Medical Properties Trust, Inc. announced the completion of approximately £631 million ($800 million) in new non-recourse, non-amortizing secured financing backed by certain properties in its U.K. portfolio. The lending group comprises a consortium of global institutional, insurance and pension investors led by Song Capital, a European real estate investment firm. The transaction includes 27 of the 36 facilities MPT leases to Circle Health (?Circle?) in the U.K. and is being executed at a conservatively underwritten loan-to-value ratio in the low-40% range ?

implying an approximate 20% increase in value since MPT acquired the majority of the underlying properties approximately four years ago, even during a period of cap rate expansion and rising interest rates. The loan carries a fixed cash pay rate of 6.9% over the 10-year term excluding debt issuance costs. The Company intends to use the proceeds to repay outstanding debt, including the Company?s £105 million secured term loan maturing in December 2024, borrowings under its revolving credit facility, and a portion of its GBP term loan maturing in early 2025, as well as for other general corporate purposes.

Goodwin Procter (UK) LLP acted as legal adviser for MPT. Slaughter and May, CBRE and Rothschild & Co advised Song Capital.