Decision details

The Cabinet will be asked to consider proposals relating to the delivery of Phase 3B of the Gascoigne Estate (East), including the cost of the project and the appointment of a development partner.

Cabinet resolved to:

(i)   Agree to award the Constructing Excellence Contract to Wates Construction Ltd Company No. 01977948(Wates) on the basis of a Gross Maximum Price (“GMP”) of £142,061,994;

(ii)  Approve the total development cost of £166,527,638 subject to the advisory process of the LBBD Investment Panel;

(iii)  Approve the handover loan of £138,049,272;

(iv)  Note the IAS Return with an NPV of -£15,885,868 and a handover loan that is repaid by year 50;

(v)  Delegate authority to the Strategic Director, Finance and Investment, in consultation with the Leader, Deputy Leaders, the Cabinet Member for Regeneration and Economic Development and on the advice of the Investment Panel, to negotiate terms, agree final arrangements and enter into all necessary contract documents and ancillary agreements to fully implement and effect the delivery of Gascoigne East 3B;

(vi)  Agree that the project be presented to Investment Panel to consider and advise the Strategic Director, Finance and Investment regarding his approval to deliver the main works part of the Constructing Excellence contract, once the final Contract Price has been confirmed by the contractor; and

(vii)  Note that should the circumstances of the project change from those set out in the report, a further report will be presented to Cabinet.