GP Surgery Premises Purchase by a Medical Partnership in Surrey
£1,650,000 · 20 years · 5.90% fixed 10 yrs. A four-partner GP practice in Surrey had been renting their surgery premises from an NHS property company and were offered the opportunity to purchase the freehold.
The Client
Four-partner GP practice
The Challenge
A four-partner GP practice in Surrey had been renting their surgery premises from an NHS property company and were offered the opportunity to purchase the freehold. NHS GP practices can access favourable commercial mortgage terms given the strength of NHS income streams. Their accountant had not been aware of the specialist GP mortgage market.
Our Solution
Doulton identified a lender with a dedicated GP/healthcare professional proposition offering significantly better terms than the general commercial mortgage market. The NHS contract income of all four partners was used in the affordability assessment. A 10-year fixed rate provided long-term certainty for the practice.
The Outcome
Surgery premises purchased. Partners eliminated their annual rent liability of £87,000 and are now building equity in a freehold asset. The 10-year fixed rate provides complete cost certainty for medium-term practice planning. Key highlights: Specialist GP mortgage market identified - rates materially better; NHS contract income used in affordability assessment; £87,000 annual rent eliminated - freehold asset building equity.