The Scottish pharmacy market is seeing an “increasing number of contractors supporting younger, first-time buyers” according to property broker Christie and Co’s insights for the year, published on August 24.
It said contractors are increasingly assisting first-time buyers by “providing a significant proportion of the deposit required to secure funding”, and allowing them to repay “after three to five years of ownership”.
The insights also revealed a surge in owners seeking second pharmacy branches, following first-time purchases in 2023. Meanwhile, larger operators continue to acquire more premises and grow their reach.
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It said “buyer appetite remains strong” in Scotland with demand highest across the country’s Central Belt and in areas such as Aberdeen and Inverness.
It also said while “established operators are prioritising pharmacies dispensing above 5,000 NHS items per month” first-time buyers “tend to target pharmacies dispensing fewer than 4,000 NHS items per month, which are generally more aligned with their budgets”.
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The report comes after Christie and Co called the pharmacy market “very good and strong” at the PharmacyForum in Spain this May.
Head of valuation at Christie’s Christopher Vowles said earnings before interest, taxes, depreciation and amortization (EBITDA) multiples are higher and “a lot better” compared to the retail, hotel and care markets.
