Decision details
Royal Crescent - capital project
Decision Maker: Cabinet
Decision status: Recommendations Approved
Is Key decision?: Yes
Is subject to call in?: Yes
Purpose:
In March 2021, Cabinet gave authority to award a contract to carry out essential structural and fire safety works to Royal Crescent. Royal Crescent is a listed building of important heritage significance that is held within the council's Housing Revenue Account (HRA) social housing stock.
Work to procure a contract for the work during the financial year 2022/23 was unsuccessful, as there was insufficient interest from the construction industry, largely as a result of the scope and timescale of the advertised package of works. Work has now been completed to tender for a contractor, based upon a revised scope of work and timescale, as set out in this report.
This report now recommends the letting of a contract to the successful tenderer. The estimated cost of the works contract, as set out in the successful tender, is £2.3m.
This report seeks authority for the Cabinet to:
- Approve the letting of a contract for the completion of the works at Royal Crescent, Ramsgate as set out in this report;
- Approve the change in the scope of works to remove the improvement of the basement;
3. Note the increase in costs of works, that was within the budget presented to Council on 11 July 2024.
Decision:
Cabinet agreed the following:
1. The letting of a contract for the completion of the works at Royal Crescent, Ramsgate as set out in this report;
2. The change in the scope of works to remove the improvement of the basement.
Reasons for the decision:
The works in scope are considered essential structural and fire safety work.
Alternative options considered:
There is an option to further reduce the scope of works, reducing the value of the contract to the original phase 1 and 2 estimate of £1.977m.
The buildings have been subject to extensive condition surveys and it would not be possible to complete all essential structural works and required fire safety works at this value. Although a reduced scope of works could be delivered in the short-term, following a value engineering process with the successful contractor, works omitted at this stage would still be required later, potentially at an even higher cost due to inflation. This option is not therefore recommended as all works proposed are considered to be essential.
Report author: Sally O'Sullivan
Publication date: 26/07/2024
Date of decision: 25/07/2024
Decided at meeting: 25/07/2024 - Cabinet
Effective from: 03/08/2024
Accompanying Documents: