The Application of the Public Contracts Directive to Development Agreements and Planning Obligations Following Auroux v Roanne

摘要

A frequently employed mechanism for the development of land, particularly regeneration schemes in urban centres and the like, is a joint approach between developer and local authority whereby, on agreed terms, the authority exercises compulsory purchase powers (generally s.226 of the Town and Country Planning Act 1990) in the public interest and makes available such property as is needed to carry out the development. In return, the developer will usually indemnify the authority for its costs of so doing, including CPO compensation, and, depending on the circumstances, enter into a development agreement with the authority which to a greater or lesser extent will regulate aspects of the development and the revenues from the development, and provide for property interests to be transferred to the developer. In some instances, where the authority may be participating as substantial landowner, and not just as planning authority, and issues both of good estate management and best value2 will arise, there are likely to be complex arrangements regarding the transfer of property interests, accounting for costs and division of revenues/profits. In many cases, arrangements will be included for the improvement of infrastructure and "the public realm" which is usually (though not always) then returned to the authority.