Mayor and TfL start search for property partners
The Mayor and Transport for London (TfL) have launched a search for property development partners as part of an ambitious programme to generate £3.4bn in non-fares revenue over the next decade. The revenue generated will be reinvested back into the transport network and help TfL and the Mayor to bear down on fares.
TfL owns around 5,700 acres of property in London, making it one of London's largest landowners. To realise the maximum value of its assets to generate long-term revenue to reinvest back into the transport network, it has launched a tender through the Official Journal of the European Union (OJEU) to identify a number of Framework Development Partners.
The tender will enable TfL to take forward 50+ sites with development potential across the capital. TfL will be seeking submissions from organisations who can demonstrate their capability as developers to support the strategy of delivering the homes, offices and services that London needs. The sites that TfL will bring forward will have around 10 million square feet of development potential.
TfL has a unique range and scale of assets within its property portfolio which include:
- Listed buildings that offer the opportunity for residential conversion;
- Mixed use and residential developments over stations and depots;
- Major regeneration schemes in urban centres;
- Brownfield developments in inner and outer London.
With London's population at a record high of 8.6m and forecast to reach 10m by 2030 it is vital that public authorities such as TfL use their assets to develop the full range of infrastructure requirements that will be needed, whilst generating revenue to keep the growing population moving.
Mayor of London, Boris Johnson, said: `TfL's role is to look to the future, ensuring that transport continues to support jobs, homes and economic growth across the capital and the UK. The ambitious plans to redevelop some of TfL's land and assets presents a fantastic opportunity to support this important work and ensure public land creates homes for Londoners.'
Graeme Craig, Director of Commercial Development at TfL, said: "We have a large number of fantastic assets in superb locations across the capital, and this is a once in a lifetime opportunity for leading developers to help us transform this city. We're looking for developers who will help us realise the long-term value of our estate whilst creating the houses, jobs and economic growth to support London's growing population."
The TfL Property Partnerships framework is worth up to £3.6bn. Over the next ten years TfL is expecting to generate net proceeds of £3.4bn to reinvest back into its transport network, of which a third is currently assumed from property development. Other members of the GLA group will also be able to use the framework for their own sites.
From today (6 February 2015), interested parties wishing to be considered for the framework must complete a pre-qualification questionnaire (PQQ) via TfL's eTendering portal https://eprocurement.tfl.gov.uk/epps/home.do. The deadline for completing the PQQ is 19th March 2015.
Invitations to the second stage of the procurement process will be issued to parties that have passed the initial PQQ. Those that are shortlisted will be asked to participate in competitive dialogue, then a selected number will be invited to submit final tenders. TfL expects to appoint partners in late 2015.
Notes to editors
- •A video explaining why TfL is taking this new approach is available at https://www.youtube.com/watch?v=S8tGcubHBMo&feature=youtu.be
- •Further information and access to the PQQ are available at www.tfl.gov.uk/property-partnerships