I went to Pegasus Flight this past Sunday and they were closed. I did stop by Liberty Helicopter who are located a few hangars down, and they told me that Pegasus Flight was known to lead their students on by stating that the student is not prepared to fly solo and must purchase more flight time and the student never gets to solo. They recommended nassau helicopters in Princeton, NJ. I like you was looking for a school closeby (I live in Staten Island, NY) and would rather travel a little bit just to go to a more reputable school. Hope this helps. Good luck.
Not sure who you spoke with at Liberty, but I got my rating from Pegasus this past summer (end of August '07) and soloed at just over the minimum SFAR-73 hours (I think it was 22 or 23 hours - and some of that was waiting on the wind to calm down to RHC limits for solo). I got my rating at just over 50h total rotor time. My instructor Marcus (who, unfortunately, went back to Germany) was fantastic.
The negative thing I can think of is that they only had one ship running (722pg) - the other one (116pg) was timed out and they didn't seem to be intent on fixing it. I wouldn't give them money in advance (like ANY flight school, who knows about their financial situation), but my experience was good. Of course with another instructor, YMMV, but I certainly wouldn't advise anyone to steer clear based on my experiences.
Feel free to contact me if you have any questions about Pegasus.