Land Swap and Conditional Purchase Agreement for Bath Western Riverside Phase 2 Housing Development

Bath & North East Somerset Council is pursuing a phased land transaction with Berkeley Group to deliver affordable housing as part of the Bath Western Riverside Phase 2 regeneration project on the former gas works site. The arrangement comprises a primary Land Swap Agreement where the Council will transfer its 31.5% land interest to Berkeley in exchange for freehold transfer of Block G (currently under Berkeley's ownership) following completion of construction to golden brick standard. Following the land swap, the Council has the conditional option to purchase approximately 140 dwellings in the Linear Blocks from Berkeley, also at golden brick stage, subject to securing funding. The parties will also enter a conditional development agreement for completion of Linear Blocks from golden brick to practical completion. Berkeley will undertake planning services to secure permission on Council land. The Council considers the primary land transaction is exempt under the Procurement Act 2023 as a land and buildings acquisition. Should any ancillary agreements be deemed public works contracts, the Council believes direct award is justified under Schedule 5 of the Procurement Act 2023 due to Berkeley's exclusive land ownership, unique site knowledge, and ability to deliver superior value for money compared to open market alternatives. Project completion is targeted for 2032, delivering significantly increased affordable housing beyond what the Council could achieve independently.