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Buchanan Quarter - Tax Incremental Financing (TIF) Project.

Voluntary ex ante transparency notice

This notice is covered by: Directive 2004/18/EC

Section I: Contracting authority/entity

I.1)Name, addresses and contact point(s)

Glasgow City Council
City Chambers
For the attention of: Jane Laiolo
G2 1DU Glasgow
Telephone: +44 1412877207
Fax: +44 1412879977

Internet address(es):

General address of the contracting authority/entity:

I.2)Type of the contracting authority
Regional or local authority
I.3)Main activity
General public services
1.4)Contract award on behalf of other contracting authorities/entities
The contracting authority/entity is purchasing on behalf of other contracting authorities/entities: no

Section II: Object of the contract

II.1.1)Title attributed to the contract
Buchanan Quarter - Tax Incremental Financing (TIF) Project.
II.1.2)Type of contract and location of works, place of delivery or of performance
Main site or location of works, place of delivery or of performance: Glasgow.

NUTS code UKM34

II.1.3)Information about a framework agreement or a dynamic purchasing system (DPS)
II.1.4)Short description of the contract or purchase(s)
The Buchanan Quarter is a key part of Glasgow City Council's "City Centre Strategy". The economic potential of the Buchanan Quarter is to be better realised through substantial investment in transport, public realm and cultural infrastructure by the Council to unlock and secure significant private sector investment. The innovative TIF Project model is considered to represent the only feasible means through which the required investment in the Buchanan Quarter can be realised. The TIF Project will allow the Council to secure funding to invest upfront against the future additional business rates arising as a result of consequent investment by the private sector. Infrastructure works to comprise part of the TIF Project include enabling works ("Enabling Works") that the Council will pay for, as a means of securing concomitant private sector investment in the Buchanan Quarter. The Enabling Works will include, but are not limited to:
- works comprising the entrance to the Royal Concert Hall and improved access to Buchanan Bus Station
- strengthening Cathedral Street Bridge and associated public realm enhancement
- public realm and infrastructure improvements to the vicinity of Dundas and Queen Street station entrances
- Improving the accessibility of Queen Street Station
- Public realm and infrastructure works in George Square, Buchanan Street, North Hanover Street, Killermont Street, West Nile Street and Concert Square
The Enabling Works listed above comprise an element of the wider TIF Project which is predicated on the extension of the Buchanan Galleries and could be significantly impacted by the re-development of the adjacent Queen Street Station. This VEAT Notice indicates the Council's intention to enter into a contract for the delivery of the Enabling Works with the economic operator set out at V.3 of this VEAT Notice.
II.1.5)Common procurement vocabulary (CPV)

45000000, 45300000, 45400000, 45100000, 45200000, 71311300

II.6)Information about Government Procurement Agreement (GPA)
The contract is covered by the Government Procurement Agreement (GPA): yes
II.2)Total final value of contract(s)
II.2.1)Total final value of contract(s)

Section IV: Procedure

IV.1)Type of procedure
Negotiated without publication of a contract notice / call for competition
Justification for the choice of the negotiated procedure without prior publication of a contract notice in the OJEU in accordance with Directive 2004/18/EC
The works/goods/services can be provided only by a particular tenderer for reasons that are: technical, connected with the protection of exclusive rights
Buchanan Partnership is in a unique and exclusive position regarding the regeneration of the Buchanan Quarter. It is: (i) the owner (tenant under long lease) and operator of the Buchanan Galleries; (ii) committed to the extension of the Buchanan Galleries forming part of the TIF Project which will generate the additional funds necessary to repay the Council's borrowing for the Enabling Works; and (iii) has been appointed by Network Rail to undertake the re-development of the adjacent Queen Street Station. The nature of the relationship between the Enabling Works and the works which are to be carried out by Buchanan Partnership in its extension of the Buchanan Galleries and re-development of Queen Street Station are such that, given their nature and location they require to be planned and carried out in conjunction as a single project. The Enabling Works and the works comprising the extension of Buchanan Galleries and re-development of Queen Street Station are so inter-related and interdependent that control over the delivery, phasing and timing of those elements requires to rest with one party. Separation of those elements of control exposes each of the parties, including the Council, to significant risks. The complex nature of the works and the physical connection between the works that Buchanan Partnership have planned and the Enabling Works means that to separate the works into delivery by two separate contractors would result in delay, dispute and Health and Safety issues. Dispute may arise in the phasing and site access of works if conducted on the same and/or adjacent work sites by separate contractors. Dispute and delay would in turn impact on the completion date for the TIF Project resulting in significant cost overruns and claims. The TIF Project relies upon prompt completion to facilitate the funding solution for the Buchanan Quarter. The Council is of the view that these reasons comprise the technical reasons and reasons that are connected with the protection of exclusive rights, that enables it to enter into a contract with Buchanan Partnership for the funding of the Enabling Works. Furthermore the arrangements between the Council and the Buchanan Partnership will have a contractual mechanism whereby Buchanan Partnership will require to comply with the Public Contracts (Scotland) Regulations 2012 and Directive 2004/18/EC meaning that all economic operators have an opportunity to tender for the Enabling Works. One contractor will be appointed to provide both the Enabling Works that the Council will pay for and the works comprising the extension of Buchanan Galleries and the re-development of Queen Street Station.
IV.2)Award criteria
IV.2.1)Award criteria
IV.2.2)Information about electronic auction
An electronic auction will be used: no
IV.3)Administrative information
IV.3.1)File reference number attributed by the contracting authority/entity
IV.3.2)Previous publication(s) concerning the same contract

Section V: Award of contract

V.1)Date of contract award decision:
V.2)Information about offers
V.3)Name and address of economic operator in favour of whom the contract award decision has been taken

Henderson Buchanan PLC and LS Buchanan Limited as the Partners of an English Partnership to be named Buchanan Partnership
Henderson Buchanan PLC: 201 Bishopsgate, London, EC2M 3AE, LS Buchanan Limited 5 Strand, London, WC2N 5AF
EC2M 3AE London

V.4)Information on value of contract
V.5)Information about subcontracting
The contract is likely to be sub-contracted: yes Value or proportion of the contract likely to be sub-contracted to third parties
Not known

Section VI: Complementary information

VI.1)Information about European Union funds
VI.2)Additional information:
VI.3)Procedures for appeal
VI.3.1)Body responsible for appeal procedures
VI.3.2)Lodging of appeals
Precise information on deadline(s) for lodging appeals In accordance with the Public Contracts (Scotland) Regulations 2012.
VI.3.3)Service from which information about the lodging of appeals may be obtained
VI.4)Date of dispatch of this notice: