State University of New York broke off talks Monday with Brooklyn Health Partners, the high bidder to buy money-losing Long Island College Hospital.
SUNY Downstate Medical Center has run LICH for the last two years in Brooklyn along with two other hospitals in the borough. Since the winter SUNY has sought buyers for LICH. Bids were given scores based on both the financial offer and what the bidder said it would do with the property. SUNY said it was looking for a bidder who would provide medical services at the site.
"Following good faith negotiations over the last thirty days, the State University of New York is unable to execute a satisfactory contract agreement with Brooklyn Health Partners," SUNY spokesman David Doyle said. "SUNY remains unwavering in its commitment to protecting community health care services and a viable long-term solution for Long Island College Hospital. Therefore, SUNY is moving forward with the second-highest scoring proposal, consistent with the request for proposal and the court-ordered settlement."
The second highest scorer is The Peebles Corp., based in Manhattan. SUNY will negotiate with Peebles for 30 days, Doyle said. If it cannot reach an agreement by then, it will move on to try to negotiate an agreement with the Fortis Property Group.
SUNY rejected Brooklyn Health Partners because it could not give proof that it could secure $600 million in credit and it did not specify who would run the hospital when SUNY left, Doyle said.
LICH has total liabilities of $500 million, Doyle said.
