Bouygues scores first UK PFI deal

North London is the scene for French giant Bouygues’ first victory in the UK’s lucrative PFI housing market. The contractor, pitching under the banner of Brent Coefficient and in tandem with the Hyde Housing Association and the Bank of Scotland, has emerged as Brent Council’s preferred bidder for a £90m-plus deal, which first surfaced about 15 months ago.

The Brent success means second time lucky for the firm. Last month, Bouygues was beaten into second place by United House and local contractor Denne in the contest for a £63m housing deal rolled out by Kent County Council. Locked out of the Brent deal is the only other contender in the hunt –- a consortium headed up by the Catalyst Housing Group.

The identity of Catalyst’s contractor whas never clbecome clear, but in the past the group has worked with a raft of firms including Wates, Willmott Dixon, Galliford Try and Mansell.

The Brent project involves building temporary and permanent accommodation for homeless people and those with learning difficulties. Work on site is expected to get under way around early summer 2007, with the accommodation delivered in phases. The project is broken down into several elements. Temporary accommodation will be built for around 450 homeless families. About round 300 permanent homes will also be constructed, again for homeless families, along with 50 further units for people with learning disabilities. The construction period for the entire deal is expected to span two years, with the PFI concession running for 30 years.

[Contract Journal, 18 October 2006, p 11]