×

Developers seek aid for $42M project at former hospital

Pictured is a rendering of the New York Medical Center that will be taking over the former Lakeshore Hospital building in Irving.

The redevelopment of the former TLC-Lakeshore Medical Center in Irving is expected to cost more than $42 million.

Because of this, the developers are looking for some tax assistance from the county.

On Tuesday, representatives with New York Medical Group appeared at the Chautauqua County Industrial Development Agency to discuss their project.

In April, Main Rd Med Group, LLC purchased the former 173,00-square-foot hospital which is on about 33 acres of land for a little more than $2 million. It is leasing the property to New York Medical Center.

The project calls for the redevelopment and adaptive reuse into healthcare services space, including behavior health and addiction recovery services. There are also plans for additional medical offices, commercial retail space and potentially an emergency room.

New York Medical Center Chief Executive Officer Raymond Manning discusses the $42.2 million redevelopment of the former TLC-Lakeshore Medical Center to members of the Chautauqua County Industrial Development Agency. P-J photo by Gregory Bacon

According to county IDA representative Kristine Morabito, the entire project cost is $42,199,744.

The developers are requesting real property tax, recording tax, and sales tax abatements. Morabito said town of Hanover officials have gone on record supporting the tax assistance.

New York Medical Center Chief Executive Officer Raymond Manning said they want to have up to 180 beds for behavioral health and substance use disorder treatment.

Manning noted in the Silver Creek area it’s about a 45-minute drive to Jamestown and a 45-minute drive to Buffalo, the nearest treatment centers. “Obviously there’s a huge need in the northern part of the county,” he said.

Some of the services New York Medical Center plans to offer include:

– Detoxification and residential treatment;

– In-patient behavior health services for both children and adults;

– Outpatient programs and aftercare services;

– Evidenced-based therapies;

– Holistic therapies, including mindfulness and art;

– Electroconvulsive procedure therapy, which is used to help with severe depression.

Manning said they’re looking at two phases for the entire redevelopment.

Phase I will focus on the inpatient areas. For the first floor there will be units for 40 adults, 40 for geriatric patients, and 30 adolescent psych units.

For the second floor there will be up to a 20-bed pediatric psych unit, and 20-bed women

and child substance use disorder residential treatment unit with five medically

supervised withdrawal beds.

Phase II of the project will be renovation of outpatient spaces, including the old emergency room space, the old laboratory space, and the old radiology space.

Morabito noted the application submitted to the county IDA is for Phase I only. A future application would be needed for Phase II.

Phase II could include an emergency room, lab work, medical office space and non-medical commercial development, including a credit union in the building.

Combined, Phase I and II would create more than 400 jobs – 120 construction and 300 operational positions.

Manning said the both phases are expected to take three years to complete.

The bulk of the job creation will take place in the first two years.

He said they would like to start construction by January, admitting that that is an aggressive goal, but it’s what they’re working toward.

A letter of support for the tax assistance was received and signed by County Executive PJ Wendel, Chief Medical Officer Dr. Michael Faulk, Director of Mental Health and Social Services Carmelo Hernandez, Deputy Director of the Department of Mental Hygiene Patricia McClennan, Sheriff Jim Quattrone, CHQ Chamber President Daniel Heitzenrater, state Sen. George Borrello, Assemblyman Andrew Molitor, as well as representatives of Seneca Nation of Indians, Erie County Department of Mental Health, Town of Hanover, and Village of Silver Creek.

The county IDA Board of Directors approved a due diligence resolution, which is the first step to providing tax assistance to the project.

A public hearing will be scheduled in the future. Manning said he would like a final vote “as soon as possible.”

Starting at $3.50/week.

Subscribe Today