The Albany County authority created to purchase the shuttered College of Saint Rose campus in Albany has been handed a defeat.
The College of Saint Rose shuttered under financial pressure after the spring semester. The 104-year-old private college faced declining enrollment and financial pressures.
The closure of the 48-acre campus prompted the state legislature to create the Pine Hills Land Authority, tasked with working to determine the future of the property.
The Authority's intention to buy the property have so far been thwarted. It had offered what's called a "stalking horse bid," an initial bid on a bankrupt entity's assets put forth by an interested buyer of the insolvent establishment's choosing.
The College nixed the offer. 10th Ward Albany Common Councilor Owusu Anane says a behind the scenes effort is under way to foster the best outcome.
"We are open to all options," Anane said. "This is not the end all be all. I know there are other entities that have also applied, have put in bids. And right now, I believe that the Authority is going to make the best decision, and the stakeholders and the trustees are going to make the best decision for the Pine Hills neighborhood, so I'll continue to be optimistic."
Fellow Democrat John McDonald, the 108th district state Assemblyman, sponsored and supported the legislation to create the Authority.
"And I am hopeful that eventually they will be successful. I think having one owner of a whole campus provides the greatest opportunity for not only the city residents the neighborhoods, but the Capital Region. The stalking horse bid approach is something that is commonly used, but not always successful. And therefore, you know, it was 50-50, whether it was going to work or not," McDonald said.
The Authority met Thursday night in effort to come up with new bid to be submitted by the close of business Friday.
"I think the county executive and the legislature are moving ahead with, I think, a very comprehensive proposal," said McDonald. "And obviously the mayor and us elected officials are also supporting it, because we want to see the best opportunity come out of what really would be considered a tragic situation."
Friday morning Land Authority CEO Kevin O’Connor answered a request for comment with a written statement that says in part:
"The Albany County Pine Hills Land Authority submitted a bid this morning to purchase the former College of Saint Rose campus in its entirety." He added, "The authority will not release any additional details of its bid until after the auction is complete."
Democratic Senator-elect Pat Fahy responded to a request for comment in writing, saying she "understands why the initial rejection of the bid for the campus is unsettling for many, but understands this is part of a delicate negotiation process and remains optimistic the Authority will be able to secure the college property at a reasonable price."
The auction is scheduled to take place at 10 a.m. on Thursday, December 12 at the Albany law offices of Cullen and Dykman.
