8.54 Where the NHSScotland body has granted a project company a headlease on land only, the accounting treatment of the land should follow the accounting standard FRS5 - Reporting the substance of transactions. Usually the lease will have the characteristics of an operating lease and the land should therefore continue to be recorded as an asset on the Body's balance sheet and should be included in net relevant assets when calculating the cost of capital charge.
8.55 The economic assessment of the overall PPP deal is sufficient for the economic assessment of any such land transactions.