Advisian’s role 

In 2013, the Government appointed Advisian to help develop and deliver a self-sustaining project for the State under a modified outsourcing structure. We worked firstly on the bid evaluation committee for initial submissions. The Government then appointed us to advise on developing the commercial and financial approach; produce the necessary commercial principles and documentation; and manage aspects of the bidding process, including undertaking a significant skills transfer process. In particular we: 

  • Provided expert commercial and financial advice for developing commercial principles and documentation that provides the basis for the provision by the private and not for profit sectors of a broad range of housing services, including affordable housing stock, maintenance and facilities management, and tenancy services for new and existing housing stock.
  • Provided advice regarding the development of the proposed commercial arrangements, including development of the risk regime, output specifications, payment and performance regime (incorporating maintenance and facilities management requirements); and the process and criteria for portfolio management and property development.
  • Assisted with financial modelling requirements including the development of bid financial model proforma sheets.
  • Assisted in preparing and conducting interactive workshops with proponents and assessing proponent responses.
  • Assisted on tender evaluation and the negotiation process to determine a preferred proponent.
  • Assisted in project documentation and terms sheet development.

Results

Advisian worked with the Department of Housing and Public Works on this important project by developing a robust commercial structure and delivery process, to better:

  • manage risk transfer
  • quarantine State assets
  • enable deliverability to clearly stated outputs and criteria
  • define any State financial contribution and financial model
  • Create a self-sustaining public housing model.
Advisian’s advice has been well regarded by the Department of Housing and Public Works, which has subsequently engaged Advisian to provide similar support for another housing renewal initiative in Queensland.

Providing expert financial, commercial and contestability advice.