NY State Brokers $8.5-Million Deal to Save Preston High School in the Bronx

BRONX, NY— New York Attorney General Letitia James announced today (April 22) that the all-girls Catholic Preston High School in the Bronx will remain open for years to come thanks to an $8.5-million sale/leaseback transaction.

The Attorney General’s office facilitated an agreement between the Sisters of the Divine Compassion of the State of New York, which owned the property of Preston High School since 1947, Preston High School, and the Bally’s Foundation of North America, a charitable nonprofit organization. The Bally’s Foundation has purchased the property in the Throggs Neck section of the Bronx from the Sisters of the Divine Compassion for $8.5 million and will lease the property to Preston High School for $1 per year for the next 25 years.

The Bally’s Foundation has also agreed to fund up to $1 million in capital improvements for the school and to cover up to $600,000 in legal and closing costs associated with the process, pushing the transaction’s value to more than $10 million.

The agreement gives Preston High School the option to renew its lease for successive five-year intervals at the end of the current 25-year lease

term. The agreement to keep Preston High School open followed a public hearing on April 8 held by Attorney General James with teachers, students, parents, alumni, elected officials, and community members.

The news was hailed by area political and community leaders. Back in February, Preston High School notified parents about the school’s impending closure and issued a statement. “Preston High School’s Board of Trustees has made the most difficult decision to close the school at the end of the 2024-2025 academic year,” the school wrote. “Due to declining enrollment, Preston’s financial capacity limits the long-term future viability of the school.” Several other schools that have served the community for decades will close at the end of this academic year, including All Hallows and Sacred Heart School, both in the Highbridge/Concourse area, and Immaculate Conception School in Melrose, according to the Bronx Times.

“Preston High School is a pillar of the Bronx community that has educated generations of young women and today I am proud to announce that the school will stay open for years to come,” said Attorney General James. “I want to thank all the students, teachers, parents, alumni, and elected officials who submitted testimony to my office and advocated to keep the school open. Today’s announcement would not have been possible without their relentless advocacy and leadership. Preston High School raises young women to become strong leaders, and I am thrilled that many more generations will benefit from this treasured school.”

“I want to extend my heartfelt thanks to Attorney General Letitia James for her swift and thoughtful action in helping to prevent Preston’s abrupt closure,” said New York City Council Majority Leader Amanda Farias. “Her open communication, leadership, and commitment to keeping all parties at the table were instrumental in reaching this critical turning point. As a proud Preston alumna, I’ve been deeply invested in this fight from the very beginning - organizing, advocating, and working directly with stakeholders to ensure Preston had a future.”

“I am thrilled to hear that an agreement has been reached to keep Preston High School open,” said Bronx Borough President Vanessa Gibson. “At a time when we’ve seen the heartbreaking closure of several Catholic schools in our borough and across New York City, this outcome is a powerful reminder of what’s possible when a community comes together. Preston High School has been a beacon of education and opportunity in the Bronx since it first opened its doors in 1947. Its legacy of academic excellence, character formation, and service has touched generations of young women and helped shape countless leaders in our city and beyond. Thank you to Attorney General Letitia James, the Charities Bureau, parents, students, educators, advocates, alumni, and my elected colleagues who fought tirelessly to preserve this institution. Our collective voices made this happen. This is more than just a win for Preston—it’s a win for the Bronx and for every young person who dreams of a bright future.”

Also part of the deal, the Sisters of the Divine Compassion have agreed to establish independent governance of Preston High School that requires them to:

• Work with Preston High School to establish the school as an independent Catholic school as acceptable to the Archdiocese of New York;

• Help establish an independent board of trustees for Preston High School by appointing, with OAG approval, trustees to the board of trustees who are not affiliated with the Sisters of the Divine Compassion or employed at Preston High School; and

• Immediately relinquish all but one seat on the schools’ board of trustees and give up that seat once the school is fully independent.