SUNY Kills Peebles Deal


Incredibly — or perhaps inevitably, depending on your point of view? — SUNY has killed the judge-approved deal with Peebles and turned to the third bidder, Fortis — the one SUNY wanted to sell Cobble Hill’s Long Island College Hospital to all along. SUNY says Peebles was imposing unacceptable conditions concerning a bond and an environmental review; Peebles says SUNY is acting in bad faith and wouldn’t even meet with them, according to a story in The Brooklyn Eagle and other outlets.

A founder of Fortis and his uncle donated $17,500 to Cuomo’s campaign, according to The Brooklyn Paper. Cuomo controls SUNY.

Fortis would work with NYU Langone Medical Center and Lutheran Health Care to run a freestanding emergency room and ambulatory services — just like the Peebles bid. It would also develop rental apartments, condos and town homes on the property, including 25 percent affordable units. No new zoning is “anticipated,” Fortis said.

It seems to us the second, public RFP process didn’t amount to much. What do you think of this turn of events?

SUNY Ends Talks With Peebles to Buy Long Island College Hospital; Fortis Next Up [Brooklyn Eagle]

29 Comment

  • Working with Langone would be a plus.

  • So this will be a development without a full scale hospital. Without judging whether this is the ideal proposition for this space… Can someone please advise what Deblasio wanted to accomplish with his bankruptcy proceedings and press conferences etc etc?
    Incompetency of epic proportions! HE si looking stupider every day. Where is he?!?!?

  • And in related news, some people with misguided interests in Park Slope continue to oppose the proposed expansion of New York Methodist Hospital. Somehow they think that forcing the Hospital to pay extra legal fees and continuing to delay the development of a state-of-the-art outpatient center is a good tactic to assure that their healthcare needs will be met in the future.

    It’s become painfully obvious that LICH is dead and will never be a full service hospital again. That leaves Brownstone Brooklyn with Brooklyn Hospital Center and New York Methodist Hospital (both members of the New York Presbyterian healthcare system) as their primary hospitals. Lutheran, Maimonides and Interfaith Medical Centers would be the next closest but at that point you’d be stuck in traffic and probably dead.

    As for DeBlasio on this issue, he needed union support to get elected and siding with the unions to try to save LICH was the right political move. But he is also smart enough to know that LICH was unsustainable in the form that it was in. Brooklyn has a surplus of hospital beds and a shortage of outpatient facilities and LICH wasn’t able or willing to make the transition to the type of hospital that Brooklyn needs for the 21st century. If only one hospital could be saved, Interfaith was the better choice for a number of reasons.

  • I for one would like to know exactly what the issues are. Is it taking responsibility for malpractice payments?(in the many millions of dollars?)
    The State is on the hook for some of the environmental issues. I wouldn’t indemnify them for all environmental issues. The law apportions liability if there are issues. The State won’t indemnify for anything so asking for indemnity is wrong. Yes we take the property as is but it is subject to the law that apportions liability. The purchase price will be reduced if any purchaser’s has to take that risk. BTW environmental issues are NOT insurable any more.
    You want bazillion more tourists? Do we need the Olympics? not me.

  • I’m not a great fan of DeBlasio (even less of his marvelous family), but getting the Olympics is a great way to go bankrupt. Ask Greece how it went for them. Even if the feds picked up part of the security costs, what do you think NYC’s share would come to? A couple of billion (or more), perhaps?
    I’m convinced that Bloomie and his stooges, were going after the Olympics because they were both having trouble getting it up and the Olympics would prove their manhood.

  • Has the thought ever occurred to any of you that perhaps keeping hospital here open is not responsible thing to do
    and it would be feelgood measure but fiscally irresponsible? Get out of your parochial insular mindset and out of your little neighborhoods and you’ll see that hospitals are closing in lot of places because of surplus of beds and duplication of services.

  • I’m shocked no one is picking on the governor here, c’mon – “A founder of Fortis and his uncle donated $17,500 to Cuomo’s campaign, according to The Brooklyn Paper. Cuomo controls SUNY.”

    So Cuomo’s admin. is forcing the project to go to the third highest bidder!? People are just OK with this???