Appointment of a Preferred Developer for the New Ferry Redevelopment Scheme
Decision Maker: Economy Regeneration & Housing Committee
Decision status: Recommendations Approved (subject to call-in)
Is Key decision?: Yes
Is subject to call in?: Yes
This report seeks approval to formally appoint
a preferred developer to undertake the redevelopment across key
sites in New Ferry, following a competitive procurement
(1) the tenderer set out within the exempt Appendix 3 to this report be appointed as preferred developer, being the highest scoring tenderer following conclusion of the competitive dialogue process (as outlined in the exempt Appendix 3 ) within the approved budget and in accordance with the Most Economically Advantageous Tender criteria;
(2) The Director of Law and Governance, in consultation with the Director of Regeneration and Place be delegated authority to enter into all associated legal agreements with the preferred developer so as to finalise and complete the development agreement and all other associated legal documentation for sites A, B and C, (as shown in Appendix 1 to this report) with the option to include any other appropriate land/development opportunities that are within the defined wider area, as shown in the attached plan (Appendix 2 to this report); and
(3) The Director of Law and Governance be authorised to draft and agree an appropriate Grant Funding Agreement with the preferred developer, for pass through of the Future High Street Funds grant allocation for New Ferry and a Grant Funding Agreement for additional capital up to £2,590,265.53 on appropriate terms and conditions for the grant.
Reasons for the decision:
The Council is committed to the regeneration of New Ferry. It endorsed the New Ferry preferred development option in December 2019. There are a series of critical strategic acquisitions of land and property that are required to implement and deliver the regeneration proposals that have been endorsed by the Council.
There is approved capital funding in place of £1m to acquire the interests of all the properties required for the redevelopment. A number of sites have already been acquired and negotiations with property owners have taken place over the last two years. However, for various reasons the acquisition of some of the remaining land and property interests cannot be acquired by agreement.
A number of the sites and properties in New Ferry are derelict and in a dilapidated state of repair. This is having a detrimental effect on the area and detracts from attracting new investment. The use of compulsory purchase order powers may be used to enable the Council to promote and improve the economic, social and environmental well being of New Ferry.
Policy and Resources Committee in March 2021 gave approval for the making of a Compulsory Purchase Order under the Town and Country Planning Act 1990, Section 226(1)(a), and section 13 of the Local Government (Miscellaneous Provisions) Act 1976 for the acquisition of land and new rights in respect of the land within New Ferry to enable the regeneration of the area to be undertaken.
The strategic acquisition of various sites in New Ferry is necessary to deliver the preferred development option and of a suitable scale to make the development opportunity attractive and with financial assistance, which has been secured, commercially viable.
The redevelopment of New Ferry will support the delivery of good quality housing provision and contribute to the authority’s house building targets which will meet local housing needs in the area. This in turn will make New Ferry a more desirable area. The influx of new residents has the potential to have a positive impact in terms of increased footfall and spend in the local centre.
The procurement process for the preferred developer has now been concluded, and a winning bidder has been identified. The appointment of a preferred developer will enable the regeneration and redevelopment plans for New Ferry to proceed. The redevelopment will deliver significant economic, physical, and social regeneration benefits for New Ferry. The completion of this development will contribute to creating a sustainable future for the town centre.
The redevelopment of New Ferry will support several of the key priorities in the Wirral Plan 2021-26. This includes an inclusive economy, a sustainable environment, and safe and pleasant communities.
Alternative options considered:
The Council could decide not to continue the procurement process and not to appoint a preferred developer. However, the abandonment of the procurement process would not deliver the Council’s strategic objectives or commitment to regenerating New Ferry. It would also be harmful to the Council’s reputation, within the local community and the private sector.
Report author: Lee Parker
Publication date: 26/01/2022
Date of decision: 26/01/2022
Decided at meeting: 26/01/2022 - Economy Regeneration & Housing Committee
Date comes into force if not called in: 02/02/2022
Call-in deadline date: 01/02/2022