Long term client in Northern Ireland benefits from another successful Notional Rent review.
GP Surveyors have been working for Drumquin Medical Centre since 2008, checking their notional rent figure on four occasions, netting the surgery a five-figure per year increase on one such occasion.
When the practice received its 2016 Notional Rent figure from the District Valuer (DV) in 2019, they naturally contacted GP Surveyors. Even though the practices 2016 figure had been slightly increased from their 2013 figure, Dr Scully (GP Partner, Drumquin Medical Centre) was keen to obtain a second opinion. Having discussed the matter with Paul Hardman, (GP Surveyors Client Manager), Dr Scully instructed GP Surveyors to proceed with their case and check the DVs proposed Notional Rent figure.
The case was then allocated to one of our highly experienced Chartered Surveyors, Tom Simpson. Having completed his inspection, compiled his finding and compared the initial Notional Rent valuation with our vast database of evidence, Tom concluded, there was strong evidence for the surgery to challenge the DVs initial valuation.
The basis for the Notional Rent challenge
Drumquin Medical Centre is located in County Tyrone, Northern Ireland and is a 2001 purpose-built surgery in reasonable condition.
- Low unit rate
The DVs notified figure seems out of line with the facts prevailing at the practice and GP Surveyors comparable evidence of purpose-built surgeries, in the locality.
Tom submitted his report to the DV and then began negotiations to increase the surgeries Notional Rent reimbursements. Drawing upon our vast database of comparable evidence in Northern Ireland, GP Surveyors were able to successfully negotiate an increase of 18.3% above the DVs initial Notional Rent valuation. Which was an overall increase of 24% between the 2013 and 2016 Notional Rent reviews.
This increase resulted in a significant boost to the surgery’s annual income and the practice’s payment will be backdated to the DVs’ original valuation date and paid in full. The practices increase in Notional Rent is also highly likely to have increased the surgery’s capital value.
Dr Scully was pleased with the overall results of the challenge. He commented:
“The service was outstanding: GP Surveyors personnel clearly have a deep and detailed knowledge of the full range of parameters involved in the agreeing of Notional Rent on GP premises. The time taken to pursue the necessary processes involved was more than acceptable: just a few short months; and I received regular updates. The outcome of the Notional Rent Review was very rewarding and was an outcome that I could not have achieved without GP Surveyors’ help. Finally, the fee payable was very fair.”
Drumquin Medical Centres Notional Rent challenge illustrates that it’s prudent for all practices to check their Notional Rent figures, irrespective of whether the surgery has received an increase from their previous review.