YONKERS – The Yonkers Industrial Development Agency on Tuesday approved the initial steps to preserve 240 jobs and 120 patient beds at the Michael Malotz skilled nursing facility.
St. John’s Riverside Hospital is selling it to Adira, which operates the nearby Spain Brook Manor nursing home, for $21 million. Adira plans to spend another $2 million on improvements.
The Yonkers IDA plans to provide a $360,000 mortgage tax exemption, a more than $209,000 sales tax exemption on materials used in construction, and a temporary property tax abatement.
In return, the IDA received assurances from Adira that existing employees of Malotz will receive preference in staffing the facility going forward. Existing residents of the facility will continue to be able to stay there under the current ownership. Ninety percent of the residents are Medicaid recipients.
“Nursing homes throughout the state are financially stressed due to reductions in state and federal reimbursements,” said IDA President Kenneth Jenkins. “Some of them are closing outright, which is why it is so important that this plan provides for long term stability of the Malotz facility.”
