---
kind: "section"
citation: "24 C.F.R. § 242.72"
title: "24"
number: "242.72"
heading: "Leasing of hospital."
url: "https://uscodex.org/cfr/24/242.72"
---

# §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](/cfr/24/242-insured.md) loan is permitted if HUD determines that leasing is necessary to reduce the risk of default by a financially troubled hospital.


## Notes

### Authority

Authority: 12 U.S.C. 1709, 1710, 1715b, 1715n(f), and 1715u; 42 U.S.C. 3535(d).

### Source

Source: 72 FR 67546, Nov. 28, 2007, unless otherwise noted.