MedEquities Realty Trust has pledged up to $11 million for the expansion of Mountain's Edge, a 130-bed acute care hospital in Las Vegas, as part of a new master lease agreement with a subsidiary of Fundamental Healthcare for four facilities sprinkled throughout the country.
Fundamental has operated Mountain's Edge Hospital since its opening in 2015. With continued market growth and the need to accommodate additional surgical demand at the hospital, Fundamental is undertaking the construction and equipping of five new surgical suites.
The $11 million maximum funding commitment from MedEquities, which will result in increases to the facility's rent as advances are made, is expected to be disbursed through the first of quarter 2018 as construction is completed.
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In addition to Mountain's Edge Hospital, the remaining facilities covered by the master lease include the 39-bed Horizon Specialty Hospital of Henderson, a long-term acute care hospital in Las Vegas; the 120-bed Physical Rehabilitation and Wellness Center of Spartanburg, a skilled nursing facility in Spartanburg, South Carolina; and the 142-bed Mira Vista Court, a skilled nursing facility in Fort Worth, Texas.
John McRoberts, CEO and chairman of MedEquities, said in a statement that Las Vegas "is a growing and important market for Fundamental."
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MedEquities Realty Trust is a self-managed and self-administered real estate investment trust with a hand in a mix of healthcare properties and healthcare-related real estate debt investments.
Twitter: @JELagasse