SUNY Nears Deal to Sell LICH to Fortis-NYU Langone Medical Center
Fortis Property Group, which partnered with NYU Langone Medical Center and Lutheran Health Care, is proposing to purchase LICH for $240 million. It would provide a freestanding emergency room, observation beds, urgent, primary and preventative care, a cancer center and HIV clinic as well as luxury condominiums and affordable housing.
However, the proposal does not include any long-term inpatient beds, concerning community groups that pushed for a full-service hospital.
The tentative agreement, which state officials announced Sunday night, hinges on the final contract between the two parties and approval from SUNY’s board of trustees.
Most of the hospital shuttered last month and only the emergency department currently remains open for walk-in patients.
The sale price will cover SUNY’s operating costs for running the emergency department while contract negotiations continue and $5 million for a community foundation to address the healthcare needs of the area, according to a statement.
Fortis and NYU will also establish advisory panels, a community ombudsperson and space to potentially expand healthcare services at the property.
SUNY began negotiating with Fortis last month after nixing deals with Brooklyn Health Partners and the Peebles Corporation.
“The deal begins the process of easing the tremendous financial burden being shouldered by students and campuses across the state,” SUNY Communications Director David Doyle said in an email.
“Longstanding litigation and losses at LICH appear to be nearly over, allowing vital public higher education resources to move from the courtroom to the classroom where they belong.”