The facility withdrew its name from consideration after Children's Hospital Oakland said it would not insert breathing and feeding tubes needed to keep 13-year-old Jahi McMath from dying.
Sealey said the family is discussing Jahi's continued care with other nursing homes in Los Angeles and New York, the newspaper said.
Jahi apparently suffered catastrophic complications from a tonsilectomy operation Dec. 9 and was declared brain-dead three days later.
She has been kept breathing by a ventilator machine for two weeks while her family and the hospital have argued in the press and in court.
The family won a court order two weeks ago to block the hospital from turning off the ventilator until an Alameda County Superior Court judge heard from an outside doctor, who agreed last week that the girl was dead.
The family has until 5 p.m. Monday to decide whether it wants to appeal further.
The unnamed nursing home that the family said had agreed to accept the comatose girl backed off after the hospital said it would not help insert the tubes and wanted to speak directly with the home.
The hospital also said the county coroner would have to agree to move a person "who has been declared legally dead," the newspaper said.
"Children's Hospital will of course continue to do everything legally and ethically permissible to support the family of Jahi McMath," the hospital said.
The family's attorney, Christopher Dolan, told the hospital on Friday that he was preparing a federal civil rights lawsuit against the hospital alleging violations of the family's civil and religious rights, the newspaper said.
Jahi's mother, Nailah Winkfield, has refused to permit the hospital to turn off the machine because she thinks God will "spark" the girl's brain back to life, even though the hospital says her condition is irreversible.