GP Surveyors Admin, Author at GP Surveyors

Priorslegh Medical Centre, Cheshire – Notional Rent Review

Cheshire GP Practice Notional Rent Review

Long-term client Priorslegh Medical Centre, Cheshire benefits from another Notional Rent review

Having just received the practice’s latest CMR6 from the NHS, Lindsay Bates, the Practice Manager of Priorslegh Medical Centre, got in touch with GP Surveyors. Even though the reimbursement figures had increased since the previous review Lindsay knew it was always best to have a specialist surveyor double-check.

As GP Surveyors have been securing notional rent increases for the practice since 2011, we were Lindsay’s first port of call. With a no increase no fee basis there was literally nothing to lose.

Laura Dews, one of our highly experienced Client Managers was more than happy to talk Lyndsey through our service and the process before confirming her instruction. Once instructed Clare Kersey (MRICS | RICS Registered Valuer), Associate Director of Surveying got to work.

Having visited Cheshire to carry out a detailed inspection of the practice Clare went to work analysing GP Surveyors database of evidence and comparing Priorslegh Medical Centre to other practices in the local area. Clare established the main factors in the case that required negotiations with the District Valuer (DV). The DV is a surveyor who acts on behalf of the NHS in negotiations. The main areas for dispute were the floor area eligible for reimbursement and the unit rate attributed to the surgery.

Clare went through detailed negotiations with the District Valuer and was able to secure a favourable outcome for Priorslegh Medical Centre. The DV agreed on an increase in all unit rates and a 12.7% increase in the area of the first floor which was eligible for rental reimbursement. The outcome was that Clare was able to secure a 5% increase above the Notional Rent figure given by the District Valuer.

For Lindsay and Priorslegh Medical Centre, the 5% increased rental income was a great win. For a notional rental reimbursement of this size, a 5% increase boosted the income of the practice substantially. Thanks to GP Surveyors’ Notional Rent Review service and Clare’s expertise, the surgery was able to maximise its rental income and improve its overall financial health.

Lindsay and the Partners were extremely pleased with the result.

“We found the process very easy from start to finish and the support from the team was very good. There was little input required from us and the outcome was very positive”.

Lindsay Bates – Practice Manager

Review your GP practices Notional Rent

We hope you have found our Cheshire GP practices Notional Rent case useful, see practices case studies from your area here.

If you would like GP Surveyors to carry out a Notional Rent review for your practice, or you have any further questions please contact our team today.

Priory Medical Centre – Liverpool – Sold

GP Surveyors facilitate sales of surgeries across the UK and are regularly bringing GP properties to market. If you’d like to be kept up to date with new properties, please complete our investor form to register your interest.

Offers over: £2.4 million

Bids closed

Description

Priory Medical Centre is a large purpose- built GP surgery, dated 1999 and offers two floors of accommodation, with a large tarmac car park situated to the front of the property, which has space for 66 cars.

The ground floor is 529.64 sqm and consists of: 11 consulting rooms, two nurses rooms, and two treatment rooms. The surgery benefits from an entrance lobby, which leads to reception and two large waiting areas. A large office is situated behind reception. Facilities include four WCs one of which includes a baby changing area.

The first floor is 94.36 sqm and consists of: three office suites, a common room, staff room, kitchen and a WC.

The generously proportioned Pharmacy, measuring 91.19 sqm is accessible through a main entrance to the left of the practices or via the waiting area in the practice.

Summary

Investment Summary

Surgery

Notional Rent: £90,000 per annum
Patient list size: 10,942
FTE doctors: 8 plus a further 3 sessions worked.
(Full-time GPs work 9 sessions)
Lease: 15 Years, TIR terms
Initial Surgery Rent: £90,000 p.a.

Pharmacy

Rental income: £48,500 pa – Lease expires: March 2024
Ground rent income: £15,000 pa (fixed) – 99 year lease from 24th May 1999
Floor area: 91.19 sqm

Key Property Features

Ground floor area: 529.64 sqm
First-floor area: 94.36 sqm
Car parking spaces: 66
Purpose-built

Gallery

Floorplan

Click to enlarge floorplan.

Location

EPC

Click to see Priory Medical Centre’s full EPC.

Contact

Rebecca Adams
Business Development Manager
0114 281 5398
[email protected]

GP Surveyors gives notice to anyone who may read these particulars as follows:
1. These particulars are prepared for the guidance only of prospective purchasers. They are intended to give a fair overall description of the property but are not indeed to constitute part of an offer or contract.
2. Any information contained herein (whether in text or photographs) is given in good faith but should not be relied upon as being a statement of representation of fact.
3. Nothing in these particulars shall be deemed to be a statement that the property is in good condition or otherwise nor that any services or facilities are in good working order.
4. The photographs appearing in this brochure show only parts and aspects of the property at the time when the photographs were taken. Certain aspects may have changed since the photographs were taken and it should not be assumed that the property remains precisely as displayed in the photographs. Furthermore, no assumptions should be made in respect of parts of the property which are not shown in the photographs.
5. Any areas, measurements or distances referred to herein are approximate only.
6. Where there is a reference in these particulars to the fact that the
alterations have been carried out or that a particular use is made of any part of the property this is not intended to be a statement that any necessary planning regulations or other consents have been obtained and these matters must be verified by any intending purchaser.
7. Descriptions of a property are inevitably subjective and the descriptions contained herein are used in good faith as an option and not by way of statement or fact.
8. All areas quoted are expressed as Net Internal Area (NIA) in accordance with the RICS Code of Measuring Practice 6th Edition and Guidance Note 60.
9. All prices and rents are exclusive of VAT but may be liable at the prevailing rate.

Misterton Group GP Practice & Branch – Doncaster – Sold

Misterton Group GP Practice & Gringley Branch – South Yorkshire – Sold

Offers over: £1.25 million

Bids closed

Description

Misterton Group Practice and Gringley Branch Practice are modern purpose-built medical centers, in excellent condition. Both buildings offer one floor of accommodation and their own tarmac car parks.

Misterton Group Practice has a floor area of 266.24sqm, consisting of five consultation rooms, two examination rooms, a records store and a separate office. The surgery benefits from a large waiting and reception area as well as a dispensary. There are ample storage rooms as well as fantastic facilities, including two WCs and a kitchen.

Gringley Branch Practice has a floor area of 188.55sqm, consisting of four consultation rooms and two examination rooms. The surgery benefits from an entrance lobby and two waiting areas, as well as a dispensary and two storerooms. Facilities including two WCs and a kitchen. Travel time between the sites is approximately 10 minutes.

Summary

Investment Summary

Notional Rent:
• Misterton Group Practice: £43,500
• Gringley Branch Practice: £29,500

Patient list size:
• Misterton Group Practice: 3,762
• Gringley Branch Practice: 2,440

FTE doctors:
• Partners 5.5 WTE | Salaried GPs 3.25 WTE

Key Property Features

Floor areas:
• Misterton 266.24sqm |
• Gringley 188.55sqm

Car parking spaces:
• Misterton 18
• Gringley 8

• Both practices are purpose-built

Gallery

Floorplan

Click to enlarge the floor plan.

Location

EPC

View Misterton Group Practice – EPC.

View Gringley Branch Practice – EPC

Contact

Rebecca Adams
Business Development Manager
0114 281 5398
[email protected]

GP Surveyors gives notice to anyone who may read these particulars as follows:
1. These particulars are prepared for the guidance only of prospective purchasers. They are intended to give a fair overall description of the property but are not indeed to constitute part of an offer or contract.
2. Any information contained herein (whether in text or photographs) is given in good faith but should not be relied upon as being a statement of representation of fact.
3. Nothing in these particulars shall be deemed to be a statement that the property is in good condition or otherwise nor that any services or facilities are in good working order.
4. The photographs appearing in this brochure show only parts and aspects of the property at the time when the photographs were taken. Certain aspects may have changed since the photographs were taken and it should not be assumed that the property remains precisely as displayed in the photographs. Furthermore, no assumptions should be made in respect of parts of the property which are not shown in the photographs.
5. Any areas, measurements or distances referred to herein are approximate only.
6. Where there is a reference in these particulars to the fact that the
alterations have been carried out or that a particular use is made of any part of the property this is not intended to be a statement that any necessary planning regulations or other consents have been obtained and these matters must be verified by any intending purchaser.
7. Descriptions of a property are inevitably subjective and the descriptions contained herein are used in good faith as an option and not by way of statement or fact.
8. All areas quoted are expressed as Net Internal Area (NIA) in accordance with the RICS Code of Measuring Practice 6th Edition and Guidance Note 60.
9. All prices and rents are exclusive of VAT but may be liable at the prevailing rate.

The Doctors House, Buckinghamshire

Maiden Notional Rent review delivers a fantastic increase for Buckinghamshire practice

GP Surveyors first got in touch with Sarah Deeks (Marlow Medical Group – Practice Manager), having successfully concluded a Notional Rent review on a neighbouring practice. One of our highly experienced Client Managers, Paul Hardman chatted with Sarah to explain how GP Surveyors expert team checks a practice’s Notional Rent figure. Paul highlighted that the practice could have reassurance their Notional Rent was in line with similar practices in the locality or if there was evidence to the contrary, GP Surveyors could challenge the District Valuers (DVs) opinion. Having run through the initial consultation with Paul, Sarah decided to instruct GP Surveyors to check the next of the group’s surgeries, that was due its Notional Rent figures.

Premises inspection

Paul duly organised for one of our Senior Surveyors, Dave Simpson, to visit The Doctors’ House surgery and begin the practice’s Notional Rent check. Dave visited the surgery and carried out a full inspection, including measuring the property in full, drawing up a floorplan, photo-documenting the standard of the premises and confirming the use of all the floor space with the practice.

Checking the practices Notional Rent

On his return to the office, Dave compiled all his findings from the inspection. Dave then cross-checked the practice’s proposed Notional Rent figure against GP Surveyors vast database of comparable evidence to ascertain if the surgery had a case to challenge the DVs Notional Rent valuation. When comparing The Doctors House with similar premises in the locality, Dave found there to be sufficient evidence to move forward with a challenge to the DVs initial opinion of the surgery’s Notional Rent.

Dave also found several other factors to base his challenge around, including:

Inaccurate floor areas
The DV had excluded certain areas that were eligible for inclusion, including a portacabin.
Car parking spaces
Including a higher number of eligible spaces in the rental figure.
Low unit rate in comparison to practices in the locality

DV Negotiations

Once Dave had compiled his case, he sent his valuation to the DV to begin negotiations. Floorplans, measurements, and evidence were exchanged, and Dave was able to successfully negotiate an increase of 3.72% above the DVs initial Notional Rent valuation. Sarah Deeks and the Marlow Medical Group were very pleased with the result:

“We used GP Surveyors to contest our notional rent and found the process quick and easy with virtually no input required from the practice throughout the process. We were also successful! Highly recommend.”

The increase Dave secured resulted in a significant boost to the practice’s annual income and in turn, is highly likely to have increased the investment value of the property.

We hope you have found our Buckinghamshire case study useful, see our full range of Notional Rent case studies here.

Review your practices Notional Rent

If you would like GP Surveyors to carry out a Notional Rent review for your practice, or you have any further questions please contact our team today.

GP Practice Mergers – property considerations

The thought of beginning a GP practice merger can be a daunting one, but merging can create opportunities for surgeries and deliver a variety of benefits if planned effectively. Let’s take a look at these benefits and opportunities and the factors to consider from a property perspective, to help you plan a successful merger.

What is a GP Practice merger?

A GP merger is when two or more practices join-together to form a single practice.

The benefits of GP Practice mergers

Merging practices create a larger group and so enables the group to benefit financially from economies of scale, particularly with the procurement of goods and services. The ability to share facilities and or premises is another way in which merging can significantly help to reduce overheads. Workload can also be shared, possibly reducing reliance on locums and agency staff.

Being part of a larger entity also increases the opportunities for the surgeries to bid for contracts. Other benefits include; streamlining processes, such as back-office functions and developing centralised staff training and education.

Patients can also benefit from GP mergers, as practices have greater capacity, flexibility and can offer a wider variety of services compared to smaller practice.

Property considerations

As a starting point, consider whether your practices share the same culture and ethics before merging, this will go a long way towards the merger and future working relationship running smoothly. Next, ensure a combined partnership agreement is completed by all the merging surgeries and that this is drawn up by a specialist primary care solicitor.

To avoid major property issues during a merger we strongly recommend that surgeries neutralise their equity and liabilities at the outset of the merger. Meaning that each partners’ share is equal and thus avoiding any future bias, enabling decisions to be taken that benefit all parties equally. This avoids a scenario that would benefit one surgery and be detrimental to another, such as; one property closing creating a loss for one party and/or another property expanding creating a profit for another party.

In order to accurately equate property shares, each surgery should be valued to ascertain its current market value. Valuing GP premise is a specialist area and as such, we’d advise instructing a specialist primary care premises surveyor.

Once equity and liabilities are neutralised then an estates strategy can be implemented. There are many estates strategies open to surgeries during a merger, depending upon the circumstances of the parties involved. Factors to consider include, the profile of the estate now and what it would look like in 5, 10, or 15 years’ time, as it’s likely to be very different, for example, does the type of property fit into the profile of building in the NHS 5 year forward view.

In summary

There are many benefits to GP practice merges and some property challenges to overcome, but none that careful consideration, planning and engaging a specialist primary care surveyors can’t overcome.

Newburn Surgery, Newcastle

Newcastle practices first notional rent review pays off, handsomely

As a general practice, we understand that your primary goal is to provide top-quality care to your patients. But, what about the Notional Rent that your practice receives from the NHS? This is where GP Surveyors come in. We offer a specialised Notional Rent Review service that aims to secure a fair rent reimbursement for practices, allowing you to continue providing excellent care.

One satisfied notional rent client of GP Surveyors is Julie Dixon, Practice Manager of Newburn Surgery, Newcastle. Julie received her GP practice’s latest CMR6 form and was surprised that the Notional Rent hadn’t significantly increased from the previous review. Following the refurbishment of the waiting room and an office as well as an extension to the practice, they had anticipated a greater uplift in notional rent.

Having not instructed a surveyor before Julie began researching primary care surveyors and spoke to colleagues to gain recommendations. She then got in touch with GP surveyors and spoke with one of our experienced Client Managers, Laura Dews, who walked Julie through the process and answered all her questions. Once Julie and the practice partners were happy to instruct, the work was underway. Laura allocated the case to one of our longest-serving, specialist surveyors Tom Simpson.

Julie commented:

“This was the first time I have used GP Surveyors and as a Practice Manager, I cannot fault the support and service they gave us. The staff were all professional and did what they said they would do, keeping me in the loop all the way through.”

Tom was tasked with reviewing the rent Newburn Surgery received from the NHS, to ensure it was fair and reflected the current market. He conducted a detailed inspection of the property, including detailed measurements of the whole practice, photo documentation of the condition and a floor plan. Once Tom was back at base, he began researching GP Surveyors’ vast database of evidence in the area to ascertain if comparable practices received a higher level of reimbursement. After a thorough review, Tom was able to come up with some interesting findings.

Tom found evidence to support an increase in all levels of the unit rate, including the main practice, the refurbished rooms, and the new extension. There was also a car parking space the practice was not being reimbursed for. Tom took his evidence to the District Valuer (DV) and negotiations began.

Following negotiations Tom’s hard work paid off, and he achieved a massive 31.5% increase above the District Valuers original figure. Julie and the partners were extremely happy with the increased notional rent. Tom’s negotiation skills, along with his expertise and strong comparable evidence, made all the difference.

Julie commented:

“We are delighted with the outcome of the Notional Rent review, and we would use them again. Highly recommend contacting them if you need to negotiate your Notional Rent.”