SUWANEE, Ga. — Suwanee-based Regional Health Properties (RHE) has completed the sale of three of four skilled nursing properties located in Oklahoma, Alabama and Georgia to affiliates of MED Healthcare Partners. The four-property transaction was previously disclosed by RHP in April.
The three properties were sold for the purchase price of $26.1 million in cash. RHE and MED agreed to extend the closing date on the fourth property located in Oklahoma to Aug. 18.
RHP used the cash proceeds from the sale to pay approximately $1 million in outstanding interest, fees and other costs and to repay $24.7 million in debt, which was secured by the four skilled nursing facilities subject to the purchase and sale agreement.
As a result of such repayment, RHE has paid back all debt owing to Pinecone Realty Partners II and Congressional Bank. For a period of three months following the repayment, Pinecone will continue to hold a right of first refusal to provide first mortgage financing for any acquisition of a healthcare facility by the RHE and an exclusive option to refinance the company’s existing first mortgage loan on the RHE’s Coosa Valley Health Care facility.