The Daily Dig:

New York has approved a construction contract as part of the $1.1 billion modernization of SUNY Downstate's hospital in Brooklyn. The work covers demolition of a condemned, out-of-service parking garage to clear the site for a planned hospital annex.

The annex will house a new ambulatory surgery center focused on cardiology and oncology. The broader program includes converting double occupancy rooms to private rooms with showers, expanding the emergency department, and rehabilitating mechanical, electrical, and plumbing infrastructure throughout the facility. Design phases were announced in December 2025.

Projects Snapshot:

  • Owner: State University of New York (SUNY)

  • Demolition Contractor: Russo Development Enterprises, Inc. (Woman-Owned Business Enterprise)

  • Sector: Healthcare

  • Total Investment: $1.1 billion

  • State Capital Funding: $750 million approved across FY 2024-2025 and FY 2025-2026 enacted budgets

  • Additional Funding: Anticipated $50 million annually from SUNY capital allocations over the project duration

  • Program Structure: Two concurrent projects - hospital modernization and new annex construction

  • Scope Elements: ED expansion, private room conversions with showers, MEP rehabilitation, new ambulatory surgery center (cardiology and oncology)

  • Labor Structure: Project labor agreement in place

  • Community Input: Recommendations advanced by Downstate Community Advisory Board

  • Location: Brooklyn, New York

TheJobWalk Thoughts:

The planning phase is done. With a demolition contract executed and capital committed across multiple state budget cycles plus recurring SUNY allocations, this program has real money behind it and it's moving. That distinction matters when you're a trade contractor deciding whether to invest BD time chasing a multi-phase hospital job or move on to something that's actually going to bid. The PLA is in place, MWBE participation is a stated priority, and the renovation work is happening inside an active facility, which means healthcare sequencing experience isn't a nice to have. It's the price of entry. Teams with the right project history and solid local labor relationships should be tracking this one now. Bid packages are coming.

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