20090727-NEWS--0001-NAT-CCI-CN_-- 7/24/2009 9:39 PM Page 1

INSIDE DOUBLE ISSUE An Agenda TOP STORIES to Fix Albany—Now Broadway’s hot Kathryn Wylde on spurring growth new hand annoys Carol Kellermann on cutting costs Dick Dadey on gerrymandering the old guard ® Joseph Mercurio on electioneering PAGE 2 Pages 10-11 Pressure mounts on Joe Moinian as VOL. XXV, NOS. 30, 31 WWW.CRAINSNEWYORK.COM JULY 27-AUGUST 9, 2009 PRICE: $3.00 big payments loom PAGE 3 Surprise! City restaurants see big THE ORGANIZATION MAN summer crowds PAGE 3 How union big SPECIAL REPORT Dennis Rivera REAL craftily shaped ESTATE G Banks bring Obamacare Park Avenue back to earth BY DANIEL MASSEY P. 15 G Small retailers find silver dennis rivera, the indomitable labor lining in property bust P. 15 leader, was on Capitol Hill in late June G Top first-half office leases to persuade members of a powerful and property sales Pgs. 18 & 20 House committee to include a public G Current crop of deals pales in insurance option in its massive over- comparison to last year’s P. 21 haul of the nation’s health care system. Karen Ignagni, perhaps the most feared lobbyist on the Hill,was there to BUSINESS LIVES sway the lawmakers in the opposite di- rection. Yet during a break in the hearing, Ms. Ignagni—whose group of insurers served up the “Harry and Louise” ads that helped kill the Clinton health care reform effort—walked over to Mr. Rivera, greeted him with a warm em- brace and asked to meet the following week. It’s an unlikely friendship, but not GOTHAM GIGS one that would surprise any - er who observed Mr. Rivera’s adroit Urban farmer likes the leadership of 1199 SEIU, ’s city’s social life P. 27 health care workers union. In his 17 G ANNE FISHER on years at the helm, he forged alliances

recruiters’ tactics P. 27 See THE ORGANIZATION MAN on Page 26 buck ennis G MOVERS & SHAKERS Showtime’s chief chats about HBO P. 28 THE BREAKDOWN G GAEL GREENE Retailers Exec’s crack habit gets a bellyful at Gus and Gabriel’s P. 30 hit by CIT damages L.I. hospital NEW! G CHEAT SHEET This week:a bluffer’s guide to H1N1 P. 31 fallout In a memo to staff on Tuesday, Addiction news puts LIJ noted that Mr. Steel, who had Long Island Jewish been on a leave of absence for sev- Vendors are already eral weeks “to focus on personal is- INDEX Medical Center sues,” had resigned in order “to fo- halting shipments cus on his recovery.” NEIGHBORHOOD JOURNAL in dicey position ______14 over pay worries What the memo did not say SMALL BUSINESS ______22 was that Mr.Steel is suffering from BY BARBARA BENSON an addiction to crack cocaine. EXECUTIVE MOVES ______27 BY ADRIANNE PASQUARELLI “This is really an extreme situ- RÉSUMÉ REVIEW ______28 it’s not every day that the chief ation,”says Georgia Cristimilios,a THE WEEKS AHEAD ______30 as commercial lender CIT The vice president at Vault executive of a company is discov- vice president at Corporate Coun- WHAT HE’S READING ______30 Group Inc. teeters on the brink of Sportswear uses CIT to insure his ered to be a crack addict.But when seling Associates, which special-

SeeTHE ATWEEK DEADLINE ON THE on WEB Page ______2 ______31 insolvency, women’s apparel ven- shipments to stores. If a store goes the company happens to be a hos- izes in personnel issues. dor Nouri Chaya is tottering, too. out of business, CIT guarantees pital—an institution devoted to Mr. Steel’s addiction places LIJ that Mr. Chaya gets paid for his wellness—the shock is especially in a difficult position.The hospital

30 goods. But Mr. Chaya has been great. itself runs drug abuse treatment

5 thrown by CIT’s turmoil and has That is precisely the position programs, and it depends heavily been forced to halt several back-to- that Long Island Jewish Medical on its good name to draw both pa- school shipments. Center finds itself in, one week af- tients and financial donations. LIJ “We’re not taking the advice of ter announcing that John Steel has has rightly been supportive of Mr. ELECTRONIC EDITION CIT very seriously,” says Mr. resigned as executive director of Steel as he entered rehabilitation Chaya, one of the few CIT clients the New Hyde Park-based institu- in recent weeks.It has also respect- NEWSPAPER See RETAILERS HIT on Page 25 See EXEC’S CRACK HABIT on Page 2

71486 01068 tion that boasts 500 doctors. 0 20090727-NEWS--0002-NAT-CCI-CN_-- 7/24/2009 9:40 PM Page 1

IN BRIEF B’way producer stirs the plot THE GREAT WHITE WAY WILL BE STUDDED WITH MOVIE STARS THIS FALL SEASON. THE FIRST members of the high-powered roster will appear in September in A Steady Brings crafty off-Broadway Rain, starring both Hugh style, social networking to Jackman and 007 actor Daniel Craig. Soon after, Hamlet with big stage, rankling old guard Jude Law will open, followed by the Broadway debut of Sienna

getty images Miller (left) in After Miss Julie, BY MIRIAM KREININ SOUCCAR then Julia Stiles in Oleanna and James Spader in Race. While the large number of celebrities is in february,theater producer Ken a coincidence, the star power should help boost Davenport sent out one of his nu- ticket sales, producers say. Broadway attendance merous Twitter messages, telling is down 8.4% so far this season from the same the universe that he was busy rais- period a year ago, and box-office gross is off 2.4%. ing money for Blithe Spirit, the Broadway revival featuring Angela YELLOW PAGES PUBLISHER AMBASSADOR Lansbury. MEDIA SOUGHT CHAPTER 11 BANKRUPTCY Shortly after, Mr. Davenport protection last week, becoming the third received a message from a total directories publisher to declare bankruptcy in stranger who wanted to invest in the past four months. Online competition and a the show. Seven days later, a downturn in local advertising have put pressure $25,000 check arrived in the mail. the Nielsen Co. on the category. According to the filing, the “A lot of producers in this city, to test ma- private equity-backed company has liabilities of you can’t get on the phone,let alone terial in the between $10 million and $50 million.The e-mail,” Mr. Davenport says. market- -based firm publishes Yellow Pages Though Broadway has be- place. A year for every borough, and it has a local listings site come adept at selling tickets on- ago, he creat- on the Web. line, much of the way business ed Broadway is done harks back to the space.com, the A $300,000 LOAN FROM THE EMPIRE STATE 1930s. Big theater owners first social network DEVELOPMENT CORP. WILL EXTEND still rule the roost, and pro- for theater-lovers. a two-year-old commuter ferry service from ducers rely on their passions And he analyzes and to Yonkers for another three and hunches when putting on questions everything months.The service was scheduled to end this a show,pooh-poohing market the clubby industry does month, once its original $4.2 million grant research for gauging audience ap- on his daily blog, ruffling from the Lower Manhattan Development petite and techniques like online more than a few feathers in Corp. is depleted.The service is adding a stop networking to get the word out. the process. One blog en- at West 39th Street, in an effort to increase its try, for example, takes on number of passengers and secure additional New methods the powerful theater financial support. mr. davenport, a successful off- owners, complaining Broadway producer who jumped on to that they have all the

NOTE TO READERS the Great White Way this year, is trying control over who sells photos This summer, we are publishing a handful of double issues. The to change the way business is done be- tickets to the produc- next edition of Crain’s New York Business comes out Aug. 10. For cause he believes Broadway’s future is at ers’ shows, and get a one reads what he has to say.” award-winning local business news every day, visit risk. Grosses are up, thanks to high- kickback from the One practice he believes is ripe for re- www.crainsnewyork.com. er ticket prices, but audience ticketing companies form: the use of expensive advertising growth has slowed and expenses to boot. agencies like Serino Coyne. For certain vol. xxv, nos. 30, 31, july 27, 2009—Crain’s New York Business are skyrocketing, making profits APPLAUSE: Ken “Ken is not afraid shows,he believes that bringing marketing (issn 8756-789x) is published weekly, except for combined issues Davenport’s successes the 5th week of June and the 1st week of July, the 2nd and 3rd more elusive. Mr. Davenport says include You’re Welcome to challenge con- in-house would be more cost-effective. weeks of July, the 4th week of July and the 1st week of August, production costs must be reduced ventional wisdom Mr. Davenport doesn’t mind stirring the 4th and 5th weeks of August, the 3rd and 4th weeks of America, with Will Ferrell, November, and the 3rd and 4th weeks of December by Crain and the industry must modernize if and Blithe Spirit, with and do it publicly,” the pot. “It’s true that the average Broad- Communications Inc., 711 Third Ave., New York, NY 10017.Peri- it wants to survive. Angela Lansbury. says Leslie Barrett, way theatergoer—a 55-year-old woman— odicals postage paid at New York, N.Y., and additional mailing “People are demanding more director of integrat- isn’t using Twitter,” he says.“But when the offices. Postmaster: Send address changes to: Crain’s New York Business, Circulation Department, 1155 Gratiot Avenue, , transparency and accessibility now, buck ennis ed marketing at kids in college who grew up with cell MI 48207-2912. for subscriber service: Call (888) 909-9111. and if the theater industry doesn’t embrace Serino Coyne, the phones and Facebook turn 32 and 42, that Fax (313) 446-6777.$3.00 a copy, $59.79 one year, $109.79 two years. (GST No. 13676-0444-RT) technology,we will be left by the wayside,” biggest advertising will change the face of everything we do.If ©Entire contents copyright 2009 by Crain Communications Inc. he warns. agency focusing on Broadway. “He’s con- we’re not laying the groundwork now, All rights reserved. A technology buff, Mr. Davenport uses troversial, and he throws stuff out there we’re going to be dead.” viral marketing to sell his shows and hires that nobody wants to talk about,but every- See PRODUCER on Page 16 ECONOMETER Weekly shift of the city’s economy Exec’s crack habit rocks LIJ OVERNIGHT, talk has shifted from a slowing pace  of decline to a rebound. Profits are beating forecasts, and investors have pushed the S&P up 8% this Continued from Page 1 “Among CEOs, it’s York City and Long Island. year. Too bad we’re still so far from the 2007 peaks. ed his privacy in an industry where patient less likely,but it happens,” It is unclear when hospital executives confidentiality is highly regulated. That says Dr. Marvin Seppala, knew about his drug abuse,despite the fact

POSITIVE NEGATIVE situation changed earlier this month,when chief medical officer of that Mr. Steel was surrounded by doctors.

  CLOUDY  Mr. Steel publicly acknowledged his crack the addiction treatment He said in his grand jury testimony that he addiction in front of a Nassau County center Hazelden. was using crack in October. Yet the execu- S Y T grand jury. LIJ’s first public ac- tive entered rehabilitation only weeks ago, O N R “The hospital has a credibility issue knowledgment of the suggesting there was a months-long gap N M U now,” says Melissa Maslar Arnoff, a vice situation came in last between his admitted use and his leave. Y S president at Levick Strategic Communi- week’s memo. LIJ also JOHN STEEL’s not That gap may not be so unusual, ob- cations in Washington,D.C.“They have a wasted no time in an- only C-suite addict. serves Dr. Jeffrey Selzer, director of the great substance abuse program that he nouncing a successor to Physicians’ Resource Network at North didn’t take advantage of.” Mr.Steel,who previously had served as the Shore-LIJ, who oversees doctors coping -4.8 +3.6% +4.9% Some 8.6 million Americans aged 12 or health system’s vice president of finance. with their own substance abuse (a group POINT DROP JUNE GAIN BLOOMBERG/ older reported trying crack cocaine at least Chantal Weinhold, executive director of that includes an estimated 10% of physi- in consumer con- in sales of existing CRAIN’S NY once during their lifetime,according to the Schneider Children’s Hospital, will step cians nationwide). “With substance abuse fidence index in homes, the third Stock Index July, the first fall in rise in a row weekly 2007 National Survey on Drug Use and in to fill Mr. Steel’s shoes. Like LIJ, it’s fairly typical that performance at work 5 months (National Assn. change Health. Addiction experts say that crack Schneider is part of the North Shore-Long is one of the last things to go.” he says. (/U. of Mich.) of Realtors) use is fairly widespread, though its use in Island Jewish Health System, a sprawling “Even in hospitals, colleagues can be com- the executive suite is not. chain with 4,739 hospital beds across New pletely taken by surprise.” 

2 | Crain’s New York Business | July 27, 2009 20090727-NEWS--0003-NAT-CCI-CN_-- 7/24/2009 9:07 PM Page 1

SINKING FEELING: Having lost one building, tacular run that began after he im- WHERE MAKING Joseph Moinian could migrated to the from lose more. at the age of 16. He went on to MONEY IS JOB 1 make a fortune in the garment busi- ness before moving into real estate WORKERS in the New York area in the 1980s.Today,his 20 million- earn an average annual wage that’s square-foot property portfolio in- nearly 30% higher than the U.S. cludes a stake in what was formerly average, according to government called the Sears Tower in . statistics provided to Crain’s. Mr. Moinian frequently bought 17 Battery Place North Employers in urban areas tend to second-tier buildings in the hopes pay a premium, of course, but of renovating them into upscale economists say the Big Apple’s high properties commanding premium cost of living, highly educated citi- rents. But the market crash has left zenry and high rate of unionization him saddled with oceans of empty also contribute to its perch atop the space and myriad debt payments salary scale. that sources say he is now strug- —DANIEL MASSEY gling to make. Already, Mr. Moinian has told lenders that he will miss a $53 mil- lion loan payment on his 398,000- $54,850 square-foot building at 17 Battery New York area average 1775 Broadway Park North. Similarly, he said he annual wage would miss a $292 million loan payment on his 1 million-square- foot glass tower at 180 Maiden $42,270 Lane. Mr. Moinian declined to U.S. average annual wage comment. Bills coming due The revelations surprised ex- AVERAGE SALARIES in all major perts because each building seemed occupational groups are higher here to be generating enough cash to than in the rest of the country. The service the debt. At 180 Maiden difference is particularly stark in for Joe Moinian Lane, however, the lion’s share of these five areas: the building is subleased by trou- Construction

buck ennis bled insurer AIG, but there’s no $60,050 guarantee it will continue to rent low lending standards of the boom when its sublease expires. 42% Developer squeezed by rising debt years to gobble up properties at eye- In normal circumstances, Mr. Sales $51,280 popping prices. And like his Moinian might have simply gone to payments and high vacancy rates peers—including Harry Mack- his lenders and asked to refinance 42% lowe, who has given up eight build- his debts.The credit crisis has made Arts, media, $70,500 In fact,over the past two months, ings to lenders,and Broadway Part- that process far more difficult,espe- entertainment BY THERESA AGOVINO Mr.Moinian has quietly told lenders ners’Scott Lawlor,who has lost one cially for borrowers seen as troubled. 39% that he expects to default on loans and is about to relinquish three “Maybe lenders don’t want to Legal two months ago, developer due in November for two of his oth- more—Mr. Moinian is now suffer- touch him because they think he has $124,350 Joseph Moinian and a partner were er holdings: 180 Maiden Lane and ing the consequences of the bust. issues,” says Steve Kuritz, a senior 35% forced to give up 475 Fifth Ave.— 17 Battery Place North.Meanwhile, “A lot of these guys who bought vice president at credit rating agency a building they had purchased only challenges are mounting at his oth- in 2006 and 2007 are in trouble,” Realpoint. “Maybe they are afraid Management $134,540 two years earlier—after failing to er holdings, including 1775 Broad- says Dan Fasulo,managing director he’ll default on other buildings.” 34% repay a loan. way and 95 Wall St. of Real Capital Analytics, a re- Meanwhile, other problems With troubled deals all over Mr. Moinian is one of a number search firm. loom. Realpoint Managing Direc- WHO makes the most? town, it’s likely that building won’t of developers who took full advan- In Mr. Moinian’s case, the diffi- tor Frank Innaurato estimates Mr. be the last one Mr.Moinian will lose. tage of the abundant capital and culties come after a long and spec- See MOINIAN’S BILLS on Page 25 CHIEF EXECUTIVES earn $205,860

ORTHODONTISTS come in second Eateries say biz is cooking $189,790 Ever curious about how much a local NUCLEAR ENGINEER According to counts at Compass, in the heart of makes? Wonder no more Modest surge in the Conference the Upper West Side’s residential RIGHT DIRECTION: $100,780 restaurant sales as A 12% sales jump Board’s con- community, are up 12% since June. for Compass’ sumer confidence Donny Evans, managing director NY’ers emerge from Donny Evans index, June was at of Compass, believes more New WHO is at the bottom? their bunkers (left) and Milton 49.3, or nearly Yorkers are staying in town because MANICURISTS Enriquez. twice March’s of the unusually rainy, cool weath- figure. “Con- er. He also credits an advertising $21,200 BY LISA FICKENSCHER sumers seem to be campaign—touting a $39 three- CASHIERS paying more at- course dinner with a three-pound $20,760 the summer months are usually tention to where lobster—with driving more busi- PARKING LOT the worst for the city’s restaurants as we are going ness. ATTENDANTS New Yorkers head to the beach, rather than where “Summertime is always terrible business meetings are put on hold we’ve been,” says in Manhattan,”Mr.Evans says.“So $20,600 and the Big Apple simply slooows. Ken Goldstein, we are pleasantly surprised that we FAST FOOD COOKS But this year is different. The buck ennis an economist are up strongly.” $19,410 summer seems to be ushering in a covery as they fed more customers with the Conference Board. Restaurant Week, which began period of growth. “The mood is than they had during the same The first 19 days of July were es- July 12 and ends Aug. 2, is also SHAMPOOERS getting back to normal,” says Dean months last year. Others, whose pecially bountiful for the Boat- helping. The citywide promotion $18,640 Poll, president of the Boathouse sales are still down, report that at house,which reports a 22% spike in has made a big difference for A restaurant in . “It least year-over-year declines are sales over the same period last year. Voce in Gramercy Park, which NY area includes the five boroughs, Westchester seems like things have finally stabi- shrinking as each month passes. It helped that early-summer rains went from 70 lunchtime covers County and northern NJ. Data are from May 2008, lized.” There are numerous reasons for let up in July,allowing diners to en- (restaurant lingo for each table’s the latest period for which figures are available. Chief executives include heads of private compa- Restaurants are fuller than they the resurgence, including theories joy the eatery’s outdoor seating,Mr. tab) to between 120 and 178 since nies and public companies and heads of nonprofit have been since the recession about New Yorkers being fed up Poll says. the promotion began, says Frederic organizations; the highest-paid and lowest-paid executives were excluded when the average for the touched down last October. For with depriving themselves or sim- Neighborhood restaurants are Serol,director of operations.A new group was calculated. some, June and July brought the ply feeling more confident about faring particularly well. For exam- bar menu, initiated in June, has Source: U.S. Bureau of Labor Statistics

first glimmers of an economic re- their job security. ple, both revenue and customer See EATERIES COOKING on Page 25 istockphoto

July 27, 2009 | Crain’s New York Business | 3 20090727-NEWS--0004-NAT-CCI-CN_-- 7/24/2009 9:10 PM Page 1

largest holding at Value Trust.The business software maker’s share price last week was around $20, IN THE MARKETS versus $18 in December. Computer Associates recently added the Nasdaq market to its by Hilary Potkewitz client roster and last week reported a second-quarter revenue increase of 6% in North America and a 17% increase in its regional businesses. It’s Miller time. To Earnings were flat for the quarter, however, and Mr. Miller’s buy stocks, that is confidence in CA makes him a bit of a contrarian: Of the 14 analysts nvestment guru Bill Miller who cover the stock, only five says it’s safe to come out of the maintain a buy bushes—the bears have been rating, I according to contained. “The worst has passed in Bloomberg. the market and the economy,” Another Mr. Miller writes in his latest local favorite of Mr. Miller’s is Armonk-based International Business quarterly commentary to Machines, his fund’s 10th-largest investors.The longtime holding. IBM shares lost more than manager of the Legg 18% of their value last year, but it’s Mason Value Trust fund, a good thing he held on to the tech titan: IBM is up more than 35% best known for beating this year, to around $117 per share the S&P 500 an last week. unprecedented 15 “In the worst recession in 50 years in a row until years and the worst financial crisis since the 1930s, IBM has 2005, cites his own set continued to post record earnings,

bloomberg news of leading more than doubling operating earnings per share [and] more than indicators: Bull markets begin, he will “gradually move out in search doubling the dividend,” Mr. Miller explains, “when the economy is of better returns.” writes. “If this economy can’t hurt bottoming, profits are bottoming, While the second half of this it, it’s hard to see what can.” the Fed is stimulating and decade has not been good for Mr. As for financial stocks, he’s so valuations are low.That’s where we Miller, especially last year’s bullish on them he recently bought are now.” And he is adamant that disastrous 55% loss in his Value another 500,000 shares of Goldman “bargains abound” in the U.S. stock Trust portfolio, he’s making a case Sachs Group and acquired 200,000 market, mostly because assets in for himself this year. Value Trust additional shares of J.P. Morgan money market funds exceed assets soared 29% in the second quarter, Chase, bringing Value Trust’s in stock funds for the first time in giving it a 14% return for the year so financial-stock holdings to nearly 15 years. All that cash, he argues, far, once again clobbering the S&P 5% of total assets. (Other big New 500, up 3.2% year-to-date. How did York names in his portfolio include Mr. Miller do it? By investing in— NYSE Euronext, Time Warner Inc. and and sticking with—the tech and Eastman Kodak.) financial stocks that hammered him Mr. Miller calls financial stocks so horribly last year. “[They the “leaders off the bottom,” became] very cheap and deeply meaning they will be the first to oversold,” he writes, “and began to float when the market tide rises. rebound as it became clear that The disappearance of Bear Stearns, financial Armageddon had been Lehman Brothers, Washington avoided.” Mutual and Wachovia also mean One of those less competition for the survivors. stocks is New His favorite things about financial York City-based stocks right now? “They are under- Computer Associates, owned, widely disliked and very which, despite a 24% tumble last inexpensive on a price-to-book- year, remains Mr. Miller’s sixth- value basis.” 

RANDOM NUMBERS NUMBER OF PHONE CALLS that Bank of America’s Washington, D.C., office receives from Capitol Hill each day. This time last 10 year, the bank’s office there received two per day. PERCENTAGE DROP IN MEDIAN HOME PRICE -21 in the Hamptons (to $770,000) in the second quarter from the same period a year earlier. SECONDS’ ADVANTAGE that big brokerage’s trading desks have to act on clients’ order information. Their vast 0.03 electronic trading programs can front-run orders on the books within milliseconds, leapfrogging regular investors’ trades. NUMBER OF GOLD ROLEX WATCHES that Bernard Madoff reportedly liked to wear at once. “I gotta 2 know what time it is in my office,” was the explanation.

Sources: Bloomberg, , Prudential Douglas Elliman, Miller Samuel Inc., Madoff With the Money (Wiley).

4 | Crain’s New York Business | July 27, 2009 Project2 7/22/09 12:38 PM Page 1

Get work done Now. Push a button, get it done. It’s that simple. Connect in less than a second on the fastest national push-to-talk network. And always fi nd the right person for the job with Nextel Direct Connect,® the world’s largest push-to-talk community. 1-800-NEXTEL-9 sprint.com/nextel

The Now Network TM

Fastest claim based on initial call setup time. The Nextel National Network reaches over 274 million people. Coverage not available everywhere—see sprint.com for details. ©2009 Sprint. Sprint and the logo are trademarks of Sprint. Other marks are the property of their respective owners. 20090727-NEWS--0006-NAT-CCI-CN_-- 7/24/2009 8:42 PM Page 1

NEW YORK,NEW YORK edited by Valerie Block

smugness, wondering aloud how Will publishers go Gaga? “an outsider” like him could have ady gaga,a 23-year-old pop star and New York convinced Mr. Ravitch’s own agencies that their boss was wrong. University dropout, appears to be taking another “Obviously, he’s a bad page from her role model Madonna. negotiator,” Mr.Trump concludes. L But there’s no vendetta. No William Morris Endeavor, which represents the singer, is shopping Lady Like, a full-color book that would give Lady vendetta at all. Gaga (below)—whose real name is Stefani Germanotta—a springboard similar to Madonna’s 1992 coffee-table tome Sex. Presidential “Lady Like will combine images with lyrics, diary entries, treatment interviews, inspirations and quotes from Gaga’s heroes,” the best western President reads the proposal sent to publishers hotel is finally living up to its recently by Lady Gaga’s agent, Bill name. A $15 million renovation Clegg.“Lady Like will explode has transformed the Times Square property into a Disney-like theme THE WORLD’S LEADING with pops, bangs and winks.” hotel featuring suites named and COMPANIES ARE REDISCOVERING The proposal has been fashioned after the country’s 44 presidents. THE WORLD’S MOST FAMOUS greeted with some skepticism. “She’s dreaming,” The yearlong renovation OFFICE BUILDING will be completed in says one industry executive, September—though noting how expensive a full- the 334 guest rooms color book would be to are available now. “The most requested W&H Properties produce. But another insider room is the Obama thinks the book could work at Brendan is pleased to announce the Suite,” says the right price. “She’s McNamara, vice following transaction at president of brand everywhere,” he says. development for Mr. Clegg did not return calls. The bloomberg news Hampshire Hotels & Resorts, which owns and operates MPL takes a 25% cut of any fees. the property.“And the second- Sir Paul plays Company head Nancy Jeffries most-requested room is Nixon’s. new base says MPL is “making an effort to Everyone likes a good scandal.” FEDERAL DEPOSIT be more proactive” in promoting Hampshire began renovating INSURANCE CORPORATION back in the day, the Beatles its music as the industry goes during election mania last year famously forbade the use of through massive changes. But and wanted to tap into the their songs in commercials. some things never change, like the country’s interest in politics.The These days, former Beatle reaction around the office when hotel is decorated mainly in red Paul McCartney is making it easy Sir Paul drops by.“Yeah, we are and blue, as well as their 102,960 Square Feet to put his music in ads. His not jaded about that,” she says. combination, purple. Busts of company, MPL Music George Washington dominate the Publishing, launched a Web site decor, along with portraits of the where ad agencies can select No grudge, country’s leaders in the style of certain songs, pay for usage and says Trump Andy Warhol. download them on the spot. Other classic artists like donald trump’s open letter Contributors: Erik Engquist, Lisa Buddy Holly and Carl Perkins are criticizing Richard Ravitch’s Fickenscher, Matthew Flamm represented on the site, appointment as lieutenant mplcommunications.com. Indie governor this month prompted artists are included too, often on the Village Voice to respond with a YOU’RE NOT INVITED a nonexclusive basis, giving them zinger of its own. The lefty THE DESIGN INDUSTRIES Founda- a chance to showcase their work tabloid dredged up a series of tion Fighting AIDS has jumped without signing away their rights. 1980s fights between Dick and on the anti-event trend. Instead the Donald over tax breaks and of a gala to celebrate its 25th REINVENTING THE WORLD’S MOST lease deals, implying that Mr. anniversary, FAMOUS OFFICE BUILDING Trump’s letter was motivated by the organiza- revenge. tion sent Mr. Ravitch opposed Mr. “invitations” Trump on at least four projects— to a “non- including the Jacob K. Javits Convention Center when Mr. event” gar- Ravitch chaired the Javits den party commission, and the Grand Hyatt where in midtown when he ran the mimosas agency weighing Mr.Trump’s and Bloody request for a 40-year tax Marys “will 100% COMMISSION ON SIGNING exemption. not be But Mr.Trump tells Crain’s he served.” Supporters can “not is not seeking retribution— attend” for $10 to $20 a person, because he beat Mr. Ravitch every whole families can opt out for time. “When you win, you tend $50 to $95, and whole towns not to have a vendetta,” Mr. can stay home for $250 and up. The Empire State Building design is a trademark of ESBC. getty images Trump says with his signature

W& CN013050 7/21/09 2:18 PM Page 1

IT’S ABOUT CONFIDENCE AND TRUST

We understand that times have changed We’re fi nding solutions to deliver cost-savings for our development partners. Talk to us about your next project.

• Safe Construction Sites for All • A Strong Future • Green Building • Skilled Job Opportunities • A Better New York

Quality • Safety • Opportunity BUILDITUNION.COM

Visit builditunion.com for Your free Rebuilding New York Pin 20090727-NEWS--0008-NAT-CCI-CN_-- 7/24/2009 8:43 PM Page 1

says the stimulus figures come from federal job-creation formulas and the school statistics are valid and THE INSIDER better than when Mr.Thompson headed the Board of Education. by Erik Engquist and Daniel Massey Burn rates sizzle in advocate race Bill Thompson goes city councilman Bill de Blasio has put up some big numbers in his bid from lamb to lion for public advocate. He has raised nearly $1.3 million, about three buck ennis nly a month ago, Comptroller times as much as Mark Green and William Thompson was assuring four times more than Norman Siegel. COMPTROLLER’S RACE Mr. de Blasio collected 125,000 ONew Yorkers that although city signatures on his ballot petitions, Dissecting the debaters unemployment had surged to 9%, though only 7,500 are needed. But Gotham “continues to one number he might like to be THE FOUR CITY COUNCIL MEMBERS running to replace Comptroller William fare better than the smaller is the amount he’s spent: Thompson clashed at a Crain’s debate last week over whether they would fire $777,000. Schools Chancellor Joel Klein, cut city pensions and tax the wealthy to plug nation.” Not what one Mr. de Blasio has burned budget gaps. would expect from a through 61% of what he’s raised. Candidates Melinda Katz, John Liu, David Weprin and David Yassky mayoral candidate Only Mr. Siegel has done worse, at are all two-term, outer-borough Democratic council members backing Mr. 78%, in part because he has collect- needing to undermine a Thompson over Mayor Michael Bloomberg. Cognizant of their own ed just $286,000. Mr. Green has anonymity and the indifference of Democratic primary voters this year, all four popular incumbent, spent 53% of what he’s raised. Eric Gioia tried to break away from the pack.

buck ennis Councilman has spent the Michael Bloomberg, Mr. Liu discussed his personal story: his immigration from Taiwan at age most, $792,000, but just 31% of 5, his father’s inability to find work here commensurate with his skills, and his what he has raised. By that measure, who is waging a $10 million-a- Mr.Thompson’s office will play a Mr. Gioia has been the most frugal. mother’s job in a “sweatshop,” where Mr. Liu himself toiled at age 7. Unlike month campaign. role in the mayoral race. “It’s the job Mr. Gioia has been running his rivals, he said city pension funds should be more conservatively invested. But a more assertive Mr. of the comptroller’s office to take a from one house party to the next “We have to go back to safety” rather than “take big risks on distressed Thompson has finally emerged. hard look at things,” says for two years, saving cash so it can properties,” Mr. Liu said. Last week, he released a report Democratic consultant Michael be spent on voter outreach. Mr. Moments earlier, Ms. Katz had called buying distressed assets a “proven” discrediting the mayor’s rosy school Tobman. “That doesn’t stop in a Green—who only entered the race strategy. She called for increasing income taxes by $1,400 on those earning statistics and called for the firing of campaign year, but everything takes in January—has relied on celebrity- $250,000. But she was the only candidate who refused to say whether Mr. Chancellor Joel Klein. That came on on a much more political tone.” hosted fundraisers at pricey venues. Klein should be fired. An audience member taking notes said it was often the heels of Mr.Thompson’s devas- Mr. Thompson’s office also difficult to pin down Ms. Katz’s positions. tating report on unemployment in accused the mayor of exaggerating Mr. Yassky raised some eyebrows by saying more pension money should the city, up 167% among African- stimulus job figures and criticized The Empire State go to alternative investments, despite their “disastrous” results for Harvard’s Americans. His campaign declared 4% annual raises for staff at City in state of decline and Yale’s endowments. But he was the only candidate to endorse a rule that that Bloomberg’s policies “have Hall. A spokesman says the comp- stops the city from refinancing debt for short-term payoffs at the expense of failed New York’s working families.” troller regularly issues such reports. in the first three months of future taxpayers. And he was the most pessimistic in his assessment of the The two reports made clear that The Bloomberg administration 2009, New York state suffered the condition of the city’s budget, which was balanced this year with the aid of leftover surplus and federal stimulus money that will soon disappear. Mr. Weprin was the most aggressive, calling Mr. Yassky “disingenuous” for doling out discretionary city funds as a councilman while criticizing the Special introductory practice. He also called for a 1% commuter tax to shore up the city budget. rate for Crain’s readers: Mr. Weprin said, “My entire professional career has been geared for this particular office.” But he trotted out the line, “I was elected by my council $ MONTH FOR 3 MONTHS* colleagues to chair the council Finance Committee”—an outcome arranged by Small price. 99 the Queens Democratic machine in the 2001 deal to make Gifford Miller Big presence. council speaker. Raise your business profi le, not nation’s largest decline in personal arranged, the official says. income tax withholding, according to a Mr. Cuomo has prepared for the your overhead, with a Virtual Rockefeller Institute study.The race by fundraising and campaign- Offi ce from Regus. 16.5% drop from the same period ing for government reform, but he in 2008 was approached only by the has made it clear he will not run as declines in Louisiana, down 14.7%, an insurgent, which he did with and Arizona, down 13.4%. disastrous results in 2002. California, down 11.1%, and New Jersey, off 10.3%, rounded out the bottom five.The falloff nationwide Minimum wage was 8%. adjustments the federal minimum wage rose With Regus you get: What to do to $7.25 an hour last week, about David boosting the rate by 10 cents.The A high-profi le corporate business change affects 123,000 workers in address to use as your own organized labor’s lack of New York state. State Department Professional receptionist services confidence in Gov. , of Labor officials, anticipating Access to a fully furnished private offi ce which dates back to mid-2008, is minimum-wage violations from reflected among Democratic companies unaware of the change, The support of a global network — leaders, a high-ranking party are working through ethnic media with 1,000 locations worldwide official says. to inform workers and employers. Long-expected discussions A Business Council of New York Call 1-877-REGUS95 (734-8795) about whether the party should State spokesman says the group has find another gubernatorial been telling its members. New or visit regus.com/crains today. candidate—presumably Attorney York’s last hourly hike, an increase General Andrew Cuomo—are being of 40 cents, took effect in 2007. I 1000 locations | 450 cities | 75 countries For daily political and government news, subscribe to *Terms and conditions apply. See regus.com/crains for details. CRAIN’S INSIDER @ www.crainsnewyork.com/insider

8 | Crain’s New York Business | July 27, 2009 Project2 7/22/09 12:37 PM Page 1

SMART WAYS Get Online, Not In Line TO USE LESS See and pay your bills online. Save time, 78 Is Great paper, postage and Set your air conditioner trees. Go green with no lower than 78 degrees. e*bill. Sign up at Lower settings can conEd.com/ebill. increase your cooling costs by up to 40%.

Timing Is Everything Open windows in the morning and evening to cross-ventilate when temperatures are cooler.

We Can Do It Stay Safe Together, Americans If you smell gas, leave saved about $19 billion the area at once, and on their utility bills in call 1-800-75-CONED. 2008 with the help of Don’t light matches or Energy Star products use any electrical device. and programs.

Visit conEd.com for 100+ tips to go green and save green. Find us on Facebook at Power of Green.

©2009 Consolidated Edison Company of New York, Inc. Ad: Arnell 20090727-NEWS--0010,0011-NAT-CCI-CN_-- 7/23/2009 8:16 PM Page 1

OPINIONS

Agenda to fix dysfunctional Albany—now

THE STATE’S LEGISLATORS HAVE DECAMPED FROM ALBANY, after infuriating New Yorkers by spending tenant governor gives us a state offi- Kathryn Wylde weeks on political squabbles while ignoring the issues that matter as the state’s economy deteriorates. cial who is uniquely capable of lead- is president and Crain’s asked three civic leaders and one political consultant what needs to be done now ing such an effort. But Mr. Ravitch chief executive to fix the mess in Albany. Here are their ideas. is hostage to the same contentious of the Partner- politics that have disrupted New ship for New York City school governance and York City. continue to drift, with job creation derailed efforts to deal constructive- Craft statewide force to spur coming from sectors that rely on ly with the state’s fiscal and econom- public spending—health, educa- ic crises. jobs, new kinds of businesses tion, public construction and gov- If fractious politics continue, ernment bureaucracy—while the New York will see further erosion of tax revenues needed to support its manufacturing, agricultural and BY KATHRYN WYLDE these sectors evaporate. service sectors and zero growth in tions and banks are looking to bring What should happen next in Al- technology-enabled emerging in- home as the cost advantages of run- rom a business perspective, nothing could be bany is a coming together of leaders dustries. There will be no resources ning these operations overseas di- worse during this period of economic uncertain- from the public and private sectors, to support education and research. minish. Offer a combination of tax business and labor, to forge a long- New York will be left out of the in- credits,low-cost power,and creative ty than the chaos and instability that have charac- term plan for economic recovery novation economy. partnerships with universities and terized New York state government during the past and growth. This plan should be Components of an economic community colleges. two years. statewide in scope, while reflecting plan are easy to identify: New York state is rich in assets: a G As things stand,there is every chance that the state Senate will the unique assets and opportunities Replace failed Empire Zones deep and diverse talent pool; many F of each region. with a program aimed at building ad- of the world’s leading business and be paralyzed by partisan rivalries right up to the 2010 election, Gov. David Paterson’s appoint- vanced industry clusters offering financial firms; outstanding aca- and perhaps beyond.In the interim,the New York economy will ment of Richard Ravitch as lieu- high-paying jobs in every part of the demic,research and cultural institu- state. tions; and much more. In the past, G Help entrepreneurs start and the richness of our resources has al- build businesses in these clusters lowed New Yorkers to tolerate some through expanded access to capital, sloppy stewardship in state govern- more favorable regulation and tar- ment. What comes next in Albany geted state procurement policies. will, hopefully, reflect a recognition G Capture research and business- that New York no longer has that support operations that corpora- luxury.

Bolster budget: Pare spending, reform pensions, protect MTA

BY CAROL KELLERMANN tate legislators have left Albany for summer recess, but—as was the case last year—they will have to return very soon to deal with the budget shortfall.The current revenue projections are simply not holding up. It appears that in the first quarter of this fiscal year S(April through June),tax receipts fell approximately 8% short of expectations. If this continues, the current-year budget gap could be $3 billion.

Legislators will need to tackle Carol Kellermann this crisis. When they reconvene, is president of the three imperatives need to be ad- Citizens Budget dressed immediately. Commission. G Cut spending. New York’s Medicaid program, which spends 79% more per beneficiary than the national average, is simply unsus- tainable.Equally unaffordable is the $600 million in school aid that New York continues to send to the wealthiest school districts in the state. Spending in both areas needs ture employees. The Legislature to be reformed. The recommen- should adopt this plan immediately dations made by the Citizens Bud- to begin providing fiscal relief. And get Commission are available at the new package should apply not www.cbcny.org. just to civilian employees but to po- G Reform pension benefits for lice and firefighters as well. new public employees. Investment G Secure the future of the MTA. losses in pension funds, combined The Metropolitan Transportation with overly generous benefits, are Authority is a critical economic- rapidly producing a pension crisis development asset for New York for state and local governments. state. Awash in debt and facing siz- Two of the state’s major public- able budget gaps, the MTA is in employee unions recently agreed to jeopardy. It needs to be put on a a less costly but still comprehensive firmer fiscal footing, instead of package of pension benefits for fu- lurching from one year to another.

10 | Crain’s New York Business | July 27, 2009 20090727-NEWS--0010,0011-NAT-CCI-CN_-- 7/23/2009 8:16 PM Page 2

OPINIONS

In exchange, legislators feel Stop gerrymandering safe compelled to support the political agendas of the leaders who protect seats, so incumbents engage them, strengthening the power of two of the three men in a room. What New Yorkers get in return BY DICK DADEY are lawmakers who do not engage in important public-policy debates he roots of the partisan chaos that gripped during campaigns because they sim- our state capital for 31 days and threw the state Sen- ply do not have to. Even if voters ate into gridlock lay not with the doling out of want to remove them from office— a course of action gaining greater member items and the other perks of majority rule, support,according to a recent poll— but rather with the political decision in 2002 to in- that is unlikely to happen, given the crease the size of the Senate from an odd-numbered 61 to an protection provided by the safe seats. T The solution is simple: Reform, even-numbered 62. not revenge, should guide how fu- Republicans were concerned that adding a Senate district to ture lines are drawn. Take the re- sponsibility for drawing district New York City—because of a pop- lines away from the Legislature,and ulation shift recorded in the 2002 Dick Dadey is instead place it in the hands of a census—would result in the loss of a executive director of nonpartisan independent redistrict- Republican-leaning district in up- Citizens Union. ing commission, whose plan would state New York.This loss was avoid- be subject to legislative approval. ed when the Senate increased its Fairly drawn districts would size. Meanwhile, though, Demo- force candidates to compete for vot- crats in the Assembly were able to ers outside of safe core constituen- draw lines that decreased Republi- cies. Increased public debate on is- can strength upstate and increased sues hopefully would reduce voter Audit Tax Advisory Democratic strength downstate. apathy and encourage more New So the primary cause of Albany’s Yorkers to vote. This would bring dysfunction can be traced to the de- lows legislators to essentially choose much-needed accountability to cennial practice of redrawing the their voters before the voters choose state government. Steve Mayer CPA state’s legislative districts to protect them. Legislative leaders promise Gov. David Paterson, Attorney 212.682.1600 incumbents, in an implicit agree- their incumbent colleagues safe General Andrew Cuomo and for- www.amper.com ment between the Democrat-con- seats in which they are well-protect- mer New York City Mayor Rudy trolled Assembly and what was a ed from the threat of a seriously Giuliani all support this approach, Republican-controlled Senate not competitive opponent. This is the providing hope that when the lines to challenge each other’s drawing of main reason why the re-election rate are drawn for 2012, partisan gerry- the lines. of incumbents is astonishingly mandering will end and lasting re- This partisan gerrymandering al- high—more than 90%. form will occur in Albany.

Joseph Mercurio Use fair districting, financing is a political con- sultant on the to create real political contests board of the American Asso- ciation of Politi- cal Consultants’ BY JOSEPH MERCURIO Mid-Atlantic Chapter. hree-quarters of voters are angry with the state Senate, and two-thirds say they will remem- ber this on Election Day. Unfortunately, remem- bering is about all that voters will do when it comes out a block, a building or an election to all but a handful of mostly open seats, because district that is favorable to one side. the New York process generates few real races in the primaries Second, even as campaign dona- T tions have been capped, communi- or the general elections. cating with voters has become much We have developed a systemic culture of preventing real more expensive. Competition would be spurred by a new cam- contested elections.Legislators here and created transparency in cam- paign finance law that would allow are accountable to each other, their paign spending and donation limits, enough spending to permit candi- party or caucus leaders, and the but other developments have over- dates to communicate—a point on leadership of large special interests, whelmed these reforms. which the city rules fall short. The but not to the voters in their own Computerized targeting to draw law should also offer matching districts. legislative lines has taken gerryman- funds for small donations. Not since Herbert Lehman and dering to new levels, protecting in- Transparency, together with Eleanor Roosevelt began the reform cumbents. We need nonpartisan broad communication of ideas, will movement has the state of affairs reappointment that draws districts improve governance. These two been so appalling.We have institut- compactly while keeping communi- changes should be on everyone’s top ed primaries,reformed ballot access, ties together—without moving in or 10 list of government reforms.

Inside Politics FOLLOW THE INS AND OUTS of New York’s dysfunctional politics on The Insider page of the weekly print edition, or subscribe to the daily Insider at CRAINSNEWYORK.COM/INSIDER

July 27, 2009 | Crain’s New York Business | 11 CPA-1011 LeasingAdCrains4x7.indd 1 7/6/09 10:35:53 AM 20090727-NEWS--0012-NAT-CCI-CN_-- 7/24/2009 3:12 PM Page 1

VIEWPOINT The governor takes on Larry editor in chief Rance Crain publisher, vp Jill R. Kaplan ov. david paterson waded into the time before the financial crisis, he would have secured editorial director Greg David World Trade Center controversy last financing on favorable terms. EDITORIAL week, taking direct charge of The city has taken Mr. Silverstein’s side, something it has editor Xana Antunes managing editor Glenn Coleman negotiations with developer Larry never done in past disputes at the site, because it sincerely deputy managing editors Valerie Block, Silverstein over how to break the believes that more modern office space is needed and Erik Ipsen contributing editor impasse at the site. However, he did not because it is worried that continued inaction reflects poorly Elizabeth MacBride do so as a neutral arbitrator. Instead, he on a mayor running for re-election.To support its decision, columnist Alair Townsend senior reporters Theresa Agovino, sided directly with his appointees at the Port Authority by the city has produced an analysis suggesting the Port can Aaron Elstein, Erik Engquist, Lisa Fickenscher, saying more public money should not be used to build finance the second Matthew Flamm, Miriam Kreinin Souccar G reporters Barbara Benson, Amanda Fung, speculative office space and if Mr. Silverstein wants to do Paterson badly tower with only a Daniel Massey, Adrianne Pasquarelli, that, he should put up the necessary funds. modest additional Hilary Potkewitz art director Steven Krupinski Mr. Paterson’s position is the correct one.The question needs a victory commitment. deputy art directors Carolyn McClain, now is whether this weakened governor has any hope of Unfortunately, the Daniel Mednick to boost his staff photographer Buck Ennis making his views stick. city has made two copy desk chief Wendy Zuckerman Consider what Mr. Paterson faces. The Port says it will poll ratings errors. Fundamentally, copy editor Thaddeus Rutkowski research editor Denise Southwood help Mr. Silverstein build one office tower on the site its financial analysis www.crainsnewyork.com because it and the city will be the anchor tenants. A misses the point: Public web editor Brian Tracey senior producer Elisabeth Butler Cordova second tower is foolish, it argues, given the downturn in money should not be producer Kira Bindrim

the city economy, the uncertainty about the financial used to build spec office EDITORIAL AND ADVERTISING OFFICES tenants who are its primary target, and the fact that the space; private money should.Tactically, its decision to 711 Third Ave., New York, NY 10017-5806 Port would have to cancel other crucial infrastructure support Mr. Silverstein has made him less willing to editorial: 212.210.0277 Fax 212.210.0799 advertising: 212.210.0259 plans to finance it. compromise, not more, a result it should have foreseen. Cable craincom nyk Mr. Silverstein says the Port Authority is a worrywart. By Make no mistake: Mr. Paterson badly needs a victory to Fax 212.210.0499 Entire contents ©copyright 2009 Crain the time the buildings open in the middle of the next decade, boost his dismal poll ratings. Given what he has said, the Communications Inc. All rights reserved. ®CityBusiness is a registered trademark of MCP the economy will be thriving. Anyway, the delay is the Port only way for him to achieve that is to stick to his guns and Inc., used under license agreement. Authority’s fault because its incompetence held up the have Mr. Silverstein build one tower with government help TO SUBSCRIBE: construction timetable. If the Port had delivered the site on and the second one on his own dime. Call 888.909.9111; fax 313.446.6777. $3.00 a copy, $59.79 one year, $109.79 two years. www.crainsnewyork.com

ADVERTISING AND MARKETING LETTERS TO THE EDITOR advertising director Trish Henry senior account managers Cornelius P. Gore, Courtney McCombs, William E. Squitieri account executives Irene Irvill, Anthony Mowad Pedaling away from the recession sales manager, classified print & online John Gallagher sales coordinator, print & online BICYCLES: LOW-COST heating in the winter and hours of When the asset-based lenders and business user. Lulé Haznedari ALTERNATIVE operation! factors say no, where does a small If a sales order is very profitable, newsletter product manager Rising dues plus shrinking business owner go? Purchase order the extra costs and fees in PF/LC Alexis Barney cycling is another great option benefits equals member attrition! financing and letters of credit. still enable a business owner to credit Todd J. Masura 313.446.6097 for exercise that’s not only free but —martino perez While these tools are perceived generate decent income. Often, the marketing director Amy Crossman marketing manager Jill H. Bottomley potentially money-saving when as expensive, they may be the only money that a PF/LC provides in a circulation manager Andrea Richardson bike commuting replaces transit or OTHER NONBANK option.They provide immediate transaction will allow an asset- assistant circulation manager car expenses (“Running away from FINANCING TOOLS cash so that a business owner can based lender or factor to approve a Rosalie Ford recession,’’ July 13). pay for goods manufactured, business owner they have general manager, interactive Indeed, the number of bike crain’s story “Tips for finding shipped, imported, etc. It is money previously turned down. Marc Minardo commuters in the city surged some financing when banks say no” for the transition between when —richard eitelberg, cpa web developer, interactive 35% from 2007 to 2008. Bike New ( July 13) leaves out an important the inventory is ordered and when President Chris O’Donnell York’s rides and classes in topics aspect of alternative lending. it is delivered to a retailer or end Hartsko Financial Services such as traffic skills and bike NEW YORK PRODUCTION maintenance are also booming and production and pre-press director will help ensure that more New CRAIN’S ONLINE POLL Michael Corsi advertising production manager Yorkers experience the health, Suzanne Fleischman Wies economic, social and environment- What Will Come First: Second Avenue Subway, WTC al benefits of cycling long after PUBLISHED BY CRAIN COMMUNICATIONS INC. they weather the recession. or Another Lunar Landing? chairman Keith E. Crain —hannah borgeson 319 votes president Rance Crain secretary Merrilee Crain Date of poll: July 22 Ground Zero. The various public and treasurer Mary Kay Crain GYM PRICES private players have no executive vp, operations William Morrow ITSELF OUT 38% senior vp, group publisher Gloria Scoby Another lunar landing. . choice but to settle their differences. group vp, technology, circulation, unlike some of the people in the NASA has its big- .48% manufacturing Robert C. Adams Crain’s story, I didn’t quit my budget bureaucratic vice president/production & act together better Second Avenue pricey gym because of any manufacturing David Kamis than our local subway. Yes, it’s chief information officer Paul Dalpiaz “crunch.” I quit because the pricey governments ever will. huge, but in the end 14% corporate circulation director gym was no longer worth the extra . it’s simply a matter Patrick Sheposh money. While I was loyally and of dogged digging. founder G.D. Crain Jr. (1885-1973)

regularly shelling out over $100 in istockphoto chairman Mrs. G.D. Crain Jr. (1911-1996) monthly dues to my gym, the gym cut back on maintenance staff, air For this week’s questions: Go to www.crainsnewyork.com/poll to have your say. conditioning in the summer,

12 | Crain’s New York Business | July 27, 2009 Project5 7/21/09 11:53 AM Page 1

If it fits, it ships* for a low flat rate.

It’s simple. There’s no need to weigh anything under 70 lbs. • Four sizes for you to choose from, starting at $4.95. If it fits, it ships® anywhere in the country for a low flat rate. • When you’re ready to ship, we’ll pick them up for free.† Get free Priority Mail® Flat Rate Boxes plus up to $160 in offers** at prioritymail.com/field or call 1-877-996-8777

* For mailable items up to 70 lbs. Visit usps.com for details. † For complete details on Free Package Pickup, visit usps.com ** Valid for one customer per address, ends 11/15/2009 and only available while supplies last. Offers are solely the responsibility of authorized postage vendors. ©2009 United States Postal Service. The Eagle logo, the trade dress of USPS shipping boxes, and letter carrier uniform are among the many registered trademarks of the U.S. Postal Service. 20090727-NEWS--0014-NAT-CCI-CN_-- 7/23/2009 7:50 PM Page 1

NEIGHBORHOOD JOURNAL One-stop shopping in Hunts Point gets heady meaning

a major coup for Hunts Manhattan Beer expands in the Bronx Point,” says Josephine Infante,president of the he produce, meat and ough this year, Manhattan Hunts Point Economic fish markets at Hunts Beer Distributors paid $20 Development Corp. “It Point in the Bronx are million in May for a fits in well here with Manhattan Beer truck getting a refreshing new sprawling warehouse on all the wholesale cus- neighbor. In the largest Leggett Avenue. tomers coming in for Treal estate transaction in the bor- “Getting Manhattan Beer here is meat or fish.” Local industry watchers expect that restaurants and specialty stores coming to pick up fish or produce may well become new customers. “Hunts Point is now a one-stop shop for these guys,”says Neil Paris- er, senior vice president of SoBro, the economic development corpo- ration that covers the South Bronx. The distributor’s arrival will also bring more jobs. Manhattan Beer, which is based in the nearby Port Morris section of the Bronx,plans to Experiencing is believing. pour $3 million into renovating the warehouse.The project will create as many as 25 construction jobs. Once ® renovations are completed next year, Visit Windows Mobile Demo Days and learn how to take your business about 100 employees will work in the new Hunts Point facility. mobile with America’s Largest and Most Reliable 3G Network. It is also being hailed for some- thing that it won’t be bringing to the A Verizon Wireless Small Business Specialist and Windows Mobile Consultants from Microsoft® will teach you different area: excess pollution. In a neigh- methods for managing your business on the go. You’ll get a hands-on demo and learn how to send and receive emails, borhood already choked with heavy truck traffic, Manhattan Beer plans download documents, surf the Web and more with Windows Mobile on a Verizon Wireless smartphone. to minimize its environmental im- pact by making the new building “as green as possible,” according to Chief Executive Simon Bergson. HTC Ozone™ The company is known for its fleet Exclusively at Verizon Wireless of low-emission, natural-gas-pow- ered trucks. In addition, 70% of its • Customize your home screen to quickly access products come in via rail. important information The warehouse’s proximity to major transportation links—it is un- • View and edit documents with Microsoft Office Mobile der the Bruckner Expressway, adja- • Place calls globally in over 220 destinations worldwide; cent to a rail yard and a short distance access email and browse the Internet in over 175 destinations from two major bridges—made it a rare find, says Steven Kornspun, ex- • Find your way to appointments when you add VZ NavigatorSM ecutive director of NAI Friedland • Improve your time management by adding Visual Voicemail Realty, which represented the dis- and Mobile IM tributor in the deal.The prime loca- tion also drew other bidders. “Large buildings like that don’t Now Only become available—at competitive prices—in our market,” says Mr. $119.99 2-yr. price – $70 mail-in rebate Kornspun. “We had to act quickly; $ 99 debit card. Requires new 2-yr. activation 49 on voice plan with email feature or plan. there was some competition.” The New York City Economic Development Corp., among others, was eyeballing the property as a pos- sible site for companies the agency is trying to relocate from the Willets Don’t miss our Windows Mobile Point section of Queens. The agency is trying to move a dozen demonstrations in your area. firms there to make way for a hotel- residential- development. Ironically, another city agency— the Industrial Development Agen- Get the right tools for yourur small businbusiness.esse . cy—was already working with Manhattan Beer. It will grant the company more than $9 million in tax exemptions for expanding in the To find the Demo Day location nearest you, call your local Verizon Wireless sstoretore Bronx. Manhattan Beer distributes or visit verizonwireless.com/wirelessworkshops everything from Keystone to Coro- na beer, as well as several bottled Activation fee/line: $35. waters, from five local warehouses. IMPORTANT CONSUMER INFORMATION: Subject to Customer Agmt, Calling Plan, rebate form and credit approval. Up to $175 early termination fee/line and ototherher chcharges.arges. DeDevicevice ccapabilities:apabilities: AdAdd’ld’l chchargesarges appapapply.ly. OfOffersferf ssa aandndd covcoverage,eragege, The company serves approximate- varying by service, not available everywhere. Rebate debit card takes up to 6 weeks & expires in 12 months. Limited-time offer. While supplies last. Shipping chargesrges mamayy aapply.pply. NetNetworkwork ddetailsetails & covcoverageerage mapmapss aatt vverizonwireless.com.erizonwireless.com. ly 24,000 metro area stores and © 2009 Verizon Wireless. 9089590895 restaurants. —hilary potkewitz

14 | Crain’s New York Business | July 27, 2009 20090727-NEWS--0015-NAT-CCI-CN_-- 7/23/2009 6:15 PM Page 1

REAL ESTATE INSIDE Top office leasing deals in Manhattan in the first half PAGE 18 Top property sales in New York City in the first half PAGE 20 Big deals this year versus last PAGE 21 Bank woes wilt Park Ave. rents Landlords, tenants compete as sublease space mushrooms

BY THERESA AGOVINO WHEN ROBERT TUCKER DECIDED to consolidate his security firm’s two Manhattan offices earlier this year, his ambitions were simple: He wanted space close to Grand Central Terminal, and he didn’t want to pay a lot for it. In the end, he found exactly what he was looking for on Park Avenue, right next to one of his current offices at 230 Park. Not only will the deal save on moving expenses, but the space itself was among the cheapest Mr.Tucker saw. “The deal had nothing to do with the prestige of Park Avenue,” says the chief executive of T&M Protection

Resources Inc. “It just made sense.” square feet—a 144% jump over Welcome to the new Park Av- year-earlier levels, according to enue, the storied boulevard once Cushman & Wakefield Inc.As a re- synonymous with high rents and a sult, the Park Avenue cachet that wealth of prestigious financial ten- previously came with champagne ants and now associated with tough prices is now available for the price times and good deals. Hit hard by of a decent Chardonnay. Average the financial crisis, banks ranging rents for Class A space have plum- from Citigroup and J.P. Morgan meted 32%, to $75.88 a square foot, Chase to UBS and Legg Mason over the 12 months ended in June, have dumped blocks of space onto according to Cushman. STILL CONFIDENT: Dennis Friedrich says Brookfield an already soft market, sending Some brokers swear they see a Properties won’t lower rents into a swoon. bright side. rents to sublease rates In the past 12 months, 1.6 mil- “There’s always a flight to quali- at 245 Park Ave. lion square feet of prime office space ty when the market picks up, and has hit the market, bringing the to- Park Avenue is well-positioned to

buck ennis tal amount available to 2.7 million See BANK WOES on Page 16 Small retailers find opportunity in softening market

15-year lease and plans to open his with most big chains and banks re- With vacancies Pine Gourmet Café in the space lat- trenching,landlords are casting a far SILVER LINING rising and big chains er this summer. more desirous eye on small busi- “The independents that have cash nesses looking for a first home,seek- Rent decreases allow independent retailers to take prime locations. sidelined, local stores to expand are getting more opportu- ing expansion space, or just hoping MAJOR CHANGE AVG. ASKING nities to grab the better locations that to be able to stay where they are RETAIL FROM RENT PER SQ. FT. pick up bargains were out of reach in the past,” says when their leases expire. NEIGHBORHOODS FALL 2008 SPRING 2009 Craig Slosberg, the Newmark West Side -22% $116 BY ADRIANNE PASQUARELLI More inclusive Knight Frank Retail senior manag- Midtown south -14% $96 ing director involved with the deal. “for a while landlords said,‘If it’s this spring, grocer Bobby Multani In fact,Mr.Multani is just one of not a national tenant,I’m not inter- Downtown -13% $95 was ready to pounce when national many small retailers and restaura- ested,’ ” says Ariel Schuster, execu- Upper Manhattan -13% $52 sandwich chain Così vacated its teurs finding—and seizing—the tive vice president at Robert K. East Side -12% $168 2,000-square-foot downtown space silver lining in today’s radically al- Futterman & Associates. “It’s now on Pine Street. The $98-a-square- tered real estate market. With retail more of an open mind.” Midtown -6% $152 foot asking price was too good to rents down dramatically in many That shift comes as retail rents Source: Real Estate Board of New York’s Retail Report

pass up.The grocer quickly signed a neighborhoods and still falling, and See SOFTER MARKET on Page 17 istockphoto

July 27, 2009 | Crain’s New York Business | 15 20090727-NEWS--0016-NAT-CCI-CN_-- 7/24/2009 3:11 PM Page 1

REPORT REAL ESTATE

SUBLEASE Bank woes wilt Park Ave. rents HEAVEN: Park Avenue office space is available Continued from Page 15 at big discounts. take advantage of that,” says Peter Turchin, an executive vice president PARK AVENUE HIGHS AND LOWS at CB Richard Ellis Inc. Direct Sublease Overall Available In the absence of such a rebound, asking rents asking rents asking rents sublease space though,Park Avenue’s landlords are (per square foot) (per square foot) (per square foot) (square feet) battling not just a dearth of compa- 1Q 2008 $117.55 $115.59 $116.94 277,159 nies shopping for space but compe- tition from their own tenants trying 2Q 2008 $123.75 $95.27 $111.65 467,000 to sublease their excess acreage. 3Q 2008 $117.07 $95.32 $108.24 556,000 While landlords are asking an aver- 4Q 2008 $117.55 $81.23 $101.44 711,000 age of $84.07 per square foot, sub- lease space is going for an average of 1Q 2009 $102.52 $71.84 $89.18 993,000 $65.59—a 22% discount, according 2Q 2009 $84.07 $65.59 $75.88 1.1 million to Cushman. Even worse for build- Source: Cushman & Wakefield Inc. ing owners, some blocks of sublease buck ennis space are on the market at $50 per square foot. little capital expense,” says Joel “If it is a good tenant that we large, open floors that were pre- Global Holdings didn’t return a Wechsler, an executive managing want, we’ll roll up our sleeves and ferred by huge banks like Bear call, and Cushman, which is mar- Lots of space director at Grubb & Ellis, who rep- make a deal,” he says. Stearns and Lehman Brothers. keting the building, declined to for example, sources say that resented the tenant. Similarly, at 245 Park Ave., sub- Nowhere are the challenges comment. Properties Inc. has about Having lowered their rents sig- lease space is also available for $50 a clearer than at 120 Park, the former Despite its current vacancies,Park 200,000 square feet of sublease nificantly in recent months, many square foot, but owner Brookfield home of Marlboro-maker Altria, Avenue is unlikely to become a bar- space at 399 Park Ave., while Stahl landlords insist that they would now Properties insists it has no intention which today leases only about gain basement, largely because many Real Estate Co. is saddled with rather wait for the market to turn of matching that price. 100,000 square feet there. After of the prime buildings are owned by about 395,000 square feet at its tow- around than further cut their rates to “We’re not going that low,” says more than a year of marketing, no some of the industry’s strongest play- er at 277 Park Ave. match sublease prices. Dennis Friedrich,Brookfield’s chief takers have emerged for the other ers.The Rudin Family,Boston Prop- Some of the sublease space of- Rudin Management Co., for ex- executive of U.S. commercial oper- 440,000 square feet in the building, erties and Brookfield Properties can fered by financial institutions is be- ample, has cut rents at 345 Park ations, noting that the sublease which was purchased by Global afford to wait out the storm. ing gobbled up by their brethren. Ave., which it has owned for 40 would expire in 2013 and most ten- Holdings Inc. The building is a And trophy buildings are still Stifel Nicolaus & Co.leased space at years,by nearly 30%,to $70 a square ants don’t want such a short-term tougher sell because it is on the less commanding impressive rates. 237 Park Ave. from J.P. Morgan foot. As of next year, about 300,000 deal. He adds that the building has desirable part of the avenue—south Sources say financial firm Avivia re- Chase, for instance. square feet will be available in the relatively small floor plates that can of Grand Central. cently signed a lease for around $100 An added bonus:Build-out costs 44-story tower. But company Presi- be easily divided, so the company a square foot in RFR Holding’s Sea- were minimal because the space dent William Rudin doesn’t think is considering prebuilding office Didn’t move fast enough gram Building—a rare accomplish- came complete with a high-end of- he’ll have to go much lower to lease suites. Such units are what’s renting brokers say the real problem is that ment for a landlord in this market. fice installation. it, even though he knows the block in this environment. the owner neglected to drop rents “It’s the crème de la crème of “Being near Grand Central was a houses options at $50 a square foot. Other owners on Park Avenue quickly or steeply enough from the office buildings,” says Alexander focal point for [Stifel Nicolaus],and Nonetheless, he leaves the door are not so lucky. Many buildings in roughly $110 a square foot asked last Chudnoff, an executive director at we could get them there with very open to negotiations. the neighborhood feature the very year at this time. Cushman.  Producer stirs plot

Continued from Page 2 10% of investors’money,Mr.Daven- The 36-year-old lifelong theater port fired the staffer. He set about lover has the credentials to back up finding ways to keep the show alive, his rants.After managing numerous like moving advertising in-house and big-name musicals on Broadway, even having the spotlight operator like Thoroughly Modern Millie,he sell T-shirts.Those and other efforts started producing off-Broadway. cut weekly operating expenses in With Altar Boyz, The Awesome 80s half, to $40,000, and the show be- Promand My First Time now up,he’s came profitable in two years. the only independent producer to “His ability to continue to look at have three shows running simulta- a problem and find a solution is ex- neously off-Broadway. emplary,” says Beverley Mac Keen, executive director of New World Good investments Stages.“He doesn’t shy away from re- this year, he stepped onto the big ality; he addresses things head-on.” stage as a producer of four Broadway His public airing of the indus- shows—13, Speed-the-Plow, You’re try’s dirty laundry doesn’t always sit Welcome America: A Final Night well with people engaged in the With George Bush and Blithe Spirit. world of make-believe, however. His productions on and off Broad- Mr. Davenport’s blog, The Produc- way have grossed more than $100 er’s Perspective, is becoming nearly million worldwide and are being as talked about in theater circles as produced in 25 countries. To date, Michael Riedel’s snarky theater six out of seven of Mr. Davenport’s gossip column in the New York Post. shows have recouped their original Tim Levy, a producer at Robert investment. In fact, had investors Boyett Theatricals who worked put $10,000 into each of his shows, with Mr. Davenport on 13—the they would have gotten a 40% return only flop—admits he was nervous on their money in four years,he says. about the blog at first.“In the begin- Mr. Davenport credits his success ning, I wondered, ‘How much of to his obsessive personality—“I am a what’s going on behind closed doors control freak,” he admits—and his on a production is going to come willingness to try new things. When out on his blog?’ ” Mr. Levy says. an employee suggested he close the “But really what he does is distill the money-losing Alter Boyz after 10 lessons learned and what he’s going months and return the remaining through.” 

16 | Crain’s New York Business | July 27, 2009 20090727-NEWS--0017-NAT-CCI-CN_-- 7/23/2009 6:16 PM Page 1

REPORT REAL ESTATE

Fashion Center recently signed a lease on Flatbush Avenue in Brook- Softer market opens door for small retailers lyn for its second location.The deal was completed at a hair under $41 a square foot, almost 20% less than Continued from Page 15 “The rents have everything to do lease last month after national chains fallen 30% on average, upscale what a landlord would have asked have dropped 11% between fall 2008 with our expansion,” says Mr. bidding on the space dropped out. women’s apparel designer Gary two years ago. and spring 2009 in the city, accord- Schwartz. “Normally this would be The new rent is also about 25% less Graham recently got a great deal. Along with cut-rate rents, some ing to the Real Estate Board of New a terrible time to expand.” than what the landlord would have Mr. Graham, who runs a boutique property owners are offering special York. Some New York neighbor- Similarly, small longtime tenants asked a year ago, according to RKF’s within ABC Carpet & Home, deals, such as several months of free hoods, though, have seen drops of as who had dreaded the expiration of Mr. Schuster, who brokered the deal. signed a deal for his first freestand- occupancy and early-termination much as 50%. Additionally, Man- their leases for years are now finding ing store, on Franklin Street, at a clauses, which allow tenants to test hattan’s vacancies are on the rise— they have a better chance of landing a National tenants out rent near $63 a square foot. That a given location. reaching 12.4% in the second quar- renewal at a price they can actually af- “we had a bunch of bites from compares with the $80-a-square- “[Landlords] are more focused ter, the highest quarterly increase ford. After 15 years on lower Broad- national tenants, but they all pulled foot asking price a year ago. on a solid tenant than on top dollar,” since 2001, according to data com- way in TriBeCa,clothing retailer An- back,” Mr. Schuster says. The picture is much the same says David Barreto,a retail broker at piled by Faith Hope Consolo, chair- tique Orange was able to renew its In TriBeCa, where rents have outside of Manhattan. The Kid’s Cast Iron Real Estate.  man of the retail division of Pruden- tial Douglas Elliman Real Estate. “Small tenants have an opportu- nity to get back into the higher-rent areas now,where they didn’t before,” says Roxanne Betesh, senior man- aging director at Sinvin Realty. The rub is that in many areas, rents have yet to fall to what most small tenants would describe as af- fordable.Mihee Coe,owner of hand- bag store Toto,which has maintained a shop in Grand Central Terminal for a decade, recently opened a second store at 1042 Lexington Ave. rents have fallen only about 15%,to between $225 and $300.Ms. Coe says her deal was not much of a bargain and laments not getting a better price. “Rent wasn’t a major factor,” she says. “Overall, city rents haven’t gone that low.” ‘The rents have everything to do with our 750750 485 expansion’ THIRDTHIRD LEXINGT AVENUEAVENUE AVENUE

But with rents falling,affordabil- • Sweeping Views ity is getting closer for the first time in years. As a result, hot neighbor- • New Lobby hoods like SoHo are still seeing a • Upgraded Security resurgence in the number of small PRE-BUILT PERFECTLY retailers. Last year, asking rents on • 2 Blocks from Grand Central Terminal Broome Street were well over $125 • Financially Strong Ownership per square foot, buoyed by the prox- imity to the heavily trafficked strip • Hotel-Style Concierge Services of Broadway and retailers ranging from Prada to Bloomingdale’s. ENTIRE 33RD FLOOR - 11,779 SF Sweeping onto Broome ENTIRE 32ND FLOOR - 11,779 SF back then, Broome Street was no ENTIRE 25TH FLOOR - 11,765 SF place for Rudy’s Music and Guitar Shop, which for more than 30 years ENTIRE 24TH FLOOR - 10,908 SF had operated out of just one store- front on West 48th Street. But in June, Rudy’s owners jumped at the www.grandcentralsq.com

chance to take space at 461 Broome FOR LEASING INFORMATION, PLEASE CONTACT: for less than $100 a square foot. DENISE RODRIGUEZ • LEASING ASSOCIATE Like Rudy’s, footwear purveyor [email protected] • 212.356.4106 Eneslow has long had one Manhat- DAVID W. TURINO • VP tan outpost, in midtown south.This [email protected] • 212.216.1741 spring, it added another on the Up- DAVID KAUFMAN • SVP per East Side, at 1504 Second Ave. [email protected] • 212.356.4104 There, Eneslow owner Robert Schwartz took over a 2,000-square- foot store formerly occupied by a Foot Solutions franchise that had gone out of business. The asking rent was a relatively modest $120 a TOWER FLOORS square foot. Mr. Schwartz got the space for even less.

July 27, 2009 | Crain’s New York Business | 17 20090727-NEWS--0018-NAT-CCI-CN_-- 7/23/2009 6:17 PM Page 1

REPORT REAL ESTATE CoStar’s Top Manhattan Office Leasing Deals Biggest transactions in first-half 2009, ranked by square feet

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

1 51 W. 52nd St.1 242,464 Wachtell Lipton Rosen & Katz Studley Viacom International Inc. CB Richard Ellis Plaza District 2 650 Madison Ave.1 206,000 Polo Ralph Lauren Corp. Studley Ashkenazy Acquisition Corp. Cushman & Wakefield Inc. Plaza District 3 1633 Broadway1 202,495 Showtime CB Richard Ellis Paramount Group Inc. Paramount Group Inc. Columbus Circle 4 1 World Trade Center 191,810 Beijing Vantone Real Estate Co. Jones Lang LaSalle The Port Authority of New York The Port Authority of New York World Trade Center & New Jersey & New Jersey 5 731 Lexington Ave. 2 176,000 Bloomberg LP CB Richard Ellis Vornado Realty Trust Vornado Office Management Inc. Plaza District 6 645 Fifth Ave.1 153,405 National Basketball Association Newmark Knight Frank Associates FirstService Williams Plaza District 7 32 Old Slip1 112,270 Daiwa Securities America Inc. Cushman & Wakefield Inc. Beacon Capital Partners Inc. CB Richard Ellis Financial District 8 200 Varick St. 110,000 Omnicom Lee Feld Real Estate Newmark Knight Frank Newmark Knight Frank Hudson Square 9 3 World Financial Center 109,940 Locke Lord Bissell & Liddell Studley / Transwestern Brookfield Properties Brookfield Properties World Trade Center 10 300 Park Ave. 3 105,000 Greenhill & Co. CB Richard Ellis Tishman Speyer Tishman Speyer Plaza District 11 350 Fifth Ave. 102,960 FDIC Grubb & Ellis Peter L. Malkin CB Richard Ellis Penn Plaza/Garment 12 2 Park Ave. 98,721 Bonnier Corp. CB Richard Ellis Morgan Stanley Real Estate Advisor L&L Holding Co. Murray Hill 13 521 W. 57th St.1 98,000 Genzyme Corp. Studley Himmel + Meringoff Properties Meringoff Properties Inc. Columbus Circle 14 909 Third Ave. 94,130 Geller & Co. Cushman & Wakefield Inc. Vornado Realty Trust Vornado Office Management Inc. Plaza District 15 125 Park Ave.1 77,333 Reed Elsevier Inc. Newmark Knight Frank Shorenstein Co. Newmark Knight Frank Grand Central 16 111 Eighth Ave.1 75,175 Sprint Grubb & Ellis Taconic Investment Partners CB Richard Ellis Chelsea 17 70,225 Squire Sanders & Dempsey Newmark Knight Frank Tishman Speyer Tishman Speyer Plaza District 18 750 Third Ave. 67,152 Marcum & Kliegman Newmark Knight Frank SL Green Realty Corp. SL Green Realty Corp. Grand Central 19 40 Worth St.1 65,775 NYC Department of Health n/a Newmark Knight Frank Newmark Knight Frank TriBeCa and Mental Hygiene 20 11 Penn Plaza 60,976 Madison Square Garden Cushman & Wakefield Inc. Vornado Realty Trust Vornado Office Management Inc. Penn Plaza/Garment 21 237 Park Ave. 4 58,654 Stifel Nicolaus & Co. Grubb & Ellis J.P.Morgan Chase Cushman & Wakefield Inc. Grand Central 22 2 Herald Square 57,600 ASA College The Lansco Corp. SL Green Realty Corp. Sitt Asset Management Penn Plaza/Garment 23 7 World Trade Center 4 57,414 Broadcast Music Inc. Cushman & Wakefield Inc. ABN AMRO Grubb & Ellis World Trade Center 24 299 Park Ave. 1 57,286 Consulate General of Japan in New York Colliers ABR Inc. Fisher Bros. Management Co. Fisher Bros. Management Co. Plaza District 25 100 Park Ave. 57,009 Wells Fargo Trade Capital CB Richard Ellis/ SL Green Realty Corp. Cushman & Wakefield Inc. Grand Central James Travers Realty 26 125 Broad St. 56,322 Herzfeld & Rubin Studley M-C 125 Broad C Mack-Cali Realty Corp. Financial District 27 100 Broadway 55,547 Phoenix Constructors Jones Lang LaSalle Hiro Enterprises Inc. CB Richard Ellis Financial District 28 3 World Financial Center 54,970 Metropolitan Transportation Newmark Knight Frank American Express Co. CB Richard Ellis World Trade Center Authority, NYC 29 485 Lexington Ave.4 54,199 EdisonLearning Inc. Jones Lang LaSalle Fairchild Publications CB Richard Ellis Grand Central 30 1 State Street Plaza 4 54,060 Ironshore Holdings US Inc. Studley ACTA Realty CB Richard Ellis Financial District 31 866 United Nations Plaza1 51,000 Fross Zelnick Lehrman & Zissu Newmark Knight Frank Vornado Office Management Inc. Vornado Office Management Inc. U.N. Plaza 32 560 Lexington Ave. 49,815 Verizon Business Services Cushman & Wakefield Inc. Rudin Management Co. Rudin Management Co. Plaza District 33 1325 Sixth Ave.1 49,768 Assured Guaranty Ltd. CB Richard Ellis Paramount Group Inc. Newmark Knight Frank Columbus Circle 34 26 Broadway 2 46,671 NYC School Construction Authority Jones Lang LaSalle The Chetrit Group Newmark Knight Frank Financial District 35 1385 Broadway 45,500 Zanadi Co. FirstService Williams Broadway 1385 FirstService Williams Penn Plaza/Garment 36 1251 Sixth Ave.4 41,900 HedgeServ Newmark Knight Frank Mitsui Fudosan America Inc. CB Richard Ellis Times Square 37 1251 Sixth Ave.4 41,900 Leerink Swann & Co. Studley Mitsui Fudosan America Inc. CB Richard Ellis Times Square 38 1411 Broadway1 41,505 Jacques Moret Inc. Cushman & Wakefield Inc. Cushman & Wakefield Inc. Penn Plaza/Garment 39 330 Madison Ave.4 40,759 Horizon Media SL Green Realty Corp. SL Green Realty Corp. SL Green Realty Corp. Grand Central 40 335 Madison Ave. 3 40,533 Akerman Senterfitt & Edison The Vortex Group Milstein Properties Inc. CB Richard Ellis Grand Central 41 100 Park Ave. 40,139 Aetna Jones Lang LaSalle SL Green Realty Corp. Cushman & Wakefield Inc. Grand Central 42 1400 Broadway 1 40,066 Jordache Enterprises Inc. n/a 1400 Broadway Associates Newmark Knight Frank Penn Plaza/Garment 43 712 Fifth Ave.1 40,000 Elliott Associates Newmark Knight Frank Paramount Group Inc. Cushman & Wakefield Inc. Plaza District 44 345 Park Ave. 1 38,523 Wafra Investment Advisory CB Richard Ellis Rudin Management Co. Rudin Management Co. Plaza District Group Inc. 45 30 Rockefeller Plaza1 38,193 Sheppard Mullin Richter & Hampton Cushman & Wakefield Inc. Tishman Speyer Tishman Speyer Plaza District 46 405 Lexington Ave.1 37,202 Regus Business Centers CB Richard Ellis Tishman Speyer Tishman Speyer Grand Central 47 1 Penn Plaza1 37,191 Milliman USA Inc. CB Richard Ellis Vornado Realty Trust Vornado Office Management Inc. Penn Plaza/Garment 48 40 Wall St.1 36,921 Managed Health Network CB Richard Ellis The Trump Organization The Trump Organization Financial District 49 767 Fifth Ave.1 36,300 CBS Broadcasting Inc. CB Richard Ellis Boston Properties Inc. Boston Properties Inc. Plaza District 50 1372 Broadway 36,179 Li & Fung USA Cushman & Wakefield Inc. 1372 Broadway LLC BLDG Management Penn Plaza/Garment

This list includes leases with terms of more than two years. Deals are for new leases unless otherwise noted. The New York Times Co.’s deal for 749,445 square feet at 620 Eighth Ave., which was primarily a financing transaction, is not included in this ranking. n/a Not available. 1-Renewal. 2-Expansion. 3-Renewal and expansion. 4-Sublease. 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 27, 2009

20090727-NEWS--0020-NAT-CCI-CN_-- 7/23/2009 6:17 PM Page 1

REPORT REAL ESTATE Real Capital Analytics’ Top NYC Property Sales Biggest commercial transactions in first-half 2009, 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 BERTELSMANN BARGAIN 1334 York Ave. (Sotheby’s headquarters)1 $370.0 493,000 2/6 Sotheby’s / 1334 York LLC Landesbank Sachsen / Jones Lang LaSalle 1 Office $751 RFR Holding Upper East Side 1540 Broadway (Bertelsmann Building) $355.0 906,287 3/5 CB Richard Ellis Investors Macklowe Properties Eastdil Secured 2 Office condo $392 (Deutsche Bank) Midtown West 234 W. 48th St. (Best Western President) 2 $142.0 334 2/1 Investcorp Real Estate Hampshire Hotels & Resorts Cushman & Wakefield 3 Hotel $425,150 Midtown West 63 W. 35th St. (Hilton Garden Inn NY) $121.1 298 3/23 RLJ Development Brack Capital Real Estate n/a 4 Hotel $406,376 Midtown West 330 W. 40th St. (Fairfield Inn NY) $99.9 244 2/12 Gehr Development The Lam Group n/a 5 Hotel $409,495 Midtown West 488 Seventh Ave. $45.3 104 2/5 Torkian International Group Swift Park n/a 6 Apartments $435,577 Midtown West LIST RANK 2 30-34 W. 47th St. $42.5 55,138 5/14 Jemsa Realty Extell Development n/a 7 Office $771 ADDRESS 1540 Broadway Midtown West PRICE PER SQ. FT. $392 74-17 Grand Ave. (Shops at Grand Avenue) $33.5 100,000 4/16 AEW Capital Management Forest City Ratner n/a 8 Retail $335 The $355 million paid in Flushing, Queens March for the Bertelsmann 122 E. 58th St. $28.5 23,712 3/13 Mosdot Shuva Israel Sam Nussbaum Massey Knakal Realty Services Building was about 60% 9 Office $1,202 lower than the price tag in Midtown East 2007, when the property last n/a Not available. 1-Exercised purchase option. 2-Leasehold. A 95% interest was traded; price reflects 100% valuation. Real Capital Analytics Inc. is an independent research firm focused exclusively on capital investment markets for com- changed hands. mercial real estate. RCA offers comprehensive 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 of Capital Trends reports and offers an online service that provides real-time, global transactional market information. Visit www.rcanalytics.com. ➚➚ SEE THE FULL LIST OF THE TOP 25 NEW YORK CITY PROPERTY SALES IN FIRST-HALF 2009@ WWW.CRAINSNEWYORK.COM/NYC-PROP-SALES

20 | Crain’s New York Business | July 27, 2009 20090727-NEWS--0021-NAT-CCI-CN_-- 7/23/2009 6:18 PM Page 1

REPORT REAL ESTATE Deals Top 2009 sale looks lowly

A mere $370 million COMPARE AND CONTRAST for Sotheby’s HQ Total value of top 10 property sales kind of says it all in first half of year, in billions vidence of the dismal $5.96 state of the commercial sales market just keeps pouring in. For the lat- est dollop, check out $1.26 Real Capital Analytics’ top New E 2008 2009 York City property sales chart on Page 20. In the first six months of GM BUILDING -79% 1334 YORK AVE. 2009,the biggest transaction totaled 2008 top sale change from 1H 2008 2009 top sale $370 million—down from $2.8 bil- $2.8 billion to 1H 2009 $370 million lion in the year-earlier period. Granted, the largest deal of the first half of 2008 was the sale of the but Midtown East wanted raw space rent for the eighth floor space was General Motors Building, which that it could build out to suit its needs. $36 per square foot. does rather skew the results. But by Landlord Philips International “There are windows on four almost any measure, the top deal of was represented in-house. sides,”says Marc Kaufman,chief ex- the first half of this year—the sale —theresa agovino ecutive of Old Toledo.“The space is of Sotheby’s 493,000-square-foot being built to suit our needs.” headquarters at 1334 York Ave.— The building’s current $7.5 mil- looks positively puny. Foodies catch lion renovation, which includes a Other figures in the chart tell a break on Riverside new lobby and penthouse roof deck, similarly woeful tale.The No. 2 deal also impressed Mr. Kaufman. of first-half 2009, the $355 million at long last, residents of 160 River- Michael Heaner of the Kaufman sale of 1540 Broadway, was done at side Blvd. will actually have not one Organization represented the ten- $392 a square foot. That is about but two close-by options for dinner. ant, and Joseph Mangiacotti of CB 60% less than Harry Macklowe paid 160 Restaurant Concepts Inc. re- Richard Ellis Inc. represented the for the tower when he bought it in cently signed a 20-year lease to open landlord AB & Sons. 2007. In the year-earlier period, the two eateries on the ground floor of The space will serve as the com- sale of 650 Madison Ave. took the the building, between West 67th pany’s headquarters and will be di- second spot on the list in a transac- and West 68th streets. The asking vided into offices and showrooms for tion valued at $680 million—or rent for the 3,400-square-foot space the lines that Old Toledo represents. $1,133 a square foot. was $65 a square foot. —amanda fung Need more examples? In the first The restaurants will split the six months of last year, two $70 mil- space equally. One eatery will be lion deals ranked at the bottom of Chan’s Asian Garden, while the the list of the top 25. In the first half other will be an Italian pizzeria and of this year, such a sale would have wine bar yet to be named. Built a ranked as sixth-largest. decade ago, the residential tower is “There is no way to sugarcoat it,” still fairly isolated and lacking in says Dan Fasulo, managing director neighborhood services. for Real Capital Analytics. “This is “The residents have been dying the worst environment for sales for amenities,” says Craig Slosberg, deals in ages.” the Newmark Knight Frank Retail —theresa agovino broker who, along with colleague Kenneth Hochhauser, represented the tenant and landlord Equity Res- Doctors sew up idential Management. Second Ave. deal Messrs. Slosberg and Hoch- hauser also negotiated both sides of midtown east medical leased a deal nearby at 180 Riverside Blvd.,be- 18,500 square feet at 800 Second Ave., tween West 68th and West 69th between East 42nd and East 43rd streets, which is also owned by Eq- streets, and will turn the space into uity Residential. Chinese immer- FRESH FROM office and surgical suites for doctors. sion school Bilingual Buds signed a OUR $85-MILLION The asking rent for the 15-year deal, 10-year lease for 3,500 square feet at REINVENTION which covers the entire second floor, the ground-floor location and ex- OF GUEST ROOMS, was $50 a square foot. pects to open this fall. The asking SLEEP SOUNDLY RESTAURANT, BAR, Warren Goz, a managing direc- rent was $65 a square foot. LOBBY & tor of Midtown East, said the com- —adrianne pasquarelli [in the city that never sleeps] MEETING ROOMS. pany hopes to sublease the space to 12 doctors and that construction should be completed by October. Work wear maker Mr. Goz says he was attracted to doubles space Savvy business travelers choose Crowne Plaza Times Square the midtown location because of its for our Theater District location. And for our guest rooms’ proximity to New York University old toledo brands inc., a private- location –– starting at the 16th floor, high above the Medical Center, Grand Central label manufacturer and licensing street noise. And for our Sleep AdvantageTM bed. Terminal and Tudor City. company,is almost doubling its office Medical tenants have needs that space in Manhattan’s fashion district. Uniquely, each room offers a view of Times Square, the city differ from those of traditional office The company, which specializes skyline or the Hudson River. And four-star service and THE PLACE TO MEET. users, says Sam Seiler, a broker at CB in making work wear, has signed a ambience, without raising the eyebrows of your accounting 1605 Broadway Richard Ellis Inc., who represented five-year lease for 11,880 square feet department. No wonder you’re sleeping better here. New York, NY 10019 the company along with his colleague at 240 W. 37th St., between Seventh 212-977-4000 Sinclair Li. For example, most ten- and Eighth avenues. Old Toledo is Reserve online or call 1-800-243-6969 Manhattan.CrownePlaza.com ants in the market these days are look- moving two blocks from its current ing for preconstructed office suites, space at 260 W. 39th St.The asking

July 27, 2009 | Crain’s New York Business | 21 20090727-NEWS--0022-NAT-CCI-CN_-- 7/23/2009 7:51 PM Page 1

SMALL BUSINESS Tour de France perk spurs staff to wheel and deal

unusual offer. He invited his 45 em- ously training for the 28-mile trek Wine importer’s ployees on an all-expenses-paid trip up Mont Ventoux—the most gruel- exec-sponsored bike to watch the Tour de France and to ing climb in the 21-stage Tour de trip lifts sagging ride up Mont Ventoux—following France, which took place on July 25. the route taken by the profession- “The day the bicycles arrived at EXERCISING HIS OPTIONS: morale, performance als—using bikes he would purchase the office, our business changed,” Tom Byrnes (center, with bike) for them. says Mr. Byrnes. chose to “promote optimism.”

As part of the trip, they would The team, made up of men in buck ennis BY LISA FICKENSCHER stay at vineyards where some of the their 40s and 50s, set out for 50- to wines they sell are made. The firm 60-mile excursions into New Jersey 5% year-to-date versus the same pe- with that person improves.” ast year, Peter Cassell sells mostly organic wines to high- each Sunday morning, as well some riod in 2008, strong individual per- Since April, Mr. Cassell has reg- was worried about los- end restaurants such as Blue Rib- days during the workweek. They formances like Mr. Kaul’s led to ularly exchanged e-mails with Mr. ing his job. As director bon, Gramercy Tavern and Craft. shed a combined 300 pounds, and year-over-year gains in sales in May, Byrnes at 6 a.m. and late at night. of operations at T. Ed- they attacked their work with new- June and July. Though he is working longer hours, ward Wines, an im- Tour guide found energy and commitment,Mr. Preparing for the trip also has en- he can more easily accept it, he says. Lporter and distributor based in “as owners, we have a choice,” says Byrnes says. abled Mr. Kaul to connect with After returning from their two- TriBeCa, he was unnerved by the Mr.Byrnes.“We can bury our heads “The trip is a tremendous moti- clients on a more personal level. wheeled French sojourn, the team company’s declining sales and by the in the sand, or we can promote vator in so many ways,” says David “It gives us something we can will focus on its next challenge: bik- economic threats facing its clientele optimism.” Kaul, a sales representative for T. talk about besides wine,” he says. ing up mountains in Sicily or Spain. of restaurateurs. Sixteen employees, including Edward. “And it has created a little buzz “I feel a whole lot better about my The future looked especially bleak Mr. Cassell, took him up on his of- For the first half of this year, Mr. around the company.” job security,” says Mr. Cassell. “The in April, when a double-digit per- fer. Digging into his own pocket, Kaul’s sales numbers were up 5% curve is going up, and as long as it’s centage cut in pay went into effect. Mr. Byrnes shelled out about versus the same period last year. He Liberté, égalité, fraternité rising, I think we are OK.”  “It was more than most people $75,000 to cover the cost of the trip is not selling as much expensive mr. cassell says the intense train- felt comfortable with,” says Mr. and the $1,200 Cannondale bicy- wine—cases that cost $360 a pop— ing has brought the staff closer To sign up for Crain’s Cassell. cles, as well as gear including T.Ed- but volume is higher as he sells more together. twice-weekly SMALL BUSINESS But that same month, Tom ward team uniforms. He even $120 cases. “If you are riding next to some- NEWSLETTER, go to Byrnes, founder of the $28 million bought bike racks for his office. Although the 15-year-old com- one during a punishing part of the www.crainsnewyork.com/smallbiz company, startled the staff with an The team members began vigor- pany’s overall revenues are still off route,” he says, “your comfort level

WELCOME More than TO 700 destinations in every corner PARADISE. of the globe. When you have YOU’VE AAdvantage® miles, the phrase EARNED IT. “it’s your world” is no longer just a phrase.

AA.com

AmericanAirlines, AAdvantage, AA.com and We know why you fl y are marks of American Airlines, Inc. American Airlines reserves the right to change the AAdvantage program rules, regulations, travel awards and special offers at any time without notice and to end the AAdvantage program with six months’ notice. For complete details about the AAdvantage program, visit www.aa.com. oneworld is a mark of the oneworld Alliance, LLC.

22 | Crain’s New York Business | July 27, 2009 nb30p23-25cls.qxp 7/23/09 1:10 PM Page 23

PUBLIC & LEGAL NOTICES COLLECTION SERVICES UNABLE TO COLLECT ON A JUDGMENT? Notice of Qualification of D. E. Shaw CF- NOTICE OF FORMATION of Engle REQUEST FOR PROPOSALS SP Series 8-01, L.L.C. Authority filed with LLC, Arts of Org. Filed with Secy. of NO RECOVERY, NO FEE NY Dept. of State on 5/11/09. Office State of N.Y. (SSNY) on 6/11/09. ATLANTIS ASSET location: NY County. LLC formed in DE on Office location: New York County: THE PORT AUTHORITY OF NEW YORK AND NEW JERSEY 9/11/07. NY Sec. of State designated as SSNY designated as agent of LLC RECOVERY LLC agent of LLC upon whom process against upon whom process against it may PERFORMANCE OF EXPERT PROFESSIONAL OPERATIONS AND (718) 819-2912 it may be served and shall mail process be served. SSNY shall mail process MAINTENANCE TECHNICAL SUPPORT SERVICES FOR THE AIRTRAIN to: D. E. Shaw & Co., L.P., 120 W. 45th to principle location: 15 East 26th St., SYSTEM AT JOHN F. KENNEDY INTERNATIONAL AIRPORT (JFK) St., 39th Fl., NY, NY 10036, Attn: John Suite 9F, NY, NY 10010. Purpose: ON AN “AS-NEEDED” BASIS DURING 2010, 2011 AND 2012 Liftin, General Counsel, regd. agt. upon Any lawful activity. REAL ESTATE whom process may be served. DE addr. The Port Authority of New York and New Jersey (the “Authority”) is seeking to identify of LLC: 1209 Orange St., Wilmington, NOTICE OF FORMATION of Voltaire consultants to respond to a Request for Proposals (RFP) for Performance of Expert DE 19801. Arts. of Org. filed with DE Legal Management Consulting, LLC. Professional Operations and Maintenance Technical Support Services for the Air-train OFFICE SPACE Sec. of State, 401 Federal St., Dover, DE Arts. of Org. filed with the Secy of System at John F Kennedy International Airport (JFK) on an “As-Needed” Basis during 2010, 2011 and 2012. 19901. Purpose: any lawful activity. State of NY (SSNY) on 12/17/08. NYC Middle Market Accounting Firm has Office location: NY County. SSNY has The specific proposal information is set forth in the document entitled “Request for Proposal office space to sub-let Notice of Formation of Elmont been designated as agent upon whom for Performance of Expert Professional Technical Support Services for the Air-train System NYC Middle Market Accounting Firm has Amusements L.L.C. Articles of Org process against it may be served. at John F Kennedy International Airport (JFK) on an “As-Needed” Basis during 2010, 2011 office space to sub-let. Sub-lease space in Top filed with Secretary of State of NY SSNY shall mail process to principal and 2012. A copy can also be requested, via e-mail, at [email protected]. “A” Building w/7 windowed offices, 11 (SSNY) on 5/14/2009. NY Office business: 509 E. 78th St., #4G, NY, It can also be obtained directly via download at www.panynj.gov. Addenda to this RFP, if Cubicles, use of Conference Rooms, Reception Location: New York County. SSNY NY 10075. Purpose: Consulting. any, shall be posted at this website. Upon requesting the RFP, please reference RFP Area, Kitchen, Full Office Support available. designated as agent of LLC upon For further information Number 18832 in the subject line. Your e-mail should include the following information: Please contact (212) 404-5403. whom process against it may be Notice of Qualification of D. E. Shaw AQ- full legal firm name, email address, contact person, mailing address, and telephone number. served. SSNY shall mail process to SP Series 6-04, L.L.C. Authority filed with Joint Ventures/teams are acceptable. Elmont Amusements L.L.C 440 Kent NY Dept. of State on 5/11/09. Office Ave. Suite PH 2D Brooklyn NY location: NY County. LLC formed in DE on Proposals in response to this RFP are due by 2:00 P.M. on August 18, 2009 and must TELECOMMUNICATIONS 11211-5928. The Principal place of 4/3/07. NY Sec. of State designated as have the RFP Number and full legal firm name clearly indicated on the outside package. Business address is 440 Kent Ave agent of LLC upon whom process against Suite PH2D Brooklyn, NY 11211- it may be served and shall mail process Notice of Formation of RI Catalogue Notice of Formation of ONE WORLD 5928. Purpose: any lawful activity. to: D. E. Shaw & Co., L.P., 120 W. 45th Raisonne LLC. Arts. of Org. filed with LLC, a domestic LLC. Arts. of Org. St., 39th Fl., NY, NY 10036, Attn: John NY Dept. of State on 7/8/09. Office filed with the SSNY on 06/23/2009. Notice of Formation of Turtle Rock Liftin, General Counsel, regd. agt. upon location: NY County. Princ. bus. addr.: Office location: NY County. SSNY has 307 Group LLC. Arts. of Org. filed with whom process may be served. DE addr. 45 E. 80th St., NY, NY 10021. Sec. of been designated as agent upon New York, NY 10016 Secy. of State of NY (SSNY) on of LLC: 1209 Orange St., Wilmington, State designated as agent of LLC whom process against the LLC may 212-532-7400 5/4/09. Office location: NY Co. DE 19801. Arts. of Org. filed with DE upon whom process against it may be be served. SSNY shall mail a copy of SSNY designated as agent of LLC Sec. of State, 401 Federal St., Dover, DE served and shall mail process to: process to: Howard Luks, PO Box [email protected] upon whom process against it may 19901. Purpose: any lawful activity. Cohen Tauber Spievack & Wagner P.C., 226, Mt. Freedom, NJ 07970. be served. SSNY shall mail process 420 Lexington Ave., Ste. 2400, NY, NY Purpose: Any Lawful Purpose. Metrocom is proud to: Robert W. Jones, 1585 Broadway, Notice of Formation of OURI 10170. Purpose: any lawful activity. to announce that we 32nd Fl., NY, NY 10036. Registered SPORTS KOSHER CATERING LLC. NOTICE OF FORMATION of Terra have been appointed agent: Capitol Services, Inc. 1218 Arts. of Org. filed with Secy. of State Notice of Formation of GS COES Productions LLC. Arts. Of Org. filed Central Ave., Ste. 100, Albany, NY of NY (SSNY) on 4/28/09. Office (MGB I), LLC. Arts. of Org. filed with with Secy. of State of N.Y. (SSNY) on as a Vertex Standard 12205. Purpose: any lawful activities. location: NY County. SSNY designat- Secy. of State of NY (SSNY) on 12/10/08. Office location: New York Authorized Dealer ed as agent of LLC upon whom 07/02/09. Office location: NY County. County. SSNY designated as agent of Notice of Formation of Tali Capital process against it may be served. Princ. office of LLC: One Penn Plaza, LLC upon whom process against it & Service Center. Advisors LLC. Arts. of Org. filed with SSNY shall mail process to: The LLC, Ste. 1612, NY, NY 10119. SSNY des- may be served. SSNY shall mail Secy. of State of NY (SSNY) on 100 W. 33rd St., Ste. 911, NY, NY ignated as agent of LLC upon whom process to principal business location: 5/15/09. Office location: NY Co. 10001. Purpose: any lawful activity. process against it may be served. 308 East , Ste 15B, NY, NY SSNY designated as agent of LLC SSNY shall mail process to Robert 10021. Purpose: Any lawful activity. AYURVEDIC LIGHT, LLC, a domestic upon whom process against it may Brantl, Esq., 52 Mulligan Ln., Limited Liability Company (LLC) filed be served. SSNY shall mail process Irvington, NY 10533. Purpose: Any Notice of Qualification of South VERTEX STANDARD is registered in the US Patent and with the Sec of State of NY on Trademark Office. All other product or service names are to: National Registered Agents, Inc., lawful activity. Winston LLC. Authority filed with NY the property of their respective owners. 875 Avenue of the Americas, Ste. 12/11/08. NY Office location: New York County. SSNY is designated as Dept. of State on 3/13/09. Office loca- 501, NY, NY 10001, also registered Notice of Qualification of Kushner IP agent upon whom process against tion: NY County. LLC formed in DE agent. Purpose: any lawful activities. Holdings LLC, App. for Auth. filed the LLC may be served. SSNY shall on 2/26/09. NY Sec. of State desig- Sec’y of State (SSNY) 6/2/09. Office PUBLIC & LEGAL mail a copy of any process against nated as agent of LLC upon whom Name of LLC: MARTE, LLC. Articles location: NY County. LLC org. in DE the LLC served upon him/her to process against it may be served and NOTICES of Org. filed Dept. of State of NY on 3/27/09. SSNY designated as agent Moss & Kalish, PLLC, 122 E. 42nd shall mail process to the principal 6/19/09. Office location in NY: New of LLC upon whom process against it St., Ste. 2100, NY, NY 10168. business addr.: 116 W. 23rd St., 5th Fl., York Cty. Principal bus. loc.: c/o may be served. SSNY shall mail copy General purposes. NY, NY 10011. DE addr. of LLC: 615 PUBLIC NOTICE Richard P. Altieri, Altieri & Esposito, of process to c/o Nat. Reg. Agents, S. DuPont Hwy., Dover, DE 19901. LLC, 420 Fifth Ave., 26th Fl., NY, NY Notice of Formation of 501 1/2 East 875 Ave of the Americas, NY, NY Arts. of Org. filed with DE Sec. of Public Disclosure Notice 10018. Secy. of State designated as Notice is hereby given that Barnard College proposes to 83 Street LLC. Arts. of Org. filed with 10001, the Reg. Agt. upon whom State, P.O. Box 898, Dover, DE agent of LLC upon whom process proc. may be served. DE office addr.: 19903. Purpose: any lawful activity. construct new laboratory space utilizing federal funds. against it may be served. Sec. of NY Dept. of State on 7/9/09. Office The propose construction is approximately 13,000 location: NY County. Sec. of State 160 Greentree Dr., Ste. 101, Dover, square feet in Altschul Hall at 3009 Broadway, New York, State shall mail a copy of process to: Notice of Formation of RYPE SCC LLC. NY, 10027. Barnard College has evaluated the environ- designated as agent of LLC upon DE 19904. Cert. of Form. on file: National Corporate Research, Ltd., 10 Arts. of Org. filed with Secy. of State of mental and community impact of the proposed construc- whom process against it may be SSDE, Townsend Bldg., Dover, DE East 40th Street, 10th Fl., New York, NY 19901. Purpose: any lawful activities. NY (SSNY) on 12/31/08. Office loca- tion. No significant temporary or permanent environmen- served and shall mail process to: tal impacts are foreseen. All applicable permits will be 10016. Purpose: any lawful activity. tion: NY County. SSNY designated as Mystic Brokerage Inc., 330 obtained. In accordance with Federal Executive Order Notice of Formation of T.P. DUFFY agent of LLC upon whom process 11514, which implements the NEPA of 1969, any indi- McGuinness Blvd., Brooklyn, NY Notice of Formation of Next Block Over RESEARCH & CONSULTING LLC, a against it may be served. SSNY shall vidual or group may comment on, or request information 11222. Purpose: any lawful activity. concerning the environmental implications of the pro- LLC. Arts. of Org. filed with Secy. of domestic LLC. Arts. of Org. filed with mail process to: c/o Conway Capital, posed project. Communications should be addressed to State of NY (SSNY) on 5/28/09. Office Name: 10BIOSYSTEMS LLC Art. Of the SSNY on 06/29/2009. Office loca- 115 Broadway, Ste. 302, NY, NY Abigail Feder-Kane, Director of Institutional Support, location: NY County. SSNY designated Org. Filed Sec. Of State of NY tion: NY County. SSNY has been 10006. Purpose: any lawful activity. Barnard College, 3009 Broadway, New York, NY 10027. as agent of LLC upon whom process 04/29/09. Off. Loc.: New York Co. SSNY designated as agent upon whom against it may be served. SSNY shall designated as agent upon whom process against the LLC may be PILATES MULTI-TONER LLC Articles UNIT 4 AT 133 WEST 4TH STREET, LLC mail process to: Damon Craig, 487 process against it may be served. served. SSNY shall mail a copy of of Org. filed NY Sec. of State (SSNY) Articles of Org. filed NY Sec. of State Greenwich St., 5th Fl., NY, NY 10013. SSNY to mail copy of process to THE process to: Thomas P. Duffy, 450 W. 6/26/09. Office in NY Co. SSNY desig. (SSNY) 5/8/09. Office in NY Co. SSNY Purpose: any lawful activity. LLC C/O Sebastian Jayaraj, 430 East 17th St. #1602, NY, NY 10011. agent of LLC upon whom process desig. agent of LLC upon whom process 63rd Str eet, Apt 3E, NY, NY 10065. Purpose: Any Lawful Purpose. may be served. SSNY shall mail copy may be served. SSNY shall mail copy of Notice of Qualification of JENNIFER Purpose: Any lawful act or activity. of process to c/o R. Anthony Goldman, process to 133 W. 4th St., Unit 4, NY, NY CREEL, LLC. Authority filed with Notice of Qualification of HMX Goldman Properties, 119 Greene St., 10012. Purpose: Any lawful purpose. Secy. of State of NY (SSNY) on Notice of Qualification of NATIONAL OPERATING CO., LLC. Authority filed NY, NY 10012. Purpose: Any lawful 07/14/09. Office location: NY County. METALS, LLC. Authority filed with with Secy. of State of NY (SSNY) on purpose. Notice of Qualification of Soho LLC formed in Delaware (DE) on Secy. of State of NY (SSNY) on 07/13/09. Office location: NY County. Properties General Partner, LLC. 07/06/09. Princ. office of LLC: 155 E. 06/11/09. Office location: NY County. LLC formed in Delaware (DE) on Notice of Qualification of Axiodyn Authority filed with Secy. of State of 72nd, #7A, NY, NY 10021. SSNY LLC formed in Delaware (DE) on 06/16/09. Princ. office of LLC: 750 Capital Partners LLC, App. for Auth. NY (SSNY) on 7/8/09. Office location: designated as agent of LLC upon 05/04/09. Princ. office of LLC: 130 E. Seventh Ave., NY, NY 10019. SSNY filed Sec’y of State (SSNY) 5/20/09. NY County. LLC formed in Delaware whom process against it may be 75th St., NY, NY 10021. SSNY desig- designated as agent of LLC upon Office location: NY County. LLC org. (DE) on 7/7/09. SSNY designated as served. SSNY shall mail process to nated as agent of LLC upon whom whom process against it may be in DE 12/9/08. SSNY designated as agent of LLC upon whom process the LLC at the princ. office of the process against it may be served. served. SSNY shall mail process to agent of LLC upon whom process against it may be served. SSNY shall LLC. DE addr. of LLC: Corporation SSNY shall mail process to the LLC c/o Corporation Service Co., 80 State against it may be served. SSNY shall mail process to princ. bus. loc.: c/o Service Co., 2711 Centerville Rd., at the addr. of its princ. office. DE St., Albany, NY 12207-2543. DE addr. mail copy of process to Attn: Anthony The LLC, 552 Broadway, Ste. 6N, NY, Ste. 400, Wilmington, DE 19808. addr. of LLC: Corporation Service Co., of LLC: 2711 Centerville Rd., Ste. Birbilis, One North End Ave., Ste. 1117, NY 10012. DE address of LLC: c/o Arts. of Org. filed with Secy. of State 2711 Centerville Rd., Wilmington, DE 400, Wilmington, DE 19808. Arts. of NY, NY 10282. DE office addr.: c/o United Corporate Services, Inc., 874 of DE, Div. of Corps., John G. 19808. Arts. of Org. filed with DE Org. filed with DE Secy. of State, CSC, 2711 Centerville Rd., Wilmington, Walker Road, Ste. C, Dover, DE Townsend Bldg., 401 Federal St., Secy. of State, Div. of Corps., PO Box Div. of Corps., 401 Federal St., Ste. DE 19808. Cert. of Form. on file: 19904. Arts. of Org. filed with DE Secy. Ste. 4, Dover, DE 19901. Purpose: 898, Dover, DE 19808. Purpose: 400, Dover, DE 19901. Purpose: SSDE, Townsend Bldg., Dover, DE of State, Townsend Bldg., Dover, DE Design and sale of eyeglass wear. Sale and distribution of metals. Any lawful activity. 19901. Purpose: any lawful activities. 19901. Purpose: any lawful activity.

July 27, 2009 | Crain’s New York Business | 23 nb30p23-25cls.qxp 7/23/09 1:05 PM Page 24

PUBLIC & LEGAL NOTICES

Notice of Formation of DG RIVER- Notice of Qualification of CRUTHIN Notice of Qualification of VeraPoint Notice of Qualification of Crispin NOTICE OF FORMATION OF SIDE REALTY, LLC. Arts. of Org. filed CAPITAL LLC. Authority filed with LLC. Authority filed with Secy. of Capital GP, LLC, App. for Auth. filed Gotham Artists LLC. Article of with Secy. of State of NY (SSNY) on Secy. of State of NY (SSNY) on State of NY (SSNY) on 06/09/09. Sec’y of State (SSNY) 5/22/09. Office Organization filed with the Secretary 05/15/09. Office location: NY County. 06/02/09. Office location: NY County. Office location: NY County. LLC location: NY County. LLC org. in DE of State of NY (SSNY) on 4/7/09 Princ. office of LLC: 240 Riverside LLC formed in Delaware (DE) on formed in Delaware (DE) on 5/21/09. SSNY designated as agent Office location NEW YORK County. Blvd., Apt. 17B, NY, NY 10069. SSNY 02/13/09. SSNY designated as agent 04/23/09. Princ. office of LLC: 825 of LLC upon whom process against it SSNY has been designated as agent designated as agent of LLC upon of LLC upon whom process against it Third Ave., 32nd Fl., NY, NY 10022. may be served. SSNY shall mail copy upon whom process against it may whom process against it may be may be served. SSNY shall mail SSNY designated as agent of LLC of process to Attn: Michael Cahill, be served. The Post Office address to served. SSNY shall mail process to process to the LLC, 152 Reade St., upon whom process against it may 375 Park Ave., Ste. 1305, NY, NY which the SSNY shall mail a copy of Adam B. Kaufman & Associates, NY, NY 10013. DE addr. of LLC: 2711 be served. SSNY shall mail process 10152. DE office addr.: c/o CSC, any process against the LLC served PLLC, 585 Stewart Ave., Ste. 302, Centerville Rd., Ste. 400, Wilmington, to the LLC, Attn: Stephen M. Waters 2711 Centerville Rd., Wilmington, DE upon him/her is C/O the LLC 23-09 Garden City, NY 11530. Purpose: DE 19808. Arts. of Org. filed with at the princ. office of the LLC. DE 19808. Cert. of Form. on file: SSDE, 33rd Street. Astoria, NY 11105. Any lawful activity. State of DE, Secy. of State, Div. of addr. of LLC: c/o Corporation Service Townsend Bldg., Dover, DE 19901. Date of Dissolution: N/A Purpose of Corps., John G. Townsend Bldg., 401 Co., 2711 Centerville Rd., Ste. 400, Purpose: any lawful activities. LLC: to engage in any lawful act or NOTICE OF FORMATION of Altius Federal St., Ste. 4, Dover, DE 19901. Wilmington, DE 19808. Arts. of Org. activity. Street address of Principal Enterprises LLC. Arts. Of Org. filed Purpose: Any lawful activity. filed with DE Secy. of State, 401 Notice of Qualification of Eileen K. Business location is: 1178 Broadway, with Secy. Of State of N.Y. (SSNY) on Federal St., Ste. 4, Dover, DE 19901. Murray LLC. Authority filed with NY 3rd Floor. New York, NY 10001. 05/27/09. Office location: New York 2nd STORY SOUND RECORDS LLC, Purpose: Any lawful activity. Dept. of State on 4/6/09. Office loca- County. SSNY designated as agent of a domestic Limited Liability Company tion: NY County. LLC formed in DE Notice of Qualification of HF Services LLC upon whom process against it (LLC) filed with the Sec of State of NY Notice of Formation of THE HEDAYA on 3/20/09. NY Sec. of State desig- LLC. Authority filed with NY Dept. of may be served. SSNY shall mail on 4/27/09. NY Office location: New EQUITY GROUP LLC. Arts. of Org. filed nated as agent of LLC upon whom State on 6/24/09. Office location: NY process to principal business location: York County. SSNY is designated as with Secy. of State of NY (SSNY) on process against it may be served and County. Princ. bus. addr.: 31 W. 52nd 111 Worth St., Suite 19K, NY, NY agent upon whom process against the 1/13/09. Office location: NY County. shall mail process to: c/o CT St., NY, NY 10019. LLC formed in DE 10013. Purpose: Any lawful activity. LLC may be served. SSNY shall mail SSNY designated as agent of LLC upon Corporation System, 111 8th Ave., on 5/19/09. NY Sec. of State desig- a copy of any process against the whom process against it may be served. NY, NY 10011, regd. agt. upon whom nated as agent of LLC upon whom LLC served upon him/her to SSNY shall mail process to: The LLC, 32 process may be served. DE addr. of process against it may be served and Notice of Formation of ZT Realty Alexander Grasso, 2 Lincoln Ave., LLC: The Corporation Trust Co., 1209 Management LLC. Arts. of Org. filed Broadway, Ste. 1211, NY, NY 10004. shall mail process to: c/o CT Hasting, NY 10706 General purposes Purpose: any lawful activity. Orange St., Wilmington, DE 19801. Corporation System, 111 8th Ave., with Secy. of State of NY (SSNY) on Arts. of Org. filed with DE Sec. of 5/20/09. Office location: NY County. NY, NY 10011. DE addr. of LLC: 1209 Notice of formation of Redlines State, 401 Federal St., Dover, DE SSNY designated as agent of LLC Notice of Formation of NEAL STREET Orange St., Wilmington, DE 19801. Online, LLC Arts. of Org. filed with 19901. Purpose: any lawful activity. upon whom process against it may NEW YORK, LLC. Arts. of Org. filed Arts. of Org. filed with DE Sec. of the Sect’y of State of NY (SSNY) on with Secy. of State of NY (SSNY) on State, 401 Federal St., Dover, DE be served. SSNY shall mail process Notice of Formation of Cape Sag 5/20/2009. Office location, County of 03/18/09. Office location: NY County. 19901. Purpose: any lawful activity. to: The LLC, 919 Third Ave., Ste. Management, LLC; Arts of Org., filed New York. The street address is: 1049 Princ. office of LLC: c/o Starr & 2307, NY, NY 10022. Purpose: any with NY Sec. of State (“SSNY”) Fifth Avenue, #8B, New York, NY Company, LLC, Attn: Sanford Miller, NOTICE OF FORMATION OF LIMITED lawful activity. 04/15/2009. Office in New York 10028. SSNY has been designated as 850 Third Ave., 15th Fl., NY, NY 10022. LIABILITY COMPANY. NAME: County; SSNY designated agent for agent of the LLC upon whom process SSNY designated as agent of LLC DEVIANT LLC. Articles of service of process with copy mailed Notice of Formation of E. VILL. LABS against it may be served. SSNY shall upon whom process against it may Organization were filed with the to Attn: Thomas J. Malmud, Esq., LLC, a domestic LLC. Arts. of Org. mail process served to: The LLC, be served. SSNY shall mail process Secretary of State of New York Pryor Cashman LLP, 410 Park filed with the SSNY on 05/12/09. 1049 Fifth Avenue, #8B, New York, to the LLC at the addr. of its princ. (SSNY) on 01/13/09. Office location: Avenue, 10th Floor, New York, NY Office location: NY County. SSNY has NY 10028. Purpose: any lawful act. office. Purpose: Any lawful activity. New York County. SSNY has been been designated as agent upon 10022, All lawful business purposes. designated as agent of the LLC whom process against the LLC may NOTICE OF FORMATION OF LIMITED Notice of Qualification of Thesys HAMID BEHZADI, MD, FCCP, FCCM, upon whom process against it may be served. SSNY shall mail a copy of LIABILITY COMPANY. NAME: EL & EL Technologies, LLC. Authority filed PLLC, a domestic Professional Limited be served. SSNY shall mail a copy process to: The LLC, 526 E 11th St. REALTY LLC. Articles of Organization with Secy. of State of NY (SSNY) on Liability Company (PLLC) filed with the of process to the LLC, 7136 110 St., #18, NY, NY 10009. Purpose: Any were filed with the Secretary of State 1/27/09. Office location: NY County. Sec of State of NY (SSNY) on 5/31/07. 3K, Forest Hills, New York 11375. Lawful Purpose. of New York (SSNY) on 02/09/09. LLC formed in Delaware (DE) on NY office Location: New York County. Purpose: For any lawful purpose. Office location: New York County. SSNY 1/13/09. SSNY designated as agent SSNY is designated as agent upon whom NOTICE OF FORMATION of has been designated as agent of the Notice of Formation of DHJM of LLC upon whom process against it process against the PLLC may be served. PresenceCare LLC. Arts. Of Org. filed LLC upon whom process against it may Development, LLC. Articles of may be served. SSNY shall mail SSNY shall mail a copy of any process with Secy. Of State of N.Y. (SSNY) on be served. SSNY shall mail a copy of Organization filed with Secy. of State process to principal office address of against the PLLC served upon him/her 02/18/09. Office location: New York process to the LLC, 40-39 69th Street, of NY (SSNY) on 06/17/09. Office LLC: 54 Broad St., Ste. 200, Red to c/o National Registered Agents, Inc., County. SSNY designated as agent of Woodside, New York 11377-3835. location: NY County. SSNY designated Bank, NJ 07701. Arts. of Org. filed 875 Ave. of the Americas, Ste. 501, NY, LLC upon whom process against it Purpose: For any lawful purpose. as agent of LLC upon whom process with DE Secy. of State, 401 Federal NY 10001. Purpose: Medicine. may be served. SSNY shall mail St., Ste. 4, Dover, DE 19901. against it may be served. SSNY shall process to: 7014 13th Ave., Suite 202, Notice of Formation of Viceroy mail process to the LLC, c/o Harry J. Purpose: any lawful activity. Notice of Formation of Shade of Braun Brooklyn, NY 11228. Principal busi- Partners LLC. Arts. of Org. filed with Makris, Esq., Milber Makris Plousadis LLC. Arts. of Org. filed with the Sec. of ness location: 41 5th Ave., 14C, NY, NY Secy. of State of NY (SSNY) on & Seiden, LLP, 1000 Woodbury Rd, Notice of Qualification of Financial State of New York (SSNY) on 02/27/09. 10003. Purpose: Any lawful activity. 5/28/09. Office location: NY Co. Ste 402, Woodbury, NY 11797. Federal Funding II, LLC. Authority NY Office location: NY County. SSNY SSNY designated as agent of LLC Purpose: any lawful act or activity. filed with Secy. of State of NY (SSNY) has been designated as agent of LLC upon whom process against it may Please take notice that PR/PR LLC on 5/18/09. Office location: NY upon whom process against it may be served. SSNY shall mail process NOTICE OF FORMATION of was formed on Feb.19, 2009 and arti- County. LLC formed in DE on 2/5/09. be served. SSNY shall mail process to: Faust Oppenheim LLP, Attn: Lovepump United Records LLC. Arts. cles of organization were filed with the SSNY designated as agent of LLC to principal business location: 30 Steven D. Oppenheim Esq., 488 Of Org. filed with Secy. Of State of department of state on Feb. 25, 2009. upon whom process against it may be Waterside Plaza 13H, NY, NY, 10010. Madison Ave., 17th Fl., NY, NY N.Y. (SSNY) on 11/18/08. Office loca- The principal business location is 185 served. SSNY shall mail process to: Purpose: Any lawful activity. West Houston Street, #2H, New York 10022. Duration: 12/31/2059. Capitol Services, Inc., 1218 Central tion: New York County. SSNY desig- nated as agent of LLC upon whom City, in New York county, New York Purpose: any lawful activities. Ave., Ste. 100, Albany, NY 12205. DE Notice of Qualification of COMPETI- process against it may be served. 10014. The Secretary of State is des- address of LLC: 615 South DuPont TIVE MEDIA REPORTING, LLC. The Post Office address to which the ignated as agent of the limited liability SIMCO CAPITAL HOLDINGS LLC, a Hwy., Dover, DE 19901. Arts. of Org. Authority filed with Secy. of State of SSNY shall mail a copy of any company upon whom process against domestic Limited Liability Company filed with DE Secy. of State, 401 N.Y. (SSNY) on 5/15/00. Office loca- process against the LLC served upon it may be served. The post office (LLC) filed with the Sec of State of Federal St., Dover, DE 19901. tion: New York County. LLC formed in him/her is C/O the LLC PO BOX 1182. address within the state to which the NY on 4/15/09. NY Office location: Purpose: any lawful act or activity. Delaware (DE) on 1/4/00. SSNY des- New York, NY 10159. Street address secretary of state shall mail a copy of New York County. SSNY is designat- ignated as agent of LLC upon whom of Principal Business location is: 100 any process against it served upon ed as agent upon whom process Notice of Formation of Noema NYC process against it may be served. Freeman St., #F107, Brooklyn, NY him or her is 185 West Houston against the LLC may be served. LLC. Articles of Organization filed SSNY shall mail process to: c/o United 11222. Purpose: Any lawful activity. Street, #2H, NY., NY 10014.There is SSNY shall mail a copy of any with Secy. of State of NY (SSNY) on Corporate Services, Inc., 10 Bank St., no other registered agent for the LLC. process against the LLC served upon 06/30/09. Office location: NY County. Ste. 560, White Plains, NY 10606. DE The purpose of the LLC shall be for him/her to The LLC, Attn: Mr. Todd SSNY designated as agent of LLC address of LLC: 874 Walker Road, Elite Monk Media, LLC. Arts of Org the off-field marketing and represen- Hollander, 147 Waverly Pl., NY, NY upon whom process against it may be Suite C, Dover, Delaware 19904. Arts. filed with NY Sec of State (SSNY) on tation of athletes and celebrities and 10014 General purposes served. SSNY shall mail process to of Org. filed with DE Secy. of State, 03/20/09. Office: New York County. other activities associated therewith. the LLC, 1 Morton Square, Apartment Townsend Bldg., Dover, DE 19901. SSNY designated as agent of LLC Notice of Qualification of LEX SPECIAL Loft #5BW, New York, NY 10014. Purpose: any lawful activity. upon whom process may be served. NOTICE OF FORMATION OF ASSETS LLC. Authority filed with Secy. Purpose: any lawful act or activity. SSNY shall mail copy of process to: W12LLC. Article of Organization filed of State of NY (SSNY) on 05/20/09. Notice of Qualification of Spring Hill 10 West 46th Street, New York, NY with the Secretary of State of NY Office location: NY County. LLC Notice of Qualification of Morgan Capital Markets, L.L.C. Authority filed 10036. Purpose: Any lawful activity. (SSNY) on May 22, 2009. Office loca- formed in Delaware (DE) on 03/23/09. Creek Capital Management, LLC, with NY Dept. of State on 5/19/09. tion NEW YORK County. SSNY has Princ. office of LLC: 1271 Ave. of the App. for Auth. filed Sec’y of State Office location: NY County. LLC MINE FOR NINE, LLC App. for Auth. been designated as agent upon Americas, NY, NY 10020. SSNY des- (SSNY) 12/26/08. Office location: NY formed in DE on 4/22/09. NY Sec. of filed NY Sec. of State (SSNY) whom process against it may be ignated as agent of LLC upon whom County. LLC org. in NC 8/19/03. State designated as agent of LLC 6/17/09. LLC was organized in DE on served. The Post Office address to process against it may be served. SSNY designated as agent of LLC upon whom process against it may 5/22/09. Office in NY Co. SSNY desig. which the SSNY shall mail a copy of SSNY shall mail process to c/o upon whom process against it may be served and shall mail process to: as agent of LLC upon whom process any process against the LLC served Corporation Service Co., 80 State St., be served. SSNY shall mail copy of Patrick Quinn, 30 Rockefeller Plz., may be served. SSNY to mail copy of upon him/her is Martin Klein c/o Albany, NY 12207-2543. DE addr. of process to Attn: Neil T. Kuyper, 100 41st Fl., NY, NY 10112, principal process to 12 E. 86 St., Apt. 703, NY, Coastal Development LLC. 1 East LLC: 2711 Centerville Rd., Ste. 400, Park Ave., 28th Fl., NY, NY 10017. business address. DE addr. of LLC: NY 10028, which is also the principal 57th Street, New York, NY 10022. Wilmington, DE 19808. Arts. of Org. NC office addr.: 301 W. Barbee c/o The Corporation Trust Co., 1209 NY business location. Required office Purpose of LLC: to engage in any filed with State of DE, Div. of Corps., Chapel Rd., Ste. 200, Chapel Hill, NC Orange St., Wilmington, DE 19801. at 3500 S. DuPont Hwy., Dover, DE lawful act or activity. Street address of John G. Townsend Bldg., 401 Federal 27517. Cert. of Form. on file: SSNC, Arts. of Org. filed with DE Sec. of 19901. Cert. of Org. filed with SSDE, Principal Business location is: 1 East St., Ste. 4, Dover, DE 19901. PO Box 29622, Raleigh, NC 27626. State, 401 Federal St., Dover, DE 401 Federal St., Ste. 3, Dover, DE 57th Street, New York, NY 10022. Purpose: Any lawful activity. Purpose: any lawful activities. 19901. Purpose: any lawful activity. 19901. Purpose: Any lawful purpose.

24 | Crain’s New York Business | July 27, 2009 20090727-NEWS--0025-NAT-CCI-CN_-- 7/24/2009 9:11 PM Page 1

“It takes two months to establish Retailers hit by CIT troubles a relationship with a factor,” says Eateries Mark Engel, founder of IMJ Mar- keting, which uses a factor other Continued from Page 1 bondholders and a possible sale of debts of $7 billion due by June 30, than CIT to help it sell pet products cooking willing to talk on the record about one or more of its businesses, which 2010. and home accessories to retailers the problems he’s experiencing from could include the factoring arm.The Privately owned Rosenthal & such as Wal-Mart and T.J. Maxx. CIT’s downfall. fashion world is rooting for a sale as Rosenthal, Hilldun Corp. and Ster- “How will [vendors] ship goods to- Continued from Page 3 He’s not the only one suffering. a means to stabilize the business. ling Bancorp have been receiving morrow?” been a draw as well. The holiday shopping season is Though 101-year-old CIT lends calls from nervous CIT clients Even worse, some of the smaller But it’s not just discounts draw- right around the corner,and vendors to many businesses, from trans- searching for financing alternatives. factors are ultimately backed by CIT. ing customers.Their appetite for the like Mr.Chaya are worried that they portation companies to health care Mr. Haroutunian says about 10% of newest, most ambitious restaurants won’t get paid; retailers are con- providers, one of its only profitable the companies he advises have al- Retailers are next link in town is returning. Charlie cerned that delayed shipments and operations is factoring to the fash- ready left CIT. self-financed fashion house Palmer’s Aureole reopened in its limited product assortments will ion world. As a factor, CIT provides Though CIT’s competitors are Nanette Lepore sometimes works new digs on West 42nd Street on impact their sales; and CIT’s com- vendors such as Mr. Chaya with ad- hoping to scoop up some of the be- with Hilldun, but Hilldun often re- June 29, and the place has been petitors are circling, hoping to pick vance financing, based on the ven- leaguered lender’s clients, these factors with CIT as its credit insur- packed ever since—despite $130 up new clients if the lending giant dor’s accounts receivable from re- smaller companies aren’t big enough er. “CIT would insure us if some- per person dinner tabs. files for bankruptcy.But the lender’s tailers. Stores typically take up to 90 to accommodate all of CIT’s cus- thing happens to the larger “We thought we could ease into retail business is so huge that its ri- days to pay vendors,and the advance tomers. Hilldun, for example, fac- accounts, but if CIT goes away,we’d the opening,” says the executive vals couldn’t absorb all of its clients. allows manufacturers to produce tors about 350 companies,a fraction have to take on that risk,” says Bob chef, Christopher Lee. “But we are Without CIT’s funding and guar- merchandise for the next cycle.CIT of CIT’s 2,000. Savage, president of Nanette Lep- doing 30% [more business] than we antees, fashion companies from is also an insurer, guaranteeing that “None of its competitors could ore. Hilldun is currently in negotia- had expected.” manufacturers to retailers could vendors will be paid for their goods swallow the huge volume CIT is tions for a credit alternative to CIT. The upscale eatery, which fa- seize up and the entire industry even if the retailer liquidates. Near- factoring right now in the U.S.,”says As the next link in the supply mously operated in an Upper East could be impaired. ly 60% of all U.S. apparel and Kerstin Braun, executive vice presi- chain,retailers are watching careful- Side townhouse for 20 years,is offer- footwear companies use CIT as a dent of Coface North America, a ly. Stores that usually wait 60 to 90 ing a 15% discount on diners’ total Tremendous ripple effect factor. France-based lender also accepting days to pay for merchandise may bills until Sept. 15. “the ripple effects would be CIT got into trouble by dabbling inquiries from CIT clients. have to tap into their own cash re- Even if Aureole is benefiting tremendous,” says Vano Haroutun- in subprime mortgages and student Even a switch to a new factor serves to pay upfront.The stores will from rebirth buzz, New Yorkers’ ex- ian, a partner at law firm Ballon lending—areas it has since aban- presents challenges. Because of sea- be forced to order less inventory,and citement about a fine dining restau- Stoll Bader & Nadler. doned. After the Obama adminis- sonal shipments, vendors work on a the industry will contract further. rant opening cannot be dismissed. Insolvency would impact CIT’s 1 tration declined to give the compa- precise timeline.The paperwork in- “We’re the next domino in danger of “There is no question that we have million clients, including 50,000 ny a second bailout, it got a volved with a move to a different being pushed over,” says J. Craig moved away from that absolute New York state businesses. To raise high-interest $3 billion loan last lender could take months, leaving Sherman, vice president of govern- tight-belt household budgeting,” capital, the lender is considering its week from bondholders to cover a vendors with no immediate source ment affairs at the National Retail says economist Mr. Goldstein. options, mulling various deals with looming payment. But it still has of funding. Federation.  Even so, restaurants that rely on power lunches and corporate events, such as steakhouses or eateries lo- building will be cated in the heart of Midtown, say Moinian’s bills completed in a spending remains weak. few weeks and “We are basically serving the that sales of con- same number of diners as last year,” Continued from Page 3 lieve how great it looks.” A new lob- dos have topped says Matthew Glazier,who co-owns Moinian’s payments on his mort- by and glass facade will debut by $100 million. two steakhouses in Manhattan. gage on 1775 Broadway will swell by year’s end. While Mr. “But we are seeing softness in their 23% early next year, when he has to At this point, even some of Mr. Moinian’s prob- spending.” Revenues at Mr. begin paying back principal.As it is, Moinian’s winners are suffering. His lems are severe, Glazier’s Strip House are off 5% this the building is barely generating transformation of 95 Wall St. from the good news is month from a year ago, he says. enough to cover debt payments. an office building into a luxury resi- that they are Similarly, Beacon’s revenues The building is nearing the end dential rental was widely seen as first- also increasingly were down about 4% in June and of a $60 million renovation designed rate, and the building’s marketing common in real July compared with last year, as chef to boost rents and cash flow. Yet no agent says it is almost fully leased. estate. Faced and owner Waldy Malouf eliminat- new tenants have signed on, leaving with the prospect ed some of the priciest items on the Missed $230 million payment the property roughly two-thirds PROBLEM CHILDREN: Joseph Moinian has already given up 475 Fifth of seizing a forest menu—those over $30—and added empty. yet mr. fasulo notes that Mr. Ave. (left); now 180 Maiden Lane may be in trouble as well. of faltering office less expensive dishes. “People need to see the build- Moinian recently missed a $230 mil- towers, banks are But even Mr. Malouf says the ing,” says James Kuhn, president of lion loan payment on the property. blinking. trend is moving in the right direc- Newmark Knight Frank, who is In addition, rumors abound that dences at 123 Washington St. and “Lenders have been more prag- tion for his Midtown business: “In marketing the property. “This is a he is having difficulty selling units in that the project is in dire straits. A matic and willing to work out deals,” March, April and May, we were off case where people aren’t going to be- his W Downtown Hotel & Resi- spokesman for the developer says the says Mr. Fasulo.  as much as 20%.” 

PUBLIC & LEGAL NOTICES

Notice of Qualification of ALLIED LEGAL NOTICE OF QUALIFICATION of Notice of Qualification of ETF SECU- Notice of Qualification of ReGen Notice of Qualification of AG TALF FUNDING LLC. Authority filed with Secy. Dental Network of America, LLC. RITIES USA LLC. Authority filed with Partners II, L.P. Authority filed with GP LLC. Authority filed with Secy. of of State of NY (SSNY) on 06/19/09. Application for Authority filed with the Secy. of State of NY (SSNY) on Secy. of State of NY (SSNY) on State of NY (SSNY) on 06/29/09. Office location: NY County. LLC formed Secretary of State of New York (SSNY) 06/03/09. Office location: NY County. 6/19/09. Office location: NY County. Office location: NY County. LLC in Delaware (DE) on 06/16/09. Princ. on 03/24/09. NY Office location: New LLC formed in Delaware (DE) on LP formed in Delaware (DE) on formed in Delaware (DE) on office of LLC: 24 Fifth Ave., #705, NY, York County. LLC formed in Delaware 11/24/08. Princ. office of LLC: 6/11/09. SSNY designated as agent 05/22/09. Princ. office of LLC: c/o NY 10011. SSNY designated as agent of on 01/01/09. SSNY has been desig- Rockefeller Group Business Centers, of LP upon whom process against it Angelo, Gordon & Co., L.P., 245 Park LLC upon whom process against it may nated as agent of LLC upon whom 48 Wall St., 11th Fl., NY, NY 10005. may be served. SSNY shall mail Ave., 26th Fl., NY, NY 10167. SSNY be served. SSNY shall mail process to process against it may be served. SSNY designated as agent of LLC process to: The LP, c/o ReGen designated as agent of LLC upon the LLC at the addr. of its princ. office. The P.O. address to which the SSNY upon whom process against it may Capital Partners LLC, 2109 whom process against it may be The DE addr. of LLC and regd. agent of shall mail a copy of any process be served. SSNY shall mail process Broadway, 2nd Fl., NY, NY 10023, served. SSNY shall mail process to the company upon whom and at which against the LLC served upon him is: to c/o Corporation Service Co. (CSC), Att: Elliot H. Herskowitz. DE address c/o Corporation Service Co. (CSC), process against the company can be C/O the LLC 875 Avenue of the 80 State St., Albany, NY 12207-2543. of LP: c/o United Corporate Services, 80 State St., Albany, NY 12207. DE served is Corporation Service Co., 2711 Americas, Suite 501, New York, NY DE addr. of LLC: c/o CSC, 2711 Inc., 874 Walker Road, Ste. C, Dover, addr. of LLC: c/o CSC, 2711 Centerville Rd., Ste. 400, Wilmington, 10001.The Principal Business Centerville Rd., Ste. 400, Wilmington, DE 19904. Name/address of each Centerville Rd., Wilmington, DE DE 19808. Arts. of Org. filed with Jeffrey Address of the LLC is: Two TransAm DE 19808. Arts. of Org. filed with DE genl. ptr. available from SSNY. Cert. 19808. Arts. of Org. filed with Secy. of W. Bullock, DE Secy of State, Townsend Plaza Dr. Suite 500, Oakbrook Secy. of State, Div. of Corps., P.O. of LP filed with DE Secy. of State, State, Div. of Corps., John G. Bldg., 401 Federal St., Ste.3, Dover, DE Terrace, IL 60181. Purpose of LLC: To Box 898, Dover, DE 19903. Purpose: 401 Federal St., Dover, DE 19901. Townsend Bldg., Dover, DE 19901. 19901. Purpose: Any lawful activity. engage in any lawful act or activity. Any lawful activity. Purpose: any lawful activity. Purpose: Any lawful activity.

July 27, 2009 | Crain’s New York Business | 25 20090727-NEWS--0026-NAT-CCI-CN_-- 7/24/2009 9:08 PM Page 1

The Organization Man

Continued from Page 1 One part of Mr.Rivera’s considerable influ- with many of labor’s traditional enemies (in- ence derives from the close ties that he and the cluding big hospitals and Republican bigwigs SEIU have with the White House. SEIU’s Sen. Alfonse D’Amato, Gov. George Pataki February 2008 endorsement of the president is and state Sen. Joseph Bruno) to make his viewed as one of the turning points in his pri- members the highest-paid health care work- mary battle against Hillary Clinton for the ers in the country and make his union the most Democratic nomination, and Mr. Rivera’s for- potent political player in the state. mer political director at 1199,Patrick Gaspard, Now he’s at it again. After a career upend- now heads Mr. Obama’s political operation. ing expectations in New York, Mr. Rivera, 58, “To some degree, Dennis is an independ- has exported his mastery of transactional pol- ent actor, and to some degree, he’s working for itics to the Beltway, appealing equally to the White House,” says David Nexon, senior would-be adversaries’ self-interest and their executive vice president of the medical tech- fears to lure them to the table. But this time, nology association. “That played into making his goal isn’t to extract wage or benefit hikes the process a success and people wanting to get for housekeepers and nurses aides. He has far involved. It’s not too great to be on the wrong bigger objectives: fixing a broken health care side.” system, in which escalating insurance costs The other part:Mr.Rivera is capable of dis- have increasingly forced workers to give up playing a sense of flexibility, rarely seen in a raises at the bargaining table. union leader, which has thrown elected offi- As chairman of the Service Employees In- cials and industry chieftains off-balance time

ternational Union’s health care division, he’s and again. Colleagues say potential opponents landov brought together groups including insurers, inevitably grow to see Mr.Rivera not as a union A RIVERA RUNS THROUGH IT: SEIU leader Dennis Rivera is a regular these days at congressional health care hearings. drugmakers and doctors—all of whom defeat- leader or a special interest, but as a partner. ed previous attempts at reform. In a nation “He has a personality that just naturally grown weary of confrontational politics, Mr. brings people together,” Ms. Ignagni says. ters. Posters facing the street read “Envision fore it gets to crunch time,” says Mary Kay Rivera’s brand of bridge-building has injected “He’s both very smart and very effective, but Affordable Health Care for All” and “Health Henry, international executive vice president civility into a complex process, forging a path also just a lovely person.” Care ’09: We Can’t Wait.” Inside, staffers are of SEIU. “He wants to commit that it’s about to health care reform that has eluded Wash- buzzing about, trying to make the signs’ mes- a relationship, not just a transaction.” ington for decades. A Puerto Rican beginning sages a reality. When Mr. Baucus’ 2008 re-election cam- “He has created a way of thinking about r.rivera,a native of Puerto Rico,ar- Each day is its own campaign, beginning paign rolled around, the SEIU’s 800 Montana health care reform which is much more posi- rived in New York in 1976 and land- with a 9 a.m. meeting to map out strategy. A home care members played an active role—a tive for these various organizations than per- M ed a $200-a-week job with what was media response team monitors the news being show of support that did not go unnoticed. haps their histories would show,” says Ken- then known as Local 1199. He was elected broadcast on half a dozen flat-screen televi- Treating Mr. Baucus as a partner rather neth Raske, president of the Greater New president in 1989 and quickly emerged as a sions. A dry-erase board details hearings tak- than a target, Mr. Rivera asked him for feed- York Hospital Association and one of Mr. major player in the city,where his doggedness ing place on Capitol Hill. And workers, armed back on the union’s health care education cam- Rivera’s unlikely partners. and charisma helped Daily News workers beat with 32 million e-mail addresses,prepare mes- paign in Montana. And, as his Senate com- back an attempt to bust their union, and con- sages that can be sent at a moment’s notice. mittee grappled with ways to pay for reform, Strange bedfellows tributed to David Dinkins’ mayoral election In that war room, officials decide how to Mr. Rivera previewed for Mr. Baucus SEIU’s arlier this year, Mr. Rivera went to win. deploy a budget of $10 million plans to get major employers, including Wal- Nancy-Ann DeParle, director of the During his tenure, he over- Says one and an army of 400 SEIU staff mart, to agree to a mandate that they provide EWhite House Office of Health Reform, saw a quadrupling of the and members who are fanned insurance to workers. and told her he wanted to bring together var- union’s membership, which hit out across 16 priority states. When the Arkansas retail giant publicly ious industry players to work on a way to im- 300,000,and he partnered with unlikely Union leaders have identified supported the mandate, it not only helped the prove quality of care and cut 1.5 percentage hospitals to stave off billions of 20 senators and nine represen- union advance its cause, it also advanced Mr. points from the annual health care spending dollars in cuts and to pioneer partner, tatives they believe need some Baucus’bargaining power among conservative growth rate, saving $2 trillion over 10 years. low-income insurance pro- swaying to the cause of reform, Democrats and moderate Republicans. Others had approached Ms. DeParle with grams such as Child Health ‘Dennis is a and researchers have produced “He’s trying to deal with the cards that such ideas,but she had dismissed them,think- Plus and Family Health Plus. 100-page dossiers on each of have been dealt to him—namely,that it’s very ing that it would be too much work and that Universal health care has great friend them. The reports contain de- difficult to round up 60 senators in the U.S. not all of the groups were trustworthy. been the holy grail of the labor tailed information ranging Senate,” Mr. Rivera says. “So we offered to “But when Dennis came and started talk- movement for decades. But the and a potent from lists of associates who help.” ing about it, he made it seem possible,” she pursuit has become more fren- might influence these legisla- By last month,the relationship had become says. “He bridges gaps between the right and zied in recent years, as union enemy’ tors to notes about how they sufficiently strong that Mr. Rivera invited the left in a way not many people can do.” negotiators have been forced to typically respond to TV ads lawmaker to update SEIU’s executive board Mr.Rivera convinced the leaders of five key give up raises in order to main- that protest their positions. on the status of health reform within the Sen- industry players—the Advanced Medical tain increasingly expensive The union has drawn up ate. Mr. Baucus opened by saying that he had Technology Association, America’s Health health benefits. With more specific plans to target each not previously understood the union very well, Insurance Plans, the American Hospital As- than half of SEIU’s members earning less than elected official, ranging from writing letters but that his perception matured considerably sociation, the American Medical Association $40,000 a year, that trade-off is tough to bear. and making phone calls to bird-dogging and throughout the health debate, according to and the Pharmaceutical Research and Manu- “The reality is, we cannot solve the prob- holding sit-ins. If an official typically doesn’t Ms. Henry. He said it was great that he could facturers of America—to join SEIU and lem of our members’ wages if we don’t solve respond to union pressure, it’s duly noted, and converse with SEIU officials about their dif- White House officials for a series of seven the health care crisis,” Mr. Rivera says. sympathetic leaders from religious or women’s ferences instead of reading about them in the meetings in May. “Once you have trust, you “There’s no bigger mission.” groups have been primed to work them over. press, she recalls. can have very candid conversations,” says Mr. However, Mr. Rivera doesn’t merely repre- Last week’s delays in the Senate set the stage “We share the goal of ensuring quality, af- Rivera, who chaired the meetings.“We might sent 2 million people who are consumers of for the union to ramp up efforts in officials’ fordable health care for all Americans, and he have sincere differences of opinion, but there’s health care. Among them are 1 million health home towns during the congressional recess. is a tireless fighter in that effort,”says Mr.Bau- a genuine recognition that health care in this care providers, ranging from doctors to dieti- “Dennis is a great friend and a potent ene- cus of Mr. Rivera. “He has been invaluable to country is not working and needs to be reor- cians. They give Mr. Rivera a perspective on my, and most people do not want to be on the the reform process.” ganized.” the many fault lines in the nation’s health care enemy side of that statement,” says Mr. Raske Beyond his success in forging relationships The talks didn’t focus just on cutting ex- system. of the Greater New York Hospital Associa- with the likes of Mr.Baucus and industry lead- penses, but also on improving quality of care. Transformation of that system into one tion. ers, Mr. Rivera believes that victory will come “If all you concentrate on is cost and ignore that covers everyone, improves quality of care, not in closed-door sessions in Washington, process, what you get are people who buy controls costs and includes a government-run Courting Max Baucus but at senior citizen pancake breakfasts in lighter-weight paper clips,” says George option may sound like a stretch, but Mr. ne man Mr. Rivera has come to know Montana and political house parties in Iowa. Halvorson, chief executive of California- Rivera believes it can be done. His idealism surprisingly well is Max Baucus, chair- He’s built coalitions with more traditional al- based Kaiser Permanente,who participated in does have a limit: He concedes that his dream Oman of the mighty Senate Committee lies such as AARP,the American Cancer So- the discussions.“If you make the process more of a single-payer system won’t materialize this on Finance, one of five congressional panels ciety, Consumers Union and advocacy group elegant, then 99 out of 100 times, you also end time around. shaping the health care legislation. A conser- Families USA, all of which can help sway a up with lower costs.” vative Democratic veteran from Montana, majority opinion in favor of reform. The leaders of the six participating groups Inside the war room Mr. Baucus had virtually no history with “I have no doubt that if the legislators in the wrote a joint letter to President Barack Oba- r. rivera, typically dressed in a crisp SEIU before Mr. Rivera began to build one Senate and the House perceive that the over- ma, detailing what each would do to help reel black suit and deep-purple SEIU tie, last year. He started by listening to the senator whelming majority of the people want this to in out-of-control health care costs. During a Mheads out of his Washington apart- about the latest goings-on in Billings and happen, it will happen,” Mr. Rivera says. White House press conference, the president ment early each morning to an office in the Butte, not the Beltway. “Keeping a mass movement for health care is hailed the effort as “historic.” ground-floor “war room” at SEIU’s headquar- “He allows for a relationship to develop be- the most important thing.” 

26 | Crain’s New York Business | July 27, 2009 20090727-NEWS--0027-NAT-CCI-CN_-- 7/23/2009 7:52 PM Page 1

Average2.86 number of TV sets per U.S. home, vs. 2.5 people BUSINESS LIVES Source: Nielsen Wire HOT JOBS GARDENING GURU: EXECUTIVE Kennon Kay is hooked INBOX on farm work.

CHIEF RATINGS OFFICER Anne Fisher COMPANY Standard & Poor’s JOB DESCRIPTION Leading the Recruiters’ company’s bond-rating business MOST IMPORTANT TASK Figuring sneaky methods out how the company should for discovering work under increased regulation CREDENTIALS NEEDED A strong the real you financial background Do you put salt on your food SALARY Upward of $600,000, before you taste it? When sources say behind the wheel of a car, do you RECRUITER Undecided tend to be impatient or even a bit DOWNSIDE Executive will be aggressive? Or are you too under scrutiny by the Obama cautious, stopping at yellow administration, which is looking to lights? On the golf course, do you tighten regulation go easy on yourself and shave a UPSIDE Exec will hold a high-pro- stroke off your score here and file position—one of the few big there? Be warned: Any of these openings in finance right now behaviors could cost you that job McGraw-Hill Cos., S&P’s parent, you’re after. recently moved longtime ratings “Right now, the market for chief Vickie Tillman to a different executive talent is so position within the company. The competitive, with so many move was one of many personnel thousands of résumés changes in the past few years. In circulating, we use these August 2007, former S&P Presi- ‘personality tests’ to figure out dent Kathleen Corbet stepped who you really are and how well aside and was replaced by Deven Sharma. Last summer, four senior you’ll fit into a given culture,” ratings executives left the firm. says Andy Sherwood, a —MIRIAM KREININ SOUCCAR managing director at recruiter Stanton Chase International. The driving and golf behaviors seem clear enough hints of possible trouble ahead, but EXECUTIVE MOVES what does salting your food Fortress Investment before you taste it reveal?

Group: Daniel H. buck ennis According to Mr. Sherwood, it Mudd, 50, was could signal you’re a slave to appointed to the GOTHAM GIGS habit and “inclined to react in position of chief a programmed way when faced executive, replacing with certain decisions.” Wesley R. Edens, a Mr. Sherwood says he and his Fortress co-founder, effective Aug. 11. Mr. colleagues have gotten more Mudd currently serves on the firm’s Down on the farm creative in interviews, too. He board of directors and will retain that likes to ask, for instance, whether position. Most recently, he served as your former bosses had any neg- president and chief executive of Fannie few new yorkers wake up in a cramped Brooklyn apartment and ative traits in common. “People Mae. He has also served as president Working then spend their day harvesting tomatoes and corralling chickens on will often project their own faults and chief executive of GE Capital Japan into their answer,” he says. and president of GE Capital Asia- in the city a 47-acre farm just a subway ride away. Yet that’s Kennon Kay’s life Pacific. as manager of the Queens County Farm. ¶ Ms. Kay came on board Another sneaky question: Ernst & Young: Bob Lehman, 49, was allows “Tell me about your parents.” named global leader of the real estate six months ago as part of the 312-year-old farm’s plan to ramp up Says Mr. Sherwood, “Parents’ investment trust practice. He will ‘some production in response to interest in local food. A museum since values are usually also the continue in his current role as Northeast 1973, it’s also the only working historic farm in town. ¶ Ms. Kay candidate’s.” real estate industry leader. His advice to executive job Russell Investments: degree of works six days a week, from 7 a.m. until 5:30 p.m., primarily caring seekers: Ask some tough Stephen Wood, 42, was for a two-acre vegetable patch. Her other duties include cleaning promoted to chief a social questions yourself. “You want market strategist, out animal pens. An example of a bad day: when the geese ate her to know why this job is open, how North America, at the life’ entire crop of broccoli. ¶ The 26-year-old Providence, R.I., native, many people have held it in the investment services who attended elite Amherst College, surprised her parents with her past five years, whether they got firm. He was formerly promoted, why they left,” he senior portfolio choice of profession. But when she worked on an Oregon farm strategist. says. After all, the company may Jefferies & Co.: Robert Leone, 38, was during the summer of her junior year, she was hooked. ¶ Since be interviewing you, but you’re named managing director and senior then, she has hoed and weeded her way around the country. But she interviewing them, too. high-yield trader. He joins the plans to stick around New York for a while. ¶ “It’s pretty amazing to investment bank from Deutsche Bank, ARE “PERSONALITY TESTS” A FAIR where he served as managing director in work in the city,” Ms. Kay says. “I can maintain some degree of a GAUGE OF JOB CANDIDATES? Tell us at See EXECUTIVE MOVES on Page 29 social life.” —miriam kreinin souccar www.crainsnewyork.com/execinbox.

July 27, 2009 | Crain’s New York Business | 27 20090727-NEWS--0028-NAT-CCI-CN_-- 7/24/2009 3:13 PM Page 1

RÉSUMÉ REVIEW It’s always Showtime Is your job search all it could be? We ask the experts. Quality programs worry about advertising. compelling products.Now [HBO] is doing pretty well. Frankly, the way NAME ROBERT L. CONSTABLE help cable net in its Water-cooler shows in recent years have the premium TV business works is OBJECTIVE included Dexter, Weeds and now Nurse there’s a lot of room for all of us. To find a position in strategic sales/business battle with rival HBO Jackie. That’s after many dry years. development where building long-term What went right? You’re spending less on movies for relationships is paramount When you’re successful, it works for Showtime than you used to. Why? BY MATTHEW FLAMM you in many ways. One way is by at- It allows us to be more aggressive in EXPERIENCE tracting people to the network,both our pursuit of original program-  IAC/InteractiveCorp, 2002-08: vice president, affiliate sales/marketing, howtime ceo Matthew behind and in front of the camera, ming. When was the last time you Home Shopping Network Blank’s dream of attracting that we might not have had a chance heard somebody talk about a movie Managed 45 million-subscriber footprint representing $800 million in the kind of quality program- of attracting years back. You can [on a premium channel], as op- revenue and $75 million in annual distribution fees ming that used to be the ex- imagine how many offers Edie posed to talking about Weeds or  USA Interactive, 2000-02: vice president, affiliate sales/marketing Sclusive domain of rival HBO has fi- Falco had coming off of The Dexter? Managed cable distribution relationships representing $125 million in nally come true. Sopranos, and she chose to annual license fee revenue Nurse Jackie, starring Edie Falco, do Nurse Jackie. What do you do when you’re not  Disney-ABC Networks, 1995-99: director, affiliate sales /marketing, had the strongest debut in Showtime watching TV? Eastern region, Disney Channel, Toon Disney and Soap Net history. And HBO didn’t have hit shows I read a lot. I’m actually one of Grew business to 10.8 million subscribers from 4 million and to $128 the channel ready when Sex and the City and those people who read a couple million in revenue from $65 million recently re- The Sopranos ended. Did of books a week—crime EDUCATION MOVERS & ceived a rec- that help novels, spy novels J.L. Kellogg Graduate School of Management, Northwestern University, SHAKERS ord 29 Emmy Showtime? and nonfiction. M.B.A., 1995; Lafayette College, B.A., 1985 nominations. HBO set the I’m a big Kindle Résumé appears in condensed form. Showtime bar very high user. And I play a Matthew still lags Time for several years lot of golf, with EXPERT ADVICE Warner’s with a number diminishing re- This is a very impressive CV. In addition to cable and media companies, Blank HBO, which of shows, and turns. venture capital firms that focus on technology might be interested in your had estimated we feel very skills. Telecommunications companies are good sectors to explore. Recon- revenue in fortunate that Really? nect with former colleagues, schoolmates and friends using LinkedIn and 2008 of $3.7 billion, according to as those shows What’s your Facebook. —susan gluck pappajohn, principal, Phillips Oppenheim SNL Kagan—or about triple left we were handicap? Showtime’s. But it’s one CBS there with My desire to To contact this candidate or to be featured in Résumé Review, e-mail Corp. division that doesn’t have to some very play. I [email protected].

Most Top Verdicts of last year? McKool Smith

28 | Crain’s New York Business | July 27, 2009 20090727-NEWS--0029-NAT-CCI-CN_-- 7/24/2009 3:13 PM Page 1

Complimentary Webinar

president of business development at the EXECUTIVE MOVES interactive television advertising firm. Need Funding for She was most recently chief marketing Continued from Page 27 officer at 24/7 Media Inc. Hiscock & Barclay: Todd Lamb, 42, the high-yield bond and credit default Your Small Business? joined as partner. He was formerly a swap trading group. Venable: partner at Cozen O’Connor. Jorian Rose, 39, joined the law Razor & Tie firm as partner. He comes from Entertainment: Kerri Macquarie Capital USA Inc., where he Brusca, 32, was had been a managing director. promoted to vice Event Title: ION Media Networks: Kristine Hunsinger, Want to know how to get reduced rate loans president of media 36, was appointed senior vice president and artist relations or secure capital? Need advice and assistance Money for Your Small Business of planning, scheduling and from senior director of acquisitions. She was formerly vice media and artist in running your business? president of scheduling and acquisitions Date: Tuesday, July 28, 2009 relations. at Lifetime Television. Chapman & Cutler: Charles Tricomi, 51, Lenox Advisors: Scott Greenfield, 39, was Find out what's available and how you can tap into the was named partner at the law firm. He Time: 12 p.m. EST named senior vice president of sales had been a partner at Sidley Austin. rapidly expanding small business assistance programs being management at the wealth management Wizard magazine: Mike Cotton, 33, was offered by the city, state and federal government at a Crain's firm. He previously served as agency Duration: 1 Hour promoted to editor of the Wizard sales director at MetLife. New York Business webinar moderated by editorial director iVillage Networks: Entertainment publication from managing editor. Greg David, on Tuesday, July 28. Susanna Schrobsdorff, Featured Programs: Colliers ABR Inc.: Eric 46, was named J. Thomas, 32, joined NYC Business Solutions executive editor. She Top officials from each agency will present clear and easy to the commercial real had been the health digest information on the key programs being offered. You'll be NYC Business Express estate firm as director. and life editor at He was formerly a vice able to ask specific questions that can help you decide whether Capital Access Newsweek.com. president at Jones Entrepreneurship Initiatives Nixon Peabody: Robert to apply for aid and how to go about it. Lang LaSalle. Ansehl, 55, joined the Davis Polk & Wardwell: State Help law firm as partner in the insurance and Timothy Graulich, 39, Why Attend? SBA Loans reinsurance practice group. He was was promoted to partner at the law firm formerly a partner at McDermott Will from counsel. & Emery. • Hear from city, state and federal representatives Sponsored By: Kidz Bop: Sasha Junk, 35, was named Stone & Youngberg: Jeff vice president of public relations for the on what programs are in place to help you succeed Hyman, 43, was children’s music brand. She previously appointed managing • Find out about loans and financing information served as senior vice president and director and head of managing director at The Morris + King national underwriting • Get your questions answered by the experts Co. in the municipal bond Fulbright & Jaworski: Stephanie department at the Heilborn, 35, joined as partner in the financial services firm. law firm’s trusts and estates practice. She He was most recently a Space is limited, register today for this FREE webinar comes from law firm Heilborn, which managing director at J.P.Morgan. Sterling Resource Funding Corp.: she founded. IBA Consulting & Engineering: Gregory www.crainsnewyork.com/events Stephen Leavenworth, 42, was named Warren, 52, was named director of managing director of commercial international business. He joins the firm finance at the subsidiary of Sterling from CMA Development Group, where National Bank. He joins Sterling from he had been chief development- CIT Group, where he was senior vice construction executive. president and national director of CIT Innovation Fuels: Karen Johnson, 39, was commercial credit. Corinth Marketing and named vice president of business development at the renewable energy Public Relations: Paul company. She most recently served as McDade, 43, joined regional sales manager at Crossmark. the firm as full partner. —maia blume He most recently served as director of the worldwide health EXECUTIVE PROMOTIONS care practice at Hill & The fastest way to get an announcement into Meet Rudy Giuliani Knowlton. Crain’s is to submit details online. Fill out the form BrightLine iTV Marketing Specialists: Meg at www.crainsnewyork.com/submit. The Meurer Brossy, 48, was named senior vice Executive Moves column is also available online. Former Mayor Giuliani will discuss how to fix the nation's economy and President Obama's policies as well as the eco- nomic and political problems in New York state. Mr. Giuliani, CORPORATE LADDER who is considering a run for governor, will also be asked about COMMUNITY ACTIVIST BRINGS HISTORY his own future plans. He will be questioned by Crain’s editorial director Greg David, and OF SUCCESS TO NONPROFIT Melissa Russo from WNBC-TV. SPONSORED BY: Richard Buery Jr., 37, was appointed president and chief executive of the Children’s Aid Society and will replace C. Warren Moses in October. He will DATE: Thursday, July 30, 2009 join the agency from Groundwork Inc., a nonprofit that works with families living in public housing in Brooklyn, which he co-founded. Mr. Buery has Crowne Plaza Times Square, 1605 Broadway at 49th St spent his career running organizations that serve underprivileged PLACE: communities in urban areas. As an undergraduate at Harvard College, he co- TIME: 8:00-8:30 am Networking Breakfast founded the Mission Hill Summer Program, 8:30-9:30 am Program an academic summer camp for children from the Mission Hill Housing Develop- ment in Boston. Upon completing his TICKETS: $70 for individual tickets if pre-registered by Jul 23; $75 thereafter. degree at Yale Law School, he co-founded $650 for table(s) of ten if pre-registered by Jul 23; $750 thereafter. iMentor, a program for middle school and high school students. Despite an expected decline in fundraising and a You must be pre-registered to attend this event. No refunds permitted. slightly tighter operating Pre-register online by going to crainsnewyork.com and clicking on “Events”, budget of $106 million, the or fax your business card and credit card information to “Giuliani Breakfast” at Children’s Aid Society is 212-210-0499. For more information, call the Events Hotline at 212-210-0739. weathering the recession better than many other nonprofits. —maia blume buck ennis

July 27, 2009 | Crain’s New York Business | 29 20090727-NEWS--0030-NAT-CCI-CN_-- 7/24/2009 5:42 PM Page 1 chemex / INSATIABLE CRITIC WORKSHOPS flickr.com Gael Greene TUESDAY, AUGUST 4 THE JOIN MESSAGE MEDIUM for a hands-on workshop on blogging for small businesses. The event is from 6 p.m. to WEEKS 9 p.m. on West . The fee is $150, and preregistration is required. Gastropub lives Contact (800) 592-7056, ext. 601,or [email protected] for the AHEAD complete address and other details. AUG. 3-16 TUESDAY, AUGUST 4 up to its label CAMBA WILL HOST A WORKSHOP on how to survive debt and rebuild your credit. CONFERENCES The program runs from 10 a.m. to buck ennis Gus and Gabriel goes TUESDAY, AUGUST 11 1 p.m. at 884 Flatbush Ave., second JOIN FUNDINGPOST AND DUANE MORRIS floor, Brooklyn. The workshop is free, heavy on comfort for a conference on early-stage venture and preregistration is required. Call WHAT HE’S investing. The conference is from 2 (718) 282-2500 for more information. food, light on guilt p.m. to 6:15 p.m. at Duane Morris, READING 1540 Broadway.Tickets range from $75 CULTURAL EVENTS s if he has not already to $350. For more information, contact MONDAY, AUGUST 10 LIN-MANUEL MIRANDA—creator of brought a giant measure (800) 461-5509 or THE TULSA BALLET PERFORMS at the the Tony Award-winning hit In the of comfort to our town’s [email protected]. Joyce Theater, 175 Eighth Ave. The Heights—performed for the

buck ennis show runs Aug. 10-15, at 7:30 p.m. eating scene—Anthos LECTURES Obamas’ first poetry jam in the for thrill-seeking gour- MUST-HAVE: The pulled-pork Cuban Monday through Wednesday, 8 p.m. TUESDAY, AUGUST 4 Thursday and Friday, and 2 p.m. and 8 White House. The invitation was Amands, Mia Dona and Anthos Up- THE NEW YORK SOCIETY OF SECURITY p.m. Saturday.Tickets range from $19 especially meaningful to Mr. stairs for downsized budgets, Kefi GUS AND GABRIEL ANALYSTS will be holding a lecture on to $39. To purchase tickets, contact Miranda, since he spends most of for the howling masses—now star 222 W. 79th St. forecasts for the market and economy (212) 242-0800. his free time reading biographies chef Michael Psilakis seeks to (212) 362-7470 from 11:30 a.m. to 2 p.m. at 1177 Sixth of presidents and other giants in THURSDAY, AUGUST 13 smother the Upper West Side in Ave. Fees are $75 for members and American history. Mr. Miranda $115 for nonmembers. For more SEE A FLOWERING TREE, A NEW OPERA BY comfort. The menu for his brand- ½ says his father’s profession—Luis new Gus and Gabriel, stuffed into information, call (646) 871-3405. JOHN ADAMS, at the Rose Theater at CUISINE Miranda is a political consultant the tiny pocket that was once Kefi, Gastropub Lincoln Center, 33 W. 60th St., at 7:30 NETWORKING RECEPTIONS who has worked for Hillary Clinton reads like a sheltered Greek boy’s PRICE RANGE Entrées, $11.95 to p.m. Additional dates are Aug. 14 at WEDNESDAY, AUGUST 12 7:30 p.m. and Aug. 16 at 5 p.m. Tickets and others—may have helped fuel dream of how Americans eat. I $23.95 JOIN STARTUPALPHA.COM FOR A TECH range from $40 to $90. For tickets and imagine the young Michael, in the his interest in the genre. SERVING Dinner, seven days VENTURE FORUM AND RECEPTION at information, call (212) 875-5000. Recently, the 29-year-old sequestered tradition of his trans- Select Office Suites, 1115 Broadway. planted Greek family, eating meat- RESERVATIONS Not accepted The event runs from 6 p.m. to 8 p.m., FRIDAY, AUGUST 14 composer and lyricist was poring over Alexander Hamilton, by Ron balls in yogurt while longing for PAYMENT Cash only and entrance is $20. Preregistration is JOIN THE GUGGENHEIM MUSEUM FOR ITS BBQ-pork-cheddar-jalapeño Tater required. Call (646) 529-5330. 50TH ANNIVERSARY CELEBRATION with a Chernow. “People might be Tots and a chocolate malt. NOISE LEVEL Disconcerting documentary film.The museum is at surprised to know this about me, THURSDAY, AUGUST 13 Well, now he has his own fanta- 1071 Fifth Ave., and screenings are at 10 but I’m not happy unless I’m I can’t wait to return. JOIN STATE FARM, HEINEKEN, AMERICAN a.m., 10:30 a.m. and 5 p.m. Entrance is sy paradise—named for his father reading a biography about FDR I will definitely go back. AIRLINES AND HILTON HOTELS MEXICO for free with museum admission: $18 for and his son. or Lincoln,” Mr. Miranda says. I’ll let them simmer a while. the LatinVision Hispanic business adults, $15 for students and seniors, free On our first visit, we take one networking event from 6 p.m. to 9 p.m. for members and children under 12. Call “I’ve become a huge history buff.” long look at the menu and lose all NO HATS Never again. at Orensanz Foundation, 172 Norfolk (212) 423-3500 for more details. —MIRIAM KREININ SOUCCAR control. We must have “Loaded po- St. The fee is $30. Contact —maia blume tato skins,” “Mexi mac ’n cheese,” a (646) 519-2452 or [email protected]. towering bacon and cheddar burger, and jelly cupcake,” cry friends across PROGRAMS & SEMINARS the pulled pork Cuban. Yes, yes, yes the room. Before the three of us can THURSDAY, AUGUST 6 and might as well get the crab cake, protest, a splendid peanut butter and LEARN HOW TO ANSWER DIFFICULT too, and—for comic relief—the jelly fluff-coiffed goodie arrives, as INTERVIEW QUESTIONS with The Five American salad. well as marvelous warm apple crisp O’Clock Club from 6:30 p.m. to 8:30 We tuck into a prettily acces- with burnt caramel and toffee crunch. p.m. at CUNY Graduate Center, 365 sorized crab cake on a puddle of tar- Memories of next morning’s dys- Fifth Ave., C-198. The fee is $50. tar sauce with jicama slaw and wings pepsia only take a day or two to fade, Contact [email protected] or of romaine. Feathery leaves ride the and a week later we’re back, fully re- (516) 425-5456 for more information. skyscraper burger too. Reveries on a covered but wary. Happily the MONDAY, AUGUST 10 night of insomnia might have in- kitchen seems to be settling down, SUMMER SCOOPS LIVE and The Wall spired macaroni baked in a too,easier on the salt. Buttered sweet Street Journal will be hosting a jalapeño-detonated béchamel with corn and jalapeño soup is good, but discussion of music and entertainment sour cream, pico de gallo, pulled the black bean with avocado and in the digital age at 7:30 p.m. at the pork,salsa verde,Monterey Jack and shreds of pork is even better.A dozen Stanley H. Kaplan Penthouse at cheddar, but it’s properly crusty and spicy soft meatballs marinara stuffed Lincoln Center, 10 Lincoln Center fast disappearing with murmurs of into a hollowed-out hero,big enough Plaza. The fee is $25. Call ecstasy and suppression of the usual to frighten a small dog, is not for me. (212) 721-6500 for tickets. erin baiano guilt. Alas, the salad has a wilted, And the sensational biscuits are the TUESDAY, AUGUST 11 forlorn indifference. (That will best thing on a generous $13.95 “bat- JOIN NEW YORK CITY BUSINESS EDITOR’S PICK teach us to try eating healthy.) terless”fried chicken plate (dried-out SOLUTIONS to learn to use QuickBooks Then Psilakis sends up sherry- bird) with mashed potatoes and to track spending and expenses. The FRIDAY, AUGUST 14 The City Parks Foundation’s honey-molasses glazed pork riblets grilled corn. But I’d be back for the program runs from 6 p.m. to 8 p.m. at SummerStage presents an evening of music and ballet with on potato puree, and a big swamp of splendid mile-high burger with 9 Bond St., second floor, Brooklyn, and nachos with odd plops of chili, re- Gruyère and a fried egg on top. is free. Preregistration is required. For Morphoses/The Wheeldon Company. Both the music and fried beans, guacamole, salsa and Now busboys in black shirts with more information, call (212) 639-9675. the choreography were commissioned by the City Parks sour cream and unorthodox slivers white Gus and Gabriel silhouettes WEDNESDAY, AUGUST 12 Foundation. The free performance, which will take place at of bell peppers. The secret ingredi- have carted away the debris. My COME TO A SEMINAR ON GREEN SummerStage at Rumsey Playfield in Central Park, runs ent tonight is sour cream. And salt. friend and I are studying the dozen MARKETING hosted by the Enterprise Pickled jalapeño is a fetish, too.The or so floats and shakes listed with Center at the Fashion Institute of from 8 p.m. to 10 p.m. and will be repeated on Saturday, bare wood tabletop looks like a food their optional rum, bourbon, tequila Technology from 6 p.m. to 8:30 p.m. at Aug. 15. Enter the park at Fifth Avenue and East 69th Street fight. Given the theme of hunger and Baileys Irish cream. For $5.95 Seventh Avenue and West 27th Street. and regret, I am almost grateful that we will end the evening in adolescent The fee is $25 for one seminar or $125 or at Central Park West and West 72nd Street. For infor- the burger is rubbery and slightly off bliss. Two fat straws for the Jim for the series of six seminars. For more mation, contact (212) 360-2777 or and that the soft potato shells over- Beam spiked vanilla shake that es- details, contact (212) 217-4623 or flowing with chili, cheddar, Mon- corts a caramel ice cream sandwich [email protected]. terey Jack,bacon,sour cream are not between triple chocolate cookies.  the crusty patrician beauties of MON. TUES. WED. THURS. FRI. SAT. SUN. childhood memory. Copyright © 2009 by Gael Greene. 8.10 8.11 8.12 8.13 8.14 8.15 8.16 “You must have the peanut butter Read more at www.insatiable-critic.com.

30 | Crain’s New York Business | July 27, 2009 20090727-NEWS--0031-NAT-CCI-CN_-- 7/24/2009 8:50 PM Page 1

THE CHEAT SHEET Swine flu, aka H1N1, WEEK isn’t dead. It’s merely incubating in the petri ON THE dish called summer camp. HOW BAD WILL IT GET? They call WEB it pandemic for a reason. In June, when flu season is usually a faint JULY 20-26 memory for beachgoers, the World Health Organization raised the H1N1 alert to its highest level, CRAINSNEWYORK.COM Phase 6, and declared the contagion to be globally pervasive and uncontainable. “We could have an early, severe flu season,” says Dr. Richard Daines, New York state’s health commissioner. “The severity may depend on how the flu virus changes during the Southern Coney Island, Hemisphere’s flu season.” WTC inch ahead WHERE DO WE STAND? More than 60,000 people have flooded the city’s emergency rooms since April 1 to check out flu-like symptoms, but aiting for officially just 2,738 New Yorkers have been classified as infected, according to the Centers for Disease Control and Prevention. Swine flu, Coney Island which officials say is less contagious than they first thought, has already W redevelopment killed 63 people in the state. to progress can be like stand- WILL A VACCINE BE READY BY FALL? Well, that’s complicated.Those ing on line for a Fourth of considered most at risk (children, the elderly, diabetics, asthmatics, July spin on the Cyclone: You pregnant women) will need three shots—one of regular Tamiflu vaccine, linger so long you occasion- and two with H1N1 vaccines—at different times. And a full supply won’t ally forget why you’re there. getty images be available right away. The line inched forward last week as the City Council’s land-use committee approved the WHAT ARE NYC’S BIGGEST EMPLOYERS DOING? Prepping for the worst. zoning changes needed for the city to redevelop the area with new amusements, housing and “Because we go 24/7, this is crucial to us,” says Chris Olert, a spokesman for Consolidated Edison, which assembled an H1N1 team in the spring shops.The full council is expected to vote this week, but officials are still trying to negotiate a to address the flu’s risks for its 14,000 local employees. If a neighborhood buyout of Coney Island’s largest private property owner, Joseph Sitt. is hit particularly hard by the flu, Con Ed would limit its workers’ Elsewhere in the land of slow progress, the wait to rebuild the World Trade Center site is exposure by asking customers to read their own meters and phone in the nearing its eighth year. Gov. David Paterson stepped in to help negotiate a deal between results. If a large number of staffers were sickened by flu, the company would switch to 12-hour schedules and loosen up its sick-time policy to developer Larry Silverstein and the Port Authority of New York & New Jersey.The Port accommodate. “The company’s made a point,” Mr. Olert says, “to take Authority, by the way, loudly promised last week to finish prepping land for construction and this seriously and be prepared.” finally turn it over to Mr. Silverstein to do his thing—in, ahem, about eight more weeks. —elisabeth butler cordova and barbara benson

MARKETS SERVED UP A REFRESHING TONIC, as dozens of companies reported higher-than-expected second-quarter profits and optimistic second-half forecasts and the Dow closed above 9,000 for the first time in six months. Investors also bravely returned to other investments, pouring $100 billion into hedge funds during the second quarter, according to a In the Lead report from Hedge Fund Research Inc. Startups continued to lag, however, as funding for the metro area’s venture capital firms dropped nearly 30% to $276.2 million, according to PricewaterhouseCoopers. LUXURY RETAILER NORDSTROM CHOSE MANHATTAN’S UNION SQUARE for its next off-price Nordstrom Rack store, a move that will surely test the neighborhood’s side- walk capacity.The Seattle-based clothier has long been rumored to want to open a full-priced department store in the city, but the recession-resistant discount outlet, slated to open next spring, may be the smarter first move. GEORGE COMFORT & SONS FINALLY SEALED ITS DEAL for Harry Macklowe’s Worldwide Plaza at 825 Eighth Ave.The real estate partners had been flirting with the purchase for months, and the 1.8 million-square-foot sale will be one of the biggest transactions of the year. THE RECESSION TAKES ANOTHER BITE OUT OF THE RESTAURANT SCENE. Surf-and-turf eatery City Lobster & Steak filed for Chapter 11 bankruptcy protection. Located in the expense-account lunch haven of midtown, the restaurant owes more A WHISTLE-BLOWER than $500,000 to creditors, according to the filing. Today, more than ever, you have to keep ahead of your competition. For more FOUND VINDICATION—AND A $10 MILLION REWARD—after New York state and city agreed to pay the federal government $540 million to settle than 50 years, weʼve been helping our clients do just that. From audit, tax, advisory charges that they had benefited from false Medicaid claims over a seven- and litigation support to executive search, technology and financial services, our year stretch.The city will fork over $100 million. THIS WEEK IN MASS- TRANSIT TERROR: A court case unsealed last week revealed that U.S. native trusted advisors know what it takes to set you apart and keep you there ‒ even in the Bryant Neal Vinas has been charged with giving al-Qaida information about the city’s subway system. —elisabeth butler cordova most challenging of times. HOORAY OY VEY Get to know our team and find out how we can help keep you in the lead. The Yankees pulled Rep. Carolyn Maloney ahead of the Red uttered the N-word Sox in the American this week while League East quoting someone with a hot streak else to make a that featured a point about rival game-winning Sen. Kirsten homer from Gillibrand. She later marcumllp.com  marcumgroup.com Hideki Matsui. apologized.

 NEW JERSEY  CONNECTICUT  FLORIDA  GRAND CAYMAN SUBMIT YOUR OWN #CRAINSHOORAY OR #CRAINSOYVEY ON TWITTER! NEW YORK

July 27, 2009 | Crain’s New York Business | 31 Project3 7/21/09 11:51 AM Page 1