Ground Lease Development Agreement for Harrogate District Hospital Extension

Harrogate and District NHS Foundation Trust is entering into agreements with Noviniti Dev Co 15 Ltd and Compass Contract Services to develop a building extension at Harrogate District Hospital. The project will create new retail, café, office and storage space adjacent to the hospital entrance. The development involves a 45-year ground lease with break options for the Trust, a licence for alterations allowing construction, a deed of variation, and a multi-party Agreement for Lease. Compass will operate the retail facilities under separate leases with surplus income sharing provisions. The Trust retains control of the building structure through a sub-lease arrangement. The development is a direct award exempt from public procurement rules under the Procurement Act 2023 because Noviniti has exclusive control of the site and no party can undertake the full development without their consent. This is a contract notice for land and building interests.