The property is located at 10300 NE Hancock St. Medical Properties Trust says it will renovate the building for use as a long-term acute care hospital. The property will subsequently be operated by Vibra Healthcare LLC under a 15-year lease that is cross-defaulted with the company's other leases and loans to Vibra.
The renovated facility is expected to be up and running by June 2007. Upon completion of the renovation and commencement of the lease, Vibra will represent approximately 35% of MPT's assets and 35% of its annualized pro forma revenue.
MPT is in the business of acquiring net-leased healthcare facilities. The NW Hancock property is its first in the Northwest. Vibra, headquartered in Mechanicsburg, PA, specializes in operating long-term acute care hospitals. It was founded in 2004. The company's website says it employs 2,500 and has annual revenue of $175 million.
MPT has made three investments in the past four weeks totaling $108 million. An MPT executive could not be reached Tuesday morning to provide additional detail on the Portland transaction.
Earlier this month, it acquired a general acute care hospital located in California at a cost of $20 million and entered into a 15-year operating lease with the existing operator. In July, it made two mortgage loans totaling $65 million, each secured by a general acute care hospital located in California. The loans require the payment of interest only during their 15-year terms with principal due in full at maturity.
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