Hospital Landlord MPT Challenges Tenant’s Bankruptcy Funding

One of the nation’s largest hospital landlords, Medical Properties Trust Inc. and its affiliates, are challenging a court-approved bankruptcy funding plan for tenant Prospect Medical Holdings Inc.

MPT filed an appeal of a court order that approved the Chapter 11 financing, entered into about two weeks ago, according to a court document dated Tuesday. The document didn’t disclose the grounds for the appeal.

Hospital-chain Prospect Medical had reached a deal to get up to $100 million super-priority financing from JMB Capital Partners to fund the bankruptcy case. The Jan. 14 court order gave Prospect immediate access to $29 million of ...