Summit Healthcare REIT Inc.'s board urged shareholders to reject an unsolicited mini-tender offer to purchase Summit shares by MacKenzie Realty Capital and its affiliates.

MacKenzie is offering to buy up to 330,000 Summit shares for roughly $1.34 apiece, a price which the board believes is lower than the current and potential long-term value of the company's shares.

The company's most recent estimated valuation, as of Dec. 31, 2016, stood at $2.53 per share.

The board also noted in its letter to shareholders that MacKenzie previously made similar mini-tender offers in 2016.