Montagu Evans appointed for major NHS valuation mandate
NHS Property Services (NHSPS) has appointed Montagu Evans as the valuation consultant for its £3.6 bn property portfolio on a five-year contract; the firm held the previous valuation contract for NHSPS, which also ran for five years.
Created under the Health and Social Care Act 2012 to manage and maintain property on behalf of NHS commissioning organisation, NHSPS holds around 1,300 freehold properties and 27 PFI properties located across England, with a current net book value of circa £3.6 bn. It owns approximately 10% of the NHS estate, which is occupied mainly by GP practices, Clinical Commissioning Groups, and a range of healthcare providers such as Foundation Trusts.
Montagu Evans’ work for the organisation will cover three strands:
• Real estate revaluations required for financial reporting purposes.
• Ad hoc asset valuations for acquisitions, along with the provision of Market Value reports for disposals. NHS Property Services has an active disposals pipeline, and in 2018/19 the realisation value of disposals was circa £50 m across 82 properties.
• Advice on IFRS16, and specifically around the subsequent measurement and revaluation of ‘right of use assets’.
NHSPS is Montagu Evans’ largest healthcare client. The firm also provides valuation, rating, planning, and development advice to around 200 Trusts. Its valuation team also has wider experience of public sector assets, including large-scale portfolio valuations and individual assets, valuing over 5,000 individual buildings in the last year.
Montagu Evans’ work will continue to be based on the ISO 9001 Quality Management System and Principles of ISO 25001 Project Management. It works to RICS best-practice guidance, and says it ‘brings forward expert valuation knowledge, industry insights, and leading-edge valuation tools’ alongside its quality control procedures, ‘for accurate and consistent valuation in keeping with NHSPS valuation policy’.
The photo shows the NHSPS Rooksdown GP practice in Basingstoke.