Approval was given to a procurement strategy
for the delivery of the Friar Park Urban Village scheme utilising
the Homes England DPS Framework in March 2023 (Cabinet Minute 35/23
refers), and delegated authority was given to the Cabinet Member
for Regeneration and WMCA and the Director of Regeneration and
Growth, to progress the preferred route for developer selection.
This included the preparation of appropriate documentation and
defined parameters against which the scheme will be assessed.
The Joint Venture partnership between WMCA and SMBC has progressed
this work, with agents (Cushman and Wakefield) appointed to
undertake this work on behalf of the Joint Venture. Associated with
this legal advisors (Browne Jacobson) were also jointly appointed
to ensure the proposed approach utilised by the Joint Venture would
be compliant with procurement, subsidy control and best value
considerations, especially given the confirmation of the Levelling
Up Partnership funding in September 2023.
The approach to the disposal and ultimate development of the site
anticipates the progression of the scheme on a gap-funding style
basis, with the details of the funding and associated requirements
being progressed through a Development Agreement. The funding
secured by WMCA and SMBC to support the scheme will be utilised to
address the gap identified.
Decision type: Non-key
Decision status: Recommendations Approved
Notice of proposed decision first published: 14/12/2023
Decision due: 8 Dec 2023 by Director Regeneration and Growth
Contact: Tony McGovern, Director Regeneration & Growth Email: tony_mcgovern@sandwell.gov.uk.
Implications: Resources: The cost of implementing the proposed procurement strategy are being met from WMCA resources and have no significant financial implications for SMBC. The disposal of the site would result in a capital receipt for the Council. This will be subject to the disposal arrangements included in the Joint Venture Agreement. Legal and Governance: The Council is permitted under s123 of the Local Government Act 1972 to dispose of assets using whatever method it chooses provided it meets its overriding duty to obtain the best consideration that can reasonably obtained. Risk: The primary risks to the recommended disposal strategy relate to: i) Challenge arising from the procurement process ii) Addressing subsidy control requirements iii) Ensuring Best Value for the land disposal These considerations have been assessed as part of the development of the strategy, and the proposed approach is considered to address the most significant of these. Those that remain c