HealthCo Healthcare and Wellness REIT (ASX:HCW) and the Unlisted Healthcare Fund issued breach notices to tenant Healthscope for failing to pay all rent due for March, according to a Tuesday filing with the Australian bourse.
Partial payment of the rent was received, the filing said.
The REIT and the fund plan to replace Healthscope's tenancies with other hospital operators if the breaches are not remedied. They are in active talks with alternative operators.
HealthCo Healthcare withdrew its funds from operations per unit and distribution per unit guidance of AU$0.084, pending resolution of the matter.
It added that it has cash and undrawn debt facilities of around AU$100 million and will receive additional support from HMC Capital as required.
The firm's shares fell over 4% in early trading on Tuesday.
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