Governor Hochul announces $18 million investment in project at Oakdale Commons in Broome County

Governor Kathy Hochul recently outlined plans for the next two phases of a transformative, mixed-use development project that is breathing new life into the former Oakdale Mall in Johnson City, Broome County. Now known as Oakdale Commons, the distressed mall is undergoing a rebirth aimed at creating a vibrant, walk-able, mixed-use, mixed income, transit-oriented anchor destination for residents and visitors alike in the Southern Tier. 

Efforts include the adaptive reuse of an adjacent vacant site for the construction of new housing to support workforce development initiatives in the Greater Binghamton area, the creation of further commercial opportunities, and the establishment of an expansive childcare center that will service targeted regional needs. 

Still home to several successful retail outlets, the former Oakdale Mall, which opened in 1975, has close to 964,000 square-feet of usable space. 

Johnson City, which was also a round six winner in the administrations’ successful Downtown Revitalization Initiative, was among the first communities to be certified under the Governor’s nation-leading Pro-Housing Communities program.

“The Oakdale Commons project is transforming a once distressed mall into a vibrant, mixed-use community asset, which will provide much-needed affordable housing, childcare, and ensure access to medical care,” Governor Hochul said, adding, “This innovative project further supports the transformation already underway in Johnson City and will serve as a glowing testament to what can be accomplished when the State and local stakeholders all pull together to get things done.” 

Phase II and III of the adaptive reuse project will include the construction of an 85,000 square-foot, state-of-the-art, regional medical campus; the construction of a new 22,000 square-foot child care center, administered by Broome County and operated by a contracted provider, that will serve up to 208 children to include infant, toddler, preschool, Pre-K and school age slots and the creation of up to 45 new jobs; and the construction of 125 residential units, located on the adjacent parcel, that will cater to the projected job growth in the Greater Binghamton Area. 

Phase I of the formerly distressed mall’s transformation included the redevelopment of the former Sears store into the Lourdes Pavilion, which included a health, wellness and fitness Center, physical therapy, primary care, a drive-through pharmacy, and lab services. Other projects included an aquatic swim center featuring three pools and group studios, among other things. 

Also included was the addition of the two-story Beer Tree restaurant and brewery, and Broome County is utilizing on-site office space, with over 200 employees working at the location. All told, the redeveloped building now has over 500 new employees and attracts thousands of daily visitors.

Empire State Development is providing up to $18 million to support the continuing phases of this transformation through the Upstate Revitalization Initiative. The total project cost has been placed at $200 million. 

Now underway, construction is expected to be completed in early 2026.

 Governor Hochul’s commitment to increasing the housing supply across New York State includes a transformative package of programs and initiatives to address the State’s housing crisis, including incentives to create affordable housing statewide; the creation of a $500 million fund to build up to 15,000 new homes on state land; and authority to strengthen the State’s Pro-Housing Communities program and more than $600 million in capital funding to support housing statewide.

In December of 2023, the Governor also announced a $100 million commitment to address the critical shortage in the childcare supply available for New York State’s families. It includes $50 million in capital grants for the construction of childcare centers, and $50 million in business tax credits for workplace-based child care expansion. The investment supports the $7 billion, four-year investment in childcare enhancements announced earlier by the Governor.

Assemblymember Donna Lupardo stated, “It’s been amazing to watch the transformation of the Oakdale Mall into the Oakdale Commons. With the success of Phase I, it’s exciting to see what’s coming next with new housing, childcare and a medical campus in the works. A special thank you to Governor Hochul, ESD, Newman Development and all our private and government partners for their steadfast support. I know how much the community appreciates these investments.”

President & CEO of Guthrie Hospital System, Dr. Edmund Sabanegh, stated, “This award underscores New York State’s dedication to investing in the revitalization of the Southern Tier and the commitment to improving the health of its communities. These infrastructure improvements at the Oakdale Commons will enable Guthrie to provide an orthopedic and spine center of excellence. This will be anchored by an ambulatory surgery center that will offer our community clinical excellence in a state-of-the-art facility at lower costs.”

For additional information about Oakdale Commons, visit https://oakdalecommons.com/.