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Electronic Code of Federal Regulations

e-CFR Data is current as of July 24, 2014

Title 24: Housing and Urban Development
PART 242—MORTGAGE INSURANCE FOR HOSPITALS
Subpart H—Miscellaneous Requirements


§242.72   Leasing of hospital.

Leasing of a hospital in its entirety is prohibited. Notwithstanding this prohibition, any proposal in which leasing of the entire facility is a factor due to state law prohibitions against the mortgaging of health care facilities by state entities shall be considered on a case-by-case basis. Also, leasing of a hospital that has an existing Section 242-insured loan is permitted if HUD determines that leasing is necessary to reduce the risk of default by a financially troubled hospital.



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