Medical Properties' Loss Widens in First Quarter

Medical Properties Inc., an Encino-based real estate investment trust, reported that its first-quarter loss widened to $684,000 from $598,000 a year earlier.

Revenue in the three months ended March 31 was $274,000, down 4% from $284,000 in revenue in the first quarter of 1993.

Medical Properties is in default on about $13 million in debt that was due on Dec. 31. That amount was reduced from $14.4 million because it sold a medical facility in Oregon, but the company said it has not been able to sell any of its remaining properties and has no other resources to pay the debt. It also said its remaining properties are estimated to be worth substantially less than the unpaid debt.

Medical Properties said it is trying to restructure and obtain new capital for property investments. But foreclosing on its existing properties remains a possibility, it said.

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