The Dallas-based REIT in recent weeks has stepped up itsdisposition strategy to dispose of the properties and redirectprofits to hotel holdings, specifically La Quinta Inns. To date,$959 million of assets, mostly health-care holdings, have beensold, with the REIT saying it has incurred $244 million on losses.The loss, says company officials, is such that the ordinary taxableincome will reflect a loss this year - making the REIT eligible tobypass a dividend yet still maintain REIT status.

The Five Point Plan, announced in January, made it clear onlythe minimum required dividend to retain REIT status would bedistributed this year. The minimum dividend calculation isdetermined by 95% of the REIT's ordinary taxable income for thecalendar year.

The REIT plans to make a final determination in December afterthe board of directors wraps up a final analysis. The action willnot affect preferred stock dividends, which is 9% payable on aquarterly basis.