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New York Times ADVERTISEMENT ADVERTISEMENT THE REAL ESTATE BOARD OF NEW YORK This special advertising feature is sponsored by participating advertisers. The material was written by Ron Derven and did not involve the reporting or editing staff of The New York Times. © 2018 The New York Times ADVERTISEMENT ADVERTISEMENT NEW YORK CITY’S COMMERCIAL REAL ESTATE MARKET As the New York real estate industry gathers for the Real Estate Board of New York’s (Rebny) 122nd Annual Banquet, the industry is hopeful that the vibrant economy experienced throughout the city and region in recent years will continue in 2018 and attract new jobs, residents and high numbers of tourists to the city. Rebny is pleased with its accomplishments at both the city and Housing Program (ANYHP), formerly known as 421a. The program state level over the past year. For example, Rebny was heartened provides fair wages for construction workers while producing sub- by the final passage of Midtown East rezoning, according to John stantially more affordable rental housing. H. Banks III, president of Rebny. “It will mean new private sector investment in modern offices, mass transit and new and enhanced public spaces. The rezoning will be a crucial tool for ensuring that Economic Incentives Program Extension East Midtown remains one of the world’s leading office districts.” The Greater East Midtown rezoning was enacted in August 2017, Equally important is making New York an affordable place for busi- establishing a plan to revitalize the district by increasing allowable nesses to function and grow. “The governor and state legislature floor area for the development of new office buildings. Rebny played approved a three-year extension of state economic incentives for an active role in this rezoning including serving as a member of the commercial and industrial projects,” said Banks. “These programs East Midtown Steering Committee, which established a framework encourage job creation and economic growth, while ensuring that for the plan and continually advocated for modifications on issues our city is an affordable location for companies to thrive.” including light and air rules, enlargements and midblock devel- Banks explained that companies in the Bronx, Brooklyn, Queens opment. The rezoning plan will enhance New York City’s ability to and Staten Island are twice as likely to hire local residents, unlike recruit international talent and maintain its competitive advantage. Manhattan employers. Between 2005 and 2014, more than 334,750 “Now the hard work begins to deliver a fully revitalized and competi- private primary jobs were created [in the city], and that number tive East Midtown in the coming decades,” said the Rebny president. will continue to grow with the passing of these incentives. “Rebny applauds Governor Andrew Cuomo, Assembly Speaker Carl Heastie, Senator John Flanagan, Senator Jeffrey Klein, and the 200,000 Affordable Housing Units Needed members of the Assembly and State Senate for the leadership they have shown in renewing these vital economic programs,” said Banks. “New York is forever young, ever changing and continually grow- ing,” asserted Banks. “New York continues to be the place where people want to visit, live, work and raise a family.” Infrastructure Needs to Be a Priority If there is anything that threatens that bright present and future for the city, it is the need for more affordable housing. “New York’s Nowhere is the issue of infrastructure more important or press- affordable housing crisis can only be addressed by increasing our ing than it is in New York metropolitan area, according to Banks. production of new housing,” Banks stressed. “We will need approxi- “The Gateway project is an essential step toward addressing the mately 200,000 additional affordable units if we are to close the gap region’s infrastructure needs. The centerpiece of the project would between the number of households at median income and the num- create a rail tunnel underneath the Hudson River to provide New ber of existing units at rents they can afford.” Jersey Transit and Amtrak with a new way to access Midtown,” said Banks noted that by 2030, New York’s population is expected to Banks. A new tunnel was important even before Hurricane Sandy exceed nine million. “Unless we rapidly and steadily produce more flooded the existing tunnel — a disaster from which Amtrak has housing every year — affordable and market rate — adequate sup- not yet recovered. In the coming decade, warned Banks, Amtrak ply will become even scarcer and more expensive,” he said. “It is may have to close portions of the existing tunnel to make emer- imperative that elected officials and community leaders support gency repairs. Good infrastructure policy is proactive, not reactive, critical projects, especially those with an affordable component.” according to Banks. Although the cost of the tunnel alone would The Rebny president commended the de Blasio administration be $13 billion, it will save the country money in the future. for its efforts in this area. “The de Blasio administration deserves credit for the amount of time and resources that have been put into housing for New York’s growing population, especially for low- Where Will Rebny Focus in 2018? income families that struggle under the burden of rent,” he said. Banks added that the governor and the state legislature were In 2018, Rebny will continue improving services for its members and also doing their part to push for more affordable housing, not- advocating for smart public policies. “We are confident in the future ing that in 2017 Governor Andrew Cuomo and the state legislature because we understand that the success of our endeavors and mem- took decisive action to further spur the production of affordable bers means the success of New York City,” said Banks. housing and job creation by enacting the Affordable New York One critical area of focus is real estate technological innovation: “Our members formed the REBNYTech Committee, which hosted our first #REBNYTech Hackathon. The Hackathon provided a plat- form for Rebny members to connect with emerging tech talent to create cutting-edge solutions and new tools designed to improve efficiency,” said Banks. “Hackathon teams worked throughout a weekend-long competition to address and solve some of the most ABOVE AND BELOW: The JACX, Long Island City. common problems observed across all areas of the real estate Renderings: Tishman Speyer industry. There is tremendous enthusiasm surrounding this issue.” Creating a Better Environment In 2017, Rebny members were once again leaders in New York’s environmental efforts, according to Rebny president Banks. “Our Sustainability Committee joined Mayor de Blasio’s NYC Carbon Challenge, committing to working with the city to build a more environmentally friendly New York, and to helping reduce citywide greenhouse gas emissions 80 percent by 2050. “City council legislation to mandate fossil fuel use limits on com- mercial and residential buildings over 25,000 square feet was introduced in 2017. The breadth of this mandate will dispropor- tionately affect multifamily buildings, as they are predominantly powered by natural gas and oil. Rebny met with the administration and city council to stress the unintended consequences of these mandates.” Rebny Honors Leonard Litwin’s Legacy Rebny honors the memory of Leonard Litwin, its lifetime honor- ary chairman, who passed away in 2017. Litwin loved New York City. He was a dedicated philanthropist and demonstrated his confidence in the city’s future by building the first new rental apartment building in lower Manhattan after the terrorist attacks of September 11, 2001. He will be deeply missed by all. CBRE REBNY 6Tx21 2327476_1 ADVERTISEMENT ADVERTISEMENT HONOREES AT REBNY BANQUET At each annual Rebny banquet, the association honors a distinguished group of leaders who are presented with top honors for their outstanding professional success and exceptional contributions to the real estate industry. Among those to be honored at the dinner are Rob Speyer, Rebny’s outgoing chairman; New York Senator Charles Schumer; and other real estate professionals. “Rob Speyer’s generosity of spirit and strategic guidance throughout his tenure as Rebny chairman represents the very best of New York City. I want to thank him and each of the award winners for their extensive contributions to our industry through their professional accomplishments, leadership and dedicated service,” said Rebny president Banks. Here are the honorees: serves on Rebny’s board of governors and was previously honored with the Rebny Residential Brokerage Division’s Henry Forster Award for Lifetime Achievement for outstanding excellence, ethical con- duct and contributions to the real estate industry and community- Rob Speyer at-large. Additionally, she serves as chairman of the French Heritage President and Chief Executive Officer Society and on the board of directors for the Women’s Committee Tishman Speyer of the Central Park Conservancy, New York Landmarks Conservancy and the American Hospital of Paris Foundation, according to Rebny. She was previously a trustee of The Hewitt School and served on the board of directors for the Foreign Policy Association, Cambridge in Rob Speyer, president and C.E.O. of Tishman Speyer, will receive America, the French-American Foundation and the Institut Pasteur. The Harry B. Helmsley Distinguished New Yorker Award. The award is presented to an industry member for his or her invaluable con- tributions to New York’s civic welfare and real estate community, according to Rebny. Speyer has served five years as Rebny chair- man. Since 2013, he has led Rebny through the first change in Rebny Richard LeFrak presidents in 30 years and two mayoral administrations. Chairman and Chief Executive Officer “Rob Speyer’s record of service and civic leadership as Rebny LeFrak chairman will be a tough act to follow,” said incoming Rebny chair- man William Rudin in making the announcement. “His vision and dedication to the industry has made Rebny a stronger and better organization than ever before.” Richard LeFrak, chairman and C.E.O.
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