Gov.: Hospital land to be sold this year

Gov.: Hospital land to be sold this year
McGreevey counting on sale to bolster state's revenues
By karl vilacoba
Staff Writer

Sale of the 411-acre Route 520, Marlboro, property that formerly housed the Marlboro State Psychiatric Hos-pital is imminent this year due to New Jersey's budget deficit, Gov. James McGreevey said Monday.

In a conference call held with reporters from the state's weekly newspapers, McGreevey said no specific buyer has been determined. For several years, Marl-boro officials have been involved in negotiations with the state in an effort to buy the property that sits on the north side of Route 520 near Conover Road.

Because of what he estimated as a $6 billion deficit inherited from the Whitman administration, McGreevey said, "The sale of the hospital property will become a necessity" in the coming year. In the state's 2003 fiscal year budget, $22 million in revenue is anticipated from the property's sale.

Although he made no promises about selling the tract to Marl-boro, McGreevey said his administration would work with the community to make sure any sale is consistent with Marlboro's interests.

On the state Department of Treasury Internet Web site, an open invitation to potential buyers lists a telephone number at the Office of Property and Lease Negotiations for further details. In a frequently-asked-questions section, the Treasury Department warns that the sale of the hospital property will not involve a zoning change contingency. According to the Web site, the land is currently zoned agricultural/land conservation district, or in 10-acre lots.

"Prospective buyers are strongly encouraged to contact local officials of Marlboro to discuss issues regarding zoning on this site," the message reads.

The Township Council recently increased the cap for expenditures for Jonathan Williams, an attorney from the firm of DeCotiis, Fitzpatrick, Gluck, Hayden and Cole, of Teaneck, to continue negotiations for the property on behalf of Marlboro. In related news, one of the law firm's managing partners, Michael DeCotiis, was appointed by McGreevey June 4 as the deputy executive director of the Port Authority of New York and New Jersey.

In anticipation of buying the hospital property, the council in March 2001 adopted a redevelopment plan that officials said would guide the future use of the land. The redevelopment plan includes a mix of residential and commercial uses.

State officials closed the hospital in 1998 after six decades of service. They said the hospital was being closed so that patients could be moved to and treated in community settings.

Reportedly, money realized from the sale of the hospital property would be put back into the state's mental health services.

Published reports placed the value of the property, with buildings, at about $26 million.