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Guv Preps for Second Act Hospital’S INDEX Takeover Ous—That the Worsening Budget SMALL BUSINESS ______9 Cuomo Won Big in His Rookie Year

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Guv Preps for Second Act Hospital’S INDEX Takeover Ous—That the Worsening Budget SMALL BUSINESS ______9 Cuomo Won Big in His Rookie Year 20111121-NEWS--0001-NAT-CCI-CN_-- 11/18/2011 8:45 PM Page 1 INSIDE THE 125 TOP STORIES LARGEST Fundraising PRIVATE scandal puts Liu’s COMPANIES future in jeopardy ® THE INSIDER PAGE 8 PAGE 16 EDITORIAL PAGE 10 NBA VOL. XXVII, NO. 47 WWW.CRAINSNEWYORK.COM NOVEMBER 21-27, 2011 PRICE: $3.00 strife has MSG deflated PAGE 2 Big Brothers, where art thou? Mentors for city kids needed PAGE 3 Rental-apartment websites flood into hot market PAGE 3 MR. MAYOR? John Catsimatidis has the What city retailers billions to campaign for the job he sought briefly are stocking up on in 2009. Does he still for the holidays want it in 2013? PAGE 2 THAT DARN CATS! BUSINESS LIVES The inimitable John Catsimatidis is expanding his empire GOTHAM GIGS BY LISA FICKENSCHER former warehouse is ancient and ecutives’, is cluttered with foot- #8 temperamental. Instead of art- high stacks of papers. Serving seniors on Thanksgiving P. 33 ON THE CRAIN’S Red Apple Group’s gritty head- work, newspaper circulars and ad- “We are just short of hoarding LIST, Red Apple quarters on 11th Avenue and 56th vertising specials from the firm’s here,” joked his assistant, Matt ● ANNE FISHER How to Group owns supermarkets, Street does not even hint at the vast Gristedes supermarket chain line Wanning. help Asian-Americans refineries, real fortune controlled by the compa- the reception area walls. And Mr. Mr. Catsimatidis’ $4 billion em- get ahead P. 33 estate, biotech and more ny’s owner, John Catsimatidis.The Catsimatidis’ desk, which stands in pire includes vast real estate hold- ● MOVERS & SHAKERS Page 16 cramped elevator in the six-floor an open room alongside other ex- See CATSIMATIDIS Page 14 AvalonBay’s new development head P. 34 buck ennis ● GAEL GREENE A French spot in Chelsea P. 35 Guv preps for second act Hospital’s INDEX takeover ous—that the worsening budget SMALL BUSINESS _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _9 Cuomo won big in his rookie year. deficit was a symptom of the state’s VIEWPOINT _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _10 A repeat performance won’t be easy economic woes, that nearly questioned NEIGHBORHOOD JOURNAL _ _ _ _ _ _ _ _ _ _ _ _ _12 800,000 New Yorkers are out of REAL ESTATE DEALS _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _23 Democratic Party last week, short- work, and that Wall Street bonus- BY JEREMY SMERD ly after the administration released es are unlikely to provide the last- CLASSIFIEDS _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _24 As details emerge, its sobering midyear financial up- minute revenue that has bailed Al- FOR THE RECORD _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _28 The state’s more than $3 billion date. “We have a problem that is bany out in years past. Peninsula rescue HOT JOBS _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _33 gap for next year is the least of Gov. worse than a budget No, the manager-in-chief was attracts scrutiny EXECUTIVE MOVES _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _33 Andrew Cuomo’s worries. gap,which is a stalled managing expectations. He was THE WEEK AHEAD _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _35 “I wish we only had a budget economy.That’s the also laying out his argument gap,” he told members of the state problem.” against raising taxes. BY BARBARA BENSON As the leader of A year ago, Mr. Cuomo the state’s Democra- waltzed into office determined to So, just who is running bankrupt tic Party, Mr. Cuomo show New Yorkers that he could Peninsula Hospital Center? State was make state government regulators have demanded details not work. Thanks to his of the Queens hospital’s gover- sim- disciplined and cal- nance structure in the wake of a ply say- culating style, he Nov.7 Crain’s New York Business ar- ing the succeeded beyond ticle that probed ailing Peninsula’s NEWSPAPER newscom obvi- See GUV on Page 30 See PENINSULA on Page 31 20111121-NEWS--0002,0003-NAT-CCI-CN_-- 11/18/2011 8:32 PM Page 1 IN BRIEF Revenues dribbling away GOOD NEWS FOR FANS OF DUMBO’S FORAGERS MARKET—THE BUSINESS IS expanding to Manhattan. Six-year-old, family- owned Foragers, which made a name for itself by stocking lots of locally sourced items, as NBA lockout continues recently signed a 15-year lease for 5,700 square feet on the ground floor of the five-story Gem group at MPG North Amer- to reach revenue-sharing Hotel at 200 W. 22nd St. in Chelsea. Foragers’ Madison Square ica. “They certainly jeopard- and salary cap agreements Manhattan outpost, which will double as a ize their ability to pick that up, that would have reduced the restaurant, should be open in January. Foragers’ Garden, for one, whenever they come back.” disparity between teams that owner, Anna Castellani, who gets much of her make money and the major- produce from her family’s own farm in Canaan, stands to lose Knicks’ momentum shot ity that don’t. The players’ N.Y., is already gearing up to increase capacity. The Knicks had an espe- union disbanded and moved She hopes to open other Manhattan locations millions in ad dollars cially good season, reaching the battle to the courts. in due course. the playoffs for the first time The season now won’t BY MATTHEW FLAMM since 2004, powered by ex- start until Dec. 15 at the ear- THE NATION’S ECONOMY MAY BE PICKING UP pensive new stars Amar’e New start liest.At some point,depend- STEAM, IF ANALYSTS’ FORECASTS ARE Basketball fans face a rough winter, as last Stoudemire and Carmelo ing on its contract provi- anything to go by. A number of economists week’s collapse in negotiations between Anthony. date: Dec. sions, the MSG Network have raised their forecasts for fourth-quarter the locked-out players and the National The Garden, which is go- will need to start coughing gross domestic product to 3% or more, which Basketball Association seems to spell ing through a complete ren- 15 at the up affiliate-fee revenues. would clock in as the fastest growth in 18 doom for the year. But for businesses ovation,raised Knicks season It’s already losing out on months. Economists at JP Morgan Chase & whose finances depend on the game, from ticket prices for the first time earliest advertising dollars. New Co. now see GDP rising 3% in the final sports bar owners to the Madison Square in six years;more than 90% of shows culled from MSG’s quarter, while Morgan Stanley & Co. boosted Garden Co., there may be no seasonal ticket holders renewed. Ana- archives, like Knicks Greatest its outlook to 3.5%. Consumers appear to be cheer at all. lysts had expected a strong Rivalries, won’t have the ap- behind the renewed strength, according to Organizations representing New York fourth quarter,but some end- peal of a live game, nor will newswire reports. Despite turmoil in world area bars and restaurants said last week that ed up downgrading MSG’s stock on fears hockey, no matter how well the New York financial markets, they have not cut back on the 30 games canceled so far have cost of missed games as the July lockout Rangers are playing. spending, forcing companies to rebuild them $40 million in sales. Receipts for dragged on. “Advertisers tend to look at that inventories. n many establishments have been down Those fears have come to pass.The two [Knicks] money as sponsorship money, close to 30%. sides stopped talking last week after failing and may not reinvest it,”said a local broad- For MSG, a year cast media buyer. “The BY THE NUMBERS without basketball Rangers will pick up a would wipe out mil- EXPENSIVE KNICKS fraction of it.” STARS: Carmelo Weekly shift of the city’s economy lions in advertising dol- Anthony (left) and A spokesman for buck ennis lars and affiliate fees Amar’e Stoudemire.
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