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Steward landlords turn over properties to their lender, advancing sales talks – The Boston Globe

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Steward landlords turn over properties to their lender, advancing sales talks – The Boston Globe


Two landowners that have been seen as roadblocks in long-stalled talks to sell six Steward Health Care hospitals in Massachusetts appear to be walking away from their properties, boosting the chances that hospital sales can be completed by the end of the week.

After multi-party negotiations dragged on through last weekend, attorneys said during a US Bankruptcy Court hearing Tuesday that real estate firm Medical Properties Trust and its partner Macquarie Infrastructure Partners, which jointly owned a long-term lease on the hospital properties, agreed to turn it over to their mortgage lender.

That surprise agreement would effectively remove MPT and Macquarie from the hospital sales talks, leaving lease negotiations with prospective buyers in the hands of New York-based Apollo Global Management, a Wall Street giant that manages assets of nearly $700 billion but is largely invisible to the public in Massachusetts.

With a single negotiator, and all parties motivated to wrap up sales deals by Friday, “significant progress has been made,” Steward’s lawyer, David Cohen, told Houston bankruptcy Judge Christopher Lopez.

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Steward said it has qualified bids from prospective buyers of St. Elizabeth’s Medical Center in Brighton, Holy Family Hospital in Methuen and Haverhill, Good Samaritan Medical Center in Brockton, Morton Hospital in Taunton, and St. Anne’s Hospital in Fall River.

The bankrupt company said it drew no qualified bids for two other hospitals, Carney Hospital in Dorchester and Nashoba Valley Medical Center in Ayer. The judge last week approved a Steward plan to close both of those acute care hospitals by the end of August.

Hugh McDonald, a lawyer for the Massachusetts Department of Health and Human Services and the state Attorney General’s office agreed “we made a lot progress” over the past week and said state officials expect the sales deals to be wrapped up this week.

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The progress was enough for Governor Maura Healey’s administration to modify a plan to offer about $30 million in bridge funding for the Steward hospitals on the condition that purchase agreements were finalized by Tuesday. Even with the deals unfinished, the administration will advance a first tranche of the funding, $11.3 million, this week.

A second tranche of $18.6 million will be paid on Aug. 16 only if the deals are completed by Friday, according to the modified funding deal. Judge Lopez, who must sign off on any money flowing to Steward during the bankruptcy proceedings, approved the bridge funding Tuesday.

“This payment agreement represents the Commonwealth’s continued commitment to achieving the transition of the six remaining facilities to new operators,” McDonald told the bankruptcy judge.

The new dynamics of the negotiations cast a spotlight on Apollo, a secretive firm that thus far hasn’t commented on its involvement in the Steward bankruptcy case. Other parties say Apollo has taken a leading role for weeks in the talks about lease terms with prospective hospital buyers while also bickering with the landlords, a dynamic described by a Steward attorney last week as an “intra-stakeholder dispute.”

Judge Lopez last week nullified a lease Steward negotiated with the landlords in 2016 requiring the hospitals to pay more than $100 million in annual rents. Even before it filed for bankruptcy on May 6, the cash-strapped hospital systems had stopped paying the rents, curbing the cash flow of the landowners who owed mortgage payments to Apollo.

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The parties didn’t disclose financial terms of the agreement in principal transferring the hospital properties from the landlords to Apollo or whether Apollo planned to retain the properties and collect rents on them or sell the land and buildings to new hospital operators.

Steward, which is selling its hospitals and its doctors group to pay off its scores of creditors, is expected to run out of money from its bankruptcy loans within weeks. The bridge funding can be used only for the hospitals’ operating expenses until they can be sold, not for executive compensation or rental payments, according to the funding terms.

The money is an advance from MassHealth, the state Medicaid program, based on the hospitals’ participation in several quality and equity incentive programs the state sponsors for low-income patients.


Robert Weisman can be reached at robert.weisman@globe.com.

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Massachusetts

Massachusetts man awaits word from family in Iran after attacks

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Massachusetts man awaits word from family in Iran after attacks




Massachusetts man awaits word from family in Iran after attacks – CBS Boston

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Poya Sohrabi hasn’t heard from his family since they took shelter from attacks in Tehran. WBZ-TV’s Mike Sullivan reports.

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How will the Iran war impact gas prices in Massachusetts?

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How will the Iran war impact gas prices in Massachusetts?


With a widening conflict in the Middle East after the American and Israeli attack on Iran Saturday, global markets are bracing for a shakeup in the energy supply chain.

So, here at home, what can consumers expect at the gas pump?

An increase in oil prices is almost always followed by an increase in gas prices. And the oil market has already reacted to the war. NBC News reported on Sunday that U.S. crude oil initially spiked more than 10%, while Brent, the international oil benchmark, rose as much as 13%.

Early Monday morning, reports were coming in of black smoke rising from the U.S. embassy in Kuwait City.

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While Iran’s oil reserves supply less than an estimated 5% of global production, the main concern is the Strait of Hormuz. This maritime passageway borders Iran at the bottleneck of the Persian Gulf, and more than 20% of the world’s oil passes through. If Iran closes or restricts Hormuz, the oil market could face severe disruptions.

Gas prices rise about 2.5 cents for every dollar increase in crude oil prices. As of Sunday, U.S. crude oil prices had already increased by nearly $5 a barrel.

“I fully expect that by Monday night, you could credibly say that gas prices are being impacted by oil prices having gone up,” GasBuddy analyst Patrick De Haan told NBC News.

GasBuddy characterizes their expectations for price increases as “incremental” rather than “explosive”. The group said to anticipate a potential 10-15 cent increase over the next couple of weeks.

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Body camera video shows Massachusetts police officer save 78-year-old man from burning truck – East Idaho News

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Body camera video shows Massachusetts police officer save 78-year-old man from burning truck – East Idaho News


EASTON, Mass. (WBZ) — Police body camera video shows an Easton, Massachusetts, officer rescuing a 78-year-old Raynham man from a burning car on Friday morning.

A Mack dump truck was experiencing problems on the side of Turnpike Street just after 2 a.m. when a Ford pickup truck struck the back of it, according to police.

The pickup truck then became stuck under the dump truck, trapping the driver, Francis Leverone, inside. A Toyota Camry then hit the back of the pickup truck and caught fire, police said.

Easton police officer Dean Soucie arrived at the crash and saw that the two vehicles were on fire. Video shows Soucie rushing over before breaking the driver’s side window and then, with the help of the two witnesses, freeing Leverone from the pickup truck. Soucie said he was confused but conscious.

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“As I reached inside the vehicle, one of the passersby — he actually jumped into the cab of the truck, and he helped me free the individual,” Soucie said.

They then carried the driver to safety.

Leverone was taken to a nearby hospital before being transferred to a Boston hospital. He received serious but non-life-threatening injuries.

No one else was injured in the crash.

Dee Leverone told WBZ her husband is doing OK. “I’m just thankful for the people that got him out,” she said. “Very thankful.”

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After watching the police body-cam video on the news she said, “I was shocked, I was like ‘Oh my God!’ I just couldn’t believe it. His truck is like melted.”

She says she realized that something was wrong last night when her husband never made it home from work.

“I kept trying to call him and call him, and I finally got a hold of him at like 4:30 a.m., and he was at (Good Samaritan Hospital) and he told me he’s gotten in an accident,” Dee said.

She says he’s recovering at the Boston Medical Center and being treated for a dislocated hip.

“He’s a trooper,” Dee said. “He’s a strong man — and you know he’s 78, but you know he’s a toughie. He definitely is a toughie.”

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Soucie commended the help of the two witnesses and said that before he arrived at the crash, they had attempted to put out the flames with a fire extinguisher and removed a gasoline tank from the pickup truck before it could ignite.

“They jumped into action like it was nothing,” Soucie said. “Those two individuals were absolutely awesome.”

Easton Police Chief Keith Boone said that he is “extremely proud” of Soucie and the witnesses.

“He saved a life last night,” Chief Boone said. “He is an exemplary police officer and this is just one example. I think he’s a hero.”

Turnpike Street was closed for several hours following the crash. Easton Police are investigating.

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