Many Melbourne doctors and practice groups choose to own the commercial property their clinic operates from, rather than lease it. Done well, this can build a valuable long-term asset alongside the practice itself. Done without proper structuring, it can create unnecessary tax cost, liability exposure, and complications when partners or doctors change over time.
Common Ways Melbourne Doctors Hold Medical Centre Property
- Personally or jointly, with the property leased back to the practice entity
- Through a dedicated property trust or unit trust separate from the practice
- Within a self-managed super fund (SMSF), subject to strict superannuation rules
- Through a company structure, often alongside other Melbourne practice-owning doctors
Why Separating Property from the Practice Matters
Holding the Melbourne medical centre property in a separate entity from the clinical practice helps protect the property from practice-related liability, and gives flexibility if a doctor exits, a new partner joins, or the practice itself is sold. The lease arrangement between the property entity and the practice also needs to be commercially realistic to withstand ATO scrutiny.
Key Considerations Before You Buy in Melbourne
- We have assisted many Melbourne clients who have purchased commercial property via their SMSF
- GST treatment on the purchase, lease, and eventual sale of the property
- Victorian stamp duty and land tax implications depending on the holding structure
- How multiple Melbourne doctors will co-own the property and what happens on exit or sale
- CGT and depreciation planning over the life of the property
- Property development — purchase of land and construction of a purpose-built Melbourne medical centre
Related Resources
- Back to Accounting and Tax Services for Doctors
- Practice Entity Structuring for Doctors
- CGT on the Sale of a Medical Practice
- Finance for Medical Professionals
Thinking about buying the Melbourne property your practice operates from? Speak with us before you sign a contract — the structure you choose now shapes your tax position for decades.