Q&A: I want to attract a developer to help me regenerate (step 1)
We are a public sector body looking to partner with a developer to deliver a regeneration project, but are concerned that they will be put off tendering due to the procurement process. How can we manage this situation to get the right partner on board?
Tim Johnson, head of development consulting, London and southeast at DTZ, responds:
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First, I’m assuming your proposition to developers is commercially attractive, since this is the most important factor for potential partners.
If it is, then it is good that you are recognising early on that the costs and risks of the procurement process can deter many developers from working with the public sector.
While navigating through this process is not without its challenges, the good news is that there is plenty you can do to de-risk it and make your project more enticing to the development industry.
The earlier you start this work, the better.
Remember, you are in competition with other projects, so every extra incentive counts.
To maximise your chances of success there are three areas that I think are worth looking at, which I will cover in successive posts.
Preparation
First, identify what you want to achieve from the process.
Set out your scope of works and your objectives, including identifying priority deliverables from the project. This may sound obvious, but it is a step that is often neglected. If you do it properly and give your potential private sector partners clear direction about what you want from them, you can avoid significant risks later on.
Second, form your team. Prospective partners will have more confidence in you and your project if you have the right skills in place and dedicate sufficient time at the right level of seniority to be able to make quick decisions.
Whether you are drawing on in-house specialists, external advisors or both, you will need good project management, property, legal, finance and planning skills throughout the process. Identify project champions at senior officer and political levels to give the project visibility at the top of your organisation.
Finally, do your own homework and make sure you have gathered as much relevant information as possible, clarifying your organisation’s position on key issues in advance of procurement.
This, along with exercises such as assembling an information pack on land ownerships and the planning status of development sites, laying out your approach to land assembly and establishing how you propose to work with other public sector partners, will help reduce costs and risk for developers and make it apparent that you are on top of your game.
>>> Next: To read the second article in this series, click here
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- Q&A: I want to attract a developer to help me regenerate (step 2)
- Q&A: I want to attract a developer to help me regenerate (step 4)
- Q&A: I want to attract a developer to help me regenerate (step 3)
- Q&A: How can I attract registered providers to my development? (part 1)
- Green light for £12m Henley hospital rebuild
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[...] Click here to read Tim’s first article [...]
[...] To read Tim’s articles from the start click here [...]
[...] <<< Back: To read Tim’s articles from the start, click here [...]
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