Summit Shock sold--but new owner not talking

8/27/2014

By Jim Poole

The high bidder for Summit Shock is being closed-mouthed about his plans for the former prison.
Dean Hansey, who listed his address as Lindenhurst, won last Wednesday's auction with a bid of $204,000, edging out two other parties.
Summit Shock had been closed for three years, the result of cost-cutting by Governor Cuomo. A few potential buyers were interested in the prison, according to the Office of General Services, which held the auction, but a sale never developed.
Wednesday's auction brought two other bidders besides Mr. Hansey: Eileen Guinan of Albany and Eli Mintz, representing Oorah, which operates summer camps for Jewish children in Jefferson and Gilboa.
After he won the bidding, Mr. Hansey said, "I just didn't want what happened to Scotch Valley to happen in Summit."
He was referring to Oorah's Jefferson camp at the former Scotch Valley ski resort. The camp recently won a court battle with the Town of Jefferson and is exempt from property taxes.
Several other Summit residents and former residents agreed with Mr. Hansey's stance, with one woman saying she'd like to see Summit Shock in private hands so it would go back on the tax roll.
Asked if he had plans for the prison, Mr. Hansey said "not really" and refused to give any more information.
When he was told of Mr. Hansey's comments about Scotch Valley, Mr. Mintz responded, "I don't know what he's talking about. We've invested millions and millions in the area and have 50 to 100 employees."
Mr. Hansey didn't win the bidding easily.
OGS set the minimum bid at $95,000, which many thought was a low price for a property with nearly 20 acres and almost 40 buildings on it.
Bidding rose in $5,000 increments until Mr. Mintz raised from $110,000 to $130,000.
After Ms. Guinan bid $135,000, Mr. Mintz jumped his bid to $150,000, which ended up being his high bid.
Mr. Hansey and Ms. Guinan traded $5,000 bids till they reached $200,000, when she bid $201,000.
They briefly went back and forth with $1,000 raises until Mr. Hansey won with $204,000.
Each bidder had to submit a certified check for $9,500--10 percent of the state's minimum bid--before the auction. Mr. Hansey had 10 business days from the auction to pay an additional $10,900 for a total of $20,400, or ten percent of his winning bid.
He has 120 days to pay the remainder of the $204,000, though OGS may give an extension, according to Dan Quinlan of OGS.
If Mr. Hansey doesn't meet those terms, the prison may be offered to Ms. Guinan.
"He's not the buyer. He's only the high bidder right now," OGS's Robert Van Deloo said of Mr. Hansey at the auction.
OGS held the auction at The Community Library in Cobleskill.