Cleveland Clinic’s sale of 24 properties will bring tax revenue to local communities

CLEVELAND, Ohio — The Cleveland Clinic has sold 24 properties in Ohio and Florida to a for-profit company in an arrangement that will generate cash for the health system and new property taxes for cities, while allowing it to stay in those buildings.

The move, called a sale-leaseback agreement, will reduce maintenance costs and result in funds that can be used to update medical facilities and improve patient care, the Clinic said in a statement.

All properties were sold to the Minneapolis healthcare real estate firm MedCraft , the Clinic said, but it declined to disclose the sale price or details of the purchase agreement, including which properties were included. Patient care continues at each site.

Typically, sale-leaseback agreements require that tenants pay the taxes, insurance an