Location and premises are critical to medical practice success. Understanding commercial property considerations helps protect your investment.
Finding the Right Property
Location Factors
Consider these when selecting premises:
- Patient accessibility and parking
- Public transport access
- Proximity to hospitals and specialists
- Competition in the area
- Growth potential of the suburb
- Demographics alignment
Property Requirements
Medical practices have specific needs:
- Appropriate zoning and permits
- Adequate consulting rooms
- Reception and waiting areas
- Storage for medical records
- Disability access compliance
- Medical waste management facilities
Lease Negotiations
Key Lease Terms
Negotiate carefully on:
- Base rent amount
- Review mechanisms (CPI, market)
- Outgoings and how they're calculated
- Incentives (rent-free periods, fitout contributions)
- Initial term length
- Renewal options
- Conditions for exercising options
- Demolition clauses
- Specific medical use clauses
- Ancillary uses
- Restrictions on competitors
Fitout Considerations
- Landlord vs tenant responsibility
- Fitout approval processes
- Make-good obligations at end of lease
- Depreciation and ownership
Common Pitfalls
Avoid these mistakes:
- 1Signing without legal review
- 2Unclear make-good obligations
- 3Inadequate option terms
- 4Missing permitted use clauses
- 5Unexpected outgoings increases
Conclusion
Commercial property decisions significantly impact practice viability. Professional legal advice during lease negotiations protects your interests long-term.