The Lebanon school board will vote Monday, May 19, on whether to purchase the Lebanon Catholic School property at 1400 Chestnut St. from a Lancaster developer for $5.25 million.

The school was closed by the Roman Catholic Diocese of Harrisburg at the end of the 2020 school year due to financial problems and declining enrollment.

At its committee of the whole planning meeting on Monday, May 12, the board heard district solicitor Michael Bechtold describe the terms of a proposed agreement of sale with owner 1400 Chestnut LLC. If the board approves the sale at its May 19 business meeting, the transfer of ownership could occur within 30 days.

The district would acquire the property “as is.” Chief financial officer Kelly Herr said the purchase price will be paid from money the district has on hand.

No board members present on Monday evening expressed opinions on the potential purchase.

The 13.28-acre parcel includes the former Lebanon Catholic High School building, the old Donaghmore mansion, which was once used as a convent, and a residence on the south edge of the property, which was used by Catholic Charities.

Lebanon School District superintendent Dr. Nicole Malinoski told the board Monday that the Lebanon Catholic property “is the last remaining large parcel within the city limits capable of supporting our district’s efforts to … expand educational opportunities.”

Malinoski added that the acquisition benefits the school district in two ways. First, “it prevents overcrowding in our schools. We know that the proposed development [of over 300 residential units on the property] could add an additional 500 students to our already overcrowded schools. The district has experienced significant growth … and maintaining manageable class size is vital.”

Second, Malinoski said the property “gives us capacity for our future. It enhances our flexibility to address the long term needs of our students and staff. … This land offers valuable options for future educational and administrative offices.”

Malinoski said the district intends to demolish the existing buildings, but gave no timetable.

Shortly after closing the school, the diocese listed the property for sale at $2.45 million. The fast-growing city school district had considered purchasing the school in 2020, but decided not to proceed at that time.

The property was purchased from the diocese by 1400 Chestnut LLC for $2.2 million in June 2022. According to Bechtold, no changes or improvements to the property have been made since then.

Shaker Patel, a principal in 1400 Chestnut LLC, had not responded to a request for comment by publication time.

Destiny Builders & Management, a hotel and multifamily developer/general contractor/management firm owned and operated by Patel, had previously pursued redevelopment plans for the site that included apartments, a playground, and townhomes.

In the roughly two years between closing and the sale to 1400 Chestnut LLC, the diocese performed little visible maintenance or securing of the empty school building, and it was broken into multiple times. It was severely damaged by an arson fire less than a month after the diocese sold it, and has been out of use and boarded up since.

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Chris Coyle writes primarily on government, the courts, and business. He retired as an attorney at the end of 2018, after concentrating for nearly four decades on civil and criminal litigation and trials. A career highlight was successfully defending a retired Pennsylvania state trooper who was accused,...

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