Sale and leaseback

At Clark Weightman we identify buyers who specialise in acquiring existing surgery buildings. These are purchased at market value with a view to leasing the premises back to the GP practice. Advice regarding reasonable lease terms can be provided. The rent payable would not normally exceed notional rent (reimbursed rent). This is negotiated tri-annually with the District Valuer.

Pursuing the sale and leaseback option can provide flexibilities that the practice may be seeking in the following respects:

• future outgoing or retiring GPs will not be required to sell individual shares
• funds required to buy into the practice will not be a necessity for incoming GPs
• the rent should be covered by notional rent (reimbursed rent), meaning that GPs will not typically need to use their own funds
• assignment of leasehold interests to new or existing partners will be allowed. Therefore, future liabilities are not continued for outgoing or retiring partners.