LOS ANGELES, CA 鈥 July 29, 2021 鈥 色情五月天, LLC, and Medical Properties Trust, Inc. (MPT) have entered into a sale-leaseback agreement giving MPT ownership of the real estate underlying Pipeline鈥檚 four community hospitals and two medical office buildings located in Los Angeles.
Under terms of the deal closed earlier this month, MPT assumes ownership while leasing back the six facilities to Pipeline for 20 years, with multiple extensions.
色情五月天, its Chief Executive Officer Andrei Soran and his executive team operate the six facilities in collaboration with the hospitals鈥 four local chief executive officers.
鈥淭his is exciting news for 色情五月天, and we are looking forward to working with an experienced hospital real estate investor in MPT, which is one of the largest owners of hospitals in the world,鈥 Soran said.
According to Edward K. Aldag, Jr., chairman, president, and chief executive officer of MPT, 鈥淥ur financing model facilitates acquisitions and recapitalizations allowing operators of hospitals to leverage the value of their real estate assets to fund facility improvements, technology upgrades and other investments in operations. We are pleased to work with 色情五月天 and support their commitment to ongoing investments in the hospitals they operate.鈥
Soran, who became 色情五月天 CEO in January, said the new capital will be used to retire debt for the system, thereby lowering interest rates and boosting the system鈥檚 balance sheet, as well as capital support for the organization.
鈥淲e are committed to investing in new equipment and facility improvements at all seven Pipeline hospitals in three markets, and this transaction supports that commitment as we work to enhance service to all the communities surrounding our hospitals,鈥 Soran said.
鈥淲e are proud of all the employees and physicians across our seven hospitals, who care for patients every day.鈥
Pipeline鈥檚 four Los Angeles hospitals include: Coast Plaza Hospital, Community Hospital of Huntington Park, East Los Angeles Doctors Hospital and Memorial Hospital of Gardena.
Medical Properties Trust, Inc. is a self-advised real estate investment trust formed in 2003 to acquire and develop net-leased hospital facilities. From its inception in Birmingham, Alabama, the Company has grown to become one of the world鈥檚 largest owners of hospitals with 444 facilities and roughly 47,000 licensed beds in nine countries and across four continents on a pro forma basis. MPT鈥檚 financing model facilitates acquisitions and recapitalizations and allows operators of hospitals to unlock the value of their real estate assets to fund facility improvements, technology upgrades and other investments in operations.