Blackwoods Medical Centre case study
Blackwoods Medical Centre located on the outskirts of Glasgow received an increase of 24 per cent above the District Valuer’s offer after GP Surveyors worked on their behalf to challenge their Notional Rent figure.
Blackwoods Medical Centre is a purpose built surgery with six Doctors. One of those, Dr Jamieson contacted GP Surveyors after seeing an advert for our services in the medical press.
He explains; “We decided to use GP Surveyors because my first contact with them was very positive and the fees quoted for the work they would undertake were realistic.”
“For years I have felt that the rental being generated did not adequately reflect the underlying value nor investment in our purpose built practice”
Through GP Surveyors skilled negation we obtained a 24 per cent increase in the Notional Rent for Blackwoods Medical Centre above the District Valuer’s offer, taking it from £24,250 to £30,000 per annum. This means the gross financial benefit to the practice will be £17,250 over the three year period.
Dr Jamieson continues; “For years I have felt that the rental being generated did not adequately reflect the underlying value nor investment in our purpose built practice premises and that nobody in their right mind would raise finance to generate such poor returns, even realising that a GP needs premises to operate from.”
“There is an opportunity to properly value GP premises”
“My advice to other Doctors who may be looking to challenge their current figure is to go for it as there is an opportunity to properly value GP premises. The previous system was hard to challenge.”
Paul Conlan was the assigned Surveyor on this case says; “Valuations in Scotland are more location specific than in other parts of the UK meaning other factors come into play when assessing the Current Market Rental for the premises. The reasons why surgeries are often underfunded include miscalculations of the reimbursable area and a cautious approach taken by the District Valuer as to the levels of the value”.
“We would actively encourage every practice to instruct a suitably qualified Surveyor to check the level of funding they receive.”
Dr Jamieson concludes; “We took a long time to get there, but we got a good result in the end.”
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