Thank you for sharing!

Your article was successfully shared with the contacts you provided.

WESTWOOD, NJ-Pascack Valley Hospital, an acute care facility consisting of multiple buildings on a 20-acre site just 11 miles northwest of the George Washington Bridge, is on the auction block. The institution had filed for Chapter 11 protection in September, but effectively shut down its operations in late November, remaining open through December only to allow people to pick up their medical records.

“The decision to file for Chapter 11 protection was made as the result of several years of significant operating losses and a non-reversible liquidity crisis,” says a hospital spokesman, in a prepared statement. “As the hospital was unsuccessful in finding a strategic partner, it [became] necessary to close the institution’s entire operation.”

The auction process is being conducted for the ownership, which bears the name Pascack Valley Hospital, by Cushman & Wakefield of NJ, East Rutherford, with the latter firm’s Jose Cruz, executive managing director of the its capital markets group, listed in offering materials as the contact. A deadline of noon on Jan. 28 has been set for bids on the property.

“Interest has been high for both medical and non-medical use,” Cruz tells GlobeSt.com. “We’ve done a lot of tours. We’ll know a lot more within a week. It’s going to be quick.”

That’s because the auction process for the politically-charged property is on a tight timeframe. After that Jan. 28 deadline, court will be in session on Feb. 4 and a deal is expected to come on Feb. 6, according to the time frame that’s been laid out by the bankruptcy court.

The property consists of the 280-bed main hospital building at 250 Old Hook Rd. The facility had undergone a major expansion as recently as 2005, a project that added approximately 130,000 sf to the main building and 5,000 sf to the emergency department and cost more than $50 million.

Also part of the offering is a trio of medical office buildings located at 270, 363 and 400 Old Hook Rd., totaling more than 54,000 sf. The three buildings, consisting of linked brick facades and a full-height atrium core, are currently 86% leased to 13 tenants, according to information provided by Cushman & Wakefield. The MOB portfolio is actually owned by two separate, unidentified entities, and may be purchased separately from the hospital, according to C&W.

“We’re going to get bids for the combined property, and for the MOB separately,” Cruz says. The property may have seen the last of its days as a medical facility. C&W has advertised that the site “can be considered for alternative uses, in whole or in part.” The facility’s equipment is also available, according to the offering.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 3 free articles* across the ALM subscription network every 30 days
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?


Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2020 ALM Media Properties, LLC. All Rights Reserved.