Council OKs next phase of hospital assessment

Governing body
sticking with NYC
firm to proceed with
marketing strategy

By jeanette M. ENg
Staff Writer

Governing body
sticking with NYC
firm to proceed with
marketing strategy
By jeanette M. ENg
Staff Writer

The Marlboro Township Council has taken the next step in its plan to pursue the purchase of the Marlboro State Psychiatric Hospital property from the state and to control the redevelopment of the parcel.

Council members approved a resolution authorizing the township to enter into a second professional services contract with North American Realty Advisory Services, New York City. The action came at the council’s Jan. 23 meeting.

The contract, not to exceed $20,000, with an additional $2,000 for any out-of-pocket expenses, is the second in a multi-phase endeavor by the New York City firm to put the hospital property back to productive use, attract new investment, enhance the tax base, preserve open space and minimize the impact on the township’s quality of life, according to the firm’s proposal for the job.

The 411-acre tract of land on Route 520 near Conover Road formerly housed the state psychiatric hospital. State officials closed the hospital in 1998 after 60 years of operation.

Since that time, Marlboro officials have pursued a plan to purchase the property from the state with the goal of controlling future development on the tract. The township remains in negotiations with the Treasury Department.

A redevelopment plan approved by the council for the site calls for a mix of commercial-corporate, limited residential and municipal uses. At present, the hospital property is zoned for residential development on 10-acre lots.

The services of a private company became of interest when views and conditions began changing from the original redevelopment plan, Councilman Barry D. Denkensohn said in November.

"Now we are considering a market analysis from a private company in order to make sure that the redevelopment plan is appropriate," he said at the time.

At that Nov. 25 meeting, the council hired North American Realty Advisory Services to serve as consultants for this purpose. The contract was for $25,000.

The contract was for the completion of Phase I with regard to area development, changes necessary in the redevelopment plan, market research, planning, construction economics, financial analysis, governmental and community relations, marketing and standards for evaluating redeveloper project solicitations, as well as a plan of action. A formal report and presentation of findings was to be made to the council in January.

That final Phase I report was presented to the council in closed session on Jan. 23. Senior Vice President David J. Daddario and two other representatives of the firm presented council members with the results of their research and proposals for the next phase.

The representatives presented board members with a review of the council’s redevelopment plan, results of the firm’s preliminary market research and recommended modifications to the plan that they said would facilitate redevelopment and help the township achieve its objectives, according to Councilman Paul Kovalski Jr.

According to Kovalski, the information presented at the closed session was not set in stone, but more of a general idea of the various directions that could be taken with regard to the hospital property.

Kovalski said that at the recommendation of the council’s attorney the governing body listened to the Phase I report from Daddario and his associates in private, rather than public, session because part of the presentation centered on land acquisition. Discussion of land acquisition is one item governing bodies may discuss in private, or closed, session.

The representatives also presented recommendations for how to proceed from this point forward, according to a written proposal prepared by Daddario and obtained by the News Transcript. According to the proposal from Daddario, the next phase of the firm’s plan would include a Smart Growth Strategy to help articulate this "once-in-a-lifetime" opportunity in the best interest of the community.

They presented their proposal of "packaging and presenting the opportunity" in a nine-step plan. They proposed using their in-house staff, a combination of real estate professionals, market research, planning, construction, economics, etc., to bring an entrepreneurial perspective to this project, according to the proposal.

The council subsequently voted unanimously to approve the resolution to enter into a contract with the firm for the next phase, "Packaging the Opportunity."

"I’m very confident in their services," council President Ellen Karcher said. "I feel the vision they have and implemented in their other sites is what we really desire."

Work has already begun on the next step and, according to the firm’s estimate, can be completed in three to six weeks.