Thesis: fraud, analyst: viceroy-research, sector: REIT.
Aggressive healthcare property roll-up caters almost exclusively to distressed tenants. Rent is round-tripped via “fake” purchases of massively inflated assets. The fat lady is singing.
More ... latest change: 2026-02-28
Aggressive healthcare property roll-up caters almost exclusively to distressed tenants. Rent is round-tripped via “fake” purchases of massively inflated assets. The fat lady is singing.
January 26, 2023 – Viceroy Research is short Medical Properties Trust (NASDAQ : MPW), a healthcare property REIT who has engaged in billions of dollars of uncommercial transactions with its tenants and their management teams in order to mask a pervasive revenue round-robin scheme and / or theft.
The value of MPW’s assets, as a result of capitalizing these uncommercial transactions, are massively overstated. MPW employed an aggressive, debt-fuelled roll-up strategy in order to affect these transactions. We believe the true value of MPW’s LTV is ~85%, creating enormous credit risk. We believe MPW will have no choice but to significantly cut dividends.
https://viceroyresearch.org/2023/01/26/medical-properties-distrust/
MPW commit $35 million to complete a $17 million build in McKinney Texas following sale-leaseback transaction with Springstone (49% owned by MPW). Link to Report (https://viceroyresearch.org/2023/02/07/mpw-case-study-springstone-texas/)
In Q2 2022, MPW committed $34.6m in funding for a new facility in McKinney, Texas, which would be leased to Springstone LLC. MPW did not disclose that the site was also purchased from Springstone, who already lease 18 facilities from MPW.
Project details of the Springstone facility were submitted to the Texas Department of Licensing and Regulation, which show estimated project costs to be $17.5m.
MPW will pay over 2x the development cost of a new facility in McKinney.
Investors & creditors should demand an independent investigation into management conduct.
A title search on the McKinney plot shows that MPW purchased the facility from Carrolton Springs, a Springstone subsidiary. It will be leased back to Springstone. This does not appear to have been disclosed.
The cherry on top: MPW owns 49% of Springstone. It appears MPW is round tripping cash even between their own off-balance sheet JVs.
https://viceroyresearch.org/2023/02/01/mpw-case-study-neuropsychiatric-hospitals/
New research: https://viceroyresearch.org/2023/02/15/mpw-case-study-tenet-florida-hospitals/
Update Oct 2023 #
Viceroy Research published an update on Medical Properties Trust (NYSE: MPW — $3.26 billion), a Birmingham-based REIT that owns hospitals typically in long-term sale-leaseback transactions. Viceroy alleged that Infracore, a Medical Properties Trust unconsolidated joint venture, “has round tripped substantially all revenues [for] tenant and related party, Swiss Medical Network.” In essence, Viceroy alleged that the Medical Properties Trust hospital tenant is in distress and can only make rent payments after receiving loans and “cash pooling arrangements” from the Medical Properties Trust joint venture.
New research, April 2024: https://viceroyresearch.org/2024/04/02/mpw-cerberus-letter-to-congress/.
Further research, 15 Oct 2024, https://viceroyresearch.org/2024/10/15/mpw-tacit-admission-of-securities-fraud/.
Last updated: 2026-03-07 by automated standardization process