MoD launches £4.4bn estates management procurement

The Ministry of Defence has fired the starting gun on procurement for up to £4.35bn of facilities management work on its defence estates over at least five years.

MoD property subsidiary the Defence Infrastructure Organisation has starting inviting expression of interest from contractors on three regional “prime” contracts which will last between five and ten years depending on contract extensions.

Individual contract values range between £500m and £1.8 billion, depending on whether contracts are extended.

The contracts, procured under the Next Generation Estate Contracts (NGEC) programme are:

• Regional Prime Central (North of England, Wales, the Midlands and East Anglia, covering Catterick Garrison, Beacon Barracks Stafford, RAF Shawbury and RAF Valley training bases, DST Leconfield, Wattisham Airfield, RAF College Cranwell, and the intelligence and security centre at Chicksands )
• Regional Prime South West (covering RMA Sandhurst, DMRC Headley Court, HQ Land Forces Andover, Hyde Park Barracks, Woolwich Barracks, Horse Guards, RAF High Wycombe and RAF Northolt)
• Regional Prime South East (covering various Royal Marines bases, RNAS Yeovilton, RNAS Culdrose, Defence Equipment and Support (DE&S) headquarters)

Successful bidders will provide maintenance and repairs to the Defence estate, and the contracts will include providing a 24/7 helpdesk for estate-users, a regional energy management bureau, grounds maintenance, and snow and ice clearance. Each contract also includes land management services and construction projects valued below £3.93m.

The issuing of tenders comes after the DIO admitted it will not now let any contacts this year, meaning up to £5bn of work from the organisation is on hold and under review.

The closing date for expressions of interest is 23 March 2012.

Following expressions of interest DIO will issue Pre-Qualification Questionnaires, and host an industry day at a venue and date to be confirmed.