Marlboro closer to goal
of buying hospital land
Twp. allowed time
to explore feasibility
of purchasing site
MMarlboro municipal officials are expressing optimism that the township may own the title to the former Marlboro Psychiatric Hospital property, Route 520, by the end of the year.
Last week, representatives of the Statehouse Commission in Trenton notified township officials that the state-owned property will be removed from public sale in order to allow Marlboro 120 days to conduct a feasibility study for purchasing the property.
According to Joseph Orlando, township business administrator, the State-house Commission approved a memorandum of understanding between Marlboro officials and representatives of the commission on Thursday, clearing the way for a comprehensive study to determine the viability of acquiring the 411-acre site and potential uses for the property.
"The memorandum of understanding has been approved, but it hasn’t been signed as of yet by all the parties," Orlando said. "We expect it will be signed within a couple of weeks."
Under the terms of the memorandum, Marlboro has offered to purchase the former state hospital property for $15 million, Orlando said.
"Everyone looks at this as a positive development," Orlando said. "We’re optimistic we can get the studies completed in 120 days and finalize a sale if it’s in the best interest of Marlboro."
Mayor Matthew Scannapieco commented on the latest news regarding the township’s efforts to acquire the property.
"I’m very pleased with the approval of the memorandum of understanding, which now allows us to go ahead with the feasibility study for purchasing the property," he said. "This shouldn’t be construed as a definite purchase, but we’re hopeful, contingent upon the results of the feasibility study."
Marlboro hospital was closed in 1998 after 67 years of operation as a state-licensed psychiatric treatment and residential facility. Following the hospital’s closing, state officials said the property, which is believed to be worth an estimated $26 million under current market conditions, should be sold.
In February 1999, Marlboro officials held a public information forum to gauge public interest for acquiring the property and to solicit ideas for its future use and development. The consensus of public opinion held that Marlboro should acquire the property and retain part of it for open space planning while possibly developing a portion of it for commercial ratable purposes, Orlando said.
At that meeting, Anthony Mazzella, director of leases and negotiations for the state Department of the Treasury, said the property would be best suited for future development of mixed uses, which could include a certain set-aside for open space planning, senior housing, educational facilities, corporate offices and recreational uses such as a golf course.
In September 1999, the township offered the state $15 million to purchase the property, Orlando said. Following that offer, the Township Council approved a contract with Maser Consul-ting, Matawan, for $55,000 for engineering studies to be completed on the site, in anticipation of acquiring the property and determining what uses would be supported on the site.
Municipal officials have said they do not want to see any portion of the property developed for residential use and that the majority of the property should be retained in its present state for open space planning.
"I’m very excited about this latest development," said council Vice President Barry Denkensohn. "It’s been a long process and a long road to travel, but now we’re getting closer to purchasing the property."
Commenting further on the events leading up to the approval of the memorandum of understanding, Denkensohn said, "It’s been a frustrating process that began when I was first elected to council. We were led to believe it could take a year, and now it’s been more than two years, but we’re hopeful for a positive outcome."
According to Denkensohn, the governing body would like to see the township acquire the property to preserve open space and attract a commercial ratable for tax advantages.
"The council is agreed there should be no housing built on the site," he said.
Orlando said the acquisition of the hospital property should not result in a tax increase for residents since the potential for selling and leasing portions of the property should offset any increase in municipal taxes that could otherwise result from payments on the $15 million purchase.
Local environmentalists have lobbied state and municipal officials to retain the greatest portion of the property for open space planning in order to protect the adjacent headwaters of the Swimming River Reservoir, a local drinking water source, from contamination that could result from development on the property.
State officials said environmental studies will be conducted on the property prior to any sale taking place.

