Making homes happen Invitation to Tender Guidance Document Land at Ash Bank Road, Werrington, Staffordshire Moorlands SR9 ODX Submission Deadline: 1.00pm 4th December 2020 Tender Ref No: D21025 OFFICIAL HOMES ENGLAND Contents Section 1: Introduction ..................................................................................................................................................... 3 Section 2: The Site ............................................................................................................................................................ 4 Section 3: Terms of Offer & Contracting .......................................................................................................................... 5 Section 4: Homes England Objectives ............................................................................................................................. 6 Section 5: Developer Responsibilities .............................................................................................................................. 6 Section 6: Tender Submission Guide ............................................................................................................................... 8 Section 7 – Evaluation of Bids .......................................................................................................................................... 8 Section 8 – Bid Submission Instructions ........................................................................................................................ 10 Section 9 – Contact Details ............................................................................................................................................ 11 OFFICIAL HOMES ENGLAND Development of Homes England Land at: Ash Bank Road, Werrington, Staffordshire Moorlands ST9 0DX Tender Ref: D21025 Section 1: Introduction This Invitation to Tender (ITT) has been prepared to provide guidance and information to interested bidders in respect of Homes England’s 4.31 ha (10.68 acres) site located at Ash Bank Road, Werrington, Staffordshire Moorlands, ST9 ODX (referred to throughout this ITT as Land at Ash Bank Road. It is Homes England intention to appoint a single preferred development partner for this opportunity following the evaluation of tenders realised from this ITT process. OFFICIAL HOMES ENGLAND Once you have read the information provided in this ITT and reviewed the supporting technical pack that accompanies this opportunity, you are invited to populate the bidding template provided at Appendix 1 to outline the terms of your offer. The ITT process is being managed on Homes England behalf by Avison Young. All queries should be directed through them via the contact details provided later in this document. Section 2: The Site Key points of note concerning the site / project are detailed below: • Offers are invited subject to the purchaser securing full unchallenged planning approval • Site area extending to circa 4.31 ha (10.68 acres) gross, made up of 3 parcels. The parcels offer amenity / open space which could be beneficial for biodiversity net gain purposes • Predominantly former MOJ owned farmland • Part freehold (title absolute) and part long leasehold (good title) • Existing shared access from the A52 Ash Bank Road • LPA support for an indicative density of 78 dwellings across an indicative 2.38 ha (5.88 acre) net site area • Residential Allocation in the recently adopted Local Plan for 75 dwellings • Situated approximately 6km east of Stoke-on-Trent town centre Constraints • Potential abnormal costs associated with earthworks (cut and fill) in respect of the topography of the site. A full suite of technical documents is provided for potential purchasers to review. • Existing access into the site from the A52 will be shared with the adjoining operational MoJ owned Werrington YOI. A transport assessment has been undertaken and is included within the technical pack. • The site is being sold on a part freehold and part long leasehold basis. The title for both parts will have restrictions which prevent ground rents being charged. • Uncertainty exists on the identity of the owner of the freehold interest on which the long leasehold interest is in place. Homes England will obtain Title Indemnity Insurance to protect the purchaser against any potential future liabilities to the freeholder. • Help to Buy will not be available on the leasehold part of the site. Technical Pack The Technical Pack includes the following documents: • Disposal plan • Capacity Proving Plan • Freehold and long leasehold Title Plans OFFICIAL HOMES ENGLAND • Drainage and flood risk surveys (November 2020) • Archaeological Evaluation (June 2019) • Archaeological Evaluation Acceptability Confirmation email (Sept 2019) • Health and Safety File – Demolition (November 2019) • Preliminary Ecological Appraisal (October 2020) • Protected Species Report (October 2020) • Phase 1 Geo-environmental Desk Study (October 2020) • Phase 2 Geo-environmental Interpretive Report (October 2020) • Noise Impact Assessment (October 2020) • Utilities Statement (October 2020) • Tree Report (October 2018) • A topographical survey 3D (in CAD format) • Transport Assessment (November 2020) • Flood Risk Assessment (October 2020) • A Report on Title (November 2020) • Pre-Application Meeting Notes (March 2020) • Local Plan Hearing Statement (January 2020) • Sale Agreement • Invitation to Tender Guidance Document • ITT Tender Submission Document Bidders should note that certain trees identified within the Tree Report referred to above have been felled. The buildings and raised pond referred to within the Ecological Appraisal as being present on site have also been demolished. The developer will need to carry out their own searches over and above the information contained within the Report on Title which is being made available The above information is available to download by registering on the site specific data site at http://ashbank.avisonyoung.co.uk/ Section 3: Terms of Offer & Contracting Homes England is inviting conditional offers subject to the purchaser securing full unchallenged planning approval. The scheme will need to achieve Building for Healthy Lives standards, a positive biodiversity net gain assessment and deliver policy compliant affordable housing provision. Once offers have been received a decision will be made as to which is the most commercially favourable for Homes England. The conditional sale will require the developer to pay a 10% deposit upon exchange of the agreement. The agreement will define both the conditions that must be discharged and a long stop date by which the developer must discharge these conditions. OFFICIAL HOMES ENGLAND If the developer can evidence that they have taken all action within their control to discharge the conditions set out in the conditional agreement – however matters outside their influence have resulted in the conditions not being discharged by the longstop date, then the deposit will be refundable. By contrast, if the developer does not use their reasonable endeavours to discharge the conditions set out in the conditional agreement by the longstop date, then the deposit will not be refunded. Upon discharge of the conditions, the developer will be compelled under the agreement to complete the freehold and long leasehold transfer. Land value offers are invited subject to full payment on completion and/or subject to clearly defined deferred payment terms. Should deferred payment terms be agreed, charges will be placed on the titles as security. Homes England will apply planning overage to the conditional sale in order that it shares the benefit of any uplift in value associated with development coverage gains on a 50/50 basis. As detailed within the Tender Submission Form The preferred developer will be subject to financial checks and will be required to provide information as requested by Homes England. If they do not pass the financial checks their bid will not be accepted. Section 4: Homes England Objectives Homes England’s objectives from this disposal exercise are as follows: • To achieve the best land value possible from the site • For proposals to come forward that are fully compliant with local planning policy and which would be capable of securing planning consent in the shortest timescale possible • On any scheme delivered, the delivery of policy compliant affordable housing provision and delivery of all required Section 106 Agreement obligations • For the scheme to demonstrate high standards of design embedding Building for Healthy Lives standards and biodiversity net gain • Ground rents will not be capable of being charged on the long leasehold element of the site. Section 5: Developer Responsibilities The following section sets out the services that Homes England’s selected development partner would be required to perform. • To pay the agreed land value premium in full OFFICIAL HOMES ENGLAND • In circumstances where Homes England has accepted an offer that is to be paid on deferred terms, the bidder must 1) provide a means of security (by way of charge or other security acceptable to Homes England) to secure the outstanding payment(s) and 2) must complete all staged payments in full by the earlier of i) the mid point of the construction programme (in time) or ii) the mid point of your sales programme (by volume of sales) • The bidder must seek to discharge all conditions in the shortest timeframe possible – and by an absolute longstop date as set out