Decision details

Ebury Estate Renewal – Phase 2 Planning Consultant and Financial Viability Appointment

Decision Maker: Cabinet Member for Climate Action, Regeneration and Renters

Decision status: Recommendations Approved

Is Key decision?: Yes

Is subject to call in?: Yes

Purpose:

Appointment of Planning Consultant and Financial Viability Consultant for the Phase 2 of the Development 

Decision:

1.     Executive Summary

 

1.1.         The regeneration of the Ebury Bridge Estate will provide more affordable housing and bring about the long-term physical, economic and social sustainability of the neighbourhood.

1.2.         The hybrid planning application for Ebury Phase 1 & 2 was originally approved on the 6th of October 2021, with the amended application approved on the 21st of July 2023.

1.3.         The proposed appointment of Savills(UK Limited) for Planning and Financial Viability Consultancy services sought within this report is consistent with the capital budget approved by full Council on 8th March 2021. Cabinet Member approval is required as the value of the consultancy contract is over £300,000 (excl. VAT).

1.4.         The appointment of a Planning and Financial Viability Consultancy services is proposed to support Ebury Phase 2 and 3. Specifically, the appointment will provide the following scope of services:

·       Planning services will cover planning support on the Reserved Matters Application for the scheme and leading pre-application meetings with and on behalf of the Council, including various public consultation and engagement events.

·       The financial viability services will cover the commercial assessment of the scheme and collation of information related to cost, sale and other inputs to the financial viability.

1.5.         A rigorous and competitive procurement exercise has been undertaken to procure the Planning and Financial Viability Consultancy services, which has been endorsed by the Council’s Commercial Gateway Review Board (CGRB), the paper of which is appended to this report (Appendix B).

1.6.         The proposed commencement date of the contract is 12th February 2024, further to conclusion of the standstill period. The anticipated end date of the contract is 12th February 2025.

 

2.     Recommendations

 

2.1.That the Cabinet Member for Regeneration and Renters: 

·       Approves the contract award for Planning and Financial Viability consultancy services for a contract value up to £139,580 (£167,496 incl. VAT) to Savills for RIBA Stage 3 onwards on Phase 2, which sits within the remaining approved budget of £148,000.

·       Notes CGRB have endorsed the tendered contract value for the full contract sum for Planning and Financial Viability consultancy services of £403,955 (excl. VAT) to Savills from RIBA Stage 3 onwards on Phase 2 and Phase 3.

·       Approval of the remaining spend will be addressed in the Outline Business Case and accompanying Cabinet Member Report for Ebury Phase 2, along with a refresh of the projects overall viability.

·       Once the Outline Business Case budget is approved, to delegate authority to the Executive Director of Regeneration, Economy and Planning (REP) up to the full contract value.

 

2.2.The proposed commencement date of the contract is 12th February 2024, for a period of up to 12 months. Should the additional options be pursued, the maximum contract terms will be for a period of four years and three months.

 

2.3.A JCT Consultancy Agreement with the Council’s standard amendments will be used, which will include the option to suspend or terminate the contract at the end of each RIBA stage.

 

 

3.     Reasons for Decision

 

3.1. The reason for the recommendation is to secure fees and appoint a Planning and Financial Viability Consultant to support RIBA Stage 3 onwards on Ebury Phase 2 and lead on Ebury Phase 3.

3.2. The overarching objective of regenerating Ebury Bridge Estate is to create a comprehensive renewal that brings about physical, economic and sustainable change that creates additional homes and improves the lives of residents, businesses and visitors alike.

3.3. The proposed redevelopment of Ebury is in line with the Council’s ambitions for a Fairer Westminster and aims to deliver on the following objectives:

·       Re-provision of existing homes and explore opportunities to deliver high quality new homes of all tenures.

·       Construction of high quality and energy efficient sustainable new buildings which utilise cutting edge design and technological innovation.

·       Improvement to place shaping including play space, bio-diverse green space and enhancement of the public realm including increasing permeability and connectivity with the canal and surrounding areas.

·       Promoting a safer and vibrant neighbourhood, which encourages positive community interaction. 

·       Enhancing community assets and maximising impact through linking to wider provision in the surrounding area.

·       Encouraging and facilitating strong public participation from the community in the design and development of the scheme. 

·       Increasing opportunities for employment and business growth and initiatives.

·       Responsible Procurement ensuring ethical treatment and consideration and mitigation of environmental impacts.

 

Publication date: 08/03/2024

Date of decision: 18/03/2024

Effective from: 26/03/2024

Accompanying Documents: