Latest news
- OJEU notice placed at start of procurement process to build brand new fresh produce market in London
- Drivers Jonas Deloitte lead search for private development partner for Covent Garden Market Authority
- Around 20 acres of land available for mixed use development as part of the deal at site in Nine Elms, Vauxhall
- Private development partner to be selected by mid 2011
Covent Garden Market Authority (CGMA) has today started its search for a private development partner to help deliver The Garden at New Covent Garden Market.
A private development partner will be secured via the OJEU procurement process to work in partnership with CGMA to construct a brand new fresh produce market on part of its 57 acre site in Nine Elms, paid for by the release and redevelopment of surplus areas of the site.
The unique development opportunity has the potential to generate a gross development value of £1 billion from a high density, residential led, mixed use scheme located mainly on the Northern Site but also on three additional areas of land which have been identified as potentially surplus to the Market’s needs.
The new Market would be up to 51,000 sq m (550,000 sq ft) and located on the existing main Market site. This new market will be built and paid for by the chosen private development partner, but will remain within the ownership of CGMA.
In return CGMA will offer the development rights to around 8 ha (20 acres) of land which consists of four main sites - principally the Northern Site 4ha (10 acres) where the current Flower Market is situated and three smaller parcels of land at Thessaly Road; behind Lambeth College and at the entrance to the main Market.
CGMA’s plans for the area show that these sites are suitable for delivering around 2,300 new homes, along with new commercial buildings, retail units, community facilities and open spaces. CGMA’s plans are in accordance with the Mayor of London’s Vauxhall Nine Elms Battersea Opportunity Area Planning Framework which is specifically supportive of major regeneration in the area and taller buildings around Vauxhall.
Baroness Brenda Dean, Chairman of Covent Garden Market Authority said:
“We are looking for a development partner who will deliver this project with us and make this opportunity work for CGMA and for our tenants. We have worked tirelessly to get the project to where it is today and we now need the expertise of the development community to help us start building.
“CGMA’s priority will remain the Market but we have also recognised that we have the chance to build something more here and that without maximising this opportunity we will not reach our final goal of delivering a brand new Market that is the pride of London and beyond.”
Jan Lloyd, Chief Executive of Covent Garden Market Authority said:
“This is an amazing business opportunity for the right development partner. Our selected partner needs to have proven experience delivering industrial style buildings which we need for our new Market but also high quality residential in order to make the most of the site. In return we will give them the chance to develop this important site in a central London location, which offers stunning views of the river and the West End with excellent transport links.”
“Together with our advisors Drivers Jonas Deloitte we will be looking to meet with the best and most experienced developers/investors from across the world to maximise this opportunity and we look forward to seeing the responses over the next few weeks.”
Nigel Durman, Director of Drivers Jonas Deloitte said:
“Few development sites of this scale in central London ever come to the market and interest has been received ever since CGMA first announced its intention to redevelop the famous fresh produce market. We expect strong interest from the development community keen to get a foothold in this fast emerging quarter of London, which has been overlooked for too long.
“With the recently announced proposals for nearby Battersea Power Station and the new US Embassy, the selected development partner will have development rights to a major £1billion residential lead mixed use scheme that it can redevelop from circa 2013 onwards, which appeals to many developers/investors now seeking to re-stock their land opportunities.”
The competitive partner selection process is being undertaken in accordance with the Competitive Dialogue procedure under the Public Contracts Regulations 2006 and interested parties are invited to submit a Pre Qualification Questionnaire (PQQ) in order to be considered. The deadline for PQQ submissions is May 2010.
In tandem with the procurement process CGMA will also be submitting a single outline planning application for the whole site to Wandsworth Council in mid 2010. They have carried out two public consultations about the plans and full details about this can be found at www.newcoventgardenmarket.com.
CGMA are being advised on the procurement process by Drivers Jonas Deloitte (Property) KPMG (Financial) and Eversheds (Legal).
