Elm Grove Regeneration

Description

The London Borough of Sutton ("the Council") is seeking to appoint a partner for the development and regeneration of the Elm Grove estate ("the Scheme") on land within its ownership (the "site"). The Scheme will provide in the region of 300 mixed-tenure homes, as well as commercial / community floor-space at the Market House building on Sutton High Street. Up to 50% of the residential development will be affordable housing, to be purchased by the Council. The duration of the Scheme is expected to be for a period of seven (7) years. Lot 1: The opportunity is for the regeneration and development of the Elm Grove estate in Sutton, the completion of which will provide in the region of 300 mixed-tenure homes, as well as commercial / community floor-space at the Market House building on Sutton High Street. Up to 50% of the residential development will be affordable housing, with the exact tenure split to be determined subject to design and viability. The development partner will be expected, among other things, to: acquire a leasehold interest in the whole site; optimise a pre-existing design; finance and build out the Scheme; deliver the affordable housing units to the Council for a consideration; and sell the private homes. The Council will be responsible for managing the affordable homes and associated communal areas, but not the private units and the communal areas primarily associated with the private units. The estimated total value of the procurement is in the range of: GBP £100 million - GBP £120 million. The estimated value relates to the estimated gross development value in the market of the developed assets. Further information and details about the requirements and scope of the procurement are set out in the Memorandum of Information (MOI) and supporting information which will be available as part of the procurement documents at https://www.londontenders.org/. Continues at III.2.2 below. Additional information: The estimated values in II.1.5 and II.2.6 represent the potential commercial value of the Scheme. However, potential returns will depend on many commercial factors including (but not limited to) the performance of the developer and market conditions. Bidders should seek independent legal and commercial advice in relation to the potential value of the opportunity and the scheme as a whole.