Pathology Lease & Rent Negotiations
Our office has observed a dramatic rise in Medical Practices receiving "Please explain" letters from the Department of Health relating to their rental agreements with pathology providers.
We provide expert representation in negotiating mutually beneficial lease agreements while ensuring compliance with regulatory requirements.
Received a "Please Explain" Letter?
Call us
(08) 8523 3177
Email us
office@hamiltonbailey.com
Response time
Within 24 hours
The Challenge with Pathology Rent
The logical solution to a "Please explain" letter from a Government Agency/Department requesting you to provide rationale as to the agreed upon annual pathology rent is to provide accurate, justified documentation.
In our experience, where a business charges approximately $20,000 per annum for their premises, in most cases the business (landlord) could be charging significantly more with proper structuring and justification.
Our Results
Upon our firm completing processes and final negotiations with Pathology Providers, the average rental sums paid to our clients by the Pathology Providers have significantly increased. There have been several cases where our firm successfully negotiated annual rents substantially above initial offers.
Our Process
A systematic approach to pathology lease negotiations
Initial Assessment
Preliminary analysis of your business's unique circumstances and review of provided documents
Valuation Research
Verify results with our Australian-wide database and market comparisons
Negotiation
Expert representation in negotiations with Pathology Providers on your behalf
Documentation
Draft compliant Lease/Sublease Agreement with proper valuation justification
Key Considerations
Proper structuring of pathology lease arrangements requires attention to several critical elements:
Proper Lease Documentation
Have a qualified solicitor draft a Lease/Sublease Agreement between the landlord and the Pathology Laboratory tenant with appropriate medical sector expertise.
Valuation Justification
Ensure the landlord has justified the valuation as proposed within the Lease document. This is critically important for regulatory compliance.
Market Rate Analysis
Understanding of commercial rental rates specific to medical and pathology premises in your area.
Fixed-Fee Service
We provide a Fixed-Fee service that includes the entirety of the "Pathology Lease Terms" Negotiations.
Upon our preliminary analysis of your business's unique circumstances and review of your provided documents, we will provide you a written quote prior to commencing work.
Important Note
The Department of Health's Redbook Policy Guide (2018) is not legislation or regulation, and was drafted for the purpose of assisting the Department. Professional legal advice is essential for proper compliance.
Related Services
Learn more about our property and leasing services
Maximize Your Pathology Rental Returns
If you are attracted to the idea of having our firm represent you in negotiating a mutually beneficial Lease Agreement between your business and Pathology Laboratory, contact us today.