Healthcare Property Issue 04 July-August 2024
Healthcare Property Magazine is a bi-monthly publication that covers all aspects of the healthcare property sector, from financial and market analysis to design and construction best practices. The magazine also features insights from leading industry experts on topics such as net-zero carbon healthcare facilities, future-proof financing and operations, and navigating the evolving political landscape of healthcare. #healthcareproperty #healthcarefacility #medicalproperty #healthcaredesign #healthcareconstruction #healthcaresustainability #healthcarefinance #healthcareinvestment #healthcaremarkettrends #UKhealthcare #nhsproperties
Healthcare Property Magazine is a bi-monthly publication that covers all aspects of the healthcare property sector, from financial and market analysis to design and construction best practices. The magazine also features insights from leading industry experts on topics such as net-zero carbon healthcare facilities, future-proof financing and operations, and navigating the evolving political landscape of healthcare.
#healthcareproperty #healthcarefacility #medicalproperty #healthcaredesign #healthcareconstruction #healthcaresustainability #healthcarefinance #healthcareinvestment #healthcaremarkettrends #UKhealthcare #nhsproperties
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07/2024
JULY-AUGUST 2024
Advocating a simpler approach to
the healthcare planning process
The implications of
a new accountancy
treatment on NHS leases
Designing mental health
facilities closer to home
HEALTHCARE-PROPERTY.COM
Comment
W E L C O M E
Election fever!
Following news that a General
Election will be held on 4 July,
the main political parties have
been releasing details of their
plans to reform health and
social care services.
Manifesto pledges include
improvements to social care
services, better access to hospital
care, improvements to primary and
community care services and NHS
dentistry, additional funding to
address the COVID-19 backlog,
and capital investment in NHS
buildings and equipment.
And, while health and social care
reform traditionally plays a large
part in voters’ decision-making
at the polls, for many Healthcare
Property readers, capital spending
commitments will be key to their professional
futures too.
Reading through the manifestos, the Conservatives
are continuing with their ambitious – and somewhat
delayed – New Hospital Programme (NHP), which
will aims to deliver 40 ‘new’ hospitals by 2030; while
Labour has pledged £250m to double the number of
CT and MRI scanners and will also continue with
the NHP.
The Liberal Democrats are focusing on a 10-year
plan to invest in the hospital and primary care
estate and a £1.1bn-a-year investment in buildings
and equipment.
These commitments come as the backlog
maintenance bill for the NHS estate exceeds £12bn,
with a number of hospitals suffering from major
issues which threaten the safety of staff and patients.
Also key to most manifestos is
the aim to shift services, where
possible, away from acute settings
and into communities, where they
are more accessible to patients.
But this will mean
diversification of the estate and
the leasing of community-based
facilities; and this will require
changes to legislation around
planning and finance.
In this edition of Healthcare
Property you can read about a
few of these challenges, including
current issues with planning
permissions (p11) and the capital
restrictions associated with the
new IFRS16 accounting treatment
for leases (p15).
In the Finance and Property
section you can also read about healthcare REITS (p25),
and the launch of a new space management system
which is supporting landlords across the health
sector (p18).
Elsewhere, there are details of the latest carbon
reduction efforts across health and social care
(p44), news from estates and facilities management
professionals (p37), and we look at some of the key
drivers behind health and care design and construction
practices (27).
In the next edition we will be looking at
environmentally-friendly lighting solutions, the impact
of arts in health projects, and the design of primary care
facilities. If you can help with any of these please contact
joanne.makosinski@nexusgroup.co.uk
Jo Makosinski
Editor, Healthcare Property
About Jo: Jo is the editor of Healthcare Property, having
joined Nexus Media in November.
She has been specialising in design and construction
best practice within the health and care sector for the
past 15 years, working on the Building Better Healthcare
Awards and editing both Building Better Healthcare and
Healthcare Design & Management magazines.
She has a special interest in the design of mental
health and dementia care settings and in modern
methods of construction and energy efficiency.
HEALTHCARE-PROPERTY.COM JULY-AUGUST 2024 | 3
Contents
Chief executive officer
Alex Dampier
Chief operating officer
Sarah Hyman
Chief marketing officer
Julia Payne
Editor
Joanne Makosinski
joanne.makosinski@nexusgroup.co.uk
Reporter and subeditor
Charles Wheeldon
Business development director
Mike Griffin
Advertising & event sales director
Caroline Bowern
Business development executive
Kirsty Parks
Sales manager
Luke Crist
Publisher
Harry Hyman
Investor Publishing Ltd, 5th Floor, Greener House,
66-68 Haymarket, London, SW1Y 4RF
Tel: 020 7104 2000
Website: www.healthcare-property.com
Healthcare Property is published six times a year
by Investor Publishing Ltd.
ISSN 3029-0627
© Investor Publishing Limited 2024
The views expressed in Healthcare Property
are not necessarily those of the editor or publishers.
@HCprop
linkedin.com/company/healthcare-property/
6-10 News
We round up the big stories,
including concerns over the cost
of delays to the New Hospital
Programme and news of ongoing
construction projects, including
plans for a new health centre in
Berkshire, the opening of a mental
health facility in Islington, and
improvements to Monkwearmouth
Hospital in Sunderland
11-13 Policy
Exploring the challenges of the
current healthcare planning system
and why a simpler approach
could help to overcome some
of the problems
15
15-26 Finance and Property
An overview of the key trends in
real estate and property finance
in the healthcare sector. Features
include an overview of healthcare
REITS; the implications of the
new accounting treatment, IFRS
16; the launch of a new space
management tool; and the lack
of elderly care beds in Wales.
Plus, we look at the latest property
deals in the health and care sectors
32
28-36 Building Design
and Construction
The very latest best-practice
approaches to healthcare
architecture and construction.
Articles look at the impact of AI on
healthcare construction projects,
why colour matters in care home
design, and why environmental
impact is becoming more
important to architects
37-42 Estates and Facilities
Management
New environmental measures
unveiled to support NHS
catering teams, how technology
is helping to keep health settings
clean, and we meet some of the
unsung heroes from estates
and facilities teams
37
34
44-46 Environmental
Exploring the health sector’s
net zero carbon challenge and
the support available, including
18 trusts winning government
funding to support energy
efficiency programmes, and
the completion of a solar project
at Poole Hospital
48-50 People
Staffing and people news, including
the latest industry appointments
42
HEALTHCARE-PROPERTY.COM JULY-AUGUST 2024 | 5
News
Delays to New Hospital Programme
cost trusts £1m a month
In feedback to NHS Providers, trust leaders warned they do
not have the facilities to treat patients in the way they aspire to
NHS Providers has raised concerns that millions of pounds
every month are being drained from scarce NHS funds due
to ongoing delays to the New Hospital Programme (NHP)
which promised 40 new hospitals in England by 2030.
Spiralling cost pressures, on-hold building projects, and the
bill for having to patch up deteriorating sites sees some trusts
in the NHP forking out upwards of £1m a month from underpressure
budgets.
And, one year on from the Government’s renewed commitment
to build 40 new hospitals by 2030, trust leaders have warned
that, despite some progress, uncertainty over funding and shifting
timetables risks putting their promised buildings even further
out of reach.
Furthermore, Sir Julian Hartley, chief executive of NHS Providers,
warns the issues with the NHP are just part of the much-bigger
problem that is the scale of underinvestment in the NHS estate.
“More than 100 trusts applied to join the NHP and the NHS
repairs bill is now at a staggering £11.6bn, much of it high risk.
We cannot afford to let this problem get worse,” he said.
CONSEQUENCES
Trust leaders are warning than crumbling estates and out-ofdate
equipment not only hamper care for patients, but also lead
to staff becoming more demoralised.
In addition, public confidence is being undermined by the
delays to the NHP.
Some trust leaders involved in the NHP have voiced their
frustrations to NHS Providers, saying:
• “Further delays are only going to introduce further patient harm,
disappoint our colleagues, and increase costs to the taxpayer”
• “Our teams are coming in, day in, day out, to infrastructure that
is not fit for purpose. We don’t have the facilities to treat patients
in the way that any of us aspire to”
• “In the past three years, we’ve seen a 25% increase in costs;
that’s £200m more today than it would have cost three
years ago”
• “Many of the new hospital plans have been around for a decade
– we must now be given the opportunity to ensure all the plans
align with modern healthcare provision”
Trust leaders are now looking to the next government to
commit to the current hospital building programme, as any
delays caused by going back to the drawing board after the
general election would be costly and undermine patient care.
“As we head towards a general election, trust leaders want a castiron
commitment from all political parties to an NHS infrastructure
programme that meets the needs of hospitals, mental health,
community, and ambulance services”,
Sir Julian adds: “Patients, hard-working NHS staff and
taxpayers deserve nothing less.”
Commenting on the issue, UNISON head of health,
Helga Pile, describes the promises of a new hospitals
programme as ‘more political spin than substance’, adding:
“Ministers are failing to plan and finance critical upgrades to
buildings across the NHS, leaving trusts with huge bills and
hospitals in no fit state to deliver modern healthcare.”
Plans submitted
for Bracknell Forest
health centre
Frimley Health and Care Integrated Care System (ICS)
has announced plans for a custom-made centre for health
in Bracknell.
A planning application, drafted by property consultants,
Vail Williams, in conjunction with architects, Murphy Philipps,
has been submitted to Bracknell Forest Council for a threestorey
development to be sited next to the existing Skimped
Hill Health Centre.
The building will house Evergreen Practice and Forest Health
Group, as well as maternity services and some children and
young people’s services and community clinics.
The project is part of a national drive to boost communitybased
healthcare services, providing funding to bring multiple
services together in the same place.
Subject to planning approval, it is hoped building work will begin
next month, with completion of the build in early spring next year.
6 | JULY-AUGUST 2024 HEALTHCARE-PROPERTY.COM
News
Work underway
on diagnostics centre
Monkwearmouth Development Ltd
(MDL), a joint venture between Sir Robert
McAlpine Capital Ventures and Argon
Property Development Solutions, has
handed over its first development to
NTW Solutions at Monkwearmouth
Hospital in Sunderland.
With funding from Railpen, the new,
modern, fit-for-purpose building provides
a welcoming, level, and accessible front
entrance to the main outpatient facilities
at the existing hospital.
In addition to the new entrance and
reception area, the accommodation
includes meeting rooms, flexible openplan
workspaces, and breakout areas,
as well as consultants’ offices on upper
floors and areas for their support teams.
The building has created the perfect
office environment for employees at the
site and encourages collaborative working
and support.
It also houses a Changing Places facility,
and the new ‘Café Bede’ community café
is open to the general public, visitors, staff,
and service users across the hospital.
The café includes areas for inside and
outside dining and is home to a time
capsule that was placed in the ground
during the construction works telling the
story of the build, the history of the site,
and the previous building for people to
read in years to come.
Sir Robert McAlpine completed the
construction of the 3,287sq m, three-storey
building for MDL over 19 months, with the
facility achieving a design-stage BREEAM
‘Excellent’ sustainability standard.
In addition to a replacement tree-lined
staff car park, the development delivers
level access and a landscaped piazza area
including seating and extensive planting,
along with a memorial garden.
The external works have transformed
the previous parking area that fronts
onto Newcastle Road and creates better
connectivity within the estate for hospital
users, staff, and visitors.
MDL worked with NTW Solutions, a
limited company established by Cumbria,
Northumberland, Tyne and Wear NHS
Foundation Trust, to provide premises
that will enable NTW Solutions to deliver
improved facilities and a range of
important services to the trust.
David Peck from Monkwearmouth
Development Ltd, said: “We could not be
more delighted with the
outcome, which has been a
true collaboration between
all the parties involved, who
have created a building
that is streets ahead of
the one it replaced and
that will make a significant
difference to patients who
rely on it for their care and
the people that use it as
their place of work.”
David Hosken, project
director at Sir Robert
McAlpine Capital Ventures,
added: “We are immensely
proud of delivering a
unique facility using an
innovative development
solution, helping NTW
Solutions renew its estate
with a quality building
designed for modern
ways of working.
“This fantastic project
allows us to continue to
build on our successes
working alongside
NHS trusts to deliver
developments with positive
outcomes for the people
who will use them.”
HEALTHCARE-PROPERTY.COM JULY-AUGUST 2024 | 7
News
Private finance supports
delivery of diagnostic centre
To celebrate work beginning on the
construction of a new diagnostic centre
at Yeovil District Hospital, construction
firm, Darwin Group, invited key partners
in the delivery of the facility to attend
a ground-breaking ceremony.
Somerset NHS Foundation Trust (FT)
chief executive, Peter Lewis, was joined
at the ceremony by clinicians at the
trust, along with representatives from
InHealth, which will provide radiology and
endoscopy services; Prime plc, the trust’s
strategic estates partner; and funder,
M&G Investment.
The centre, which is expected to open later
this year, will provide over 70,000 diagnostic
tests and outpatient appointments a year.
The modern, state-of-the-art, stand-alone
centre on the hospital site will benefit
patients in Somerset and north west
Dorset who will receive quicker diagnostic
tests thanks to the additional capacity
it will provide.
Open seven days a week, it will provide
radiology, endoscopy, cardiology, and
audiology diagnostic tests and outpatient
appointments.
Thanks to Darwin Group’s innovative
offsite modular construction methods,
the project will be delivered up to 60%
faster and with up to 90% less waste than
traditional building methods, making it
one of the most-efficient and sustainable
options in the marketplace.
Specialising in health and care property
development, Prime collaborated closely
with Darwin Group to design and develop
a cutting-edge facility.
And the result will be a high-performing,
sustainable, low-energy new build,
meticulously designed to achieve net zero
embodied carbon.
Furthermore, it is projected to yield a
biodiversity net gain of 267%.
The facility will take shape quickly with
73 modules being delivered and installed
overnight over the course of eight days,
transforming the estate at pace, while
minimising disruption to the busy active
hospital site.
Jonathan Ockrim, a consultant colorectal
surgeon and Somerset FT’s clinical lead for
the Yeovil Community Diagnostic Centre,
said: “I’ve worked at the hospital for 21 years
and have never seen such an incredible
Mental health facility opens in Islington
Per Mertesacker, current manager
of the Arsenal Academy, recently
opened 1 Lowther Road, a new NHS
Integrated Community Mental Health
Centre in Islington.
The opening was also attended by
representatives from contractor, Kier,
as well as other key figures from the
local community.
Kier recently handed over the new
facility to the North London Mental
Health Partnership (NLMHP).
The centre is part of the partnership’s
St Pancras Transformation Programme and
works included the demolition of the existing
facility on site and construction of a new
four-storey building with state-of-the-art
facilities including interview, counselling,
and treatment rooms, agile workspace for
staff, a café, group collaboration zones;
and landscaping which includes a ‘pocket’
park to support visitor and staff wellbeing.
Kier was appointed to the project through
the Procure Partnerships Framework,
an £8bn framework created to support
NHS trusts, local authorities, education
providers, and blue-light services.
David Rowsell, managing director for
Kier Construction London, said: “We’re
delighted to have handed over this vitallyimportant
integrated community mental
health facility to Camden and Islington
NHS Foundation Trust.
“We know this building will support staff
and the trust to provide much-needed
mental health support for the Islington
community.”
Jinjer Kandola MBE, NLMHP chief
executive, added: “The partnership is
committed to improving the outcomes
investment in new buildings and facilities at
the hospital, which is giving us much more
capacity to care for and treat our patients.
“Within the new CDC we’ll have a new
audiology unit, a cardio diagnostic centre,
as well as an imaging suite so we can get
quicker and better-quality CT and MRI
scans for our patients.
“In addition, the centre will house a new
state-of-the-art endoscopy unit, which will
help to relieve the pressure on our busy
endoscopy unit in the main part of the
hospital, so it can prioritise emergencies.
We also expect waiting times for an
endoscopy to be greatly reduced.”
The centre will also have a number
of additional clinic rooms, as well as a
conference room at the top for clinical
meetings.
Kevin Vickers, director at M&G’s longlease
real estate team, said: “We are
delighted to support the NHS by funding
this new diagnostic centre.
“By using private sector finance to fund
public sector projects, it is proof that
effective partnerships like this can help to
stretch the public purse and enable further
societal benefits.
“In addition, the provision of patient capital
for this project also benefits the millions of
savers on whose behalf we invest, through
the generation of sustainable long-term
returns for their pension funds.”
for all our service users and the quality
of the care we provide.
“Through our St Pancras Transformation
Programme, we are delivering new leadingedge
therapeutic environments for service
users and carers and improved working
environments for our staff.
“The cutting-edge design of Lowther
Road was developed with input from
service users, carers, our staff, and the
local community, and can be adapted as
our needs change over time.”
8 | JULY-AUGUST 2024 HEALTHCARE-PROPERTY.COM
News
Financial close reached on
Velindre Cancer Centre project
The consortium behind plans for the
new Velindre Cancer Centre in Cardiff
has announced it has achieved financial
close for the development.
The ACORN consortium, made up of
Sacyr, Kajima Partnerships, and abrdn,
with White Arkitekter as lead designer, has
secured funding for the flagship cancer
care facility, which is being designed in
compliance with the Wellbeing of Future
Generations (Wales) Act 2015 and is
set to become on the UK’s mostsustainable
hospitals.
The facility is also part of Velindre
University NHS Trust’s Transforming Cancer
Services in South East Wales mission.
The hospital will bring high-grade,
sustainable services, offering patients
and carers effective treatments.
Additionally, it will lead national and
international research and innovation
in cancer care.
Aviva Investors, Siemens, Sumitomo
Mitsui Trust Bank, CaixaBank, Norinchukin,
Nomura, and Nord/LB are among the
financiers backing the project.
Work is expected to start on site later
this month, with the first patients receiving
treatment in spring 2027.
GREEN THINKING
Targeting a BREEAM ‘Excellent’
sustainability rating, the building design
prioritises local sourcing and natural
materials with low-carbon footprints
that promote health and wellbeing.
The scheme has a hybrid structural
strategy, with mass-timber structure
to public areas.
And, thanks to the use of materials
such as hempcrete and mineral
plasters that are breathable and flexible,
a natural and calming environment
will be created for patients, relatives,
and staff.
The building is also designed to be all
electric to supporting low energy demand
and low operational carbon.
In addition, the design seeks to reduce
the amount of material used through an
extremely-compact and efficient building
plan and optimised structural and
material use strategy.
Externally, the new hospital will be
surrounded by a landscape garden
designed to ensure minimum impact
onthe site and to keep the Welsh
landscape as wild as possible.
The landscape strategy aims to
retain existing habitats and create new
habitats alongside new landscape
spaces, such as an orchard with
Welsh apple varieties and a community
kitchen garden.
By designing informal playgrounds and
a variety of walking, cycling and relaxation
areas, play and movement in nature is
also encouraged.
Michael Woodford, director of
White Arkitekter’s London studio, said:
“The aim is to create a low-carbon
healthcare environment for the future,
which complements the medical
treatment of patients as well as offers
a state-of-the-art workplace for staff.”
FIT FOR THE FUTURE
Richard Coe, project director at Kajima
Partnerships, added: “It is fantastic to
achieve financial close on this exemplary
new hospital, and we look forward to
seeing the building take shape during
the construction period.
“The project represents a paradigm
shift in sustainable healthcare, providing
cutting-edge facilities and treatment in a
building designed with sustainable material
innovation, community inclusion, and a
commitment to preserving the environment,
at its forefront.”
The ACORN consortium was appointed
following a public procurement process
run by Velindre University NHS Trust.
It includes Sacyr, Abrdn, Kier Facilities
Services, White Arkitekter, Socotec,
Hydrock, Ingho, ICCA, MJ Medical, Turley,
Studio Response, Camlins Landscape
Architects, RSK, Bureau Veritas, Osborne
Clarke, Operis, Howden, Mazars, Cloud
Nine, Evolution Infrastructure, Addleshaw
Goddard, Marsh, AECOM, Lloyds, Geldards,
Pinsent Masons, and Artelia.
HEALTHCARE-PROPERTY.COM JULY-AUGUST 2024 | 9
News
Siemens to build
MRI cooling facility
Germany-based Siemens
Healthineers is building a
facility in Oxfordshire to
design and manufacture
superconducting magnets
used in healthcare facilities
globally for MRI patient scans.
With an investment of £250m,
the site will be home to novel
technology that minimises the
use of helium, making scanners
lighter, easier to install, and
more sustainable.
It will be the UK’s first major
production site for new socalled
DryCool technology,
which reduces the amount
of helium required in an MRI
scanner from 1,500 litres to
under a single litre.
Construction has begun on
the 56,000sq m site and it
will open in 2026. It is being
developed by Tritax Symmetry.
The facility will be
operationally carbon neutral and
should create more than 1,300
jobs when fully operational,
including the retention of over
600 Oxfordshire-based jobs
currently at an existing
Siemens Healthineers facility
in Eynsham.
Many of the roles are for
highly-skilled workers such
as physicists, engineers,
technicians, and specialist
support staff.
Prime Minister, Rishi Sunak,
said: “I am delighted Siemens
Offsite approach for new surgical centre
Construction work has started on
a £49.9m elective surgical centre at
Southmead Hospital in Bristol.
The development is a joint project
between North Bristol NHS Trust (NBT)
and University Hospitals Bristol and
Weston NHS Foundation Trust (UHBW)
supported by Bristol, North Somerset
and South Gloucestershire Integrated
Care Board, and NHS England.
And it will enable an additional 6,500
operations to be carried out every year.
The state-of-the-art facility is being built
by specialist healthcare construction firm,
Darwin Group, and it will have four surgical
theatres, X-ray facilities, and 40 recovery
beds, as well as 12 medirooms where patients
prepare for, and recover from, surgery.
As the centre will be separated from
emergency services, the surgical beds
will be kept free for patients waiting for
planned operations, reducing the risk of
short-notice cancellations.
Modular units will be constructed offsite
to deliver the project up to 60% faster and
with up to 90% less waste than traditional
building methods.
Once groundworks have been completed,
the prefabricated units will be brought
to Southmead Hospital to construct the
building, which is due to open in spring 2025.
NBT chief Eexecutive, Maria Kane, said:
“We are delighted to be working with our
partners to bring nearly £50m worth of
investment to the area’s NHS.
“Once completed this elective centre will
transform and improve the way we provide
elective care and enable us to treat our
patients faster.
“It is wonderful to see work starting on the
centre, which will be a fantastic asset for the
whole of Bristol, North Somerset, and South
Gloucestershire, and we look forward to
welcoming our first patients in spring 2025.”
Professor Stuart Walker, UHBW interim
chief executive, added: “This centre will
Healthineers has chosen
Oxfordshire for its new facility,
supporting over 1,300 skilled
jobs in the area, and reinforcing
the region’s status as a vanguard
in healthcare and R&D.
“But, as well as the incredible
local benefits this will bring,
this cutting-edge facility also
presents an opportunity to
enhance patient care globally –
which means British innovation
is saving lives around the world.”
Chief executive of Siemens
Healthineers, Bernd Montag,
added: “MRI technology plays a
vital role in diagnosing disease,
helping patients to get healthy
and stay healthy.
“As a world leader in medical
imaging, we are very proud to
open the next chapter of our
history here in Oxford.
“This factory will be the global
centre for our innovative lowhelium
magnet technology,
meaning we consume far less
of a scarce natural resource and
enable access to MRIs for many
more patients.”
improve patients’ experiences of planned
surgery, enabling them to receive lifechanging
treatment sooner and spend time
in better health with their loved ones.
“We are excited that work has started on
the centre and look forward to continuing
our collaboration with partners across Bristol,
North Somerset, and South Gloucestershire
to develop and deliver the centre and
services for our patients.”
10 | JULY-AUGUST 2024 HEALTHCARE-PROPERTY.COM
Policy
Reforming the
planning system
In this article, Khosro Bashi, partner and architect at Tooley Foster,
explores the challenges of the current healthcare planning system
and why a simpler approach could help to overcome some of the
problems facing investors, developers, and financers
This is not another architect
complaining about how the
planning system has become
intolerably complex.
I wanted instead to concentrate the
mind on how we might try to address
a simpler approach.
This would be through recognition
that we have largely dispensed with the
outline planning application process because
so many authorities insist in so much
supporting evidence for outline applications
that it has become almost as complex as
full applications.
For example, a typical application for a
care home 15 years ago was a simple set
of drawings. But, year on year, more and
more requirements for reporting have been
added, starting with Design and Access
Statements through to detailed analyses of
various aspects of the scheme to the level
that the planning authority, with ever-morerestricted
budgets, does not have time to
adequately digest it.
Moreover, if approved and the scheme goes
ahead, the planning authorities do not have
a checking role to ensure that the scheme
is taking shape in the way prescribed in the
approved drawings and reports. Instead they
have a reactive role based on neighbourhood
complaints that may come from the build
or completed scheme.
Planning Application is RIBA
(Royal Institute of British Architects)
work stage 3: The RIBA plan of work
is used across the industry and places
planning application in work stage 3
Spatial Coordination.
The core tasks in this stage are to
‘undertake design studies, engineering
analysis, and cost exercises to test
architectural concept resulting in
spatially-coordinated design aligned
to updated cost plan, project strategies
and outline specification’.
There is absolutely no reference to
anything being done to a detailed level of
work that comes in work stage 4 and 5.
Don’t get me wrong, we have arrived in
a very logical and supportable manner at a
mass of information required for a planning
application, so it is not easy to unpick.
As an example, below is Waltham Forest’s
validation list for the applicant to figure
what is required to make a valid application.
It’s worth considering what the current
process entails for dealing with the very next
planning application for your care project.
It is very likely to follow these stages:
1. Planning preapplication – dependant
to a large degree on the quality of
information disclosed
2. The application with full supporting
information with, if refused, the right to
appeal to the secretary of state – allow
one year for the outcome. If approved,
HEALTHCARE-PROPERTY.COM JULY-AUGUST 2024 | 11
Policy
12 | JULY-AUGUST 2024 HEALTHCARE-PROPERTY.COM
Policy
the application is likely to have in the
order of 30 planning conditions
3. Planning conditions discharge detailing
each aspect of the scheme, with each
treated as separate planning applications,
although multiple conditions can be
dealt with at the same time through a
single application. However, the risk then
is one being refused can jeopardise all the
conditions included in the application
4. It is likely that the detailed design
development process leads to a
requirement for a Non-Material
Amendment application or another type
of application (Section 73 for example)
Let’s focus on item 4 for the moment.
With the issues arising from the
complexities in any development today,
the chances of arriving say a year later with
no changes through the detailed design
development stage and no changes that the
client requires are slim and will invariably
lead to some return to the planning process
in its current shape.
What a depressing thought with the
timescales and inevitable costs involved.
But it really doesn’t have to be this way.
Surely the system can be simplified
by first looking at the principle and size
of development so that the same
requirements are not applied across
the board on all developments?
How much better it would be if we
could take planning in smaller, moremanageable
steps.
What about three steps as follows:
Step 1: Quantum and principle of
development should be a first stage
application with the planning authority
giving precisely what information they
require for a more-detailed application
in the next step and when that information
is required i.e.
a) Pre-commencement
b) Pre-occupation
c) Post-occupation
Having the certainty that there is
mileage in the application in principle,
the developer can invest the hefty
sums involved in preparing the
information required.
Step 2: RIBA stage 3 Concept Design
Application – details/reports supporting
the application may include archaeology,
ecology, transport assessments, landscape,
SuDs, daylight/sunlight studies, etc that
are required in today’s applications i.e.
the conditions discharges.
Step 3: RIBA stage 4 and 5 Detailed
Design Application – any amendments
arising from detailed design development
stage and any non-material client changes
There are matters which are part of
early design, but which are covered in more
detail under the Building Regulations.
I give you two examples below with a
thought and question: What harm there
would be if just some of these could perhaps
be delegated from planning to be dealt
with under Building Regulations?
1. SuDS: drainage may be a difficult issue
on some sites, but these cases are rare,
and one may say it’s part of due diligence
on purchase of the site to check this
issue. Is this really a planning matter or a
technical issue that is delivered through
building control?
2. Energy Assessments and Overheating:
These matters are checked as desktop
studies, but never on site and currently
exist in Building Regulations, so why
do we need to prove to the planning
authority that the criteria are met?
It is nothing less than blatant distrust in
the professionals that design buildings
to be able to deliver the targets set by
planning authorities. Those targets
should be set in Step 1 and left to the
building control authority to monitor
delivery to that target
The above are examples, but there are
several others from the list that could
simply be targets set at Step 1 and left
to building control to deliver.
It really doesn’t have to be the
lengthy painful process that we
have all become so accustomed to
working with that is evidently failing
to deliver.
Ecology and Biodiversity net gain
deserves its own attention.
The reports on biodiversity have to
be timed to coincide with the emergence
of various endangered species, therefore
creating delays in obtaining ecology
reports and hence being able to submit
a valid planning application.
There are several laws governing the
protection of endangered species and
developers should beware that regardless
of planning applications they have
responsibilities under those laws.
Do we need also need planning law
or can we divorce ecology from the
planning application process and put
in place a direct application route to
Natural England which currently
receives and decides on such matters?
This would allow developers to
control the timing of their planning
application and put the onus on the
developers to submit an application
direct to Natural England and obtain
their approval before commencement
of any works.
Of late some planning authorities
have added to the list of reports,
Fire Statements (item 26 on Waltham
Forest’s list).
This has historically been a
Building Regulation matter and
I see no reason why it must be brought
into the planning system at all.
It’s time to stop looking at the
planning system as a one-stop shop
that considers all statutory matters
for a development and instead look at
separating out a few key applications,
directly with the statutory bodies
that govern those aspects of a
development, that can be divorced
to lighten the load on our veryburdened
planning authorities.
Planning authorities do not have a checking role to ensure that the
scheme is taking shape in the way prescribed in the approved drawings
and reports. Instead they have a reactive role based on neighbourhood
complaints that may come from the build or completed scheme
HEALTHCARE-PROPERTY.COM JULY-AUGUST 2024 | 13
Finance and Property
What do the IFRS 16
accounting standards
mean for NHS trusts?
Changes to accounting standards for NHS organisations are having a significant impact on
estates managers, affecting leases and restricting the capital trusts have available to invest
Changes to accounting rules for
NHS trusts are proving a challenge
for estates and finance directors as
they impact on leasing agreements which
were previously off capital balance sheets.
The introduction of IFRS 16 for NHS
trusts on 1 April 2022 has had far-reaching
implications for already-tight NHS capital
budgets and is leading to a rethink of how
the health service utilises and expands its
estate moving forward.
The IFRS 16 accounting standard replaced
IAS 17 with the intention of providing
greater transparency in financial reporting.
However, under the earlier standard,
leases were classified as either ‘operating
leases’ or ‘finance leases’ and the former
did not impact NHS trusts’ Capital
Departmental Expenditure Limits (CDEL),
which restrict what public sector bodies
can spend in terms of capital on an
annual basis.
Under IFRS 16, leases which satisfy
the tests set out under the accountancy
standard and do not fall within one of the
limited exceptions are now accounted for
on the balance sheet.
And this change has restricted the cash
that NHS trusts can invest in buildings and
equipment, as the full value of any leasing
arrangement caught by IFRS 16 will now
count towards their CDEL.
CHALLENGING TIMES
Speaking to Healthcare Property,
Lisa Geary, health property partner at
international law firm DAC Beachcroft,
explains: “The NHS leases numerous
buildings – particularly in mental and
community health services – and under
this accounting treatment many of those
A trust may decide to take a series of shorterterm
leases – possibly including tenant options
to renew – to bring the lease arrangements
within the short-term exemption, but care
and advice needs to be taken here
HEALTHCARE-PROPERTY.COM JULY-AUGUST 2024 | 15
Finance and Property
leases which used to be off balance
sheet will now sit on the balance sheet,
impacting the amount of capital the
NHS has to spend on maintaining and
improving its estate.
“And not only does it impact leases
creating a landlord and tenant relationship,
but also some contracts where the ‘right to
use’ an asset is granted and certain other
tests are satisfied.”
Stan Campbell, partner and health
property lead at DAC Beachcroft, adds:
“In broad terms, this means that under
IFRS 16 a trust entering into a lease incurs
a charge against its CDEL limit based on
the length of the term and the value of the
rent in the financial year in which that lease
is completed. This restricts the actual cash a
trust can invest in buildings and equipment.
“And, of course, the consequences of
IFRS 16 are greater for higher rents and
longer leases.”
Stan Campbell
Lisa Geary
A GET-OUT CLAUSE
The exemptions available under IFRS 16
can mitigate its effect, including where
leases are of low value or taken for a short
term (12 months or less).
However, where the NHS is a tenant,
these exemptions are largely non applicable
as many of its occupational commitments
are for periods of more than a year and are
often linked to service contracts.
Geary says: “A trust may decide to take
a series of shorter-term leases – possibly
including tenant options to renew – to
bring the lease arrangements within the
short-term exemption, but care and advice
needs to be taken here.
“If it is ‘reasonably certain’, taking account
of the surrounding circumstances, that a
tenant will extend a lease – for example if
they are making capital improvements to the
building or entering into a services contract
linked to a building for a longer period of
time, both of which evidence an intention
to stay in the building long term – it may
mean the exemption will not apply.”
PROTECTING BUDGETS
The effect of IFRS 16 has increased the
pressure on trusts to look at other ways to
protect their capital budgets and mitigate
its impact.
A significant proportion of the capital
investment in the NHS estate to date was
secured via the now-defunct Private Finance
Initiative (PFI) approach.
First introduced in 1992, the model
involved private companies providing
funding for the construction, refurbishment,
and maintenance of NHS facilities in
exchange for a long-term contract to
deliver services.
Trusts should ensure they seek reliable
accountancy advice on the value of the
buildings they own and those that they lease,
including how they can legitimately mitigate
any value going on balance sheet depending
on the terms of the lease
The private companies receive regular
payments from the NHS over the duration
of the contract, typically 25-30 years.
This allowed private investors to generate
a return on their investment while also
delivering vital healthcare services to the
population and enabled the NHS to keep
the payments off balance sheet.
However, the current Government
stopped using the PFI model in 2018
and many of the existing contracts will
come to an end between 2030-2050.
THE NEXT STEP
One attempt to raise private capital for
infrastructure projects was the Regional
Health Infrastructure Companies
(RHIC) scheme conceived by Community
Health Partnerships (CHP), which aimed
to fundraise in a similar manner to the
Local Improvement Finance Trust (LIFT)
initiative, but for larger projects, though
smaller than those previously agreed
using PFI.
While the scheme was scrapped before
it took off, a primary benefit was its
intention to account for costs on an offbalance
sheet basis, meaning projects
would not be included in the NHS’s
capital spending limits.
Campbell says: “One solution to
the lack of capital for the NHS estate
could be the creation of a Governmentbacked
structure that would encourage
private investment in healthcare
infrastructure.
“There are an increasing number of
investors interested in ‘doing well by
doing good’ by investing in the UK’s
health and social care infrastructure.
“With the strong covenant strength
of the NHS, such a structure could
provide the necessary reassurance to
encourage private investment.”
However, at present, it remains unclear
whether the Government will create
a replacement for PFI or establish an
alternative avenue for private investment.
16 | JULY-AUGUST 2024 HEALTHCARE-PROPERTY.COM
Finance and Property
And the recent introduction of IFRS 16
has only made funding the NHS estate
more challenging.
SPACE UTILISATION
“We know from conversations with our
clients that many NHS bodies and their
finance teams would welcome a moresimplified
route to infrastructure funding,”
says Campbell.
Geary adds: “Trusts should ensure they
seek reliable accountancy advice on the value
of the buildings they own and those that they
lease, including how they can legitimately
mitigate any value going on balance sheet
depending on the terms of the lease.
“Estates managers are already working
hard to ‘sweat their assets’ by looking at how
existing space can be used more efficiently,
and identifying surplus land for sale or
reletting for income generation purposes.
“The impact of IFRS 16 has further
heightened the importance of doing this
if it means that the leased estate can be
reduced without any effect on the provision
of quality care.
“There is underutilised space in the
NHS estate and if some of these leases can
be brought to an end and space used more
efficiently, then this can help.
“Collaboration is key to this. The
consolidation of space and an increased use
of buildings which are shared with other
public sector bodies can help to mitigate
the value of leasing arrangements which
sit on balance sheet by reducing a trust’s
leasing footprint.”
But, with a General Election on the
horizon, many NHS trusts are hoping that
whichever party gets into power decides to
change the rules around IFRS 16 and/or
CDEL limits.
Campbell says: “If we see a change of
Government in July, one of the Labour
Party’s plans is for more people to be treated
in the community.
“Any required premises are likely to
be leased and come onto the balance
sheet under IFRS 16 unless a change of
Government also comes with a will to
change either accountancy treatment or
the control of capital expenditure.
“Whatever happens, the NHS is heading
towards more primary and community
care, rather than hospital-based care, so
it will need to take on new buildings.
“And key questions remain: how
will estates be funded going forward?
Will there be a replacement for PFI?
Will an alternative avenue for private
investment be created? Will investment
be purely taxpayer-funded?
“Only time will tell.” n
The consolidation of space and an increased
use of buildings which are shared with
other public sector bodies can help to
mitigate the value of leasing arrangements
which sit on balance sheet by reducing a
trust’s leasing footprint
HEALTHCARE-PROPERTY.COM JULY-AUGUST 2024 | 17
Finance and Property
Space management tool
supports healthcare landlords
NHS Property Services (NHSPS) has
announced it will be relaunching its
award-winning space management
system, NHS Open Space, to benefit
landlords across the entire health system.
First launched in 2016, NHS Open
Space was developed by the NHS for the
whole healthcare sector.
The complete space management
system provides all NHS and public sector
landlords with a suite of specialist estates
management, booking, and analytics tools,
complemented by expert support and
guidance from healthcare sector specialists.
NHS Open Space helps landlords to
better understand how their estate is being
used, at a room, property, or portfolio
level, through one-off utilisation studies
or ongoing monitoring.
MAKING SPACE
Landlords can then use the tool to better
manage their space, using it as either an
internal booking system, or making the
rooms available to other organisations to
monetise underutilised space.
This enables them to drive maximum
value through new revenue streams and
reduces ongoing costs.
The self-service booking platform remains
at the heart of the NHS Open Space estate
management system, providing users with
the ability to search, book, and use space
quickly, saving valuable administration
time and resources.
Since its launch, around 7,000 users
have successfully provided more than
160 services to patients over a staggering
3.5 million consultation hours.
Community Health Partnerships,
which is head tenant in 308 health care
buildings across England, is currently
working together with NHS OpenSpace
on a pilot scheme using the platform
across 18 buildings in the Midlands
and London regions.
CLARITY AND CONTROL
Chris King, head of Open Space for
NHSPS, explained: “We have enhanced
NHS Open Space based on what our
customers told us they needed, and it
now provides them with clarity and
control to assess, manage, and evaluate
their estate.
“It will help provide meaningful
utilisation data collection and reduce
administration time, increasing cost
recovery for our NHS customers, which
is critical as they focus on forecasting and
budget management as we enter a new
financial year.
“We’re also thrilled to be welcoming
CHP onboard this month and look
forward to collaborating with them as part
of a pilot scheme to create an improved
experience for their tenants and customers.”
Phil Brenner, strategic estates advisor at
Staffordshire and Stoke on Trent Integrated
Care Board, added: “We are pleased to
see the extension of NHS Open Space
to our estates colleagues and landlords
across the NHS, having experienced for
ourselves the benefits and positive
outcomes it brings to our estates
management strategy.
“We look forward to working with
NHSPS to further improve and develop
the work we are doing together, to ensure
our clinicians and patients experience the
efficiencies brought about by the recent
system enhancements and feel assured that
the new offer will further improve access
to the excellent care delivered to patients
across our estate.”
ADDED VALUE
Some added benefits to customers created
by the new NHS Open Space platform
include:
• One-off or ongoing utilisation
studies and monitoring to understand
their estate
• Decide on either an internal booking
system for staff or allow other
organisations to book and use space
• Functionality on a room-by-room basis,
giving customers full flexibility
• Self-service portal to manage properties,
pricing, users, and access a suite of
utilisation and financial reports
• Intuitive user interface to streamline
management time and maximise usage
• Easy access from any device giving
on-the-go flexibility
• Wide range of room types including
clinical and non-clinical space, across
200+ locations
• Transparent pricing and room
availability data
• Further strategic estates management
advice available through NHSPS’
additional service provision
• Expert UK-based technical support n
NHS Open Space helps landlords to
better understand how their estate is being
used, at a room, property, or portfolio level,
through one-off utilisation studies or
ongoing monitoring
18 | JULY-AUGUST 2024 HEALTHCARE-PROPERTY.COM
Finance and Property
Elderly care bed shortage
provides opportunities
for developers
A new report from Christie & Co reveals a shortfall in social care beds for the elderly in Wales,
providing significant opportunity for specialist developers, operators, funders, and private individuals
Care home closures and a rapidlyageing
population have led to a
shortfall in bed numbers for the
elderly in Wales, according to a report
from specialist business property adviser,
Christie & Co.
Its Wales Healthcare Market Insight
2024 report analyses the elderly care home
market across Wales and highlights the
growing need for new-build, futureproofed
care homes throughout the country.
MARKET OVERVIEW
Between 2020-2023, 40 elderly care
homes in Wales closed and only four
opened, says the report.
And, as of March 2024, there are 594
elderly care homes across Wales with an
average capacity for 37 residents each.
They comprise a total of 21,820 care beds,
60% of which have en-suite provision, 25%
have wetroom provision, and just 22% have
dedicated dementia provision, according to
Christie & Co’s benchmarking data.
These homes are primarily located in
urban areas of higher population density,
such as Cardiff, Swansea, and Wrexham,
and there remains a significant shortfall of
such beds in many rural areas where poor
transport links and staffing challenges
prohibit development.
The average home in Wales has an
occupancy rate of 92%, a rise from 90%
in 2022/23, and 89% in England.
SUPPLY AND DEMAND
Between 2020-2024, 604 Effective
Market Capacity/future-proof (EMC)
beds were developed in Wales, either
through new registrations or the
refurbishment of existing facilities –
an increase of just 5% in four years.
Comparatively, the demand rose by
20%, meaning that, as of 2024, the
overall demand for beds in Wales is circa
21,155 while there are only circa 12,501
EMC beds in supply – just 59% of the
required demand.
And, according to the report, 74% of
local authorities in Wales require EMC
beds, yet only 26% currently have sufficient
levels of supply, which further demonstrates
the necessity of such provision.
THE FUTURE
Christie & Co forecasts that, by 2034,
there will be a total undersupply of
1,672 EMC beds in North Wales and
7,423 EMC beds in South Wales.
Rob Kinsman, regional director for
care at Christie & Co; and Will Edwards,
healthcare development and investment
lead, said of the report: “The figures in
our report speak for themselves. There is
a severe need for EMC beds in Wales and
this demand is growing rapidly as people
live longer and we see a rise in the closure of
homes that are no longer fit for purpose.
“Wales is behind the curve with England
and Scotland in terms of new futureproofed
care bed provision coming forward.
“It is clear there is a significant
opportunity for specialist developers,
operators, funders, and private individuals
to benefit from early mover advantage into
the Welsh market.
“Christie & Co deal activity for care and
retirement development sites is starting
to increase in the country, with two
completions in the first half of this year and
we look forward to working with market
participants in facilitating futureproof bed
supply to serve the growing need of the
elderly population.”
To read the full report, visit www.christie.
com/news-resources/publications/waleshealthcare-market-insight-2024/
n
HEALTHCARE-PROPERTY.COM JULY-AUGUST 2024 | 19
Finance and Property Deals
Land deal paves the way
for care home scheme
Christie & Co has announced the sale
of a development site in Gravesend,
Kent, which benefits from planning
permission for a 75-bedroom care home.
The scheme, delivered by Frontier
Estates, has been prepared as a bestin-class
care home with 100% ensuite
facilities, luxury resident amenities, and
generous landscaped gardens.
Architects, Carless + Adams, has
received planning approval for two
new elderly care developments.
The first approval was in South Hams,
Devon, as a variation in condition to a
planning approval granted in 2018 for a
68-bedroom care home.
The original planning approval was
extended due to the COVID pandemic
and the design was also adapted to
allow for considerations around isolation
due to potential contagious illnesses
among residents.
The variation also allowed the design
to incorporate additional sedum roofs, a
green wall, and additional outside space
for residents via larger balconies and
ground-floor terraces.
The second approval received was in
Tunbridge Wells, Kent, for a 69-apartment
care facility with integrated healthcare unit
to enable residents to age in place in a
home-from-home environment.
The additional bedroom in the apartments
gives the opportunity for a carer to stay
or live in. This format will also mean that
residents will not need to move into a care
home, allowing them to truly age in place.
The site sits on a highly-prominent
1.16-acre plot in Northfleet, Gravesend,
which was formerly occupied by the
Battle of Britain pub.
Following a confidential sales process
with Sara Hartill at Christie & Co, the
site has been purchased by Simply UK
and will operate under the Morar
Living brand.
Green light for elderly care projects
And the onsite facilities allow residents
choice of how they would like to live, with
restaurant, hydrotherapy pool, and gym
being developed in addition to a community
room which will form an integral part of
the strategy for the provision of care for
the elderly in the area.
Neil Dobbie, land director at
Simply UK, said: “We are delighted
to have acquired this site for 75
beds which will deliver a best-inclass
home.
“We believe the scheme will be
an excellent addition to the Morar
stable of homes and should welcome
its first residents in the first quarter
of 2025.
“We have ongoing requirements
across the country and this purchase
aligns with our national acquisition
strategy, which continues to go from
strength to strength.”
Hartill said there had been a ‘strong
shift in operator appetite over recent
months for quality sites’.
She added: “Northfleet is a highlyattractive
market given its strong
demographics and we are delighted
to have represented Frontier Estates
throughout the sales process.”
The land was sold for an
undisclosed amount.
Both designs will support the local elderly
community and improve the quality of life
and care for future residents going forward.
Melissa Magee, managing director and
architect at Carless + Adams, said:
“These approvals show recognition of the
demand for care in the UK and ensuring
people have the opportunity to move into
appropriate, right-sized home environments.
“We couldn’t be prouder to be part of
driving this change.”
20 | JULY-AUGUST 2024 HEALTHCARE-PROPERTY.COM
Care operator takes
over Hampshire freehold
Finance and Property Deals
Christie & Co has completed the
freehold sale of White Rock Nursing
Home in Barton-on-Sea, Hampshire.
Owned and operated by the same family
since 1971, the property is a 30-registered
care home benefitting from 24 bedrooms
and a strong local reputation for providing
an excellent level of care for residents.
The business has a ‘Good’ CQC rating
and a dedicated staff team, and specialises
in providing care for those with dementia.
The home is situated in a quiet treelined
avenue in the small coastal resort of
Barton-on-Sea, on the edge of the New
Forest National Park.
Following a confidential sales process
with Charles Phillips at Christie & Co, and
with funding sourced through Neil Collins
at Christie Finance, it has been purchased
by Sally and David Price who own another
care home in Hampshire as well as a
domiciliary care agency.
Siobhan Dodd, director at White Rock
Nursing Home, said: “White Rock has
been an integral part of our family since
we opened the care home in 1971 and
it has been a very hard decision to sell,
but we felt the time was right to retire from
the sector and hand the business onto
a new owner.
“We are delighted that Sally and David
will be taking over the care home and with
their experience in the care sector we are
confident the home is in safe hands.”
Sally added: “As local residents, David
and I have been aware of White Rock
Nursing Home for a number of years and,
when approached by Christie & Co to see
Four Seasons continues sell-off plan
Christie & Co has announced the mostrecent
sub group completion which
marks 57 UK care homes sold as part
of the divestment project which
Christie & Co is running on behalf
of Four Seasons Health Care.
These homes comprise Four Seasons
Health Care Group’s remaining freehold
property portfolio and associated care
home business, and as such represent
a key milestone in the group’s ongoing
restructuring process.
Joe O’Connor, chief executive of the
Four Seasons Health Care Group, said:
“The completion of the sale of these
57 care homes and their smooth handover
to new owners continues the positive
progress for the group’s sales process.
“We wish the homes, their residents,
and teams well for the future.
“Throughout the sales process, our
priority remains the continuity of care
for all residents, and the group will
work closely with the buyers and other
counterparties, as well as all relevant
regulators, to ensure that any transition
to new ownership is seamless.”
Four Seasons Grove House
Four Seasons Park House
if we would be interested in purchasing it,
we were immediately very interested.
“We already own one care home and
also a domiciliary care agency in
Hampshire and believe there will be
great synergies among our businesses.”
White Rock Nursing Home was sold
for an undisclosed price.
Four Seasons announced in June
2022 that it was selling 111 care homes.
But bosses recently announced
they will retain a third of the portfolio
in the near term.
Last month, group chief executive,
Joe O’Connor, said: “We decided we
would retain those care homes because
they were performing strongly across
all metrics including care quality
and financially.
“We didn’t feel we were getting the
right value for them in the sales process.”
Four Seasons Ivybank
HEALTHCARE-PROPERTY.COM JULY-AUGUST 2024 | 21
Finance and Property Deals
First-time
buyers take
on care home
Hillbrow House care home
in Crediton, Devon, has been
sold to new sector entrants,
husband-and-wife team,
Tintu Tojo and Nicy Sabastian.
Hillbrow House is an
‘Outstanding’-rated care home
that occupies a well-maintained,
attractive Grade II-listed
property with 23 bedrooms
and an enclosed rear garden
and patio area.
It is located in a prominent
position towards the outskirts
of Crediton town centre.
The home has been owned
by Barry and Denise Shears
of Hillbrow Residential Care
Home who, along with their
daughter, Joanna Foulstone,
operated it for over 20 years.
Barry and Denise were looking
to sell to enable them to retire
and, following a confidential
sales process with Simon
Harvey at Christie & Co, the
home has been purchased
Tojo and Sabastian.
Denise said of their decision
to sell: “We bought the home in
2002 as a going concern.
“Hillbrow had already been
in business as a care home for
a number of years and, at that
time, we were very involved in
maintaining and improving its
already-good reputation in the
community, implementing new
legislation and best practice as
time went on.
“Joanna’s entry into the
business management of the
company in 2014 was a verypositive
step and enabled us to
reduce our involvement.
“During the COVID period,
Joanna and the staff did a
first-class job of keeping
our residents protected and
Joanna’s husband, Lewis,
also joined our team during
that time and gave a great
amount of practical help
and support on the
maintenance side.
“So, to sum up, Hillbrow
has been a family business
with an ethos of serving the
community and we wish
Tintu and Nicy every success
in their new venture.”
Harvey added: “The market
in the South West remains
particularly active, with a
significant number of other
transactions currently ongoing
and demand for care homes
across the region being very
strong, in particular where
homes have a ‘Good’ or, in this
case, ‘Outstanding’ CQC rating,
are trading profitably, and
have an experienced manager
in post.”
Hillbrow House was sold
for an undisclosed price.
REIT signs lease for private hospital
Northwest Healthcare Properties REIT
has announced it has signed a new
25-year lease with private hospital chain,
Practice Plus Group, for a new private
hospital in Edgbaston, Birmingham.
From 9 May, what was the Circle Hospital,
Edgbaston, known locally as The BMI
Hospital, will be under the operation of
Practice Plus Group.
To be known as Practice Plus Group
Hospital, Birmingham, the building is
configured over four floors and comprises
55 bedrooms, three operating theatres,
an endoscopy suite, outpatient facilities
including 10 consulting rooms, an imaging
department, physio area, and staff and
patient parking.
The site will undergo an extensive
programme of renovation and
reconfiguration and is set to re-open
in the summer of 2024.
NHS patients will be able to ask their GPs
for referrals to Practice Plus Group, and from
the summer private patients will be able
to call the private patient contact centre
to book a consultation directly through
Wellsoon, Practice Plus Group’s private
surgery brand.
The core services provided will be
orthopaedic surgery, ophthalmology,
diagnostics, and endoscopy.
Nicholas West, head of UK at Northwest
Healthcare Properties REIT, said: “We are
delighted to welcome Practice Plus Group to
our portfolio and excited to see the property
repositioned under its company banner.
“The new lease is provided on ‘green
lease’ terms and we believe the new
hospital will be a welcome addition to
the Birmingham healthcare landscape,
providing affordable private healthcare
and helping to reduce elevated NHS
waiting lists in the local area.”
Practice Plus Group runs 10 hospitals
and surgical centres around the country,
all of which are rated ‘Outstanding’ or ‘Good’
by the Care Quality Commission (CQC).
With hospitals mostly concentrated in
the south of England, this is the company’s
first move into the West Midlands.
Jim Easton, chief executive of Practice Plus
Group, said: “People that live in the Greater
Birmingham area continue to suffer from
long waiting lists for elective treatments in
the wake of the COVID pandemic.
“We have a fantastic reputation for the
quality of our surgery and are looking
forward to partnering with the local NHS
trusts to unlock access to affordable
healthcare for those people who want
fast access to high clinical quality.”
22 | JULY-AUGUST 2024 HEALTHCARE-PROPERTY.COM
Finance and Property Deals
Real estate fund ploughs
millions into elderly care sector
Elevation Healthcare Properties (EHP),
a healthcare real estate fund advised
by Elevation Advisors LLP, has raised
£348m of equity and debt capital since
the beginning of 2024, which it will be
using to acquire and develop elderly
care properties in the UK.
Following the last equity raise of £330m
in Q4 of 2022, EHP raised an additional
£157m of equity during Q1 of this year.
It also refinanced an existing debt facility
of £153m for a further five-year term with
a leading high street bank.
The term loan was converted into a
Sustainability Linked Loan alongside
Sustainability Linked Hedging,
demonstrating EHP’s commitment to
sustainability and advancing its existing
ESG strategy.
The Sustainability Linked Loan will
assess the progression of EHP against:
• The annual Global Real Estate
Sustainability Benchmark (GRESB)
reporting which assesses a breadth
of ESG and sustainability credentials
• The progression of EHP’s asset level
certification against BREEAM in-use
• A commitment to fundraising and
volunteering for the selected organisations
EHP raised an additional £38m bank facility
from Virgin Money, as part of the Berkley
Care transaction detailed below.
The facility was rolled over as part of
the transaction with over four years left
on the term.
All of the debt raised is fully hedged
in line with EHP’s interest rate risk policy
through a combination of swaps, caps,
and floors.
KEY TRANSACTIONS
• Acquired from Clariane S.E, 11 properties,
simultaneously leased back to Berkley
Care Group. Concurrently, Berkley Care’s
existing leadership team agreed to acquire
the operations of Berkley Care operations
from Clariane. The total consideration
to Clariane was £207m. This transaction
cements and expands EHP’s existing
relationship with Berkley Care, an operator
of 12 modern award-winning care homes
across England comprising 805 beds
• Acquired a 60-bed, modern purpose-built
care home in Ormskirk Lancashire, with a
simultaneous lease to operator, Torwood.
Additionally, EHP has completed the
acquisition of land and a forward-funding
Berkley Care’s Fernhill House
EHP is supporting development of a care home in Huddersfield
agreement to support the development
of a state-of-the-art 61-bed care home
in Huddersfield to be developed and
subsequently let to Torwood, a leading
care operator with two care homes
and more than five developments
under construction
James Giles, investment director at
Elevation, said: “We are excited to announce
these transactions, demonstrating the
stable and resilient growth of our wellestablished
EHP vehicle.
“EHP seeks to address the structural
undersupply of high-quality elderly care
beds in the UK to deliver positive social
impact through the provision of modern,
high-quality care environments.
“These facilities are a vital part of
the healthcare infrastructure fabric of
the country and are designed to meet
increasing environmental standards.
Torwood Abbey Wood Lodge
“These transactions are testament to the
successful alignment of Elevation with its
investors and stakeholders, supporting
both sustainable returns and the provision
of high-quality elderly care.
“Focused on the long-term, we are
committed to delivering strong outcomes
for our communities and are working
towards completing our 2024 ambitions.”
HEALTHCARE-PROPERTY.COM JULY-AUGUST 2024 | 23
Finance and Property
Investing in healthcare REITs
A deep dive into healthcare REITs with Matthew DiLallo, a senior
energy and materials specialist at investment advisor, The Motley Fool
Real estate investment trusts
(REITs) play a vital role in the
healthcare industry.
Healthcare REITs operate many of the
specialised facilities that healthcare systems
and other health-related institutions need
to deliver the best care for patients.
In this article we will consider whether
these REITs are good investments and
explore some attractive options that
investors should consider.
UNDERSTANDING REITS
Healthcare REITs own, operate, manage,
acquire, and develop healthcare-related
real estate.
These facilities include senior living
communities, hospitals, medical offices,
outpatient facilities, life science innovation
and research properties, and skilled
nursing facilities.
Most healthcare REITs make money by
leasing space in their facilities to tenants
such as healthcare systems, primarily under
triple net leases.
This lease structure requires the tenant
to cover maintenance, real estate taxes, and
building insurance.
And it provides REITS with a verypredictable
stream of rental income,
making them ideal stocks to invest in
during a recession.
Some healthcare REITs also operate
the facilities they own, such as senior
living communities.
They typically hire a third-party manager
who earns a fee for managing the property’s
day-to-day operations.
The healthcare REIT generates net
operating income from the fees paid on
behalf of patients for their housing and any
services provided. This income can vary
due to fluctuations in occupancy levels
and rates.
ADVANTAGES OF INVESTING
Healthcare REITs benefit from the massive
and growing healthcare industry, one of the
largest stock market sectors.
While healthcare spending in the US,
for example, peaked at $3.8trillion in 2019,
it declined by 2% in 2020 due to
the COVID-19 pandemic.
However, it started growing again in
2021 and is on track to top $6trillion
by 2028.
Forecasts suggest the demand for
healthcare-related real estate should
continue growing.
And REITs are likely to benefit
from steadily-rising rental rates on
existing properties.
In addition, they should be able to
develop new properties to meet the
growing needs of the healthcare industry.
One of the drivers of the sector’s
projected growth is the aging of the baby
boom generation.
People older than 80 are expected to
be one of the fastest-growing age groups
through 2029.
And the increase in the ranks of the
elderly should drive demand for senior
housing and skilled nursing facilities.
Such growth is likely to benefit healthcare
REITs focused on those properties as they
report higher occupancy levels, allowing
them to raise their rates.
THE RISKS
While healthcare REITs are less risky than
other healthcare stocks because of their
generally-stable rental income, they’re not
without risk.
24 | JULY-AUGUST 2024 HEALTHCARE-PROPERTY.COM
Finance and Property
Here are some of the risks they face:
• Leverage risk: REITs borrow heavily to
acquire and develop real estate and the
debt reduces their financial flexibility
during economic recessions
• Interest rate risk: REITs are highly
sensitive to changes in interest rates.
Higher rates increase the cost of debt,
given the sector’s use of leverage.
In addition, higher interest rates
give income-focused investors more
investment options that offer an attractive
income yield, such as government and
corporate bonds, which can weigh on
REIT stock prices
• Oversupply risk: Healthcare REITs
need to match their development
plans with demand. Given the highlyspecialised
nature of most healthcare
facilities, REITs need to be careful not
to build too much supply or it might
sit vacant
• Tenant risk: Healthcare REITs rely
on their tenants to pay rent and manage
senior living facilities effectively.
However, healthcare margins are
relatively thin, which can cause operators
to run into financial trouble if they’re
not vigilant. That can affect rental
receipts and force a healthcare
REIT to find a new tenant for their
facility if an operator can’t meet its
financial obligations
• Pandemic/flu season risk: Virus
outbreaks can significantly affect
healthcare REITs, especially those focused
on senior housing. It can cause occupancy
to decline as more patients check out
than are admitted
THREE HEALTHCARE REITS
TO CONSIDER IN 2024
According to the National Association of
Real Estate Investment Trusts (NAREIT),
16 publicly-traded REITS focus on
healthcare-related real estate.
And that gives investors interested
in the sector multiple options.
A few stand out for their strong
performance in recent years, including:
COMMUNITY
HEALTHCARE TRUST
Community Healthcare Trust owns a
diversified portfolio of healthcare facilities
across tenant, geography, healthcare
facility type, and industry segments.
The company’s portfolio includes
acute inpatient behavioural facilities,
physician clinics, behavioural health
centres, specialty centres, inpatient
rehabilitation facilities, long-term acute
care hospitals, medical office buildings,
and surgical centres and hospitals.
The company’s diversified approach
has paid big dividends over the years,
producing annualised total returns
topping 18% during the past five years.
And, as of early 2022, it had increased
its dividend payment every quarter since
its initial public offering in 2015.
The factor driving its growth is a
steady stream of acquisitions.
Community Healthcare Trust
focuses on smaller off-market or lightlymarketed
transactions.
By avoiding a competitive bidding
process, it can acquire properties at higher
cap rates (the net operating income yield
on the investment).
This healthcare REIT is in an excellent
position to continue increasing shareholder
value. It has a conservative balance sheet,
giving it the financial flexibility to acquire
a diverse array of healthcare properties.
And future deals should supply it with
additional cash flow to continue increasing
its dividend.
CARETRUST REIT
CareTrust acquires and leases senior
housing and healthcare properties.
Most of its portfolio consists of skilled
nursing facilities. However, it also owns
assisted living facilities, senior living
facilities, and campuses that include
skilled nursing and assisted living facilities.
CareTrust primarily owns net lease
properties, operating only seven of its
224 properties as of early 2022 and its lease
structure provides it with a steady income.
Healthcare REITs operate many of the
specialised facilities that healthcare systems
and other health-related institutions need
to deliver the best care for patients
This REIT’s strategy has paid off over
the years and it has been one of the top
three best-performing healthcare
REITs over the past one-, three-, and fiveyear
periods.
Aside from focusing on net lease
properties, the other major driver of
CareTrust’s success in creating shareholder
value is its investment strategy.
It invests about $200m annually, focusing
on opportunities with higher cap rates.
CareTrust should be able to continue
growing in the coming years.
It had a relatively-low leverage ratio
and a conservative dividend payout ratio,
giving it ample financial flexibility to
keep making acquisitions.
Meanwhile, it has a steady pipeline of
investments as it leverages its relationships
to find attractive opportunities.
MEDICAL
PROPERTIES TRUST
Medical Properties Trust focuses on
owning hospitals in the US and abroad.
As of early 2022, it was the secondlargest
non-government owner of
hospitals in the world.
In addition to hospitals, it also
owns behavioural health facilities and
freestanding urgent care facilities.
The company’s focus on hospitals has
paid off over the years.
Over the past five years, it has produced
an average annualised total return of 18%.
One factor driving this performance
is its increased dividend in each of the
past nine years.
Since the end of 2018, the hospital
owner has increased its dividend at a
3.8% annual rate.
For comparison’s sake, dividends in the
healthcare REIT sector have fallen by an
average of 10% during that time, mainly
because many have reduced their payments
during the pandemic.
A steady stream of acquisitions has
produced transformative growth
since 2019.
This REIT has acquired $12.1bn
worth of real estate, creating an
estimated $5.4bn of shareholder value.
With a solid balance sheet, growing
funding sources, and a massive market
opportunity, Medical Properties Trust
should be able to continue increasing
shareholder value in the coming years.
Healthcare REITs will be one of the
beneficiaries of the healthcare sector’s
continued growth. And these companies
should continue raising rents while
experiencing healthy occupancy levels
as baby boomers age, making it an
excellent sector for investors to consider. n
HEALTHCARE-PROPERTY.COM JULY-AUGUST 2024 | 25
Finance and Property
An appetite
for growth
Exploring the findings of CBRE’s recently-released UK Healthcare Sentiment Survey
Investment in healthcare real estate is
experiencing a revival far ahead of other
sectors, according to a new report from
CBRE UK.
The real estate adviser’s 2024 UK
Healthcare Sentiment Survey quizzed
more than 1,400 investors, developers,
and providers – collectively investing
£8bn and operating 150,000 beds –
to gain valuable insight into the market.
And it revealed that healthcare demand
remained robust in 2023, with a high
majority of investors and developers having
maintained or increased their focus on
the sector despite economic challenges
and low investment volumes.
Market participants are also taking a
long-term view on the sector based on
increasing demand and strengthening
operational performance, with ESG
credentials key to decision making as
they enhance the positive social impact
healthcare services can deliver through
the reduction of operational costs and
the creation of operational efficiencies
which support the provision of highquality
care.
Sarah Livingston, head of UK healthcare
at CBRE, told Healthcare Property:
“What the report showed was that
healthcare is a priority sector, which will
likely rebound in September this year,
ahead of many other sectors in the market.
“What has stopped real estate investment
on the whole is that estates have not
performed, but health and social care is the
opposite and performance has improved.
“A large part of elderly care market
occupancy is back to where it should
be and recruitment and staffing are
being addressed.
“COVID recovery for private healthcare
is also far exceeding pre-COVID levels,
so we are seeing investment in the sector
rebounding at pace.”
The report reveals that 80% of those
questioned expect increased investment and
development activity in the health sector in
2024, and 50% anticipate a return to stable
market activity before the end of the year.
And more than 75% say ESG influences
their strategy moving forward.
But it also highlights a gulf between the
priorities of developers and investors.
For example, 50% of investors are
interested in the senior living market, but
only 30% of developers are interested
in developing these facilities.
Developers, in contrast, are focusing
their attention on primary care, which
investors are less keen to fund.
Livingston said: “Senior living is tricky,
with long lead times and issues with
planning permissions, which are slow to
come by, as are sites with the right access
in the right location.
“While, in primary care, there are a
large number of GPs operating from
buildings which are not fit for purpose.
“Developers are looking at models
where you don’t just see a GP, but also
other health and wellbeing providers,
such as physiotherapists or mental
health practitioners, all under one roof.
“This is attractive as it is seen as a
long-term income.”
She added: “We are not really seeing
much in the way of large-scale hospital
projects, rather adaptations for diagnostics
and outpatient services closer to home
and with good public transport links
for both patients and staff.
“A lot of work will be about
repurposing these facilities and bringing
them up to ESG standards. This is a
particular focus for investors who need
to prove their environmental credentials.
That came across very strongly in
the report.”
She concludes: “The overall sentiment
is positive about healthcare because it is
a well-known, long-term demand that’s
not going anywhere
“With the population getting older
and needing more-complex care, investors,
developers, and providers are now looking
at healthcare.” n
26 | JULY-AUGUST 2024 HEALTHCARE-PROPERTY.COM
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Design and Build
Digital construction:
the key to unlocking
the future of healthcare
With the recent Spring budget announcing £100m of extra funding for AI that will be partly
channelled into healthcare, Mark Gibson, managing director of healthcare at Sir Robert McAlpine,
looks at the value AI and digital tools can deliver on healthcare construction projects
Mark Gibson
While the role digital construction
can play in the delivery of
public projects has not yet been
set in stone; it is clear that interest in its
corresponding tools and technologies is
growing – evidenced by the Infrastructure
and Projects Authority (IPA) recently
announcing a new framework encouraging
the use of ‘responsible experimentation’
with AI on public projects.
And health sector projects provide the
perfect canvas to explore the transformative
impact digital construction can have.
In the wake of COVID-19, improving
the number and quality of hospitals
remains high on the Government’s agenda,
and embracing digital construction is
the first step on this journey: opening
up avenues to increased efficiency and
productivity on projects, driving technical
excellence, and leading to decreased costs,
smoother collaboration, and improved
use of resources.
DIGITAL TOOLS:
THE FUTURE OF
CONSTRUCTION
Digital construction methods cover both
ends of the spectrum, from tools that assist
with the day-to-day running of a site, to
cutting-edge developments currently
being trialled.
An aerial shot of Kingsway Hospital in
Derby where Sir Robert McAlpine is trialling
HP Site Print robots to create floor plans
Health sector projects provide the perfect
canvas to explore the transformative impact
digital construction can have
For example, at IHP, the joint venture
between VINCI Building and Sir
Robert McAlpine, we are using Buildots
technology while constructing the
BEACH Building, part of the Royal
Bournemouth Hospital estate.
This involves the use of helmetmounted
360-degree cameras which
capture images that AI then combines
with BIM, schedule data, and 3D
modelling to provide project managers
with detailed progress updates sitewide
and immensely improve collaborative
planning. This is a marked improvement
as reports used to be run manually, often
resulting in package managers walking
an 8km site per week.
Rigorous standards must be met when
delivering healthcare projects, and digital
tools can help in ensuring this.
HP Site Print robots are being trialled
by IHP at Kingsway Hospital in Derby,
allowing floor plans to be created and
functions performed to an accuracy
of 3mm.
As it is a psychiatric intensive care
unit, precision is of the essence, and this
guarantee of accuracy, along with improved
28 | JULY-AUGUST 2024 HEALTHCARE-PROPERTY.COM
Design and Build
embedded throughout the construction
process, seen as a way of working industrywide
rather than siloed to specific teams
within firms.
And this requires communication from
within and throughout project teams,
including clients, consultants, and
executive leadership through to supply
chain partners, and with other firms, too.
It is through this collaboration
and communication that a culture of
digital literacy can truly be fostered
in the long term.
The BEACH Building, part of the Royal Bournemouth
Hospital estate, where Buildots technology is being used to
provide project managers with detailed progress updates
speed – the robots deliver ten times faster
than traditional methods – has made it
an invaluable tool. Other BIM tools, like
the Dalux BIM viewer, can help simplify
highly-technical jobs.
By bringing together floor plans, site
capture, and models, complex interface
details can be visualised and construction
sequencing easier to interpret.
Augmented-reality headsets, also being
trialled at Derby Kingsway, can then
allow teams to superimpose these BIM
models onto structures already existing
or in construction.
This allows installation processes to be
streamlined, ultimately bringing time,
materials, and cost benefits to a project.
DATA COLLECTION
MADE EASY
Digital tools can be highly valuable
when collecting data.
If effectively integrated into a project,
data collection can deliver value while
construction is ongoing and throughout
the entire life cycle of the building. It can
also enrich end users’ experience by sharing
findings from any data collected.
With the Building Safety Act making it
a legal requirement for projects to share
up-to-date information on buildings, the
benefits of digital construction tools have
been made ever clearer.
They make it possible for data to be easily
accessed and shared by others – essentially
creating a log of past activity and providing
a roadmap through a building’s history.
Once collected, data can also be used
to benefit clients and end users post
project completion.
For example, project data collected over
the duration of the BEACH building’s
construction has been shared with the
University Hospitals Dorset NHS
Foundation Trust to provide guidance
on how best to operate and maintain the
building, replacing the paper logs often
used across the NHS.
Furthermore, the data has fed into
enhanced digital security mechanisms
put in place in the BEACH building’s
maternity facilities, which trigger the
automatic locking of doors when
needed to keep babies safe.
THE TWIN
CHALLENGES
OF CULTURE
AND EDUCATION
Construction has often been perceived
as a traditional, slow-moving industry.
Now, however, there is a growing push
to understand new ways of working and
a move towards embracing digitisation,
digital tools, and methods – particularly
in the healthcare projects sector, where
estates are often under increased pressure
to deliver from the outset, with little
room for error.
This is in part due to issues in accessing
sites following completion as well as
meeting a myriad of technical requirements
to ensure that any risks are minimised.
Digital construction methods should be
WIDER ENGAGEMENT IS KEY
The benefits of digital construction
practices must be shared beyond
internal stakeholders to ensure they
are a longstanding feature of projects.
For instance, the supply chain should
also be encouraged to engage with digital
construction tools to foster greater
digital best practice.
Similarly, we have seen firsthand how
digital tools can facilitate engagement
with key stakeholders.
Twinmotion, a visualisation software
employed at Derby Kingsway, allowed
nurses, doctors, and patients alike to feed
in their preferences on the interior of a
new hospital unit. This allowed end users
to have a direct say on the project’s
outcome and ensured quality could be
met from the outset.
Joint ventures can also be an effective
means for sharing best practice and
spurring industry engagement with
digital construction tools.
Opportunities for collaboration will
allow businesses to share preferred methods
of engagement, with the view to ultimately
establishing an industry standard of
best practice.
Where possible, firms can also put
forward projects to take part in onsite
trials, allowing future digital tools and
technologies to flourish.
Ultimately, digital construction has
the potential to vastly improve accuracy
and precision when building a healthcare
project – thus allowing the highest quality
of construction to be achieved in tandem
with timely, efficient delivery.
Potentially transformative for the
healthcare sector and elsewhere, ensuring
sufficient training and education exists
for teams to effectively utilise digital
construction tools and methods will be
crucial in establishing it as a key pillar
of construction going forward.
In a sector like healthcare, where
projects demand precision and accuracy,
digital construction might just be the
key to unlocking the future. n
HEALTHCARE-PROPERTY.COM JULY-AUGUST 2024 | 29
Design and Build
Hints and tips for
care home interior design
Care home residents can spend a significant portion of their time indoors and, as a result, the
design of the interior spaces can have a huge impact on their wellbeing. Dawn Scott, senior colour
designer at Dulux Trade, explores the factors that contribute to good interior design and improved
occupant wellbeing, including colour choice and placement
Likewise, in dining spaces, a contrasting
colour can be used behind the serving
station to make it more visible.
Standout shades should also be used
to highlight potential hazards like pillars
and radiators.
However, if there are any areas where
access should be discouraged, it is
recommended to use consistent colours
to make them less noticeable.
For example, painting a door the same
shade as the surrounding wall will make
it harder to see and prevent residents
from using it.
There are over 16,000 care homes in
the UK, and over 70% of all care
home residents have dementia or
severe memory problems.
As such, when it comes to designing care
homes, it is crucial to ensure the correct
colours and design choices are made to
effectively meet the needs of each occupant.
However, this is especially true for those
with dementia or severe memory problems.
INDEPENDENCE
In care homes, colour can be used to
help residents retain independence.
Those with dementia may have trouble
with spatial awareness and judging
distances, but using colour correctly
can help.
It is important to ensure that
surfaces are easy to identify by using
contrasting colours.
For example, if a soft tone is used on
the main walls, then more-saturated colours
can be used on doors and door frames to
make these elements stand out and signal
where the entrance/exit to the room is.
The same concept can be applied to the
end of a corridor or the top of a stairwell
to inform people that they have reached
the end of the pathway – and choosing
contrasting colours for different zones or
floors can also aid wayfinding.
THE RIGHT PRODUCT
As well as colour, it is important to
think about the type of paint specified.
Care homes are incredibly-busy
environments and surfaces need to be
able to withstand regular knocks and
scuffs – so the paint needs to be durable
and cleanable.
For example, Dulux Trade Diamond
Matt can withstand 10,000 scrubs and it
delivers resistance to water-based and oilbased
stains, including coffee and food.
This helps to stop stains from being
absorbed into the surface and makes
them easier to clean off.
Surfaces treated with these sorts of
paints will therefore look newer and fresher
for longer, which means that redecoration
does not need to be carried out as often
and disruption is kept to a minimum.
The paint finish is also key.
All surfaces should be painted with a
flat and non-reflective paint as a glossy
finish produces glare and light bounce,
which can be confusing and disorientating
for those with dementia.
In conclusion, when redecorating care
homes, it is important to think about
where colours are placed to help aid
wayfinding and independence.
The type of paint selected is also crucial,
to ensure the professional finish applied
lasts the test of time, while enhancing the
lives of care home residents. n
30 | JULY-AUGUST 2024 HEALTHCARE-PROPERTY.COM
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Inside issue 02, March-April 2024
• The future of PFI — trusts told to act now
before it’s too late
• NHS capital budgets must double to
protect the estate
• Decommissioning medical gases helps to
drive carbon efficiencies
• The evolution of healthcare fencing design
Inside issue 03, May-June 2024
• Milestone for £85m maternity hospital
development in Belfast
• Spotlight on best practice for dementiainclusive
design
• Framework agreements provide support for
next-generation healthcare buildings
HEALTHCARE-PROPERTY.COM
Design
Work begins on psychiatric
intensive care unit for children
This article explores the design approach to the delivery of a new paediatric mental health
facility in Bournemouth
Construction work has begun on an
eight-bed Child and Adolescent
Mental Health Services (CAMHS)
Psychiatric Intensive Care Unit (PICU) for
Dorset HealthCare at its Alumhurst Road
site in Bournemouth.
Designed by Medical Architecture
alongside the NHS trust, and being built
by Kier Construction, the new building will
take advantage of its elevated woodland site
to create a safe and therapeutic space for
the recovery of a vulnerable patient group.
There is currently a shortage of facilities
in the south of England for children and
young people with an acute mental health
illness who cannot be safely cared for on
a general adolescent unit.
And this proposed facility will enable
staff to effectively treat patients who display
highly-complex and challenging behaviours
in a secure and dignified setting.
Suitable for patients between 12-18 years
old, the building includes eight inpatient
beds, day spaces, a two-classroom school
facility, treatment spaces, tribunal room,
seclusion room, de-escalation room, and
an extra-care suite.
A SECLUDED SETTING
The site for the new unit is close to an
existing Grade II-listed hospital building
and features attractive grounds that
provide a secluded and therapeutic setting.
The building design has been influenced
by the challenges and opportunities
presented by the site’s constraints, as
well as the very-specific requirements
of the patient group.
Taking advantage of the steeply-sloping
site and woodland setting, the new
building is located on an existing plateau,
elevating the patient accommodation
so there is a direct connection to the
surrounding tree canopies.
Staff accommodation is located at a
lower-ground-floor level, with access to
an external landscaped area and attractive
views from their working environment.
SPECIALIST FACILITIES
Considering the complex needs of the
patient group, the building has been
designed to ensure the safety and
wellbeing of patients and staff.
Clear zoning of accommodation
enables patients to co-exist in harmony,
with opportunities for separation to
de-escalate tension.
And all patient accommodation and
clinical space is located on a single level,
linked by comfortably-wide circulation
spaces, enabling an ease of movement
between zones and clear sight lines
for staff to manage risk.
A large central courtyard acts as a focal
point to the patient accommodation,
providing a secure and accessible outdoor
area for activity.
Day spaces, including a television
room, games room, and lounge, are
arranged around the courtyard, offering
a choice of engaging views to the
surrounding woodland.
32 | JULY-AUGUST 2024 HEALTHCARE-PROPERTY.COM
Design
Characterised by generous amounts
of glazing, they offer bright, vibrant
environments with opportunities for
passive observation.
Through a choreographed approach to
placemaking, strategically-located
rooflights highlight a series of special
spaces within the building, including a snug
seating area within the central corridor.
SAFE SANCTUARY
The ensuite bedrooms form an
important safe sanctuary for the young
patients and have been designed to
provide a comfortable and private space
with good daylight.
A large secure window, combined
with the stepped nature of the landscape,
provides a sense of being nestled among
the treetops.
And a window seat provides a
personal space that encourages calm
contemplation, while looking out onto
a biodiverse landscape.
The beds and wardrobes have been
designed as bespoke built-in joinery,
subtly integrating the requirements for
safety and robustness, while providing
a display for personal items to create a
familiar environment.
QUALITY AND VALUE
The new building is to be positioned at
the rear of the existing hospital site at a
lower elevation to the main access route
and listed building. As a result, the roof
forms a prominent visual feature which
is key to the sensitive response to the
building’s context.
The design also proposes a high-quality
standing seam zinc roof finish and a buff
brick base which complement the heritage
buildings on the site, creating a simple
and elegant form.
One of the early cohort of the
New Hospital Programme (NHP), the
scheme has helped to define future NHP
projects in terms of forward-thinking
buildability and room standardisation.
The new facilities will enable Dorset
HealthCare to provide a high-quality
service for young people closer to home
and their support network, resulting in
reduced waiting times for admissions,
faster recovery, and reduced cost to the
NHS. This will all be delivered in a healing
Set against a stunning backdrop, the unit
will enhance the provision of care and
provide a therapeutic environment for
a vulnerable patient group
THE PROJECT TEAM
Client:
Dorset HealthCare University
NHS Foundation Trust
Architect:
Medical Architecture
Contractor:
Kier Construction
Services Engineer:
Hoare Lea
Structure and Civil Engineer:
Calcinotto
Landscape:
UBU Design
Project Management:
MMC Project Consulting
Quantity Surveying:
MMC Project Consulting
Planning Consultant:
Savills
Principal Designer:
Sweco
Fire Consultant:
Bureau Veritas
BREEAM Consultant:
RPS Group
Arboriculture Consultant:
Hellis Solutions
environment which exploits the quality
of its therapeutic setting.
Yvonne Ophaus, associate at Medical
Architecture, said: “The unit’s distinctive
requirements, coupled with the complex
topography of the site, presented challenges
that we successfully navigated through
close collaboration with the client, the
design team, and the contractor.
“Set against a stunning backdrop,
the unit will enhance the provision of care,
and provide a therapeutic environment
for a vulnerable patient group.”
Matthew Bryant, chief executive at
Dorset HealthCare, added: “This facility
will represent a major step forward for
children’s mental health services in Dorset.
“It will allow us to care for seriously-ill
young people close to family and friends in
purpose-built, modern accommodation,
greatly reducing the need for out-of-area
placements and improving their chances
of recovery.
“We are very pleased with the design of
the facility, developed in conjunction with
our construction partner, Kier, alongside
patients, staff and peer specialists.
“It has taken into account the constraints
and sensitivities of the site, and we are
confident it will provide a first-class
environment which meets both the clinical
and educational needs of our patients.” n
HEALTHCARE-PROPERTY.COM JULY-AUGUST 2024 | 33
Construction
Two thirds of
architects now calculate
environmental impact
NBS’s Digital Construction Report reveals a major drive for green metrics
More architects are using
digital tools to calculate the
environmental impact of
building projects than ever before,
according to NBS, the UK’s leading
specification platform.
Results from its latest Digital
Construction Report, a study on
the industry’s evolving relationship
between digital technology, safety, and
sustainability, found that two thirds of
architects now use digital tools to
calculate environmental-related metrics.
In particular, two in five (41%)
use technology to assess the energy
demands of a project before construction
begins – an important step in
measuring carbon emissions and
meeting sustainability goals.
A similar figure (39%) also use
digital methods to understand the
embodied carbon attached to a project
and the components that go into it –
that is the amount of CO 2
emitted
during construction.
Despite room for improvement, these
figures show a clear push towards lower
carbon outcomes.
FROM CRADLE TO GRAVE
Another important finding in report was
around attitudes toward products and the
wider construction lifecycle.
Over a quarter of architects (26%)
now analyse the lifecycle of building
products before including them
within specifications.
This shows a growing effort to choose
environmentally-friendly products that
could potentially be recycled or reused.
Growing concerns around the use of
water are also increasingly important
for architects, with nearly a fifth
(18%) turning to technology to
predict project water demands.
OFFSITE ON THE UP
Continuing with the theme of
sustainable construction, NBS also
analysed levels of offsite construction,
an area often associated with greener
building practices, due to greater control
of materials and waste.
And the results found that Modern
Methods of Construction (MMC)
continue to gather pace.
Over half of architects (57%) had been
part of a construction project that had
used or required offsite construction
within the last year.
This is an increase of 13% since 2021
and comes despite the closure of several
high-profile MMC factories.
34 | JULY-AUGUST 2024 HEALTHCARE-PROPERTY.COM
Construction
Delving deeper, manufacturers are the group most likely
to be involved with MMC – seven in 10 had worked with
an offsite element, followed by nearly two-thirds of contractors
(63%) and over half of consultants (58%).
This increase could reflect an industry drive towards net
zero as well as recent government backing for further
standardisation within MMC.
TAKING FULL RESPONSIBILITY
NBS’s report also highlighted increases in the number of
professionals following naming conventions when sharing
information (77%, up from 2021 figures) – an area that can
improve the organisation and management of data.
Additionally, over half of respondents reported using
interoperable formats like IFC, revealing the growing importance
of easily-shareable construction data. However, the report also
showed there are more opportunities to be unlocked by using
digital technologies to help with compliance.
The study found that only a third of respondents (34%)
were involved with detailed responsibility matrixes (DRM),
a process that sets out responsibility for each element of
design to ensure greater accountability.
Worryingly, this figure has dropped since 2021 (39%).
And, notably, this figure hovered at around half for architects.
This comes despite increased levels of legislation attached
to the Building Safety Act, such as the introduction of
planning ‘gateways’ which requires a detailed breakdown of
responsibilities on an individual level.
Additionally, less than a third of suppliers (28%) currently
use a PIM system to manage product information, pointing
to information gaps in the construction supply chain.
Nevertheless, well over half (56%) provide digital objects
for the majority or all their products, a positive result.
Commenting on the survey’s results, David Bain, NBS’s
research manager, said: “The uptick in professionals seeking
environmental-related metrics shows an industry putting
sustainability front and centre. The drive towards net zero
has no doubt been a catalyst alongside the evolving legislative
landscape – there’s never been a greater emphasis on the
environmental impact of building practices.
“The study has also yielded unexpectedly-positive stats
around offsite construction.
“Despite media headlines and high-profile factory closures
giving the impression that MMC isn’t a popular choice, the
results show a different story: more professionals are embracing
offsite elements than ever before.
“Overall, we’ve seen some marked improvements that the
industry should be proud of.
“There’s an opportunity here to improve digital information
sharing, for which professionals have a legal requirement.
“The ‘golden thread’ and the use of structured data is
creating a safer future for all.” n
The drive towards net zero has no
doubt been a catalyst alongside
the evolving legislative landscape
– there’s never been a greater
emphasis on the environmental
impact of building practices
HEALTHCARE-PROPERTY.COM JULY-AUGUST 2024 | 35
Estates and Facilities Management
Image: mspark0 from Pixabay
A clean bill of health!
We look at the ways technology – such as floor-cleaning robots –
can help to keep healthcare facilities clean and hygienic
Clean healthcare facilities are critical
to ensuring a safe and positive
patient experience.
Cleaning and FM professionals
consequently need to maintain ultraclean
environments that reduce the risk of
infection, with the added pressures of high
footfall and urgent events taking place on
a near-constant basis.
Here, Kristal Goodwin, national sales
manager for Robert Scott’s cobotics
division, looks at how cutting-edge cleaning
robots could be the perfect partner for
operatives working in these environments.
A GROWING TREND
The cleaning industry is undergoing a
significant transformation with the advent
of advanced robotics and intelligent
management systems.
The proliferation of smart connected
technologies, the rise of the Internet
of Things, and advancements in AI
have all facilitated the transition to
automated systems.
Household-name brands have spurred
adoption within the consumer sector,
and now the commercial cleaning sector
– especially in healthcare settings – is
beginning to see similar momentum.
Google Trends data corroborates this
shift, showing a decline in searches for
‘deep cleaning services’ throughout 2021
and 2022, while inquiries for ‘robot
vacuum’ have surged by 120%.
These technological innovations offer
clear advantages and are particularly
beneficial in environments requiring
stringent sanitation.
Healthcare facilities represent a prime
setting where autonomous cleaning robots
can enhance cleanliness and safety in areas
frequented by both patients and staff.
INTEGRATING ROBOTS
Today, a variety of robotic cleaning
solutions are available, each with its
own benefits and limitations.
Among these, cobotics – where
robots work collaboratively with human
workers – stands out as a particularlypromising
approach.
In healthcare environments, cobots
are invaluable for managing the cleaning
of large areas such as corridors, waiting
rooms, and operating theatres.
They achieve consistently-high
cleaning standards and complement
human labour by freeing staff to
focus on critical tasks like sanitising
high-touch surfaces and specialised
medical equipment.
Rather than replace human labour,
cobots instead act as a tool that helps
cleaning operatives accomplish more in
the time they have with great efficiency.
This is particularly important in
healthcare cleaning, where the human
touch remains crucial.
Indeed, the National Standards of
Healthcare Cleanliness 2021 report
emphasises that cleaning staff are vital
members of the healthcare team; and
cleaning is one of the most-important tasks
in keeping patients safe from infection.
HEALTHCARE-PROPERTY.COM JULY-AUGUST 2024 | 37
Estates and Facilities Management
Kristal Goodwin
THE BENEFITS
Cobotic machines are expertly designed
for optimal cleaning and boast user-friendly
operation, ideal for maintaining large,
open spaces that would otherwise require
significant human labour.
For instance, autonomous floor
scrubber driers can be equipped with
various attachments for scrubbing,
sweeping, polishing, and drying floors.
This eliminates the risk of accidents from
wet floors, a crucial aspect in healthcare
settings, where slips, trips, and falls must
be avoided.
It’s important also to select machines
engineered with precision navigation that
can clean close to edges and detect even
small objects.
Advanced obstacle avoidance ensures
the safety of patients and the facility
from damage.
Machines with a zero-degree turn
radius can manoeuvre into and clean
tight spaces. Additionally, operatives
are relieved from tasks like disposing
of waste water and refilling freshwater
during cleans, as machines that
autonomously handle these processes
offer the most benefit.
Furthermore, these machines can
be programmed to perform cleaning
Household-name brands have spurred
adoption within the consumer sector, and now
the commercial cleaning sector – especially
in healthcare settings – is beginning to see
similar momentum
tasks during quieter hours, ensuring
continuous floor care without disrupting
medical operations.
Operators can also benefit from
intelligent performance data capture
and tracking features. They can optimise
daily cleaning schedules based on
comprehensive data, such as area
coverage and operation times, and
set benchmarks to evaluate their
performance against established KPIs
for continuous improvement.
Cobotic solutions generally use fewer
cleaning products and less water than
traditional floor cleaning methods, too.
And some require no water, using bacteriaremoving
microfibre to clean floors,
which reduces slip risks and cuts down
on waste water.
Modern battery-charging cobots
can be powered for as little as 35p
per hour, with a battery life of up to
20 hours.
EASY TO IMPLEMENT
There can be a perception that automated
systems can be complex to install and
maintain, but this isn’t the case.
Cobotic machines with a user-friendly
design ease the transition to advanced
38 | JULY-AUGUST 2024 HEALTHCARE-PROPERTY.COM
Estates and Facilities Management
Working with a supplier that has dedicated cobotic expertise should
ensure a trouble-free onboarding process through comprehensive
training, in-person installation of the equipment, and ongoing
support for troubleshooting and maintenance
cleaning technology and users
typically find that with a brief
training period, they can operate
the machines with confidence
and skill.
Working with a supplier that has
dedicated cobotic expertise should
ensure a trouble-free onboarding
process through comprehensive
training, in-person installation of
the equipment, and ongoing support
for troubleshooting and maintenance.
Once everything is set up,
maintenance is usually a simple process
too. With the systems we offer, for
example, users are simply required to
wipe and inspect attachments and flush
out the hose on a regular basis.
Moreover, existing technology
is advanced enough that major
infrastructure changes should not be
necessary to introduce cleaning robots.
BUILDING TRUST
Cobots can also bring some wider,
often-underappreciated, benefits.
Recent data from Sodexo Health
& Care/YouGov found that 50% of
inpatients agreed that cleanliness impacts
their hospital experience, ranking as the
second-most-important factor after the
friendliness of clinical staff.
And the presence of advanced cleaning
technology can, therefore, act to build
trust and confidence among patients,
staff, and visitors.
The visible use of state-of-the-art
cobotic solutions demonstrates a
commitment to maintaining the
highest hygiene standards.
For healthcare workers, meanwhile,
knowing that their environment is
maintained with reliable, efficient
technology can alleviate some of the
stress associated with infection prevention
and control and environmental hygiene.
Cobotic cleaning systems offer an
exciting future across various sectors.
In healthcare settings, they provide
significant benefits: from reducing
disruption to patient care to enhancing
the overall cleanliness and safety of
the facility.
www.metabots.uk n
HEALTHCARE-PROPERTY.COM JULY-AUGUST 2024 | 39
Estates and Facilities Management
EFM team
drives
improvements
The East London NHS Foundation
Trust’s estates, facilities and capital
development team was named
Estates & Facilities Team of the
Year at the annual Design in
Mental Health Awards.
Image, Michal Jarmoluk from Pixabay
Surplus land could
generate income
More than 121,000 hectares of NHS land
could be repurposed or sold off to generate
capital to improve services, according to
the latest figures from NHS England.
The most-recent NHS Surplus Land report,
published this month and covering the period
to March 2024, reveals there are 128 surplus
land plots covering a total area of 121,86
hectares which are surplus to requirements.
There is also 0.6 million sq m of internal floor
area which is not fully utilised.
And 199 potentially-surplus land
‘opportunities’ were identified, covering a
total land area of 309.12 hectares and a gross
internal floor space of 685,000sq m.
In addition, 50 plots were identified as
no longer being surplus, having previously
been declared as such; and 53 plots had
been sold or are in the process of being sold,
covering 21.85 hectares and 41,000 sq m of
internal floorspace.
£47.1m was declared as the total sales
receipt for land sold and the estimated
sales receipt for surplus or potentially-surplus
land was £0.8bn.
The investment required to dispose of
this land is estimated at £1.8bn.
NHS Surplus Land collection data has
existed since 2008 and was originally
designed to provide information to the
Department of Health and Social Care
(DHSC), Homes England, and the Office of
Government Property (OGP) on sites that can
be disposed of, thereby contributing to the
Public Land for Housing Programme.
The collection currently monitors the
contribution made by the NHS to the release
of publicly-owned land to ensure the efficient
and strategic use of the NHS estate.
It covers all ambulance trusts, care trusts,
hospital trusts, mental health trusts, and
NHS trusts and is reported quarterly.
In response to a Parliamentary question in
June last year, the then Minister of State for
the DHSC, Will Quince, said of NHS surplus
land: “NHS organisations decide locally
on the use of their land based on their
requirements for facilities to support the
efficient and effective delivery of their
healthcare services.
“All surplus NHS property is expected to
be sold as soon as possible to minimise
ongoing running costs.
“Before any commercial sale takes place,
details of NHS surplus land are circulated
to public sector organisations, for them to
express an interest in acquiring.
“Outline planning permission is often sought
prior to sale to maximise the value of the site
realised for reinvestment and achieve best
value and this will include an assessment of
local planning considerations and public and
stakeholder engagement.”
And, also in June last year, the NHS Homes
Alliance published a White Paper titled
A People Driven Approach; Delivering NHS
Homes, which set out a vision to use the NHS
estate to build affordable, high-quality, and
sustainable homes near hospitals and clinics
for health and care workers.
The team – which is responsible for the
management, maintenance, and strategic
development of land, buildings, and facilities
across east London and Bedfordshire –
was commended for its commitment to
collaboration with patients and clinical
colleagues alike to address urgent estates
and facilities concerns.
And the judges were impressed with
the extent to which service users were
involved in the day-to-day planning and
decision making.
The team introduced an innovative
Patient-Led Assessments of the Care
Environment (PLACE) Programme with
service user coproduction – providing
them with comprehensive training to
ensure transparent and thorough feedback,
helping to drive improvements.
Environmental Assurance Groups (EAGs)
have also been implemented across all
inpatient units to provide service users
with a platform to actively engage with the
management of their care environment.
This is in addition to the appointment of
service users via People Participation –
a service at the trust which enables those
with lived experiences to play an active
role in improving quality by providing fresh,
inside perspectives.
ELFT’s chief executive, Lorraine Sunduza
OBE, said: “Our estates and facilities
team has shown on numerous occasions
that it prioritises service user-centred care
and values the insights patients bring to
the table.
“I would like to thank colleagues and
service users for their dedication in ensuring
we can continue to provide high-quality
care across all of our services.”
40 | JULY-AUGUST 2024 HEALTHCARE-PROPERTY.COM
Estates and Facilities Management
From DIY lover
to female plumber
National Healthcare Estates and Facilities Day was held on 19 June, throwing the spotlight on
those members of staff who work so diligently behind the scenes to keep the estate ticking over.
Here, we profile Christine Latham’s journey
Christine Latham
changed career path at
age 55, going from a
healthcare domestic assistant to
maintenance assistant at NHS
Property Services (NHSPS).
A dedicated employee, her
journey exemplifies the power
of courage, passion, and that
dreams can be sought after at
any age.
“At a stage in life when
many are contemplating
retirement, Christine embarked
on a new career path that
not only fulfilled her lifelong
passion for DIY, but also
brought her professional
satisfaction,” said a spokesman
for NHSPS.
In 2022, after years as a
domestic assistant, Latham
attended a taster day for
maintenance operatives.
“That single day changed
my life,” she said.
“Before I could blink, I got
an interview for the role of
maintenance assistant.
“I didn’t hesitate; I was
ready to go for it.”
With her inherent knack for
DIY, honed by years of practice
and a family tradition of making
and fixing, Latham aced the
interview and began her dream
job in April 2023.
Now, encouraged by her line
manager, she has decided to
pursue an apprenticeship and
is on track to become a fullyqualified
plumber by the age
of 59.
“I only wish I’d done it
sooner,” she says.
“Imagine getting paid to
do what you love? It has
changed the way I look at
everything. The sky’s the
limit for me now!””
Imagine getting paid to do what
you love? It has changed the way
I look at everything. The sky’s
the limit for me now!
Her story is not just about
professional success; it’s about
personal transformation.
“I adore everything about
my job,” she said.
“Nothing gets the better
of me.
“I love the variety of jobs
and mucking in to deliver the
best-possible customer service.
I enjoy a chat and a laugh with
customers; I treat them the
way I want to be treated;
and I’ve always got a smile to
brighten their day.”
National Estates and Facilities
Day shines a spotlight on the
unsung heroes of the healthcare
system, and Latham’s story
stands out as inspiration.
Her message to others
contemplating a change is clear:
“Just do it!
“You may discover a
bigger passion than you
ever imagined.”
Her story comes amid
a national shortage of
healthcare estates and
facilities professionals.
The NHS Estates and
Facilities Workforce Action Plan,
released in 2022, revealed that
there are currently more than
100,000 estates and facilities
management (EFM) employees
across the health service,
representing a significant 8%
of the NHS workforce.
However, with more than
300 distinct roles within NHS
EFM, there are key areas where
there are shortfalls, and sickness
absence rates among EFM staff
remain the second highest
among NHS staff groups.
There are believed to be
more than 4,000 vacancies
within EFM roles, with the
Healthcare Estates and Facilities
Management Association
(HEFMA) and the Institute
of Healthcare Engineering &
Estate Management (IHEEM)
coming together to encourage
new entrants and better
training opportunities.
HEALTHCARE-PROPERTY.COM JULY-AUGUST 2024 | 41
Estates and Facilities Management
Soil Association Exchange will help farmers unlock the
financial benefits of regenerative land use and sustainable
farming practices. Image, André Rathgeber from Pixabay
Purchasing agreement
supports NHS caterers
For the first time, NHS caterers will be
able to use new environmental measures
for farms as part of their procurement
of food and drink.
The Soil Association Exchange is set to
deliver the environmental measures for farms
in public sector purchasing as part of the
Crown Commercial Service’s (CCS) Buying
Better Food and Drink framework agreement.
This agreement will be available for all
UK public sector organisations to use for
purchasing food and drink through a single
online access point.
As well as a shift to more-dynamic food
procurement – which removes barriers to
allow small producers to contribute to larger
public sector orders – the updated service
will also use Exchange’s holistic
farm assessments for sustainability.
Exchange measures the environmental
impact of farm operations by assessing
six key areas – soil, water, carbon, animal
welfare, social impacts, and biodiversity.
It does this by collecting data through onthe-ground
farm surveys, satellite imagery,
and other datasets on metrics like soil carbon
A person using the Soil Association Exchange framework
and bird counts, alongside considering the
food production and community benefits
a farm provides.
Soil Association Exchange chief executive,
Joseph Gridley, said: “It is hugely important
for our public institutions to serve food that
supports sustainable British farm businesses,
and we are excited to start delivering data
that will help to make this easier.
“Exchange is already working with hundreds
of farms who have helped to develop our
wide-ranging sustainability metrics.
“These measurements consider the full
picture and can help to show schools and
hospitals all of the brilliant things that farmers
are doing to support nature while producing
good-quality food.”
The move seeks to deliver greater
transparency and break down barriers for
small and medium-sized enterprises (SME).
The AgileChain technology being used does
this via smart automation, making fulfilment
along short supply chains more efficient for
producers, distributors, and wholesalers.
The Buying Better Food and Drink
agreement from CCS will set new parameters
for procurement, enabling more-informed
sourcing decisions based on individual farm
levels and the social, environmental, and
economic impact of food and drink choices.
Public sector buyers can express interest in
the agreement, which is due to launch later
this year. And any farmer can get involved
by obtaining a free-of-charge sustainability
score from Soil Association Exchange.
42 | JULY-AUGUST 2024 HEALTHCARE-PROPERTY.COM
Environmental
18 NHS trusts awarded
energy efficiency funding
The recipients of more than half a million
pounds of funding to decarbonise public
buildings have been announced.
Phase 3c of the Public Sector
Decarbonisation Scheme (PSDS), delivered
for the Government’s Department for
Energy Security and Net Zero by Salix
Finance, sees 18 trusts awarded funding
for projects to install low-carbon heating
and other energy-saving measures.
Among the big NHS recipients in
Phase 3c is Royal United Hospitals Bath
NHS Foundation Trust, which has been
awarded over £21m to decarbonise three
buildings by installing new heat pumps
alongside other measures including wall,
loft and roof insulation, double glazing,
and LED lighting.
The trust’s chief executive, Cara Charles-
Barks, said: “We are beginning to make
great strides to reduce our emissions
through initiatives such as decommissioning
our entire nitrous oxide manifold and a
sustainable travel plan.
“This grant is therefore invaluable.
It will enable us to make these essential
changes in the coming years and will have
a positive impact on the environment and
the experience of being in hospital.
“We know that getting this right will be
better for the health and wellbeing of the
people we care for, the people we work
with, and the people in our community.”
Royal United Hospitals Bath NHS Foundation Trust
received more than £21m in the latest funding
round, which it will use to de-steam the estate
Over 1,000 projects have now received
funding since 2020 to upgrade thousands
of buildings through the Public Sector
Decarbonisation Scheme.
NHS recipients in Phase 3c are:
• Berkshire Healthcare NHS
Foundation Trust: £2,633,950
• Birmingham Community Healthcare
NHS Foundation Trust: £7,347,236
• Cambridge University Hospitals
NHS Foundation Trust: £7,329,715
• County Durham and Darlington
NHS Foundation Trust: £665,892
• East Midlands Ambulance Service
NHS Trust: £135,552
• East Sussex Healthcare NHS Trust:
£1,247,446
• Gloucestershire Health and Care
NHS Foundation Trust: £1,121,880
• Imperial College Healthcare
NHS Trust: £41,825,807
• Liverpool University Hospitals
NHS Foundation Trust: £832,984
• Manchester University
NHS Foundation Trust: £18,974,330
• Medway NHS Foundation Trust:
£25,886,516
• North Bristol NHS Trust: £7,293,707
• Royal United Hospitals Bath
NHS Foundation Trust: £21,639,542
44 | JULY-AUGUST 2024 HEALTHCARE-PROPERTY.COM
Environmental
Previous recipients of PSDS funding have included Nottingham
University Hospitals NHS Trust, which has built an energy
centre and installed new heating and cooling systems
• Shrewsbury and Telford Hospital
NHS Trust: £16,200,691
• South Tees Hospitals
NHS Foundation Trust: £28,431,899
• South Warwickshire
NHS Foundation Trust: £6,149,168
• South Western Ambulance Service
NHS Foundation Trust: £321,408
• University Hospitals Birmingham
Centrica Business Solutions is set
to complete a solar PV design and
installation project at Poole Hospital in
Dorset, alongside new energy partner,
Aztec Solar Energy.
The installation is part of University
Hospitals Dorset NHS Trust’s transition
to net zero carbon and involves five
interconnected roofs on one building
being fitted with 470 PV panels, five
SolarEdge inverters, and 261 optimisers.
Estimates show that it will generate
200,000 kWh a year to save 50 tonnes
of CO 2
annually.
Aztec Solar will connect, commission,
and test the new solar PV system over
two days after installing the panels,
inverters, and other equipment.
Phil Bryant, head of public sector
sales for Centrica Business Solutions,
said: “Aztec Solar is an excellent addition
to our energy partner programme and
given its experience in the health sector
and expertise in installing solar PV
systems on commercial buildings, it
was the ideal company to partner
with for the delivery of the project at
Poole Hospital.
“We’re seeing an uptick in demand
from public sector and commercial
organisations looking to take advantage
of the space above their heads for
solar schemes.
“This provides cost certainty and a
source of green power, supporting
long-term sustainability ambitions.”
NHS Foundation Trust: £11,400,268
At Bath, most of the vital funds will be
used to de-steam the trust’s 52-acre
estate, a process that will see the
hospital’s ageing heating systems
replaced with more-energy-efficient
options such as heat pumps.
When the proposed improvements are
completed, by 2026, they will result in
The solar panel arrays are situated
on top of the Phillip Arnold blocks
and the Dorset Cancer Centre.
Commenting on the project,
Chris Cowling, commercial director at
Aztec Solar, said: “Poole Hospital is
one of many healthcare buildings
an estimated 24% annual reduction in
carbon emissions over which the trust
has direct control.
This equates to just over 3,400 tonnes
of carbon dioxide – the equivalent of
just under 1,000 return flights to Seoul,
or more than 150,000 car journeys
from Bath to London every year.
COMING SOON
Recently a new approach was confirmed
for allocating funding for Phase 4.
In response to feedback from the public
sector, the ‘fastest-finger-first’ approach will
be replaced with a more-targeted system
that will prioritise projects where the mostdirect
carbon emissions will be saved.
Phase 4 guidance and criteria will
also place additional emphasis on the
importance of considering heat networks
within the range of low-carbon heating
technology options.
The full guidance for Phase 4 will
be published in summer.
Solar partnership drives energy efficiency
that we have provided solutions for,
so we understand how important it
is to work closely with Centrica
Business Solutions to minimise the
effects of our installation and the
electrical shutdown on patient
wellbeing and medical equipment.”
HEALTHCARE-PROPERTY.COM JULY-AUGUST 2024 | 45
Environmental
Leading
the charge
Healthcare communications
provider, Cymphony, is
leading the way in the
sector’s sustainability charge,
having successfully reached
net-zero carbon status.
Cymphony’s mission is to
help healthcare providers
improve day-to-day operations
such as bookings and
communications and it has
placed sustainability alongside
technology at the centre
of operations.
Neil Davies, managing
director, said: “Our purpose runs
deeper than delivering the best
communication solutions for
our healthcare providers.
“We understand the impact
we have on the environment
and have made a number of
conscious steps to minimise
the damaging effects our
organisation has on the planet.
“As of today, I’m unaware
of any other industry player
which has not only committed,
but also achieved, this level
of sustainability across
its operations.
“Having partnered with
Carbon Footprint Limited,
everyone at Cymphony
understood our goal of
minimising our carbon footprint.
“Essential processes such
as independent assessments,
surpassing targets for continual
improvements, and operating
via a remote model, kept us
on track to net zero.
“And our focus isn’t just
inwards; we have also focused
overseas efforts on offsetting
our carbon emissions and
supporting targeted schemes.
“Partnering with clean water
and cooking initiatives in
Uganda and China are actively
curbing local communities’
reliance on greenhouse gasemitting
measures.
“Certain emissions we cannot
help, but have to emit, and this
is why we take part in these
annual reviews to determine
key areas where we can
proactively offset emissions in
other areas. Offsetting enough
to counter the unavoidable
contributed a valuable role to
our net-zero commitment.”
The action comes as the
NHS has set a net-zero target
of 2040 for the emissions
it can directly control.
Davies said: “It’s great to see
UK healthcare, particularly the
NHS, take action and set
much-needed targets to ensure
carbon emissions and the
knock-on effects they cause
are omitted entirely.
“Cymphony is proud to lead
the industry in achieving netzero
status ahead of the curve.
“It brings better health and
environmental benefits and sets
the standard for the rest of the
industry to show that net zero
is a possibility worth achieving.
“Our clients can take solace
in the fact that partnering to
achieve a more-streamlined
healthcare service has a minimal
effect on our environment, for
not just the present, but for
future generations too.”
He adds: “Here at Cymphony,
we want to continue setting
the standard for the best
communication solutions for our
healthcare sector and it is
imperative that our net-zero
processes do not fall off.
“Ensuring that the steps and
processes we have taken thus
far to achieve net zero are
upheld is crucial to reducing
our effect on our environment.
“Furthermore, we want to
continue leading the way for
UK healthcare and demonstrate
that net-zero status is justifiable
and achievable.”
46 | JULY-AUGUST 2024 HEALTHCARE-PROPERTY.COM
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People
£16m wellbeing programme
supports NHS staff
NHS Charities Together
has launched a £16m
Workforce Wellbeing
Programme to support
NHS staff across the UK.
The ambitious programme
aims to improve NHS staff health
and wellbeing, in turn making
sure patients are provided
with the care they need.
NHS Charities Together
will commit an initial £6.0152m
to support healthcare staff
across the UK, with the fund
being shared proportionately
across the four nations,
along with aspirations to fund
a further £5m over the duration
of the programme.
In England the independent
charity’s contribution will be
match funded by NHS England,
which will contribute £5m as
part of its Long Term Workforce
Plan to support staff wellbeing.
The Workforce Wellbeing
Programme will run for three
years with initiatives co-designed
and co-led by NHS staff.
MEETING NEEDS
Support will be tailored to
the individual needs of the
NHS organisations and their
workforces, supplementing
existing support provided
to staff.
After a period of co design
with NHS staff, NHS England,
and others over the summer,
the charity will invite NHS
charities in partnership with
their associated NHS trusts
or health boards to apply for
grants from the Autumn.
And the impact of projects
will be monitored and evaluated
so that learnings can be shared
and scaled across the UK.
Ellie Orton OBE, chief executive
of NHS Charities Together, said:
“NHS staff work under immense
pressure with unprecedented
staff shortages and vacancies
and the extra help we provide
to support their wellbeing and
The Oasis Health and Wellbeing
Centre and Garden in Berkshire
mental health is now more
important than ever.
“There’s lot of work going on
across trusts to support the
wellbeing and mental health of
NHS staff, but more needs to
be done and we are delighted
that NHS England has matched
our £5m investment in support
across England, and we are also
putting proportionate investment
across the devolved nations.
“We have ambitions for this
programme to grow so that we
can make sure we continue to
deliver this important and muchneeded
support for as long as
it’s needed.”
PROMOTING
WELLBEING
One example of where
previous rounds of funding are
having a lasting impact on staff
wellbeing is expanding and
renovating the faith facilities
at Royal Bolton Hospital in
recognition of the role spiritual
New faith facilities have
opened at Royal Bolton Hospital
wellbeing plays in staff
experience and satisfaction.
Another is the Oasis Health
and Wellbeing Centre and
Garden in Berkshire – a central
wellbeing hub for NHS staff.
Jointly funded by the Royal
Berks Charity and the Royal
Berkshire NHS Foundation Trust,
and supported by a grant from
NHS Charities Together, it offers
a range of activities and services
aimed at promoting staff health
and wellbeing.
And the trust has seen a 40%
increase in positive responses to
staff surveys regarding support
for health and wellbeing since
the campus opened, with the
trust now proudly one of the
top-performing acute NHS
organisations in the area.
48 | JULY-AUGUST 2024 HEALTHCARE-PROPERTY.COM
People
Christie & Co appoints head of healthcare
DUDLEYS EXPANDS NORTH WEST DIVISION
Structural and civil engineering
consultancy, Dudleys, has
announced two new senior
appointments at its North West
office following a relocation
to Manchester city centre.
The award-winning practice
recently moved from Prestwich
to new offices at 76 King
Street in Manchester to
facilitate expansion.
And the move has helped to
attract highly-respected and
well-known individuals within
the industry in the form of Chris
Brady as technical director, and
Adil Yasin as structural engineer.
Specialist business property adviser,
Christie & Co, has appointed Hannah Haines
as its new head of healthcare consultancy.
Haines joined Christie & Co as an analyst
in the company’s consultancy team in 2015
and was promoted to director in 2021.
Her new position will see her further
develop Christie & Co’s healthcare consultancy
services, working in collaboration with the
existing team members and sector colleagues
across the business.
She takes over from Mike Hodges who
originally established Christie & Co’s healthcare
New leader of BDP’s Bristol studio
Architecture director, Akshay Khera, has
been appointed as head of the Bristol
studio of global design practice, BDP.
With more than a decade of experience
designing buildings and spaces in Bristol,
the South West, and Wales, his appointment
supports the continued growth of BDP in the
region as a socially-progressive practice with
an embedded multidisciplinary approach
across healthcare, housing, education, and
workplace sectors.
He said: “The opportunity for growth in
the region in all sectors remains strong and
as a multidisciplinary consultancy we are
perfectly placed to help our local clients
understand their investment and property
portfolio strategies.”
BDP is currently working on a number of
projects across the South West including a
series of healthcare projects such as the new
elective care centre at Southmead Hospital.
Brady brings more than
30 years of development
planning and civil engineering
industry experience, while
Yasin has 19 years of structural
engineering experience.
Andy Walker, managing
director at Dudleys, said:
“Relocating to a super prime
location in Manchester city
centre not only helps us to
attract the best talent, but
also places us in the heart
of the commercial property
business community and
we are very excited for
what the future holds.”
consultancy function in 2013 and was recently
appointed managing director of the company’s
capital markets division.
Haines said: “I am excited for this opportunity
to further develop our consultancy services
across our healthcare sectors in the UK
and Europe.
“Having worked side by side with Mike
and other colleagues for the past nine years,
I look forward to continuing on our path of
success in leveraging our data, analytics
capabilities, and experience to provide the
best advice to our clients.”
HEALTHCARE-PROPERTY.COM JULY-AUGUST 2024 | 49
People
Law firm expands
healthcare team
International law firm, DAC
Beachcroft, has promoted
three colleagues to the
position of partner in its
market-leading health and
social care team.
The new partners are
Jemma Gillson (mental health
regulation), Stuart Keyden
(clinical risk), and Alison Martin
(infrastructure and projects).
DACB’s annual round of
promotions also sees Anne-
Marie Gregory (public law
and corporate governance)
promoted to legal director, while
Yasmin Allan, Claire Anderson,
Emily Broad, Nikki Green, Helen
Jones, Kirstyn MacFarlane,
Bridie Mahoney, Holli Prescott,
Susanna Read, and Nico Tilche
become senior associates.
The promotions – which
take effect on 1 May – mark
a continuation of DACB’s
investment in the firm’s health
and social care business to
meet its clients’ needs, and
follow the recent appointments
of healthcare regulatory expert,
Susan Trigg, and health property
specialists Victoria Armstrong
and Lisa Geary as partners.
Hamza Drabu, partner and
head of health at DACB, said:
“DACB remains the platform
for the most-talented health
and social care lawyers to
fulfil their potential, with our
continuous growth across
the sector and the provision
of the right support network
creating opportunities for them
to develop professionally and
realise their ambitions.
“The 14 promoted colleagues
will not only add further
strength and depth to our
CONSTRUCTION BOSS
JOINS ROYAL BAM GROUP
Royal BAM Group has announced the
appointment of Kim Sides as the new
executive director of construction for
its UK and Ireland division.
Sides will sit on the BAM UK and Ireland
divisional leadership team and report to
chief operating officer, John Wilkinson.
With over 25 years experience in global
property development and infrastructure,
Sides has held leadership roles across
operations, stakeholder management,
construction, finance, and legal for some of
the world’s biggest developers, including
Laing O’Rourke and Lendlease.
During this time she has helped deliver
some iconic projects including the
Jemma Gillson
Stuart Keyden
Alison Martin
health and social care team,
but also ensure we are better
able to deliver the bespoke
solutions and exceptional
service our health sector
clients deserve.”
‘Barangaroo’ project in Sydney, and then
worked in a commercial capacity on the
Malaysian development
The Exchange, TRX in Kuala Lumpur.
And, most recently, she was the chief
strategy officer and general counsel at
Mura Technology.
Commenting on the appointment,
Wilkinson said: “I am delighted Kim has
agreed to jointhe UK and Ireland team.
“She is a proven leader who puts a focus
on bringing diverse and complex teams
together, providing healthy support and
challenge and getting positive results.
“She also brings a commercial and
contractual edge, a deep understanding
of risk and is someone who delivers.”
Speaking about her appointment,
Sides adds: “I am excited to be joining
BAM and I look forward to getting to
work with the BAM Construction team
so we can build on its heritage and
acknowledged expertise in delivering
sustainable, quality projects for
its clients and communities.
Country chief
executive
appointed at
Bureau Veritas
Bureau Veritas, a global leader
in testing, inspection, and
certification, has appointed
Antoine Giros as country chief
executive for its operations
in the UK and Ireland.
He supersedes Ken Smith,
who moves into the role of vice
president of sustainability and
safety for the South & West
Europe Operating Group.
In this new role, Giros will focus
on elevating the overall financial
performance by leading the
definition and implementation
of Bureau Veritas’ strategic plan,
LEAP2028.
This is designed to propel the
business forward by scaling and
expanding the core operations,
diversifying the service portfolio,
and capitalising on emerging
growth opportunities.
Laurent Louail, executive vice
president at Bureau Veritas,
said: “I am delighted to welcome
Antoine Giros to the south and
west Europe leadership team.
“With his technical expertise,
indepth knowledge of Bureau
Veritas, and business acumen,
he will drive and lead our future
ambitions in UK and Ireland.”
Giros added: “In a fastchanging
world that is urging
organisations to adapt their
models, I firmly believe that
Bureau Veritas has a critical
role to play.
“Building on the diversity
of our portfolio and our solid
foundations of the UK will
benefit all our clients in their
transformation journey as to
all our stakeholders.”
50 | JULY-AUGUST 2024 HEALTHCARE-PROPERTY.COM