A Capital Idea To Make Your Hospital Even Healthier

We know your battles and frustrations. Budgets. FTEs. Recruiting nurses. Keeping beds full and bedpans empty. Not to mention trying to devise a way to reach your dreams of better facilities, newer technology, and the right staff — sooner rather than later. So, how do you give your hospital the financial shot in the arm it could use to finance growth without losing control of it? You've got to think differently. Creatively. Maybe even outside your traditional comfort zone.

 

MPT Can Provide Up To 100% Financing For:

  • Acquisitions — from $10 Million to $1 Billion;

  • Sale-Leasebacks — of existing facilities (off-balance sheet financing), to reduce debt, increase cash reserves, realize equity in the form of cash, or redeploy capital to improve profitability;

  • New Developments — 100% financing for construction of new and/or replacement facilities to successful, well-established operators;

  • Expansions — 100% financing for expansion of existing facilities or new acquisitions, to help operators take advantage of market opportunities and grow their business.

We Fund Facilities Where Physicians Admit Patients:

  • Acute Care Hospitals
  • Long Term Acute Care Hospitals
  • Inpatient Rehabilitation Hospitals
  • Cancer Centers
  • Cardiovascular Specialty Hospitals
  • Streamlined Replacement Acute Care Hospitals
  • Outpatient Surgery Centers
  • 24-Hour Emergency Centers
  • Other Specialty Hospitals Across the U.S.

Here's What We Can Do For You:

  • Lend You More — up to 100% financing versus only 60 to 70% from most conventional lenders;

  • Help Put Your Assets To Best Use — by redeploying equity to operations with higher returns;

  • Improve Your Financial Position — through an off-balance sheet lease, to reduce liabilities, improve your debt-to-equity ratio, and increase both return-on-assets (ROA) and return-on-equity (ROE);

  • Free Up Cash — by turning non-liquid real estate assets into cash;

  • Reduce Your Monthly Payments — compared to the combined cost of capital under a traditional debt/equity structure, including principal amortization;

  • Reduce Taxes — because the entire lease payment is deductible;

  • Increase Operating Flexibility — allowing utilization of property for a defined period with the ability to extend.


Here's The Best Part:

You Keep Operational Control
throughout the original lease term and any renewal periods under the triple-net lease structure;

You Keep Property Control because MPT offers a buy back provision to all of its tenants;

You Gain a Funding Partner with ready access to capital for pursuing growth opportunities;

You Lower Your Exposure to rising interest rates and swings in real estate values;

You Avoid the Hassle of raising capital in the debt or equity market because we streamline the funding process, routinely closing more quickly and easily than most lenders.

A Five-Step Funding Process

1. Preliminary Due Diligence - MPT evaluates the operating history and physical specifications of the property;

2. Letter of Intent - The operating company and MPT execute a letter of intent outlining the primary terms of the sale or development transaction and the lease agreement;

3. Detailed Due Diligence - MPT meets with management, inspects the facility, gathers copies of relevant documents and arranges for third party reports;

4. Contract Signing and Funding - The operating company and MPT agree to final terms of the transaction and lease agreement and MPT funds the transaction;

5. Rent Payment and Monitoring - The operating company makes monthly rent payments and provides operating and facility based information to MPT.