The Pharmacy Guild of Australia has produced the 2022 Pharmacy Rental Report, an invaluable guide to the commercial landscape facing community pharmacy in relation to leasing and landlord relationships.
The report also details the case for consideration by landlords of the special conditions and regulations influencing the capacity of community pharmacies to operate as viable businesses in the retail environment.
Specifically designed to help Guild members, other community pharmacy owners and aspiring owners, the report is a useful reference and briefing document which can be utilised to support future rental negotiations.
The latest report has been updated to reflect the necessary information required to assist in negotiating new leasing arrangements.
With the model of pharmacy undergoing change, managing the cost of doing business for pharmacy owners remains important, and occupancy costs are a key component of this.
Sound commercial leasing arrangements are essential for pharmacy owners.
Not only are occupancy costs, including rent, a significant cost but relocating to alternative premises can be costly and disruptive.
Pharmacy owners have a limited ability to pass on fixed underlying costs such as rent due to prices in the industry largely being regulated.
However, there needs to be an understanding of what reasonable rental costs for a business would be, and this highlights the importance of the Pharmacy Rental Report.
Owners are encouraged to use this report to ensure they have a good understanding of rental issues and follow best practice in retail lease negotiations.
Importantly, the report details how to understand your lease, how to prepare for lease negotiations, and strategic lease management. It is hoped through greater access to information and this support, pharmacy owners will be able to negotiate efficiently to achieve beneficial arrangements.
The Pharmacy Guild of Australia is confident the 2022 Pharmacy Rental Report will assist owners with this task at this key time in our industry.
