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Morrison bags £184m repair job

Morrison Facilities Services is understood to have won all four lots of a repair and maintenance contract with Paragon Community Housing Group – valued at £184 million.

The housing refurbishment specialist faced strong competition from eight other shortlisted  firms to bag the contract, which could cover work on more than 20,000 homes across London and the South-east over the next 10 years Apollo, Wates, Kier and Willmott Dixon were all thought to have made the shortlist late last year.

It is believed that Enterprise, Mears, Mulalley and United House were also invited to tender for the job, which will cover at least 10,716 units – a figure that may increase by
a further 10,120.

The 10-year contract, which has an optional midway break clause subject to performance, could have been awarded to four contractors as separate lots.

The first lot covers responsive repair and voids services including out-of-hours work, while the second lot is for the provision of annual gas appliance servicing and breakdown.

The third lot covers all Decent Homes works, including kitchen and bathroom replacements and central heating installations. The final lot is for cyclical decorating works.

Paragon Community Housing Group – through its subsidiaries Elmbridge Housing Trust and Richmond upon Thames Churches Housing Trust – owns and manages properties in south and west London as well as Woking in Surrey, and Spelthorne in Middlesex.

Meanwhile the bidders for Hackney Homes’ £348 million renewal and maintenance framework have been whittled down to six with an announcement on the final three expected next week.

It is understood that Wates, Apollo and Lakehouse all reached the final stage of competitive dialogue for the four year Procurement 2010 framework.

Three of the four contractors on the current framework – Mulalley, Morgan Sindall’s specialist housing division Lovell Partnership and Balfour Beatty subsidiary Mansell –
are also said to have made the final cut.

It is understood that Hackney Homes – Hackney Council’s arm’s length management company – has provisionally selected three of these firms to be framework partners but has yet to notify the contractors because it is waiting for approval from the council.