RICHARDSON, TX-Medical Properties Trust Inc. has acquired three in-patient rehabilitation hospitals in Texas for a total of $74 million. The facilities, which are located in the Houston, Dallas and Austin metropolitan areas, were acquired from Dallas-based America Development & Investments Ltd.
The three properties are operated by and leased to affiliates of Dallas-based Reliant Healthcare Partners, a division of Timber Creek Capital LP, a Dallas-based company that also has interests in America Development & Investments.
Completed in 2008, Reliant Rehabilitation Hospital - North Houston is located in Shenandoah, TX. It offers 50 private rooms with flat-screen televisions, private baths with oversized showers, personal desk and wood floors.
Reliant Rehabilitation Hospital - Central Texas is located in Round Rock, TX, a suburb of Austin Completed in 2008, it offers 75 private rooms including 25 skilled nursing units.
Reliant Rehabilitation Hospital - North Texas is situated on 4.4 acres in Richardson, TX, a suburb of Dallas. The facility offers 50 private rooms containing all required support systems, nurse stations, medication support, administrative support and medical equipment management.
The leases, which have initial terms expiring in 2033, provide for initial cash returns of 9.7% and periodic escalation of up to 1.67% on an annualized basis. Each lease may, subject to conditions, be renewed by the operator for two terms of 10 years each.
“We are already exploring opportunities to finance additional Reliant hospitals, which when considered with other properties in our acquisition pipeline, reaffirm our optimism about strong growth in our property portfolio,” says Edward Aldag Jr., chairman, president and CEO of Medical Properties Trust.
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