A medical complex in Riverhead sold for the first time in two decades earlier this year, trading at $23.8 million, one of the biggest commercial sales on the East End this year.
According to Suffolk County deed transfers recently made available, the biggest chunk of the transaction was for 877-905 East Main Street, which sold for $22.85 million on March 28, 2005. A post on Traded noted the sale also includes 60 Mill Brook Lane, which is part of the medical complex, with a total of 102,000 square feet of space that is home to NYU-Langone South Shore Neurologic Associates, Northwell Behavioral Health and Stony Brook Medical, among several others.
Records show that Candor Capital, a company based in Miami, was the buyer of the six one-story buildings in a park-like campus on 13.25 acres just off East Main Street.
According to an earlier post on Traded, Ben Meshel and Jeff Meshel represented Candor Capital in the transaction. They are listed as principals in the firm, which says on its website that it has originated and participated in more than $1 billion in acquisitions, development and bridge loans over the last 20 years.
Stephen R. Preuss Sr., Andreas Efthymiou, Christian Allimonos, and Charles Schirrmeister, all of Ripco Investment Sales, represented the seller, listed as 372 Jericho Corp.
“Being part of this transaction highlights our commitment to delivering strong, long-term value for our clients,” Preuss, the vice chairman at Ripco, and Allimonos, a senior associate, said in an online social media post, following the trade. “This deal signifies the first sale of the property in nearly 20 years. With its prime location and an impressive roster of tenants, the building has become a medical hub for the Riverhead area, presenting the ideal investment opportunity.
The capitalization rate, calculated by dividing a property’s Net Operating Income (NOI) by its current market value, on the sale was reported as 6.5%. The price per square foot works out to $232.
The last time 877 East Main Street and 60 Millbrook Road sold was in 2006 for a total of $16 million, records show.
In May, South Oaks Hospital, a 202-bed Northwell facility on the border of Nassau and Suffolk counties that provides acute psychiatric illness and addiction services, celebrated the opening of the new 12,000-square-foot Behavioral Health Wellness Center at 877 East Main Street. The culmination of a $5 million project, the center offers mental health care for those under 21, filling the gap in a critical shortage of local services on the East End.
“The need for child and adolescent behavioral health services in eastern Suffolk County is urgent,” said Michael Scarpelli, president, South Oaks and Zucker Hillside Hospitals, in a press release at the time. “Families in Riverhead and nearby communities have faced significant barriers in accessing care. Our new PHP fills a major gap — there is no similar program within a 45-minute drive, giving families a much-needed local option for intensive services that can prevent emergency room visits or inpatient admissions. In addition, the PHP provides integrated educational services that ensure youth receiving care don’t lose ground in their studies.”
Other tenants in the medical park include Suffolk County Department of Social Services, Stony Brook Medicine’s Quannacut Outpatient Services and Planned Parenthood.
On its own, the sale of the office park at $22.85 million is the biggest commercial sale of a single property on the East End in 2025. In Sag Harbor, the combined sale of 22 Long Island Avenue and 2 Main Street in Sag Harbor in February, totaling $30 million, is considered the priciest commercial trade of the year, but not individually, as they sold for $18,850,000 and $11,150,000, respectively.
In other commercial news involving a medical building, NYU Langone Health recently purchased a large commercial building in Water Mill for $10.85 million, Hedges previously reported. The health system has plans to turn the building at 54 Montauk Highway, which used to be a Pier1 Imports location, into a facility for expanded services on the South Fork. It was one of the largest commercial spaces available in the Hamptons.
