Are you worried about the risk of ‘Last Man Standing’?
During the first few months of Excellence in Practice one of the topics on which we have been asked to provide project support has been to practices wanting to develop their premises or move to a new site. Putting together a successful business case requires help and advice from the NHS Kernow Primary Care Team who are always helpful and an understanding of the constraints of the GMS Premises Cost Directions.
Premises ownership - with or without a capital development- often requires significant investment and the risk appetite among Partners has naturally waned with some practices finding it a barrier to recruitment. With concerns about the risk of becoming ‘The Last Man Standing’, increasingly practices are considering working with third party property developers and/or the sale and lease-back of their premises.
There are a number of reputable companies who can support practices wanting to look at this option however, some Partners are naturally concerned about signing a 20 or 25 year lease. Two practices in the County are now working with OneMedical Property, which as a family run company, also delivers some primary care services in other parts of the UK and therefore understand the challenges. Their sale and lease-back terms include a reassuring ‘Armageddon clause’ and will step in as the contract holder in the eventuality that the practice loses Partners and is unable to recruit replacements. In practice we believe this will provide a real boost to recruitment of Partners who will have the benefit of high quality fit for purpose premises and the reassurance that they are ‘insured’ against the risks which can come with premises ownership.
If you are interested in the above or similar models, please contact the EiP team: kernowhealthcic.eip@nhs.net