Counting Down to the St. Vincent’s Sale
Matt Chaban Dec. 2, 2010, 4 p.m.
What will become of St. Vincent’s boarded-up hospital campus in the West Village? We might find out soon enough, as the non-profit that once ran the hulking complex on Seventh Avenue has asked a bankruptcy judge to allow a sale of the St. Vincent’s campus to proceed. According to The Times, CB Richard Ellis has been tapped to market the property.
The big question is what, if anything, could be done with the property. On the one hand, since this is part of bankruptcy proceedings, St. Vincent’s will likely be compelled to get top dollar for the complex. But because the hospital campus is located in a historic district, getting a new design approved could be difficult, expensive and time-consuming, a task that would drive down the price for most developers.
This makes it easier for the Rudin family to make a bid, because they have plans approved from their previous deal with the hospital. At the same time, Bill Rudin is already prepping to lowball his previous $300 million offer, so the place just might be up for grabs.
Then there is the issue of the disappearing hospital. Including a medical facility in any proposal would only add to the expense of designing and building the project while also reducing space for more profitable ventures, like retail and residential space. At the same time, any proposal that excludes medical facilities would face the wrath of every Villager, not to mention the vast majority of the city’s and state’s elected politicians, so leaving it out seems impossible. Yet if that means a lower bid, won’t the creditors complain?
Who else needs an asprin?