20100726-NEWS--0001-NAT-CCI-CN_-- 7/23/2010 7:08 PM Page 1

INSIDE MEMO TO BUSINESS: TOP STORIES STOP FRETTING. What Sarah Palin THE RECOVERY should know about IS STRONGER downtown mosque THAN YOU THINK. ® GREG DAVID PAGE 11 PAGE 2

VOL. XXVI, NO. 30 WWW.CRAINSNEWYORK.COM JULY 26-AUGUST 1, 2010 PRICE: $3.00 Vacancies Pfizer’s growth pill PAGE 2 back in A doctor picks up the pieces at North vogue with General Hospital PAGE 2 investors Libraries book cuts Betting tenants will in budget, services ICK! come, rents will rise PAGE 3 Manhattan’s bedbug invasion bites as economy rebounds Art market’s revival stores, offices with costs of battling offers entrepreneurs BY THERESA AGOVINO brush with greatness the creepy critters. Is no place safe? despite falling Manhattan office SMALL BUSINESS, PAGE 12 rents and rising vacancies, investors are snapping up buildings that until recent- BY ADRIANNE PASQUARELLI ly were shunned as undesirable: those with large swaths of empty space avail- move over, dracula. There’s a new bloodsucker in town. Just ask lingerie chain able now or in the near future. Increas- Victoria’s Secret. Earlier this month, after news reports surfaced of a bedbug infes- ingly, they are betting that the improv- tation at a downtown retailer, the Ohio-based company proactively checked its 10 ing economy will spur demand for Manhattan sites and found what officials described as “isolated areas that may have space and reignite rents. been impacted.” It closed one midtown store for several hours and discarded con- “Risk is back,” says Dan Fasulo, a taminated inventory. Such measures cost a bundle, but Victoria’s Secret can at least managing director at RCA Analytics. “Investors are willing to go further out take comfort in the fact that it’s in good company. on the risk spectrum to get the kinds of “This summer alone, we’ve treated about 20 stores,” says Diego Vasquez, gener- returns they want.” al manager at West Village-based exterminator EcoChoice.“Last year, it was most- It’s a familiar scenario, with a couple See ICK! on Page 23 of postrecession twists. During the BUSINESS LIVES boom,investors routinely paid a premi- um for empty space, confident they GOTHAM GIGS See VACANCIES on Page 23 VP of toys and games? Nice work ... P. 25 G ANNE FISHER on great partnerships P. 25 Follow the G MOVERS & SHAKERS Mad Men’s Elisabeth Moss loves NYC,jeans stimulus and Broadway P. 26 G GAEL GREENE discovers money Chelsea’s Cô Ba P. 27 It’s half-spent, and 77% INDEX covers operating costs, NEW YORK, NEW YORK ______6 not shovel-ready stuff THE INSIDER ______8

VIEWPOINT ______10 BY JEREMY SMERD CLASSIFIEDS ______20 BUGGED OUT: “Bedbugs scare people,” FOR THE RECORD ______22 says one pest-control a gaggle of newly minted police offi- HOT JOBS ______25 expert. “Stores don’t cers stood on a subway platform in want to lose business.” EXECUTIVE MOVES ______25 Grand Central Terminal last week,gig- THE WEEK AHEAD ______27 gling as if they had just beaten a bad rap.

WHAT HE’S READING ______27 In a sense, they had. Until federal stim-

getty images ulus funds were awarded, the city wouldn’t have had money to pay their salaries. But thanks to $39.5 million 30

5 from Washington, D.C., to beef up New York’s public-transit security, 104 REPORT REAL ESTATE cadets graduated July 1 and were work- Battery Park City, new urban model P. 13 ing in the subways a week later. Although the stimulus was present- ELECTRONIC EDITION Plus: largest office leases, sales P. 17-18 ed to the public as a program to create NEWSPAPER See STIMULUS on Page 24 71486 01068 0 20100726-NEWS--0002,0003-NAT-CCI-CN_-- 7/23/2010 7:07 PM Page 1

IN BRIEF NEW YORK-PRESBYTERIAN HOSPITAL, ONE OF NEW YORK’S MOST FINANCIALLY STABLE PFIZER’S B hospitals, cut 200 jobs from its work force of 19,000.The reduction includes 164 vacant positions, plus another 36 managers and staffers who have left the hospital. During the Addition of Wyeth downturn of the past two years, “we have gives drugmaker adjusted our operating budget by reducing expenses and, in some cases, eliminating vacant a lift, but shrinking positions,” a spokeswoman explained. “However, we have decided that given the revenues still likely continued challenging economic climate for hospitals, particularly those in New York state, it is prudent for us to take steps to further adjust BY FRAN HAWTHORNE our operating budget.” a decade ago, Pfizer Inc. snapped CONDÉ NAST NAMED ROBERT SAUERBERG AS up Warner-Lambert and with it PRESIDENT AND CHARGED HIM WITH Lipitor, the best-selling drug on the adopting a new business model that would planet, with sales that topped $11 move the publisher of Vogue, Glamour and The billion last year. New Yorker beyond the glossy printed page. Pfizer followed up seven years The president’s job formerly belonged to ago by acquiring Pharmacia & Up- Charles Townsend, who remains chief john and got its coveted painkiller executive. “We need to move beyond the Celebrex, which turned out to be a magazine,” Mr. Townsend said in a statement. huge bust when that drug was found Condé Nast has frequently been criticized for to produce serious cardiovascular relying too heavily on print ad-page sales, side effects, such as heart attacks. leaving it overexposed to digital competition Win or lose, Pfizer can’t seem to for both consumers and advertisers. It has been shake its addiction to buying its investing a lot, however, in app editions of its growth. With the acquisition of magazines for sale on the iPad—an effort in Wyeth, the world’s largest pharma- which Mr. Sauerberg has been deeply involved. CENTER OF STORM: The Park Place site plans one floor for prayer. ceuticals company is trying again. Two group presidents who had been Nine months after considered potential successors to Mr. that $68 billion deal Townsend, David Carey and Tom Florio, NEIGHBORHOOD JOURNAL closed, it is clear that recently left the company.
all the new drugs, re- search projects, labs and scientists that Mosque came with the merger BY THE NUMBERS will give Pfizer a short-term lift. What

Weekly shift of the city’s economy is far less clear is

WARNING SIGNS Both home building and whether that will be   madness home sales figures were weak. Mighty Goldman sufficient to counter Sachs lost its Midas touch, and Ben Bernanke Pfizer’s serious long- dozen of drugs—in- called the outlook “unusually uncertain.” term problems. cluding mighty Lipitor a matter of “Wyeth has a good Pfizer can’t in 2011—opening the R&D pipeline,” says field to generic rivals. $43M -22.6% $90.5M Viren Mehta, the seem to shake By most estimates, the SALE PRICE of DECLINE in NYS SUM Tiger Woods Hamptons home manufacturing earned in 2009- managing member of its addiction resulting flood of cheap 10, the most any perspective Mehta Partners, competitors will slash of ex-wife of Jon jobs between Corzine; $17M off 2001 and 2008 athlete earned which advises invest- to buying its Pfizer’s annual revenues asking price Source: Federal that year ment managers on by $30 billion. Com- Source: Prudential Reserve Bank of New Source: Sports growth Douglas Elliman York Illustrated Locals welcome $100M biopharmaceuticals. pounding this problem, “The question is, is Pfizer’s labs have been project, but others side that enough?” unable to come up with MIXED SIGNALS Venture capital funding for New York area The main problem strong replacements. firms in the 2nd quarter of the year was up 38% from year- earlier levels but down 35% from the previous quarter. with Palin to say no way Pfizer faces can be summed up in Even for a company that posted one word: expiration. By mid-2014, sales of $71 billion last year, includ- patents will expire on a baker’s ing Wyeth’s figures, that is a bitter BY AMANDA FUNG

hen it comes to the proposed 13- story Cordoba House project—re- cently redubbed Park51 but A progressive doctor p known nationwide simply as the World Trade Center Mosque— perspectiveW is everything. Facing a union’s ire, Dr. Calman steps into Many lower Manhattan residents and elected of- Source: PricewaterhouseCoopers and the National Venture Capital Association ficials have supported the project from the very start. North General void with super-clinic plans They note that the planned $100 million complex on CORRECTION Park Place will include much-needed facilities, such pled with decades of experience in as a swimming pool,library,culinary school and 500- BY BARBARA BENSON providing primary care for the Neuberger Berman Senior Vice President James Iselin said New seat auditorium for downtown’s growing residential poor, is the reason why Dr. Cal- York City’s economic dislocation “just hasn’t been all that bad compared to other places.” The quote was incomplete in the June population of 50,000.That is almost double what the there’s no question where Dr. man—a white, Jewish doctor from 14 story “No budget, big deficit? No problem.” number was less than a decade ago. Some go so far as Neil Calman’s politics lie. New Jersey—was the politically to hope Park51 will someday stand among such “Racism in health care,”he wrote palatable choice to run what is left vol. xxvi, no. 30, july 26, 2010—Crain’s New York Business (issn beloved New York City institutions as the 92nd in a recent blog,“is a common expe- of Manhattan’s only black-run hos- 8756-789x) is published weekly, except for combined issues June Street Y and the West Side YMCA. rience of people of color,so let’s stop pital, bankrupt North General 28/July 5, Aug. 30/Sept. 6, and Dec. 20/Dec. 27, by Crain Com- munications Inc., 711 Third Ave., New York, NY 10017. Periodicals “This is a project that will benefit the community saying that race does not matter.It is Hospital, which closed earlier this postage paid at New York, N.Y., and additional mailing offices. and bring religions together,” says Sharif El-Gamal, one very important factor in why month. Postmaster: Send address changes to: Crain’s New York Business, chief executive of Soho Properties, a co-developer of people get bad medical care.” Circulation Department, 1155 Gratiot Avenue, Detroit, MI 48207-2912. for subscriber service: Call (888) 909-9111.Fax the center along with the Cordoba Initiative, a coali- At 61, Dr. Calman has spent his Picket lines (313) 446-6777.$3.00 a copy, $59.79 one year, $109.79 two years. tion dedicated to fostering Muslim-Western rela- professional life as a family practice founder, president and chief ex- (GST No. 13676-0444-RT) ©Entire contents copyright 2010 by Crain Communications Inc. tions. “This is a way for us Muslims to give back to a doctor in New York’s most med- ecutive of the Institute for Family All rights reserved. city that has given us so much.” ically underserved neighborhoods. Health, Dr. Calman was selected to See DIVERGING on Page 12 His philosophy on health care,cou- run a super-clinic to provide pri-

2 | Crain’s New York Business | July 26, 2010 20100726-NEWS--0002,0003-NAT-CCI-CN_-- 7/23/2010 7:07 PM Page 2

BOOK IT: New York Public Library President and S BUYING HABIT CEO Paul LeClerc avoided drastic budget cuts. Pfizer can grow again is Jeffrey BOLD STATEMENT: Kindler, the company’s chief exec- Pfizer CEO Jeffrey utive. In announcing the merger in Kindler predicted that January 2009, he predicted that “it the merger with Wyeth will produce the world’s premier would “produce the biopharmaceutical company,” one world’s premier biopharmaceutical with a “distinct blend of diversifica- company.” tion, flexibility and scale.” He is counting not just on Wyeth’s healthy pipeline of new treatments but on the ability of its labs to help spur Pfizer’s own noto- riously underperforming R&D ef- forts. What’s more, by combining two large drug companies, he is looking forward to reaping billions in savings by eliminating overlaps, as is typical in pharmaceutical mergers. At the same time, he ex- pects Wyeth to bring diversifica- tion to Pfizer’s offering mix with several household consumer brands. Cutting-edge products bigger, longer-term gains from Wyeth hinge on its expertise in bi- ologics—drugs made from living cells, as opposed to chemicals— which are widely seen as the future of the industry.

“Biologics definitely are an im- getty images portant part of the merger,” says Mr. Krensavage. At this point, the most impor- tant of those is Prevnar 13, an up- Libraries breathe dated version of Wyeth’s block- buster meningitis vaccine. In

landov February, the Food and Drug Ad- ministration nearly doubled to 13 sighs of relief pill to swallow. Rather than taking the five years through 2013. With the types of meningitis for which it that kind of punishment, many Wyeth, Pfizer will still shrink, but could be prescribed, and as a result shareholders have simply dumped at a more modest pace of 2.3% each analysts predict annual sales could will still include fewer hours and the stock, which has barely moved year. nearly double from last year’s $2.8 Cuts to budgets not service days across all three library since the merger was announced in Growing by acquisition, it turns billion. as bad as feared, but systems. January 2009. That compares with out, has its limitations. No wonder Much attention has also been “I worked harder on advocacy an average gain of 18% for other big that many see Wyeth as simply a focused on several potential layoffs, service cuts this year than I had any other year,” drug companies in the period, ac- stopgap solution. Alzheimer’s drugs from Wyeth. In still on the table says New York Public Library Pres- cording to Mehta Partners. “The Wyeth acquisition allows addition, Observers are excited ident and CEO Paul LeClerc, who Pfizer time to address its other about a second vaccine for menin- ultimately lost $10 million in city Less shrinkage problems,” says Michael Krensav- gitis, now in midstage trials, and BY CARL GAINES funding for fiscal year 2011. “This an analysis from consulting firm age, a former analyst who now runs Pristiq, for menopausal symptoms, year, the stakes were higher.” Datamonitor goes to the heart of an eponymous hedge fund that which is awaiting an FDA decision. for many in New York City, June For the Queens Library system, the problem. The report reckons specializes in pharmaceuticals. Meanwhile, a couple of lung 24 was notable primarily due to the the cuts to its city funding will that without Wyeth, Pfizer’s rev- Among those who are con- cancer drugs in mid- and late-stage much-celebrated release of Apple’s mean, among other things, that 32 enues would shrink by 3.5% over vinced those fixes can be found and See PFIZER on Page 24 iPhone 4—a gadget that represent- libraries will cease weekend serv- ed, perhaps briefly,the future of in- ice. formation technology and aggre- gation. Finalizing the details But supporters of more tradi- “we’re finalizing the details now,” or picks up the pieces in Harlem tional information-sharing had an- says Thomas W. Galante, CEO of other reason to celebrate. the Queens Library. After meetings, hand- BOOKINGS “Around 16 library loca- mary care to Harlem patients. It 16 health centers. Stretching from looking to improve medical out- shakes and the mobiliza- tions will remain open on will be based in North General’s New York City to upstate, it was comes through the creation of tion of patrons,New York weekends.” former diagnostic and treatment built from a series of acquisitions of medical homes, which provide City’s three library sys- 40M Queens has an operat- center on Madison Avenue until a failing medical facilities. Labor team-based comprehensive and tems—the New York 2009 VISITS to ing budget of $110 mil- new facility is completed at the union 1199 SEIU Healthcare use electronic patient records. Public Library, the lion,and it had been look- hospital’s annex building. It will Workers East sent 900 former Queens Library and the public libraries in ing at a reduction of $28.3 provide urgent and primary care, North General workers to picket Electronic record fan Brooklyn Public Li- New York City million, a figure that in- mental health services, dental care Dr. Calman because the new clinic “neil has a proven track record in brary—had been spared Source: New York Public Library cludes past cuts to city and school-based health services to is not an 1199 SEIU shop. New York state of delivering qual- massive cuts to their city funding. In the end, it will some 20,000 patients who are ex- “This strike is not against North ity care and being a leader in elec- funding. Combined, the lose $10.7 million in sup- pected to make 80,000 visits a year General,” says a spokeswoman for tronic medical records, and he has three systems had faced $77 million port from the city. to the health center. the union. “It’s against Dr. Cal- a tremendous commitment to in reductions, which would have A spokeswoman for the Brook- But Dr.Calman is no family doc man.” meeting the needs of the under- closed some branches completely lyn Public Library,which has an op- simply opening up another of- The battle with 1199 SEIU sur- served,”says Richard Cook,deputy and pared hours at others to as little erating budget of roughly $100 mil- fice—and he’s certainly no altruis- prises Dr. Calman, who sees him- commissioner of the state Depart- as two days a week. lion, says the organization had tic hero to hundreds of unionized self as fighting the good fight on ment of Health’s Office of Health already reduced service to five days workers who lost their jobs when behalf of the urban poor. He aims Systems Management, which ap- Assessing damage a week at its branches. That sched- North General closed. Snipers say to provide high-quality primary proved the deal. instead, $61 million was restored, ule will stay in place following a $3.4 North General is merely the latest care to a community plagued by Dr. Calman founded his group leaving officials relieved but with million cut from its city funding. trophy in a primary care empire of preventable health problems. He is See NORTH GENERAL on Page 24 work to do to assess damage that See LIBRARIES on Page 24

July 26, 2010 | Crain’s New York Business | 3 20100726-NEWS--0004-NAT-CCI-CN_-- 7/23/2010 7:28 PM Page 1

Neediest may go without IN THE MARKETS as state funding dries up by Hilary Potkewitz

City groups struggle and in Westchester County to draw out $800,000,it cannot count on the attention to their plight. program’s financial support for its to provide food, In the case of the Food Bank, 2011 fiscal year budget, says Triada THE NEW MASTERS services; plan series which provides money and food to Stampas,director of government re- OF THE UNIVERSE: 227 programs, Albany has withheld lations and public education for the Pelosi, Obama, Dodd of rallies three months’ worth of funding, or group. and Frank, at last week’s bill signing. There are 1.4 million New York- BY LISA FICKENSCHER ers who rely on emergency food sources,and summer can be an espe- the bed stuy campaign Against cially tough time for families just Hunger has begun filling the shelves scraping by. at its food pantry with clothing, be- “When children are out of cause it doesn’t have enough food to school, the only way low-income distribute. families can stretch their budgets is “We normally give out clothing through the soup kitchens, and now a little at a time,”says the Rev.Mel- we have less to give away to them,”

ony Samuels, the campaign’s exec- says Ms. Stampas. bloomberg news utive director, “but we didn’t want ‘Now we have people to come in here and get Legislation veto affects nonprofits Compliance officers at the gates frantic because our shelves are less to give other nonprofits have been af- bare.” fected by Gov.David Paterson’s veto ew york’s banks are always looking for top people, The Brooklyn-based nonprofit away to several weeks ago of legislators’ dis- but unlike the last decade, it’s not the front of the is the latest casualty of the state cretionary funds, which are used to budget impasse in Albany. And it’s families’ support programs in local commu- Nhouse that’s hiring these days, so traders, hotshots and not alone. nities across the state. big-swinging sales guys need not apply. Instead, it’s the back The Human Services Council of the house that’s beefing up lately: Financial firms are Financial limbo of New York City is organizing many other nonprofits that pro- Tuesday’s event and expects 500 looking for compliance types, lawyers, accountants, regulatory vide services to the city’s neediest people to attend the rallies, with analysts and any other back-office professionals who can help have been in financial limbo since $800,000. The Food Bank was some telling their personal stories steer them through the minefield that is the Dodd-Frank April, when the state stopped dis- promised the funds in the 2010 fis- of how the budget crisis has affect- financial reform bill signed into law last week. bursing funds to them. cal budget and has already distrib- ed them. On Tuesday, a dozen organiza- uted them. Ms. Samuels says the HPNAP “There’s a steady rise of finance impact the bill would have on oper- tions, including the AIDS Service The Food Bank receives month- funds allow her pantry to purchase jobs listed on our site,” says Matthew ations and services. Center NYC, the Council of Senior ly reimbursements from the state higher-quality food such as brown Rothenberg, editor in chief of em- Citibank just rehired its former Centers and Services of NYC and Department of Health’s Hunger rice, lean meats and fresh produce. ployment site TheLadders.com. treasurer, 41-year-old Zion Shohet— the Food Bank for New York City, Prevention & Nutrition Assistance “It’s money we can use to shop The highest number of postings who’d only been gone a year—not to will protest at City Hall, in Albany Program, or HPNAP.It is not only for healthier items,” she says.
lately are in regulatory accounting be treasurer again, but instead to be and controls, tax, compliance and an executive vice president in charge risk management, and banking and of all things Dodd-Frank. As Citi lending, Mr. Rothenberg says, Chief Executive Vikram Pandit ex- adding that the two other fields of plained in a letter to employees last heavy hiring, software development week:“I’ve asked Zion Shohet to co- and information technology, are ordinate, lead and drive our effort to also being fueled by the financial in- ensure that we effectively communi- dustry and its effort to comply with cate our views on the proposed new the new regulations. regulations to the regulatory agen- Not only does the new law re- cies; that we are prepared to meet quire firms to have chief compliance new regulatory requirements and officers, but most banks have been have a consistent view on what the trying to get ahead of the game and new rules mean; and that we assess have the right people in place before the business implications.” an expanded Securities and Exchange Even the city’s big-time lawyers Commission,or any other government have noticed that the banks need agency, decides to scrutinize them. their persnickety kind of talent in “People have known this regula- the Dodd-Frank age. (Good thing, tion has been coming, and that the too, since the collapse of the global SEC has been getting more aggres- finance bubble has cost an estimat- sive and perhaps making an example ed 10,000 Manhattan attorneys of some firms,”says Frank Carr,a part- their jobs at law firms over the past ner at retained executive-search firm two years.) Francis Barron, a longtime Amrop Battalia Winston. “It’s going to partner at Cravath Swaine & Moore,just take a team of people to respond to announced that he’s leaving the firm these requests from the SEC and to become the chief legal officer at oversight committees,and I expect to Morgan Stanley; he’d been at Cravath see compliance departments ex- for 30 years,representing clients like panding all over Wall Street.” Citigroup, Goldman Sachs and UBS. Indeed, during a conference call And John Finley, head of the mergers with analysts last week, J.P. Morgan and acquisitions practice at Simpson Chase & Co.’s chief executive of treas- Thacher & Bartlett, is leaving to be- ury and security services said the come the chief legal officer of The bank had literally “hundreds of work Blackstone Group. Both men start streams” studying what potential their new gigs in September.

DECLINE IN VALUE OF BLACKROCK INC. SHARES this year, making it the worst performer 36% in the Russell 1000 financial services index of 200-plus stocks. BlackRock, led by CEO Laurence D. Fink (right), has seen two consecutive quarters of fund outflows

after acquiring money manager Barclays Global Investors. bloomberg news

4 | Crain’s New York Business | July 26, 2010 CN013812 7/6/10 1:06 PM Page 1

You can put out fires without water.

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NEW YORK,NEW YORK edited by Valerie Block

fare for the nonprofit, which is Forget FroYo: Peeled undergoing a $60 million renovation. “Visitors were banks on Fruizo surprised the Historical Society royo is so last summer. was doing an exhibition about something so recent, but we had Fruizo is the latest been looking for a way to newcomer to the frozen- approach the 1960s,” a F spokeswoman says. treat wars, and it has its sights set on Pinkberry, Red Mango and the like. The creamy snack has just three Will tourists take ingredients: fruit, water and organic The Ride? cane sugar. A 4-ounce serving boasts only 100 calories Michael Sloan a new tourist attraction, Fruizo is the brainchild of and three dubbed The Ride, debuts in partners. In August, they’ll open their first retail location, September. Yes, it’s on wheels and called Peeled, at 1371 Third Ave. near East 78th Street, where it travels around midtown, but they’ll sell cones and cups of the stuff.They plan to open CEO Jonathan Danforth refuses to call his vehicle a tour bus. several more Manhattan stores by next spring. The industry veteran says “The product has a creamy taste, and you can’t believe high-end motor coaches have that it has no dairy in it,” says Mr. Sloan, who is seeking been turned into rolling theaters trademark protection for the Fruizo name and patent with three rows of stadium seating, $250,000 worth of glass protection for the soft-serve manufacturing process. side and roof panels and Mr. Sloan, a partner in investment firm Columbus Nova, says he and his Peeled partners played around with bananas and a Cuisinart to develop the cold confection. “We think that we have a different product and that we’ll stand out,” he says. Different, indeed: Suggested toppings for mango- flavored Fruizo include salsa and chips. advisoryad6x3h.pdf 1 5/18/10 1:07 PM $850,000 in video and sound New section circulation or advertising at the equipment. Despite a punishing Times. She also said the Journal recession, private equity investors greater for was continuing to have sunk “north of $10 million” engage in “deep into the company, says Mr. Journal? discounting” of its ads. Danforth, who expects to launch the wall street A Dow Jones in other cities if New York is a JOIN CRAIN’S Journal’s Greater spokeswoman counters success. New York section is that print and digital Improv actors will lead the 75- now three months ads are up at the Journal minute spectacle along 42nd ADVISORY old, and according for the third quarter in a Street and up to Columbus Circle to Managing row, with print ad where jugglers, inline skaters and Editor Robert revenue growing 9% in others will be planted to entertain Thomson, the most recent period. riders. Even local bystanders will PANEL newsstand sales “Greater New York be worked into the “experience.” are up an eye- continues to be a The trip, which will avoid rush popping 13% on success,” she says. hours, will depart and drop off at weekdays and the New York Marriott Marquis 18% for the in Times Square.Ticket prices weekend edition, Deadheads’ will be “more than a Gray Line Looking for readers to share compared with society tour but less than a Broadway before the show,” Mr. Danforth says. views and opinions. launch. the deadheads have Mr.Thomson, chatting at a been truckin’ to the New-York Contributors: Lisa Fickenscher, Matthew recent rooftop party for the Historical Society at a rapid pace. Flamm, Miriam Kreinin Souccar Journal, allowed that it was too In fact, The Grateful Dead: Now early to say whether the bump Playing at the New-York Historical would be long-term, or if it was Society already ranks in the top five TOP 100 LAW FIRMS the result of sampling. among attendance-revenue Once again, New York firms dominat- Either way, some newspaper- generators and has spurred some ed Vault.com’s rankings, taking eight Sign up for FREE today. industry insiders are skeptical, of the highest gift shop sales of of the top 10 spots. The top five, considering the pressures on any show, with more than a month based on ratings of prestige: www.crainsnewyork.com/advisory newsstand sales and the continued to go (it was recently extended to migration of readers to the Web. Sept. 5).The museum’s biggest 1 Wachtell Lipton Rosen & Katz “We see no evidence of [sales blockbuster was Slavery in New 2 Cravath Swaine & Moore growth],” says a rival executive York, which opened in 2005. CRAIN’S NEW YORK BUSINESS with access to newsstand On Aug. 1, in honor of 3 Sullivan & Cromwell information. Grateful Dead lead singer Jerry 4 Skadden Arps Slate Speaking on an earnings Garcia’s birthday, the museum will Meagher & Flom conference call last week, New offer two-for-one admission, free 5 Davis Polk & Wardwell York Times Co. Chief Executive samples of Ben & Jerry’s Cherry Janet Robinson said Greater New Garcia ice cream and other prizes. Source: Vault.com York has had no impact on either The exhibit is hardly typical

6 | Crain’s New York Business | July 26, 2010 CN013832 7/20/10 6:13 PM Page 1

What’s your EQ? Are you an energy champ, an energy guzzler or an energy snoozer? To nd out, take the Con Edison Energy Quotient Quiz at conEd.com/EQ or at facebook.com/powerofgreen

The Smart Grid will help all New Yorkers Chargers for cell phones, MP3 players and become energy champs because it will: PDAs use energy:

A. allow us to charge electric cars A. only when charging B. incorporate wind and solar energy sources B. even when the devices are not connected to C. turn your appliances on and off when you’re the chargers away from home C. even when they’re not plugged into the wall

D. all of the above

answer: B answer: answer: D answer:

What should you do if you smell gas? How much more efficient are compact fl uorescent bulbs than regular A. leave the area immediately, then call incandescent bulbs? Con Edison at 1-800-75-CONED B. do not use electrical devices, including  ashlights A. they last twice as long and use half as much energy C. all of the above B. they last ve times as long and use 60% less energy C. they last ten times as long

and use 75% less energy

answer: C answer: C answer: ©2010 Consolidated Edison Company of New York, Inc. Ad: Arnell Ad: Inc. York, ©2010 Consolidated Edison Company of New 20100726-NEWS--0008-NAT-CCI-CN_-- 7/23/2010 6:30 PM Page 1

Service at the City College of New York. Mr. Rangel, who vowed to fight BURN, BABY, BURN Candidates’ funds THE INSIDER the charges, is being challenged by IT TAKES MONEY to raise money, but some campaigns are better at it than four poorly funded candidates others. Just ask Rick Lazio. by Erik Engquist and Jeremy Smerd whose chances of winning are slim From mid-January to mid-July, the Republican designee unless the congressman is forced for governor spent $1.6 million on his campaign. He raised out of office. Adam Clayton Powell IV, $1.5 million—meaning that he spent $1.10 for every dollar whose father represented the 15th he raised. Congressional District before Mr. Andrew Cuomo, by contrast, raised $9.1 million during Rangel first won office in 1970, is the same period while spending $1.7 million. He spent 19 the challenger with the most name cents for every dollar raised. R. Saujani Rangel’s fate may recognition and the deepest At this stage, candidates are generally spending on staff pockets, but that is relative. As of and fundraising, not on advertising and mailings, so June 30, Mr. Powell had just comparing donations and expenditures gives a fair picture give rivals angle $48,615 on hand—though last of campaigns’ relative efficiency. week alone, he raised $30,000 in his Strategies differ, though. Reshma Saujani has been birthplace of Puerto Rico, a spending money to introduce herself as a challenger to 18- oth the fate of Rep. Charles Rangel, campaign spokeswoman says. Mr. Rangel reported having $3 year Rep. Carolyn Maloney. Ms. Saujani raised nearly as D-Manhattan (below), and that of his primary million on hand, though these days, much money as Ms. Maloney for the primary last quarter, C. Maloney challengers hangs in the balance: A congressional much of it is paying for lawyers. If but spent much of it on campaign mailings. Having burnt subcommittee is expected to formally announce Mr. Rangel steps aside, the district 120% of what she raised, she’s cash-poor compared with charges Thursday that the 40-year incumbent would have a competitive primary Ms. Maloney, who has $2.1 million two months before for the first time in a generation. primary day. Babused his office. He faces a trial in the House. But his ethics trial is not expected The burn rates of the Democratic candidates for Last week, a congressional investigation concluded that Mr. to commence until a day before the attorney general paint a different picture than the state of Rangel had violated ethics rules, Sept. 14 primary. their campaign war chests alone. Nassau County District reportedly by accepting four luxury Attorney Kathleen Rice, with $4.1 million on hand, has the biggest war chest. But she was also efficient in her E. Schneiderman apartments in Harlem from a Excelsior plan fundraising, spending just 26 cents for every dollar raised. developer at below-market rents; takes it up a notch Only state Sen. Eric Schneiderman did better, at 25 cents. failing to report and pay taxes on rental Assemblyman Richard Brodsky burned 52% of what he income from a beachfront condo in the the chief executive of Empire raised, and former state Insurance Superintendent Eric State Development Corp., Dennis Dinallo a Lazio-like 87%. Dominican Republic; and Mullen, says he won’t give out tax Sean Coffey reported having $2.9 million in cash, but inappropriately breaks under the new Excelsior most of that came from a $2 million loan he made to preserving a tax program to companies that are himself. He raised just $784,000 in the past six months, E. Dinallo “anchored” in the state. Of the loophole for an oil spent $1.4 million and had a burn rate of 175%—the 8,500 companies receiving benefits highest among all AG candidates. That was largely because he bought company whose under the Empire Zone program television time. executive pledged that Excelsior is replacing, 6,200 do $1 million for the not have the option of locating saujani, maloney photos: bloomberg news elsewhere, Mr. Mullen says. Charles B. Rangel Retailers like Walmart and Costco, about where to do business based Manhattan to take cabs instead of

Center for Public bloomberg news for example, make their decisions on how many dollars per square using Access-a-Ride vans, which cost foot a store can generate, not on tax taxpayers $57 a ride. Under a incentives, Mr. Mullen says. second proposal, private commuter vans would be licensed to run along five recently discontinued bus Comptroller cans routes in Queens and Brooklyn. cowardly image Disability advocates say the city risks running afoul of federal state comptroller Thomas disability laws if the vans aren’t DiNapoli has taken heat from his wheelchair-accessible, since they Republican opponent, Harry Wilson, would be replacing buses that had for not asserting more control over wheelchair lifts. the state’s budget process. But Mr. DiNapoli says that while stronger oversight might curb abuses, the NYC eyes iPad Legislature might lose the incentive for field workers to produce responsible budgets if the onus were on the comptroller to the city wants to make the iPad fix them. the new clipboard for One issue that inspectors and other should definitely be members of the city’s improved, he says, is “fieldforce”—workers revenue forecasting. He who spend much of suggests starting the their time out of the fiscal year on June 1 or office enforcing July 1, as most states building and restaurant do, rather than April 1, codes, managing so that income tax infrastructure projects collections can be and conducting other accurately counted. “fieldwork,” says Carole Post, commissioner of the Department of A little TLC Information Technology & to fill transit gap Telecommunications. The city plans to negotiate a the taxi and limousine purchase plan with Apple. Commission has proposed two “We want to be an early programs that could offer cost- adopter,” says Ms. Post. efficient alternatives to mass Both Mayor Michael Bloomberg transit. and new Deputy Mayor for The commission is working Operations Stephen Goldsmith with mass-transit officials on a pilot carried their iPads to a press program that would enable disabled conference last week on making riders below 96th Street in government more efficient.

8 | Crain’s New York Business | July 26, 2010 CN013831 7/21/10 4:29 PM Page 1

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VIEWPOINT Here comes Mr. Goldsmith editor in chief Rance Crain publisher, vp Jill R. Kaplan

he business community got its first become ingrained in New York over decades. But Mr. EDITORIAL good look at the city’s newest deputy Goldsmith said everything is on the table. It should be, editor Xana Antunes managing editor Glenn Coleman mayor for operations last week.There was because cities resistant to change tend to decline. deputy managing editors Valerie Block, a lot to like. Stephen Goldsmith, During his time in academia, Mr. Goldsmith came to Erik Ipsen contributing editor appearing at a Crain’s Breakfast Forum, understand how well pricing can motivate behavior—fees Elizabeth MacBride revealed a mind-set about governing that can discourage people from producing trash or driving into columnists Greg David, Alair Townsend politics editor Erik Engquist strikes us as very, well, businesslike. At one congested areas, for example. He seems ready to explore pulse editor Barbara Benson senior reporters Theresa Agovino, point, he said the Fire Department budget would have to be changes that an insider might reject out of hand. Aaron Elstein, Lisa Fickenscher, trimmed because “the [available] resources don’t support the The deputy mayor said he’s already proposed “a thousand Matthew Flamm, Miriam Kreinin Souccar T reporters James Comtois, Amanda Fung, size of the department.”That suggests he’s elevating logic innovations,” only to be told that not a single one was legal. Daniel Massey, Adrianne Pasquarelli, over the politics and emotion that typically prevent He was exaggerating, but clearly he’s been taken aback by Hilary Potkewitz, Jeremy Smerd art director Steven Krupinski politicians from making sensible decisions. the innumerable state deputy art directors Carolyn McClain, Mr. Goldsmith is just over a month into a four-year quest laws, union rules, court Daniel Mednick Too many state staff photographer Buck Ennis to make city government more efficient. His mission is that orders and contractual copy desk chief Wendy Zuckerman laws, union rules copy editor Thaddeus Rutkowski of a chief financial officer asked to streamline a company restrictions that research editor Denise Southwood with a shrinking balance sheet. With a $3.3 billion budget obstruct progress in assistant research editor Maia Blume and court orders editorial interns Carl Gaines, Emily Laermer, deficit looming and the economy on a shaky plateau, that’s New York. David Montalvo, Blaire Porter, Rachel Wexler exactly what’s needed. block progress We urge Mr. www.crainsnewyork.com web editor Brian Tracey One reason we called last year for Mayor Michael Bloom- Goldsmith not to be senior producer Elisabeth Butler Cordova berg to welcome outside voices to his administration was to deterred. For all the producer Kira Bindrim avoid third-term blues. Mr. Goldsmith arrives with a Mid- horror stories of EDITORIAL AND ADVERTISING OFFICES 711 Third Ave., New York, NY 10017-5806 western accent and ideas developed as mayor of Indianapolis dysfunction and editorial: 212.210.0277 Fax 212.210.0799 and later as director of the Innovations in American Govern- bureaucracy, there have been breakthroughs large and small. advertising: 212.210.0259 Cable craincom nyk ment Program at Harvard’s Kennedy School of Government. The mayor gained control of city schools. State employee Fax 212.210.0499 While he starts his job with far more experience than did unions approved a new pension tier.The Legislature allowed Entire contents ©copyright 2010 Crain Communications Inc. All rights reserved. his predecessor, Edward Skyler, Mr. Goldsmith comes to bus-lane enforcement cameras (yes, even that was difficult). ®CityBusiness is a registered trademark of MCP New York ignorant of its arcane mechanisms. But his naïveté Change is possible. In fact, it’s essential.The mayor and Inc., used under license agreement. could be a blessing. Without preconceived notions, Mr. his new deputy should pursue it with gusto and more TO SUBSCRIBE: Call 888.909.9111; fax 313.446.6777. Goldsmith is not inhibited from pitching any idea. transparency and community involvement than the $3.00 a copy, $59.79 one year, $109.79 two years. At the Crain’s breakfast, he did not dismiss the possibility administration has embraced in the past. If they do, unions www.crainsnewyork.com that fees could be imposed for residential trash collection, for and lawmakers should emerge from their bubbles of self- ADVERTISING AND MARKETING advertising director Trish Henry example. Such a notion runs counter to the culture that has interest to help them achieve it. real estate sales manager Cornelius P. Gore senior account managers Irene Irvill, Courtney McCombs, William E. Squitieri account executive Anthony Mowad sales manager, classified print & online John Gallagher CRAIN’S ONLINE POLL COMMENTS sales coordinator, print & online Lulé Haznedari newsletter product manager IS EXTENDING UNEMPLOYMENT Alexis Sinclair credit Todd J. Masura 313.446.6097 BENEFITS FOR THE EIGHTH marketing director Amy Crossman TIME IN TWO YEARS A BAD IDEA One train of thought director, audience development John LaMarca OR A GOOD IDEA? get and stop pricing itself out of the market with senior audience development manager WHAT’S MTA THINKING WHEN IT COMES Tarek Cotran Date of poll: July 21 TO CLOSING ITS BUDGET HOLE? miscellaneous fees and fare hikes. Instead of fix- 305 votes ing the actual problems, the MTA is doing general manager, interactive crainsnewyork.com reports that “MTA eyes what it does best: taking the taxpayer for a ride. Marc Minardo BAD. It encourages the jobless to web developer, interactive more fare hikes and fees” ( July 9) to close the —alan j. dlugash Chris O’Donnell search less and remain ever-widening gulf in its budget. unemployed longer. People will find lower-paying work if forced to do so. A company in the private sector would have BANKS. YOU’RE WELCOME NEW YORK PRODUCTION started making changes long ago when faced production and pre-press director with deficits and budget shortfalls. Salaries and in response to the CrainsNewYork.com story Michael Corsi advertising production manager . benefits would be reduced and more tasks ex- “Big drop-off in banks’ community lending” Suzanne Fleischman Wies 31% pected of workers. All would be necessary ac- ( July 15), it should be noted that the banks op- tions to keep the entity viable, especially in light erating in New York City remain among the PUBLISHED BY CRAIN COMMUNICATIONS INC. of the current recessionary environment, when largest corporate supporters of community chairman Keith E. Crain customer cutbacks would likely occur as well. projects of all types in the city.These projects president Rance Crain But in the public sector, government opera- enhance the quality of life for all New Yorkers. secretary Merrilee Crain treasurer Mary Kay Crain

tors and unions have no real incentive to make With regard to Community Reinvestment executive vp, operations William Morrow 69%. changes. That’s because the money is not Act lending, it is a matter of both law and senior vp, group publisher Gloria Scoby theirs—it’s the taxpayers’, so there’s no person- longtime commitment that banks and thrifts group vp, technology, circulation, al investment in it. serve the moderate- and low-income commu- manufacturing Robert C. Adams vice president/production & GOOD. Tough-love arguments don’t The Metropolitan Transportation Authori- nities in which they operate. Our members manufacturing David Kamis apply when 45% of the unemployed— ty’s brilliant solutions to its current state of af- will continue to be strong resources in the eco- chief information officer Paul Dalpiaz the highest percentage since the fairs include cutting bus and subway lines and nomic recovery of New York City and are ac- corporate circulation/audience 1930s—have been out of work more extorting riders for another dollar each time tively engaged in seeking ways to make an development director Kathy Henry than six months. they buy a new, refillable MetroCard. This ig- even greater contribution to the future of our founder G.D. Crain Jr. (1885-1973) nores the real issue: the substantial overpay- communities and the city. chairman Mrs. G.D. Crain Jr. (1911-1996) For this week’s questions: Go to ment of employee compensation and benefits —michael p. smith www.crainsnewyork.com/poll to have your say. (including wasteful work rules). President The MTA needs to drastically cut its bud- New York Bankers Association

10 | Crain’s New York Business | July 26, 2010 20100726-NEWS--0011-NAT-CCI-CN_-- 7/22/2010 6:46 PM Page 1

OPINION

again. (The best seasonally adjusted MEET THE DEMOCRATIC report shows a loss so far this year.) But with record profits as a result of CANDIDATES Three reasons low interest rates, it is only a matter of time until it does start expanding. for New York Attorney General Tourism was hardly dented by the recession, and hotels are staffed for solid rebound Come hear the five announced democratic up, restaurants are expanding and retail stores are opening. candidates for New York Attorney General t a manhattan chamber event earlier this The bloodletting expected discuss their backgrounds and plans for this among teachers and other govern- month, no one was enthusiastic about the state of ment workers isn’t going to happen. key office in a special Forum Debate moderated the economy.The owners of two bellwether com- Some indicators should be ignored, by Crain’s Erik Engquist and another member of panies—Matthew Reich of Tom Cat Bakery and especially the unemployment rate. the media. Ron Bergamini of Action Carting—said business During this recession, unlike any previous one, the city’s work- Awas better than during the worst days of the recession, but only force continued to expand. Nor- somewhat.The audience sat glumly through an explanation of mally, discouraged job seekers drop the Obama health care plan, including details on what might out. The only explanation for why Assemblyman that didn’t happen is that people Richard Brodsky save them money this jobs—fewer than in the continued to come to New York in year. Council Speaker other three major search of work because their Christine Quinn spoke downturns since World prospects were better here. That is as if recession still War II and less than why the jobless rate reached 10%. It gripped New York. two-thirds of the per- is also likely that the unprecedent- With the memories centage job loss in the ed 99 weeks of unemployment ben- of the boom times still nation as a whole. The efits allows people to be choosier Sean Coffey fresh, maybe it’s under- downturn was short- about the jobs they are willing to former Partner, standable that business- er—it came to the city a take than in previous recessions. Bernstein Litowitz Berger & people find the recovery year late and ended The bottom line: wanting. But the funda- when it did nationally. Eastern Consolidated shows the Grossmann LLP mentals augur a surpris- GREG Housing prices here fell city gained 60,000 jobs in the first ingly strong rebound. less than elsewhere. half of the year, 80% in the private Here are three key DAVID New York’s office va- sector, more than a third of all those points to keep in mind. cancy rate is the lowest lost. That’s stunning when com- We’re in better shape of any major city. pared with previous recoveries. Eric Dinallo than other areas. Our key industries are—or will That’s why I remain convinced the former State The recession was far milder in soon be—expanding again. strength of this recovery will sur- New York than it was elsewhere. Some media reports have wrong- prise cautious businesspeople and Insurance Superintendent The city lost on the order of 170,000 ly suggested Wall Street is hiring economists.

pletely every 12 years. Kathleen Rice The second proposition should Chance to restore open up the election process by mak- District Attorney Nassau County ing all registered voters eligible to participate in a nonpartisan primary for council seats and citywide offices. the public’s trust The top two vote-getters would face each other in the general election. The current closed-party pri- Senator BY ESTER R. FUCHS mary system is broken. More New Eric Schneiderman Yorkers are choosing to register he new york city Charter Revision Commission without any party affiliation. As a is now in session and just released its preliminary consequence, they cannot partici- pate at all in the candidate selection report and recommendations. It is holding public process.And since 70% of registered hearings in all five boroughs and streaming its pro- voters in the city are Democrats, DATE: ceedings live over the Internet.Big deal,you might most of the real competition occurs TUESDAY, JULY 27TH, 2010 be thinking. But there is reason to pay attention.The city’s ba- in low-turnout Democratic primar- TIME: 8:00-8:30 AM BREAKFAST T ies and not in the general election. 8:30-9:30 AM PROGRAM sic legal governance structure, including the responsibilities of Eighty percent of America’s VENUE: our elected officials and agencies, is found in the Charter.This largest cities, including Chicago, GRAND HYATT San Antonio and Los Angeles, hold 42ND ST & GRAND CENTRAL TERMINAL process is the closest we come to en- dresses the term-limits issue for some form of nonpartisan elections. COST TO ATTEND: gaging in direct democracy—where citywide elected officials and mem- There is no evidence that minorities the public actually makes policy. bers of the City Council. While the have been negatively impacted or $75 FOR INDIVIDUAL TICKET(S) All Charter commissions are council and mayor have the legal au- that political parties have been tasked with reviewing the entire thority to change this law, there has weakened. Nonpartisan elections $750 FOR TABLE(S) OF TEN Charter, but recent commissions been sufficient public disapproval of serve to make more registered voters have generally focused on a narrow the process that it must be brought eligible to participate in the nomi- set of questions. The current com- back to the voters for reconsidera- nating process and have encouraged To register, go to crainsnewyork.com and click on “Events”, or fax mission is confronting the reality of tion. Currently,incumbents have an more people to run for public office. your business card and credit card information to “AG Breakfast” its self-imposed time constraint—it overwhelming advantage in local If the commission focuses on at 212-210-0499. is committed to putting proposi- elections, and term limits create both of these issues and engages the tions on the November ballot. As competitive races. public in a robust debate,then it will For more information, call the Events Hotline at 212-210-0739. the public’s disaffection with gov- The voters should decide help reinvigorate our local democra- You must be pre-registered to attend this event. No refunds permitted. ernment continues unabated, the whether they prefer a two- or three- cy. That would be a significant ac- commission would be advised to fo- term limit. Given the complexity of complishment. cus on issues that promote citizen city government and the time it engagement and restore trust in takes to develop and implement Ester R.Fuchs is professor ofpublic affairs and government. policies, I would argue for a three- political science at Columbia University and In this spirit, the commission term limit that is staggered so that was chair of the 2005 New York City Char- should offer a proposition that ad- the council does not turn over com- ter Revision Commission.

July 26, 2010 | Crain’s New York Business | 11 20100726-NEWS--0012-NAT-CCI-CN_-- 7/22/2010 7:43 PM Page 1

SMALL BUSINESS Reviving global art market offers brush with greatness

poised to double its 30-member pear to be back,” he says. “There are Frame companies, staff in the next 12 months as the a lot of aggressive buyers in Chinese sales websites ride door business progresses. and Middle Eastern markets. They “We’re nonstop,” Mr. Wilner are affecting all the markets, includ- rebound, despite iffy says of his firm, which generates ing New York.” overall economy close to $10 million in annual sales. Another promising sign, says “We work through the weekends.” Mr. Kaye, is that art is increasingly Even with the timing of an over- being used as collateral for loans,in- BY ELAINE POFELDT all economic recovery still unclear, cluding those taken out by small the situation looks promising for businesspeople.

li wilner never faced New York City entrepreneurs, like “You’ve got a lot of banks that are buck ennis the kind of hard times Mr. Wilner, whose success is linked lending against art or thinking of PICTURE OF HEALTH: Eli Wilner plans to double staff at his $10 million frame and door firm. that kept other entre- to that of the art market. lending against art,” says Mr. Kaye, preneurs awake at night whose firm is advising both lenders during the worst of the Record-breaking results and borrowers. on ArtCycle,which sells art by indi- tomers are in the greater New York Erecession. His Manhattan firm, Eli when a Giacometti sculpture sold That’s good news for the surpris- viduals whose work has been shown area, where Mr. Farkas’ business Wilner & Co., makes high-end, for a record-breaking price in Lon- ingly large number of local small in major galleries or museums. partner, Stephen Tanenbaum, is handcrafted frames and sells an- don this past February,“it led to a lot businesses whose fortunes hinge on “It is picking up primarily for the based, says Mr. Farkas, who lives in tique ones for major works of art. of optimism that the market was the volatile market. There were blue-chip names,” Mr. Smolin says. San Francisco. His clients include the White back,” says Lawrence M. Kaye, co- more than 630 art dealers in New “Right below the level of household Averlyn Archer, who runs the House and the Metropolitan Muse- chair of the art law practice at Man- York City in 2009, according to the names, it is still illiquid.” Canvas Paper and Stone Gallery in um of Art,as well as private individ- hattan-based Herrick Feinstein. state Department of Labor. Harlem, is also the co-founder of uals who are, he good-naturedly This spring, a nude by Picasso sold ArtCycle, a Brooklyn Heights Deck the walls ArtCrawl Harlem, a for-profit confirms, “some of the wealthiest at Christie’s in New York for $106.5 website that started in 2008 as a ven- at ugallery.com, a four-year-old guided trolley tour of local galleries. people on earth.” million, including the auction ue for buying and selling original site that sells both original art and Based on inquiries, she is optimistic Just to make sure that his busi- house’s buyer’s premium, making it postwar and contemporary art,is see- prints in the $100 to $5,000 range, about the next event, on Aug. 7 and ness was diversified enough in the the highest-priced piece of art sold ing an uptick in business,says found- sales also have been strong, says co- 8, though the three-year-old tour wake of the global financial crisis, at auction (with Herrick Feinstein er Richard Smolin,who’s also a CPA founder and gallery director Alex hasn’t made much money yet. Mr. Wilner created a division that representing the seller). and a certified financial planner. Farkas: They were up 47% in the “We found people’s interest in art carves decorative front and interior The buoyancy diminished a bit “There’s a correlation between first six months of 2010 compared is actually growing,” she says.
doors. He also came up with an when London auctions disappoint- how the art market does and how with the same period last year. iPhone app that lets users frame ed in June, but Mr. Kaye has no this [site] does,” he says. “Even though people are going their photographs with images of doubt that the art market is much Revenue at his business has in- through hard times, they still want To sign up for Crain’s his company’s frames. stronger today than it was in 2009. creased about 25% per quarter since to have a nice home and put art on SMALL BUSINESS newsletter, go to Now, with the increasingly glob- “The Russian collectors who its inception. the walls,” he says. www.crainsnewyork.com/smallbiz. al art market percolating, the firm is were out of the market in 2009 ap- The market is uneven for works About half of the startup’s cus-

UNDER FIRE: Imam Feisal Abdul Rauf, a Diverging views on WTC mosque leader of the mosque project, has drawn heated criticism. represents the district, more than nity center open to the public. NEIGHBORHOOD JOURNAL 95% of the complaint calls her office Some residents point out that the receives about the project come project’s developers presented their Continued from Page 2 from outside the neighborhood,and plans voluntarily. Others—including Sarah Palin, the vast majority come from out of who recently condemned the proj- state. Nonthreatening approach ect via Twitter—strongly disagree. “The center is something the “they bought the land; they were Among the dissenters are family community needs,” says Ms. Chin. not required to appear before us,” members of Sept. 11 victims who Plans for Park51—whose name says Ro Sheffe,chair of the financial say the center, which will house a was recently changed from Cordoba district committee for Community Muslim prayer space on an undeter- Board 1.“They are good neighbors.” mined floor, is unacceptably close to In fact,Cordoba is no stranger to the hallowed ground of the World Financing will lower Manhattan. The group has Trade Center.In fact,the site,which had a mosque in TriBeCa at West most recently housed a Burlington be a challenge Broadway and White Street for the Coat Factory store, was where land- past 27 years and actually began ing gear from one of the hijacked to get in this holding services on the ground floor planes crashed. of 45 Park Place last year. economy Beyond the political hurdles, the Sounding alarm project faces obstacles familiar to all still others, including Republi- developers in the city. The city can gubernatorial candidate Rick Landmarks Preservation Commis- Lazio, have called for an investiga- sion is expected to vote next month tion into the construction of the on whether 45 Park Place should be center. Meanwhile, Imam Feisal House to better position the project landmarked. Most believe it won’t, Abdul Rauf, founder of the Cordo- as a community center as opposed to but if it is, Mr. El-Gamal would ba Initiative and one of the project’s a mosque—were unveiled to local have to go through Landmarks ap- leaders, has been accused of every- residents and Community Board 1 provals to make any major changes thing from having ties to radicals to in May.Mr. El-Gamal, who bought to the building. receiving funds from terrorists. 45-47 Park Place for roughly $5 Also, Mr. El-Gamal says the “The [charges are] completely million last year, insists that the new project will require some financing, false,” says Mr. El-Gamal. “[The] center is not a mosque because it will which he admits will be a challenge Imam is one of the most moderate have a single floor dedicated to to get in this economy. Fundraising Muslims in the United States today.” prayer space that will be run sepa- for the project has not begun yet. According to City Coun- rately from the other facilities, “We are taking it step by step,” he
redux cilmember Margaret Chin, who which will be like those of a commu- adds.

12 | Crain’s New York Business | July 26, 2010 20100726-NEWS--0013-NAT-CCI-CN_-- 7/22/2010 6:47 PM Page 1

REAL ESTATE INSIDE Deals Plus Pricey building buys are back; the latest local transactions P. 16 Top property sales in first half P. 17 Largest office leasing deals in Manhattan in first half P. 18 Birth of a new urban model

Nearly done, Battery Park City draws raves, tenants

BY AMANDA FUNG early next year, two luxury condominium towers—the Liberty Luxe and Liberty Green—will open in Battery Park City.The buildings, which will be 33 and 23 stories, respectively, and will feature similar brick-and-glass facades, are being developed by Milstein Properties. More important, the two towers will bring to a close one of the largest and most remarkable development projects in New York City’s history: the transformation of 92 acres of landfill across the West Side Highway from the World Trade Center into a vibrant neighborhood. Today, Battery Park City boasts more than 12,000 residents, 10.8 million square feet of office space—including the headquarters of American Express, Merrill Lynch and Goldman Sachs— three schools, 35 acres of parks and a 1.2-mile See CITY’S ‘SMALL TOWN’ on Page 14

MULTIFACETED: Battery Park City’s stunning mix of buildings and green spaces

is a blueprint for others. by buckphotos ennis

July 26, 2010 | Crain’s New York Business | 13 20100726-NEWS--0014-NAT-CCI-CN_-- 7/22/2010 6:47 PM Page 1

REPORT REAL ESTATE

City’s ‘small town’ looms large LEARNING FROM BATTERY PARK Some major developments under way in the city. HUDSON YARDS Continued from Page 13 tured separate, elevated streets for that made the difference.” Area 26 acres on far West Side of riverfront esplanade. It’s also a cars and pedestrians and was de- For openers, the new plan was Manhattan place where people want to work signed to be visually and aestheti- far more user-friendly, allowing Goals Half of the space will be for and live. cally different from the rest of the more room for public spaces and apartments, cultural space and a “In Battery Park City, you’re in a city. It also turned out to be impos- streets that were not on a grid. new public school; the other half for small town with neighbors who sible to build, especially amid a re- Rather than standing out from the office, hotel and retail space and know each other and lots of parks,” cession. city,the new design included famil- public areas says Anthony Notaro Jr., a commu- By 1979, with the BPCA stand- iar elements from Central Park and Status The Metropolitan nity leader who moved there a dozen ing on the verge of bankruptcy, a other much-loved public places— Transportation Authority and The years ago. “You have every amenity new chairman was appointed, from hexagonal asphalt paving you could imagine.There is nothing blocks to stately lampposts and Related Companies recently else like it in New York.” wood-slatted benches. approved a $1 billion deal to convert Now, with major mixed-use de- ‘Battery Park “We intentionally wanted people the land into a sprawling development. Related is required to pay $20 million velopment projects looming on the to feel like they were in New York,” when the contract is signed and another $21.7 million in the following 12 horizon—from the rail yards on the City is a lesson says Mr. Kahan. months, but the developer won’t have to close on the project or pay rent on West Side of Manhattan to Willets The proposal included strict the land until the market improves. Point in Queens to Atlantic Yards of evolutionary, guidelines to ensure that plans for Developer The Related Companies and Coney Island in Brooklyn— residential and commercial build- Battery Park City is also being not revolutionary ings included public space. The CONEY ISLAND viewed by planners as a potential BPCA paired artists with architects Area 27 acres in Brooklyn model for crafting sustainable com- design’ and designers to raise those public Goals Year-round entertainment munities from scratch. spaces above the level of the ordi- district with 1.1 million square feet nary.In the process,the Battery Park of amusements, 4,500 square Done by committee esplanade became the prototype for feet of housing, 500,000 square the most shocking thing about much of what is today the 5-mile- feet of retail, more than 6,500 the neighborhood’s success is that it Richard Kahan, founder of the long Hudson River Park. parking spaces, and a hotel. was shaped, of all things, largely by nonprofit Urban Assembly, who At first, luring developers to the Status The city has assembled all a committee: the Battery Park City was also responsible for leading the empty windswept plain was tough. the land it needs to proceed by Authority. That seven-person design, financing and construction Complicating matters was that de- finally buying 6.9 acres from agency was set up in the late 1960s of the Jacob K. Javits Convention velopers had to sign a 99-year developer Joseph Sitt. Project is by the state to guide the site’s devel- Center. ground lease,which even Mr.Kahan awaiting state approval of parkland designation so the amusement district opment. Brought in to shut down the conceded was a risky bet early on for can be expanded and parking and housing can be developed. “I give credit to the people at the project, Mr. Kahan ended up put- a developer. BPCA [for a remarkable job],” says ting together a team that would The first break came in the early ATLANTIC YARDS Rick Bell, executive director of the eventually save it. In one of his first 1980s, when The LeFrak Organiza- Area 22 acres in downtown American Institute of Architects’ steps, he hired young architects tion agreed to build a 1,700-unit resi- Brooklyn New York chapter. Alexander Cooper and Stanton dential complex called Gateway Plaza Goals The Barclays Center, an Having said all that, the process Eckstut to craft a new, simpler, less on South End Avenue. But it wasn’t was ugly, especially in the early ambitious master plan. until late in that decade that the deal 18,000-seat arena, will be years.For openers,the original mas- “Richard was the hero of Battery came to establish Battery Park as a lat- home to the Nets basketball ter plan created in the late 1960s un- Park City,” says Mr. Eckstut, who is ter-day Rockefeller Center. team. Future plans for 16 der Gov. Nelson Rockefeller proved now senior principal of Ehren- Toronto-based Olympia & York towers for mostly residential to be a nonstarter. krantz Eckstut & Kuhn Architects. agreed to build a four-tower, 8 mil- units, but project will also Described as “futuristic,” it fea- “It was his vision and his support lion-square-foot retail/office com- include hotel and office space. plex complete with a marina, a Status The foundation for the Barclays Center was recently poured. sweeping riverside plaza and a glass- Developer Forest City Ratner Cos. vaulted winter garden, all designed by renowned architect César Pelli. WILLETS POINT Within years of opening, what was Area 62 acres near Citi Field in dubbed the World Financial Center Queens was home base for American Ex- Goals Hotel, convention center, a press, Dow Jones, Merrill Lynch school, 5,500 mixed-income and others. residential units, eight acres of public With Olympia & York on board, spaces, community amenities and other developers, including Mil- 1.7 million square feet of retail stein Properties and the Albanese Status Some Willets Point business Organization, rushed to build their and property owners are battling the own projects. city’s effort to redevelop the area. Each had to comply with strict Building cannot begin until the private rules that specified everything from parcels on the site are purchased or condemned through eminent domain. building heights and configurations to the color of facing materials.The idea was to get a reasonable degree of harmony without crossing the buildings in the city over the past ibility has been crucial, according to line to homogeneity. decade. In 2000, a guideline was James Cavanaugh, who took over as With each new project, park or added to the master plan to encour- BPCA’s president in 2005. As more other amenity, the odds of success age developers to build green. families moved into the area, the increased. The Solaire, which opened in master plan had to be tweaked to al- 2003 at 20 River Terrace, was the low for more space for schools. The Better in the end first product of that guideline. It area’s third school,PS 257,will open “when you are picking brick, was also the nation’s first LEED in September. [the restrictions] are a pain in the gold-certified high-rise residential Similarly,Teardrop Park,the dog neck,” says Steve Rossi, a longtime building. run in the middle of North End Av- Battery Park resident and senior man- According to Mr. Bell of AIA’s enue, as well as the little-league ager at Milstein Properties,which has New York chapter,the environmen- baseball field, were not part of the developed six condos in Battery Park tal standards established in Battery original plan. Even the community City since 1980, including Liberty Park City set an international stan- center at the base of Liberty Luxe Luxe and Liberty Green. “However, dard for green building. The solar and Liberty Green was not initially the payoff is greater, because you end panels on the side of those buildings envisioned. up with better product.” are “not clunky; they’re beautiful,” “Battery Park City is a lesson of The master plan is also credited he notes. evolutionary design,not revolution- with leading the wave of green Over the project’s long life, flex- ary design,” says Mr. Eckstut.

14 | Crain’s New York Business | July 26, 2010 20100726-NEWS--0015-NAT-CCI-CN_-- 7/22/2010 6:22 PM Page 1

REPORT REAL ESTATE Canadian funds put money to work in NYC properties

south of the border was the Canada stakes was SL Green Realty Corp., Cash-rich pension Pension Plan Investment Board, which will continue to manage and funds, unscathed by based in Toronto. It announced in lease 600 Lexington under the terms May that it was investing a whop- of the companies’ joint venture. recession, nab stakes ping $663 million in two minority in Manhattan towers stakes in Manhattan office towers— High-value location the fund’s first forays into the U.S. “we looked at assets over the commercial property market. past several years and couldn’t find BY ALBERT WARSON In the first of those two transac- anything with really compelling val- tions, CPPIB acquired a 45% inter- ue for us until New York came with the keys to most prime of- est in the 2.5 million-square-foot, along,” says Graeme Eadie, fice properties in Canada stashed 50-story McGraw-Hill Building in CPPIB’s senior vice president of real PENCHANT TO PURCHASE: CPPIB took interests in the McGraw-Hill Building (left) and 600 Lex. away in long-term institutional estate investments.“We will contin- portfolios and plenty of cash on ue to look for opportunities, focus- their books, two of Canada’s largest ‘We’re very ing on premier buildings with long- dent of Related Hudson Yards,who ly, in late 2007, it purchased a 49.4% pension-fund managers headed term leases and earning assets.” was a real estate development exec- stake in two office towers in partner- south this spring for a spot of shop- serious about Later in May, Oxford Properties utive in Toronto 20 years ago. In- ship with SL Green; the properties ping in Manhattan. Group snapped up a stake in Hud- spired by the vast project’s potential, at 388 and 390 Greenwich St.have a They found much to like. In less investing in a lot son Yards,the stalled 26-acre devel- Mr. Hutcheson has opened a six- total of 2.6 million square feet. than three weeks in May, the duo opment over Manhattan’s West person office on Park Avenue to spent $738 million,with plans to in- of NY real estate’ Side rail yards. Oxford—a wholly help line up tenants for the rail yards Brookfield’s bailiwick vest an additional $400 million at a owned arm of the Toronto-based site and to work on plans for office, on the other hand, Canadian later date. Ontario Municipal Employees Re- residential and hotel properties developers have been major players “Canadian pension funds con- tirement System that has $16 billion there. in New York for decades. tinue to grow, and there is limited in assets—bought a $75 million in- “We’re very serious about invest- The largest of that lot is Toron- [real estate] availability in Canada,” Rockefeller Center, paying approx- terest in the project, with an option ing in a lot of real estate in New to-based Brookfield Properties says Dan Sullivan, Canadian consul imately $576 million. Rockefeller to invest as much as $400 million York,” he adds. Corp.,which acquired the commer- general in New York. He also notes Group International Inc. will retain more. It will partner with developer As they take stakes in the New cial real estate assets of fellow Cana- that the recession has hit property the balance of the interest and will The Related Companies, which York market, both Oxford and dian Olympia & York—including values far harder in the States than continue to lease and manage the took over the project in 2008 after CPPIB are in many ways following the World Financial Center down- in Canada and has left many U.S. property. A week later, CPPIB winning bidder Tishman Speyer the lead of Canada’s largest institu- town—after its 1992 bankruptcy. developers starved for something snapped up a 45% interest in 600 backed out. tional investor in real estate, SITQ, Today, Brookfield boasts 10 build- that the Canadians have plenty of: Lexington Ave., a 300,000-square- Oxford Chief Executive Blake the principal real estate arm of pen- ings in its Manhattan portfolio, cash. foot, 36-story office building, for Hutcheson says he was introduced sion fund giant Caisse de dépôt et with a total of 18.5 million square The first buyer off the mark $87 million.The seller of both those to the property by Jay Cross, presi- placement du Québec. Most recent- feet.

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July 26, 2010 | Crain’s New York Business | 15 20100726-NEWS--0016-NAT-CCI-CN_-- 7/22/2010 6:48 PM Page 1

REPORT REAL ESTATE

$114M expansion designed by Anshen and Allen, will Deals Plus provide a second home for children IN THE for kids hospital who need to stay anywhere from a DOLDRUMS few weeks to several months. Pricey property st. mary’s hospital for Children, “This facility is for children who Brooklyn office market the city’s largest provider of post- have long-term needs,” says St. acute care for children, is planning a Mary’s Chief Executive Jeff Frerichs, massive upgrade of its flagship facil- who notes that his company cares for deals bounce ity in Queens. 4,000 children on any given day. 8.3% After nearly six years in the plan- “With clinical and information tech- 2ND-QUARTER vacancy rate, up ning stages, and after recently get- nology growing so rapidly, our cur- from 8.1% a year earlier, but down back in first half ting the needed green light from the rent building is just too antiquated.” from peak of 9.1% in 1Q 2009 Department of Health’s Public —james comtois Health Council of New York State, ig price tags returned to Manhattan’s work will start soon on modernizing commercial sales market in the first half of the St. Mary’s 80,000-square-foot Bay- Blackstone tower year, with the most expensive deal in the period side building at 2901 216th St. and nets financial firm $26.64 AVERAGE ASKING RENT per erecting a new 90,000-square-foot valuing 1221 Sixth Ave. at $1.28 billion. That is square foot, down from $28.98 a patient pavilion. a 36-year-old cash-management more than three times what 1334 York Ave.—the The total cost of the project is ex- firm is relocating to Times Square year earlier costliest property purchased in the first half of last year— from its Plaza district home. Source: CoStar Property B Reich & Tang Asset Man- fetched. What’s even more intriguing about the deal that agement signed a 12-year lease leads Real Capital Analytics’ top property sales for the first for 35,160 square feet at 1411 private loading dock. The tenant half of 2010 (see chart, Page 17) is that the Canada Pension Broadway, a 1.1 million-square- plans to take possession on Sept. 1. Plan Investment Board purchased only 45% of the tower. foot, 40-story tower between Ripco Realty represented Petco “Noncontrolling stakes are not very liquid, so when people West 39th and West 40th in the transaction. Although the streets. The asking rent for the asking rent was not disclosed,previ- buy them, it is a positive sign,” says Dan Fasulo, a managing deal was $48 per square foot. ous retail deals in the neighborhood director at Real Capital. He notes that investors’ increasing The tenant is relocating have ranged from $200 to $300 per willingness to lavish tens or even hundreds of millions of dollars from 56,000 square feet spread square foot. on a stake in a property in which they won’t be in the driver’s over four floors at 600 Fifth “Even though Petco already has Ave., where it’s been for the a store on West 92nd Street and seat suggests a firming of confidence in the market’s strength. pected to be $114 million.Construc- past 15 years. At its new home, Broadway,the strong foot traffic and tion manager Turner Construction Reich & Tang will occupy all of the high-volume retailers at Columbus Interestingly, the list’s Madison Ave. in a deal that has scheduled site work to begin in 28th floor and part of the 29th. It Square convinced the brand to second and third spots were puts the value of the build- late August and groundbreaking for plans to move in by the end of the sign,” says Winick Realty Group also captured by deals involv- ing at $570 million. the fall.Occupancy of the new build- year. broker Kelly Gedinsky, who along ing the purchase of noncon- In the first half of the ing is scheduled for the end of 2012. “The firm no longer needed to be with colleague Lori Shabtai repre- trolling stakes. Rockpoint year, there were 16 deals St.Mary’s,which was founded in in the Plaza district,” says Ted sented landlord 805 Columbus. Group bought 49% of 299 valuing buildings at more Manhattan’s Hell’s Kitchen in 1870 Rotante of Colliers International, She adds that the complex’s prox- Park Ave. in a transaction than $100 million, com- as the city’s first children’s hospital, who along with his colleague James imity to Central Park has attracted valuing the building at $630 pared with only five in the has since become a center for aiding Dempsey represented the tenant in more pet-friendly families “to an al- million.
    And RXR Realty first half of last year. children seeking care after their hos- the transaction. “The new location ready pet-friendly neighborhood.” bought a 49% stake in 340 1221 Sixth Ave. —theresa agovino pital visit. The modernized facility, is preferable for the employees,since Founded in 1965,San Francisco- it’s almost equidistant between based Petco has more than 1,000 Penn Station, Port Authority and stores in the U.S., with roughly a Grand Central.” dozen in New York City. Mr. Rotante added that 1411 —james comtois Broadway’s landlord, Blackstone Group, has been seeking to improve its tenant mix and was keen to land Sportswear firm the financial services firm. Other zips up space tenants in the building include Jones New York and Chase Manhattan after temporarily slimming Bank. Colliers is coordinating the down during the recession, Colum- construction and build-out. bia Sportswear is expanding again. Founded in 1974, Reich & Tang The Portland, Ore.-based retailer specializes in short-term cash in- recently signed a 10-year lease for vesting and cash management serv- more than 6,200 square feet on the ices for financial firms. It is a sub- fifth floor of 525 Seventh Ave., on the sidiary of Paris-based financial giant corner of West 38th Street.The ask- Natixis Global Asset Management. ing rent was $39 a square foot. Tara Stacom of Cushman & Columbia, which plans to move Wakefield Inc. represented the into the showroom space sometime landlord. in early fall, is now leasing shared —james comtois showroom space at 1400 Broadway. “They had downsized into the previous location, but now they’ve Petco barks up decided they want to re-establish same tree themselves,” says Philip Silverstein, the NAI Global broker who repre- despite operating a store just a sented Columbia in the transaction. few blocks away, a national pet sup- The retailer has had a good year ply retailer has agreed to rent space thus far. For the first quarter, Co- in the nearly completed mixed-use lumbia reported $300.4 million in development Columbus Square. net sales, a 10% increase over the The space, at 805 Columbus Ave. at same period last year, along with West 99th Street, was the last re- earnings of more than $9 million. maining big-box retail space in the The company also recently area. launched a line of outdoor watches. Under a 10-year lease, Petco will Brian Neugeboren of Savitt occupy 20,117 square feet in the 14- Partners and Steven Marvin of story residential tower. The space Olmstead Properties negotiated the consists of 14,540 square feet on the deal on behalf of landlord 525 lower level, 4,947 square feet on the Delaware. ground floor and a 630-square-foot —adrianne pasquarelli

16 | Crain’s New York Business | July 26, 2010 20100726-NEWS--0017-NAT-CCI-CN_-- 7/23/2010 1:12 PM Page 1

REPORT REAL ESTATE Real Capital Analytics’ Top Property Sales Biggest commercial transactions in NYC in first-half 2010, ranked by price

Sq. ft. or Address/ # of units/ property type/ Sale price price per Close submarket (in millions) sq. ft. or unit date Buyer Seller Seller’s representative TOP FOUR SALES 1 1221 Sixth Ave. (McGraw-Hill Building) $1,280.0 2,600,000 5/14 Canada Pension Plan SL Green Realty Corp. n/a 1 Office $492 Investment Board Midtown West 2 299 Park Ave. $630.0 1,049,280 1/9 Rockpoint Group UBS Bank Corp. CBRE 2 Office $600 Midtown East 2 340 Madison Ave. $570.0 750,000 6/10 RXR Realty Broadway Partners/ CBRE 3 Office $760 DE Shaw Group Midtown East 452 Fifth Ave. (HSBC headquarters) $330.0 865,000 4/13 IDB Group/ HSBC Holdings Jones Lang LaSalle 4 Office $382 Midtown Equities Midtown West 3 250 E. 57th St. $320.0 900,000 4/28 Worldwide Group NYC Educational CBRE 5 Development site $356 Construction Fund Midtown East LIST RANK 1 440 Park Ave. (former Drake Hotel) $305.3 600,0004 1/28 CIM Group Macklowe Properties n/a ADDRESS 6 Development site $509 1221 Sixth Ave. Midtown East PRICE PER SQ. FT. 1466 Broadway (Six Times Square) $197.7 298,695 6/17 Walton Street Capital/ Danske Bank AS Jones Lang LaSalle $492 7 Office $662 Ashkenazy Acquisition Corp. Midtown West 600 Lexington Ave. (Manhattan Tower) $193.0 303,515 5/20 SL Green Realty Corp./ Hines Interests LP, CBRE 8 Office $636 Canada Pension Plan aka U.S. Core Office Fund Midtown East Investment Board 420 E. 54th St. (Rivertower) $181.5 323 1/29 Equity Residential Macklowe Properties n/a 9 Apartment $561,920 Midtown East 2 Court Square (CUNY Law School) $155.0 225,000 3/4 City University of New York Citigroup n/a 10 Office condo $689 Astoria, Queens 777 Sixth Ave. $150.8 294 1/29 Equity Residential Macklowe Properties n/a 11 Apartment $512,925 Midtown West 305 W. 50th St. (Longacre House) $142.7 293 3/31 Equity Residential Macklowe Properties n/a LIST RANK 2 12 Apartment $487,031 ADDRESS Midtown West 299 Park Ave. 417 Fifth Ave. $140.0 412,000 6/1 Inmobiliaria Carso, S.A. de C.V. Moinian Group/ Cushman & Wakefield Inc. PRICE PER SQ. FT. 13 Office $340 Goldman Sachs Midtown East $600 124 E. 12th St. (Founders Hall) $134.2 212 1/21 New York University Hudson Companies of Brooklyn n/a 14 Apartment $633,226 Midtown South 5 1412 Broadway (Fashion Gallery) $130.0 400,000 3/5 Murray Hill Properties Principal Financial Group n/a 15 Office $325 Midtown West 4 New York Plaza $107.0 1,200,000 1/11 Harbor Group International/ J.P.Morgan Houlihan Lokey 16 Office $89 Capstone Equities Downtown 60 Fifth Ave. (Forbes headquarters) $65.0 145,000 1/7 New York University Forbes Inc. n/a 17 Office $448 Midtown South 101 W. 57th St. (Buckingham Hotel) $60.0 100 6/11 UBS Stephen Shapiro n/a 18 Hotel $600,000 LIST RANK 3 Midtown West ADDRESS 343 W. 39th St. (Holiday Inn Express Times Square) $56.5 210 2/9 Hersha Hospitality Trust McSam Hotel Group n/a 340 Madison Ave. 19 Hotel $269,048 Midtown West PRICE PER SQ. FT. 337 W. 39th St. (Hampton Inn Times Square) $56.0 184 2/9 Hersha Hospitality Trust McSam Hotel Group n/a $760 20 Hotel $304,348 Midtown West 14 W. 40th St. $52.9 189,000 6/21 HFZ Capital Group Ascent Real Estate/ n/a 21 Development site $280 (Ziel Feldman) Starwood Capital Group Midtown West 339 W. 39th St. (Candlewood Suites Times Square) $51.0 188 2/9 Hersha Hospitality Trust McSam Hotel Group n/a 22 Hotel $271,277 Midtown West 130 E. 39th St. (W New York Court) $48.4 198 4/14 IGB Corporation Berhad Starwood Hotels & Resorts Eastdil Secured 23 Hotel $244,192 Midtown East 490-496 Fulton St. (Fulton Mall) $46.4 269,845 4/22 Crown Acquisitions Snyder Fulton Street n/a 24 Retail $172 Brooklyn LIST RANK 4 386 Park Ave. South $42.3 210,000 5/17 Savanna Partners Monday Properties/ Eastdil Secured 25 Office $202 Landis Group ADDRESS Midtown East 452 Fifth Ave. n/a Not available. Development site square footage and price per square foot is based on buildable square feet. 1-A 45% interest was traded; sale price reflects 100% valuation. 2-A 49% interest was traded; sale price reflects 100% valuation. 3-75-year PRICE PER SQ. FT. leasehold. 4-Estimate. 5-A 93% interest was traded; sale price reflects 100% valuation. Real Capital Analytics Inc. is an independent research firm focused exclusively on capital investment markets for commercial real estate. RCA offers comprehen- sive information on activity in the industry. In addition to collecting transactional information for property sales and financings, it interprets the data, including capitalization rates, market trends, pricing and sales volume. The firm publishes a series $382 of Capital Trends reports and offers an online service that provides real-time, global transactional market information. Visit www.rcanalytics.com.

July 26, 2010 | Crain’s New York Business | 17 20100726-NEWS--0018-NAT-CCI-CN_-- 7/22/2010 6:22 PM Page 1

REPORT REAL ESTATE CoStar’s Top Manhattan Office Leasing Deals Biggest transactions in first-half 2010, ranked by square feet

Address Square feet Tenant Tenant representative Landlord/sublandlord Landlord/sublandlord representative Submarket

1 11 Times Square 406,399 Proskauer Rose CBRE SJP Properties CBRE Times Square 1 2 1411 Broadway 385,759 Jones Apparel Group Inc. CBRE The Blackstone Group Equity Office Properties Penn Plaza/Garment 2 3 787 Seventh Ave. 352,418 Willkie Farr & Gallagher CBRE 787 Holdings CBRE Columbus Circle 2 4 55 E. 52nd St. 295,452 McKinsey & Co. CBRE Fisher Brothers Management Co. Fisher Brothers Management Co. Plaza District 5 620 Sixth Ave. 276,000 Service Employees International Union Newmark Knight Frank Jamestown Management Corp. Cushman & Wakefield Inc. Chelsea 6 200 Fifth Ave. 260,994 Tiffany & Co. Studley L&L Holding Co. CBRE Chelsea 7 777 Third Ave. 246,500 Avon Products CBRE/Cushman & Wakefield Inc. Sage Realty Corp. Jones Lang LaSalle Plaza District 2 8 125 W. 55th St. 201,700 Katz Media Group Inc. CBRE Boston Properties Inc. Boston Properties Inc. Columbus Circle 2 9 1 Broadway 199,240 Kenyon & Kenyon CBRE Logany Colliers International NY World Trade Center 3 10 450 W. 33rd St. 166,479 GMHC Cushman & Wakefield Inc. Broadway Partners Fund Manager Studley Penn Plaza/Garment 3 11 605 Third Ave. 130,740 United Nations Population Fund Colliers International NY Fisher Brothers Management Co. CBRE Grand Central 12 110 William St. 116,540 New York Liquidation Bureau Jones Lang LaSalle Swig Equities Swig Equities Insurance District 13 75 Varick St. 114,605 Horizon Media Newmark Knight Frank Trinity Church Real Estate Cushman & Wakefield Inc. Hudson Square 14 333 W. 34th St. 112,940 Metropolitan Transportation Authority NY Metropolitan Transportation Council SL Green Realty Corp. Cushman & Wakefield Inc. Penn Plaza/Garment 1 15 601 W. 26th St. 112,741 McGarryBowen CBRE SL Green Realty Corp. 601 West Associates Chelsea 16 399 Park Ave. 111,728 PineBridge Investments Studley Boston Properties Inc. CBRE Plaza District 1 17 260 Madison Ave. 110,000 McLaughlin & Stern Grubb & Ellis The Sapir Organization The Sapir Organization Grand Central 2 18 521 W. 57th St. 107,726 CBS Broadcasting Inc. CBS Corp. Himmel + Meringoff Properties Meringoff Properties Inc. Columbus Circle 4 19 26 Broadway 106,431 NYC School Construction Authority Newmark Knight Frank The Chetrit Group Newmark Knight Frank Financial District 20 127 W. 25th St. 104,500 Bowery Residents’ Committee Inc. Cassidy Turley 127 West 25th LLC Colliers International NY Chelsea 1 21 512 Seventh Ave. 101,855 G-III Apparel Group Ltd. Newmark Knight Frank The Chetrit Group Newmark Knight Frank Penn Plaza/Garment 2, 5 22 220 E. 42nd St. 100,602 WPIX-TV Channel 11 Cushman & Wakefield Inc. SL Green Realty Corp. SL Green Realty Corp. Grand Central 1 23 10 Hudson Square 97,000 Kirshenbaum Bond Senecal + Partners Studley Trinity Church Real Estate Trinity Church Real Estate Hudson Square 2 24 420 Lexington Ave. 87,944 New York Life Insurance Co. Cushman & Wakefield Inc. SL Green Realty Corp. SL Green Realty Corp. Grand Central 1 25 1 Penn Plaza 87,400 URS Corp. Studley Vornado Realty Trust Vornado Realty Trust Penn Plaza/Garment 3 26 750 Third Ave. 85,776 Reader’s Digest Association Inc. Cushman & Wakefield Inc. SL Green Realty Corp. CBRE Grand Central 2 27 1 Liberty Plaza 81,742 Royal Bank of Canada None Brookfield Properties Management None World Trade Center 2 28 666 Fifth Ave. 80,830 Vinson & Elkins CBRE Tishman Speyer Tishman Speyer Plaza District 2 29 250 Broadway 79,810 State of New York Direct Amtrust Realty Corp. USA Inc. Newmark Knight Frank City Hall 30 1411 Broadway 78,067 Jacques Moret Direct Swig Burris/Blackstone Group Cushman & Wakefield Inc. Penn Plaza/Garment 31 601 Lexington Ave. 76,862 Citadel Investment Group CBRE Boston Properties Inc. Jones Lang LaSalle Plaza District 4 32 3 World Financial Center 76,241 Royal Bank of Canada None Brookfield Properties Management None World Trade Center 33 77 Water St. 75,716 Lewis Brisbois Bisgaard & Smith CBRE/Studley 450 Seventh Ave. Associates Cushman & Wakefield Inc. Financial District 34 200 Park Ave. 75,574 Korn/Ferry International Cushman & Wakefield Inc. Tishman Speyer Tishman Speyer Grand Central 35 40 W. 57th St. 75,000 Elliott Associates Newmark Knight Frank The Lefrak Organization CBRE Plaza District 36 30 Rockefeller Plaza 74,600 Haynes and Boone CBRE Tishman Speyer Tishman Speyer Plaza District 2 37 529 Fifth Ave. 74,553 Citrin Cooperman & Co. CBRE Loeb Partners Realty Silverstein Properties Inc. Grand Central 3 38 2 World Financial Center 74,380 Nomura Holding America Inc. Cushman & Wakefield Inc. Brookfield Properties Management Jones Lang LaSalle World Trade Center 2 39 111 Eighth Ave. 71,302 XO Communications Jones Lang LaSalle Taconic Investment Partners CBRE Chelsea 40 1675 Broadway 69,422 Publicis Groupe Byrnam Wood Rudin Management Co. Rudin Management Co. Columbus Circle 41 345 Park Ave. 63,808 Piper Jaffray Jones Lang LaSalle Rudin Management Co. Rudin Management Co. Plaza District 42 55 E. 52nd St. 62,258 MF Global Holdings Jones Lang LaSalle Fisher Brothers Management Co. CBRE Plaza District 43 245 Park Ave. 59,714 Ares Capital Corp. Grubb & Ellis Brookfield Properties Management Brookfield Properties Management Grand Central 44 135 W. 50th St. 59,378 Jewish Board of Family and Children’s Services Cumulus Corp. UBS Realty Investors CBRE Columbus Circle 1 45 150 Varick St. 58,125 Wieden + Kennedy Inc. Studley Greiner-Maltz Co. Greiner-Maltz Co. Hudson Square 2 46 16 E. 34th St. 58,098 Charles Komar & Sons Inc. Centric Real Estate Advisors SL Green Realty Corp. SL Green Realty Corp. Murray Hill 2 47 352 Park Ave. South 58,000 NYC School Construction Authority Newmark Knight Frank MD Carlisle Realty Corp. Direct Gramercy Park 3 48 500-506 Seventh Ave. 57,818 Mount Sinai Hospital Newmark Knight Frank The Moinian Group CBRE Penn Plaza/Garment 49 125 Park Ave. 56,772 HMX Group Cushman & Wakefield Inc. Shorenstein Realty Services Newmark Knight Frank Grand Central 1 50 565 Fifth Ave. 56,311 Morvillo Abramowitz JDF Realty Inc. Kipp/Stawski Group CBRE Grand Central

This list includes leases with terms of more than two years. Deals are for new leases unless otherwise noted. 1-Renewal and expansion. 2-Renewal. 3-Sublease. 4-Expansion. 5-WPIX’s renewal at 220 E. 42nd St. is a long-term restructuring of the 104,243-square-foot renewal signed in 2009. CoStar Group Inc., a provider of information services to the U.S. and U.K. commercial real estate industries, offers customers access via the Internet to the most comprehensive verified database of commercial real estate information in the United States and the United Kingdom. For more information, visit www.costar.com or call (877) 7-COSTAR.

18 | Crain’s New York Business | July 26, 2010 CN013833 7/20/10 6:06 PM Page 1 nb30p20-21cl.qxp 7/23/10 2:43 PM Page 20

ENVIRONMENTAL PUBLIC & LEGAL NOTICES SHOPPING BAGS REQUEST FOR PROPOSALS NOTICE OF FORMATION OF Brook NOTICE OF FORMATION OF StyleIcon Farm Group LLC. Article of Solutions LLC. Article of Organization LEGAL NOTICE Organization filed with the Secretary filed with the Secretary of State of 5/11/2010. 06/07/2010 ncorporated Village of Hempstead Community Development Agency of State of NY (SSNY) on NY (SSNY) on . Office The I , Office location NEW YORK County. location NEW YORK County. SSNY has (VOHCDA) pursuant to Article 15B of the General Municipal Law of the State SSNY has been designated as agent been designated as agent upon whom of New York is hereby issuing a REQUEST FOR PROPOSAL AND STATE- upon whom process against it may be process against it may be served. The MENT OF QUALIFICATIONS TO PROVIDE LEGAL SERVICES (RFP/Q) from served. The Post Office address to Post Office address to which the SSNY qualified firms with experience in the redevelopment of urban renewal areas which the SSNY shall mail a copy of shall mail a copy of any process against in the State of New York. any process against the LLC served the LLC served upon him/her is C/O the This solicitation seeks to identify a law firm that can demonstrate the capac- upon him/her is C/O the LLC 161 LLC 300 E. 76th St. Apt. b2. New York, Chrystie Street. New York, NY 10002. NY 10021. Purpose of LLC: to engage ity, concept and ability to work with the Village of Hempstead and its Purpose of LLC: to engage in any in any lawful act or activity. Street Agencies in executing its proposed development plan. lawful act or activity. Street address address of Principal Business location The detailed RFP package is available for during normal business hours (M-F, of Principal Business location is: 161 is: One Union Square South Ste. 20A. 8:30AM-4:15PM) at the Village of Hempstead CDA, 50 Clinton Street, Suite Chrystie Street. New York, NY 10002. New York, NY 10003. 504, Hempstead, NY 11550. Copies will be mailed at requestors’ expense. Proposals must be returned to VOHCDA by the deadline of 4:15 Friday NOTICE OF FORMATION of Type One Notice of Formation of FOURTH FLOOR August 13, 2010. Contact: Sherina Gonzales - (516) 485-5737. Records LLC. Arts of Org filed with OFFICE ASSOCIATES, LLC. Arts. of the Secy of State of New York (SSNY) Org. filed with Secy. of State of NY Claude Gooding, AICP on 4/1/10. Office location: NY County. (SSNY) on 06/01/10. Office location: Commissioner SSNY designated as an agent upon NY County. SSNY designated as whom process may be served and agent of LLC upon whom process Notice of Formation of a Limited Liability NOTICE OF QUALIFICATION OF shall mail a copy of any process to against it may be served. SSNY shall Company (LLC): Name: BLUELINE Bogart + Bogart LLC. Articles of 16192 Coastal Hwy, Lewes, DE mail process to c/o Arnold M. Phillips, CAMPAIGNS LLC, Organized on: Organization/Application for Authority 19958. Principal business address: 654 Madison Ave., 6th Fl., NY, NY 07/02/2010. Office locations: New filed with the Secretary of State of 175 W. 79 St., #8B, NY, NY 10024. 10065. Purpose: Any lawful activity. York County. Purpose: Any and all New York (SSNY) on 06/01/10. N.Y. Purpose: any lawful act. BUSINESS OPPORTUNITY lawful activities. Secretary of State of Office Location: New York County. NOTICE OF FORMATION of David C. New York (SSNY) designated as LLC formed in Deleware on 01/14/10 NOTICE OF FORMATION of A Book Prince LLC. Arts of Org filed with the We are based in the Malaysia, we agent of LLC upon whom process SSNY has been designated as agent Apart LLC. Arts of Org filed with the Secy of State of NY (SSNY) on are in exporting and trading of against it may be served. SSNY shall of LLC upon process against it may Secy of State of New York (SSNY) on 05/04/10. Office location: NY County. Dried Battery Cells, PET Flakes, mail copy of process to: BLUELINE be served. The P.O. address to which 4/29/10. Office location: NY County. SSNY designated as agent upon whom Copper Scrap, HMS 1&2, Used CAMPAIGNS LLC, 45 Wall St, Suite the SSNY shall mail a copy of any SSNY designated as an agent upon process may be served and shall mail 1613, New York, NY 10005-1919. process against the LLC served upon Rails, Aluminium Scrap and other whom process may be served and a copy of any process against the Latest date upon which LLC is to him/her is C/O the LLC: 16192 Coastal shall mail a copy of any process to LLC to its principal business address: scrap materials, in the direct order dissolve: No specific date. Hwy, Lewes, DE. 19958. The Principal the principal business address: 333 320 East 57th St. #4F, NY NY 10022. of business ethics, we are tested Business Address of the LLC is: 23 E. 34 St., #8D, NY NY 10016. Purpose: to engage in any lawful act. and trusted to have offered a very Name: A&J REAL PROPERTIES LLC 8th Ave, NY, NY 10014. Dissolution Purpose: any lawful act. good service to our customers, and Art. Of Org. Filed Sec. of State of date: N.A. Purpose of LLC: To engage in any lawful act or activity. Notice of Formation of International this is not about to change. We NY 03/31/2010. Off. Loc.: NY Co. NOTICE OF FORMATION OF FSC Daycare New York, LLC, filed under hope to meet serious and clean SSNY designated as agent upon BARBER - ZZANO L.L.C. Articles of the original name Children’s World buyers as well. Please do not whom process against it may be 93 Madison LLC. Arts of Org filed Organization filed with Secretary of New York, LLC, Art. of Org. filed Sec’y hesitate to inquire from us at... served. SSNY to mail copy of with NY Sec of State (SSNY) on 7/1/10. State of New York (SSNY) on of State (SSNY) 11/13/09. Office loc.: [email protected]. process to THE LLC, c/o Paras Office: New York County. SSNY des- 05/07/2010. Office location: NY NY County. SSNY designated as Diamond Corp., 592 Fifth Avenue, ignated as agent of LLC upon whom County. SSNY has been designated agent of LLC upon whom process 3rd Floor, New York, NY 10036. process may be served. SSNY shall as an agent upon whom process against it may be served. SSNY shall Purpose: Any lawful act or activity. mail copy of process to: 107 Madison against the LLC may be served. The mail copy of proc. to c/o Reinhardt TELECOMMUNICATIONS Street, Apt. 1B, New York, NY 10002. address to which SSNY shall mail a LLP, 44 Wall St., 10th Fl., NY, NY Notice of Formation of 216 EAST 28TH Purpose: Any lawful activity. copy of any process against the LLC 10005. Purpose: any lawful activities. STREET LLC. Arts. of Org. filed with Secy. is to: FSC Barber - Zzano L.L.C., 191 of State of NY (SSNY) on 5/30/01. Office Notice of Qualification of Two Sigma Chrystie Street, Suite #2F, New York, Notice of Formation of Pressprich location: NY County. SSNY designated Holdings VC Acquisition Vehicle IV, NY 10002. Purpose: To engage in Funding II, LLC, Art. of Org. filed as agent of LLC upon whom process LLC, Authority filed Sec’y of State any lawful act or activity. Sec’y of State (SSNY) 7/9/09. Office against it may be served. SSNY shall mail (SSNY) 10/7/08. Office loc.: NY loc.: NY County. SSNY designated process to: c/o Vickers Management County. LLC org. in DE 10/3/08. SSNY Name of LLC: Diana Rabin Accounting as agent of LLC upon whom Corp., 428 E. 83rd St., NY, NY 10028. desig. as agent of LLC upon whom LLC. Arts. of Org. filed with NY Dept. process against it may be served. Purpose: any lawful activity. process against it may be served. of State: 5/27/10. Office loc.: NY Co. SSNY shall mail copy of proc. to c/o SSNY shall mail copy of proc. to Attn: Sec. of State designated agent of Lehman & Eilen, Attn: Leslie Marlow, Name of For. LLC: SPCP GROUP IV, Matthew B. Siano, 379 W. Broadway, LLC upon whom process against it Esq., 50 Charles Lindbergh Blvd., LLC. App. for Auth. filed NY Dept. of 5th Fl., NY, NY 10012. DE office addr.: may be served and shall mail #505, Uniondale, NY 11553. Purp.: State: 5/18/10. Jurisd. and date of CSC, 2711 Centerville Rd., Wilmington, process to: c/o Diana Rabin, 16 W. any lawful activities. org.: DE 7/14/09. Cty off. loc.: NY DE 19808. Cert. of Form. on file: 23rd St., 4th Fl., NY, NY 10010, regd. Cty. Sec. of State designated as SSDE, Townsend Bldg., Dover, DE agt. upon whom process may be agent of foreign LLC upon whom 19901. Purp.: any lawful activities. served. Purpose: any lawful act. process against it may be served. The Sec. of State shall mail copy of Notice of Formation of Excelolife LLC. Notice of Formation of 2146 Nostrand HOLIDAY process to: c/o The LLC, Two Arts. of Org. filed with Secy. of State Avenue Associates LLC. Arts. of Org. Greenwich Plaza, Greenwich, CT of NY (SSNY) on 3/16/10. Office filed with Secy. of State of NY (SSNY) SHOPPING BAGS 06830. Addr. of foreign LLC in DE is: Location: NY Co. SSNY designated on 6/15/10. Office location: NY County. 615 S. DuPont Hwy., Dover, DE as agent of LLC upon whom process SSNY designated as agent of LLC upon 19901. Auth. officer in DE where against it may be served. SSNY shall whom process against it may be served. Cert. of Form. filed: DE Sec. of State, mail process to: the LLC, 2110 First SSNY shall mail process to: c/o The Townsend Bldg., Dover, DE 19901. Avenue New York, NY 10029. LLC, 1412 Broadway, 3rd Fl., NY, NY Purpose: any lawful activity. Purpose: Any lawful Activity. 10018. Purpose: any lawful activity.

Notice of Qualification of PennantPark Notice of Qualification of Chilton Notice of Qualification of HEALTHCARE PUBLIC & LEGAL SBIC GP, LLC. Authority filed with Pan-Asia Access LLC. Authority filed FINANCE GROUP, LLC. Authority NY Dept. of State on 7/12/10. Office with NY Dept. of State on 6/3/10. filed with Secy. of State of NY (SSNY) NOTICES location: NY County. Princ. bus. addr.: Office location: NY County. Princ. bus. on 06/07/10. Office location: NY 590 Madison Ave., 15th Fl., NY, NY addr.: 4 World Financial Ctr., 250 County. LLC formed in Delaware (DE) Notice of Formation of Judd 10022. LLC formed in DE on 5/7/10. Vesey St., 6th Fl., NY, NY 10080. LLC on 05/23/08. Princ. office of LLC: 199 Foundation 101 Spring Street NY Sec. of State designated agent of formed in DE on 5/25/10. NY Sec. of Water St., NY, NY 10038. SSNY des- Manager, LLC. Arts. of Org. filed LLC upon whom process against it State designated agent of LLC upon ignated as agent of LLC upon whom with NY Dept. of State on 7/2/10. may be served and shall mail process whom process against it may be process against it may be served. Office location: NY County. Sec. of to: c/o CT Corporation System, 111 served and shall mail process to: CT SSNY shall mail process to the LLC State designated agent of LLC 8th Ave., NY, NY 10011, regd. agent Corporation System, 111 8th Ave., NY, at the princ. office of the LLC. DE upon whom process against it may upon whom process may be served. NY 10011, regd. agent upon whom addr. of LLC: c/o United Corporate be served and shall mail process to DE addr. of LLC: c/o The Corporation process may be served. DE addr. of Services, Inc., 874 Walker Rd., Ste. the principal business addr.: Judd Trust Co., 1209 Orange St., Wilmington, LLC: The Corporation Trust Co., 1209 C, Dover, DE 19904. Arts. of Org. Foundation, 101 Spring St., NY, NY DE 19801. Arts. of Org. filed with DE Orange St., Wilmington, DE 19801. filed with DE Secy. of State, Div. of 10012, Attn: Flavin Judd, regd. Sec. of State, Loockerman & Federal Arts. of Org. filed with DE Sec. of Corps., John G. Townsend Bldg., 401 agent upon whom process may be Sts., Dover, DE 19901. Purpose: any State, P.O. Box 898, Dover, DE Federal St. - Ste. 4, Dover, DE 19901. served. Purpose: any lawful activity. lawful activity. 19903. Purpose: any lawful activity. Purpose: Any lawful activity.

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PUBLIC & LEGAL NOTICES

Notice of Qualification of APTHORP Notice of Qualification of PROTIUM Notice of Qualification of COTC, LLC. Notice of Qualification of AMERICA-CV Notice of Qualification of FRC Advisors SENIOR MEZZANINE LLC. Authority MASTER MORTGAGE LP. Authority Authority files with NY Dept. of State NETWORK, LLC. Authority filed with LLC. Authority filed with Secy. of State filed with Secy. of State of NY (SSNY) filed with Secy. of State of NY (SSNY) on 6/18/10. Office location: NY County. Secy. of State of NY (SSNY) on of NY (SSNY) on 5/21/10. Office location: on 06/23/10. Office location: NY on 06/25/10. Office location: NY Princ. bus. addr.: 8235 Forsyth, Ste. 400, 06/08/10. Office location: NY County. NY County. LLC formed in Delaware County. LLC formed in Delaware (DE) County. LP formed in Delaware (DE) Clayton, MO 63105. LLC formed in DE LLC formed in Delaware (DE) on (DE) on 5/20/10. SSNY designated as on 06/22/10. Princ. office of LLC: on 08/14/09. Princ. office of LP: 200 on 9/28/09. NY Sec. of State designated 10/14/09. Princ. office of LLC: 13001 agent of LLC upon whom process Apthorp Management LLC, c/o The Feil Park Ave., 29th Fl., NY, NY 10016. as agent of LLC upon whom process NW 107th Ave., Hialeah Gardens, FL against it may be served. SSNY shall Organization, Seven Penn Plaza, NY, NY SSNY designated as agent of LP against it may be served and shall mail 33018. SSNY designated as agent of mail process to: c/o Katten Muchin 10001. SSNY designated as agent of upon whom process against it may process to: c/o CT Corporation System, LLC upon whom process against it Rosenman LLP, 575 Madison Ave., LLC upon whom process against it may be served. SSNY shall mail process 111 8th Ave., NY, NY 10011, regd. agent may be served. SSNY shall mail NY, NY 10022, Attn: Robert Grundstein. be served. SSNY shall mail process to to Corporation Service Co. (CSC), 80 upon whom process may be served. DE process to the LLC at the princ. DE address of LLC: c/o United the LLC at the addr. of its princ. office. State St., Albany, NY 12207-2543. addr. of LLC: Corporation Trust Co., 1209 office of the LLC. DE addr. of LLC: Corporate Services, Inc., 874 Walker DE addr. of LLC: 2711 Centerville Rd., Name and addr. of each general Orange St., Wilmington, DE 19801. Arts. 2711 Centerville Rd., Wilmington, DE Road, Ste. C, Dover, DE 19904. Arts. Ste. 400, Wilmington, DE 19808. Arts. of partner are available from SSNY. DE of ORg. filed with DE Sec. of State, 401 19808. Arts. of Org. filed with Secy. of Org. filed with DE Secy. of State, Org. filed with DE Secy. of State, Div. of addr. of LP: CSC, 2711 Centerville Federal St., Dover, DE 19901. Purpose: of State, Div. of Corps., 401 Federal 401 Federal St., Dover, DE 19901. Corps., 401 Federal St., Ste. 4, Dover, Rd., Ste. 400, Wilmington, DE 19808. any lawful activity. St., Ste. 4, Dover, DE 19901. Purpose: any lawful activity. DE 19901. Purpose: Any lawful activity. Purpose: The purchase and sale of Purpose: Any lawful activity. residential mortgage loans on the Notice of formation of Digital Notice of Qualification of BSE Ventures secondary market. Notice of Registration: Kim Lee CPAs Management Services Consultancy, Notice of Formation of KP Southampton LLC. Authority filed with NY Dept. of LLP. Certificate filed with Sec of State LLC Arts. of Org. filed with the Sect’y LLC. Arts. of Org. filed with NY Dept. State on 5/27/10. Office location: NY of NY (SSNY) on 7/7/10. Office loc: NOTICE OF FORMATION OF PRO- of State of NY (SSNY) on of State on 4/9/10. Office location: County. LLC formed in DE on 5/26/10. New York County. SSNY designated FESSIONAL SERVICE LIMITED LIA- 12/17/2009. Office location, County NY County. Sec. of State designated NY Sec. of State designated as as agent of LLP upon whom process BILITY COMPANY. NAME: JONATHAN of New York. SSNY has been desig- as agent of LLC upon whom process agent of LLC upon whom process against it may be served. SSNY shall KOBLENZER, MD PLLC. Articles of nated as agent of the LLC upon against it may be served and shall against it may be served and shall mail process to: 1261 Broadway, Suite Organization were filed with the whom process against it may be mail process to the principal business mail process to the principal business 302, New York, NY 10001. Purpose: Secretary of State of New York served. SSNY shall mail process to: addr.: c/o Katz Properties, 247 W. addr.: 345 Park Ave., 41st Fl., NY, NY Certified Public Accountancy. (SSNY) on 06/04/10. Office location: Bertine, Hufnagel Headley Zeltner 30th St., 11th Fl., NY, NY 10001. 10154. DE addr. of LLC: c/o National New York County. SSNY has been Drummond & Dohn LLP, 700 Post Purpose: any lawful activity. Corporate Research, Ltd., 615 S. designated as agent of the PLLC Road Suite 237, Scarsdale, NY DuPont Hwy., Dover, DE 19901. Arts. NOTICE OF QUALIFICATION OF ASTAR, upon whom process against it may of Org. filed with DE Sec. of State, LLC. Authority filed with NY Dept. of 10583. Purpose: Any lawful act. Notice of Formation of THE BIG SOCIAL, be served. SSNY shall mail a copy of LLC, a domestic LLC. Arts. of Org. filed 401 Federal St., Dover, DE 19901. State on 5/26/2010. NYS fictitious name: process to the PLLC, 16 East 79th Purpose: any lawful activity. Notice of Formation of WELLBUILT with the SSNY on 03/16/2010. Office ASTAR STUDIOS, LLC. LLC formed in Street, Suite 42, New York, New York IPD LLC. Arts. of Org. filed with Secy. location: NY County. SSNY has been Delaware (“DE”) on 4/15/2010. Office 10075. Purpose: For the practice of of State of NY (SSNY) on 06/02/10. designated as agent upon whom Notice of Formation of CMA REAL location: NY County. Princ. office of LLC: the profession of Medicine. 590 Madison Ave., 21st Floor, New York, Office location: NY County. Princ. process against the LLC may be served. ESTATE MANAGEMENT, L.L.C. Arts. NY 10022. Sec. of State designated office of LLC: 61 Irving Pl., Apt. 5C, SSNY shall mail a copy of process to: of Org. filed with Secy. of State of as agent of LLC upon whom process Notice of formation of Gordon NY, NY 10003. SSNY designated as 266 East Broadway, B207, NY, NY NY (SSNY) on 07/07/10. Office loca- against it may be served and shall mail Strategy Group LLC. Art. Of Org. filed agent of LLC upon whom process 10002. Reg Agent: Suhyun Pak, 266 tion: NY County. Princ. office of any process to the princ. office of the with Secy. of State of NY (SSNY) on against it may be served. SSNY shall East Broadway, B207, NY, NY 10002. LLC: 330 W. 75th St., NY, NY 10023. LLC. DE Office: ASTAR, LLC, c/o The 5/20/10. Office Location: New York mail process to Attn: Mitchell Kidd at Purpose: Any Lawful Purpose. SSNY designated as agent of LLC Incorporating Company LLC, 42 Read’s County. SSNY designated as agent the princ. office of the LLC. Purpose: upon whom process against it may Way, New Castle, DE 19720. Articles of of the LLC upon whom process Any lawful activity. Notice of Qualification of CIM/46 be served. SSNY shall mail process org. filed with Jeffrey W. Bullock, DE Sec. against it may be served. SSNY shall E57th St. (NY), LLC. Authority filed to the LLC at the addr. of its princ. mail a copy of any process to: c/o office. Purpose: Any lawful activity. of State, DE Div. of Corporations, 401 NOTICE OF FORMATION of Zollinger & with Secy. of State of NY (SSNY) on the LLC, 14 Horatio Street, Apt. 17D, Federal Street, Suite 4, Dover, DE 19901. Associates, LLC. Arts of Org filed with 7/8/10. Office location: NY County. New York, NY 10014, attn: Tracey NOTICE OF FORMATION of Service Purpose: any lawful activity. the Secy of State of New York (SSNY) LLC formed in Delaware (DE) on Gordon. Purpose: To engage in any Bar LLC. Arts of Org filed with the on 5/19/10. Office location: NY County. 7/2/10. SSNY designated as agent lawful act or activity. of LLC upon whom process against Secy of State of New York (SSNY) on Notice of Formation of Mesh LLC, Art. SSNY designated as an agent upon it may be served. SSNY shall mail 6/28/10. Office location: NY County. of Org. filed Sec’y of State (SSNY) whom process may be served and process to: Paracorp Incorporated, SSNY designated as an agent upon 5/24/10. Office location: NY County. NOTICE OF FORMATION of shall mail a copy of any process to C/O 40 E. Division St., Ste. A, Dover, DE whom process may be served and SSNY designated as agent of LLC SUSHICONE LLC. Arts of Org filed United States Corporation Agents, Inc. 19901, also the address to be shall mail a copy of any process to: upon whom process against it may be with the Secy of State of New York 7014 13th Ave., Ste 202, Brooklyn, NY maintained in DE. Arts of Org. filed 3333 Broadway, Apt E17A, NY NY served. SSNY shall mail copy of pro- (SSNY) on 4/20/10. Office location: 11228. Principal business address: with DE Secy. Of State, 401 Federal 10031. Principal business address: cess to c/o Salans LLP, Attn: Robert K. NY County. SSNY designated as an 450 W. 17 St., Ste 1702, NY NY 10011. St., Ste. 4, Dover, DE 19901. 21 E. 7 St. NY NY 10003. Purpose: Smits, Esq., 620 Fifth Ave., NY, NY agent upon whom process may be Purpose: any lawful act. Purpose: any lawful activities. any lawful act. 10020. Purpose: any lawful activities. served and shall mail a copy of any process to the principal business Notice of Qualification of CANDLE address: 242 E 83 St., #3D, NY NY Notice of Qualification of Braven Films, Manhattan Dental Health PLLC. FAMILY FOODS, LLC. Authority filed Notice of Formation of COPERNICUS 10028. Purpose: any lawful act. LLC. Authority filed with Secy. of Notice of the formation of the above with Secy. of State of NY (SSNY) on SOLAR, LLC. Arts. of Org. filed with State of NY (SSNY) on 6/16/10. named Professional Limited Liability 06/16/10. Office location: NY County. Secy. of State of NY (SSNY) on Office location: NY County. LLC Company (“PLLC”) Articles of BOOST FUNDING LLC a domestic LLC formed in Delaware (DE) on 06/29/10. Office location: NY County. formed in Delaware (DE) on 5/6/10. Organization filed with the Department Limited Liability Company (LLC), filed 10/28/09. Princ. office of LLC: 1307 Latest date on which the LLC may SSNY designated as agent of LLC of State of NY on 3/5/2010. Office with the Sec of State of NY on Third Ave., NY, NY 10021. SSNY des- dissolve is 02/01/2029. SSNY desig- upon whom process against it may Location: County of New York. The 1/6/09 currently known as BOOST ignated as agent of LLC upon whom nated as agent of LLC upon whom be served. SSNY shall mail process street address is: 29 W. 57th St., Ste. PAYMENT SOLUTIONS LLC. NY process against it may be served. process against it may be served. to: c/o The LLC, 33 West 19th St., 1200, NY, NY 10019. The Secretary of Office location: New York County. SSNY shall mail process to the LLC SSNY shall mail process to the LLC, 4th Fl., NY, NY 10011, also the State of NY (“SSNY”) has been desig- SSNY is designated as agent upon at the princ. office of the LLC. DE c/o Richard T. Carr, Jr., 4705 Center principal office. Address to be main- nated as agent of the PLLC upon whom process against the LLC may addr. of LLC: c/o Allstate Corporate Blvd., Ste. 3009, Long Island City, tained in DE: 615 S. DuPont Hwy., whom process against it may be served. be served. SSNY shall mail a copy Services Corp., 32 W. Loockerman NY 11109. The regd. agent of the Dover, DE 19901. Arts of Org. filed SSNY shall mail a copy of any such of any process against the LLC St., Ste. 201, Dover, Cnty. of Kent, company upon whom and at which with DE Secy. Of State, 401 Federal process served to: The LLC, 29 W. 57th served upon him/her to The LLC, DE 19904. Arts. of Org. filed with process against the company can be St., Ste. 4, Dover, DE 19901. St., Ste. 1200, NY, NY 10019. Purpose: 527 Madison Ave., 16th Fl., NY, NY Secy. of State of State of DE, Corp. served is Thomas A. Rice, Esq., Purpose: any lawful activities. To practice the profession of Dentistry. Hunton & Williams LLP, 200 Park 10022. General Purposes. Dept., Townsend Bldg., Dover, DE Ave., 53rd Fl., NY, NY 10166. 19901. Purpose: Any lawful activity. Purpose: Any lawful activity. NOTICE OF QUALIFICATION OF Peninsula Life Solutions LLC. Notice of Qualification of QUIDNET Place your business card in Crain’s Business Notice of Qualification of Ascend Application for Authority filed with the CAPITAL PARTNERS, LLC. Authority Connection and reach New York City’s Access LLC. Authority filed with NY Secretary of State of New York (SSNY) filed with Secy. of State of NY Dept. of State on 6/15/10. Office on 9/14/2009. NY Office Location: (SSNY) on 07/13/10. Office location: Top Level Executives location: NY County. Princ. bus. addr.: New York County. LLC formed in NY County. LLC formed in Delaware 4 World Financial Ctr., 250 Vesey St., Delaware on 3/26/2009. SSNY has (DE) on 05/13/10. Princ. office of 6th Fl., NY, NY 10080. LLC formed in been designated as agent of LLC LLC: 527 Madison Ave., 6th Fl., NY, DE on 6/2/10. NY Sec. of State des- upon process against it may be NY 10022. SSNY designated as ignated as agent of LLC upon whom served. The P.O. address to which agent of LLC upon whom process process against it may be served and the SSNY shall mail a copy of any against it may be served. SSNY shall Don’t miss shall mail process to: CT Corporation process against the LLC. Served upon mail process to the LLC at the princ. System, 111 8th Ave., NY, NY 10011, him/her is C/O the LLC. Corporation office of the LLC. DE addr. of LLC: Crain’s City Facts regd. agent upon whom process may Service Company, 80 State Street, c/o Corporation Service Co., 2711 be served. DE addr. of LLC: The Albany, NY 12207. The Principal Centerville Rd., Ste. 400, Wilmington, & Book of Lists! Corporation Trust Co., 1209 Orange Business Address of the LLC is: New Castle Cnty., DE 19808. Arts. of St., Wilmington, DE 19801. Arts. of 1010 Wisconsin Ave., N.W., #620, Org. filed with DE Secy. of State, Div. Org. filed with DE Sec. of State, P.O. Washington, DC 20007. Dissolution of Corps., John G. Townsend Bldg., Box 898, Dover, DE 19903. Purpose: date: N/A. Purpose of LLC: To 401 Federal St., Ste. 4, Dover, DE any lawful activity. engage in any lawful act or activity. 19901. Purpose: Any lawful activity.

July 26, 2010 | Crain’s New York Business | 21 20100726-NEWS--0022-NAT-CCI-CN_-- 7/22/2010 6:48 PM Page 1

FOR THE RECORD

of their recent transactions appear in these STOCK TRANSACTIONS executive and director, exercised options listings should e-mail descriptions on 8,000 shares of common stock at ABOUT THIS SECTION following this format to Following are recent insider transactions at $6.95 on July 14, in a transaction worth FOR THE RECORD is a weekly listing of information from the public record that [email protected], with “Real New York’s largest publicly held companies $55,600. On the same day, he sold 8,000 estate transaction” in the subject line, or filed with the Securities and Exchange shares at $58.03, in a transaction worth can help businesspeople in the New York area find opportunities, potential enter them online at Commission by executives and major $464,240. He now directly holds 54,674 new clients and updates on competitors. crainsnewyork.com/submitadeal. Deals are shareholders. Listings are in order of shares. To ask questions or get more information on this section, contact Denise listed in order of square footage. transaction value.The information was Southwood at [email protected]. obtained from Thomson Reuters. G Veeco Instruments Inc. (VECO) OFFICE Mark Robert Munch, executive vice G Diageo North America signed a five- G WebMD Health Corp. (WBMD) president and general manager of the year lease for 56,156 square feet at 530 Kevin M. Cameron, director and special metrology and instrumentation division, Fifth Ave., a 26-story, 502,000-square- adviser to the chairman, sold 25,000 exercised options on 4,167 shares of BANKRUPTCIES contact Gloria Guillo at (212) 306-3121 foot building owned by The Moinian shares of common stock at prices ranging common stock at $12.36 on July 2, in a or [email protected]. Group. The company will occupy the from $46.43 to $47.17 between July 6 and transaction worth $51,504. Between July The following listings are selected from the entire fourth floor and part of the third. July 7, in a transaction worth $1,168,845. 2 and July 8, he sold 6,833 shares at most recent available filings by companies G School Construction Authority Scott Klau of Newmark Knight Frank He now directly holds 318,221 shares. prices ranging from $34.18 to $39.00, in seeking bankruptcy protection in the Requests proposals by 2 p.m. on Aug. 4 and Joe Garvey of CLW Real Estate a transaction worth $246,080. He now Southern and Eastern Districts of New for exploratory probe and inspection Services Group represented the tenant G ADPT Corp. (ADPT) directly holds 36,667 shares. York. Information was obtained from U.S. services. The consultant will provide in the transaction, while Howard Steel Partners II purchased 552,647 Bankruptcy Court records available on technical engineering assistance to the Kesseler, Jordan Gosin and Brian shares of common stock at prices G WHX Corp. (WXCO) Public Access to Court Electronic Records. authority’s staff, as well as engineering Waterman, also of Newmark, ranging from $2.84 to $2.90 between Steel Partners II purchased 50,926 Listings are in alphabetical order. consultants in exploratory probe services represented the landlord. The asking July 8 and July 13, in a transaction worth shares of common stock at $3.90 at various schools. For more rent was not available. $1,579,678. It now indirectly holds between July 9 and July 13, in a G Aim Resources information, contact Donald Mezick at 30,772,500 shares. transaction worth $198,598. It now 605 Third Ave. (718) 752-5479 or [email protected]. G Columbus Nova signed a 10-year lease indirectly holds 6,325,270 shares. Filed for Chapter 7 bankruptcy on July for 17,284 square feet at 900 Third Ave.,a G Overseas Shipholding Group Inc. (OSG) 12. The filing cites estimated liabilities G School Construction Authority 42-story, 517,000-square-foot office Charles A. Fribourg, director, purchased G Standard Microsystems Corp. (SMSC) of $100,001 to $500,000 and estimated Seeks competitive sealed bids by 10:30 tower. The company will move into the 42,880 shares of common stock at prices Peter F. Dicks, director, exercised assets of $0 to $50,000. Among creditors a.m. on Aug. 5 for heating-plant entire 19th floor. David Dusek and ranging from $34.40 to $35.00 on July 6, options on 8,333 shares of common with the largest unsecured claims is upgrade and climate control. For more Brad Wolk of Studley Inc. represented in a transaction worth $1,496,789. He stock at $17.88 on July 12, in a Martin A. Bienstock, owed information, contact Stacia Edwards at the tenant in the transaction, while Jim now indirectly holds 71,655 shares. transaction worth $148,952. On the $458,352.22. (718) 752-5849 or Vandervliet and David Kleiner of same day, he sold 4,333 shares at prices [email protected]. Paramount Group Inc. represented the G ABM Industries Inc. (ABM) ranging from $23.20 to $23.35, in a G David Landis Inc. landlord in-house, along with Doug Henrik C. Slipsager, president, chief transaction worth $100,778. He now 532 Amsterdam Ave. GOODS AND SERVICES Neye of Jones Lang LaSalle. The executive and director, exercised options directly holds 67,539 shares. Filed for Chapter 7 bankruptcy on July G Department of Citywide Administrative asking rent was in the low $60s per on 60,000 shares of common stock at 9. The filing cites estimated liabilities of Services square foot. $15.38 between July 7 and July 14, in a G Martha Stewart Living Omnimedia Inc. $1,000,001 to $10 million and estimated Seeks competitive sealed bids by 10:30 transaction worth $922,500. During the (MSO) assets of $100,001 to $500,000. Among a.m. on Aug. 5 for 3M automotive and G Jay Suites signed a 10-year lease for same period, he sold 54,565 shares at Charles A. Koppelman, executive creditors with the largest unsecured mechanical service products. For more 16,786 square feet at 1370 Broadway,a prices ranging from $20.33 to $21.73, in chairman of the board and principal claims are New York State Sales Tax information, contact Anna Wong at 17-story, 240,000-square-foot office a transaction worth $1,156,572. He now executive officer, sold 20,000 shares of High Volume Sector, owed $194,077; (212) 669-8610 or building. The firm will occupy the entire directly holds 165,407 shares. common stock at prices ranging from and Diane Abudaram, owed $11,725. [email protected]. fifth floor. Sean Black of Jones Lang $5.00 to $5.01 between July 12 and July LaSalle represented the tenant in the Steven M. Zaccagnini, executive vice 13, in a transaction worth $100,083. He G Display Group G Department of Citywide Administrative transaction, while David Sitt president and president of ABM Facility now directly holds 432,526 sharess. 40-4 Aero Road, Bohemia, L.I. Services represented landlord Sitt Asset Services, sold 12,000 shares of common Filed for Chapter 11 bankruptcy Seeks competitive sealed bids by 10:30 Management in-house. The asking rent stock at prices ranging from $20.99 to G Colgate-Palmolive Co. (CL) protection on July 15.The filing cites a.m. on Aug. 12 for wire, electrical and was $40 per square foot. $21.20 on July 15, in a transaction worth Andrew D. Hendry, senior vice estimated liabilities of $100,001 to insulated re-ad. For more information, $252,695. He now directly holds 39,265 president, general counsel and secretary, $500,000 and estimated assets of contact Anna Wong at (212) 669-8610 G Kepos Capital signed an eight-year shares. sold 1,000 shares of common stock at $100,001 to $500,000. Among creditors or [email protected]. sublease for 15,442 square feet at 620 $79.07 on July 6, in a transaction worth with the largest unsecured claims are the Eighth Ave., a 52-story, 1.5 million- G HMS Holdings Corp. (HMSY) $79,070. He now directly holds 152,750 Internal Revenue Service, owed G Department of Education square-foot office tower owned by W.P. William C. Lucia, president, chief shares.
$183,111; and Yukio Fujii, owed $32,000. Seeks competitive sealed bids by 4 p.m. Carey & Co. The firm will occupy part on July 27 for vocational training for of the 44th floor. Ben Friedland and G T&G Apparel Inc. incarcerated students at Horizon Michael Movshovich of CB Richard 136-56 39th Ave., Queens Academy, located at Rikers Island Ellis represented the tenant in the DEALS ROUNDUP Filed for Chapter 7 bankruptcy Correctional Facility. For more transaction, while Stu Romanoff and protection on July 13. The filing cites information, contact the vendor hotline Amy Fox of Cushman & Wakefield TRANSACTION SIZE estimated liabilities of $1,000,001 to at (718) 935-2300 or represented sublandlord First Solar. The COMPANY (IN MILLIONS) BUYERS/INVESTORS TRANSACTION TYPE $10 million and estimated assets of $0 to [email protected]. asking rent was $60 per square foot. Ontex NV $1,549.5 Goldman Sachs Group FB M&A $50,000. Among creditors with the merchant banking division (Manhattan), largest unsecured claims are Nanjing G Department of Parks and Recreation G Velocity Broadcasting signed a 10- TPG Capital Hengfang Textile, owed $784,145; and Seeks competitive sealed proposals by 3 year lease for 6,500 square feet at 527 Nymagic Inc. (Manhattan) $329.0 ProSight Specialty Insurance SB M&A Peter Tala & Tala Fashion, owed p.m. on Aug. 13 for the operation of one Madison Ave., a 26-story, 236,000- Holdings Inc. $750,000. mobile beverage unit, two mobile food square-foot building owned by Mitsui Tishman Construction $233.6 AECOM Technology Corp. SB M&A units for the sale of specialty food and Fudosan America. The company will Corp. (Manhattan) one mobile food unit for the sale of ice occupy the entire 25th floor. Stephen Trilliant Inc. $106.0 VantagePoint Venture Partners, GCI GOVERNMENT CONTRACT cream and dessert. There will be a Grill of NAI Global New York City Zouk Ventures Ltd., Investor Growth OPPORTUNITIES recommended site visit at 10 a.m. on represented the tenant in the Capital (Manhattan), ABB Group July 29 at the Tavern on the Green transaction, while Jim Frederick and investment arm, MissionPoint Capital Following are selected contract terrace. For more information, contact Peter Occhi of Cassidy Turley Partners, General Electric Asset opportunities recently announced by New Charlotte Hall at (212) 360-1397 or represented the landlord. The asking Management private equity York City agencies.To learn how to sell [email protected]. rent was $85 per square foot. Fergo Aisa SA $77.6 Global Emerging Markets GCI goods and services to city government, visit (Manhattan), GEM Capital Management Inc. (Manhattan) www.nyc.gov/selltonyc. For a searchable G Health and Hospitals Corp./Jacobi G Smith Valliere signed a four-year lease database of current procurement notices, Medical Center for 5,200 square feet at 75 Rockefeller LAEP Investments Ltd. $42.3 Global Emerging Markets GCI visit www.nyc.gov/cityrecord. Listings are Seeks competitive sealed bids by 2 p.m. Center, a 34-story, 591,454-square-foot (Manhattan) alphabetical by category and department. on Aug. 6 for a yearly service contractor office building. The firm will occupy the 7 Star Entertainment Inc. $10.0 Kodiak Capital Group (Manhattan) GCI for a DNA Analyzer ABI 310. For more 21st floor. Barbara Eddington of iLevel Solutions $6.0 Swift River Investments, Egis GCI CONSTRUCTION SERVICES information, contact Rosemarie Miele at Winoker Realty represented the tenant, (Manhattan) Capital Partners, Epiphany Ventures G Department of Design and Construction (718) 918-3983 or while Ed DiNotola of Jones Lang Zeta Communities Inc. $5.0 Black Coral Capital (Manhattan) GCI Seeks competitive sealed proposals by 4 [email protected]. LaSalle represented landlord Principal Intertainment Media Inc. $4.8 Global Emerging Markets GCI p.m. on Aug. 16 for Med-599 resident Financial Group. The asking rent was (Manhattan) G Health and Hospitals Corp./Sea View engineering-inspection services for $35 per square foot. American Retail Group Inc. $1.2 Not disclosed GCI trunk water mains on West 48th Street Hospital (Manhattan) from 10th Avenue to Broadway in Seeks competitive sealed bids by 2 p.m. G Zemoga signed a two-year sublease SeatGeek Inc. (Manhattan) $1.0 Not disclosed GCI Manhattan. For more information, on Aug. 10 for assorted unsweetened for 5,000 square feet at 56 W. 22nd St.,a contact Carlo DiFava at (718) 391-1541 canned juices. For more information, 12-story, 60,000-square-foot building. Vigil Health Solutions Inc. $0.2 Discovery Capital Management Corp., GCI or [email protected]. contact Alejandro Cheng at The firm will occupy the entire 10th GrowthPoint Partners (Manhattan) (718) 317-3377 or [email protected]. floor. Elliot Warren of the Kaufman Selected deals announced for the week ended July 17 involving companies in metro New York. G Housing Authority Organization represented the subtenant FB M&A: Financial buyer M&A represents a minority or majority acquisition of existing shares of a company with the participation of a financial buyer. GCI: Growth capital invest- Seeks competitive sealed bids by 10 a.m. in the transaction, while Perry Mesmer ment represents new money invested in a company for a minority stake. SB M&A: Strategic on Aug. 10 for replacement of heating REAL ESTATE DEALS of Colliers International represented buyer M&A represents a minority or majority acquisition of existing shares of a company with- control panels and various sublandlord Kidrobot. The asking rent out the participation of a financial buyer. source: capitaliq developments. For more information, Companies that would like to have details was $28 per square foot.

22 | Crain’s New York Business | July 26, 2010 20100726-NEWS--0023-NAT-CCI-CN_-- 7/23/2010 7:38 PM Page 1

Vacancies in vogue

Continued from Page 1 lowances, rents are effectively down could fill it at ever-higher prices. an average of 50% since the peak. This time,rents aren’t yet rising,and Meanwhile the vacancy rate rose consequently the properties are rel- to 10.8% in the second quarter,from nycinpictures.com atively cheap. In addition, the cur- 10.5% a year earlier and from a low INFESTOR RELATIONS: Fumigated inventory goes back on shelves, but many retailers discard infested product, which can cost $1 million at a big store. rent crop of buyers has the financial of 5.3% in June 2007. might to wait for an upturn in the square-foot call center or store with market without going broke. Accentuating the positive lots of equipment or inventory. The attractions of such a strate- but investors are clearly focusing Ick! Bedbugs bite biz Since fumigation is illegal in crowd- gy are clear. Mr. Fasulo estimates on a few key signs of improvement. ed Manhattan, some companies opt that the rent rolls on a building that Leasing activity ballooned 98%, to Continued from Page 1 The city tracked more than to move items off-site for treatment is largely occupied and has very lit- 12.6 million square feet, in the first ly residential, but this year, we’re 31,700 bedbug-related 311 calls dur- and extermination. Heat chambers tle near-term tenant turnover will six months of the year from the cor- getting a lot of calls from federal and ing the year ended June 30, a nearly or freezing methods can also be em- give investors a return of 5% to 7%. responding period in 2009. In addi- city buildings, libraries. It’s grow- 20% rise over the prior year. During ployed on-site. In contrast, the payoff for buyers tion, brokers say landlords are par- ing.” a scorching summer when tempera- Fumigated inventory goes back willing to gamble on a tower with ing back on concessions, so the Bedbugs—nocturnal, blood- tures have consistently exceeded 90 on the shelves, but many retailers empty space could hit 8% to 10% if situation is not as bleak as the statis- sucking insects about the size of an degrees, these relentless critters are discard all infested product. For a rents increase. tics suggest. apple seed and notoriously tough to multiplying exponentially. 40,000-square-foot flagship like Earlier this year,the world’s rich- “In the past 12 months, the leas- eradicate—are taking a bite out of “Heat speeds up their life cycle, Hollister’s, this could mean $1 mil- est man, Mexico’s Car- ing market certainly im- Manhattan business this summer. and if the feeding is good for them, lion in dumped apparel, experts es- los Slim, ponied up proved,” says James Em- Once perceived as an outer-bor- then more eggs can be produced and timate. $140 million for 417 den, a vice chairman at ough residential scourge, they’ve more bugs will populate,” says Lou Fifth Ave., where a Colliers International. been found nesting in some of the Sorkin,an entomologist at the Amer- “Those sales are just lost” quarter of the leases will “When will rents start to city’s priciest spaces in recent weeks. ican Museum of Natural History. then there’s the lost revenue expire by 2012. The go up? That I don’t know.” The bugs may be little, but their ef- Bedbugs don’t carry disease; they during the prime back-to-school price was right:44% be- In a recent interview, fect can be big, from damaging a simply suck a person’s blood for up shopping season. The Hollister and low what the previous SL Green President An- brand’s image, to sparking major to 10 minutes, usually when that Abercrombie stores were both buyers paid less than drew Mattias said he be- changes in retailers’ return policies, person is asleep, leaving an itchy closed for several days, missing out three years earlier. lieves that net effective to requiring frequent pest-control welt. And bedbugs don’t fly (the on tens of thousands of dollars of Meanwhile, SL Green rents, which include con- checkups that can cost thousands of only good news you’ll read in this sales per day. Realty Corp. purchased cessions, will vault 25% dollars a visit. story); they simply spread as if they “Those sales are just lost—they 600 Lexington Ave., within three years. So far, infested stores in Man- do, lurking inside a fashionably never get them back,”says Mr.Lon- where leases on nearly Even if SL Green turns hattan include Abercrombie & cuffed pant leg or the lining of a drigan. half of the space will ex- out to have been overly HOT PROPERTY: 685 Fitch’s South Street Seaport shop, handbag, commuting from home to Since the outbreaks at stores pire in three years, as Third Ave. was snapped optimistic, it has the its Hollister division’s SoHo flag- store to office and back. might have been started by clothing well as 125 Park Ave., up just last week. wherewithal to carry its ship, the Bed Bath & Beyond- Since many stores downplay returns, many retailers are expected where a similar portion most recent investments. owned BuyBuy Baby in Chelsea. bedbug news—claiming, for in- to begin tightening their take-back of the leases will expire It’s a characteristic that There are many more shopping stance, that an outpost is closed for policies, something they’ve been in the next five years. the company, the city’s largest land- haunts the public doesn’t know “maintenance,” as a sign outside itching to do anyway, say industry Just last week, giant financial lord, shares with the others who re- about, since retailers always request Hollister reportedly read this pros.Instead of having a leisurely 90 planner TIAA-CREF may have cently bought properties with big confidentiality agreements, accord- month—there’s no way to easily lo- days to return unwanted merchan- made the most daring move of all. It vacancies. It also stands in contrast ing to Jennifer Erdogan, director of cate infestations. dise,customers might soon have just agreed to purchase 685 Third Ave., to the army of investors who paid the bedbug division at exterminator “Most people don’t discover they a week or two to bring back unused, a 650,000-square-foot building that stratospheric prices during the Bell Environmental Services. have bedbugs until there are about unwashed items with attached tags will stand totally empty after current boom years for buildings with “Bedbugs scare people,” she says. 120 present, which takes close to a and a receipt—in the same bag used owner Pfizer Inc.moves out.TIAA- blocks of empty space, hoping to “Stores don’t want to lose business.” month,” says pest-control expert for the purchase. CREF may choose to occupy some quickly cash in on ballooning rents. Ms. Erdogan. “Retailers will take advantage of of the space. Still, it’s unlikely it Back then, many investors put Perfect weather for breeding The financial damage can be se- this to be more restrictive with re- would need the entire building. very little equity into their buildings offices aren’t immune to the fear, vere. It’s up to business owners to turns,” says Matt Hogan, a brand and then couldn’t meet payments on either. Both advertising agency eliminate bedbugs in their build- strategist. Not so bad after all their vast borrowings when rents Euro RSCG Worldwide in Hudson ings, according to a spokeswoman Businesses are also trying to get “investors are absolutely more failed to skyrocket. Now, banks are Square and publishing firm Ha- for the city’s Department of Health ahead of the bugs by signing on for comfortable with risk than they requiring buyers to put as much as chette Book Group near Grand and Mental Hygiene. Businesses preventive programs with extermi- were a year ago,” says Jon Caplan, a 50% in equity into their deals as a Central Terminal discovered bed- also must deal with potential public nators that can include monthly vis- vice chairman at Jones Lang precondition for a loan. bugs in their offices this month. outcries, especially when databases its by bedbug-sniffing dogs. The LaSalle. “Job losses in New York Some sources say that TIAA- “Employees were understand- like BedbugRegistry.com are track- costs can range from $250 to sever- were expected to be much worse CREF will pay $190 million in cash ably concerned,” says a spokes- ing their every bug. al thousand dollars a visit. than they were. Vacancy levels were for 685 Third Ave. Experts say it woman for Hachette, which spent “It can be extremely damaging,” Timothy Wong, the technical expected to be higher than they are.” could take two years and $65 million last week chemically treating its says Michael Londrigan, chair of director for Lower East Side-based The situation is still pretty grim, in costs such as broker commissions Park Avenue offices. “You read merchandising at fashion institute M&M Pest Control, says his com- however.Asking rents in Manhattan to lease up the building, but it’s time about it all over town, and when it LIM College. “If the news starts pany now has 19 hotel clients, 50 fell 10% to $54.31 a square foot in the and money the company can well af- happens in your own office space,it’s spreading nationally, people will be commercial offices and 25 recent re- second quarter from the year-earlier ford. a little worrying.” concerned.” tail clients all receiving checkups. period, according to Cushman & Experts estimate it would cost at Meanwhile, a Brooklyn movie Pest-elimination measures gen- “They don’t want to call us when Wakefield Inc. They’ve swooned least $520 million to replace such a theater has been infested. So, too, erally start at around $5,000 for a they have the problem,” he says. 25% since their peak in the third building. has the triage room in Kings Coun- simple 5,000-square-foot office and “They want to call us before it quarter of 2008. Including landlord “It was a brilliant move,”said Mr. ty Hospital. can surpass $50,000 for a 10,000- starts.”
concessions such as building al- Fasulo. “They got it dirt cheap.”

IT job openings at major firms—saw No shortage of high-tech job listings an almost 50% increase, to 110 from 74. It was the largest quarterly gain since the index began tracking data would-be workers, recent reports “Filling talent voids can be (No. 6) combined. Washington, in 2004, according to the report. NY/NJ top market for from Dice.com and Pace University painful and expensive,” he says. D.C.-Baltimore came in second, Farrokh Hormozi, a professor of IT sector, but other show just the opposite for those in According to July’s Dice Report, with 7,400 posts. economics and public administra- the information-technology indus- New York-New Jersey was ranked “It’s the fifth straight month of tion at Pace, said the index behaves skills are needed try: Employers can’t seem to fill No. 1 across top metro areas by the companies posting more jobs on the much like a leading economic indi- competitive high-tech positions. number of new job posts on the site,” Mr. Silver says. cator in that the IT employment BY DAVID MONTALVO Some companies are even engag- website, with more than 8,200 tech In Manhattan,the IT job market market rises and falls before the ing in battles for hard-to-find tech positions. That’s almost twice the showed remarkable strength during economy does. He sees the index fluent in geek speak?You’re hired. talent, says Tom Silver, a senior vice number of postings for tech jobs in the second quarter, according to the growth as a sign that companies are While the latest unemployment president at Dice, a career website Silicon Valley (which came in at No. Pace/SkillPROOF IT Index Re- feeling optimistic and are looking to numbers for New York City still for technology and engineering 3), and more than Chicago (No. 4), port, also known as PSII. The in- “take advantage of the technological show a gloomy prospect for many professionals. Los Angeles (No. 5) and Boston dex—which provides a snapshot of advancements.”

July 26, 2010 | Crain’s New York Business | 23 20100726-NEWS--0024-NAT-CCI-CN_-- 7/23/2010 7:29 PM Page 1

North General Pfizer’s buying habit poses risks

Continued from Page 3 ful turnarounds. Continued from Page 3 in 1985 as a Bronx nonprofit, a hy- “We’ve developed some expert- tests in June so impressed J.P.Mor- PENDING PATENT EXPIRATIONS brid between a community health ise in how you arrange these deals so gan Chase analyst Christopher center and a private group practice. they are win-win for everyone,” he Schott that he upped his per-share DRUG EXPIRATION DATE 2009 SALES Its first acquisition,in 1986,was a fi- says. earnings predictions for 2013 and Effexor* July 2010 $3 billion nancially troubled union health beyond by as much as 6 cents. center in Manhattan. Dr. Calman Union dispute Wyeth’s biologics offer belea- BeneFIX* Feb. 2011 $611 million gulped up 11 health centers over the but not for 1199 seiu. IFH is rep- guered Pfizer one other major plus. Vfend March 2011 $798 million years, extending his reach into the resented by Local 153, Office and Their complexity makes them diffi- mid-Hudson Valley and taking on Professional Employees Interna- cult for generics makers to copy. Xalatan/Xalcom March 2011 $1.7 billion the mantle of a nonprofit entrepre- tional Union. Both unions are Caduet Nov. 2011 $548 million neur. claiming the right to represent Back to diversity “I enjoy the process of taking workers at the site. 1199 SEIU filed in terms of diversity, what Lipitor Nov. 2011 $11.4 billion these complex problems and mak- unfair labor practice charges with Wyeth brings to the table is a well- Geodon/Zeldox March 2012 $1 billion ing them work out in the end,” says the National Labor Relations regarded portfolio of consumer Dr. Calman. “I Board, citing IFH’s products, including ChapStick, Viagra March 2012 $1.9 billion have a high toler- refusal to accept Advil and Dimetapp. Detrol Sept. 2012 $1.15 billion ance for uncer- ‘I enjoy taking 1199 SEIU as the “Pfizer is trying to drive an in- tainty.” these complex union at the health creasing volume of products that are Enbrel* Oct. 2012 $2.85 billion Last year, IFH center.It also claims nutritionals,consumer products and Genotropin April 2013 $887 million had revenue of IFH made 1199 generic brands, principally in the $54 million and problems and SEIU members emerging markets,” says Tony But- Celebrex May 2014 $2.4 billion forecasts revenue sign authorization ler, a Barclays Capital senior equity *Wyeth drug. Source: Mehta Partners of $66 million in making them cards designating research analyst specializing in 2010 with the Local 153 as their pharmaceuticals. “They’re becom- North General work’ union. ing less dependent on the block- May the company announced it search chief, since the merger. Now clinic. The state is The 1199 SEIU buster drug models.” will sell an office tower at 685 Mr. Dolsten will run Pfizer’s labs giving IFH a spokeswoman Ironically, under its previous Third Ave. and lay off or relocate alone.Observers say it’s hard to pre- grant of up to $10 charges that IFH chief executive, Pfizer sold its own up to 1,400 New York City-based dict the impact of the job switch. million for the “reneged on their over-the-counter line—including employees. Just last week, Pfizer “The real key is Dolsten’s ability clinic’s startup costs during the first original promise to rehire”all 60 for- Listerine and Visine—to Johnson agreed to sell that Third Avenue to recruit the best and the brightest,” two years of operation, and the fed- mer North General clinic workers & Johnson for $16.6 billion four office tower for as much as $190 Mr. Butler says. eral government is kicking in “so they can continue providing years ago. million. However, the company, No matter what the outcome, $250,000. Unlike hospitals, with quality care to the Harlem commu- Like most drug companies that which was founded in Brooklyn one thing nearly everyone agrees on their wealthy trustees who donate nity.” merge, Pfizer is also betting that its in 1849, says it intends to hold on is that this will not be Pfizer’s last millions of dollars, IFH has no Dr.Calman says the legal dispute latest acquisition can save money.In to its headquarters at 235 E. 42nd purchase. philanthropic base. It is dependent will be settled by the NLRB. “This fact, over the next three years the St. “They are kind of locked into on grants and payments from pa- isn’t about union-busting. We al- company aims to save $4 billion by that strategy,” says Simon King, a tients for income. ready have a union,” he says. shutting eight manufacturing sites New man in key post senior health care analyst at Data- As for a white doctor presuming and eliminating more than 8,000 among the people who have left is monitor. “The stakeholder pressure Turnaround maven to provide care for Harlem’s under- jobs worldwide, among other Pfizer’s head of research, Martin for them to boost their sales is going when it became clear that North served patients, Dr. Calman makes changes. Mackay, who had shared that post to make it necessary for them to do General could not survive as a hos- no apologies. As part of the cost-cutting, in with Mikael Dolsten, Wyeth’s re- it again and again.”
pital, its board began drawing up al- “Our reputation in working in ternate plans. Merger talks with communities of color is a good Mount Sinai Medical Center went one,” he says. “The informal net- nowhere, and the hospital’s mount- work in the community cannot be Stimulus spend at halfway point ing debt far exceeded its revenue. fooled. They know in a blink Dr. Calman says he was approached whether you can deliver what you because of IFH’s history of success- promise to do.”
Continued from Page 1 jobs by jump-starting badly needed investments in “shovel-ready” infra- structure, more than three-quarters Libraries relieved of the city’s money has gone toward the daily task of keeping government running, with most of it funding ed- Continued from Page 3 decide which branches will see re- ucation and Medicaid services. “Some people might harbor the duced hours based upon usage pat- Two fiscal years into the distri- WHERE THE MONEY illusion that libraries are about to terns. bution of $787 billion in federal WENT: More than become an anachronism,” says Mr. “We have a very good historical- stimulus money, the city has spent 100 new cops were LeClerc. “That’s simply not the use record for all branches,” he says. about half its $7.2 billion share, ac- hired for transit case.” He adds that last year, New For patrons, though, any reduc- cording to the city’s latest financial safety.

York City li- tions are likely to plan released July 13. getty images braries saw 40 have an impact. Of the $3.7 billion that has been million visits, and Any reductions “It was really spent so far, nearly $2.9 billion, or Manhattan Institute estimates. federal stimulus is just like that.” traffic at New hard when it more than 77%,has funded the city’s Projects include $3 million to repair The salaries of those 104 new po- York Public Li- will likely closed on Mon- operations: teachers’ salaries, food the pier for the Staten Island ferry, lice officers,for example,will be paid brary branches is days,” says Jane stamp programs and a small class of $30 million for repairs to the Brook- from federal money for three years. up—a statement have an Kromm, a profes- new police officers, according to an lyn Bridge and $15 million to re- But after that, the city will be on the reflected in statis- sor of art history at analysis by the Manhattan Institute. place part of a water-treatment sys- hook for their salaries and,eventual- tics provided by impact on the State Univer- And most of that operations money, tem on Wards Island.The city’s own ly, their retirement benefits. the organization. sity of New York’s about $2.6 billion,has been spent on analysis puts infrastructure money A spokesman for Mayor Michael Indeed, a patrons Purchase College, education and Medicaid. over the life of the stimulus plan at Bloomberg says normal attrition in March 2010 study who was at the li- By 2013, when the city will have 12.7% of the city’s funding. the department would have re- by the Bill & brary’s main spent most of its stimulus money, quired the city to hire new cops,any- Melinda Gates branch on 42nd about 65% will have gone to fund A “stimulus bubble” way; the stimulus enabled it to cre- Foundation Street one recent education and Medicaid services, the city is in the midst of a “stim- ate the jobs sooner. showed that 77 million Americans morning researching 17th-, 18th- according to city data. By contrast, ulus bubble,” but one that does little The city’s dependency on feder- relied on library technology in 2009 and 19th-century architectural and Medicaid and education accounts to address infrastructure problems al stimulus is beginning to show. for activities including finding work art history. for less than half of the state’s $29.4 or the skyrocketing costs of educa- The budget that starts next July 1 is and applying for government bene- “If whole days are cut, that’s billion stimulus funding. tion and health care in the state,says already $3.3 billion in the red, and fits. hard,”Ms.Kromm says,adding that Capital investments in the city Nicole Gelinas,a senior fellow at the that figure could mount by nearly According to Mr. LeClerc, she’d face making the trip to Yale have been given short shrift. Less Manhattan Institute. $400 million if additional stimulus whose libraries have an operating University in New Haven,Conn.,to than a quarter of spending, some “The housing bubble stimulated money for Medicaid does not come budget of more than $268 million, do her research if that were to hap- $840 million,has been used so far to the economy, but that doesn’t mean through—a scenario that is looking the New York Public Library will pen.
improve the city’s infrastructure,the it was a good idea,” she says. “The increasingly likely.

24 | Crain’s New York Business | July 26, 2010 20100726-NEWS--0025,0026-NAT-CCI-CN_-- 7/23/2010 1:15 PM Page 1

46% of workers believe they will work past the traditional retirement age USINESS IVES Source: Robert Half study Workplace Redefined B L YOUNG AT HEART: HOT JOBS Lourdes Arocho maintains a kid’s mentality in her post EXECUTIVE at Nickelodeon. INBOX

FOOD POLICY Anne Fisher COORDINATOR AGENCY NYC Office of the Mayor What makes JOB DESCRIPTION Oversee efforts to increase access to a great healthy food, combat obesity and partnership? create a sustainability plan for New York City BACK IN 1939, two 26-year-old MOST IMPORTANT TASKS engineers in Palo Alto pooled their Increase access to, usage of food meager savings and started the programs such as school meals Engineering Service Co. Their and food stamps at green markets gadgets brought in enough revenue that they decided to CREDENTIALS NEEDED B.A. or formalize their venture with a master’s in health or public policy, partnership agreement. They also minimum seven years’ experience decided to rename it after them- SALARY $75,000 to $120,000 selves. They flipped a coin to RECRUITER NYC Deputy Mayor’s determine whose name should go Office first. The winner: Bill Hewlett. Dave Packard’s name came second. DOWNSIDE Challenge of redirect- This and lots of other colorful ing the focus of food programs details about partnerships are toward economic development woven into Power of 2: How to UPSIDE Improving the health and Make the Most of Your Partner- well-being of New Yorkers ships at Work and in Life, by Rodd NYC was the first city in the nation Wagner and Gale Muller, execu- to have a food policy coordinator. tives at Gallup. “Humans are The coordinator works to achieve made for collaborating,” they write. consensus in related city agencies. But why do some pairings soar while others crash and burn? —RACHEL WEXLER Mr. Wagner and Mr. Muller explore a number of factors that make for success, like complementary strengths, a common mission and EXECUTIVE MOVES open communication. Fine, but Cushman & Wakefield: ask entrepreneurs with partners, John C. Santora, 53, and you’ll hear all that and more.

was promoted to chief buck ennis A clear plan helps. Ken Car- executive of client bone and Leslie Smolan are solutions, a newly GOTHAM GIGS partners in brand design firm created position. He Carbone Smolan. Mr. Carbone most recently served as president and chief acts as Mr. Outside, dealing with executive of the Americas region. clients, while Ms. Smolan is IDA Ireland: John Conlon,51,was “watching the finances,” she says. promoted to executive vice president of “One of us takes the ball and runs North America at the investment Not Just Child’s Play with it, because if we both run promotion agency. He was formerly with it, we’ll run into each other.” senior vice president and director of the East Coast region. in the 1988 movie Big,Tom Hanks’character, a faux grown-up, lands The true test of a partnership Groundwork Inc.: Derrick E. Griffith, 39, ‘Does a dream job testing toys for a giant toy company.Well, that job does may be how well it withstands was appointed executive director at the disputes. Ideally, points of youth and community-development this doll exist in real life, and it belongs to Lourdes Arocho, vice president of contention can make a business nonprofit. Previously, he served as toys and games for Nickelodeon. She decides which toys will make stronger. Mr. Wagner and Mr. founding director and principal at embrace Muller note that Warren Buffett CUNY Prep. the cut for Dora the Explorer, SpongeBob SquarePants and other L&L Holding Co.: franchises, and handles licensing at the cable network’s consumer relies on collaborator Charlie the Munger to temper his enthusiasm. Daniel Hollander,43, products division. ¶ The 39-year-old New Yorker gets pitched was named president A willingness to ride out the of L&L Residential, a essence countless ideas.“You’re always asking,‘Does this doll embrace the rough patches makes all the newly formed division of Dora?’ essence of Dora?’” she says. ¶ Ms. Arocho started out in advertising, difference. “Be tolerant,” of the real estate as an intern on the creative side. She put college on hold to get suggests Melissa Gerson, a management licensed clinical social worker company. He was married and have a baby in her early 20s, completing her degree more formerly senior managing director of who, with Rebecca Appleman, The Clarett Group. than a decade later. She worked her way up the ranks at Warner runs eating-disorders clinic Citi Private Bank: John Hilderbrandt, 46, Brothers’ DC Comics, where she was immersed in superheroes. Her Columbus Park Collaborative. joined as a managing director. He had two boys, she says, help her maintain a kid’s mentality. But when Ms. “People have cranky moments been a managing director at U.S. Trust, and irritate others. That’s life.” Bank of America Private Wealth Arocho sees her company’s toys at retail, her inner grown-up takes Management. over. ¶ “Sometimes I’ll rearrange the shelves,” she says.“My kids hate IF YOUR BUSINESS is a partnership, Heather Kirby, 51, joined as a managing what makes it work? Tell us at See EXECUTIVE MOVES on Page 26 that.They roll their eyes and say,‘Mom, you don’t work here!’ ” —hilary potkewitz www.crainsnewyork/execinbox.

July 26, 2010 | Crain’s New York Business | 25 20100726-NEWS--0025,0026-NAT-CCI-CN_-- 7/23/2010 1:15 PM Page 2

RÉSUMÉ REVIEW FromWest Wing to East Side Is your job search all it could be? We ask the experts. Mad Men co-star Do they still make you wear padding? ing that we’ve been able to bring NAME JOHNNY C. RIVERA Not anymore.The first sea- back. SUMMARY talks about life both son, I was in a 40-pound fat suit and two layers of What’s Peggy’s motto? A leader with experience in developmental on and off the show prosthetic makeup to Keep things separate. Don’t and wellness programs give me three chins. bring your personal life into PROFESSIONAL EXPERIENCE Thankfully, we’re done the office. Come in to work,  Mount Sinai Medical Center, 2007-present BY ALIX STRAUSS with that.She’s more at- do a good job and go home. tractive now and learning Senior program director: Designed and implemented strategic plan for nown to West Wing fol- the ropes. What do you love most Department of Community and Government Affairs  lowers as first daughter about New York? Congressman Charles B. Rangel’s office, 2003-2007 Zoey Bartlet, Elisabeth Does the show I live on the Upper Director, East Harlem district: Acted as liaison to social service providers, Moss is now most recog- make you want to West Side now, so community and business leaders, and intergovernmental agencies Knized for her role as Peggy Olson, drink and I adore P.J. Clarke’s  Neighborhood Initiatives Development Corp., 1998-2003 the secretary-turned-copywriter in smoke? and Lincoln Cen- Program director: Designed and implemented employment and training the award-winning AMC series No. When all ter. I have a com- programs for recently unemployed workers Mad Men, about hard-drinking, that is hap- plete love affair with EDUCATION heavy-smok- pening, it’s af- New York.I love the  ing 1960s ad- ter a 15-hour immediacy and ac- School of International and Public Affairs at Columbia University, vertising ex- day or at 6 in the cessibility of the master’s, public administration, May 2011  ecutives. Ms. morning, and it’s city. Hunter College of the City University of New York, B.A., political science, MOVERS & Moss, who gross. You’re not at black and Puerto Rican cultural studies SHAKERS was nominat- a bar; instead, you’re What’s the ideal job for Résumé appears in condensed form. ed for an surrounded by crew you? EXPERT ADVICE Elisabeth Emmy in members. I would love to do You are a step ahead of many job seekers. Because of your history of 2007, married more theater, which community involvement, you have an extensive professional network. Ask Moss Saturday Night Which time frame do you was one of the hardest your contacts for a reference and get them thinking about ways they can Live cast prefer: New York in the things I’ve ever done. member Fred 1960s or in 2010? [She appeared in be helpful to you. Networking is all about exchanging information, so act Armisen last October.She’s back for 2010,for sure.I don’t like Speed-the-Plow in as a resource. Your résumé should focus on the experience and results that a fourth season of Mad Men, which pantyhose or wearing 2008-09.] If I could, are most relevant to the job you are applying for. Employers are interested in premiered on July 25. wool. I like jeans and T- I’d do a show, then a play, how you can help solve their problems. shirts and things that are then a movie.Then the show, —matthew rothenberg, editor in chief and career expert, What do you love most about Peggy? comfortable. Though and so on. That would be ter- TheLadders.com How complicated she is. Nothing is now I love ’60s furni- rific. black and white. She’s honest, and ture and architecture. To contact this candidate or to be featured in “Résumé Review,” e-mail us she’s a liar. She wants to fall in love. I’m obsessed with it. What’s next this year? at [email protected]. … She’s very true to life, and I love And the iconic imagery of I’m just trying to get through that about her. the men leaving the build- season four.
newscom

EXECUTIVE MOVES previously served as corporate vice Braver Stern Securities: Widmeyer Kelley Drye & Warren: Antonia F. president of global operations. Scott Buchta, 46, joined Communications: Giuliana, 36, was promoted to partner Nicolle Pangis, 31, was the broker-dealer as a David Cantor, 48, from associate at the law firm. Continued from Page 25 promoted to senior managing director and joined the full-service Robert L. LeHane, 41, was promoted to director. She previously served as a vice president of the head of investment communications firm partner from special counsel. managing director at U.S. Trust, Bank of global product strategy. He formerly as senior vice Alison L. MacGregor, 34, was promoted America Private Wealth Management. management. She served as a managing president. He was to partner. She had been an associate. John J. McGuinness III, 54, was named a formerly served as vice director and head of previously chief AdGenesis Digital: Jeremy Sterns,36, managing director and ultra-high-net- president of product the investment- spokesman for New joined the video-advertising platform as worth private banker. He had been a management, global strategy group at Guggenheim York City public schools. chief technical officer of the company managing director at U.S. Trust, Bank of media and technology. Securities. BTIG: Dan Castro, 51, joined the broker- and of sister company Beezag. He was at America Private Wealth Management. Fleishman-Hillard Inc.: Steve Hardwick, Amerifund Home Mortgage: Peter J. dealer as a managing director. He was ContextWeb, which he founded. Charles Walker, 44, joined as a senior vice 47, was appointed general manager of Cohen, 58, was named executive vice previously at Huxley Capital ideeli Inc.: Robert Ross, 41, was named president. He was formerly a senior vice the New York office and president of the president. He was previously chief Management, where he served as chief chief financial officer at the members- president and private client manager at Eastern region at the marketing and executive at First Alternative Mortgage risk officer. only online sample-sale site. He was U.S. Trust, Bank of America Private communications firm. He was formerly Corp. Glenn Costello, 48, was named a formerly executive director of finance at Wealth Management. president at Grey Group. IDB Bank: Greg Leo, 53, was appointed managing director. He had been a Urban Outfitters Inc. 24/7 Real Media Inc.: Jon Greenwood, Kleinberg Kaplan Wolff & Cohen: Abbey senior vice president and chief managing director at Fitch Inc. Jacob Hawkins, 35, joined as senior vice 39, was promoted to senior vice K. Walsh, 35, joined the law firm as a investment officer. He was previously TagMan: Ave Wrigley, 47, joined the tag- president of operations. He had been president and general counsel at the member. She had been special counsel at chief investment officer at Sovereign management system as chief technology senior vice president of supply chain at digital marketing company. He Schulte Roth & Zabel. Bank Private Wealth Management. officer, a newly created position. He was Overstock.com. The Execu|Search Group: Todd Merkin, formerly head of technology at ITN ON. Eastern Consolidated: 40, was named managing director of Tim Jones, 37, was named technical Marion Jones Pavone, CORPORATE LADDER legal. Previously, he served as managing operations director, a newly created 32, joined the full- director at Audrey Golden Associates position. Previously, he served as head of service real estate Ltd. project management at Tullo Marshall investment firm as TYRA BANKS TAPS GLOBAL MEDIA MAVEN Olshan Grundman Warren. director. She was Frome Rosenzweig & Skanska USA: PATRICK VIEN, 44, was named president and chief operating officer at Tyra John formerly founder and Wolosky: Dov Scherzer, Tamborino, 54, was principal of New Doric Banks’ Bankable. The former model launched the publishing and media 46, joined the law firm named vice president Advisory Services. company in 2003. It also includes TZONE Foundation, dedicated to as a partner. He was of preconstruction at PricewaterhouseCoopers: James Oswald, empowering young women. Mr. Vien will promote Bankable’s ventures to a formerly a partner at the construction 45, joined as a tax partner. He was global audience, as well as expanding the business Brown Rudnick management firm. He formerly a director at Deloitte. across media platforms. Before joining forces with Ms. Berlack Israels. was formerly chief Abiquo: Nick Wetton, 48, joined the Banks, Mr. Vien was chairman and CEO of Warner Morgan Joseph & Co.: estimator at Bovis management software company as vice Music International. Prior to Warner, Mr. Vien served as Jill Steier, 44, joined the investment Lend Lease. president of regional sales. He was banking firm as a managing director in Phillips Nizer: Helene M. Freeman, 60, formerly vice president of security president of NBC Universal Global Networks. Mr. Vien’s the health care investment banking joined the law firm as a partner. She solution sales at CA. global media experience is a good match for Bankable’s group. She had been at Emerging had been of counsel and chair of the —maia blume new initiatives. Last month, Ms. Banks and Demand Media Growth Equities, where she served as a creative services practice at Dorsey & Inc. announced a partnership to launch an interactive Web senior vice president of capital markets. Whitney. EXECUTIVE PROMOTIONS Raich Ende Malter & Co.: platform focused on expanding the definition of beauty. AKF Group: Dave Teng, 45, was promoted Thomas Turrin, The fastest way to get an announcement into to partner at the full-service engineering 57, joined the accounting and consulting —RACHEL WEXLER Crain’s is to submit details online. Fill out the form firm. He previously served as project firm as a partner. He was formerly a at www.crainsnewyork.com/submit. The director. partner at Konigsberg Wolf & Co. Executive Moves column is also available online.

26 | Crain’s New York Business | July 26, 2010 20100726-NEWS--0027-NAT-CCI-CN_-- 7/22/2010 7:43 PM Page 1 chemex / INSATIABLE CRITIC this event, call (212) 868-1368 or e-mail flickr.com Gael Greene THE [email protected]. WORKSHOPS TUESDAY, AUGUST 3 WEEK Join CAMBA SMALL BUSINESS SERVICES for a workshop on developing a business plan from 3 p.m. to 5 p.m. at 884 Putting the yin Flatbush Ave., second floor, Brooklyn. AHEAD The event is free. Call (718) 282-2500

or e-mail [email protected] for newscom in Vietnamese AUG. 2-8 additional information. WEDNESDAY, AUGUST 4 WHAT HE’S CONFERENCES & SEMINARS THE FIVE O’CLOCK CLUB will hold a Chelsea’s Cô Ba TUESDAY, AUGUST 3 workshop on getting interviews through READING The NEW YORK SOCIETY OF SECURITY direct and targeted mail from 6:30 p.m. invites diners with ANALYSTS will hold a market forecast to 8:30 p.m. at 11 Penn Plaza, fifth floor. EDWARD I. KOCH, the mayor of seminar about a sustainable global The fee is $50. For further details, call New York City from 1978 through stylish street fare expansion versus a double-dip recession (908) 696-9469 or e-mail 1989, recently finished America’s from 11:45 a.m. to 2 p.m. at 1540 [email protected]. Mayor, a biography of one of ô ba,a teeny new store- Broadway, 10th floor. Fees are $75 for Pick his predecessors, John Lindsay, front in Chelsea, is members and $115 for nonmembers by CULTURAL EVENTS FRIDAY, AUGUST 6 by Sam Roberts. unassuming, modest, July 30, and $100 and $140, respectively, of the thereafter. Call (212) 541-4530 for Check out a new exhibition week “I didn’t like Lindsay for welcoming, smartly further details. called EXPERIMENTAL WOMEN personal reasons,” says Mr. Koch, dressed—and it takes buck ennis IN FLUX, featuring experimental who helped elect him in 1965, reservations for its Vietnamese street C EXQUISITE: Maya heads-on prawns THURSDAY, AUGUST 5 works by women from the newly only to see the mayor endorse Mr. food. It’s all very yin, a new venture Join CONSTANT CONTACT and FASHION acquired Silverman Fluxus Collection Koch’s opponent for Congress in INSTITUTE OF TECHNOLOGY from a restaurateur I’ve championed. for a program Reference Library, at the Museum of 1968. Mr. Koch won anyway. He I doubt if the name Steven Duong on secrets to success in the new economy Modern Art, 11 W. 53rd St.The CÔ BA from 8:30 a.m. to 6 p.m. at FIT,27th museum is open from 10:30 a.m. to 8 says: “I forgive him now because will resonate with even our town’s 110 Ninth Ave. I’m 85, and I’m forgiving every- certified foodiots as a pioneer of (212) 414-2700 Street and Seventh Avenue, Katie p.m., and admission is $20 for adults, body. It takes a lot of energy to hold Vietnamese cooking in New York. cobarestaurant.com Murphy Amphitheatre. Fees are $49 in $16 for seniors, $12 for students, $5 for advance and $199 at the door. Call guests of members and free for children a grudge, and I don’t want to When traffic was still closed below (516) 616-3914 or e-mail under 16 and members. Visit 14th Street after Sept. 11, he bravely waste any.” Of course, Mr. Lindsay [email protected] for additional www.moma.org for more information. has been dead for nine years. opened Nam on Reade Street. information. Long before bad boy Michael CUISINE Vietnamese street food SATURDAY, AUGUST 7 Mr. Koch is now reading an Huynh found his groove at Bao 111 PRICE RANGE Entrées $12 to $18 NETWORKING RECEPTIONS Head to CENTRAL PARK’S MAINSTAGE at 3 uncorrected proof of Jonathan M. THURSDAY, AUGUST 5 p.m. for a free performance of soulful Soffer’s Ed Koch and the and went on to grow his mini-em- SERVING Dinner 7 days; lunch M-F pire of pocket-size storefronts, there ASIAN WOMEN IN BUSINESS will hold a gospel by The Clark Sisters and Kierra Rebuilding of New York City, to be was Duong, cribbing from the street RESERVATIONS Doesn’t hurt speed-networking event from 6 p.m. to Kiki Sheard. For more information, call released this fall. He’s also sold 9 p.m. at 8St Kitchen, 22 W. Eighth St. (212) 360-2777 or e-mail his third children’s book, about stalls of Saigon in l997 at Cyclo on NOISE LEVEL Noisy when full Fees are $25 for members and $50 for [email protected]. First Avenue. Even now I haven’t nonmembers. For more information on —maia blume a boy who is fat. “The character’s forgotten Cyclo’s mysterious nutti- I can’t wait to return. called Eddie,” he says. “It’s me.” ness of minced monkfish to scoop up I will definitely go back. To view Crain’s full calendar listings, go to www.crainsnewyork.com/events —ERIK ENGQUIST with shards of sesame crackers. He I’ll let them simmer awhile. says he will recycle it at Cô Ba. Of course, I could get my Viet- NO HATS Never again. namese fix at Má Pêche.Though I’m not a typical David Chang groupie— Discover the Marcum Dierence I’m unwilling to suffer the indignities explore the homeland he’d left to set- of no reservations—I find I can infil- tle in Michigan when he was 13. trate his sprawling midtown canteen Cruising the alley food stalls in in the basement of the Chambers Saigon and Hanoi, he was intrigued Hotel on quiet summer weekend by how the women cooks used what- nights.It sits plain but confident with ever was fresh in the market, classi- Integrity At Marcum, we treat a communal table in the middle, so cally done but with a twist all their butch there are no desserts. Still, I’m own.That’s what he seeks to do here Experience every client—from the largest happy with Chef Tien Ho’s Viet- with Saigon-born Jenny Lo at the namese-French bistro food. stove and the Greenmarket so close. of publicly traded companies But I’ll be taking my craving for We’re back again. My website Value rice noodles and fish sauce to Cô Ba, alerts have filled the house.I feel the with its wall of conical peasant hats, unpolished staff struggling, and the to family owned businesses charming old photographs and kitchen has lost some control. The Discipline lanterns dancing in the breeze of the ribs and spring rolls are splendid as to individuals—as our most air conditioner. Even the artfully remembered, but grilled vegetables, Excellence stained squares of the floor have a the boring beef salad,and a starter of important client. sense of style.I like the tumble of let- green papaya with coconut juice and tuce and herbs that comes with pork belly have no special oomph. Client Service shrimp, pork and vegetable spring Crispy spring rolls with gravely rolls, and the tamarind lemongrass overcooked shrimp and pork over dip for fried chili-pepper calamari rice vermicelli is a dispirited hodge- Client Service* Isn’t that the way it should be? from a choice of small plates at $5 to podge. Happily, caramelized pork $7, including luscious grilled lemon- belly braised with tofu in a clay pot grass baby back ribs. The prices are and with pickled daikon alongside, compelling, too: Noodle dishes and and exquisitely cooked Maya heads- chicken, salmon or pork belly in clay on prawns make up for the flubs. pots are just $12 to $16.Cô Ba’s most Má Pêche won’t even give you a ambitious beef three ways is just $18. peach for dessert. But Cô Ba wants Taking note of the bánh mì epi- to be loved. There’s a tiny banana *It’s that important to us. demic, chef Duong adds six sand- cupcake for each with Tahitian wiches to the menu. Our Hanoi- vanilla ice cream and pineapple style fried fish on a toasted sauce,or pineapple sorbet in coconut AUDIT • TAX • CONSULTING • LITIGATION SUPPORT baguette—much ado about dill,with tapioca sauce. And the house makes onion, mayo, jalapeño and house its own sweet watermelon rind salad International Member of Leading Edge Alliance pickles—brings back our first night to go with frozen watermelon purée. in Hanoi at Cha Ca La Vong. Two years ago, Duong closed Copyright © 2010 by Gael Greene. www.marcumllp.com both Tet and Ô Mai and took off to Syndicated by www.insatiable-critic.com.

July 26, 2010 | Crain’s New York Business | 27 CN013828 7/20/10 6:08 PM Page 1

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