Basalyga to purchase former Pittston Hospital; Municipalities enter annexation agreement

JENKINS TWP. — Over the last few years, there have been many rumors and questions about the fate of the former Pittston Hospital, and now those questions are answered.

The Pittston Redevelopment Authority, which owns the property, entered a sales agreement with property developer John Basalyga, president of JBSA Realty, a commercial real estate development and management company. Basalyga is also the president of Eastern Roofing Systems.

The property borders the City of Pittston and Jenkins Township, with the three main buildings sitting in Jenkins Township. The buildings were abandoned, and Jenkins Township has been collecting roughly $1,200 in property taxes each year.

The City of Pittston Redevelopment Authority purchased the three standing buildings — the former hospital, hospital nursing school residence and a maintenance building that includes a smokestack — for approximately $200,000 in August 2021.

“There were a lot of rumors flying out there about what was possibly going in the old hospital,” City of Pittston Mayor Michael Lombardo said. “We heard everything from a methadone clinic to low-income housing, and we wanted to have some control over what would go in there. Plus, we looked at it from the preservation perspective, those are great buildings that mean a lot to Greater Pittston.”

The City of Pittston and Jenkins Township have worked out an agreement that will satisfy both Pittston and Jenkins Township officials and residents.

Under Mayor Lombardo’s plan, Pittston’s new boundary would collect additional acreage from Jenkins Township through annexation.

Annexation in real estate refers to the legal process by which a municipality, such as Pittston, expands its jurisdiction by incorporating land that was previously outside its boundaries.

This process effectively brings property outside the city limits into the city’s control, allowing the city to provide services and exercise authority over the new territory.

With this move, Jenkins Township would be free of any jurisdiction, including police and fire coverage.

Jenkins Township and the Greater Pittston Regional Ambulance have had an alliance for a few years now.

The sale

Basalyga has agreed to purchase the property for $400,000. The Pittston Redevelopment Authority will evenly split the profit with Jenkins Township. In addition, the City of Pittston has agreed to share property tax revenue in perpetuity, giving Jenkins Township an estimated up to and beyond $30,000 per year.

Basalyga is a successful developer of major residential properties in and around Scranton, Dickson City, Moscow, Olyphant and Williamsport. He is known for purchasing the Steamtown Mall in Scranton and rebranding it as The Marketplace at Steamtown. And last week, the Basalyga Group closed on a sales agreement with the City of Wilkes-Barre for the former First National Bank building on Public Square.

According to Mayor Lombardo, Basalyga has an excellent track record that speaks for itself. His properties are higher-end residential living spaces.

“We can’t develop the land because we don’t have the resources, so the best way to do this is to partner with someone,” Jenkins Township Supervisor Stanley Rovinski said.

The three standing buildings could hold up to 70 apartments, renting from $1,800 to $2,600 each.

Before the deal was struck between the two municipalities, they had to plan road access and easements with existing properties.

Mayor Lombardo said the plans include a new entrance and exit at Johnson Street. There is also a possibility of creating a new road, which would ease traffic at West Coal Street.

Officials at Jenkins Township and the City of Pittston worked on this agreement for nearly two years before all parties were satisfied.

The hospital, nursing school, and maintenance building will be preserved, additional housing can be built on the property, and both municipalities will gain financially.

Rovinski said they worked hard to complete the deal.

“It’s a win-win situation for everyone,” he said.

Mayor Lombardo said the closing on the property will happen this year, and Basalyga is eager to get construction underway.

He added that final approval on the annexation falls to the Commonwealth of Pennsylvania, but if all goes well, construction could happen as soon as the fall of 2025.

History of Pittston Hospital

The Pittston Hospital holds a significant place in the region’s medical and community history.

Established in November 1893, it was initially created to serve coal miners and railroad workers, particularly those associated with the Pennsylvania Coal Company and the Coxton Rail Yards. This facility emerged during a period when industrial laborers faced hazardous working conditions and had limited access to medical care.

In 1903, the hospital expanded its services by establishing the Pittston Hospital School of Nursing. This institution played a crucial role in training nurses who would go on to serve both the hospital and the broader community.

A pivotal figure in the hospital’s history was Esther Tinsley, who became superintendent in 1913. Known for her strict yet compassionate leadership, Tinsley guided the hospital through significant growth and modernization until her retirement in 1974 at the age of 88.

Throughout its operational years, Pittston Hospital was at the forefront during several regional emergencies. It provided critical care during the 1920 Laurel Line trolley accident, which resulted in 17 fatalities and numerous injuries.

The hospital was also instrumental during the 1959 Knox Mine Disaster, treating miners who survived the catastrophic flooding of the mine.

Despite its importance, the hospital faced challenges adapting to the rapidly advancing medical technologies of the late 20th century.

Financial constraints led to its closure on April 20, 1981, after which it merged with the NPW Medical Center, now known as Geisinger Wyoming Valley Medical Center.

Tinsley passed away the day after the hospital’s closure.

The nursing school continued for a few more years before closing in 1984, marking the end of Luzerne County’s last hospital-based diploma program.

In the years following its closure, the hospital building found new life as the Overlook Professional Center, housing various businesses.

Today, while the original hospital no longer functions as a medical facility, its legacy endures through these preservation efforts and the planned redevelopment projects.

Recognizing its historical significance, the City of Pittston acquired the property a few years ago with plans to redevelop it into housing. The purchase was also to prevent a developer from coming in and leveling the facilities to create a situation out of the city’s control.

The transformation of the site into residential spaces serves as a testament to the hospital’s enduring impact on Pittston and its surrounding residents.

—Tony Callaio