{"id":120861,"date":"2026-02-03T02:06:10","date_gmt":"2026-02-03T02:06:10","guid":{"rendered":"https:\/\/www.newsbeep.com\/us-ny\/120861\/"},"modified":"2026-02-03T02:06:10","modified_gmt":"2026-02-03T02:06:10","slug":"rockrose-to-buy-shuttered-brooklyn-hospital-for-100m","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us-ny\/120861\/","title":{"rendered":"Rockrose To Buy Shuttered Brooklyn Hospital For $100M"},"content":{"rendered":"

The site of the former Long Island College Hospital<\/a> is being sold to a new developer after a previous attempt to redevelop the Brooklyn property collapsed.\u00a0<\/p>\n

\"Placeholder\"\/<\/p>\n

\n The NYU facility at the Cobble Hill site that Rockrose closed on after an initial deal between owner Long Island College Hospital and Fortress fell apart.\n <\/p>\n

Rockrose<\/a> is under contract to purchase the full-block Cobble Hill site, which spans 363 Hicks St., 365 Hicks St., 97 Amity St. and 340 Henry St., for $100M, according to a letter from the New York State Attorney General’s Office approving the deal.<\/p>\n

The State University of New York agreed to sell LICH, which\u00a0opened in 1858<\/a> as a hospital and medical school,\u00a0to a trust beneficially owned by Rockrose co-founder and CEO Henry Elghanayan and his wife, Nancy, according to the filing from the AG, which was first reported by PincusCo<\/a>.\u00a0<\/p>\n

Rockrose President Justin Elghanayan declined to comment. There is no indication in the filing of plans for the site.<\/p>\n

SUNY had agreed to sell the property to Fortis Property Group in 2014 for $240M after shuttering the hospital, which had been in dire financial straits for years, The Real Deal previously reported<\/a>.<\/p>\n

Despite\u00a0public opposition<\/a> to the\u00a0plan to close the hospital in\u00a02013 and redevelop it, SUNY struck the deal on the condition that Fortis include a medical facility in its development, which a New York University affiliate would build.<\/p>\n

Fortis\u00a0planned to build a billion-dollar complex dubbed River Park, featuring six\u00a0high-rise apartment buildings and eight townhouses.\u00a0<\/p>\n

But while NYU opened a 165K SF ambulatory care center in 2023<\/a>, Fortis never proceeded with River Park. SUNY terminated the deal in 2023 and sued Fortis, claiming that the Louis and Joel Kestenbaum-run firm hadn\u2019t\u00a0made its third and final\u00a0payment for the site.\u00a0<\/p>\n

Brooklyn-based Fortis has already had to let go of two other pieces of the River Park project<\/a>, selling them to its lender,\u00a0Madison Realty Capital<\/a>, in October 2022 to prevent a UCC foreclosure that\u00a0MRC\u00a0had\u00a0filed\u00a0for<\/a>\u00a0a month earlier. Rockrose bought those sites<\/a>\u00a0from MRC\u00a0in 2024 for\u00a0$65M.<\/p>\n

In addition to SUNY’s suit against Fortis over the stalled sale, a Fortis affiliate\u00a0filed a lawsuit last year against\u00a0SUNY’s LICH holding company over its attempts to sell one of the\u00a0hospital buildings.<\/p>\n

Fortis\u00a0claimed SUNY had engaged Newmark in 2024 to broker a sale of LICH, but the brokerage allegedly kept\u00a0Fortis\u00a0\u201cin the dark\u201d about the sale rather than including it in the list of prospective buyers \u2014 despite a 2020 zoning amendment that gave Fortis the\u00a0\u201crights to determine whether and how that property may be developed.\u201d<\/p>\n

Neither lawsuit is expected to get in the way of the sale to Rockrose, according to the filing from Assistant Attorney General\u00a0Michele Abeles. Abeles didn’t identify the broker who arranged the deal but did note a broker fee of $759K.<\/p>\n

Fortis and Newmark\u00a0didn’t immediately respond to requests for comment.<\/p>\n

After closing costs, SUNY will receive nearly $98M from the deal \u2014 less than half what Fortis agreed to pay.\u00a0It plans to\u00a0place roughly $88M into a segregated fund to support SUNY Downstate healthcare facilities, including the University Hospital at Downstate in Prospect Lefferts Gardens, according to the AG filing.<\/p>\n","protected":false},"excerpt":{"rendered":"The site of the former Long Island College Hospital is being sold to a new developer after a…\n","protected":false},"author":2,"featured_media":120862,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[36],"tags":[98,100,99,9838,53006,53005,14436,9,24,63,22460,53007,53004],"class_list":["post-120861","post","type-post","status-publish","format-standard","has-post-thumbnail","category-brooklyn","tag-brooklyn","tag-brooklyn-headlines","tag-brooklyn-news","tag-fortress-investment-group","tag-henry-elghanayan","tag-justin-elghanayan","tag-madison-realty-capital","tag-new-york","tag-new-york-city","tag-nyc","tag-nyu","tag-rockrose","tag-rockrose-development"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts\/120861","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/comments?post=120861"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts\/120861\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/media\/120862"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/media?parent=120861"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/categories?post=120861"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/tags?post=120861"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}