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NEW YORK’S Selling appliances was Elie and Albert Fouerti’s third LARGEST attempt to make it. Now their business is one of the city’s PRIVATE biggest COMPANIES THE OTHER 149 WINNING? WHY SIGNS OF BUSINESSES THE TRUMP THE TIMES WITH MORE ORGANIZATION IN TIMES THAN $155 WENT FROM SQUARE MILLION IN NO. 3 TO P. 29 REVENUE P. 15 NO. 40 P. 27

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P001_CN_20171113.indd 1 11/10/17 8:19 PM NOVEMBER 13 - 19, 2017 CRAINSNEW YORK BUSINESS

FROM THE NEWSROOM | JEREMY SMERD | EDITOR IN THIS ISSUE

The fallout from failing 4 IN CASE YOU MISSED IT Countering 5 POLITICS the sushi BILL DE BLASIO’S greatest achievement of his rst four chef shortage 6 SPOTLIGHT years as mayor was implementing universal prekindergar- ten. His second term’s success will depend on securing from 8 WHO OWNS THE BLOCK Washington, D.C., and Albany the $700 million he says he’ll 9 ENTERTAINMENT need to expand early education to 3-year-olds (see page 5). 10 VIEWPOINTS To do so, he should focus on raising educational standards, FEATURES not taxes—advice he seems keen on ignoring so as to build 15 NY’S LARGEST PRIVATE COMPANIES his reputation as a Bernie Sanders–style reformer. at is too bad, because there’s strong support for improv- 27 TRUMP MISSES OUT ing early education from the city’s public university system, 28 APPLIANCES PAY OFF which has to deal with the fallout when students enter col- We have to make 29 TIMES SQUARE’S NEXT BIG THING lege unprepared. CUNY educates 275,000 degree-seeking students. Of the 100,000 in its community colleges, 80% “sure that donors require remediation courses. at’s staggering. and policy makers Like most education experts, CUNY Chancellor James have con dence Milliken says that investments in a child’s early years provide the greatest return and that universal pre-K could in how money is improve educational achievement. Milliken visited our being managed newsroom last week because he wants more New Yorkers P. 33 to know about the nation’s largest urban university system JANE O’CONNOR and its impact on the city’s workforce and economy. “I’m surprised by the number 33 GOTHAM GIGS of people who should know more about CUNY but don’t,” he said. Recent scandals have not helped his cause: A former City College president spent 34 SNAPS $150,000 on personal expenses; a former Baruch College basketball coach pocketed 35 PHOTO FINISH half a million dollars. “ ere’s been a rebooting of CUNY’s nancial oversight and CORRECTION management,” Milliken said. “We have to make sure that donors and policy makers Joanna Frank is president and CEO of the Center have con dence in how money is being managed.” for Active Design. Three hundred buildings have at is especially important now. Milliken is creating a system-wide fundraising been scored or begun the process of the Fitwel Certi cation System. Frank’s title and the number o ce and is in the nal stages of hiring a vice chancellor to oversee it. e school of quali ed buildings were misstated in an earlier is also starting a foundation to advance CUNY’s priorities, which include not just version of “New age perks are latest trend in improving remedial education but guring out how to get more students to graduate of ce market,” published Nov. 6. on time. Community colleges confer two-year degrees, but only 16% of their urban students get one within three years—“completely unacceptable,” Milliken said. He is piloting a program that provides aid beyond tuition, such as MetroCards, for full- time students. e program’s 55% graduation rate has spurred plans to expand it. e chancellor hopes the new fundraising arm can double the $200 million that has been raised by its various colleges. Given CUNY’s newly documented success in moving students up the income ladder, Milliken says it’s a natural t for philan- ON THE COVER thropists looking to make an impact: “Nobody changes the world like CUNY does.” PHOTO: BUCK ENNIS

CONFERENCE CALLOUT NOV. 16 DIGITAL DISPATCHES HEALTH CARE SUMMIT: Go to CrainsNewYork.com NY’S DIABETES CRISIS NOMINATE Do you The Crain’s fall summit will feature know a rising star in medical, business and political leaders New York business? > on the front lines of New York’s Our 40 Under 40 $21.6 billion diabetes crisis. Speakers nominations close include Brooklyn Borough President Dec. 1. Apply now at Eric Adams, who is spearheading CrainsNewYork.com/40nominate. prevention efforts in his borough. ■ Extra fare hikes are coming unless the SHERATON MTA nds a revenue stream of $300 million TIMES SQUARE annually, the comptroller warns. 8:30 TO 11:50 a.m. ■ Developers are struggling to nd middle- [email protected] class tenants for affordable housing.

Vol. XXXIII, No. 46, Nov. 13, 2017—Crain’s New York Business (ISSN 8756-789X) is published weekly, except for double ■ Bernie Madoff’s victims prepare for their issues the weeks of June 26, July 10, July 24, Aug. 7, Aug. 21 and Dec. 19, by Crain Communications Inc., 685 Third Ave., payday. New York, NY 10017. Periodicals postage paid at New York, NY, and additional mailing of ces. Postmaster: Send address changes to: Crain’s New York Business, Circulation Department, 1155 Gratiot Ave., Detroit, MI 48207-2912. ■ The Palm steakhouse is embroiled in a For subscriber service: Call 877-824-9379. Fax 313-446-6777. $3.00 a copy, $99.95 one year, $179.95 two years. family feud. (GST No. 13676-0444-RT) ©Entire contents copyright 2017 by Crain Communications Inc. All rights reserved. BUCK ENNIS

2 | CRAIN’S NEW YORK BUSINESS | NOVEMBER 13, 2017

P002_CN_20171113.indd 2 11/10/17 6:37 PM WHAT’S NEW NOVEMBER 13, 2017

AGENDAThe most important city election is happening behind closed doors

lection season isn’t over, New Yorkers. One contest remains, and although it will not swamp your mailboxes with campaign literature or your phones with robocalls, it will determine the second-most-powerful city o cial: City Council speaker. E e chamber’s top dog will be chosen in January by a vote of its 51 members. But the process is even narrower than that, as most members have pledged their votes to Democratic county leaders, just two of whom will e ectively pick the winner next month from the eight councilmen running. For the business community, much is at stake. e speaker can block bills or let members move them toward passage, and can be a check on the mayor—or his ally. At a sold-out candidates’ debate held by Crain’s STICKING HIS NECK OUT: Councilman Ritchie Torres, an exception among on Nov. 1, the contenders all insisted they would stand up to the admin- speaker candidates, says commercial rent control might be unconstitutional. istration as needed. And most called for a more democratic council in which bills are robustly debated and put up for a vote, even if the mayor for the council to put its nger on the scale when commercial leases are objects. Said Councilman Mark Levine: “ at’s government.” negotiated. He also said a speaker should exercise “quality control” rather How the speaker runs the chamber has a direct impact on businesses. than let legislators run amok advancing wacky bills. at’s the kind of Consider that six of the eight candidates expressed strong support for leg- straight talk and leadership needed in a body where members measure islation to give existing tenants an edge when success not by problems solved but by how retail space is leased in New York City— Much is at stake for New York’s many bills they pass. It may well be that which would ossify shopping districts. Torres’ status as a long shot allowed him to e speaker hopefuls framed it as an e ort business community in the race speak freely, but the next speaker should to help small businesses, forgetting that for City Council speaker take his advice to heart. commercial property owners are business- Whoever helms the council should people in their own right. Landlords take require an economic-impact statement on risks when developing or purchasing storefront space and deserve to be pending bills, as the Manhattan Chamber of Commerce has suggested, rewarded when they make good decisions, just as retail business owners and make the legislative process transparent, rather than unveil bill revi- are rewarded for executing a good idea. at’s capitalism. sions and meeting agendas at the last minute. Too o en secrecy is used At the debate, the youngest speaker candidate, 29-year-old Ritchie to avert opposition from business interests. e speaker’s race might be Torres of the Bronx, stood out by noting that it might be unconstitutional conducted behind closed doors, but governing shouldn’t be. — THE EDITORS

FINE PRINT There are fewer people working on Wall Street these days, but they are making more money, according to new data from the U.S. Bureau of Labor Statistics. Average weekly pay, including bonuses, was $14,767 in the rst quarter of this year, 11.9% more than in the same period last year. Employment in the securities industry in March was down 2% compared with last year, to 165,759.

GERALD SCHIFMAN STATS

25 WORDS OR LESS BUNDLES OF ENERGY

NEWLY RE-ELECTED MAYOR BILL DE BLASIO is primed to push for legislation that requires large CITY THE AND buildings to cut their carbon emissions. Although buildings are the city’s largest contributor I was amazed by to global warming, the real estate industry calls that fact misleading. “ % Buildings’ share of greenhouse-gas how many people emissions in New York in 2014, 72 compared with 57% in Austin, Texas Metric tons of CO -equivalent didn’t recognize 2 emissions per capita in New York the fact that it 6.0 in 2014, versus 11.6 in Austin

Millions of metric tons of CO2 emitted from New was just sushi” York state’s commercial and residential sectors 58 in 2015, compared with about 26 for Texas — Chris Jaeckle, chef and owner of

Uma Temakeria, the Brazilian-inspired Millions of metric tons of CO2 emitted hand-roll eatery that closed all three from New York state in total, compared 168.3 with 625.8 for Texas, where emissions of its locations Oct. 31 from driving and coal are far greater

BUCK ENNIS, ISTOCK ADDICTED TO NUMBERS? GET A DAILY DOSE AT @STATSANDTHECITY. SOURCES: REBNY, U.S. Energy Information Administration

NOVEMBER 13, 2017 | CRAIN’S NEW YORK BUSINESS | 3

P003_CN_20171113.indd 3 11/10/17 6:32 PM AGENDA ICYMI CRAINSNEW YORK BUSINESS president K.C. Crain

EDITORIAL editor Jeremy Smerd managing editor Brendan O’Connor What Trump’s tax plan could assistant managing editors Erik Engquist, Jeanhee Kim, Robin D. Schatz mean for NYC’s renters copy desk chief Telisha Bryan art director Carolyn McClain photographer Buck Ennis S PART OF A NATIONAL TAX OVERHAUL, Congress BREAK FOR deputy web editor Peter D’Amato HOMES: is planning to curtail the ability to deduct mortgage Deductions senior reporters Joe Anuta, Aaron Elstein, interest and state and local taxes from federal tax- for mortgage Matthew Flamm, Daniel Geiger A interest and reporters Jonathan LaMantia, Caroline Lewis able income. e Senate proposal would eliminate so-called property data reporter Gerald Schifman SALT deductions entirely but leave mortgage interest alone. taxes are at columnist Greg David risk. contributors Tom Acitelli, Theresa Agovino, e House version permits up to $10,000 in property-tax de- Will Bredderman, Cara S. Trager ductions but allows interest only on the rst $500,000 of new to contact the newsroom: mortgages to be deducted, down from $1 million today. e www.crainsnewyork.com/staff 212.210.0100 pain would be greatest in places like New York City, where 685 Third Ave., New York, NY 10017-4024 homes are expensive and income taxes are high. Mayor Bill de ADVERTISING Blasio has noted that 617,000 city homeowners save $2 billion www.crainsnewyork.com/advertise advertising director Irene Bar-Am, by writing o state and local income and property taxes. 212.210.0133, [email protected] e real estate industry says losing the mortgage interest deduction would make homeownership more ex- senior account managers Lauren Black, Zita Doktor, Rob Pierce, pensive for future purchasers, and that would ultimately hurt the city’s 5.8 million renters. “If this goes on for a Stuart Smilowitz few years, it could knock people out of the box in terms of buying a home, especially if you throw in interest rates senior marketing coordinator Jonathan Miller Charles Fontanilla, 212.210.0145 possibly rising,” said of appraisal rm Miller Samuel. If would-be buyers are pushed into the rental [email protected] market, the increased competition for units could put upward pressure on rents. sales coordinator Devin Arroyo, Landlords’ ability to deduct property taxes on units they rent is not at risk, according to Abe Schlisselfeld, a part- 212.210.0701, [email protected] ONLINE ner in Marks Paneth’s real estate group who spent last week binge-watching House Ways and Means Committee general manager hearings. But if landlords also live in the building, as is oen the case in row houses across the city, they would be Rosemary Maggiore, 212.210.0237, [email protected] denied the property-tax deduction on the portion of the home they occupy. at extra expense could be passed along CUSTOM CONTENT to tenants. But that hit would be tiny compared to the House plan’s impact on buyers who take out million-dollar director of custom content mortgages. Either way, rents could go up, but that’s not bad news for everyone. “ is would be great for developers Patty Oppenheimer, 212.210.0711, [email protected] who want to build more rental property,” said Ray Sturm, CEO of asset-management rm AlphaFlow, “as it keeps custom project manager Danielle Brody, demand higher than it would otherwise be.” — JOE ANUTA [email protected] EVENTS www.crainsnewyork.com/events director of conferences & events Drug delivery system DATA POINT New rules on scheduling Courtney Williams, 212.210.0257, [email protected] CVS Health will introduce free delivery IMMIGRANTS MAKE UP 20% OF THE Gov. Andrew Cuomo released new of prescription drugs and certain over- rules governing how hourly workers manager of conferences & events STATE’S POPULATION AND 27.8% Adrienne Yee, [email protected] the-counter products in Manhattan may be scheduled and paid. Among the events coordinator Ashlee Schuppius, Dec. 4. e service will expand to other OF ITS WORKFORCE, THE AMERICAN changes, workers whose shis are not [email protected] major cities early next year. scheduled two weeks in advance will IMMIGRATION COUNCIL SAID. THOSE AUDIENCE DEVELOPMENT get two extra hours of pay. e rules are director of audience & content Strategic management HERE ILLEGALLY PAID $1.1 BILLION set to take eect next year, superceding partnership development Michael O’Connor, 212.210.0738, Goldman Sachs tapped mergers- IN LOCAL AND STATE TAXES IN 2014. city regulations. and-acquisitions executive Stephanie [email protected] Cohen to replace Stephen Scherr as Making space REPRINTS chief strategy ocer. Scherr will con- e city opened BLDG 77 at the Brook- reprint account executive Lauren Melesio, 212.210.0707 centrate on bolstering consumer bank- lyn Navy Yard, a 1 million-square-foot ing. Cohen joined Goldman in 1999. Crossing that bridge renovated former warehouse that will PRODUCTION production and pre-press director Tishman Speyer’s Long Island City de- be leased to manufacturing tenants Simone Pryce From the sublime to the mundane velopment e Jacx will house 1,000 with food retail on the ground oor. media services manager Nicole Spell Tiany & Co. introduced its Everyday Bloomingdale’s employees in 2020. SUBSCRIPTION CUSTOMER SERVICE Collection, which contains such items e retailer’s CEO, merchandise buy- www.crainsnewyork.com/subscribe as a $300 walnut-centered sterling sil- ers, and IT and clerical staers will [email protected] ver yo-yo, a $350 sterling silver and make the move to 2801 Jackson Ave. in 877.824.9379 (in the U.S. and Canada). vermeil crazy straw, a $1,500 sterling Queens Plaza. $3.00 a copy for the print edition; or $99.95 silver coee can and a $9,000 sterling one year, $179.95 two years, for print subscriptions with digital access. silver ball-of-yarn decoration. Challenging the call e New York Cosmos scored an ally Entire contents ©copyright 2017 The village green Crain Communications Inc. All rights in U.S. Sen. Charles Schumer, who ap- reserved. ©CityBusiness is a registered Stuyvesant Town–Peter Cooper Vil- pealed to the U.S. Soccer Federation trademark of MCP Inc., used under license lage owners the Blackstone Group and to not relegate the team and its North agreement. Ivanhoé Cambridge will install nearly American Soccer League from Division CRAIN COMMUNICATIONS INC 10,000 solar panels on the roofs of the II to Division III. e decision threatens chairman Keith E. Crain complex’s 56 buildings. e $10 million “the very existence of the NASL and its vice chairman Mary Kay Crain project will supply power to around clubs,” Schumer wrote. Pastrami to the people president K.C. Crain 1,000 apartments. The shuttered Carnegie Deli lives senior executive vice president Chris Crain Rubber and glue on in the cyber world. San Fran- secretary Lexie Crain Armstrong Someplace to go cisco–based food-delivery startup editor-in-chief emeritus Rance Crain Newell Brands, the parent of Rubber- chief nancial of cer Robert Recchia Ride-hail company Ly is opening its maid and Elmer’s Glue, is taking 47,000 Goldbely is offering six of Carne- gie’s famed items, shipping them founder G.D. Crain Jr. [1885-1973] rst permanent New York oce, in square feet of oce space at Empire chairman Mrs. G.D. Crain Jr. [1911-1996] Chelsea. e 11,000-square-foot digs Stores in Dumbo. e state is giving the from the same commissary that at 245 W. 17th St. will host Ly’s engi- consumer products company $4 mil- supplied the deli.

BUCK ENNIS, BLOOMBERG NEWS neering, marketing and sales sta. lion in tax credits.

4 | CRAIN’S NEW YORK BUSINESS | NOVEMBER 13, 2017

P004_CN_20171113.indd 4 11/10/17 7:43 PM AGENDA POLITICS

De Blasio’s plan: Do the same things, expect different results Mayor vows to dive into the very swamps that bogged down his rst term BY WILL BREDDERMAN

he day a er Election of his ailing eorts to inu- those proposals again will ran- federal budget cuts would the budget being discussed Day, it was déjà vu ence the 2014 state Senate and kle them further. make even Democrats leery in Washington now, the city all over again. 2016 presidential elections. of new taxes, especially ones will be losing funds in all of Mayor Bill de Bla- Political insiders said the Burned bridges strictly for the ve boroughs. those areas.” Tsio gathered reporters in City mayor is weaker now than ever e Democratic mayor has “Upstate Democrats, whose De Blasio’s prospects might Hall’s Blue Room and declared in the state capital—in part acknowledged that much of budgets are likely to be really well be better outside of the he would take his re-election because he won the election by his redistributionist agenda reamed by the budget the state than in it. “mandate” to Albany to relit- less than he did in 2013. depends on his party captur- Congress passes, would be “Bill de Blasio has a strong igate the battles he lost in his “It’s not clear who the ing the state Senate in next unlikely to do something for argument to make in a presi- rst term. He vowed to win mayor thinks he’s kidding,” a year’s elections, and he even New York City that wasn’t dential primary that he’s Bernie a new levy on city property veteran operative mused. “But indicated he hoped to help done on a statewide basis,” said [Sanders] with results. Crime sales of $2 million or more to there aren’t a lot of state legis- achieve that. is despite his Ken Sherrill, a Hunter College is down; jobs are up. He’s got a pay for senior housing, a local lators who look at a mayor who failed intervention in 2014, political science professor, real record to run on,” the vet- income-tax increase on high won with a narrower margin when upstate and Long Island adding that any new state aid eran operative said. “None of earners to x subways, funding and fewer votes than the rst Republicans successfully used would be to oset federal cuts, that matters in Albany, where to educate 3-year-olds and a time he came to Albany and de Blasio’s name and image not to launch programs. “It’s he’s deader in the water than he battery of rent-law reforms. think, Now we got to listen to in attack mailers against their not going to be a question of was four years ago.” Meanwhile, e New York this guy.” opponents, and his funnel- ‘Are you going to help the city Sherrill agreed. “A federal Times reported de Blasio’s team Taxing millionaires and ing of cash into Democratic or not?’ It’s going to be a ques- PAC promoting a national might form a federal political mansions is still unpopular county committees prompted tion of ‘Are you going to help urban agenda is a good idea,” action committee—an eerie with the Republicans who run another criminal investigation. the city police or the city re- he said, adding, “It might echo of his fundraising that the state Senate as well as with Experts suggested that im- ghters or the city hospitals or be better if de Blasio’s name

triggered criminal probes and Gov. Andrew Cuomo. Pushing pending elections and potential the city schools?’ since under weren’t attached to it.” ■ NYCMAYORSOFFICE/FLICKR

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NOVEMBER 13, 2017 | CRAIN’S NEW YORK BUSINESS | 5

P005_CN_20171113.indd 5 11/10/17 5:35 PM AGENDA SPOTLIGHT RESTAURANTS

A solution for the decline in trained sushi chefs Former engineer breaks down the assembly of rolls BY CARA EISENPRESS

evin Takarada, the son of Miami sushi restaurateurs, ew to Japan two years ago to recruit chefs for his parents. But with a 10-year apprenticeship required to achieve head-chef status, a dwindling number of young Japanese are entering the eld, he discovered. Aer visiting 30 sushi bars, he le with no takers. KIf expert sushi chefs are an endangered species, Takarada gured, then making sushi without them would be a way to save the cuisine he loved. Sushi itself will have to change, he realized. Takarada didn’t know he would be the one to change it until he began study- ing for his level-two certication in risk-management assurance while working at Mizuho Securities USA in Midtown. At lunchtime, he saw only two sushi options: the supermarket, where maki—rolls—sit in refrigerators that harden the rice and toughen the nori, and sushi bars, where two rolls with tax and tip could run $25. “Sushi is either slow and expensive or disgusting and quick,” he said. By copying the work ow at nancial exchanges, Takarada believed, he could create middle-market rolls made by an assembly line. “We have two skilled workers and everyone else supporting them,” he said, “like traders on the trading oor.” He spent lunch hours in the summer of 2016 scouting locations in Midtown, eventually nding a former vitamin store and negotiating the rent down from $350 per square foot to closer to $200. He implored architect Yoshimi Kono to design the space in minimalist wood and used his training as a mechanical engineer—his rst career—to improve the plastic wrapper that restaurants use to keep the nori crisp in hand rolls. Aer the birth of his son in February, Takarada spent his four-week paternity leave overseeing the ongoing construction and lling the simple downstairs kitchen with rice cookers, an oven to warm the eel and a stove for shrimp tempura. en, aer receiving a bonus in May, he quit his job and went into high gear on MakiMaki, hiring eight full-time and three part-time employees, securing suppliers and nalizing the menu. He paid for the startup costs with more than $500,000 of his own savings. MakiMaki opened in July.

Breaking down the roll GETTING IN LINE: To serve “four- to ve-star sushi” at supermarket prices, Takarada prioritizes Takarada with fresh, well-seasoned rice, sh cut on the premises that day and nori that shatters members of when bitten. “e rice is really the part that shows whether or not people care MakiMaki’s innovative sushi about the product they’re serving,” said chef Chris Jaeckle, owner of now-defunct assembly team hand-roll bar Uma Temakeria. Each morning Takarada’s cooks slice fresh sh and put the spicy tuna and salmon mixtures in pastry bags so workers can pipe them onto rolls. e rice and seasoning are mixed together by a machine that uses a slicing motion that would tire out a human. Upstairs, when customers order, employees behind the glass bar grab a piece of nori already stamped with a rectangle of rice. ey add the requested lling before passing the maki down to a trained sushi chef, who does the rolling and cutting. Takarada greets and thanks each customer in Japanese. e spicy tuna rolls cost $7, compared with $9 at Blue Ribbon, a few blocks away. “Customers say it’s better than Sushi of Gari,” Takarada said, referring to the high-quality standby with four Manhattan locations. Meanwhile, a shrimp tempura roll at Whole Foods costs $11.99, 50% more than MakiMaki’s. Takarada is not the only innovator trying to turn out faster sushi. As early as 1976, a Japanese company gured out how to automate making and serving sushi on conveyor belts. An upscale Los Angeles sit-down restaurant, Sugarsh, opened a New York City outpost last year. San Francisco–based Sushirrito has two locations, and at least one Brooklyn Japanese restaurant owner is planning his own FOCAL POINTS quick sushi spot. at Jaeckle closed his three Uma Temakeria bars Oct. 31 serves as a sober reminder of how dicult it can be for a food startup to hit its stride. Takarada’s success will depend on volume. MakiMaki can make 400 rolls per NAME MakiMaki hour. Aer ingredients, labor and overhead, its margin is 20% to 25%, less for sales LOCATION Sixth Avenue between West 55th and West 56th streets through Seamless, which takes a 15% cut. “If he’s in that range, he has a model,” EMPLOYEES Eight full time, three part time said Greg Golkin, managing partner at Kitchen Fund, an investor in fast-casual REVENUE Projected $1.2 million annually (based on rst four months) chains including e Hummus & Pita Co. “e volume play makes sense to me.” Zach Weprin, co-owner of Ohio-based Fusian, which uses an assembly line PROFIT Projected $250,000 annually (about 20%) to make rolls with creative llings, agrees. Fusian has 11 locations in Ohio. “e MAJOR INVESTORS Self-funded; seeking outside investors to expand business model has potential,” Weprin said. “But you have to be best in class with WEBSITE Makimaki.nyc quality, branding and execution.” MakiMaki is cash ow–positive, and will be even more so as catering and TRADITIONAL SUSHI MATH Four professionally trained sushi chefs can delivery segments pick up. About half of each day’s customers have bought lunch produce 240 rolls per hour, at a labor cost of about $130 per hour. there before. Takarada oen is asked if there is another location. “Soon,” he says. NEW SUSHI MATH One professional chef and ve entry-level assembly-line He is bidding on a second spot and bringing in investors while also overseeing sushi makers plus high-tech automation can make 400 rolls per hour, while the current shop. In time he hopes to have proof of his economic hypothesis: the cost of labor dwindles to $90.

BUCK ENNIS “is is me sinking in my money, planting the ag.” ■

6 | CRAIN’S NEW YORK BUSINESS | NOVEMBER 13, 2017

P006_CN_20171113.indd 6 11/10/17 3:26 PM How Medicaid can improve on quality and cost

: When the ACA was launched, President payoff is worth it. Excellent care coordination is critical for any lthough massive cuts are proposed for Med- Fahad Rahman icaid, the health insurance program also is Barack Obama mentioned only a handful of health systems health care organization that aspires to be a high-performing, the target of ambitious reforms to improve that met his vision for integrated delivery systems. Geisinger value-based care system. A was one of them. It is a pioneer in integrated delivery for the quality of care while lowering costs, according large and complex patient populations. Through continued Crain’s: How should DSRIP groups use data for to xG Health Solutions. With its expertise in opti- improvements, Geisinger has developed proven methodol- population health? mizing clinical and fi nancial performance, xG Health ogies for clinical guidelines and protocols, models of care, analytical approaches, organizational structures and collab- : It’s critical to understand and apply data Solutions works with groups involved in New York Fahad Rahman oration frameworks. These are practices and techniques that in targeted and effective ways, especially as we move to more State’s effort to overhaul Medicaid through a fed- most health systems, hospitals and provider or payer groups of DSRIP’s incentive dollars being derived from pay-for-perfor- eral initiative known as the Delivery System Reform can adopt and implement for success in value-based care. xG mance measures. Understanding, interpreting and applying Incentive Payment (DSRIP) program. Health Solutions helps organizations from Maine to Montana data is critical for any performance-based system. Specifi cally, adopt these methodologies to optimize their care delivery a PPS should clearly communicate to its network providers Given the current pressure on Medicaid, Crain’s Cus- and care management. and partners how incentives are directly tied to performance on specifi c metrics. Providers’ performance must be tightly tom spoke with xG Health Solutions’ Fahad Rahman, a Crain’s: When the New York DSRIP initiative launched aligned with the PPS’s overall goals. One method we use is to Principal in its Care Redesign & Management Advisors there was much talk about changing the culture of health develop patient-provider attribution models that result in ac- group and the DSRIP Practice Leader. His expertise is care delivery. Are you seeing signs of change? countability for a subset of Medicaid benefi ciaries. This creates in health care strategy, value-based care, and analytics, panels of patients that primary care physicians can manage in : Initially, expectations of culture change a discrete and focused manner, which is critical to successful with a strong focus on population health, payment Fahad Rahman were met by skepticism. But we’re now seeing encouraging population health. Additionally, a PPS should create localized reform and DSRIP. signs of how the networks created by DSRIP, called Perform- data sets that integrate claims and clinical data, providing ing Provider Systems (PPSs), have integrated with their part- a complete, timely picture of the entire patient population. ners over the last few years. The PPSs that xGHealth support Integrating clinical data not only helps enrich the claims, but have made signifi cant investments in building out their care also offsets the typical lag of the adjudication cycle. Being networks, solidifying network partnerships, creating care successful in DSRIP means applying data effectively. Ultimately, coordination teams and infrastructure, providing workforce better data alone will not solve the myriad of challenges in training and development, and developing pay-for-per- care delivery. Reorienting providers’ organizations to use this formance fund fl ow models and patient-provider attribu- data to deliver coordinated, targeted care is imperative. The tion models. Results are encouraging. We’re seeing care methodologies and practices applied must be evidence-based reoriented to primary care physicians, better management of and drive improved clinical outcomes. That’s how data-driven chronic conditions and coordination of care across the entire performance will improve population health. care spectrum. They are developing innovative behavior health management models, and our clients are engaging more deeply with their communities through community-based organizations. We’ve also seen greater physician leadership and involvement in non-clinical areas. All those changes have a positive impact. As DSRIP Fahad Rahman continues, there will be more focus on Principal, DSRIP, Care Redesign & Management Advisors pay-for-performance. So, we’re hoping for even greater collaboration and coordination within PPSs, and better Crain’s: On the federal level, Medicaid is vulnerable. management of entire patient popu- What trends do you see? lations instead of an exclusive focus on metrics. These cultural changes will : Cutting Medicaid funding and curtailing Fahad Rahman drive transformation. the Affordable Care Act were campaign promises that are refl ected in the [Trump] Administration’s current messaging. Crain’s: How can groups But we have yet to see a major policy impact. Earlier this year, involved with DSRIP make the tran- federal regulators encouraged states to implement Medicaid sition to coordinated care? cost-sharing guidelines such as new insurance premiums, emergency room visit charges and job-training requirements. : Coordinating all Fahad Rahman But the risk to Medicaid goes beyond the executive branch. aspects of a patient’s care is critical for Congress’ proposed American Health Care Act would have success in value-based care. Providers signifi cantly curtailed Medicaid coverage by imposing spend- should proactively manage a patient’s ing caps on benefi ciaries. For example, there would have health. But our current system often been cuts to specifi c post-acute-care coverage such as home ‘loses’ patients along their journey. health or longer-term skilled nursing facility stays, which are When patients don’t regularly engage typically covered by Medicaid but not Medicare. Reduced with providers to receive quality coordi- coverage could have meant that Medicaid benefi ciaries end- nated care, they can end up in the hos- ed up in the ER and hospital more often. It’s encouraging to pital or emergency room. Groups that We're the leader in; optimizing care delivery, see that federal regulators have made statements supportive participate in DSRIP must collectively of state reforms and innovation waivers. I’m hopeful that CMS create collaboration frameworks that improving care management, and leading support models of coordinated care. will partner with states to support Medicaid sustainability system transformation, enabling DSRIP program Care coordination is a discipline that models through the various waivers, including the 1115 which participants to meet project objectives and has organizational, clinical, operational, funded DSRIP in New York. workfl ow, patient engagement and metrics through tested tools, workflows, and analytical elements. All of them must analytics. Crain’s: Tell us a bit about Geisinger Health System, work in tandem to be effective. Getting To learn more, visit us at: a Pennsylvania network that has long embedded coor- all the providers and partners to work www.xghealth.com/dsrip-crains/ dinated care in its processes. Why does that experience fl uidly together is complicated. But the matter to the broader health care market?

An Advertising Supplement to Crain’s New York Business

Ask_The_Expert_xG_Rev.indd 1 11/8/17 9:39 AM AGENDA WHO OWNS THE BLOCK REAL ESTATE

FAIRWAY MARKET Possibility of more change ripples through Red Hook But could new development survive another Sandy?

BY TOM ACITELLI

178 SULLIVAN ST. 70 HAMILTON AVE. hen the Port Authority of The nonprot Trust for Governors Island bought The Port Authority owns the 2.2 New York and New Jersey this 141,144-square-foot subsurface lot next to the Red Hook Container Terminal for $650,000 in million-square-foot Red Hook announced in June that it was 2015. The parcel became the launching point for Container Terminal. The current seeking a new operator for its a pipe connecting the island to a Brooklyn water operator’s lease expires in Sep- 80-acreW Red Hook Container Terminal, years of main—a key step in the city’s plans to transform tember. The agency is reviewing the former Coast Guard station into a 24/7 busi- bids from tenants looking to speculation about a massive redevelopment of the ness community. continue running it as a ship- site abruptly ended. ping hub until at least 2023. But further review soon revealed that the decision probably marked the delay of a potential sale rather than its demise. “ e COFFEY TO SULLIVAN STREETS, WEST OF FERRIS STREET pending RFP is not inconsistent with the 185 VAN DYKE ST. agency’s long-term interest in monetizing Cornell Paper and Box Corp., a Sitex Group, an industrial investment rm in Englewood, N.J., bought six properties totaling the Red Hook Container Terminal,” a Port family-owned distributor of corru- gated cardboard, owns this two-oor, more than 11 acres for $105 million in May. Authority spokesman said at the time. “But 139,081-square-foot plant. Brian Rob- The seller, investment development rm Est4te that goal is unlikely to be achieved within bins, grandson of the company’s founder, Four, began assembling the parcels in 2012 the next ve years.” invested $500,000 in riprap and a retain- and had planned to build a more than 1.1 mil- ing wall in 2008 to prevent erosion. Rob- lion-square-foot commercial complex dubbed When and if that sale comes to pass, it bins told FEMA that the move mitigated Red Hook Innovation Studios. But Est4te Four would be nothing new for the Red Hook the effects of Sandy four years later. had trouble securing nancing, and it sold its waterfront, which has seen its share of holdings instead. Sitex plans to upgrade the existing buildings and rent to industrial tenants. changes since the Port Authority sold a nearby 28-acre parcel in 1992. e buyer was Greg O’Connell, a retired Queens police ocer turned real estate investor who is widely credited with kicking o the modern Red Hook era with that $500,000 purchase. e price was right. Much of what O’Connell 175 VAN DYKE ST. bought was abandoned or dilapidated, and some Greg O’Connell owns this three-oor, 188,375-square- of the piers were sinking. O’Con- foot warehouse dating from 1900. It has been connell’s family-run companies still 264 CONOVER ST. verted into 20 separate commercial spaces. Tenants include Flickinger Glassworks and Red Hook Winery. control much of the waterfront, O’Connell’s Beard Street O’Connell also has company ofces here. and they have been catalysts in Warehouse owns this approximately 200,000-square-foot its transformation. lot. No development is cur- e area lacks a subway stop rently planned. The company also owns a 14,000-square- and can feel isolated, but it has 290 CONOVER ST. foot parking lot at 277 become a fashionable address of Conover. O’Connell’s Kings Harbor View late, complete with artisanal food Associates opened the Pier 44 shops, a winery, a Fairway super- Waterfront Garden in 2004 as a privately run green space for market, an Ikea and, as of this spring, a dedicated the area, which then was park- stop on the expanded commuter-ferry service. starved. It includes a short For all the changes, and the promise of more, stretch of sandy beachfront. Red Hook faces a potentially existential threat. e same week the Port Authority signaled its willingness to sell the container terminal, the city announced it was drastically scaling back its 1 BEARD ST. ood-protection plans for the area. New York City’s rst Ikea opened here Instead of devoting $400 million to protect in 2008. The ground-up development on a 22-acre site proved a difcult sell the waterfront from a once-in-a-century catastro- 480 VAN BURNT ST. AND 275 CONOVER ST. to some locals, who saw it as a waste phe—like Superstorm Sandy, which le much of O’Connell acquired these warehouses from the of waterfront space and a cause of the area under several feet of water and tempo- city Economic Development Corp. for $1.7 mil- trafc congestion. As a sop to oppo- rarily shuttered scores of businesses—the city will lion in 2002. The buildings, which date from the nents, the Swedish retailer launched late 1860s, house 24 apartments and a Fairway regular ferry service from just outside allocate just $100 million to guard against smaller, supermarket that opened in 2006. the store to Manhattan’s Pier 11. Ferry “once in a decade”–scale events. ■ tickets for adults cost $5. GOOGLE MAPS, BUCK ENNIS

8 | CRAIN’S NEW YORK BUSINESS | NOVEMBER 13, 2017

P008_CN_20171113.indd 8 11/10/17 10:38 AM AGENDA ENTERTAINMENT

Costume industry in crisis despite film and TV boom Market forces have closed at least nine shops in the past decade BY MIRIAM KREININ SOUCCAR

nless a holiday mira- recently, she has worked on CBS All cle occurs, the city’s Access’s e Good Fight; Amazon’s oldest costume- rental series on Zelda Fitzgerald, Z: e Be- business might shut its ginning of Everything; and the recently doors in the spring. released feature lm Wonderstruck. But UFor the past 10 years, Helen U - now she feels the end is near. ner Vintage Clothing, a lm, TV and “Soon the city is going to be bere of Broadway xture for nearly 40 years, any costume shops,” U ner said. “Every has been ensconced in a 6,200-square- costume business is discussing what to foot showroom at Queens Plaza in do when their lease expires. Ultimately Long Island City. A new landlord in- the emperor will have no clothes.” creased the rent 26%, to more than $100,000 annually, in May and gave the Amazon effect company until next May to move out. Lynne Mackey, owner of an ough the city’s lm and TV eponymous millinery shop on West production business is booming, the 30th Street, has made a habit of check- industry’s growth has somehow over- ing a Facebook page for a group called looked the wardrobe business. Costume People. “Every week people Soundstages are at capacity, and post pictures of the small businesses LAST CHANCE: Uffner has scoured owners are investing tens of millions that are closing,” she said. the ve boroughs of dollars to expand in the Bronx, Her studio—which creates hats for for a new showroom Brooklyn, Queens and Staten Island. Broadway, ballets and television that to rent. Equipment-rental shops are buying run around $400 for a basic fedora and additional inventory, and postproduc- $2,000 for a custom-made bonnet— tion facilities are opening in droves. just renewed a lease for 1,200 square Even catering companies are nding a feet at roughly $5,000 a month, a 9% Carcaci and Susan Handler—both for two weeks. U ner said she hasn’t new source of revenue: increase. ough costume designers—still make cos- been able to raise her prices since 2011 feeding hungry crews. she counts herself tumes for high-prole clients, such as and charges $100 for a dress rented for e city estimates Soon the city lucky that the rent the Macy’s anksgiving Day Parade, four months. the lm and TV in- will be bereft of hike wasn’t higher, but they moved their studio to Bucks “When the productions make their dustry contributes $9 “ Mackey can’t make County, Pa. budgets, they usually have large allo- billion annually to the costume shops” ends meet, and she “With the rent increases, New York cations for set design and props, but economy. is trying to sublet became too dicult,” Carcaci said. “All costume design is at the tail end,” said Nevertheless, a combination of part of her space to another designer. the companies that are still in New U ner. She said revenue last year was skyrocketing rents and declining prof- Adding to her costs, Mackey said, York are going up against what we down 15% from 2015, while rent for its has led to the closing of at least many of the local suppliers she relied went up against with real estate. I only her studio increased 26%. nine local costume shops in the past on to make her hats, including feath- see it getting worse.” ough it is of course possible to decade, including Creative Costume er, ribbon and silk-ower stores, have It’s not just the rent increases that buy costumes on Amazon or get them and Odds Costume Rental. One of the closed. Now she pays more to order are responsible for the costume in- from the major-studio costume-rental largest—Hero Wardrobe in Chelsea— custom materials, sometimes from dustry’s woes. Productions are also houses in California, the loss of the shuttered in May. overseas. spending less on rentals. local industry hurts designers work- Helen U ner started her “We’re holding on by our ngernails Melissa Desrosiers, owner of the ing here. vintage-clothing rental business from just trying to pay the rent,” she said. now-defunct Hero Wardrobe, said Tom Broecker, costume design- her Murray Hill apartment in 1978. She Creative Costume, meanwhile, she started seeing a drop in business er for Saturday Night Live and other scoured ea markets and estate sales was forced to sell its rental invento- from major clients including HBO shows, said that as more stores close, for period clothing from the 1860s to ry in 2012 aer the rent on its West and Marvel a few years ago. When it is getting harder and harder for him the 1980s to supply costumes for lms 36th Street showroom was raised to she asked them why they were renting to do his job. including Out of Africa and Zelig. More $10,000 a month. e owners, Linda less, they said the producers wanted to A couple of weeks ago, Broecker save money. Instead of continuously was making a chicken costume for renting and returning costumes, lm SNL cast member Aidy Bryant. He NO WHITE KNIGHT: companies were buying and storing went to one of the remaining feather Desrosiers them for use on future productions. suppliers in Manhattan—which is ac- closed Hero “On a lot of the bigger TV accounts tually just a showroom for the head- Wardrobe in May. I had, I started seeing people say, ‘Just quarters in Missouri—and bought out buy it on Amazon and then we can its entire supply of yellow feathers. store it for other shows,’ ” Desrosiers When he asked how he could get more said. “It totally makes sense, but you if necessary, he was told they would feel it in your numbers.” need to be shipped from the Midwest, She said her business from Marvel which would take a few days. fell by more than 30% from 2014 to “I needed them in ve hours, not a 2016. She continues to work as a free- couple days,” said Broecker. “e cos- lance costume designer. tume industry is like a food chain, and e loss of volume is especially we need these places to design the cos- detrimental for costume businesses tumes for our TV shows, movies and because they earn so little from each theater pieces.” item. e most expensive rentals at Without a local wardrobe-rental Hero Wardrobe, for example, were and materials-supply industry, he said,

BUCK ENNIS the police uniforms, which cost $225 “it’s a real struggle.” ■

NOVEMBER 13, 2017 | CRAIN’S NEW YORK BUSINESS | 9

P009_CN_20171113.indd 9 11/9/17 7:53 PM AGENDA VIEWPOINTS

Four priorities for de Blasio’s second term Sometimes the mayor The mayor must make progress without spending more makes a good case for building more

IN A POSTELECTION generating $1 billion or so BIG BILLS upper-middle-class whites in market-rate housing. analy sis show on annually for mass transit areas where property values Other times he WNYC, Brian Leh- through congestion pric- rose sharply—a group that rer kept referring to ing. It’s the right thing to do includes the mayor. ignores the issue Mayor Bill de Blasio’s for poorer New Yorkers. A e best approach would hidden second-term Community Service Soci- $85B be a prestigious and diverse agenda. Since then we ety report showed that for CITY BUDGET, task force led by someone he His political team is capable, and they have learned it is pri- every member of the work- up 18% under has complete con dence in— should be recruited to sell it. GREG DAVID marily about national ing poor who would pay de Blasio presumably Deputy Mayor Put the brakes on spending. As Polit- politics, with the rev- congestion pricing tolls, 38 Alicia Glen, if she’s staying— ico reported last week, the cost of the elation that the mayor intends to estab- would bene t from better and a major civic leader to mayor’s housing plan has doubled, to lish a political fund to pursue it. mass transit and some sort % develop a credible alternative. $17 billion. But uncertainties grow. In the meantime de Blasio still has to of ability-to-pay discount. Get those rezonings done. How long can the seven-year economic be mayor. Here are four suggestions for Get serious about property- When de Blasio unveiled his expansion continue? e state is facing a 70CAPITAL BUDGET a second-term agenda that would bene- tax reform. When a coali- aordable-housing plan, he big de cit, which could reduce aid from increase t New Yorkers. tion of real estate and civil pledged to rezone 15 neigh- Albany. Washington could whack the Endorse congestion pricing. De Blasio’s rights groups led a lawsuit borhoods to add units across city with spending cuts or tax changes. rst big mistake came in 2014, when, against the city’s warped the city. His just-expanded De Blasio could implement his prior- aer Gov. Andrew Cuomo pledged state property-tax system this plan delivers low rents to ities without spending more by making funding for the mayor’s prekindergar- year, the mayor reacted pee- about 750,000 tenants, but if agencies in the sprawling bureaucracy ten proposal, de Blasio continued to vishly. Now he says he favors 329KSIZE OF THE CITY’S the new zoning does not hap- pay for new initiatives themselves by push for a tax hike on the wealthy to pay tackling the issue. He needs workforce, up 10% pen, costs for New Yorkers nding eciencies. And he must stop for it. at’s the origin of the feud that to follow through. living in market-rate housing thinking the capital budget is a credit has been so counter productive for the e incredibly complex will continue to soar. card with no limit. ■ mayor. system favors owners over renters, e mayor understands this and De Blasio can do the right thing whites over minorities and the well-o sometimes makes a good case for build- GREG DAVID blogs regularly at by lining up with the governor on over everyone else. It especially bene ts ing. Other times he ignores the issue. CrainsNewYork.com.

Time to turn the city’s building rules upside down Why not create developments where people can both live and work? BY WINSTON C. FISHER

rom Silicon Alley in Lower smart growth and is attuned to every From there the city could package in- ing district. It would be a boon to the Manhattan to the Brooklyn New York City neighborhood’s unique centives for developers willing to incor- burgeoning tech companies that want Tech Triangle, New York City and evolving needs. porate these community priorities. In access to New York’s highly educated has made important strides Step one is adopting far more exi- essence, this would be a more expansive workforce. Fin cultivating mixed-use, live/work ble zoning laws that encourage—rather version of Mayor Bill de Blasio’s man- It also would t squarely with the communities aimed toward the cre- than prohibit—dierent types of devel- datory inclusionary housing policy, in mayor’s ve-borough plan to create ative workforce and growth industries. opments to exist side by side (and pos- which incentives would be tied not just 100,000 jobs and centers of innovation While things are o to a good start, sibly even oor by oor). e next step to aordable housing but also to com- for such growth industries as technol- our elected ocials need to be more munity facilities and job creation. ogy, cybersecurity and life sciences. proactive if New York is to reach its po- With dynamic zoning, the city Such live/work microcommunities also tential for economic and middle-class Dynamic zoning will would be in the business of cultivating would alleviate some of the burden on job growth. In particular, we need to be allow the city to cultivate vibrant microneighborhoods where our overtaxed public-transportation more creative and open-minded when residents of all ages could easily coexist system, as the new jobs and housing it comes to our most precious com- microcommunities where with an eclectic mix of small businesses would be virtually side by side. modity: land. and incubators. Of course, none of this will be easy. e city and its land-use policies are residents coexist with Imagine a scenario, for example, Having operated under a fraught land- hamstrung by antiquated zoning regu- an eclectic mix of in which a recent graduate of Cornell use process that too oen pitted resi- lations that force developers and poli- Tech or Fordham University could rent dents, developers and government cy makers to choose between building small businesses and an aordable apartment on the same against one another, we all will need housing and protecting scarce land for incubators block as his new job at a cutting-edge to regain a sense of mutual trust and commercial or manufacturing use. e tech startup. Better yet, what if his shared responsibility. If nothing else, rules also stie creativity, make for in- apartment and his employer shared the the adoption of a dynamic zoning ecient use of land and preclude smart is for the city to engage communities in same building? model will generate an honest and growth. a formal planning process to create a Such a scenario—virtually impos- open conversation about how we move e answer is dynamic zoning, an comprehensive list of short-term needs sible now—could be the norm, as de- forward in the 21st century. ■ idea that has been around for years but and long-term opportunities in such velopers would gladly incorporate a needs the support and participation of areas as housing, oce space, schools, modest amount of aordable oce Winston C. Fisher is a partner at Fisher government, community stakeholders lab space and transportation. space in new projects in exchange for Brothers and co-chair of the New York and developers to succeed. Dynamic Ideally this would culminate in a de- greater density or the opportunity to City Regional Economic Development zoning is a process that incentivizes tailed blueprint for sustainable growth. build housing in a former manufactur- Council.

10 | CRAIN’S NEW YORK BUSINESS | NOVEMBER 13, 2017

P010_CN_20171113.indd 10 11/9/17 6:04 PM A ROUNDTABLE DISCUSSION ADVERTISING SUPPLEMENT TO CRAIN’S NEW YORK BUSINESS Human Resources 2.0: A look to the future

Lior Arussy Paul Gordon Founder of Strativity Group Senior Vice President of Sales for Rymax

ramatic changes are sweeping across demographics of many companies are changing The culture of an organization can be the field of human resources in an era of as baby boomers exit the workforce, this is an defined as “the stories that employees tell rapid technological innovation. Thanks evolutionary process not a revolutionary one. behind management’s back.” Social media Dto trends such as increased social media use Using an old sports analogy, companies still want has replaced the water cooler as the place in HR and ever-evolving online employment employees who understand their role on the for those conversations. Social media can application platforms, professionals in the team and are committed to crossing the goal line. be used both to detect the current culture field have more tools in their arsenal than ever memes as well as shape them. before. But these changes have also brought New technologies can help them find the interesting challenges, such as how best to right candidates because they can humanize From our experience, however, social media can reward employees at a time when mobile and an individual through social media. However, be hijacked by the loudest and most extreme online technology have conditioned many of us technology such as cold, generic employment voices, and those voices may disproportionately to expect instant feedback and recognition. application sites can also strip the personality influence the cultural narrative. It happens every and individualism from potential hires. day in the broader social media realm, as well as For insight, Crain’s Custom recently spoke with in the organizational social media realm. Lior Arussy, founder of Strativity Group, a global Long gone is the opportunity for a candidate to customer experience design and transformation rise to the top of the pile of candidates with a great When organizations, in the name of firm; and Paul Gordon, senior vice president of cover letter that illustrates how they will be a good authenticity, refuse to censor any of those, sales for Rymax Marketing Services, a full- fit, or a cleverly laid out resume. Online applica- even their organization’s own social media, service provider of loyalty programs and events tions remove that element from the equation. they risk the possibility that employees with a designed to engage and motivate employees particular agenda will steer the conversation and increase customer retention. Both are Technology puts everyone at the same and influence opinions unfairly, leaving located in the greater New York City area. starting point and on presumably a level management puzzled if not furious. playing field. The victory goes to the candidate Crain’s: The digital era has transformed who uses the technology to their advantage To overcome this challenge, employers must recruiting. How have recruiting practices and injects a human element into the process. start by revoking anonymity from organizational changed in recent years to incorporate new social media. If employees have real gripes, they technologies, and what are the implications Recently, for example, I had a candidate bypass should be able to share them openly in public of these changes? our process, and he sent an e-mail to me domains of the organizations. If team members directly seeking a position. His e-mail was well fear repercussions, they should address them in Lior Arussy: We are seeing constructed, insightful into my business and non-public channels available to whistleblowers. ® the proliferation of recruiting concise. I responded to his e-mail and directed Additionally, language standards and civility tools that are geared toward creating a higher him to our recruiter to continue the conversation should be required of all involved. accuracy of both skills and cultural fit between and expect that I will interview him in the coming the candidate and the organization. Their weeks. He took a chance and it made him stand Paul Gordon: Social media promise, though, is somewhat overplayed. The out. It also showed me that this person, who is is a great way to strip away average manager may tend to believe that with seeking a sales position, had tenacity and did his glossy company propaganda and show the those tools, the roles of human impression and homework, which is critical in sales. true culture of the company. Companies need smart interviewing have ended. However, the to be cognizant of the ever-changing vehicles tools portray benefits that are beyond their Crain’s: Social media is an increasingly and use the sites that are most popular. actual capabilities. The best way to view these important part of HR and can be helpful tools is that they are eliminators of the wrong in promoting a company’s culture and According to recent studies, 18% of all U.S. candidates but they are not selectors of the right internal talent and recruiting efforts. How social media users use Snapchat. Snapchat candidates. New technologies are more likely to can a company best use social media in its has approximately 161 million daily active users. assist a manager by focusing the search pool and HR practices—and are there challenges to Over 80% of Snapchat’s daily users are between limiting the conversations to those candidates social media? the ages of 18 and 34. Meanwhile, over 80% of who demonstrated initial fit. But the ultimate fit millennials check Twitter at least once per day. must be determined by the hiring manager. Lior Arussy: There are really And Facebook, although trending older now,

® two aspects to social media in a still has 73% of male internet users and 85% Paul Gordon: Companies cultural and HR context: the organization’s social of females. And since more than 60% of online struggle today to find media activities and employees’ social media adults use more than one social media platform, candidates with the right skill set but increasingly activities. The former tend to be more formal and it is important to use multiple platforms. also look to see if they are a good fit for the act as the voice of the organization; the latter tend existing company culture. Although the to be more authentic and individualized. Posting videos, photos from office events,

Crains HR Roundtable 3 pages MECH.indd 1 11/7/17 12:16 PM A ROUNDTABLE DISCUSSION

important to people. Second, companies need peer-to-peer recognition. It “If employees have real gripes, they For many, it is work/life is human to look for recognition. Empower employees should be able to share them openly in balance and the ability to recognize other employees to build the team and to work in a more create esprit de corps among the ranks. Both of these public domains of the organizations.” flexible environment. initiatives should have product awards so that there Some employees is a residual trophy value. Don’t go to cash. Recipients — Lior Arussy appreciate faster won’t remember what they did with the $500 in cash transfers between but will wear the $500 watch, look at it several times contest winners, peer-to-peer recognition and years roles or regions so that they may experience diff erent a day, and feel good about the organization. And of service acknowledgments are all great insights into cultures. Additionally, the ability to see results and that along with a fair compensation package builds a the company culture. But don’t make the mistake of achievements in shorter intervals is equally important strong organization. making this a strictly HR initiative. Get the employees to today’s workforce. Focus on what matters to each involved. Let it be real and let it be informative. employee and craft a package that addresses those Crain’s: In today’s work environment, rewarding elements. The answer is in the balance between employees often goes beyond paying a bonus Use video as often as possible. 100 million hours of employees’ interests and priorities and a package for high performance. How can a company video content are watched on Facebook alone every that reflects that. determine what types of rewards really matter day. Over 72% of all content is in video. to employees—and how can they use rewards in Paul Gordon: Good employees will creative ways to retain the best talent? It doesn’t have to be slick, just interesting to the always fi nd work in a robust economy viewer. George Lucas, arguably one of the greatest with low unemployment. So today the question is Lior Arussy: Our research has fi lmmakers who revolutionized the big screen with big more in line with how do companies retain the best ® demonstrated that the number eff ects, once said, “I would never guess people would employees and recruit new great talent. one driver of employee engagement is “making watch cats do stupid things all day long.” an impact.” The ultimate reward is not sending Compensation needs to be quickly followed by quality employees away from work (with time off or bonus Companies need to have employees participate and of life. Everyone is seeking a good salary and benefi ts vacation days), which demonstrates that work is humanize their company through social media. but the balance of quality of life is usurping dollars for wrong or boring or should be avoided. Rather, we many. Employees have taken pay cuts for a shorter ought to focus on creating a work environment that Crain’s: In periods of low unemployment, like the commute or greater benefi ts that create a healthier allows employees to express themselves and discover one we’re in now, compensation can be a very balance for them. they can make a diff erence. important factor in attracting the right talent. How can companies construct compensation packages We work with our clients in a couple of critical A growing element of rewards and recognition is to make sure they attract the best talent? areas that contributes to that balance. First off , granting lifetime experiences, instead of giving an employee recognition has to be a cornerstone for all employee a bonus. Think about a growth opportunity Lior Arussy: The assumption organizations. Annual reviews are more demoralizing such as a training course they may otherwise not

® that money is the main driver of than beneﬁ cial in most cases and often the reviewer have the chance to experience or an experience in employment should be dispelled. Attracting the is not equipped to carry out that task. Regular an exotic locale that will allow them to be introduced right talent requires an understanding of what’s recognition is key to a healthy organization. to new cultures. We live in a world of stories and

Inspire and empower your employees to deliver exceptional performance.

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Crains HR Roundtable 3 pages MECH.indd 2 11/7/17 12:16 PM ADVERTISING SUPPLEMENT TO CRAIN’S NEW YORK BUSINESS

experiences we all share. Create one that they will equipment. Create team building exercises at group greater time investment and commitment to others remember for a lifetime. meetings and reward them with products based on than other roles. HR professionals should be ready levels of achievement. to usher millennials through their growth experience Paul Gordon: Employers need to and provide leadership tools—both personal and offer employees a choice in their Feature updates on social media sites and managerial—to support them on their journey. rewards. Give the employees what they want, not recognize the winners. Bring some of the products what you think they want. Construct the rewards in a showcase and put them in the break room or Paul Gordon: For starters, we need cafeteria. Make them to stop painting the millennials visible and a point of with one broad stroke or as some mythical unicorn. We ought to focus on creating a work conversation. And as They are a diverse group that does have other needs environment that allows employees to always, be open to and in some cases a different perspective. feedback. express themselves and discover they That said, I believe that all organizations like can make a difference.” — Paul Gordon We have the luxury of species must evolve to survive. Not change… evolve. having clients around Companies, in interviews, need to be honest about the world in virtually the culture of their current organization and assess program so that it can be seen on all smart devices all age groups and demographics, so we can also if the candidate is a good fit. and create a budget by levels based on tenure or discuss redemption trends among these different accomplishment. groups with clients. The fit is important for your immediate needs. If the fit is good and this employee becomes an asset, The items that they can choose from must be Crain’s: As millennials continue to advance in that employee will begin to influence change to an aspirational, meaning items that they would buy— the workplace, their generation is reshaping how open organization. Those changes will lead to other products that are advertised and featured in current companies are run. How can an organization’s millennials like them joining the organization, and the advertising. No one wants last year’s model and, with HR department best respond to this? evolution process will begin. all due respect to everyone that loves their company logo, employees, for the most part, don’t want the Lior Arussy: HR professionals James Collins wrote the book Good To Great: company logo on aspirational brands. ® should not respond to millennials, Why Some Companies Make the Leap and Others but rather shape themselves proactively to meet their Don’t in 2001. Though the book was excellent, Keep the program fresh and use a partner that can evolving expectations. HR is evolving into the role some of the featured companies no longer exist. deliver the latest products. When Apple introduces a of guide, coach, educator and path visualizer, all the Was it market conditions, the lack of evolution or new product, get it into your program. When Michael while helping millennials recognize the patterns and other factors? Kors, Stella McCartney or Salvatore Ferragamo tools required for growth. introduce new fashion items, include them. And As the workforce shifts from boomers to millennials, anything that connects to Alexa is in high demand. Millennials are going through a growth and maturity companies need to strive to go from good to period where they learn the facts of life. Some are great—and stay there—by embracing the new, while Invigorate the program by being creative. Have now discovering that living with their parents is not a incorporating the current that made them successful interactive events for audio headsets or for fitness long-term option or that management roles require a in the first place.

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BUCK ENNIS Sam Ash Music Ash Sam Casper Key FoodTory Stores Burch Infor Nebraskaland Snacks Healthy Kind Hearst D’Addario & Co. Oscar Health Health Oscar Union Square GroupHospitality T aboola Diane Taboola von Furstenberg Studio AND 124otherbusinesses with$155millionormorein revenue Trump Organization Omnibuild MediaMath MediaMath Omnibuild Modell’s Sporting Goods Goods Sporting Modell’s F reshDirect FreshDirect

Bloomberg LP McAllister Towing &Transportation Bartlett Dairy Bartlett Goya Foods NE C OMPANIES W Y LA AppNexus BuzzFeed AppNexus TH PRIV RGE E Bowlmor AMF K’S ORK’S NOVEMBER 13,2017 LIST Vice Media Vice AT |

C R AIN’S NE ST ST W YORK E B USINE SS |

11/10/17 3:33 PM 15 AGENDA NY AREA’S LARGEST PRIVATELY HELD COMPANIES Ranked by 2016 revenue

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16 | CRAIN’S NEW YORK BUSINESS | NOVEMBER 13, 2017

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CONTINUED ON PAGE 18 Showcase your event space or services in Crain’s Best Venue Guide In connecti on with the acquisiti on of First Niagara Financial Corporati on by KeyCorp, and Don’t miss this list! pursuant to an agreement with the U.S. Department of Justi ce, KeyBank Nati onal Associati on off ers the properti es listed below for sale, assignment or sublease to interested depository insti tuti ons off ering deposit and credit products and services. These properti es are currently uti lized as bank branches where existi ng branch operati ons are, subject to regulatory approval, ceasing as of the close of business on December 8, 2017. KeyBank Nati onal Associati on, through local brokers designated below, will entertain off ers on these properti es from qualifi ed depository insti tuti ons and, subject to Department of Justi ce approval, from non-depository bidders should no commercially appropriate off ers from qualifi ed depository insti tuti ons be received. KeyBank Lease Local Contact Company Branch Address City State Zip Interest Expirati on Broker Phone Email Address 8D8r8QGWep Name Name Date Name Number Buff alo Cushman Tyler Pine Ave 2407 Pine Ave Niagara Falls NY 14301 Leased 9/30/2021 Wakefi eld 716-878-9625 tbalenti [email protected] 6fHWUdTQcdr#WQGcUYSr(`fdQ Balenti ne Pyramid Northtown Cushman Plaza Richard 3051 Sheridan Dr Amherst NY 14226 Own N/A Wakefi eld 716-852-7500 [email protected] (Eggert Schechter Published in Pyramid 0@r3GSQYrr#`r)YI Sheridan) Crain’s New York Hudson Business Book of Lists issue Valley Perlmutt er Spring David 193 Route 59 Spring Valley NY 10977 Leased 8/31/2019 Properti es, 914-262-0026 david@perlmutt erproperti es.com Valley Perlmutt er 8GWWpQr3è`cdr(`WPUYS Inc Yon- Perlmutt er Close date: Dec. 1 David kers-Water- 66 Main St Yonkers NY 10701 Leased 2/28/2020 Properti es, 914-262-0026 david@perlmutt erproperti es.com Perlmutt er Issue date: Dec. 18 front Inc Perlmutt er Oakwood David &QPhGpr!ddÌUGeQdr)YI 2515 South Rd Poughkeepsie NY 12601 Leased 6/30/2018 Properti es, 914-262-0026 david@perlmutt erproperti es.com Commons Perlmutt er GYPr!RRUWUGeQd Inc Rochester Cushman Mount 3603 Mount Read Chris Greece NY 14616 Leased 5/31/2030 Wakefi eld 585-248-9426 [email protected] Read Blvd Guinta Pyramid #fccpr!fe`XèUgQ CUSTOM STUDIO CQQVdr3GcUYQr)YI | | NOVEMBER 13, 2017 CRAIN’S NEW YORK BUSINESS 17 3`PQWWdr9a`ceUYSr'``Pd P016_P026_CN_20171113.indd 17 11/9/17 7:39 PM !WWUQPr"QgQcGSQr'c`fa "GXHQcSQcr6`WpXQcdr)YI @cfXar5cSGYUqGeU`Y 1cGdPGWQr&``Pdr)YI AGENDA

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#fccpr!fe`X`eUgQ CQQVdr3GcUYQr)YI 3`PQWWdr9a`ceUYSr'``Pd !WWUQPr"QgQcGSQr'c`fa "GXHQcSQcr6`WpXQcdr)YI @cfXar5cSGYUqGeU`Y COMPANY Smith, 1cGdPGWQr&``Pdr)YIpaper billionaire RXR buys Manhattan SPOTLIGHT TEN YEARS AGO revenue at Vice Media FEW COMPANIES have been busier during the real was only $28 million, according to Forbes. Vice Media estate boom than RXR Realty. e rm, headed by % Today the 23-year-old rm, which chron- Scott Rechler, was the biggest buyer of Manhattan icles culture for people around that age, is oces last year, according to Bloomberg News, 60.3 RXR REALTY’S a power house. Last year it teamed up with culminating with the $1.65 billion acquisition revenue growth A&E Networks to launch cable channel # of 1285 Sixth Ave. e company also developed between 2015 Viceland, and Vice’s daily newsmagazine 25 Pier 57 on the Hudson River—dubbed the Super and 2016, to on HBO has won an Emmy. Private-equity RXR Realty Pier—and it rented space to Google. RXR is still in $955 million giant TPG invested $450 million during the buying mode, teaming up with SL Green to pur- summer, valuing Vice at $5.7 billion, nearly chase a nearly 50% stake in Worldwide Plaza in a twice as much as e New York Times Co. deal that values the Midtown oce tower at more than $1.7 billion. e and Time Inc. combined, and making a bil- # company also made a foray into residential development, purchasing a BLOOMBERG NEWS Shane Smith — A.E. 30 — A.E. lionaire of co-founder . 363-unit property in Fort Greene, Brooklyn.

18 | CRAIN’S NEW YORK BUSINESS | NOVEMBER 13, 2017

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#fccpr!fe`X`eUgQ CQQVdr3GcUYQr)YI 3`PQWWdr9a`ceUYSr'``Pd NY AREA’S LARGEST PRIVATELY HELD COMPANIES !WWUQPr"QgQcGSQr'c`fa "GXHQcSQcr6`WpXQcdr)YI @cfXar5cSGYUqGeU`Y 1cGdPGWQr&``Pdr)YI 3GHadhQ`PadYG`GSQYQ`f bdUPQSXaHGXIaY 4G`GSU`SPUdQIfadITUQRQpQIgfUhQ bGqdaXXeQdhUIQeG`PefGRs`S 5QiFadW5F 3QPUG3GeT `P (XaHGXGPhQdfUeU`S DadXPAdGPQ$Q`fQd YQPUGYGfTIaY $TUQRQpQIgfUhQ fQIT`aXaSq 5QiFadW5F 9fSGcr&``Pdr#`ca 'aaPYG`gRGIfgdU`SG`PCONTINUED ON PAGE 20 ATUdP"hQ egSGdRaaPeIaY $aITGUdYQ` YGdWQfU`S 5QiFadW5F &cQdT$UcQIe `P 6`XU`QSdaIQdUQe #adPQ`"hQ RdQeTPUdQIfIaY 'ag`PQdITUQRQpQIgfUhQ 3a`S0eXG`P$Ufq5F "`hWX`cr!3&r#`ca `P #aiXU`SIQ`fQde STANDDfT@f OUTHaiXYadIaY TO THE7dQeUPQ`fITUQRQpQIgfUhQ 5QiFadW5F UNKNOWN@GH``WG BUYER. #daGPiGq fGHaaXGIaY 'ag`PQdITUQRQpQIgfUhQ 5QiFadW5F Ten-X Commercial is the CRE #`YYQWWr#` marketplace that goes beyond the

@cGYd6QcRQIe 4,361 WEB PAGE VIEWS usual suspects. It connects you with unknown buyers across the globe 113,726CQC`cV SF and offers a greater certainty to 8 APPROVED BUYERS close. Sixty percent of our buyers 6Qcd`YGW@`fITr(`XQr#GcQr)YI come from out of state. $UGYQrg`Yr&fcdeQYHQcSr9efPU` Ten-X.com /commercial | 888-770-7332 9pYQITc`Yr)YI DOWNTOWN OFFICE TenX RE, Inc./Ten-X, a Licensed Real Estate Broker. CA BRE 01994943. 14 BIDS For all other state licensing details visit: https://www.ten-x.com/company/legal/licensing/ 1 Mauchly, Irvine, CA 92618 800-499-6199.

NOVEMBER 13, 2017 | CRAIN’S NEW YORK BUSINESS | 19

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COMPANY WeWorking it SPOTLIGHT % WEWORK’S CLIMB to an estimated $532 million in 2016 rev- 88 6 WeWork enue—with $1 billion expected this year—has been marked WEWORK’S RANK OF by an aggressive expansion in the city and around the globe. ESTIMATED growth WeWork’s Already leasing more than 2 million square feet of Manhat- rate from 2016 $20.2 billion tan o ce space, WeWork made a splash in October with the to 2017, second- valuation $850 million purchase of Lord & Taylor’s 676,000-square-foot highest among the among venture- #54 landmarked Fih Avenue building. top 150 privately backed private Now the company is undercutting the competition to ll held companies companies its spaces. In September, Adam Neumann’s company started oering as much as one year of free rent to prospective tenants SQUARE FOOTAGE of Lord & while also covering the costs of getting out of existing leases. 676K Taylor’s Fifth Avenue building Eliminating rivals would be a boon to WeWork’s valuation, SOURCES: Crain’s research, Dow Jones

BUCK ENNIS which currently stands at $20.2 billion. — GERALD SCHIFMAN VentureSource, The Wall Street Journal

20 | CRAIN’S NEW YORK BUSINESS | NOVEMBER 13, 2017

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COMPANY Powered up SPOTLIGHT !A) CF6@D9( (@ #2@Q2C THE CITY’S building boom has been good to the E-J go to Houston too but didn’t have the bandwidth for E-J Electric Electric Installation Co. e family-owned electrical both situations.” Installation contractor, which has been around for more than2C(81 a A52@ While its storm-recovery business is growing, E-J Co. century, expects that its revenue will have risen by is concentrating on the tristate area, where the compa- 61.4% between 2015 and the end of 2017. Chairman ny’s employees are focused on power plants and other J. Robert Mann said the Manhattan West, 1 Vanderbilt,#5A9(D 60728 high-voltage projects. Even if the city’s construction LaGuardia Airport and Moynihan Station projects boom peters out, the rm has plenty of work in the have contributed to the ascent, as have recent hur- near term. ricanes. “Our whole transmission and distribution “For the next two to three years, I think it’s going #88 !A00A #CAEE( operation was called down to Florida a er Hurricane to be very productive,” Mann said. “If it stops, we’ll Irma,” Mann said. “We were down there for a monthF6D #AC92@E( go back to our normal operations. We’ll still do great and a half, cutting back trees that damaged power electrical projects but maybe not on the scale that

COURTESY OF MYSTICSEAPORTORG lines and reinstalling power lines. We were asked to they are today.” — G.S. CAA72 2@65(@ (CC2EE (EC607 2@65(@ 22 | CRAIN’S NEW YORK BUSINESS | NOVEMBER 13, 2017

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P016_P026_CN_20171113.indd 23 $aYYQdIUGXG`PdQeUPQ`fUGX 11/9/17 7:42 PM @QhQ`fT"hQ WGgRYGàdSGÙrGfUaÌaY $TGUdYG` bdabQdfqYG`GSQYQ`f 5QiFadW5F $aÌdQfQegbQdefdgIfgdQ ATUdP"hQ `GhUXXgeUÌIaY 7dQeUPQ`f YGea`dqfUXQG`PSQ`QdGX 5QiFadW5F Ia`fdGIfU`S @fdgIfgdGXQ`SU`QQdU`S 4GPUea`"hQ fTad`fa`faYGeQffUIaY $TGUdYGÌTUQRQpQIgfUhQ PQeUSÙ`hQefUSGfUa`G`P 5QiFadW5F G`GXqeUeeQdhUIQe `P @fGRs`SdQIdgUfYQ`fG`P 'URfT"hQ GfdUgYefGRRIaY 'ag`PQdITUQRQpQIgfUhQ YG`GSQPeQdhUIQe 5QiFadW5F 4QGPaiXG`Pe7XGrG &Gef9gfTQdRadP51 AGENDA $aèfdgIfUa`YG`GSQYQ`f I`qSdagbIaY 7dQeUPQ`fITUQRQpQIgfUhQ PQeUS`GeeUefG`PGPhUeadq 5QiFadW5F eQdhUIQe $aYYQdIUGXG`PdQeUPQ`fUGX @QhQ`fT"hQ WGgRYGàdSGÙrGfUaÌaY $TGUdYG` bdabQdfqYG`GSQYQ`f 5QiFadW5F $aÌdQfQegbQdefdgIfgdQ ATUdP"hQ `GhUXXgeUÌIaY 7dQeUPQ`f YGea`dqfUXQG`PSQ`QdGX 5QiFadW5F Ia`fdGIfU`S @fdgIfgdGXQ`SU`QQdU`S 4GPUea`"hQ fTad`fa`faYGeQffUIaY $TGUdYGÌTUQRQpQIgfUhQ PQeUSÙ`hQefUSGfUa`G`P 5QiFadW5F G`GXqeUeeQdhUIQe `P @fGRs`SdQIdgUfYQ`fG`P 'URfT"hQ GfdUgYefGRRIaY 'ag`PQdITUQRQpQIgfUhQ YG`GSQPeQdhUIQe 5QiFadW5F 4QGPaiXG`Pe7XGrG &Gef9gfTQdRadP51 RISING TIDE TOP EMPLOYERS ON THE LIST SPOTLIGHT Revenue of the 150th rm on past editions Trump Organization of the Crain’s privately held companies list 22,450 Hearst Amount in millions 20,000 Bloomberg LP $155 18 19,000 $150 NUMBER OF Palladium Equity Partners construction rms 16,154 CareOne on this year’s list 15,000 $93.4 Infor $90 15,000 Personal-Touch Home Care 15,000 Prestige Employee Administrators 4 12,588 NUMBER OF Renco Group conglomerates 12,000 on this year’s list Continental Grain Co. 2013 2014 2015 2016 11,000

24 | CRAIN’S NEW YORK BUSINESS | NOVEMBER 13, 2017

P016_P026_CN_20171113.indd 24 11/9/17 7:42 PM $aèfdgIfUa`YG`GSQYQ`f I`qSdagbIaY 7dQeUPQ`fITUQRQpQIgfUhQ PQeUS`GeeUefG`PGPhUeadq 5QiFadW5F eQdhUIQe $aYYQdIUGXG`PdQeUPQ`fUGX @QhQ`fT"hQ WGgRYGàdSGÙrGfUaÌaY $TGUdYG` bdabQdfqYG`GSQYQ`f 5QiFadW5F $aÌdQfQegbQdefdgIfgdQ ATUdP"hQ `GhUXXgeUÌIaY 7dQeUPQ`f YGea`dqfUXQG`PSQ`QdGX 5QiFadW5F Ia`fdGIfU`S @fdgIfgdGXQ`SU`QQdU`S 4GPUea`"hQ fTad`fa`faYGeQffUIaY $TGUdYGÌTUQRQpQIgfUhQ PQeUSÙ`hQefUSGfUa`G`P 5QiFadW5F G`GXqeUeeQdhUIQe `P @fGRs`SdQIdgUfYQ`fG`P 'URfT"hQ GfdUgYefGRRIaY 'ag`PQdITUQRQpQIgfUhQ YG`GSQPeQdhUIQe 5QiFadW5F 4QGPaiXG`Pe7XGrG &Gef9gfTQdRadP51 NY AREA’S LARGEST PRIVATELY HELD COMPANIES

CONTINUED ON PAGE 26 NOVEMBER 13, 2017 | CRAIN’S NEW YORK BUSINESS | 25

P016_P026_CN_20171113.indd 25 11/9/17 7:43 PM

AGENDA NY AREA’S LARGEST PRIVATELY HELD COMPANIES

ALPHABETICAL LISTING

COMPANY RANK COMPANY RANK COMPANY RANK COMPANY RANK COMPANY RANK

24 Seven Inc. ------137 Clare Rose Inc. ------128 Harbor Seafood Inc. ------84 Modell’s Sporting Goods ------37 Shevell Group of Cos. ------66 ABCO Refrigeration Supply Corp. --116 CNY Group ------110 Harold Levinson Associates Inc. -----18 Monadnock Construction Inc. ------85 Sigma Plastics Group ------12 Adams & Co. Real Estate ------106 Commercial Mortgage Capital -----122 Hazen and Sawyer------117 Myron Corp. ------73 Solomon Page Group ------138 Advance Publications Inc. ------16 Computer Generated Solutions Inc. 135 Hearst ------1 National Retail Systems------105 Stark Carpet Corp. ------143 AFD Contract Furniture Inc. ------121 Connell Co. ------52 Henegan Construction Co. Inc. ----108 Navillus ------112 Sterling Talent Solutions ------65 Alcott HR Group ------71 Continental Grain Co. ------14 Horizon Media Inc. ------3 Nebraskaland Inc. ------64 Structure Tone Organization ------9 Alliance Shippers Inc. ------103 Crestron Electronics Inc. ------17 Hudson Meridian Construction Grp. 97 NFP ------29 Sugar Foods Corp. ------47 Allied Beverage Group ------38 Crystal & Co. ------144 Hunter Roberts Construction Group 22 NPD Group Inc. ------87 Synechron Inc. ------56 Amerex Group ------134 Curry Automotive ------35 ICC Industries Inc. ------21 Okonite Co. ------69 T.G. Nickel & Associates------91 Appliances Connection ------150 Curtis Instruments Inc. ------67 Imperial Bag & Paper Co.------61 Omnibuild ------102 Taboola ------51 AppNexus ------75 D’Addario & Co. ------141 Index Exchange ------100 OpenLink Financial Inc. ------123 TFC Associates ------148 Argo Turboserve Corp. ------89 Datapipe Inc. ------104 Infor ------13 Oscar Health ------68 Thermwell Products Co. ------125 Atrium Staf ng ------114 Deep Foods Inc. ------94 Information Builders ------90 Palladium Equity Partners ------15 Thornton Tomasetti Inc. ------113 Aurora Contractors Inc. ------139 Denihan Hospitality Group ------93 J. Fletcher Creamer & Son ------72 Palm Bay International Inc. ------83 Tory Burch ------25 AvePoint ------98 DialAmerica Marketing Inc. ------70 J.T. Magen & Co. Inc. ------32 Payoneer ------140 Trammo Inc. ------4 Bamberger Polymers Inc. ------39 Diane von Furstenberg Studio ------56 Jack Resnick & Sons Inc. ------95 Perkins Eastman ------119 TransPerfect ------53 Ban Products Corp. ------79 Diversi ed------62 Jetro Cash & Carry Enterprises ------43 Personal-Touch Home Care Inc. -----55 TravelClick ------81 Barr & Barr Inc. ------82 Doherty Enterprises Inc. ------58 JRM Construction Management ---147 Prestige Employee Administrators ---28 Triton Construction ------74 Bartlett Dairy Inc. ------130 E-J Electric Installation Co. ------88 Kaufman Organization ------111 Pride Global ------46 Trump Organization ------40 Bayside Fuel Oil Corp. ------78 Eileen Fisher Inc. ------80 Key Food Stores Co-Operative Inc. --20 Promotion in Motion Cos. Inc. ------86 Turtle & Hughes Inc. ------45 Bloomberg LP ------2 Empire Of ce Inc. ------59 Kind Healthy Snacks ------42 Publishers Clearing House ------31 Union Square Hospitality Group -----99 Bookazine ------63 Ergonomic Group Inc. ------141 Krasdale Foods Inc. ------41 PURE Group of Insurance Cos. ------44 Univision Communications Inc. ------11 Bowlmor AMF Corp. ------50 Fedway Associates Inc. & Af liates --34 Lafayette 148 New York ------149 Quality King Distributors Inc. ------10 Vice Media Inc. ------25 Breakthru Beverage Group ------7 FJC Security Services Inc. ------129 LiRo Group ------92 Rallye Motors Holding ------33 Vista Food Exchange Inc. ------76 Briad Group ------107 Fluent Inc. ------131 Manhattan Beer Distributors ------23 RC Andersen------115 Weeks Marine Inc.------36 BuzzFeed ------108 FreshDirect ------49 Max Kahan Inc. ------118 Red Apple Group Inc. ------5 Well Luck Co. ------124 CAN Capital ------101 Gellert Global Group ------24 McAllister Towing & Transportation 132 Renco Group Inc. ------5 WeWork ------54 CareOne ------25 Goya Foods Inc. ------19 MediaMath ------47 RXR Realty ------30 Wm. Blanchard Co. ------145 Casper ------125 Great Eastern Energy ------60 Mediaocean ------125 SalSon Logistics ------119 World Finer Foods Inc. ------133 Central National Gottesman Inc. ----- 8 Groundtruth ------146 Mitchell Martin Inc. ------136 Sam Ash Music Corp. ------76 Zeta Global ------95

26 | CRAIN’S NEW YORK BUSINESS | NOVEMBER 13, 2017

P016_P026_CN_20171113.indd 26 11/9/17 7:43 PM LARGEST PRIVATE COMPANIES | NO. 40 TRUMP MISSES OUT Abandoned hotel project and cooling condo market help explain revenue decline

BY AARON ELSTEIN

he Trump Organization’s hotel division in January announced plans for the company’s rst New York project since Trump SoHo started rising in 2006. e rm said it had signed a letter SOHO SOLO: Trump has of intent with an unidenti ed party to develop a new Scion stepped back from city hotel here—a less upscale brand than typical Trump hotels. hotel development. Since then, President Donald Trump’s company said it would open a Scion as well as three budget-priced American Idea hotels in Mississippi. TAs for the New York Scion project, city ocials and rival hotel developers said they were unaware of any progress, and a Trump Hotels spokeswoman said it’s unlikely the city will ever see a Scion or an American Idea hotel. “I don’t believe New York is currently a priority for those brands,” she said. Across the city, these are halcyon days for real estate developers. e largest commercial landlord in Manhattan, SL Green Realty, is building a skyscraper Manhattan since the start of 2015, with another 9,000 expected to be completed next to Grand Central Terminal, and in September it teamed up with RXR by 2020, said Jonathan Miller, CEO of appraisal rm Miller Samuel. Half of the Realty to acquire a nearly 50% stake in Midtown skyscraper Worldwide Plaza apartments that have come on line are unsold, he estimates. for $1.7 billion. e city’s largest developer by market capitalization, Vornado Realty Trust, is transforming the Farley post oce building into a waiting room Trump brand losing value for Penn Station, while its oce towers command record rents. It seems unlikely that the Trump name will appear on any new condominiums Yet the city’s best-known landlord is missing out. Not only are the Trump soon, because the market for Trump-branded apartments in the city is cooling Organization’s plans to develop a hotel here going nowhere, but prices are slump- fast. e average price per square foot for a Trump Tower apartment has fallen ing for condos at Trump Tower and the Trump International Hotel and Tower. by 23% since 2015, according to e Wall Street Journal, while prices have held And golfers are shunning the Trump Golf Links at Ferry Point in the Bronx, steady at other Midtown towers, excluding new developments. At the Trump where revenue through mid-September had International Hotel and Tower on Central fallen by more than $1.1 million in the past Park West, the average price per square foot two years, to $5.7 million, amid a 16% drop “THERE’S BEEN A TON OF LUXURY is down 24%. A spokeswoman, though, told in rounds played. the Journal that the Trump Organization is In addition, the Trump Organization, a DEVELOPMENT IN NEW YORK. “incredibly proud of the overall performance perennial leader on the Crain’s list of largest REGARDLESS OF WHAT PEOPLE that Trump properties continue to achieve.” privately held companies, has fallen steeply In addition to grappling with a crowded in the rankings, to No. 40 from No. 3 last THINK OF TRUMP, THE QUESTION hotel and condo market and hostile polit- year, following the president’s disclosures to ical atmosphere here, several Trump federal regulators that revealed the organiza- IS: DO WE NEED MORE?” Organization leaders are dealing with fed- tion’s revenue is less than a 10th of what the eral investigations. Executive Vice President rm had reported since at least 2010. Donald Trump Jr., who runs the family business with brother Eric, has been Politics partly explain why the Trump Organization has gone quiet in its questioned by Congress over Russian interference in last year’s election. Michael hometown, where 80% of voters supported Hillary Clinton in last year’s pres- Cohen, a top Trump Organization lawyer, also was called to appear before Senate idential election. investigators about the Russia matter. Special prosecutor Robert Mueller report- But there are also business reasons. While RXR, Vornado and other compa- edly wants to interview Rhona Gra, a Trump Organization senior vice president nies focus on developing commercial oce buildings, Trump historically has and the president’s longtime personal assistant. specialized in two sectors that appear especially saturated: hotels and luxury Gra was the executive who typically reported Trump Organization reve- condominiums. “ere’s been a ton of building of both those things all over the nue gures to Crain’s, which relies on companies to self-report for the list. Last city,” said Jesse Rosenthal, a senior real estate analyst at independent research year’s $9.5 billion in revenue reported by the organization looks preposterous in rm CreditSights. “Regardless of what people think about Trump, the question light of federal lings made by the president in the past year. ose indicate the is: Do we really need more?” (At least one developer is betting the answer is yes. Trump Organization generates between $600 million and $700 million in annual See “Times Square’s next big thing,” page 29.) revenue. Neither Gra nor a Trump Organization spokeswoman responded to e city’s supply of hotel rooms has grown by 50% since 2008, to 115,000, requests for comment about the discrepancy. ■ and is expected to reach 142,000 in the next few years, according to a Septem-

ber report by NYC & Co. Meanwhile, 9,000 condo units have been built in Daniel Geiger contributed to this article. BUCK ENNIS

NOVEMBER 13, 2017 | CRAIN’S NEW YORK BUSINESS | 27

P027_CN_20171113.indd 27 11/9/17 7:46 PM LARGEST PRIVATE COMPANIES | NO. 150

It also helps to be in Brooklyn, with an 80,000-square-foot warehouse in New Jersey, which gives the company proximity to the wealthiest and most densely populated market in the country. Its Bath Avenue headquarters includes a 23,000-square- foot showroom, where customers can take a look at Scavolini cabinets (Appliances Connection has an exclusive partnership with the Italian rm) as well as stoves, refrigerators, countertops and furniture. Appliances Connection’s success stands in con- trast to what has happened at some brick-and-mortar outlets. In April bankrupt electronics and appliance retailer HHGregg shuttered its 220 stores aer losing sales to Amazon and failing to nd a buyer. Sears, once the largest appliances retailer, is shedding stores and struggling to survive. RINSE AND REPEAT: A housing But the category is still overwhelmingly a brick- boom and returning customers and-mortar business. Overall consumer appliance helped Albert and Elie Fouerti grow their business. sales in the United States grew 5.6% in 2016, to $69 billion, according to Euromonitor. Best Buy and J.C. Penney consider the category a bright spot. To fend o competitors, which include P.C. Richard & Son, e Home Depot and fellow Brook- lyn independent e-tailer AJ Madison, Appliances Connection depends on aggressive pricing, detailed product descriptions, digital marketing chops developed over years in e-commerce and, most important, elf-taught computer whiz Albert Fouerti well-trained and educated in-house customer-ser- did not start Appliances Connection out vice agents and salespeople, all reachable via an 800 of a love for electric double wall ovens or number. About half of the company’s purchases in- THIRD stainless steel French-door refrigerators. volve a phone call with a customer. e son of Syrian Jews who ed to the A major appliance “is not an easy thing to buy,” SUnited States and landed in Brooklyn in 1992, he said Elie Fouerti, 38, who is chief nancial ocer. launched his rst online business, selling custom- “You have to t it in certain areas. ere are ques- TIME’S THE ized computers, in 1999. He was 19. tions in regard to electric power, doorways, entranc- Plunging computer prices eventually made that es.” e personal touch marks a key point of dier- business obsolete, so he switched to selling digital entiation with Amazon, which the brothers say does cameras and at-screen televisions. It proved a smart not focus on the big-ticket items that are Appliances CHARM move until TV prices fell and the iPhone appeared. Connection’s stock in trade and require extensive In 2011 he and his older brother, Elie, who had customer service. It took a few tries, but the brothers dropped out of college to join him in the camera “If I buy from Amazon and I have a problem, who behind Bensonhurst-based venture, changed direction again. do I call?” asked Paul, who runs an oce supply rm “We needed to sell something that’s a necessity,” in Manhattan, buys and resells a range of applianc- Appliances Connection nally recalled Albert Fouerti, 37, who is chief executive of es and for competitive reasons did not want his last gured out how to win the company. “You’ll always need a washer-dryer or name to be used. “If I have a problem with Applianc- refrigerator. e prices for appliances trend up, and es Connection, I call and they pick up the phone.” your prot margins go up with it.” BY MATTHEW FLAMM He could not have known how right he would Moving furniture be. Sales for Bensonhurst, Brooklyn–based Appli- On ratings site shopperapproved.com, out of ances Connection topped $155 million last year, more than 68,000 customer-satisfaction ratings, Ap- 18% over the previous year, and have been running pliances Connection scores 4.7 stars out of 5. Not 48% higher this year, thanks to repeat all of the company’s reviews are that good, customers and a healthy economy, however. e Better Business Bureau web- Albert Fouerti said. at growth has site, with 344 customer reviews, gives it a C. brought the company back to Crain’s FACT Albert Fouerti acknowledged that the largest privately held companies list, rm has had logistical issues during busy on which it last appeared in 2015. periods, but he said the complaints repre- e company’s numbers are a close sent a small fraction of the thousands of or- match with the industry’s as a whole. % ders shipped every day. In addition, some For the 12 months ending in Septem- problems have arisen recently as Applianc- 48REVENUE GROWTH, ber, online purchases of major home es Connection has expanded into furni- appliances grew 47%, according to to $230 million, ture, which he considers another retail cat- Joe Derochowski, a home-industry expected this year egory ripe for e-commerce. “Furniture is a analyst at market research rm NPD lot more fragile [than appliances],” he said, Group. Last year they hit $4 billion, adding that manufacturers were improving up 38% over 2015. their packaging. “We’re not backing o from it. We Two factors have contributed to the Fouerti want to revolutionize it.” brothers’ success, Derochowski said. Consumers, In another move, the company recently set up a who have been researching products on the internet division to oversee sales to builders of multifamily for years, are increasingly comfortable buying on- properties. About 85% of its business now comes line, even for goods they used to want to handle be- from consumers, and the rest involves government fore purchasing. And demographic shis are adding contracts and developers. to demand, as millennials purchase their rst home e Fouertis think the new division could more and empty nesters downsize and move. than double sales to builders, to more than $50 mil- “ ey’re riding two great waves at once,” he said lion next year, and eventually the company’s B2B of online appliance sellers. And there is possibly one segment could expand to 40% of total revenue. more: the increasing interest in entertaining at home. “We’ve hired a whole team,” Elie Fouerti said.

BUCK ENNIS “ e kitchen is becoming a destination,” he added. “ ere’s a lot of development out there.” ■

28 | CRAIN’S NEW YORK BUSINESS | NOVEMBER 13, 2017

P028_CN_20171113.indd 28 11/9/17 6:42 PM LARGEST PRIVATE COMPANIES | NO. 110

LOOKING UP: The hotel is a work in progress, but the billboard is raking in cash.

In August Steven Witko ipped the switch on much advertisers are paying to hawk their wares a 9-story, 18,000-square-foot LED billboard that to the 500,000 visitors who traverse the neighbor- wraps around the base of the luxury hotel his rm is hood on a daily basis, but rates in the area can reach Times developing at West 47th Street and Seventh Avenue. $35,000 per minute. e screen is one of the largest in the world—big Times Square has long been a major destination enough to stand out in a neighborhood long dened for tourists, and Witko is betting that more of them by glaring electric signs. It is also integral to the suc- are on the way. If he is right, the strength of the of- Square’s cess of the entire enterprise, which is why Witko ce market that heralded the neighborhood’s initial and his partners went to great lengths to make it revival two decades ago will continue to ebb, while happen. investors will focus on hotels, attractions and retail e initial investors, who include Douglas Elli- destinations o ering memorable experiences to ever next BIG man CEO Howard Lorber, paid $30 million to buy more out-of-towners. out the owners of the nondigital billboards that But the project is not without risks. Witko and previously adorned his partners paid the building. en $430 million for the THING they embarked on a “TIMES SQUARE HAS A property and even complex construc- MAGICAL CONNOTATION. shelled out $48 mil- A luxury hotel and tion process that re- lion to the owner of quired an artful in- ANYONE WHO COMES a ground-oor sou- entertainment complex terpretation of the venir shop, one of looks to set a new building and zoning TO NEW YORK WANTS the biggest tenant codes. It was spear- buyouts in city standard at the headed by the site’s TO GO THERE” history. Working crossroads of the world general contractor, against the team— CNY Group, No. which also includes 110 on Crain’s largest private companies list (see Maeeld Development, Winthrop Realty Trust and BY JOE ANUTA “How CNY Group grew big in NYC,” next page). hotelier Ian Schrager—are trends in the real estate By preserving at least one quarter of the original market that have reversed course since the proj- structure, the project qualied as a renovation rath- ect’s inception. On average, luxury Manhattan ho- er than new construction. at distinction exempt- tel rooms this year cost around $420 per night as ed it from recent zoning changes that would have of September, a 1% dip from the year before. Retail made it more dicult to ax such an enormous sign rents fell by more than 13% between the third quar- to the base. ter of 2016 and the same time this year. All that fuss is already paying o . e hotel and Plus, in Times Square, more landlords are chas- retail spaces are not quite nished, but the billboard ing prots from digital billboards. e resulting

BUCK ENNIS is already generating revenue. It is unclear how CONTINUED ON PAGE 30

NOVEMBER 13, 2017 | CRAIN’S NEW YORK BUSINESS | 29

P029_P030_CN_20171113.indd 29 11/10/17 7:53 PM LARGEST PRIVATE COMPANIES | NO. 110 HOW CNY GROUP GREW BIG IN NYC

supply boost has already weakened asking rates for THE MARRIOTT EDITION hotel at 20 Times Square reached its full advertisers and could complicate the math for Wit- height this spring. But getting there was no easy task. CNY Group, the ko ’s jumbo LED screen. job’s general contractor, had to demo most of the previous building and excavate the foundation for the 39-story tower while preserving the steel Changing times skeleton of two original facade walls. That involved laser-scanning the old Times Square takes its name from the former steel supports to get precise measurements of where everything was and headquarters of e New York Times, built at the in- carefully drilling new piles 80 feet deep into Manhattan schist, one of the tersection of Broadway, Seventh Avenue and West hardest rocks in the world. “Complicating this already complex job,” said 42nd Street in 1904. e area’s myriad transit op- CNY CEO Ken Colao, “is the 19,000 people walking by the site every hour.” tions and proximity to Broadway theaters made it a But complexity is CNY’s stock and trade. Founded by Colao and his favorite meeting place for New Yorkers until the ear- brother, Steve, in 2003, CNY has emerged as a go-to contractor for developers facing the most daunting construction challenges. For one Manhattan ly 1960s, when it began transforming into a haven KEN COLAO for drugs, crime and X-rated entertainment. high-rise, the company sourced facade components from China and Japan, “ere were grocery stores that sold only beer, and had them assembled in Thailand and then knives and condoms,” said one real estate executive shipped to the site in modules, saving 30% on facade construction. It also who worked in the neighborhood during its nadir. helps explain why CNY is slated to bring in $340 million in revenue this By the early 1980s fed-up city and state ocials year, a more than 200% increase over 2012 gures and enough to earn launched one of the country’s biggest and most con- the company the No. 110 spot on Crain’s largest private companies list. troversial urban-renewal projects. Using the power In its early days, CNY was consistently outbid for small and midsize jobs. of eminent domain, the state eventually seized 13 To become more competitive, the company parted ways with the Building Contractors Association and let collective-bargaining agreements with acres of property along West 42nd Street between union subcontractors expire—a rst for a large city contractor. Freed from Broadway and Eighth Avenue—part of an infamous those restrictions, CNY began running as an open shop, bidding out jobs to stretch dubbed e Deuce by local denizens—and both union and nonunion subcontractors. razed most of the buildings. From the rubble a se- Dennis Prude, a principal at the company and a onetime head of the ries of oce towers rose and eventually wiped away STEVE COLAO union contractors association, told Crain’s that although the rates from much of the undesirable activity. nonunion out ts are generally less expensive, these rms often lack orga- at transformation played out over more than nized labor’s training and skill. It would take nonunion concrete shops six days to pour a building oor, 30 years, with the last oce building opening in for example, while union ones tended to do it in two or three days, saving the project valuable time. 2010 and “Porn King” Richard Basciano announc- But CNY did nd that innovation was easier on nonunion sites, thanks largely to their lack of strict ing before his death this spring that one of the nal work rules. For instance, the rm has begun bundling electrical wires into a neoprene tube that can peep-show pavilions would close. be laid directly into a wet concrete oor, rather than later threading everything through a bent metal But the scrubbing of Times Square—coupled pipe. “We would have never gotten that change accepted by the union,” Prude said. — J.A. with the citywide drop in violent crime—made the area attractive for more than just oce workers. By the time Witko began construction on his hotel in 2015, the city’s tourism numbers were that demand for high-end o erings is robust. have fallen by around 50% during the past 10 years reaching staggering proportions. Nearly 55 million But other key metrics are not looking so hot. and could drop further depending on how much visitors came to New York that year, almost equiva- Revenue per available room and average daily ask- product comes on the market. lent to the entire population of Italy, as Mayor Bill de ing rates are both down slightly from last year. And More recently, retail rents have taken a dive. In Blasio remarked at the project’s groundbreaking cer- pretty much every metric has dipped since the the spring of 2015, when nearly all of Manhattan emony. “at number is going to go up,” he added. headier days of 2014, when Witko locked down was overpriced, the average asking rent for Times And it has. Last year the city welcomed 60 mil- more than $800 million in construction nancing. Square hit $2,413 per square foot, according to the lion tourists, many of whom visited Times Square. Precisely why overall rates are falling despite such Real Estate Board of New York. Today it is down Meanwhile, major commercial tenants who took solid occupancy numbers is a bit of a mystery. Some nearly 20%, to $1,930. space during the neighborhood’s resurgence, includ- experts expect them to rise again a few years from Witko , who is leasing out the 76,000 square feet ing Condé Nast, EY and Skadden, Arps, Slate, Mea- now as construction nancing for new projects dries of retail space in the basement and on the rst four gher & Flom, are moving much of their operations up. In the meantime, one theory behind the decline oors, was able to outpace that downturn with two to newer oce districts elsewhere. is that the nearly 13,000 rooms set to hit the market high-prole deals last year, when rents were still “Times Square is almost too successful,” said Seth in the next few years are causing owners to focus on hovering above $2,300. Pinsky, an executive vice president at RXR Realty, occupancy in advance of sti er competition. e NFL Experience took 25,000 square feet which owns an oce building at 5 Times Square. “Manhattan hoteliers are actually buying occu- across several oors. e store and entertainment “e big question is: How do you make it an exciting pancy by sacricing rates,” said Jan Freitag, a senior complex will charge at least $39 per ticket for mul- destination for tourists while keeping it desirable for vice president at STR. tiple attractions that let fans participate in virtu- the businesses and people native to New York who al-game action. An interactive theater is housed be- also want to live, work and play there?” Your ad here hind the billboard, a clever placement that allowed ough the concentration of tourists has long Similar forces are at work in the digital billboard Witko to ll up the discounted space with a tenant supported a robust collection of hotels, Witko is market. In Times Square —one of the few places in who did not need windows to begin with. looking to set a standard for where and how these the city such displays are permitted—advertising Hershey’s Chocolate World, another experiential visitors spend the night. sales are so lucrative that many landlords are opting retailer, has signed on for more than 5,000 square Marriott developed its Edition brand in partner- to cover entire facades with billboards despite having feet for its new agship, where visitors will be able ship with Schrager, who is still best known as the to steeply discount rents for the windowless oce to personalize confections and order freshly made co-founder of Studio 54 but who also scored a big hit space behind them. e signage also plays an outsize s’mores from an RV parked inside. in 1990 with the cheap, chic Paramount Hotel. ese role in retail leases, with many tenants paying hey “ey [20 Times Square] were able to get top days a room at the Paramount, just a block south of rental premiums in exchange for screen time. dollar from interesting tenants because the neigh- the Edition site, between Eighth Avenue and Broad- e billboard at 20 Times Square is already com- borhood is such a strong market that is expanding way, starts around $130 a night. Pricier o erings manding attention. Less than 48 hours aer the dis- in almost every direction,” said Robin Abrams, vice such as the W Hotel charge at least $269 (accord- play was activated, advertisers began buying time, chair at brokerage Eastern Consolidated. ing to data from TripAdvisor). Details on 20 Times even though the rest of the project is still a construc- Although the building is not all leased up, Abrams Square’s 452 rooms have not been released, but a tion site. e competition is intensifying. said, the sheer volume of foot trac tends to insulate source with knowledge of the project told Crain’s A separate Marriott property added a large digi- the neighborhood from some of the more daunting that rates will start at $500 a night, while high-end tal billboard a few blocks away last year, and the ren- challenges that have beset the rest of the city’s real rooms at the brand’s Madison Square Park location ovation of a DoubleTree hotel across the street is set estate market. at helps explain why Gary Barnett’s can top $1,100. to include a 17,000-square-foot LED screen. Extell Development is partnering with the Hard Rock Occupancy in Manhattan luxury hotels hit nearly An earlier spate of digital billboard construction brand on a ground-up hotel a block north. 80% during the third quarter of this year, according already dampened asking rates, which tend to run “Times Square has this magical connotation, and to data from consulting rm STR. at is slightly between $10,000 and $35,000 per minute for a stan- anyone who comes to New York wants to go there,”

COURTESY OF CNY GROUP higher than the same period a year ago and indicates dard four-week contract. One expert said those rates said Abrams. “ere is nowhere else like it.” ■

30 | CRAIN’S NEW YORK BUSINESS | NOVEMBER 13, 2017

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Application for Authority of 27H, LLC Notice of Qualification of RJME HOLD- In accordance with Section 1-13 of the Concession Rules of the City of New York, the New York City De- filed with the Secy. of State of NY INGS LLC Appl. for Auth. filed with partment of Parks and Recreation (“Parks”) has issued a RFP for the operation and maintenance of two (SSNY) on 9/7/17. Formed in NJ Secy. of State of NY (SSNY) on (2) Bookstalls and related tables at Fifth Avenue between 60th and 61st Streets, Central Park, Manhattan. 9/1/17. Office Loc.: New York Coun- 10/06/17. Office location: NY County. ty. SSNY is designated as agent of Hard copies of the RFP can be obtained, at no cost, commencingNovember 3, 2017 through December LLC formed in Delaware (DE) on 15, 2017, between the hours of 9:00 a.m. and 5:00 p.m., excluding weekends and Holidays, at the Revenue LLC upon whom process against it 02/22/17. SSNY designated as agent Division of the New York City Department of Parks and Recreation, which is located at 830 Fifth Avenue, may be served. The address SSNY of LLC upon whom process against it Room 407, New York, NY 10065. All proposals submitted in response to this RFP must be submitted shall mail copy of process to and the may be served. SSNY shall mail proc- by no later than December 15 2017, at 3:00 p.m. office address required to be main- ess to the LLC, 725 Fifth Ave., 23rd Fl., TheRFP is also available for download November 3, 2017 through December 15, 2017 at Parks’ web- tained in NJ is Gary Gorodokin, 5 To- site.To download the RFB, visit www.nyc.gov/parks/businessopportunities, click on the link for “Conces- NY, NY 10022. DE addr. of LLC: c/o sions Opportunities at Parks” and, after logging in, click on the “download” link that appears adjacent to the boggan Ridge Rd., Saddle River, NJ Corporation Service Co., 251 Little RFP’s description. 07458. Cert. of formation filed with Falls Dr., Wilmington, DE 19808. Cert. Ford M. Scudder, Acting State Treas., For more information related to the RFP contact Glenn Kaalund at (212) 360-1397 or via of Form. filed with Secy. of State, Div. email: [email protected]. 33 W. State St., Trenton, NJ 08608. of Corps., John J. Townsend Bldg., 401 Purpose: Any lawful activity. Federal St., Ste. 4, Dover, DE 19901. TELECOMMUNICATION DEVICE FOR THE DEAF (TDD) Purpose: Any lawful activity. 212-504-4115

Notice of formation of WILLIAMS, BAI- LEY & ASSOCIATES, LLC . Arts. of Org. Notice of Formation of Melt the Band, POSITION AVAILABLE filed with Secy. of State of NY (SSNY) LLC. Arts. of Org. filed with Secy. of on 9/14/2016. Office location: NY State of NY (SSNY) on 9/29/17. Office location: NY County. SSNY designated County. SSNY designated as agent of Technology Business Analyst (AllianceBern- Dataminr, Inc. is seeking a Software Engi- LLC upon whom process against it may as agent of LLC upon whom process stein L.P. – New York, NY) Documnt & anlyze neer – Search and Platform at our office in be served. SSNY shall mail process to against it may be served. SSNY shall bus rqrmnts for new & exist’g entrprse tech The LLC 244 5th Ave Suite W-235 NY, mail process to: c/o The LLC, 200 W. apps, srvcs & processes w/ a focus on col- New York, NY to serve as a key member 86th St., Apt. 20A, NY, NY 10024. Pur- NY 10001. Purpose: Any lawful activity. labortn & prdctvty platfrms. F/T. Rqrs Bach’s of the Search team building systems that pose: any lawful activity. dgr (or frgn equiv) in Comp Sci, Finan, Bus, make social media feeds/streams search- Info Security & Policy Mgmt or rel fld & 2 yrs able in real-time. Req. Master’s degree NOTICE OF FORMATION OF LE CHIEN Notice of Qualification of RGN- exp in job offrd or wrk’g in finan srvcs ind w/ or equiv. in Computer Science or a rel. BLEU NY LLC. ARTICLES OF ORGANIZA- bus units to gathr & define app rqrmnts for TION FILED WITH THE SECRETARY OF HAUPPAUGE I, LLC Appl. for Auth. filed field. Req. one year of related experience with Secy. of State of NY (SSNY) on new & exist’g tech apps. All stated exp must STATE OF NEW YORK (SSNY) ON incl: proj coordintn incl vendor interactn, and demonstrated ability with each of the 7/7/2017. OFFICE LOCATION. NEW 10/25/17. Office location: NY County. test plans creatn, quality assurance test’g following: 1) designing and building large YORK COUNTY. SSNY IS DESIGNATED LLC formed in Delaware (DE) on executn, & implmntn incl communictns & scale distributed software systems; 2) AS AGENT UPON WHOM PROCESS 10/23/17. Princ. office of LLC: 15305 end user train’g; implmnt’g & supprt’g MS AGAINST IT MAY BE SERVED. SSNY Dallas Pkwy., Ste. 400, Addison, TX building search systems with HBase, Lu- SHALL MAIL A COPY OF ANY PROCESS 75001. SSNY designated as agent of Office 365; utlz’g MS Excel & SQL for data cene, DynamoDB, Redis, Avro, and related LLC upon whom process against it may anlysis & productn of metrics; &, commu- AGAINST THE LLC SERVED UPON technologies; 3) utilizing Java, C++, and be served. SSNY shall mail process to nict’g cmplx tech info to internal and external HIM/HER TO: MR. YUON LEE JOUNG, scripting languages such as Python/PHP; 214 W. 16TH STREET APT 1S NEW c/o Corporation Service Co, 80 State clients thru presentatns & written reports. 4) using knowledge of Algorithms, Data YORK, NY 10011. PURPOSE: ANY LAW- St., Albany, NY 12207-2543. DE addr. of Must also have 1 yr exp implmnt’g & supprt’g FUL ACT OR ACTIVITY. LLC: 251 Little Falls Dr., Wilmington, DE Symphony. Exp may be gained cncrrntly. Structures, Design Patterns, Dependency 19808. Cert. of Form. filed with Secy. of Resumes: AllianceBernstein L.P., Attn: J. Injection; and 5) using knowledge of Natu- State, 401 Federal St., Ste. 4, Dover, DE Alvia, 1345 Ave of the Americas, New York, ral Language Processing and Information 19901. Purpose: Any lawful activity. NY 10105. Job ID: BAN-LYU Notice of Qualification of CLARITY SOL- Retrieval, Machine Learning, Big Data UTION GROUP, LLC Appl. for Auth. filed Analytics, and the Hadoop framework. Em- with Secy. of State of NY (SSNY) on Notice of Qualification of NEIGHBORLY ployer will accept experience gained con- 10/16/17. Office location: NY County. INVESTMENTS LLC Appl. for Auth. filed PUBLIC & LEGAL currently. Will accept exp. gained before, LLC formed in Delaware (DE) on with Secy. of State of NY (SSNY) on NOTICES 05/01/14. NYS fictitious name: CLARI- 10/19/17. Office location: NY County. during, or after Master’s program. To apply, TY INSIGHTS, LLC. SSNY designated as LLC formed in Delaware (DE) on please mail resume to HR Generalist, 6 E. agent of LLC upon whom process 08/21/17. SSNY designated as agent Notice of Qualification of WELD CAPI- 32 St., Flr. 2, New York, NY 10016. against it may be served. SSNY shall of LLC upon whom process against it TAL MANAGEMENT LLC Appl. for Auth. mail process to c/o Corporation Serv- may be served. SSNY shall mail proc- filed with Secy. of State of NY (SSNY) ice Co., 80 State St., Albany, NY ess to the LLC, 335 Madison Ave., 4th on 10/05/17. Office location: NY Coun- 12207-2543. DE addr. of LLC: 251 Lit- Fl., NY, NY 10017. DE addr. of LLC: ty. LLC formed in Delaware (DE) on PUBLIC & LEGAL tle Falls Dr., Wilmington, DE 19808- c/o Corporation Service Co., 251 Little 10/03/17. Princ. office of LLC: 450 NOTICES 1674. Cert. of Form. filed with Secy. of Falls Dr., Wilmington, DE 19808. Cert. Lexington Ave., 4th Fl., NY, NY 10017. State DE, 401 Federal, Ste. #4, Dover, of Form. filed with DE Secy. of State, SSNY designated as agent of LLC upon Primero New York LLC. Art. Of Org. filed DE 19901. Purpose: Data analytics John G. Townsend Bldg., 401 Federal whom process against it may be with the SSNY on 9/18/17. consulting firm. St., Ste. #4, Dover, DE 19901. Pur- served. SSNY shall mail process to the Office: NY County. SSNY designated as pose: Any lawful activity. LLC, Attn: Minhua Zhang at the princ. office of the LLC. DE addr. of LLC: c/o agent of the LLC upon whom process Corporation Service Co., 251 Little against it may be served. SSNY shall Notice of Formation of 10 East Ever- mail copy of process to the LLC, 228 E. green LLC. Arts. of Org. filed Secy. of Notice of Formation of MATRIX HIGHLINE Falls Dr., Wilmington, DE 19808. Cert. GP LLC Arts. of Org. filed with Secy. of of Form. filed with Harriet Smith Wind- 45th Street #1800 New York, NY State of NY (SSNY) on 10/3/17. Office 10017. Purpose: Any lawful act. location: NY County. SSNY designated State of NY (SSNY) on 09/21/17. Office sor, Secy. of State of the State of DE, as agent of LLC upon whom process location: NY County. SSNY designated Div. of Corps., John G. Townsend Bldg., as agent of LLC upon whom process Federal & Duke of York Sts., Dover, DE against it may be served. SSNY shall 1133 ST. JAMES LLC, Arts. of Org. filed mail process to: c/o Kamber Manage- against it may be served. SSNY shall 19901. Purpose: Any lawful activity. mail process to Baker Hostetler LLP, 45 with the SSNY on 08/24/2017. Office ment Company LLC, 551 Fifth Ave., loc: NY County. SSNY has been desig- Ste. 2200, NY, NY 10176. Purpose: Rockefeller Plaza, NY, NY 10111. Pur- Notice of formation of MKM 48th Ave- nated as agent upon whom process any lawful activity. pose: Any lawful activity. nue LLC. Arts of Org filed with Secy. of against the LLC may be served. SSNY State of NY (SSNY) 10/4/17. Office lo- shall mail process to: Kew Manage- NOTICE OF FORMATION OF INSPACE NY cation: NY Cnty. SSNY designated ment Corporation, 1123 Broadway, Ste Notice of formation of Samantha Cara, LLC . Organization filed with the SS of agent upon whom process may be 407, NY, NY 10010. Purpose: Any Law- LLC. Arts of Org filed with Secy. of Stat NY on 08/17/17. NEW YORK County. served and shall mail copy of process ful Purpose. of NY (SSNY) on 6/13/17. Office loca- The address to which the SSNY shall against LLC to principal business ad- tion: NY County. SSNY designated mail a copy of process against the LLC, dress: 511 Canal St. 6th Fl., NY, NY agent upon whom process may be is: 400 E 54th St. NY, NY 10022. 10013. Purpose: any lawful act. Notice of Formation of FORT-ROYAL served and shall mail copy of process USA, LLC Arts. of Org. filed with Secy. against LLC to US Corp. Agents INC, of State of NY (SSNY) on 10/06/17. 7014 13th Ave. #202, Brooklyn, NY Notice of Formation of Simpli Digital Notice is hereby given that a license, Office location: NY County. Princ. of- 11228. Purpose: any lawful act. LLC. Arts of Org filed with Secy of State number 1306224 for on-premise wine, fice of LLC: 455 Central Park West, of NY (SSNY) on 9/13/17. Office loca- beer & cider has been applied for by Ste. 3L, NY, NY 10025. SSNY desig- tion: NY Co. SSNY designated agent the undersigned to sell wine, beer & cid- nated as agent of LLC upon whom Joseph A. Racanelli MD PLLC Filed upon whom process may be served and er at retail in a restaurant under the Al- process against it may be served. 10/19/17 Office: New York Co. SSNY shall mail copy of process against LLC coholic Beverage Control Law at 407 SSNY shall mail process to Davidoff designated as agent for process & to principal bus. address: 45 Tudor City Smith Street, Brooklyn, N.Y. 11231 for Hutcher & Citron LLP, Attn: Steve shall mail to: 1107 Park Avenue, New Place, #907, NY, NY 10017. Purpose: on premise consumption. Fluke Som Spanolios, 605 Third Ave., NY, NY York, NY 10128. Purpose: Medicine any lawful act. LLC t/a Ugly Baby 10158. Purpose: Any lawful activity.

NOVEMBER 13, 2017 | CRAIN’S NEW YORK BUSINESS | 31

P031-32_CN_20171113.indd 26 11/9/2017 1:29:21 PM EXECUTIVE MOVES Advertising Section New hires, promotions and board appointments. Place your listing at crainsnewyork.com/execmoves or contact [email protected] ❚ FINANCE ❚ FINANCE ❚ NONPROFITS ❚ PROFESSIONAL SERVICES

Travelex North America AlixPartners LLP The ALS Association Greater Summit Security Services, Inc. James Hewitt has been Widely recognized as a New York Chapter Alfred Murphy joins named CEO of Travelex pioneer in the digitization The ALS Association Summit Security Services, North America. Previous- of the retail and con- Greater New York Inc.—one of the largest ly, an SVP at Verifone, sumer-goods industries Chapter announced that U.S. security services he is an accomplished and currently CEO of Kristen Cocoman will providers—as New York leader in financial services Vivanda Inc., a spin-off of be the next President and City Regional Manager. and payment innovation McCormick & Co., Jerry CEO, effective November A 20-year veteran of the with extensive experience Wolfe brings more than 30 years of senior New York City Police Department, Al also in developing and managing pioneering leadership experience to global consulting 1st. Cocoman has been payment platforms for traditional and firm AlixPartners as Senior Advisor. He will with the Chapter since 1999, where she has helped launch the NYC Administration for emerging commerce. He will manage the work closely with AlixPartners’ retail and worked with founding chapter President Children’s Services’ (ACS) first investigative company’s growth strategy/ operations and consumer-goods teams.. Simon Freakley, CEO, Dorine Gordon, and served as Chief consulting unit. oversee the company’s digital payments, Chief Executive Officer at AlixPartners, Development Officer. retail, ATM, international money transfer, said: “Our clients are increasingly asking B2B outsourcing and wholesale businesses. us to work alongside them as they strive to Hewitt earned his BA in telecommuni- practically apply digital skills to transform cations from The George Washington existing, well-established business process- Summer Search Summit Security Services, Inc. University and an MBA from University es. Jerry brings a terrific combination of Summer Search, a nation- Scott Sturgess joins of South Carolina’s Darla Moore School of industry expertise and technological vision al youth development and Summit Security Services, Business in Columbia. Hewitt is based in the to the AlixPartners team, giving us an extra college success organiza- company’s New York office. Inc.—one of the largest dimension to the support we can provide tion, welcomes Dr. Marc globally to the retail and consumer-goods U.S. security services Spencer as its new Chief sectors.” providers—as Vice Presi- Executive Officer. Dr. dent, Sales and ❚ LAW Spencer brings a 25-year ❚ Marketing. Scott spent ENTERTAINMENT track record of successfully scaling youth the last 23 years with Lewis Baach Kaufmann and community-serving organizations, Fortune 100 conglomerate ADI/Honeywell Middlemiss American Documentary, Inc. and is dedicated to youth development and in various executive roles. He holds a Bach- Erika Levin focuses her Kristal Choy joined opportunity. elor’s degree from Lebanon Valley College. practice on international American Documentary arbitration as well as as Vice President of Fi- complex commercial and nance & Business Affairs. cross-border litigation She was formerly Director with an emphasis on of Finance at Crisis Text Latin America. Line.

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Notice of Qualification of Danskammer Notice of Qualification of NOELLE ART Notice of Qualification of DANSKAMMER NOTICE OF FORMATION OF The Yoga HoldCo LLC Appl. for Auth. filed with PARTNERS, L.L.C. Appl. for Auth. filed HOLDINGS LLC Appl. for Auth. filed with and I LLC. Articles of Organization filed Secy. of State of NY (SSNY) on with Secy. of State of NY (SSNY) on Secy. of State of NY (SSNY) on with the Secretary of State of NY 10/12/17. Office location: NY County. 10/19/17. Office location: NY County. 10/12/17. Office location: NY County. (SSNY) on 08/22/2017. Office loca- LLC formed in Delaware (DE) on LLC formed in Delaware (DE) on LLC formed in Delaware (DE) on tion: NEW YORK County. SSNY is desig- 09/07/17. SSNY designated as agent 10/17/17. SSNY designated as agent 09/07/17. SSNY designated as agent of nated as agent upon whom process of LLC upon whom process against it of LLC upon whom process against it LLC upon whom process against it may against it may be served, SSNY shall may be served. SSNY shall mail proc- may be served. SSNY shall mail proc- be served. SSNY shall mail process to mail a copy of any process against the ess to c/o Corporation Service Co. ess to c/o Corporation Service Co., 80 c/o Corporation Service Co. (CSC), 80 LLC served upon him/her is: Legalinc (CSC), 80 State St., Albany, NY 12207- State St., Albany, NY 12207-2543. DE State St., Albany, NY 12207-2543. DE Corporate Services Inc. 1967 Wehrle 2543. DE addr. of LLC: c/o CSC, 251 addr. of LLC: 251 Little Falls Dr., Wil- addr. of LLC: c/o CSC, 251 Little Falls Drive, Suite 1 #086, Buffalo, NY Little Falls Dr., Wilmington, DE 19808. mington, DE 19808-1674. Cert. of Dr., Wilmington, DE 19808. Cert. of 14221.The principal business address Cert. of Form. filed with Secy. of State Form. filed with DE Secy. of State, Div. Form. filed with Secy. of State of DE, of the LLC is: PO Box No. 3021, NEW of DE, 401 Federal St., Dover, DE of Corps., 401 Federal St., Dover, DE 401 Federal St., Dover, DE 19901. Pur- YORK, NY 10163-3021. Purpose: any 19901. Purpose: Any lawful activity. 19901. Purpose: Any lawful activity. pose: Any lawful activity. lawful act or activity.

Notice of formation of Luxwell Global Notice of Formation of Jetty 14 Design Notice of formation of Honeybee Grate- LLC. Arts. Of Org. filed with Secy. Of Group, LLC. Arts. of Org. filed with NY Notice of Formation of SHF TANYA TOW- ful. Art. of org. filed with the SSNY on State of NY (SSNY) on 9/14/17. Office Dept. of State on 9/15/17. Office loca- ERS LLC. Arts. of Org. filed with Secy. 9/17/17. Office location: NY County. location: NY County. SSNY designated tion: New York County. NY Sec. of of State of NY (SSNY) on 10/31/17. Of- SSNY has been designated as agent agent upon whom process may be State designated agent of the LLC upon fice location: NY County. SSNY desig- upon whom process against it may be served and shall mail copy of process whom process against it may be nated as agent of LLC upon whom proc- served. The P.O. address to which the against LLC to: C/O ANCHIN, 1375 served, and shall mail process to the ess against it may be served. SSNY SSNY shall mail a copy of any process Broadway, New York, NY 10018. Princi- LLC, c/o Dealy Silberstein & shall mail process to: c/o Settlement against the LLC served upon him/her, pal business address: 8 Cottonwood Braverman, LLP, 225 Broadway, Ste Housing Fund, Inc., 247 W. 37th St., and principal biz. add. of the LLC, is 2 Dr., West Windsor, NJ 08550. Purpose: 1405, NY, New York 10007. Purpose: 4th Fl., NY, NY 10018. Purpose: any Gold St #603 NY, NY 10038. Purpose: any lawful act. any lawful activity. lawful activity. any lawful act or activity

32 | CRAIN’S NEW YORK BUSINESS NOVEMBER 13, 2017

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32 | CRAIN’S NEW YORK BUSINESS | NOVEMBER 13, 2017

P031-32_CN_20171113.indd 27 11/9/2017 1:29:26 PM GOTHAM GIGS

A CLEAN, WELL- LIGHTED PLACE: O’Connor at home, where she writes BY LANCE PIERCE her best-selling books

To never grow up—or go out of print An editor of biographies for young readers doubles as an author of children’s ction

ach Sunday when she was little, Jane O’Connor adults. She found there was a dearth of books between 100 would open the door to her family’s Central and 200 pages that explained the world and had plenty of JANE O’CONNOR Park West apartment for her visiting grand- illustrations to hold kids’ interest. “What I realized with mother and great-aunts. “I would greet them my own kids as they started reading nonction is they have Ein a tutu that had little pink satin rosebuds, a red satin cape almost no historical context when they’re 7 or 8,” she said. AGE 69 and my mom’s heels and dripping jewelry,” she said. Now encompassing What Is? and Where Is? books as BORN Upper West Side She resembled another girl with a air for well, the series is about to surpass 200 books RESIDES Upper West Side big words and for embellishing her dresses: “My mind just in January, as Penguin publishes What Is the EDUCATION Bachelor’s in English, Fancy Nancy, the protagonist of O’Connor’s always harks Solar System? and Where Is Machu Picchu? Smith College popular HarperCollins book series who is back to Not one of the series’ titles, which retail for POWER SISTERS O’Connor’s soon to star in a Disney Junior animated show. about $6 each, has ever gone out of print— younger sister, Jill Abramson, is Fancy Nancy, whose nal picture book is childhood” which is unusual in publishing. a former executive editor of The slated to be published in January, is merely a O’Connor didn’t know what she wanted New York Times and now teaches journalism at Harvard. sideline for O’Connor. She divides her time between writ- to do when she grew up. She can recall telling her career ing at home and working three days a week as editor at large services ocer at Smith College that she was thinking of EUREKA MOMENT The Fancy Nancy concept came to O’Connor and vice president of Penguin Workshop, a Random House becoming a detective because she loved the Nancy Drew as she was making dinner one imprint. ree years before Fancy Nancy debuted in 2005, books. Instead, she found a job as an assistant at chil- evening, delighting herself with the O’Connor launched Penguin’s Who Was? series of biog- dren’s publisher Hastings House. Focusing on childhood idea of a spunky little girl who uses raphies for young readers. e two series each have sold suited her. big words and French terms and more than 30 million books worldwide; O’Connor won’t She said she enjoys turning stories from her own life makes her clothes and bedroom pink and fancy. divulge how much the publishers have made from them. and the lives of her sister and sons into ction, evoking READ IT AND WEPT “Charlotte’s She traces her love of books to her stay-at-home mom, summer-camp homesickness or the guilt of a child who Web was the rst long book I ever who read Dickens to her and her younger sister. (Her dad steals a marble. “My mind just always harks back to child- read by myself. Boy, did the ending ran a business importing Irish linen.) Her idea for Who hood,” she said. “I can remember childhood moments like wallop me! It made me cry.”

BUCK ENNIS Was? came from reading biographies to her own sons, now they happened yesterday.” — CHANA R. SCHOENBERGER

NOVEMBER 13, 2017 | CRAIN’S NEW YORK BUSINESS | 33

P033_CN_20171113.indd 33 11/10/17 11:15 AM SNAPS

Celebrity chefs take aim at food waste More than 50 of the city’s top chefs and mixologists provided food and drinks for the 800-plus revelers at a speakeasy-themed bene t for City Harvest. e dinner raised a record $1.5 million, in part because of its auction of one-of-a-kind experiences. One donor paid $50,000 to go on a bar crawl with chef/restaurateurs Scott Conant of Fusco, Marc Murphy of Landmarc and Georey Zakarian of e Lambs Club.

Geoffrey Zakarian, chairman of City Harvest’s Food Council and the event’s host, and Alfred Portale, executive chef and partner of Gotham Bar and Grill, during the festivities at the Metropolitan Pavilion. Eric Ripert, chef and co-owner of Le Bernardin and vice chairman of City Harvest’s board, with his wife, Sandra, at the Oct. 19 event. e dinner and si- lent and live auctions raised enough money to rescue 6 million pounds of food.

Beyond books Honoring a legend LSA Family Health Service, which was founded by Little Sisters of the Assumption to provide various types of aid to those struggling in Harlem and the Bronx, held a bene t Oct. 16. Broadway actress Doreen Montalvo performed a tribute to event honoree Chita Rivera, a stage and screen legend who e Queens Library took in a record $528,000 to provide such services as English received the Presidential classes and job training at its Oct. 17 fundraiser. Jeffrey Barker, president of Bank Medal of Freedom in 2009. of America for New York state; honoree Lester Young Jr., regent at large of the University of the State of New York; Dennis Walcott, president and chief executive of the Queens Library; honoree Patricia Harris, chief executive of Bloomberg Philanthropies; and Judith Bergtraum, vice chancellor for facilities planning, construction and management for the City University of New York, attended.

Christine Stonbely and her husband, George, owners of Spectacular Ventures, helped steer the party held at Guastavino’s, which raised nearly $1 million. Cathy Hung, executive director of the Jamaica Center for Arts & Learning; Peter McWhinnie, founder and chief executive of Torridon Solutions; Paula Kirby, managing director at Plaxall; Kathryn Wylde, president and CEO of the Partnership for New York City; and Carol Conslato, director of Con Edison Corporate Aairs, at the event, held at the Queens Museum.

BEN HIDER, JOE VERICKER, PHOTOBUREAU INC., METIN ONER SEE MORE OF THIS WEEK’S SNAPS AT CRAINSNEWYORK.COM/SNAPS. GET YOUR GALA IN SNAPS. EMAIL THERESA AGOVINO: [email protected].

34 | CRAIN’S NEW YORK BUSINESS | NOVEMBER 13, 2017

P034_CN_20171113.indd 34 11/10/17 11:22 AM PHOTO FINISH

Roll up your sleeves s temperatures drop and the volume of coughs and sneezes in o ces around the city rises, New Yorkers are once again showing up Afor a u shot. Dr. David Shih, executive vice president of strategy, health and innovation at CityMD, recently administered this year’s vaccine at the clinic’s East 23rd Street location. e state Health Department declared the u “prevalent” as of Dec. 28 during last year’s u season, but you don’t have to wait for that designation. Shih advises getting vaccinated early, as it takes two weeks to develop immu- nity. “ ere’s never a wrong time to get your u shot,” he said. A study published last year in Health A airs put the economic burden of the u in the United States at $5.8 billion, with about 80% of the drag attributed to unvaccinated su erers. Insurance plans are required to cover the shots without a co-payment under the A ordable Care Act, but some plans limit availability to certain facilities. For patients without insurance, CityMD charges $30. e average price per dose of the vaccine was $17.37 in September, according to the federal Centers for Disease Control and Prevention, but given drug and labor costs, u shots aren’t all that pro table for CityMD. “It’s not a moneymaker,” Shih said, “but it’s the right thing to do.” — JONATHAN LAMANTIA BUCK ENNIS

NOVEMBER 13, 2017 | CRAIN’S NEW YORK BUSINESS | 35

P035_CN_20171113.indd 35 11/10/17 6:59 PM TO CREATE THE POPCORN IN HERE, PIPCORN HAD TO GO OUT THERE.

“With the Chase Mobile® app, we could get out of the office and bring our latest idea to life: creating popcorn using the heat of the sun in Death Valley. Not easy when you have a core business to run and expenses to take care of back in New York. Turns out, that’s exactly what the Chase Mobile® app allowed us to do—stay on top of our business finances while on the road. From there, all we had to do was get a desert-ready food truck, grab some solar cookers and create a snack to match the unforgettable place where it was born, Death Valley.” —Jen Martin, co-owner of Pipcorn

LEARN MORE AT CHASE.COM/BIZCHECKING

All businesses are subject to approval. Additional terms, conditions and restrictions apply. Real business owners compensated for their participation. 3G/4G call coverage and/or WiFi connectivity is required. Chase Mobile® app is available for select mobile devices. Enroll in Chase OnlineSM or on the Chase Mobile app. Message and data rates may apply. Pipcorn is solely responsible for its products and for promotional statements about them and is not affiliated with JPMorgan Chase & Co. or its affiliates. JPMorgan Chase Bank, N.A. Member FDIC ©2017 JPMorgan Chase & Co.

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