The Real Deal New York

Queens’ Parkway Hospital hits the market

107,000 sf property could go for mid-$20M
By Rich Bockmann | March 17, 2015 04:45PM

A Queens hospital that has sat empty for years as creditors wrestled for control with one another in court is once again up for sale, and sources familiar with the property estimate it could fetch in the mid-$20 million range.

Parkway Hospital in Forest Hills, which developer Ilio Mavlyanov’s Jasper Venture Group acquired when it purchased the property’s distressed note in 2012, is on the market as a residential conversion on a 1.3-acre site at 70-35 113th Street in Central Queens.

“Current ownership did an excellent job of readying the building for its next chapter, ably navigating foreclosure proceedings to bring it to market,” said Avison Young broker Jon Epstein, who is marketing the property. “As a result of the property’s location within a desirable residential neighborhood, this building is a prime candidate for conversion to luxury residential, and we expect strong demand from investors.”

Epstein said there was no official asking price, but brokers familiar with the area said it could fetch somewhere between $20 million and $30 million.

Epstien is marketing the property with fellow Avison brokers Vincent Carrega, Neil Helman, Charles Kingsley and Jason Meister.

The 107,000 square-foot building operated as a hospital for more than 40 years before shuttering its doors in 2008 as the state looked to stanch the blood loss from financially struggling health care facilities, such as the former Mary Immaculate Hospital in nearby Jamaica, which the Chetrit Group is planning to convert to residential.

Japser acquired the property when it purchased an $8 million distressed note from another entity owned by Mavlyanov. The developer had previously been mulling doing a condo conversion himself before deciding to list the property.