Secure Income REIT sells eight hospitals for £347m

United Kingdom–based Secure Income REIT has disposed of eight of its 19 hospitals for £347 million ($433 million), representing 31 percent of hospitals let to Ramsay Health Care by the company.

The buyer was Medical Properties Trust, a United States specialist healthcare REIT, with approximately $7.8 billion in capital.

The sold hospital assets include Ashtead, Berkshire Independent, Euxton Hall, Mount Stuart, North Downs, Renacres, Rowley and Winfield. According to the firm, unconditional contracts for the sale of the eight subsidiary companies that hold the properties have been exchanged, with completion scheduled for Aug. 16.

Upon completion of the sale, the REIT’s net debt will be reduced by approximately £316 million ($394 million) and it will increase uncommitted cash by more than £170 million ($212 million) to an excess of £200 million ($250 million) on a pro-forma basis. It will also increase the weighted average unexpired lease term of the group