Development at Elwick Place, Ashford, Kent

Concepts

• ashford
• development agreement
• elwick place
• leisure related buildings
• kent
• centre of ashford
• retail units
• construction work
• car park
• cinema

Location

Ashford, Kent

Description

The development agreement was entered into in 2010 and concerned the re-development, in phases, of a site in the centre of Ashford known as Elwick Place according to a masterplan to be agreed between the parties. The Phases are now as follows: Phase I (cinema, hotel, restaurants, retail units and car park), Phase 2 (200 residential flats) and Phase 3 (yet to be agreed)

Ammendments to Previous Notice

Award Detail

CPV Codes

• 45212000 - Construction work for buildings relating to leisure, sports, culture, lodging and restaurants

Indicators

• Contract modified due to unforeseen circumstances.

Legal Justification

Article 72(1)(c) of Directive 2014/24/EU applies. Stanhope planned to seek bids from residential development and funding partners in Spring 2020, in ample time to satisfy the drawdown conditions for Phase 2 within the terms of the DA. The March 2020 Covid lockdown, and the ongoing restrictions through the rest of 2020 and early 2021, radically altered the situation and caused huge uncertainties for valuation, funding and development generally. Funders were preoccupied with preserving their existing investments through the crisis: there was no appetite for taking on new projects. Accordingly, Stanhope was advised not to engage the market as planned. Only in late Spring 2021 could Stanhope recommence the process of satisfying the drawdown conditions, which nonetheless cannot be completed until the Stodmarsh issues for Phase 2 are resolved. The Covid pandemic and the Stodmarsh situation could not have been foreseen when the DA was entered into in 2010.

Other Information

The current value of the Development Agreement as provided in this notice strips out the effects of inflation, as required by Article 72(3) of Directive 2014/24/EU. The figure stated in response to QVII.1.5 is an estimated contract duration