CHIC launches £2bn modular housing framework

29th July, 2020

The Central Housing Investment Consortium (CHIC) is procuring three contracts for the manufacturing, supply and erection of new modular housing as part of a £2bn framework

CHIC’s modular housing contract is divided into 3 lots. The first two include all associated construction works onsite in a ‘turnkey’ approach, while with the third lot will include site works as an option. The first lot is worth £303m, the second £572m and the third £1.17bn.

The CHIC members have requirements predominantly across central and southern England and in Wales, but not exclusively so. They may in the future have requirements in all other parts of England, Wales and Scotland.

CHIC is owned by Registered Providers and is currently made up of around 92 members. CHIC has branded these new contracts as a ‘Buildsmart’ approach to the development of new homes by current and future members.

Members of CHIC can access frameworks and contracts for the provision of consultants and contractors to undertake the development of new housing projects utilising traditional construction, timber frame construction or modular housing. This procurement is designed to strengthen the Buildsmart options for members by providing a new contract for the provision of modular homes, including full site construction services.

This will result in the appointment of a business that can offer a full manufacturing and, if required for smaller schemes, a full Turnkey Contract package which delivers complete housing schemes including the fabrication, delivery and erection of modular homes.

The appointed contractors will be able to demonstrate a proven track record in delivering modular construction and will have within their businesses an established production facility for modular building elements.

Modular housing to be delivered under the agreement may include homes (flats, houses, bungalows, etc.) for social/affordable rent, shared ownership, market rent and outright sale. These may include low and medium rise modular buildings.

The appointed company will have an existing manufacturing base(s). CHIC or other consortia, will work with the company to establish manufacturing capacity geographically suited to that demand.

The initial contract will be let for a period of 5 years, however this may be extended by two subsequent periods of 5 years – up to an overall total contract term of 15 years.

The deadline for tenders or requests to participate is 31 July.

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