This programme is not just about newbuild activity or about house values. It is about creating sustainable communities for the people of Gateshead. Our long-term vision remains the same and we are working with public/private partners to identify challenges and solutions.

Our soft market testing shows strong interest from developers, investors and builders in this project. Of the 30 potential joint venture partners we have already consulted, the majority believe current housing market conditions will turn around within the next two years. Developers stated that this was the only vehicle worth considering in the current market where risks can be shared and land held by the Council until required.

The procurement exercise alone with take two years followed by 20 years of delivery. The joint venture therefore represents a long-term project that will benefit from an upturn in the market.

The sites chosen for this programme were those that are vacant, ready for development and in council ownership; or in the process of being acquired by the council and/or cleared for development prior to the set up of the joint venture.

Sites offering future regeneration opportunities are likely to be considered at a later stage. These will be sites where land/properties are in council ownership but the exact nature of the intervention is to be determined or where land/properties are being considered by the council and its partners.

This programme has a long-term plan that fits with the Council's future housing market renewal and Vision 2030 strategies. The project timescale is a realistic one that will offer a successful partnership for both parties. It will take a long time to build 2,400 new homes as well as allowing other privately owned sites to come forward over this period.

The Council is flexible on the joint venture model adopted but expects an equal partnership with joint risk and reward.

GVA Grimley, on behalf of the Council, carried out a wide ranging consultation with many stakeholders and identified that there is a lot of interest in the market for a long-term joint venture partnership approach.

A number of alternative options, including continuing with a traditional approach, were considered but these did not perform as well as the joint venture partnership in meeting the objectives of the Council.

A full risk assessment for the procurement exercise will be undertaken using the Council's risk management framework. A formal project management approach will be adopted to ensure that risks are effectively monitored and managed. The evaluation and allocation of risks in connection with the joint venture partnership will be determined through the procurement process, along with the allocation of these costs to partners.

The profits from this programme will be reinvested to achieve the long-term objectives of Vision 2030. The Council will be able to achieve sustainable regeneration in a greater number of areas in a shorter timescale with this additional resource, while the joint venture will allow the construction of new affordable homes.

The joint venture might encourage private investors in other areas of Gateshead and act as a catalyst for further regeneration in the borough. In turn, this can bring in private sector funding, expertise, investment and innovation to Gateshead, and enhance its investment portfolio.

There is always a risk that the long-term objectives of the Council and its joint venture partner will not match. However, a comprehensive competitive dialogue process has been put in place to ensure any potential issues are ironed out at the early stages. Concerns from residents have been addressed through a robust community consultation and residents are fully supportive of the Council's plans.

The Council brings land assets to the partnership, and will mitigate any risks to the joint venture during the competitive dialogue process.

Under the competitive dialogue procedure, the Council undertook a pre-qualification process and invited shortlisted candidates to participate in a dialogue process during which any aspects of the project can be discussed and solutions developed.

The Council continued the dialogue until it identified one or more solutions that were capable of satisfying its requirements. It then closed the dialogue and invited final tenders from Compendium Group and Evolution Gateshead. Only limited discussion and clarification was permitted once the dialogue stage had closed.

The competitive dialogue process was a measure of innovation to ensure compliance with the Council's vision. The model to deliver the project will be sculpted by the dialogue process.

The competitive dialogue process was launched in November 2008 and closed in January 2011 when we invited Compendium Group and Evolution Gateshead to submit final tenders.

There will still be private sector development in Gateshead outside of the joint venture partnership.

There will also be supply chain opportunities when the joint venture begins to develop the 19 sites.

Various planning applications are already with the Council so several developments will be launched in future.

Ongoing developments have slowed due to the current economic climate but there are development opportunities in the public domain for you to discover.

Success will be monitored via the business implementation plan and key project milestones. Penalties will be decided by the joint venture partnership.

We have developed visioning documents and design principles for the flagship sits that outline the design quality and innovative we are seeking for this project.

Homes and Communities Agency (HCA) design principles will be the minimum requirement for developments in the programme. The Commission for Architecture and the Built Environment (CABE) is also working with the Council and is willing to assist on design and sustainability issues.

The Council hopes to support Gateshead's tradition for innovation and pushing the boundaries of housing design, as seen in the BoKlok and Staiths South Bank developments, throughout this project.

This will be considered as part of the competitive dialogue in order to streamline processes.

Community involvement has been carried out at every stage of the procurement process.

We plan to consult with the community on the masterplans for all 19 sites prior to development, and have ensured comprehensive community engagement strategies are built in to the development plans for the whole project.

This project will have massive regeneration benefits to the community. The project will stimulate local economies, bring in jobs and add value to surrounding properties. It will also make neighbourhoods a nicer place to live, more sustainable and, through the community focus embedded throughout the project, bring Gateshead's communities closer together.

The community wholeheartedly backs the regeneration plans for area and we are taking them with us on this project. We expect community consultation and engagement to be an ongoing process.

Social housing will be provided on all of the 19 sites. The exact numbers required in each neighbourhood will be determined during the masterplanning process.

This project is not just about housing, it's about sustainable development and regeneration. Opportunities where the joint venture can progress other initiatives, such as improving local retail centres, will be considered. There will also be opportunities to link to other commercial developments in the borough, including the town centre regeneration and GQ2.

There will be opportunities for subcontractors to get involved once a joint venture partner has been appointed in September 2010.

Gateshead Council is currently in the process of selecting a partner and is reviewing a long list of nine bidders. These are: Barratt Homes; CM Yuill and Gentoo; Compendium Group (comprising Riverside Group and Lovell Partnership); Home Group and Galifordtry; Keepmoat; McInerney Homes North East; Miller Homes; Persimmon Homes; Taylor Wimpey.

There will be opportunities to work with the selected partner in the future and the council is liaising closely with bidders to determine how the supply chain will be involved.

We will keep potential subcontractors informed about any opportunities and the routes for expressing interest as they arise.

To our knowledge, this is the biggest housing regeneration project outside of London.

Other programmes of a similar size have been delivered successfully in other areas, including Liverpool, Leeds, Croydon, Hull and Birmingham.

Internal valuations have already been carried out on the sites. Land values will be continually reassessed in line with the market as the project progresses

We have developed a model where sites will be brought on board throughout the life of the project. We will use market standard build rates for the project.

The profits from this programme can be reinvested to achieve the long-term objectives of Vision 2030. The Council will be able to achieve sustainable regeneration in a greater number of areas in a shorter timescale with this additional resource.

The Council will comply fully with existing policies and procedures for awarding planning permission.