the Pipeline Sites will be offered to either developer in either Lot A or Lot B during the course of the development programme. Where a developer is offered a Pipeline Site and the developer chooses to opt to include that Pipeline Site as part of the programme, the Pipeline Site will become subject to the terms of the Development Agreement. Taking forward any of the “Pipeline Sites” will be subject to council decision-making processes which have not yet been completed. This includes taking account of the outcomes of any resident ballots. The estimated value of Lot A excluding any pipeline sites is set out in II.2.6. The estimated value of the optional pipelines sites is £391,606,372 (GDV) Additional information: The Council anticipates that it will shortlist the three highest scoring Applicants to participate in Dialogue. However, where the identity of the shortlisted Applicants across both Lots 1 and 2 are the same, the Council reserves the right at its sole discretion to shortlist the fourth highest scoring Applicant in each Lot. |
2 | 2026 Development Agreement Programme: Lot B
Lot B consists of three sites in the Rotherhithe and North Bermondsey wards of the Borough for the Lot B Partner to fund, design, develop and undertake sales activity for via the Development Agreement. Details of the sites forming each of the Lots are detailed in the Descriptive Document. Applicants should note that a single pool of Pipeline Sites also falls within scope of the overall procurement. The Council reserves the right, at its sole discretion, to bring forward any or all of the Pipeline Sites in either Lot, and to offer those sites to the developer who has been successful in either Lot. There is a single pool of Pipeline Sites and Applicants should note that it remains at the Council's sole discretion to which (if any) of the Lots those Pipeline Sites may be offered. For the avoidance of doubt, there is no guarantee that any or all of the Pipeline Sites will be offered to either developer in either Lot A or Lot B during the course of the development programme. Where a developer is offered a Pipeline Site and the developer chooses to opt to include that Pipeline Site as part of the programme, the Pipeline Site will become subject to the terms of the Development Agreement. Taking forward any of the “Pipeline Sites” will be subject to council decision-making processes which have not yet been completed. This includes taking account of the outcomes of any resident ballots. The estimated value of Lot B excluding any pipeline sites is set out in II.2.6. The estimated value of the optional pipelines sites is £391,606,372 (GDV) Additional information: The Council anticipates that it will shortlist the three highest scoring Applicants to participate in Dialogue. However, where the identity of the shortlisted Applicants across both Lots A and B are the same, the Council reserves the right at its sole discretion to shortlist the fourth highest scoring Applicant in each Lot. |
Renewal Options
The estimated duration of the contract is for a term of six (6) years, with an option to extend at the Council's sole discretion by a further period of 4 years (subject to obtaining Council approval to such extension), giving a total possible contract term of 10 years.
CPV Codes
- 45000000 - Construction work
- 45111100 - Demolition work
- 45111200 - Site preparation and clearance work
- 45111213 - Site-clearance work
- 45113000 - Siteworks
- 45211340 - Multi-dwelling buildings construction work
- 45211341 - Flats construction work
- 45211350 - Multi-functional buildings construction work
- 45211360 - Urban development construction work
- 70110000 - Development services of real estate
- 71247000 - Supervision of building work
Indicators
- Restrictions apply to the lot award allocation.
- This is a one-off contract (no recurrence)
- Options are available.
- Renewals are not available.
- Professional qualifications are sought.
- Staff qualifications are relevant.
Other Information
** PREVIEW NOTICE, please check Find a Tender for full details. ** The Council reserves the right not to award any contract pursuant to this procurement exercise and/or to abandon this procurement exercise at any time and/or to award a contract for part of the Works at its sole discretion. The Council shall have no liability whatsoever to any Applicant or Tenderer as a result of its exercise of that discretion. For the avoidance of doubt, all costs incurred by any Applicant and/or Tenderer before signature of any contract with the Council shall be incurred entirely at that Applicant's/tenderer's risk. The Council is adopting the CCS Standard Selection Questionnaire for this procurement exercise and Applicants are required to submit a full response in accordance with the instructions set out in the Selection Questionnaire documents available on the Portal. Applicants are able to apply for one or both Lots, but the maximum number of Lots that may be awarded to any individual Tenderer is one (1). The Council has set out the Lot allocation rules in the procurement documents, and Applicants must identify which Lots they are applying for as part of their response to the Selection Questionnaire.
Reference
- ocds-h6vhtk-04b5ba
- FTS 006460-2025