Hospital Closes Its History In A Front-Driveway Auction -- Bankrupt West Seattle Property Sold For $3.6 Million

The final chapter in the troubled history of the West Seattle Community Hospital ended yesterday in its front driveway, where the former hospital was auctioned off for $3.6 million.

The buyers, Josie and Joan Razore, a Seattle couple who own RABANCO, a local recycling company, outbid a physician from Pennsylvania at a 20-minute, noon public auction in front of a score of onlookers.

"It's a very exceptional piece of property," said James G. Murphy, auctioneer, who led the lively transaction that was punctuated by the boisterous prompting of his two "ringmen." Murphy, who said yesterday's auction was the largest of his career, said it was unusual for such a large property to be for sale.

"I'm pleased that we got the price we did," said Daniel Forsch, the court-appointed trustee of the hospital that went bankrupt last June.

The sale requires approval by the U.S. Bankruptcy Court, but Forsch's lawyer, Gayle Bush, said he did not expect any problems.

Proceeds from the sale will be used to pay back creditors and about 200 former employees whom the hospital owes $300,000 in back wages, Bush said.

The hospital started selling its equipment and other wares three weeks ago and has grossed around $400,000 selling everything from an orthoscopic surgical device for $10,000 to a fork for 25 cents, said Jim Long, who represents the company liquidating the property.

The Razores, who said they found out about the auction only the

day before, have no definite plans yet for the five-building, 360,000 square foot-property.

"There are many plans," said Josie Razore, 86, who raised his wife's hand in triumph after they won the bid. "We'll use it for something."

One plan, said Joan Razore, 75, is to turn the 70-year-old facility into a housing complex for the elderly. Another would be to turn it into a community center for Italian-Americans in Seattle.

"We're Italians and somehow that has to be there," she said.

Joan Razore said she doubts if the facility will remain a hospital, though they will make sure that it is used "in a charitable nature to serve the community."

The hospital, formerly owned by Dr. LeRoy Pesch, had been a major health center in West Seattle before shutting down last year. In an attempt to save the facility, former employees and West Seattle residents, who formed the Community Hospital Association of West Seattle (CHAWS), drew up plans to buy it and turn it into a nonprofit community hospital.

But they have been unable to gain the necessary financing.

The group had been in contact with two potential buyers, one, an East Coast corporation, and the other, an individual from Canada, both of whom were agreeable to their plans for a public health center.

But the sale of the hospital has squelched those hopes, said CHAWS chairperson Leslie Woodruff.

"I'm disappointed for the community," she said. "We really need a hospital."