There’s not much to dislike in the business of owning and leasing out surgeries to GPs. The rental income is about as reliable as it gets — the NHS, which guarantees to reimburse doctors for their rents, doesn’t default — and the demographics are favourable — demand for primary healthcare is near infinite. The market is also fragmented and there is huge pressure to replace the remaining decrepit Victorian surgeries with modern, tailor-made premises. There’s even the nice warm feeling of investing in a business which helps do uncomplicated good.
Assura is one of the major players, a solid member of the FTSE 250 with a market value of £1.35 billion. It owns 525 premises, ranging from small surgeries to substantial medical centres and claims