The Abandoned Hospital (also known as the Colony Island Hospital) is located on Colony Island in Grand Theft Auto IV and Grand Theft Auto: Chinatown Wars. The hospital appears in the mission The Snow Storm in GTA IV (given by Elizabeta Torres.) It is home to many homeless people and prostitutes.
The hospital is based on the real-life abandoned Smallpox hospital (also known as the Renwick Ruin) located on Roosevelt Island, New York. The hospital has been abandoned for multiple years and entropy has gutted the building. The upper floors of the hospital have completely caved in, and what remains is on the verge of ruin. Due to the old style architecture and the building's dilapidated state, fans have confirmed that the hospital has been abandoned long before the setting of the game. The Abandoned Hospital does not have a canonical name.
The most well-known myth inhabits the hospital is the ghost. The rumor was created sometime around the release of the game when players ventured into the Hospital during night time and then believed they'd seen or heard something paranormal. The specifics differ between player to player, but most eyewitnesses claim that they have seen dark silhouettes and unidentified figures walking through the hospital. Those figures may be homeless, because when playing on low settings, people are becoming white due to render distance. Many players have reported hearing what sounds like a little girl laughing while walking into the hospital. Players also said that they have heard screams echoing throughout the hallways. Critics have attempted to disprove these claims using the homeless people that occasionally inhabit the area as the source of the sounds. In one area of the hospital, there is a power generator with a state light connected with this, that will occasionally turn off and has been connected to the paranormal activity. Critics have blown this off as just a technical failure, but myth hunters have theorized it could be something more because electronic failures are a common piece of evidence for ghost encounters in real life. As for apparitions, they are usually dismissed as being the orange glow of either a Pistol or an AK-47, both of which spawns at the hospital. The weapon's glow is claimed to trick players, seeing it before they see the physical weapon itself.
On the second floor of the hospital, small cans of motor oil are scattered on the floor. Unlucky players claimed that they would explode by themselves, killing Niko. Later on, this was discovered to be a glitch in the motor oils spawn algorithm, one typically spawns on an incline, causing it roll a short distance, rarely making it explode upon contact with another surface. For most of its history, the Ratman myth was connected to "blood" found in the subway, but that was debunked as being just the motor oil, as evidenced by the cans of motor oil found at the hospital.
There are many online photos and videos supposedly showing ghosts or apparitions within the hospital, and this myth is very popular within the Grand Theft Auto community. Needless to say, the hospital is a spooky location at night, and it was no surprise that myths could be active.