Medical Properties Inc. Reports 2nd-Quarter Loss

Medical Properties Inc., an ailing real estate investment trust in Encino, reported a $729,000 loss for the second quarter.

The loss in the quarter that ended June 30 compared with a year-earlier profit of $396,000. Medical Properties’ revenue plunged to a mere $182,000 from $1.33 million.

The trust is no longer receiving any rental income from its hospital and adjacent medical office building in La Mirada. The properties’ tenant, Nu-Med Inc., itself a struggling hospital operator, has stopped making the lease payments and has temporarily closed the La Mirada hospital.

Medical Properties is seeking shareholder approval for the trust to accept a $4.4-million note from Nu-Med in exchange for terminating the leases. The trust also is trying to sell the La Mirada properties.

For the first six months of this year, Medical Properties lost $1.67 million, compared with an $824,000 profit a year earlier, and its revenue dropped to $190,000 from $2.66 million.