Medical Properties, Nu-Med Reach Accord

Medical Properties Inc., an Encino-based real estate investment trust, said it has entered into a standstill agreement with Nu-Med Inc., an Encino hospital operator that leases Medical Properties’ three medical facilities. According to the agreement, which is subject to the approval of its secured lender, Medical Properties said it won’t declare Nu-Med in default if it fails to pay its rent until March 1.

Nu-Med did not make its quarterly rent payments due on Dec. 31, Medical Properties said. It said it would continue to negotiate possible changes in the lease terms with Nu-Med.

Medical Properties had previously said that Nu-Med’s rent payments were uncertain because of financial problems at one of the hospitals it leases from the REIT, the Medical Center of La Mirada. If no future rent payments are made, Medical Properties warned, it only has enough cash on hand to pay for its interest and operating expenses through May.