20080107p001CN_.qxp 1/4/2008 9:17 PM Page 1

REPORT TOP STORIES ’08 OUTLOOK Traffic caps halt City anxious Virgin America’s as Wall St. JFK expansion plan falters PAGE 2 ® PAGES 13-17 Banks burned by bad loans as problems spread VOL. XXIV, NO. 1 WWW.CRAINSNEWYORK.COM JANUARY 7-13, 2008 PRICE: $3.00 beyond subprime PAGE 2 IOWA CAUCUS FALLOUT Local damage ONE DOWN: Crain’s picks 5 Barack Obama local stocks to ride captured the 38% biggest share of Barack Obama Democratic votes mounting in in tough 2008 in the Iowa INVESTING, PAGES 3-4 caucus. 30% Suzy Welch gets John Edwards writers’ strike $1 million for a new book 29% tailspin,” says John Ford, president Hillary Clinton Thousands jobless, of studio mechanics union Local

NEW YORK, NEW YORK, P. 6 bloomberg news suppliers take hits; 52.“Everyone is out of work now.” The writers began their strike The rules Crain’s pilot season could in November. They are seeking lives by, in print Obama’s NY allies residuals from the Alliance of Mo- be jeopardized tion Picture and Television Pro- and online ducers for work that appears on the BY MIRIAM KREININ SOUCCAR GREG DAVID, PAGE 11 move into spotlight Internet and other new media. About a dozen TV series are david letterman and Conan shot in New York, including 30 The New Yorkers who en- O’Brien might be back on the air, Rock and Law and Order; they have BUSINESS LIVES African-American dorsed Mr. Obama exulted in but the Writers Guild of America run out of scripts and stopped film- WINTER BLAHS? pols bucked party; Iowa’s perceived ideals—a more strike that put them in reruns for ing. A growing number of feature 10 ways to heat up the inclusive society and reforming the past two months con- films slated to get under coldest months in the Hillary supporters government—while hoping that tinues to wreak havoc on way this month are being Big Apple PAGES 23-24 their personal stars could rise if the New York’s film and tele- postponed because scripts eye Feb. 5 fight Illinois senator continues his con- vision production indus- 11NUMBER OF need rewriting. TV pilots filmed quest this week in New Hampshire try. in New York City Negotiations between BY ANNE MICHAUD and beyond. The shutdown has left last year—a WGA and AMPTP have All of the elected officials pub- thousands of the area’s record. broken down, and no fur- the handful of New York politi- licly backing Mr. Obama in New 78,000 production work- ther talks are scheduled. cians who defied the powerful Sen. York are black. State Sen. Bill ers unemployed and many of the The last writers’ strike, in 1988, Hillary Rodham Clinton to sup- Perkins, who represents Harlem, 4,000 film-related businesses, like lasted five months and paralyzed port Sen. Barack Obama for pres- was the first to break from the pack prop houses and caterers, strug- the industry. ident feel that their gamble is pay- in May with his endorsement of gling to stay afloat amid their worst “Everyone talks about the writ- ing off, following his victory in the Mr. Obama, even as Mrs. Clinton crisis in more than a decade. ers, the writers,” Mr. Ford says. Iowa caucuses last week. See THE INSIDER on Page 7 “The situation has gone into a See WRITERS’ on Page 8 AT DEADLINE DISNEY’S LATEST BROADWAY EDUCATION PRODUCTION, THE LITTLE Mermaid, opens Thursday, and sources say it has already booked $15 million in advance ticket sales.The musical has Up in arms over gifted programs been selling out in previews. For the week ended Dec. 30, it broke a house record for the help them navigate the application Lunt-Fontanne Theater, New rules could process for the best public school grossing more than $1.3 halve admissions; programs. million. The frenzy is over the Depart- some parents ment of Education’s announce- THE EMBATTLED ONLINE ment two months ago that it had GROCER FRESHDIRECT IS threaten to sue overhauled requirements for its warning its customers that gifted and talented program—the they can expect delivery delays BY MIRIAM KREININ SOUCCAR latest “It” schools for the elemen- throughout January as a result tary set—making it harder than of staff shortages.The frantic parents are teaching ever to secure one of the coveted company needs to replace their 4-year-olds how to fill in the spots. workers who left in late circles on standardized “bubble” “This is what everyone is talk- December when immigration tests and hiring tutors to quiz the ing about,” says Sarah Gardner, an authorities began an kids using multiple-choice ques- Upper West Side resident who is See AT DEADLINE on Page 2 tions. They are shelling out thou- considering such a program for her sands of dollars for consultants to 4-year-old daughter. “The stress level is very high for most people.” The changes—which the DOE 01

5 says could halve the number of stu- dents accepted into gifted class- es—come at a time when applica- ELECTRONIC EDITION tions for them are at an all-time

high. The programs have become roger hagadone the top choice for the growing SOME MORE THAN OTHERS: NEWSPAPER Gifted programs have become the new status education for many See BATTLE on Page 9 middle-class New York families—even those who could afford private schools. 71486 01068 0 CNYB 01-07-08 A 2 1/4/2008 8:54 PM Page 1

AT DEADLINE

Continued from Page 1 year with earnings and revenues investigation into the company’s exceeding 2006’s record levels. employment records during an unsuccessful attempt to THE BROADWAY HIT CYRANO DE unionize warehouse workers. BERGERAC, STARRING JENNIFER The Long Island City, Queens, Garner and Kevin Klein, ended grocer typically provides next- its run Sunday, but the play will day delivery service, but some live on. It was taped last week customers are reporting waits of and will air on PBS later this up to five days. year, followed by a DVD release. Cyrano joins a growing number THE HUDSON YARDS of Broadway productions COMMUNITY ADVISORY moving to the small screen. Committee is slated to issue a report this week on the five NBC PICKED THE RIGHT TIME OF developers’ bids for the West YEAR TO PREMIERE THE Side rail yards. It will express Celebrity Apprentice, the latest concern about the lack of iteration of Donald Trump’s Virgin America hits coherent plans for affordable long-running reality TV show. housing and the large scale of Going up against repeats of the proposed buildings.The Grey’s Anatomy and CSI last committee will send its findings Thursday, the seventh-season to the developers and the premiere of Mr.Trump’s show heavy headwinds Metropolitan Transportation won its time period among Authority, which owns the 26- viewers 18 to 49 years old with a acre parcel.The report, which is 4.5 rating—a 10% improvement based on the public’s comments over last year’s season-six Expansion plans at JFK stymied by new traffic caps on the plans, doesn’t support premiere. Apprentice’s 11 million one developer over the others. total viewers put it in third place, behind the Orange Bowl game BY HILARY POTKEWITZ MERRILL LYNCH & CO. IS on Fox and CSI on CBS, which EXPECTED TO REPORT ITS FIRST drew 13.5 million, according to barely five months after Virgin America launched cheap but classy flights unprofitable year since 2001— Nielsen Media Research. from John F. Kennedy International Airport to the West Coast, the and only its second in the last 20 upstart airline’s expansion has encountered stiff and unforeseen years—when it announces full- IN A DISMAL YEAR FOR RECORD year results as early as next COMPANIES, WARNER MUSIC headwinds. week.The nation’s largest Group gained significant market In mid-December, its chief rival, JetBlue Airways, picked up a brokerage firm is expected to share, figures from Nielsen powerful new ally and a wad of cash when Germany’s Lufthansa post an annual loss of about $1.9 SoundScan show. Album share took a 19% stake in the Queens-based carrier. Five days later, billion, its largest ever, due to went up 2.14 percentage points, steep write-downs of its to 20.28%, fueled by sales for federal authorities delivered an even bigger blow, capping mortgage-related holdings. At Josh Groban’s Noel, the year’s the number of planes that can take off and land at JFK at least for now, analysts surveyed top-selling album. Industrywide, 83 an hour during peak times for the next two years. by Reuters Estimates expect the album sales dropped 9.5%, firm to snap back strongly this despite digital increases. I “This will put a drastic limit on Virgin America’s growth plans at JFK,” says Eric Smith, an attorney CORRECTIONS with Schnader Harrison Segal & Lewis who is Sphinx Organization founder Aaron Dworkin’s name was misspelled in the Dec. 17 story an aviation expert. “It’s really going to have “Giving where it will do the most good.” to re-evaluate what its potential is in the A photograph with the Dec. 24 story on St. Vincent’s Midtown misidentified the pictured hospital, which was St. Vincent’s Manhattan. See VIRGIN AMERICA on Page 8

THIS WEEK IN CRAIN’S

CRAIN’S STOCK PICKS ------3 bloomberg news NEW YORK, NEW YORK------6

THE INSIDER------7

REAL ESTATE DEALS------9 GREG DAVID ------11 Bad loans start piling up WEEK IN REVIEW ------12 25 REPORT: loans in the third quarter,more than prime area; now it’s also affecting a Charge-offs mount double the rate in the previous quar- series of other areas.” ECONOMIC OUTLOOK------13 in 3rd Q; problems ter and in the third quarter of 2006, Though charge-offs and delin- according to tabulations done for quencies are increasing, they have a SMALL BUSINESS ------19 spreading beyond Crain’s New York Business by re- ways to go before alarms sound search firm SNL Financial. with regulators. But the trend sug- CLASSIFIEDS ------20 subprime mortgages gests that banks will need to BUSINESS LIVES------23 More loans late set aside more reserves, BY TOM FREDRICKSON in addition, the percent- which will hurt their earn- CORPORATE LADDER------0.6 25 age of all types of loans more PERCENTAGE ings and returns for their in- of bad loans at EXECUTIVE MOVES------26 bank charge-offs on bad com- than 90 days overdue or J.P. Morgan vestors. mercial and industrial loans more deemed nonperforming— Chase in the Many of the bad loans are THE WEEKS AHEAD ------26 27 than doubled in the third quarter— an early indicator of those third quarter related to real estate. For ex- BOB LAPE ------27 evidence that problems in subprime that will be charged off— ample, René Jones, chief ex- mortgages have extended to other rose to an average of 0.6% in the ecutive of M&T Bank, said its vol. xxiv, no. 1, january 7, 2008—Crain’s New York Business (issn 8756-789x) is published weekly by Crain Communications Inc., 711 Third Ave., New York, NY 10017. Periodicals lending activities. third quarter from 0.4% in the year- third-quarter increase in nonper- postage paid at New York, N.Y. and additional mailing offices. Postmaster: Send address In aggregate,the 50 largest banks earlier period. formers was related primarily to a changes to: Crain’s New York Business, Circulation Department, 1155 Gratiot Avenue, Detroit, MI 48207-2912. for subscriber service: Call (888) 909-9111. Fax (313) 446-6777.$3.00 a and thrifts and their holding com- “We are seeing a general deteri- $31 million loan to an East Coast copy, $59.79 one year, $109.79 two years. (GST No. 13676-0444-RT) ©Entire contents panies in New York, Connecticut oration in credit quality in the sys- home builder and secondarily to a copyright 2008 by Crain Communications Inc. All rights reserved. and New Jersey charged off 0.5% of tem,” says Dick Bove, analyst with $26 million rise in problem residen- total commercial and industrial Punk Ziegel. “It’s not just the sub- See BANKS on Page 8

2 | Crain’s New York Business | January 7, 2008 CNYB 01-07-08 A 3 1/4/2008 8:29 PM Page 1

INVESTING Putting ‘great’ Crain’s picks back into A&P top ’08 stocks Pathmark purchase gives grocer big lift

in recent years, the only thing BY AARON ELSTEIN great about A&P, once the nation’s largest grocer, was its formal name: ith the housing sector in a tailspin, the credit crisis Great Atlantic & Pacific Tea Co. hampering bank lending, and oil prices rocketing to record highs, For five straight years ending in it’s tough to feel upbeat about the outlook for business and the fate 2005, the Montvale, N.J.-based of the economy in general. company rang up nothing but losses. At that point, it began selling off or Against such a dismal backdrop, picking five stocks that can shuttering stores in the Midwest,the deliver solid gains for shareholders is difficult. Beating the South and Canada. Meanwhile, it performance of Crain’s picks for 2007,which posted an overall gain embarked on a sweeping program to freshen up its aging network of A&P of 18% last year—more than quadruple the increase for the Standard & Poor’s 500—will be and Waldbaum’s supermarkets. MARKET CAPITALIZATION harderW still. The moves paid off,making A&P $1.3 billion To help uncover a new group of winners, Crain’s asked Reuters Fundamentals to identify healthy enough to return to growth ESTIMATED 2008 mode by snapping up longtime rival REVENUES* $5.5 billion profitable New Pathmark Stores for $1.4 billion late York area compa- last year. Today, the combined com- ESTIMATED 2008 SIZING UP THE WINNERS PER-SHARE LOSS nies whose shares Key figures in determining Crain’s selections. panies encompass 450 stores that will $1.51 traded at less than generate $9.4 billion in sales. The istockphoto Percent *For fiscal year ending Feb. 29. the S&P 500 aver- Price/ change Operating challenge for A&P now is to cut an- STOCK age price-earnings Company/industry Ticker earnings1 in sales 2 margin3 nual costs by a planned $150 mil- ratio for the past lion—without losing patrons to 2009—nearly double 2007’s expected Comtech CMTL 21.4 +19% 19% WINNERS 12 months. Candi- Telecommunications Corp. competitors like Whole Foods. amount. Mr. Rochette thinks the MORE of dates also had to Communications equipment While A&P will have its hands stock is worth $40 a share, or rough- Crain’s best show rising rev- full integrating Pathmark this year, ly 30% more than its current price. bets for 2008 Great Atlantic & Pacific Tea Co. GAP n/a +3% 1% PAGE 4 enues over the past Bear Stearns analyst Westcott Ro- Even before A&P completed the year and have a Supermarkets chette reckons that next year will Pathmark deal,its program of gussy- market value of at least $500 million. ITT Corp. ITT 16.5 +9% 12% bring dramatic gains. He forecasts ing up its stores was bearing fruit: Given that group, Crain’s zeroed Defense, water purification earnings before expenses such as in- Comparable-store sales grew by in on businesses in sectors that Sealed Air Corp. SEE 12.4 +8% 12% terest and taxes of $446 million in 3.2% in the quarter ended Sept. 8. seemed to have the most momen- Packaging tum going into the new year: tech- Wyeth WYE 13.7 +9% 27% nology and consumer-staple com- Pharmaceuticals panies.We also looked to categories n/a Not applicable. 1-P/E ratio for trailing 12 months. 2-Figures are for the most recent quarter compared with that typically perform better than the same quarter in 2006. 3-Figures are for the most recent quarter. ITT places its bet others in weak markets, such as pharmaceuticals and defense. Last year, all of Crain’s five picks Pacing the class of 2007 was Verizon which succeeded in selling with defense buy posted higher growth than the S&P Pepsi Bottling, which deftly ma- cable television to its phone cus- 500, marking the fourth consecu- neuvered through the rise in com- tomers. Barr Pharmaceuticals had tive year that our choices as a group modity prices. Altria thrived after problems integrating a big acquisi- Selling equipment have beaten the broader market. spinning off its Kraft division, and tion but still saw its stock rise 6%. to Army pays off

courtesy of the war in Iraq, de- mand for ITT Corp.’s night-vision goggles and radio sets has soared. Comtech’s winning streak The defense-industry division of the big conglomerate has seen rev- enues of less than $120 million and enues jump by 20% in each of the Equipment maker net income of a paltry $1 million. past three years—more than double outperforms rivals Even more impressive, the unit’s typical growth rate. Comtech outperforms rivals like Convinced that it has a winner, defense contractor Comtech Qualcomm and Teledyne in virtu- White Plains-based ITT is upping Telecommunications Corp. has ally all measurements of profitabil- its bet on the sector. In its biggest been one of the stock market’s ity,according to Michael Ciarmoli, move since shedding Hartford In- charts: lindström bekka biggest winners over the past surance and Sheraton Hotels in MARKET CAPITALIZATION an analyst with brokerage firm $11.7 billion decade: Its share price has soared to Boenning & Scattergood,who says 1995, ITT late last year completed more than $50, from less than $1 the stock is worth $71 a share. its $1.7 billion acquisition of EDO ESTIMATED 2008 REVENUES back in 1997. Yet there is room for In order to maintain its mo- Corp., which specializes in battle- $9.9 billion this little-known communications mentum, Comtech will need to field communications systems,such ESTIMATED 2008 equipment maker to fly even higher. find more customers. It currently as signal-jamming devices. EPS Based in Melville,L.I.,40-year- counts on contracts with the feder- ITT has successfully integrated $4.02 old Comtech designs and manufac- al government for 60% of its rev- scores of small deals over the years. tures equipment that, among other enues. Analysts believe that Analysts expect that it will do the MARKET CAPITALIZATION things, helps the military track Comtech’s best opportunities lie $1.3 billion same with EDO. ITT is worth $76 a share. troops and vehicles on the field. overseas,where it already generates One particularly promising op- The conglomerate’s big water- ESTIMATED 2008 Needless to say, the war in Iraq has about a quarter of its revenues. REVENUES* portunity lies in EDO’s technolo- treatment business also seems been very good for business. Rev- Analysts expect revenues to $526 million gy that electronically jams radio- poised for growth during the same enues hit $445 million in the fiscal jump by 18% this year, although controlled bombs. The market for period. Management believes that ESTIMATED year ended July 31, while net in- earnings will grow by only 6%, in 2008 EPS the device could triple over the next revenues from China for this divi- come reached $65 million. That part because the company is chan- $2.58 two years,reaching $1.5 billion,ac- sion, now at about $75 million, istockphoto marks a huge gain over results five neling more money into research *For fiscal year ending July 31. cording to Sterne Agee analyst could more than triple over the next years ago, when Comtech had rev- and development. Nicholas Heymann. He thinks two or three years.

January 7, 2008 | Crain’s New York Business | 3 CNYB 01-07-08 A 4 1/4/2008 8:33 PM Page 1

INVESTING Packaging firm wraps up remake Overseas plants help firm fatten margins perhaps the only thing better than getting a gift in the mail is pop- ping the Bubble Wrap protecting it.

Unfortunately,owning shares of the charts: lindström bekka company that makes the ubiquitous stuff, Sealed Air Corp., hasn’t been nearly as much fun lately. The share price for the Elm- Drugmaker set to rebound wood Park, N.J., firm has fallen nearly 20% over the past two years, Administration delayed the launch making it one of the worst per- New drugs likely of an osteoporosis drug. formers in the packaging sector. The good news is that all that bad The reason is clear: Rising MARKET CAPITALIZATION to cure firm’s blahs news has already been factored into $3.7 billion prices for energy, resin and other like many bigpharmaceutical com- the price of Wyeth’s stock, which materials have more than out- ESTIMATED 2008 panies, Wyeth has a bad case of the trades at about 12 times expected REVENUES weighed the impressive sales gains $4.8 billion blahs. Over the past five years, earn- earnings. Meanwhile, sales of newer that Sealed Air has racked up in ings have gone exactly nowhere. No drugs—including Enbrel, an arthri- Europe and Asia, where the com- ESTIMATED 2008 EPS wonder the company’s stock shed tis treatment—are holding up well. $1.79 pany is winning new customers for more than 10% of its value last year. Furthermore, investors seem to its food-packaging products as su- The source of the misery is no be overlooking a potential game- permarkets take off. Sealed Air’s nally showing signs of paying off. mystery:Drugs that contribute 25% changer for Wyeth: a new Alz- revenues have grown by a third Because the company is making of its $20 billion in revenues are slat- heimer’s medication, called bap- since 2002, but its earnings have more Jiffy Mailers and other pack- ed to be sold by generic drugmakers ineuzumab, now in Phase 3 trials. risen by only half as much. Gross aging products overseas, its mar- by 2012, and the Madison, N.J., The market for this drug could margins slipped to 28% last year, gins are expected to stabilize this pharma giant has struggled to come be as large as $62 billion, according from 33% in 2002. year and fatten to 29% next year, up with blockbusters to replace to analyst Tim Anderson of Sanford MARKET CAPITALIZATION Sealed Air is taking steps to re- according to analysts at Banc of them. Just last month, Teva Phar- C. Bernstein & Co. He recom- $59.6 billion verse that erosion, which should America Securities. Analysts sur- maceuticals said it would launch a mends buying Wyeth based on the ESTIMATED 2008 allow more of its revenues to reach veyed by Reuters Fundamentals generic version of Wyeth’s Protonix drug’s potential and reckons that the REVENUES heartburn drug, which contributes $23.1 billion the bottom line. project that earnings will grow by stock is worth $54 a share. istockphotos An ambitious restructuring 10% this year—twice the 5% gain nearly $2 billion a year in sales. ESTIMATED 2008 EPS program that began in 2004 is fi- they anticipate for revenues. Meanwhile, the Food and Drug COMMENTS? [email protected] $3.72 THIS IS OUR MARKET... Longtime DJ leaves Lite FM

“I decided after all these years Losing Smaldone that it was time to put my energy could hurt station into new projects,” Ms. Smaldone says.The decision to leave,she adds, as ratings decline was “heart-wrenching.” A spokeswoman for Lite FM de- clined to comment. A replacement BY MATTHEW FLAMM for Ms. Smaldone has not been named. valerie smaldone, the top-rated DJ at 106.7 Lite FM,left the station Turnover of veterans last week after 24 years on the air, as lite fm has seen considerable parent company Clear Channel turnover. Veteran DJ Al Bernstein Admit One, the trusted source for the acquisition and sale of live event tickets for over 20 years… Communications continues to cut exited the station in November. In On the Buy side and Sell side — we offer our clients true market value, secure transactions and dependable service. costs in preparation for going pri- late 2006, longtime hosts Bill Buch- Let Admit One connect you and your clients to the events that matter. Call today, our market makers vate. ner and J.J.Kennedy were let go,and are standing ready to BUY or SELL all NFL playoff tickets. The 49-year-old radio personal- syndicated host Delilah was added ity had been in contract talks with to the evening schedule. the station, formally known as WLTW fell to third place from WLTW-FM, since the fall. Ac- first in share of total listeners in Ar- cording to industry sources, she had bitron’s summer survey. been offered a multiyear contract Radio experts say Ms.Smaldone’s but wasn’t happy with the terms. departure could hurt the station. She decided to move on to pur- “She’s the voice of WLTW,” sue other opportunities. In recent says Meredith Smulian, senior vice Super Bowl Tickets and PackagesONCERTS years, Ms. Smaldone has been president of media buying firm (646) 307-4239 • C branching out from her midday R.J. Palmer Inc. “New York radio www.admitone.com • email: [email protected] Now AvailableHEATER shift at Lite FM, co-writing a play, listeners now have other choices. • T serving as an announcer for NBC’s WCBS-FM is sounding great, as is 1412 Broadway, New York, NY SPORTS winter skating specials and appear- WWFS-FM.” On the Bloomberg Terminal: Type TIXX or email [email protected] ing off-Broadway in Spalding Gray: Stories Left to Tell. COMMENTS? [email protected]

4 | Crain’s New York Business | January 7, 2008 Project14 1/3/08 1:13 PM Page 1

CB RICHARD ELLIS, INC. • JAMES ACKERSON • ANTHONY DATTOMA • CONOR DENIHAN • ERIC DEUTSCH • ROBERT FLIPPIN • BRIAN GELL

SCOTT GOTTLIEB • PAUL HASKIN • BRIAN HAY • MICHAEL LAGINESTRA • DOUGLAS LEHMAN • ROBERT MARTIN • LEWIS MILLER • MICHAEL MONAHAN

SILVIO PETRIELLO • SLOANE RHULEN • STEPHEN SIEGEL • HARLY STEVENS • ALAN WILDES • CUSHMAN & WAKEFIELD, INC. • MITCHELL ARKIN

MICHAEL BURLANT • ALEXANDER CHUDNOFF • FRANK COCO • ROBERT GIGLIO • PAUL GLICKMAN • JOSH GOLDMAN • MITCHELL KONSKER

ADAM MILLER • DAVID ROSENBLOOM • TAR A STACOM • DANIELLE ZIMBARO • GVA WILLIAMS • HARRY BLAIR • EDWARD BROCK • PAUL MILUNEC

ANDREW ROOS • THE STAUBACH COMPANY • WILLIAMS PETERS • PATRICK SMITH • NEWMARK KNIGHT FRANK • NOEL FLAGG • ERICK HARRIS

KENNETH HOCHHAUSER • PAUL IPPOLITO • ADAM KARAFIOL • SCOTT KLAU • MATTHEW LEON • DANIEL MADISON • CHRISTOPHER MONGELUZO

MICHAEL MORRIS • DANIEL RAPAPORT • JEFFREY ROSEMAN • BRIAN ROVELL • JAMES SAUNDERS • DANIEL SEGAL • ALAN STEINBERG • COLLIERS ABR, INC.

JAMES FREDERICK • NICOLA HERYET • ARON SCHREIER • STUDLEY • DAVID GOLDSTEIN • JOHN JOHNSON • JOHN MAMBRINO • ERIK SCHMALL

ITRA REALTY GROUP • ALBERT DURYEA • WILLIAMSON, PICKETT, GROSS, INC. • WAITE BUCKLEY • DANA PIKE • MILLER & PARTNERS, LTD. • MARC MILLER

SAGE GROUP ASSOCIATES • MICHAEL LENCHNER • SCHLESINGER & COMPANY LLC • ROBERT KELLING • PROMENADE REAL ESTATE CORPORATION

STEVEN PRESSLER • WINSLOW & COMPANY LLC • GREG BONURA • FELD REAL ESTATE LLC • ANDREW BECKLER • LEE FELD • SYNERGY REALTY, INC.

ROBERT FIELDS • MURRAY HILL PROPERTIES • RANDY SHERMAN • GL REAL ESTATE ADVISORS LLC • GREG LORBERBAUM • RETAIL REALTY

PETER CIRLIN • NYSPACE.COM • VINCENT SHEEHAN BERGSON STRATEGIES, LLC • JOSHUA WELIKOFF • CORPORATE REALTY ASSOCIATES, INC.

STEPHEN SAPUNOR • MADISON RETAIL GROUP LLC VIRGINIA PITARELLI • BOSTICK REALTY • FRANCIS POLLARO • STONE-MILLER • CRAIG MILLER

FIRST NEW YORK REALTY CO. • ERIC KAHN • ELLMAN REALTY ADVISORS, INC. • JOSH DION • MARC ELLMAN • GRUBB & ELLIS • DANIEL GRONICH

RICHARD HOPEN • DAVID WEST • TREELINE REAL ESTATE GROUP • BARRY MILBERG • REGENCY REALTY • BOB MELMAN • TISHMAN REAL ESTATE

SERVICES • IRA ROVITZ • ZELNICK & COMPANY LLC CORY ZELNICK • THE VORTEX GROUP LLC • FREDERICK KANE MAREK • NAI FRIEDLAND

REALTY GENE MEER • WOLFE MEDICAL MARKETING & DESIGN LLC • STEPHEN WOLF • THE HUNTER REALTY ORGANIZATION • BARRY FINKELMAN

NAINEW YORK CITY COMMERCIAL REAL ESTATE • ADAM SCHULTZ • RICHARD BERZINE & CO., LTD. • RICHARD

BERZINE • PBS REAL ESTATE • ROBERT NEBORAK

258 TRANSACTIONS | 1,743,888 RSF

THANKS TO THE BROKERAGE COMMUNITY FOR HELPING US LIGHT UP THE SKYLINE

slgreen.com

NEW YORK CITY’S LARGEST OWNER OF COMMERCIAL REAL ESTATE

SLG-1688 CRAIN'S 10.87.indd 1 1/3/08 9:51:37 AM CNYB 01-07-08 A 6 1/4/2008 6:36 PM Page 1

NEW YORK,NEW YORK edited by Valerie Block

Welch wife goes solo 810 SEVENTH AVENUE uzy welch (right), the highbrow home-wrecker who authored the best-selling business tome WE ARE PLEASED Winning with her husband, former General Electric TO ANNOUNCE S THE FOLLOWING TRANSACTIONS: boss Jack Welch—they also co-write a BusinessWeek column—is going solo on her next project. HOPLITE CAPITAL MANAGEMENT, LLC The one-time editor of the Harvard Business Review, Entire 34th fl oor who began dating the then-married mogul after Represented by Daniel Madison Newmark Knight Frank interviewing him, has just sold a book called 10-10-10. The self-help guide advises women to make decisions LONGACRE FUND MANAGEMENT, LLC considering their consequences 10 minutes, 10 months and Has expanded its presence & will occupy the entire 33rd fl oor 10 years down the road. Represented by Alexander M. Chudnoff Washington überlawyer Robert Barnett handled the Cushman & Wakefi eld, Inc. auction, which just concluded with an offer of about DIAMONDBACK ADVISORS NY, LLC $1 million, according to an industry executive.The source Currently at Reckson/SL Green’s 1 Landmark Square didn’t know who won. Mr. Barnett did not return a call landov in Stamford, CT expanding into seeking comment. Manhattan & will occupy the entire 37th fl oor Represented by Christopher Mongeluzo Ms. Welch received more publicity than she bargained for when she hooked up with Mr. Newmark Knight Frank Welch in early 2002 and had to resign from HBR.The couple married in 2004. Under her previous name, Wetlaufer, Ms. Welch wrote a novel in the early 1990s and numerous business articles. Food police Players Club, a title that will target an expanding events business. 212.594.2700 professional athletes, ad sales As announced in December, busting salt coordinator Jodi Morena requested a Adweek will have 26 regular issues slgreen.com press kit and and 10 special issues in 2008, salt could replace trans fats as back issues from down from 47 total issues. NEW YORK CITY’S LARGEST OWNER OF COMMERCIAL REAL ESTATE the new food demon this year if an competitor “This is not a cost-saving influential consumer advocacy Moves magazine. [move],” NBM Senior Vice group, the Center for Science in What irks President Sabrina Crow says of the

SLG-1695 810 Tombstone Crains 4x7.indd 1 1/2/08 5:46:53 PM the Public Interest, has its way. the publishers of lower frequency. But industry “We believe salt is the deadliest Moves—which experts say expenses are clearly ingredient in our food supply,” isn’t available on part of the equation. says Julie Greenstein, deputy newsstands, as “She sees the writing on the getty images director of health promotion The Players Club wall,” says Jeremy Greenfield, who policy for CSPI, a force behind a won’t be when it debuts in April— covers trade publications for number of nutrition-related is that Ms. Morena pretended to media-news site minonline. “The crusades.The group “will be be from an ad agency. She advertising to support weeklies is spending a great deal of our declined to comment. evaporating.” resources” to get the word out this Even worse, Moves execs say, Executives say Adweek’s year about the culprit in press about The Players Club— redesigned print edition and high blood pressure, Ms. brainchild of ex-Met Lenny Dykstra expanded site will give readers Greenstein says. (above)—implied that the more for their money.“Overall, The nonprofit, magazine was creating a new there’s a significant increase in which is based in category. content,” says Editor Alison Fahey. Washington, has an “We don’t want advertisers ally in New York. thinking [The Players Club] is Contributors: Lisa Fickenscher, Matthew istockphotos At Food and Drug the first or only title like this,” Flamm Administration sniffs Scott Miller, chief hearings in executive of two-year-old November, the city’s Moves. CREATURE COMFORTS Department of Health and Mental “Moves wasn’t first, Hygiene, which is led by Dr. either,” responds NEW YORK HOTELS got some of the Thomas Frieden, urged the FDA to Doubledown President highest marks in the sixth annual Travel + require warning labels on Randall Lane, referring to Leisure 500, culled from the magazine’s packaged foods containing lots of the long-defunct Pro. World’s Best survey. Chuck salt. CSPI is also pushing “This is a good market.” HOTEL SCORE Hunt, the executive director of the New York State Restaurant Four Seasons 85.89 Association, to address the issue of Adweek Hotel Plaza Athénée 84.02 sodium content in restaurant revamps Mandarin Oriental 84.77 food. Peninsula New York 85.21 adweek is taking a page Ritz-Carlton Battery Park 86.17 Mag espionage from the industry it covers. Ritz-Carlton Central Park 84.79 The trade journal, owned St. Regis 87.59 by Nielsen Business gets professional The Carlyle 82.87 Media, will relaunch its apparently, all’s fair in love, print and online editions The Lowell 87.41 war—and magazine launches. Feb. 4, emphasizing better The Pierre 82.12 Just before Doubledown Media integration of its Trump International 85.25 announced the launch of The platforms, which include

6 | Crain’s New York Business | January 7, 2008 CNYB 01-07-08 A 7 1/4/2008 9:13 PM Page 1

“To the extent that the Obama people reach out into New York, it’s PRESIDENTIAL BLOOM-O-METER probably through reform-minded THE INSIDER people,” Mr. Mollenkopf says. A weekly look at Mayor Michael Bloomberg’s progression On the Republican side, Rudy to the March 1 deadline to run for president. Giuliani’s sixth-place showing in by Erik Engquist and Anne Michaud Iowa probably did him little harm; mayor michael bloomberg’s most definitive denial his campaign gave the state sporadic HOT yet—“I will not run” for president, he said at Times attention and resources. Square on New Year’s Eve—disappeared in a flurry of The element of reform-minded- presidential posturing by the purported noncandidate. ness emerged among the GOP field Days earlier, he had bought full-page gun-control ads in Obama allies cheer with the success of former Arkansas the early primary states, and he subsequently delivered a Gov. Mike Huckabee, says Dick diatribe about the declared candidates.The mayor Dadey, executive director of Citi- capped off his week with a trip to Oklahoma for a Continued from Page 1 has the experience to bring about zens Union. He argues that that’s powwow on partisan gridlock in Washington. was lining up a clean sweep of the change,and she will carry the state.” what people see in a Michael Media accounts portrayed that event as a discussion city’s congressional delegation. Even Obama supporters agree Bloomberg candidacy as well. about the possibility of Mr. Bloomberg entering the race. “I thought he was going to win that the more than 20 primaries “There seems to be a hunger in the That representation was dismissed by one participant, and be our next president;that’s why scheduled for Feb. 5 present a hur- country for a new way of governing,” former New Jersey Gov. I endorsed him so early,” Mr. dle for him. Mrs. Clinton’s name Mr. Dadey says. “It’s made the may- Christine Todd Whitman, but Perkins says. “It wasn’t just that he recognition could play a significant or’s candidacy possible, it’s fueled only after the prospect of a was a black candidate. He has a vi- role with many voters who have not Obama and it probably inspired the Bloomberg candidacy had sion of government working for followed the campaign closely. whitest state in the nation to vote for again been splashed across people, not just for lobbyists or peo- “[Obama has] got a wall to climb an African-American candidate.” NOT newspapers nationwide. ple who have inside tracks.” on that day, and it’s called the Clin- Meanwhile, the mayor’s scath- More than 130 Obama backers ton brand,” says Robert Smith, a ing critique of White House contenders dom- gathered at parties around New New York investment Lopez vs. Pfizer inated coverage of his press conference to trum- York last Thursday, caucus banker who has been rais- on Brooklyn plot pet a decline in smoking.The mayor’s momen- night. Among them, in ad- ing money for Mr.Obama. tum grew with appearances on the Today Show dition to Mr. Perkins, were “That’s just the reality of assemblyman vito lopez, and the Late Show with David Letterman.

former Rep. Major Owens; the presidential calendar.” D-Brooklyn, has written a bill to bloomberg news Assemblymen Karim Ca- For the moment, how- condemn several acres in mara and Hakeem Jeffries of ever, a cadre of Obama Williamsburg that Pfizer has Pfizer has hired lobbyist Joni says a new plan for the Jacob K. Brooklyn and Michael Ben- fundraisers in New York are owned since the 1800s. He wants Yoswein to defend its interests in Javits Convention Center will be jamin of the Bronx; feeling pretty savvy. Be- the plot taken by eminent domain Albany. A company spokesman ready early this year. and City Coun- TIME TO sides Mr. Smith, bil- to make way for affordable housing. says Mr. Lopez’s threat of using He and Deputy Mayor Daniel cilmembers Albert REGROUP: lionaire Democrat But Pfizer denies Mr. Lopez’s eminent domain presents “a Doctoroff have been reviewing as Vann of Brooklyn, Sen. Hillary George Soros and claim that the drugmaker reneged chilling precedent for future many as 15 options, ranging from James Sanders of Clinton has his son, Jonathan, on a pledge to give the land away development across New York.” simple renovation to an another month Queens and Helen before New defected from the for public use once it closes its plant expansion—albeit one more Diane Foster of the York’s primary. Clinton camp, as there.The company says that it modest than the plan introduced by Bronx. did hedge fund made no such promise and that it Another go-round Gov. George Pataki’s administration, Mr. Perkins, as pioneer Orin has set development guidelines that on Javits Center which would now cost $5 billion. A a councilman and bloomberg news Kramer. Jamie include affordable housing, job spokeswoman for the Senate now as a state senator, Whitehead, who creation and opportunities for patrick foye, co-chair of the majority says it is willing to offer has often refused to fall into line was Sen. John Kerry’s finance chair- minority-owned contractors. Empire State Development Corp., more funds for the Pataki plan. I with Harlem’s African-American man in 2004, is raising money for establishment. The group has been Mr. Obama, as are Brian Mathis of so closely tied to the Clinton family the Provident Group; Jeh Johnson, a that its dean, Rep. Charles Rangel, partner at Paul Weiss Rifkind persuaded Mrs. Clinton to run for Wharton & Garrison; Earl Graves, the Senate from New York. publisher of Black Enterprise maga- Assemblyman Herman “Denny” zine; and Andre Harrell, former Farrell, a central establishment fig- president of Motown Records. ure,says that Mrs.Clinton will surge Mr. Obama might in fact have a to the front—although in the wake strong New York résumé were it not of the Iowa vote, her campaign ac- for Mrs. Clinton playing the role of knowledged,“We’ve got more work favorite daughter here, notes John to do.” Mollenkopf, director of the Center “The people with Obama, I can for Urban Research at CUNY. The understand their joy,” says Mr. Far- Illinois senator attended Columbia rell, who is African-American.“But University and lived and worked in when we get to our election [on Feb. Brooklyn, and he has connections 5], I think the people of New York among grassroots and urban-policy state will know that Sen. Clinton types. NEW BOSS Lieber sets his priorities ROBERT LIEBER, who takes over as deputy mayor for economic development on Tuesday, promises continuity on so-called megaprojects like the Javits Center, Willets Point, Coney Island and Moynihan Station. But he says his priority over the next two years will be small, neighborhood-changing projects. He identifies some that interest him: the East River esplanade; downtown Brooklyn; the 125th Street rezoning; the Jamaica, Queens, rezoning; Queens West; the North

nyc.gov Shore and West Shore studies on Staten Island; and the Robert Lieber redevelopment of the former Staten Island naval base. “The way I look at going forward is, how many of these can we really make an impact on?” Mr. Lieber asks. “How many can we push over the goal line? Even if they are not the megadeals, they have huge effects on the surrounding communities.” Mr. Lieber hasn’t yet found his replacement as president of the city’s Economic Development Corp. He succeeds Daniel Doctoroff, who is leaving the office to become president of Bloomberg LP.

January 7, 2008 | Crain’s New York Business | 7 CNYB 01-07-08 A 8 1/4/2008 9:15 PM Page 1

months. He is trying to make it until April, when he starts renting Writers’ strike takes toll in NY out some of his 400 vehicles for the remake of The Taking of Pel- Continued from Page 1 duction,as well as pre- and postpro- and they aren’t getting hamOne Two Three,which is expect- “But there are a lot of other people duction work. green-lit,” says Stuart ed to proceed because the script is involved besides the writers.” There were fewer projects in Match Suna, president of completed. More than 1,000 of the 1,600 2001. The losses now are all the Silvercup Studios in studio mechanics in Mr. Ford’s more frustrating because TV and Long Island City, Show on hiatus union have lost their jobs in the last film work has reached records in the Queens. “If the strike many others are also in a bind. few weeks. The number of projects city in the past few years. Thanks goes on too long, it will Brian Abbott got his big break last in the area has plummeted to one largely to a 15% city and state tax have a major residual im- summer after working as a makeup major film and one low-budget credit that went into effect in 2005, pact on New York.” artist on TV shows and movies for movie, compared with 11 features the number of location shoots The last time work six years. He was hired to head up and 13 TV shows in October, Mr. jumped almost 10% in 2006, to was so scarce was in the the makeup department on the new Ford says. 34,718. And last year, a record sev- early 1990s, when Holly- Fox series, Canterbury’s Law, star- The city hasn’t released estimates en shows filmed here were picked up wood studios boycotted SIDELINED: ring Julianna Margulies and Aidan on the losses resulting from this by networks. New York for nine Gino Lucci is Quinn. strike. But when a similar strike months because they said among the NY But after shooting just six Pilot season at risk business owners loomed in 2001, the Mayor’s Office filming here was too ex- threatened by the episodes, the show went on hiatus of Film,Theatre & Broadcasting es- film executives say that if it con- pensive. writers’ strike. because of the strike, leaving Mr. timated that the city would lose a tinues much longer, the strike will “We lived through the Abbott—and hundreds of others— minimum of $625 million every ruin this spring’s pilot season—the boycott, and we hardly levinekarjean on the unemployment line. “Every- quarter in total direct expenditures two-month period during which made it at that point,” says Gino survive it.” one is scrambling for work,” says for productions requiring permits. single episodes of potential shows Lucci, president of Picture Cars Picture Cars’ business has Mr. Abbott, who has been scraping A study by the Boston Consulting are filmed to be reviewed for pickup East Inc., which provides every- dropped 95% since the strike began. by with savings, unemployment and Group provided a more extensive by the networks. A record 11 pilots thing from fire trucks to Ferraris for To stay afloat,Mr. Lucci is using his some freelance commercial jobs. estimate of more than $1.2 billion a were filmed in New York last year. TV shows and movies. “If it lasts reserves—an emergency fund that quarter. That included studio pro- “No one is writing pilots now, that long now, businesses will not he figures will last him about three COMMENTS? [email protected]

to persuade other investors to put in $300 million. Virgin America hits unexpected headwinds “Virgin is hostage to the owner- ship issue,” says Craig Jenks, presi- Continued from Page 2 The cap imposed by the federal panding capacity, not shrinking it.” for any airline to wait to grow—es- dent of industry consulting firm New York market.” Department of Transportation ef- The good news is that under the pecially one that is still testing its Airline/Aircraft Projects Inc. “So When San Francisco-based Vir- fectively puts any JFK expansion DOT’s plans, the caps can be lifted wings, and that lost $35 million in instead of being an idea driven by gin America began flying in August, plans on hold until 2010. A Virgin once operational upgrades have im- its first quarter of operation. While ‘crazy Richard Branson,’ who’s executives targeted New York as a America spokeswoman declined to proved the system to the point Virgin America’s founder, leg- known to do whatever he wants, he key growth market. In a head-to- comment on the impact of the caps. endary British entrepreneur actually has to convince real in- head battle with JetBlue, JFK’s Richard Branson, is famous for vestors to go along with it—which is dominant carrier, Virgin America Holding out hope Two years making long-term bets that many much harder to do.” began offering low-cost, high- “we are hopeful for a modest [ad- would dismiss as outlandishly risky, amenities flights from JFK to San ditional] place for new entrants,” is an awfully he’s already on his third attempt to Big supporting cast Francisco and Los Angeles. For says the spokeswoman. Failing that, enter the U.S. market. virgin america’s other sharehold- one-way fares as low as $119, New she predicts, there will be “fewer long time Virgin America’s first two launch ers include investment group VAI Yorkers could climb aboard one of competitors in the market, which attempts, in 2005 and 2006, were Partners, which is made up of funds the airline’s brand-new 149-passen- will spell higher fares and less inno- for any airline thwarted when federal regulators de- from private equity firm Black ger Airbus A320s, each equipped vative service.” manded that the company be 75%- Canyon Capital and Cyrus Capital with leather seats, mood lighting, That is precisely the sort of out- to wait to grow owned by U.S.nationals.That forced Partners. and 9-inch touch-screen television come that the Port Authority of Mr. Branson’s company to cut its For the time being, the airline is screens and a power jack at every New York and New Jersey had stake to nearly 25%, and sell off the using the $312 million that it raised seat. sought to avoid, and it’s a big reason bulk of Virgin America to U.S. in- from investors at launch to continue Since its launch,Virgin America why the agency has long opposed vestors, who can now call the shots. its expansion.With its growth plans has ramped up its JFK schedule to caps at area airports. where the Federal Aviation Admin- The financial burden of any ex- in New York on ice, the airline will its current roster of eight round- “Our first concern was the eco- istration thinks that more flights pansion now falls largely on the likely take its cash west, challenging trips a day.As recently as November, nomic impact the caps would have can be added safely. shoulders of those investors. For ex- Southwest Airlines on popular the carrier was agitating to open 15 on the region,” says Anthony Virgin America says that New ample, even if Mr. Branson were ea- routes. more daily slots at JFK each year for Shorris, executive director of the York continues to be an important ger to pour an additional $100 mil- the next three years. Port Authority. “We want to be ex- focus. But two years is a long time lion into the airline, he would have COMMENTS? [email protected]

has been solid for J.P.Morgan, par- ticularly in the New York region, Banks charge off more bad loans in 3rd Q Mr. Maclin says. Its troubled loans are mostly related to housing or in Continued from Page 2 that they couldn’t sell, at the same Midwestern areas with heavy expo- tial mortgages. time writing down the loan values sure to the weakening auto sector. Even so, SNL’s numbers suggest and taking charges against earnings. “We are still in the business of that in the aggregate, bad loans now lending,” Mr. Maclin says. “We are include an array of commercial and More challenging environment not seeing evidence of a slowdown.” industrial loans, in addition to con- j.p. morgan chase & co. had net Commerce Bank, in Cherry sumer credits. commercial and industrial charge- Hill, N.J., which is being acquired It would not be surprising for the offs of 0.6% in the third quarter— by TD Banknorth Group, also had charge-off rate on commercial loans triple the rate of the 2006 quarter. more problem loans in the third to eventually exceed 1%, says Kris Most of the problem credits appear quarter. Commercial and industrial Niswander, SNL’s associate director to be investment banking loans re- net charge-offs rose to 0.5%, com- of financial institutions. ported by the holding company; pared with almost zero in the 2006 *Percentage of aggregate commercial and industrial loans charged off by the largest 50 banks and thrifts in commercial banking charge-offs are period. Numbers may get worse New York, New Jersey and Connecticut. still relatively low. “Commerce has been bumping “we have come off of historic low lindström bekka “Our view of the future is we are along the bottom—with virtually no provisioning [for bad debt], and we loans missed by conventional finan- loans in their portfolios is driving up entering a more difficult economic bad loans relative to the portfolio— should expect the default rate to cial statements. They comprise ac- the total charge-off rate. environment,” says Todd Maclin, for several years,” says Greg Braca, pick up,” Mr. Niswander says. “I tual write-offs only—not the bil- Rising interest rates and the J.P. Morgan’s chief executive of the bank’s New York City market think the numbers for the fourth lions of dollars of mark-to-market mounting credit crunch spurred commercial banking. “We are posi- manager.“We have consistently said quarter are going to be worse.” revaluations. much of the deterioration in the tioned for more charge-offs.” that at some point we would see a The firm’s figures, which are de- Increases in charge-offs are con- third quarter. Mr. Bove says that in But the bank has not shown a spike in the numbers.” rived from regulatory reports filed centrated in a handful of large many cases, large banks were forced slackened appetite for nuts-and- with the Federal Reserve, include banks. The relative size of the bad to shift to their balance sheets loans bolts commercial lending, which COMMENTS? [email protected]

8 | Crain’s New York Business | January 7, 2008 CNYB 01-07-08 A 9 1/4/2008 2:54 PM Page 1

REAL ESTATE DEALS

and Morris Street. The division of Continuum Literary title moving to Hudson Sq. Health Partners—which operates five hospitals in the city, including Beth Israel Medical Center and St. April, according to Jason Pizer, sen- Showroom Seven in the new space most recently,and the Luke’s-Roosevelt Hospital Center— NY Review of Books ior vice president at Trinity. Asking building once housed the Tunnel will occupy the building’s entire sec- heading downtown; rents in the building are in the low moves to Chelsea nightclub. Showroom Seven already ond floor and part of the fifth floor. $50-a-square-foot range, he says. uses part of the building for its acces- Now located at 1775 Broadway, fashion firm cuts out Renewing the lease on Broadway fashion services firm Showroom sories trade show,The Train. the firm hopes to move before June, of garment district wasn’t an option, because the land- Seven plans to leave the garment Asking rent was about $35 a according to Robert Sanchez, cor- lord wanted the space back, accord- district for Chelsea this summer. square foot—just half of what Show- porate director of acquisitions and rinity real estate has ing to the magazine’s publisher, Rae The company recently signed a 10- room Seven would have paid for dispositions at Continuum Health attracted another high- Hederman. year lease for 17,000 square feet on prime space in the garment district. Partners. profile media client to Trinity, one of the city’s largest four floors of the Terminal Building, Broker Chris Pachios negotiated Continuum Hospice considered one of its buildings. The and oldest commercial landlords, at 261-271 11th Ave., between West in-house for property owner Water- moving to Brooklyn, Queens or the New York Review of recently signed deals with Viacom, 27th and West 28th streets. front NY Realty. Kaufman Organi- Bronx to escape Manhattan’s high TBooks signed a 15-year lease for CBS Radio and Workman Pub- The company, which will move zation broker Mike Heaner repre- rents before finding its new home, 15,000 square feet, about half of the lishing. from 498 Seventh Ave., reportedly sented the tenant. Executives at Mr. Sanchez says. third floor,at 435 Hudson St.,between “Media has always been our bread plans to open a boutique on the Showroom Seven did not return Asking rent at 38 Broadway is $38 Leroy and Morton streets. and butter,” Mr. Pizer says. ground floor and use the rest of the calls for comment. a square foot,according to David Of- The fortnightly magazine, CB Richard Ellis Inc. represent- space for showrooms, offices and —elisabeth butler cordova man of the Lawrence Group, which whose offices are now at 1755 ed The New York Review of Books. studios. owns the building.Continuum Hos- Broadway, will move at the end of —theresa agovino Showroom Seven and its sister pice Chief Executive Carolyn Cassin company, Seventh House Public Hospice firm says that Manhattan is also the most Relations, provide such services as stays in Manhattan central location to its hospitals and public relations, merchandising and referral sources. Battle over gifted distribution to independent fashion continuum hospice care signed Jeffrey Rosenblatt, a broker at designers. Its clients include Ben- a 10-year lease for 25,000 square Grubb & Ellis New York Inc., rep- jamin Cho and Anna Sui. feet in lower Manhattan, at 39 resented Continuum. Continued from Page 1 ment spokesman Andrew Jacobs. A ministorage business operated Broadway, between Exchange Alley —theresa agovino number of middle- and upper-mid- Parents understand the push for dle-class parents who are choosing diversity. Many are shocked when to raise their kids in the city but can’t they take school tours and see gifted comfortably afford private educa- classes filled mostly with white stu- tion. Parents who rushed to submit dents and general education classes Multifamily building owners: applications for testing by the Jan. 3 populated entirely with black and deadline for next fall are angry, and Hispanic children. the more energy you save, some are even threatening to sue. “You feel like you’re in the Deep “We feel that redress in the courts South in the ’60s,” one mother says. is really the only way to get out the Another parent trying to get her the more you get paid. message of what the DOE is doing,” daughter into her son’s gifted pro- says John Davidge, a member of the gram says: “If there’s one thing I We can help you make your building more energy efficient through Community Education Council in don’t like about my son’s school, it’s District 3. A unanimous resolution that it’s segregated. But it’s really to seek legal counsel passed at his two different sets of education. Do I PTA meeting last month at PS 166 want to be the first one to try out the on the Upper West Side. new system?” Limited time Frustration is highest in neigh- offer. borhoods, such as the Upper West Some parents remain calm Side,that have the largest number of most parents don’t want their kids Act now! gifted programs.Parents say that the to be the guinea pigs as the city tries most egregious rule is that children to shift more middle-class students

must now score 95% on admissions into regular programs, and many SM tests instead of the previous 90%.For didn’t want their names to be used in New York Energy $mart Multifamily Performance Program. the most prestigious citywide insti- this article for fear of retribution tutions like The Anderson School from the DOE. and TAG Young Scholars, appli- Not every parent is panicking, Gas customers cants must score 97%. The tests will though. Tara Herlocher, who lives be administered through February. on the Upper West Side, decided in Con Edison Results are released in March, not to get wrapped up in what she Territory but placements aren’t made until the calls “this collective madness.” end of May. That means parents “I would do anything for my son, receive who apply to private schools as a but I’m not sure we need to do the backup stand to lose thousands of level of insanity I see everyone do- AND, we offer incentives to help pay for it. Call us or log onto our website. dollars in nonrefundable deposits if ing to have him flourish,” Ms. Her- their children get into their chosen locher says. “He doesn’t need to go public program. “It’s a very scary to the top two schools in the city.” thing when you don’t know where She isn’t totally relaxed, though. additional your child is going to school next Instead of sending her son to their incentives for fall,” says Council Member Gale catchment school, PS 163, she will Brewer, who has been trying to apply to a handful of 11 other schools gas saving overturn some of the revisions. she has toured. Many of them hold measures.* lotteries for the few open seats. Diversity a goal Despite the difficulties, people the doe says the goal of the appear determined to stay in the city. changes is to make the gifted pro- Robin Aronow, a consultant who grams even more rigorous and to in- helps parents with public and private crease diversity by offering the tests admissions,is working with a nursery in more schools. school where 60 kids are applying to “We need to make sure these pro- kindergarten and only one family is grams are serving the students that talking about moving to the suburbs. really need to be in them to continue “Of course what happens after • their academic development, rather the end result is another matter,” 1-877-NY-SMART www.GetEnergySmart.org than filling an arbitrary number of Ms. Aronow says. *Eligible participants include all natural gas customers in the Con Edison Service territory who are on a programs regardless of whether the non-interruptible, firm-rate structure, and pay the Monthly Rate Adjustment charge. Other restrictions may apply. student is really gifted,” says depart- COMMENTS? [email protected]

January 7, 2008 | Crain’s New York Business | 9 CNYB 01-07-08 A 10 1/3/2008 8:20 PM Page 1

VIEWPOINT A deputy mayor’s agenda editor in chief Rance Crain publisher Jill R. Kaplan he new deputy mayor for economic a forceful advocate for the city’s original goal for the far West EDITORIAL development, Robert Lieber, completed Side: extending the midtown business district so that the editor Greg David deputy managing editors Valerie Block, his first marathon in New York last economy can grow. Erik Ipsen CONEY ISLAND. assistant managing editor November. Now he starts an even more In one of its most perplexing maneuvers, Robert Hordt arduous run: a two-year push to complete the city has unveiled a plan to revive the amusement district contributing editor–reports Elizabeth MacBride the agenda set by his predecessor, Daniel that completely ignores the wishes of Joseph Sitt, who owns columnist Alair Townsend Doctoroff. It’s a big job and requires most of the property. A standoff looms as Mr. Sitt appears senior reporters Aaron Elstein, Lisa Fickenscher, Matthew Flamm, flexibility to reorder priorities. Here are four key determined to wait out Tom Fredrickson, Samantha Marshall, developments where Mr. Lieber could make a difference. the last two years of the Anne Michaud, Miriam Kreinin Souccar T Robert Lieber reporters Theresa Agovino, Barbara Benson, JACOB K. JAVITS CONVENTION CENTER. The center’s much- mayor’s tenure.The Elisabeth Butler Cordova, Erik Engquist, Amanda Fung, Hilary Potkewitz, Gale Scott needed expansion is either dead or being revised, depending should reorder developer has widespread restaurant critic Bob Lape on which day of the week the state officials in charge are political support in art director Steven Krupinski priorities, show deputy art directors Carolyn McClain, talking. In fact, the Spitzer administration has dallied for so Brooklyn. Mr. Lieber can Daniel Mednick staff photographer Buck Ennis long that it has lost the backing of the hospitality industry some flexibility seek to broker a copy desk chief Wendy Zuckerman and civics leaders. Mr. Lieber could play an enormous role by compromise that would copy editors Michele Arboit, Thaddeus Rutkowski becoming the new proponent and head cheerleader for an serve everyone’s interests. research editor Denise Southwood DOWNTOWN. associate research editor expansion, which is crucial to drawing millions more visitors Business Adrianne Pasquarelli to the city.Though the state controls the center, a strong interests in lower www.crainsnewyork.com online editor Catherine Tymkiw advocate willing to play hardball could end the indecision, Manhattan and the state officials in charge of the Lower online reporter Kira Bindrim mobilize support and find the additional money required. Manhattan Development Corp. talk endlessly about how EDITORIAL AND ADVERTISING OFFICES HUDSON YARDS. Five of the city’s most prominent much rebuilding and revitalizing has been achieved.Though 711 Third Ave., New York, NY 10017-5806 editorial: 212.210.0277 Fax 212.210.0799 developers are seeking the right to develop this important there has been some progress, every major project is behind advertising: 212.210.0259 Cable craincom nyk parcel.The Metropolitan Transportation Authority owns schedule, many by years.The failure to demolish the Fax 212.210.0499 the site, so it gets to pick the winner.The city will have Deutsche Bank building threatens further delays.The city Entire contents ©copyright 2008 Crain Communications Inc. All rights reserved. influence, though, and Mr. Doctoroff is seeking a conflict- needs to stop taking a backseat to state officials downtown. ®CityBusiness is a registered trademark of MCP of-interest ruling that will let him remain on boards involved Mr. Lieber could be the one to become an insistent voice Inc., used under license agreement. TO SUBSCRIBE: in the decision. But the waiver is problematic. demanding progress. Call 888.909.9111; fax 313.446.6777. $3.00 a copy, $59.79 one year, $109.79 two years. Mr. Lieber should become the Bloomberg www.crainsnewyork.com administration’s point person on this project. He needs to be COMMENTS? [email protected] ADVERTISING AND MARKETING advertising director Jeff Adler business development manager Robert N. Grossman senior account manager LETTERS TO THE EDITOR William E. Squitieri account executives Andrew Carlin, Courtney McCombs, Lisa Pearly, Jennifer Siniscalchi western account manager Ellen Mazen (Los Angeles) 323.370.2477 Weighing options for obese teens sales manager, classified print & online John Gallagher newsletter product manager ASSESSING THE RISKS change their behavior to lose increase of some 1 million in 10 models roil market,” Dec. 24). Catherine Evans Gittens OF GASTRIC PROCEDURES weight. I agree; gastric banding years. Manhattan has to be able to Few still invest in the sales coordinator, print & online may be the tool some individuals absorb a large share of that if it is investigative journalism that turns Lulé Haznedari the dec. 17 article “Soaring need to effect that change. to prosper and lead the entire city up information of value to the sales coordinator Anita Perrino credit Pat Grondziak 313.446.6082 surgery” touches on the What surgery opponents do and region toward prosperity.That public. Most now repackage AP or marketing director Amy Crossman controversy of bariatric operations not acknowledge is the long- means that more residential units Reuters articles, corporate press marketing manager Jill H. Bottomley in teenagers. One of the major standing failure of diet and than office space are needed. releases or political spin because marketing coordinator Jenny Mashberg circulation manager Andrea Richardson hurdles is for the exercise as an effective To win the deal, developers it’s easier and cheaper. assistant circulation manager public to and lasting method of should be forced to allocate at least At the same time, the celebrity Rosalie Ford understand the weight loss in most 20% of the residential space to news and shock-jock approach general manager, interactive huge risk difference cases of morbid some form of affordable housing. that the old media have embraced Marc Minardo between banding obesity, age- sayward mazur has debased their claim to technical producer Danny Porter and bypass. independent. Surgery Mazur Carp & Rubin authority and reliability. NEW YORK PRODUCTION Reported mortality is never a first resort, Why not turn to blogs and production and pre-press director rates of 1/200 for but it may be the most Rx FOR OLD MEDIA: indie news sources on the Web? Michael Corsi bypass versus likely to succeed. The quality of their “facts” is at advertising production manager GET BACK TO BASICS Marilyn DeMilta 1/10,000 for lap- dr. jeffrey l. least as good as what the old media band illustrate the zitsman the decline in print media,or put out these days. In short, the PUBLISHED BY CRAIN COMMUNICATIONS INC. difference. Director, Center for old media whose outlets now span solution for old media is to chairman Keith E. Crain president Rance Crain Our program Adolescent Bariatric include the Web, can be attributed rediscover good old-fashioned secretary Merrilee Crain only serves teens, Surgery to a large degree to the worsening hard work and honest-to- treasurer Mary Kay Crain and we are trialing buck ennis Morgan Stanley of their relative value proposition goodness journalism. executive vp, operations William Morrow lap-band (the only KAITLIN DATO recently had Children’s Hospital of (“Old media hits the skids as new scott powell senior vp, group publisher Gloria Scoby banding surgery at NYU. group vp, technology, circulation, operation we offer NY-Presbyterian manufacturing Robert C. Adams them) under the vice president/production & watch of the FDA. So far, 94% of LIVING OVER WORK SPACE manufacturing David Kamis our teens have had significant WHAT’S COMING UP IN CRAIN’S? chief information officer Paul Dalpiaz AT HUDSON YARDS corporate circulation director weight loss (short-term). I do not Patrick Sheposh expect it to stay so high, but I am the decision on Hudson Yards is Real Small War encouraged. simple: Choose the largest number estate business for founder G.D. Crain Jr. (1885-1973) chairman Mrs. G.D. Crain Jr. (1911-1996) Crain’s quotes an expert who of residential units and a good report report talent suggests that surgery is a risky amount of public space (Dec. 17). Jan. 14 Jan. 21 Jan. 28 quick fix and that patients need to The city expects a population

10 | Crain’s New York Business | January 7, 2008 CNYB 01-07-08 A 11 1/3/2008 9:08 PM Page 1

nonprofit groups to be businesses, and we cover governmental matters and social trends. Our online efforts are about what is happening today and aim to bring you the most important sto- ries you will read in tomorrow’s newspapers. By Monday, our read- ers know the news of the week, so the paper emphasizes analysis, in- terpretation, what is expected to happen next (“forward spin’’) and the people behind the news. We al- ways keep in mind how events affect your business. Our reporters seek out stories with tension and conflict. Articles are never based on an interview with a single person, even a chief ex- ecutive. We take a point of view, which requires reporters to decide what is most vital in their stories. This differs from traditional jour- nalism, in which all views are given

john h. howard equal space. We want stories that inform, in- terest and amuse.We never evaluate a story based on whether it is “good’’ or “bad’’ for the subject, and we nev- er make publishing decisions on the Rules of journalism basis of potential consequences. We think the public good is best served by publishing as much information at Crain’s New York as possible. There is no way to de- cide which consequences we should care about. he arrival of the new year brings this annual We welcome story ideas from column that outlines what Crain’s New York Busi- anyone. Advertisers receive no pref- erence. Public relations people suc- ness is and describes its journalistic philosophy. ceed more than others in pitching After years of prosperity, the city is con- their ideas only because they know fronting a significant downturn on Wall Street, how to interest a reporter in a piece. which couldeasily lead to a recession.Development on the West The best way to get a story in the T paper is to approach a beat reporter Side will be a key story early in the year, and the prospect of (beats are listed on our Web site; e- mail is preferred).Reporters want to weakness in once- succeed Mayor Michael know what is about to happen so robust real estate mar- Bloomberg. that they can write stories for our kets hangs over the city. Covering those sto- daily Web alerts; they also want The city and state ries, as well as the unex- ideas for the paper. They are very budgets, which have pected, will be the mis- busy and don’t have assistants, so enjoyed record and sion of both Crain’s they usually won’t respond unless somewhat unexpected weekly print edition they think an idea is useful.The ad- surpluses of late, are and our news site, vertising and marketing staffs can’t suddenly facing bil- www.crainsnewyork. help you place a story in the paper. lions of dollars in red com. The basics of our In the end, our goals are defined ink. The presidential journalism are the same by the two things that readers say we race’s implications for GREG for both the paper and do best: providing news and infor- the city will be a para- DAVID the Web.Crain’s is com- mation they don’t find anywhere mount political story, mitted to examining the else,and offering lively and interest- but one that will be out- most important issues ing coverage. ranked by the intensifying ma- affecting city businesses and the lo- neuvering to determine who will cal economy. We consider arts and COMMENTS? [email protected]

CRAIN’S ONLINE POLL DO YOU THINK MAYOR MICHAEL BLOOMBERG SHOULD RUN FOR PRESIDENT? No, he would OF 612 RESPONDENTS, a slim majority want the Yes, I am just ensure a mayor to run for the White House. About a unimpressed 17% . Republican with any .24% victory in quarter say they’re not impressed with the of the November existing candidates; a little over 30% like the candidates idea of someone who’s not indebted to special Yes, he 27%. No, there’s interests. On the flip side, over a quarter don’t wouldn’t be no way he beholden to .32% can win think Mr. Bloomberg has a chance, and the rest Washington special think his candidacy would favor the GOP. interests For this week’s question: Go to www.crainsnewyork.com/poll to have your say.

January 7, 2008 | Crain’s New York Business | 11 CNYB 01-07-08 A 12 1/4/2008 2:56 PM Page 1

WEEK IN REVIEW For daily news updates, go to www.crainsnewyork.com

office buildings was averted after ECONOMIC SPOTLIGHT the union representing 26,000 janitors, doormen and other workers agreed to a tentative four- year contract that includes average annual wage increase of 4%.The agreement came four days before a planned strike by members of Local 32BJ. Council hearing on downtown blaze the city council planned to hold a hearing this week on the August blaze that killed two firefighters at the former Deutsche Bank building in lower Manhattan.Tentatively scheduled for Jan. 10, the hearing will address the timetable and safeguards for dismantling the remaining 26 Manhattan bucks housing trend stories of the building. SALE PRICES FOR MANHATTAN APARTMENTS remained on an upward trajectory in the fourth quarter, driven by sales at FreshDirect workers luxury properties like the PLAZA HOTEL (above) and say no to unions 15 CENTRAL PARK WEST. The average sale price of a low-wage warehouse workers Economy Watch Manhattan apartment rose 17.6%, to $1.4 million, at online grocery delivery service according to Prudential Douglas Elliman. Sales of FreshDirect voted against union NYC’s unemployment rate fell in November but remained above the U.S. rate. representation.The vote came Area inflation posted the biggest rise since June, led by higher energy prices. apartments over $10 million tripled during the quarter, about two weeks after hundreds of OCTOBER ’07 NOVEMBER ’07 COMPARISON according to Brown Harris Stevens. The national housing employees were suspended for NY area inflation change +0.1% +0.4% +3.9%1 market is experiencing its worst downturn in decades. being unable to provide accurate 2 records of their residency status as

NYC unemployment rate 5.3% 5.0% 4.7% bloomberg news part of an immigration service NOVEMBER JOB TOTAL3 12-MONTH CHANGE audit. NYC employment 3,663,800 +23,200 Former Goldman Buffett’s bonds 1-Inflation rate for the latest 12-month period. 2-U.S. unemployment rate. 3-End-month figure, analyst sentenced best in business not seasonally adjusted. Capital gains former goldman sachs group billionaire warren buffett at Merrill Inc. analyst Eugene Plotkin was launched bond insurer Berkshire NYC Hotel Stats Broadway Stats sentenced to nearly five years in Hathaway Assurance to compete merrill lynch & co. said it The average daily room rate rose in Thanks to forgiving audiences in the prison for his role in an insider with troubled rivals such as MBIA would receive a cash infusion of as November, data from PKF Consult- week ended 12/30, Broadway saw its trading scheme that netted more Inc. and ACA Capital Holdings much as $6.2 billion from ing show, but the occupancy rate best attendance and gross in a year, than $6 million in illicit profits. Inc. … MBIA sold a 5.1% stake to Temasek Holdings in Singapore dipped. The averages for the first 11 The League of American Theatres He pleaded guilty in August to private equity firm Davis Selected and Davis Selected Advisors. months were $297.24 and 86.7%, re- and Producers says. Year-earlier lev- conspiracy to commit securities Advisors, and ACA agreed to give Temasek will invest up to $5 spectively—above year-earlier levels. els were 314,300 and $29.1 million. fraud and insider trading. significant control to the Maryland billion for a nearly 10% stake; Insurance Administration. Davis will buy $1.2 billion worth Little Brown of Merrill’s stock. snags Tom Wolfe Worth their weight Blowing off steam in Goldman little brown and co. paid a consolidated edison inc. nearly $7 million advance to goldman sachs group inc. blamed a faulty repair and author Tom doled out $20.2 billion in excessive rain for the July steam- Wolfe (right) compensation to employees in pipe blast that killed one person in for a novel 2007—up 22% from a year ago— midtown.The utility said due out next including a 23% increase in accumulated rainwater and year, marking bonuses, which hit $12.1 billion. clogging caused by a leak sealant the end of his Chief Executive Lloyd Blankfein created over seven times the 40-year received a bonus of $67.9 million, normal pressure in the pipe. Con monogamous the largest ever given to a Wall Ed said it will change its relationship Street CEO. inspection protocol. Capital IQ’s Weekly Deals Report with —from staff reports and TRANSACTION SIZE publisher bloomberg news reports getty images COMPANY/LOCATION (in millions) BUYER/INVESTOR TRANSACTION TYPE Farrar Straus Warner Music sells and Giroux.The novel—Back to Merrill Lynch & Co. $5,600.0 Temasek Capital, Davis Selected GCI songs on Amazon THE CAUSE: Con Manhattan Advisers Blood—will be Mr. Wolfe’s first Ed admitted to a faulty repair. Morgan Stanley $5,000.0 China Investment Corp. GCI since I Am Charlotte Simmons in warner music group inc. signed Manhattan 2004. a deal with Amazon.com to make Godiva Chocolatier Inc. $850.0 Ulker Biskuvi Sanayi A.S. SB M&A its music catalog available for Manhattan E*Trade pays out downloading. Songs, priced The Related Companies $400.0 Goldman Sachs Group, merchant GCI between 89 cents and 99 cents, Manhattan banking division, MSD Capital e*trade financial corp. said it will be available through Gerson Lehrman Group Inc. $200.0 Silver Lake GCI will pay former Chief Executive Amazon’s four-month-old MP3 Manhattan Mitchell Caplan severance of service. Centerline Holding Co. $131.3 The Related Companies GCI $10.9 million, twice the combined Manhattan amount of his base salary and Selected deals announced during the two weeks ended Dec. 29 for companies headquartered in bonus in 2006. Mr. Caplan, who Building workers metro New York. GCI: Growth capital investment represents new money invested in a company for a minority stake. SB M&A: Strategic buyer M&A represents a minority or majority acquisition resigned in November, also reach contract of existing shares of a company without the participation of a financial buyer. stepped down from the board of bloomberg news bekka lindström bekka directors last week. a strike at more than 1,000 city

12 | Crain’s New York Business | January 7, 2008 CNYB 01-07-08 A 13 1/3/2008 6:39 PM Page 1

ECONOMIC OUTLOOK “It is becoming extraordinarily difficult to live in this city as an ordinary person.” —Mike Fishman, President, Local 32BJ, Page 16

INSIDE

Wall Street Debt City on tenterhooks: crisis puts market in unprecedented Uncertainty looms territory PAGE 14

Tourism Bullish sector adds capacity, though cooling-off is inevitable PAGE 15

Affordability Tough choices even on $150,000; taxes, housing pinch PAGE 16 buck ennis

related write-offs, job losses reach- NYC better off than in former downturns, ing into the thousands and smaller bonuses—New York probably will but importance of Wall Street still pervasive not face as severe a plunge in the cur- rent cycle. ed eight years. measures it has yet to be completely The city lost about 600,000 jobs BY TOM FREDRICKSON The downturn that followed the overcome. during the 1970s, including hun- Immigration New boom of the 1980s dragged on for Each of those declines was made dreds of thousands of manufactur- the economic slump that gripped four years and cost the city one out worse by historic factors that aren’t ing jobs that were relocated to the York’s economy could New York City in the 1970s amid a of every nine jobs. present today.Despite the problems Sunbelt or that disappeared alto- be jolted by the bitter fiscal crisis, a plunge in manufactur- The pullback earlier this decade afflicting Wall Street—billions in gether. In addition, corporate head- ing jobs and middle-class flight last- went on for three years,and by some equity wiped out by mortgage- See UNMIXED on Page 14 debate PAGE 17

January 7, 2008 | Crain’s New York Business | 13 CNYB 01-07-08 A 14 1/3/2008 6:34 PM Page 1

REPORT ECONOMIC OUTLOOK

Credit crisis puts market OPTIMISTS SEIZE OPPORTUNITY TODD SULLIVAN thinks this is the perfect time to be stocking up on Wall Street. The 39-year-old entrepreneur and author of a blog, ValuePlays, believes investors have become too pessimistic about the economy and the stock in unprecedented territory market. In the past few months, Mr. Sullivan has moved about 65% of his investment portfolio into names like Citigroup and Goldman Sachs. lions of Americans borrowing be- corporate America could also weak- “The market is going through a classic More write-downs yond their means to repay. Banks en. Many indicators point to the overreaction to bad news,” he says. “I don’t and layoffs expected, wrote down billions in dud mort- first recession since 2001. deny there are problems with housing and gages and related investments last “We’re at a real inflection point,” subprime mortgages, but Citi and Goldman do a with no painless year, and 2008 is shaping up to be says Paul Stewart, principal at pri- lot more than mortgages, and their other lines of remedy for turmoil just as bad or worse. vate equity investment firm PS business are performing quite strongly, “It’s hard to see the credit Capital Partners. “You can see how especially abroad. The U.S. economy is still in squeeze abating soon,” says Nigel the economy could go either way.” good shape when you look at job growth, and I BY AARON ELSTEIN Gault, a managing director at eco- expect the Wall Street firms will perform very Shifting sentiment Todd Sullivan nomic forecasting firm Global In- well in the coming year.’’ late in the summer of 1998,a though the companies in which Mr. Sullivan isn’t the only one expecting a better year for the Street credit crisis was consuming Wall Mr. Stewart invests—small manu- after financial sector shares fared worse than the S&P 500 last year for the Street. The Russian government ‘I’d batten down facturers in the Midwest—per- first time since 1998. had defaulted,which sent debt mar- the hatches if formed better in 2007 than they did Bob Profusek, co-chairman of the mergers and acquisitions practice at kets crashing. Speculation abound- the year before, concerns are grow- law firm Jones Day, expects business to be robust in 2008. “We’re not ed that Lehman Brothers was spi- ing. “Things are starting to shift; budgeting for any significant change,” he says. “We look for a good year.” raling into bankruptcy,and spooked I ran a major people are unsure,” he says. brokerage firms sacked thousands of One sign of the gloom that has Mr. Sullivan acknowledges that he jumped the gun a bit. He bought Citi employees. investment bank’ enveloped Wall Street: In a recent shares for about $50 each in the first half of 2007 and more in September But the crisis passed within two survey of more than 800 investment after the price tumbled to $32. With Citi’s stock now trading at around $29, months as a result of the Federal Re- bankers, private equity executives, he’s thinking of adding to those holdings. serve’s aggressive interest rate cuts. venture capital officials and the pro- “It’s true I’m underwater,” he says. “But I’m confident it won’t last.” By early 1999, the dot-com boom fessionals who serve them,only 72% was in full swing and Wall Street was of these congenital optimists de- enjoying a record surge. sight. “I don’t think the bad news is scribed the environment for corpo- ing that there is no recession; Mer- most silent. Even Goldman Sachs, It’s unlikely that the current close to over.” rate mergers as “good”or “excellent,” rill Lynch forecasts $400 billion. widely regarded as the industry’s credit debacle will have such a quick Last year’s slide was primarily compared with 93% in the first half At the same time, the economy best-run firm, is expected to see or happy ending. This one is much connected to mortgages and other of 2007. appears to be softening. Some 38% earnings fall by 10% this year, ac- bigger and broader, fueled by mil- consumer-related debt. This year, The biggest problem Wall Street of economists surveyed by WSJ. cording to Reuters Fundamentals. faces is its crumbling mountain of com believe that a recession is immi- The brokerage houses are re- subprime mortgages and associated nent. Moody’s Investors Service ex- sponding by cutting staff. Bear securities. With investors refusing pects U.S. corporate default rates to Stearns sacked 9% of its workforce to buy anything linked to these cred- rise dramatically in 2008, to 4.7%, in the fourth quarter; others are also its, banks are being forced to take from an extremely low 1.0%. paring back.More layoffs should be enormous losses. expected in 2008. The Street has already taken M&A decline “If I were running a major invest- about $80 billion in write-downs— domestic mergers and acquisi- ment bank, I’d be battening down hits that forced such venerable firms tions volumes have dropped,and the the hatches,” says Michael Holland, as Morgan Stanley and Bear Stearns number of initial public offering fil- chairman of investment firm Hol- to report their first quarterly losses ings in December was half what it land & Co. and a former Salomon ever. Global Insight estimates that was in December 2006.Neither line Brothers executive. the industry will ultimately record of business is expected to snap back,

bekka lindström bekka $200 billion in write-downs,assum- and the credit markets remain al- COMMENTS? [email protected]

there is so predominant. In 2006, the Street accounted for 5% of the Unmixed message: Street’s importance city’s total jobs but 23% of its wages. The most recent available data Continued from Page 13 Those sectors had fed off each ing from the weak dollar, which is a real downturn,” says Rosemary show how much whopping Wall quarters decamped. other during the boom of the late spurring foreigners to shop and buy Scanlon, an associate professor of Street bonuses—which get record- “The 1970s were dominated by 1990s. Wall Street poured money real estate here. economics at the Real Estate Insti- ed in the first quarter—have figured the fiscal crisis, when the city was into dot-coms, which in turn The city’s 2007 employment to- tute of New York University and in the current strength. close to bankruptcy and had huge bought advertising and bolstered tal is estimated at an average 3.72 former chief economist at the Port During the first quarter of 2007, cutbacks in services,” says Rae media players. Professional firms million, slightly below the 2000 Authority of New York and New the most recent period for which Rosen, an economist at the Federal prospered by catering to the blaz- peak, but the number of self-em- Jersey. wage data are available, Wall Street Reserve Bank of New York. “That ing-hot financial sector, and it ployed has risen so sharply that the Though job growth has slowed accounted for 39.1% of the salaries coincided with flight from the city seemed that every industry in Man- total workforce is likely to be well or accelerated many times without in New York City, according to and a sharp increase in crime.” hattan was looking for acres of office above previous peaks. the economy actually having Martin Kohli, an economist with Prosperity in the 1980s fed into a space. changed direction, the city remains the Bureau of Labor Statistics.That speculative real estate bubble that “Financial services and technol- Too early to tell vulnerable to a Wall Street down- compares with 33.1% in the first was more pronounced than the cur- ogy had a rip-roaring time,” says with the economy facing mixed turn. The potential for a severe fall quarter of 2001 and only 12.7% in rent one. “The extent of the over- James Brown, a labor market ana- news,“it’s too early to say if we have is evident because compensation the first quarter of 1990. building in the 1980s exacerbated lyst with the state Department of If Street bonuses were to decline the magnitude of the downturn,” Labor. sharply,the local economy would go says Jason Bram, a Fed economist. While each decline was magni- into an acute withdrawal that the fied by unique factors of the time, service sector and a cheap dollar Historic factors the service sector is providing ballast couldn’t alleviate. the subsequent downturn last- that may make the next slowdown “Wall Street’s importance has ed until 1992 and was followed by milder in comparison. grown phenomenally,” says James several years of sluggish growth. “Each of the last three down- Parrott,senior economist at the Fis- The recession early in this turns has been progressively less se- cal Policy Institute.“The concentra- decade was accentuated by simulta- vere,” Mr. Brown says. “Part of the tion of the city’s economy in Wall neous declines on Wall Street, as reason is that we have shifted more Street makes the [situation] very well as in professional services and to an economy that provides servic- volatile.” old and new media.The terrorist at- es like health and education, which

tacks added to the pressure. stay strong.” An extra boost is com- lindström bekka COMMENTS? [email protected]

14 | Crain’s New York Business | January 7, 2008 CNYB 01-07-08 A 15 1/3/2008 6:29 PM Page 1

REPORT ECONOMIC OUTLOOK Flocking to the Big Apple, at least for now

ness climate here, and these factors from Canada and Mexico to pro- Another banner year have only been enhanced by the duce a passport at the border. expected, but visas a weak dollar,” says Jonathan Tisch, Rules that were implemented re- chairman of NYC & Company and cently make it difficult for citizens a problem for many chief executive of Loews Hotels. of fast-growing travel markets like international visitors Moreover, tourism will be Brazil and Russia to come here, be- adding jobs in 2008 and beyond even cause travelers must go to their near- as Wall Street sheds workers.For ex- est U.S. consulate to apply for a BY LISA FICKENSCHER ample,up to 12,000 hotel rooms will tourist visa. be coming on line over the next four with its red double-decker years,which can be expected to trans- Whither the dollar? buses jammed with tourists, Gray late into an equal number of posi- “we should be overwhelmed with Line New York Sightseeing spent tions.Tourism employment grew 9% international travelers, and we’re $6.5 million last year to buy 13 new from 2004 to 2006,reaching 368,179. not,” says a spokesman for the Trav- vehicles, increasing its distinctive Hotel executives are so bullish el Industry Association of America. fleet to 80.The company expects the that they are making investments to “What will happen when the dollar additions to be brimming with pas- be ready for the surge of business gets stronger?” sengers this year. and the competition from new Some concerns will be offset by “There is no reason we can’t sus- properties. Mr. Tisch plans a major an expected influx of travelers from tain this growth,” says Gray Line room renovation this year at Loews China and India, countries whose EASY RIDER: Gray President Tom Lewis. Regency, on Park Avenue and East economies are growing so rapidly Line has spent New York City’s tourism boom 61st Street. Similarly, the New that there are 700,000 millionaires millions to expand of the past four years is unlike any Yorker, at Eighth Avenue and 34th in China alone. its fleet, says other in its history.Tourism officials Street—which is undergoing a $65 An agreement last month be- President Tom here say more growth lies ahead, million revamp—will add to the tween the United States and China Lewis.

even though the national economy hefty tab with its first spa. will make it easier for groups of buck ennis is cooling. “We are going full speed ahead in leisure travelers to visit this country. The number of visitors in 2007 is 2008,” says Kevin Smith, the New Most of the 159,000 Chinese visi- estimated at a record 45.5 million, Yorker’s general manager. tors to the city in 2006 were business 3.8% more than the year before and The boom will inevitably give travelers. on track to reach Mayor Michael way to a cooling-off period. Some “Now they can come for pleas- Bloomberg’s goal of 50 million visi- domestic travelers will be put off by ure,” Mr.Tisch says. NYC & Com- tors by 2015. high prices, and foreign visitors are pany estimates that 250,000 Chi- already having more problems en- nese will visit New York by 2011. Numbers all up tering the country. “The Chinese should be showing up through november, hotel occu- “We see a little bit of the boom on our shores in very large num- pancy rates averaged 87% and rooms getting pinched by hotel room bers,” he adds. commanded an average rate of $297, rates,” says Hannah Messerli, a

according to PKF Consulting. professor at New York University’s COMMENTS? [email protected] lindström bekka The battered dollar has made Tisch Center for Hospitality, New York a bargain for internation- Tourism and Sports Management. al visitors and more appealing to The hotel industry has been re- those Americans who can’t afford to couping its post-Sept.11 losses with travel abroad. annual average room-rate increases Seven and a half million foreign of more than 10% over the past three visitors came here in the first half of years, according to PKF Consult- 2007, compared with 6.7 million in ing. The hotels being built, at least the first half of 2000, a similar boom half of which are budget properties, time, according to NYC & Compa- will help ease the upward pressure ny, the city’s tourism bureau. on rates. “There is pent-up demand for New rules take effect this year New York as well as a strong busi- that require all travelers coming

EXPLORING CAREERS HOSTS SOUGHT FOR HIGH SCHOOL GROUPS THE GREATER NEW YORK COUNCILS’ Exploring program is seeking businesses to host educational sessions offering high school students the opportunity to explore various industries and make better decisions about possible career choices. The Exploring program puts together groups of 15 to 25 students interested in specific fields, such as journalism, computing services, law or restaurant operations. The student groups meet at the host businesses after school for four or more sessions, learning about career ladders, educational requirements, salary scales and what people in their selected fields actually do. Businesses often arrange special projects for the students, such as preparing marketing materials for a product, designing the concept for a new restaurant, engaging in moot courts and the like. Programs start throughout the year, and the timing is tailored to fit business schedules. Participating organizations include Bloomberg LP, Crain’s New York Business, the Fire Department of New York, NYU Medical Center, PricewaterhouseCoopers, Silvercup Studios, Skidmore Owings & Merrill, The Waldorf-Astoria, and the Brooklyn and Queens district attorney’s offices. For more information, please call Exploring director Bob Hayes at (212) 651-2808, or visit www.nyexploring.org.

January 7, 2008 | Crain’s New York Business | 15 CNYB 01-07-08 A 16 1/3/2008 8:56 PM Page 1

REPORT ECONOMIC OUTLOOK Unaffordable NY: tough choices at $150,000

Brooklyn, Queens, Harlem and up- largest budget item for most Costs are biggest per Manhattan is putting former middle- and working-class culprit as more areas middle- and working-class neigh- households—has been rising borhoods out of reach for many peo- more steeply than ever. New gentrify; steep taxes ple. developments are targeted Add a city and state tax burden primarily at the high end of play major role, too that can approach 12% of income, the market, and the mayor’s and New Yorkers are being priced affordable housing program BY JUDITH MESSINA out of the city, which they don’t doesn’t include a large seg- want to leave. ment of middle-income dr. vatsal thakkar, a psychiatrist “For middle- and working-class households. At the same at New York University Medical families,[the city] is unaffordable— time, rezoning has limited Center, and his wife, a clinical psy- increasingly unaffordable,” says development in many mid- chologist, make a total of about dle-class neighborhoods. $150,000 a year. Even so, the couple had to move farther up the West ‘Five years ago, Priced out Side from West 72nd Street to find hardest hit are earners and a larger apartment when they were landlords families making $80,000 to expecting their first child. $150,000 a year, including That might not be their last stop. in Park Slope blue-collar workers and pro- Dr. Thakkar has a two- to five-year fessionals such as teachers housing plan in anticipation of a day would have and midlevel managers. when the family might have to de- Tom Buscemi, a 30-year- camp for the suburbs. come to you’ old jewelry merchandiser “I read The New York Times real who makes $60,000 a year, estate section as a fantasy novel,”Dr. experienced the pinch. Thakkar says. “It does leave you When the landlord wanted feeling a little depressed.” to raise the rent on his 350- DREAMING: “I read the square-foot walkup in Times real estate section Nothing new as a fantasy novel,” Vicki Been, director of NYU’s Fur- Greenwich Village by $500, Dr. Vatsal Thakkar says. living in the city is becoming man Center for Real Estate and Ur- to $1,900, this past summer,

more unaffordable for the middle ban Policy. Mr. Buscemi looked in roger hagadone class, and not just in trendy Man- Living in New York City has al- Brooklyn. But he found that hattan neighborhoods, where a ways been expensive, and that’s the even a middle-class neighborhood able to people making the city’s me- three with an income of $75,000 two-bedroom apartment can cost price people pay for its opportuni- like Lefferts Gardens was beyond dian income of $43,434, a big de- pays about $8,000 a year in city and about $1.5 million or rent for ties and vibrancy. But over the past his means. crease from 11% in 2000. Similarly, state taxes. New Yorkers with in- $3,500. Gentrification in parts of decade, the cost of housing—the He ended up in Astoria,Queens, the number of rental units that me- come of $100,000 pay the nation’s a neighborhood made up increas- dian earners could handle fell 9% fourth-highest city and state taxes, ingly of new immigrants. between 2002 and 2005. nearly $11,000. “I looked all over Brooklyn, but Monthly rent or mortgage pay- “Taxes are pervasive and affect [rents] are out of control,” Mr. ments might be the most visible every level of economic activity,” THE CRAIN’S BEAT SHEET Buscemi says.“Five years ago,[land- item in a household budget,but city says E.J. McMahon, director of the lords] in Park Slope would have and state taxes here take a bigger Empire Center for New York State REPORTERS Works on Health Pulse newsletter. come to you.” bite of income than in many other Policy in Albany. “The pinch will According to the Furman Cen- places for individuals—and for continue for the middle class.’’ AARON ELSTEIN SENIOR REPORTER ELISABETH BUTLER CORDOVA ter, only 4.6% of homes for sale in landlords and shopkeepers, who e-mail: [email protected] REPORTER New York City in 2005 were afford- pass on those costs. A family of COMMENTS? [email protected] Covers Wall Street. e-mail: [email protected] Covers retail and apparel. LISA FICKENSCHER SENIOR REPORTER e-mail: [email protected] ERIK ENGQUIST UNPRECEDENTED PROSPERITY, BUT MOOD WORSENS Covers the tourism, restaurant REPORTER and hotel industries. e-mail: [email protected] MANY OF NEW YORKERS’ affordability woes stem, ironically, against Columbia University’s expansion into Covers politics and government, MATTHEW FLAMM SENIOR REPORTER works on Crain’s Insider newsletter. from an extended period of unprecedented prosperity that Manhattanville. Despite the fact that the school promises e-mail: [email protected] has induced families to stay in the city and has attracted to bring 6,000 jobs, a new high school and a revitalized Covers media and entertainment. AMANDA FUNG many immigrants, all competing for housing. retail scene into what is a rundown area, community REPORTER The good times—including front-page stories about Wall activists fought the plan until the City Council gave its final SAMANTHA MARSHALL e-mail: [email protected] Streeters pocketing million-dollar bonuses—have also approval late last month. They argued that gentrification SENIOR REPORTER Covers technology and telecom. e-mail: [email protected] raised people’s expectations about what they need and would not only squeeze out Manhattanville’s small Covers education, and international HILARY POTKEWITZ should be able to afford. “Having a middle-class life in the manufacturers and artists but spill over and drive out business and trade. REPORTER city has always been challenging,” says Nicole Gelinas, a residents of nearby neighborhoods. e-mail: [email protected] fellow at the Manhattan Institute. “People used to squeeze Similar issues are driving labor strife, including a ANNE MICHAUD SENIOR REPORTER Covers legal issues and transportation. e-mail: [email protected] kids into one bedroom; now everybody thinks every kid recently resolved dispute between office landlords and Covers politics and government, GALE SCOTT should get his own bedroom.” doormen and porters union 32BJ, 90% of whose members works on Crain’s Insider newsletter. REPORTER But in fact, even as housing costs have skyrocketed, live in the city and make about $40,000 a year. For 32BJ e-mail: [email protected] many consumer goods are more affordable now because President Mike Fishman, it’s all about affordability. MIRIAM KREININ SOUCCAR Covers hospitals and insurers, of the national chains—including Target, Kmart and Best “It’s becoming extraordinarily difficult to live in this city SENIOR REPORTER works on Health Pulse newsletter. e-mail: [email protected] Buy—that have opened stores in the city in recent years. as an ordinary person,” Mr. Fishman says. “[It used to be] Covers the business of arts, culture. In addition, as apartment dwellers and mass transit you could have a decent life and put your kids through WEB STAFF users, New Yorkers aren’t as affected by the gasoline and college. We’re beginning to see the end of that.” THERESA AGOVINO heating oil price hikes that are roiling the rest of the That concern is already a key theme for two of the three REPORTER CATHERINE TYMKIW e-mail: [email protected] ONLINE EDITOR country. And in many places in the city, housing remains 2009 mayoral candidates—Comptroller William Thompson Covers commercial real estate. e-mail: [email protected] affordable. and Congressman Anthony Weiner. But people’s growing sense of vulnerability and “Whoever can strike the middle-class responsive chord BARBARA BENSON KIRA BINDRIM desire to claim a share of the city’s prosperity are probably has a good shot to win the race,” says political REPORTER ONLINE REPORTER increasingly evident. Consider, for example, the battle consultant Hank Sheinkopf. e-mail: [email protected] e-mail: [email protected]

16 | Crain’s New York Business | January 7, 2008 CNYB 01-07-08 A 17 1/3/2008 8:22 PM Page 1

REPORT ECONOMIC OUTLOOK Anti-immigration fervor casts city out

Nation wants fewer Kallick, principal author of a recent ber of businesses surged 54% be- report on immigration by the Fiscal tween 1994 and 2004, versus less NO PLACE LIKE HOME: A workers, while NYC Policy Institute. “We don’t want to than 10% growth in the city overall. visit to Kansas made Cira kill the goose that laid the golden It’s not just a question of volume, Angeles aware of how needs more; political egg.” either. An important distinction be- differently New Yorkers view people who come heat intensifies split Changes spawned by arguments tween the city and the rest of the na- from somewhere else. in the national debate could have a tion is the skill level of immigrants. huge impact on New York. The Though, as elsewhere, many in New BY ELIZABETH MACBRIDE numbers make the stakes clear. York fill low-skill jobs like dish- About 37% of the city’s popula- washer or janitor, they also make up locals turned around and tion is foreign-born, compared with a quarter of the city’s chief execu- looked when Cira Angeles and 12% for the nation. Even more tives,half of its accountants and 40% some friends walked into a restau- telling is that 46% of the city’s work- of its architects. In fact, the study rant in Kansas last summer. force is foreign-born, compared noted that immigrants are helping to “They were very courteous,” says with 15% of the nation’s, according repopulate New York’s middle class. Ms. Angeles, a New Yorker origi- to the Fiscal Policy Institute study nally from the Dominican Repub- and the annual Economic Report of Not far enough lic. “But you could tell they were the President.The former found that the politics surrounding last thinking: ‘Who are they? What are year’s immigration reform bill, they doing here? Are they legal?’ ” which went down in flames,also put The owner of a taxi dispatch and the difference between New York insurance company, Ms. Angeles is and the rest of the country into closely following the immigration sharp relief. President George W. debate whipsawing the country. Bush’s proposal to offer people who What worries her is how measures are in the United States illegally a designed to soothe concerns about path to citizenship triggered fierce illegal workers in places like Kansas opposition from anti-immigration may affect the many immigrants she forces. But the New York business knows and does business with here. community didn’t support the bill “In New York, you could walk because it wouldn’t allow entry to into a business, and anybody could enough skilled workers. be from anywhere,”she says.“I think New York politicians often rec-

we have a softer approach and a bet- ognize the economic benefits of im- buck ennis ter way of getting along with each migration. During last year’s fight, other.” Mayor Michael Bloomberg testi- SANCTUARY FOR ILLEGALS? fied in Congress about the need for Part of the fabric more immigrant workers. Former NEW YORKERS ARE MORE CONFLICTED about illegal immigrants—the issue that’s driving the debate on Capitol Hill—than people are in other parts of the as anti-immigrant rhetoric con- lindström bekka Mayor Rudy Giuliani was an elo- tinues in the presidential race and quent promoter until he began his country. Washington gears up for another year immigrants contribute 22.4% of the bid for the White House; his two- Residents here tell pollsters that they oppose measures to help illegal of fighting on the issue, many New state’s GDP,or about $229 billion, a step on the issue and new emphasis immigrants, but New York has long been a sanctuary with a host of laws that Yorkers are beginning to realize how figure greater than the GDP of 30 on enforcement crushed advocates. make life easier for the estimated 500,000 undocumented people here. out of step they are when it comes to states. “Disappointment doesn’t begin Most New Yorkers knowingly or unknowingly interact with undocumented immigration. Immigrant entrepreneurs such as to express my feelings,”says Chung- people every day. In fact, many immigrants who have expired visas or who Unlike the nation, the city can- Ms. Angeles also play a key role in Wha Hong, executive director of came to the country to join family members may not even consider not escape the economic reality that the city’s economy. The report the New York Immigration Coali- themselves illegal. it depends on people who come shows that business growth has tion.“This [issue] really has brought Joseph Salvo, director of the population division of the Department of City from other places. been greater in neighborhoods with people’s hypocrisy,or lack of integri- Planning, says he wishes people understood the extent to which “Immigrants have been very large immigrant populations, such ty, to light.” undocumented workers have family ties to those who are here legally. well-integrated into the economy as Flushing, Sheepshead Bay and The shape of things is such that “Legal and illegal immigrants sit across the dinner table from each other,” here,” says David Dyssegaard Sunset Park. In Flushing, the num- even politicians who are considered Mr. Salvo says. moderate on the issue—including basically all the Democratic presi- POWER IN THE WORKFORCE dential candidates—call for more Top occupations of immigrants in New York City. enforcement. Major sweeps against illegal immigrants could be devas- Number of Share of tating in New York,where they make immigrants occupation up 10% of the workforce overall and Nursing, psychiatric and home health aides 108,600 71% a much higher percentages in some Cashiers 61,300 54% businesses, such as restaurants. “We need to figure out a way to Janitors and building cleaners 60,700 58% back down slowly,” Mr. Dyssegaard Maids and housekeepers 56,200 82% Kallick says. “We need to stop and Retail salespeople 51,300 43% think: What would happen if we shipped all the undocumented Child care workers 48,200 62% workers out of the country?” Taxi drivers and chauffeurs 46,900 87% Meanwhile, advocates hope that Construction laborers 43,600 70% the argument will shift enough to allow a more nuanced discussion of First-line supervisors/managers of retail sales workers 39,700 54% immigration’s positive aspects. Af- Secretaries and administrative assistants 37,500 28% ter the crucible of the primaries, candidates may temper their speech Some categories with fewer than 10,000 immigrants. to appeal to mainstream voters, in- Chief executives 8,500 24% cluding the growing number of Real estate brokers and agents 7,700 32% Hispanics. “The leadership to reframe the Police and sheriff’s patrol officers 6,200 23% debate really could come from New Computer software engineers 5,500 42% York,” Ms. Hong says. “New York- Architects 4,500 40% ers are capable of having a rational debate.” Source: Fiscal Policy Institute COMMENTS? [email protected]

January 7, 2008 | Crain’s New York Business | 17 Project1 11/20/07 11:36 AM Page 1 CNYB 01-07-08 A 19 1/3/2008 8:25 PM Page 1

SMALL BUSINESS

IN A NUTSHELL Urban wear maker studies growth AKADEMIKS demiks Jeanius Level Products. young hip-hop costumer. Having ironed out his manufac- LOCATION West 34th Akademiks founder From an original line of oversize He moved to New York City and turing issues, he turned his atten- Street, Manhattan denim jeans and shorts pitched at spent much of six months sitting tion to sales and hired a marketing researches markets EMPLOYEES 75 urban males, Mr. Harrell’s outfit outside several Harlem high schools director. to tailor hit products; has rocketed beyond the status of a and hanging out at local retailers, U.S. RETAILERS was smaller better? small business to rank as a rising in- seeing what was selling and talking On the wings of Fabolous CARRYING dustry powerhouse with $80 mil- to the stores’ owners about the in 2001,the company hit the jackpot AKADEMIKS 525 lion in annual sales and a loyal fol- hottest trends and about pricing.In- when rapper DMX wore an Aka- BY VICTORIA RIVKIN ALL-TIME BEST- lowing as far away as Germany. spired, he came back to his new of- demiks outfit on the MTV Awards SELLER Fan Back Akademiks offerings include cloth- fices on West 34th Street and began and Fabolous wore Akademiks on Jeans, $62-$68 ometimes ignorance pays. ing, outerwear, shoes and acces- designing loose-fitting, lightly his debut album. When 24-year-old Don- sories for men, women and even washed denim clothes with decora- Since then, Akademiks revenue WHAT’S HOT NOW wan Harrell was tapped by children. tive stitching and designs for his has soared as the company added AKA Fashion Denim, Nike to be head designer “The streetwear category has ex- first spring collection. He also lined celebrity endorsers, fresh products $78-$94; All Over Print for its Organized Team ploded in the last 10 years, and up manufacturers he already knew and sales outlets. Hoodie, $80-$110 SSports for Asia Pacific unit in 1995, Akademiks has taken advantage of from his Nike days in Hong Kong. “Donwan gives you the best den- he had only one problem: Mr. Har- this well,” says Lezley Goldbaum, Buyers for Bloomingdale’s and im, which is superior in our urban rell knew next to nothing about fashion analyst with the Tobe Re- others loved his line, which ranged game,” says Billy Rudnick, general “I miss the small company.” most of his customers,much less the port. “They know how to target the from sandblasted and tinted denim merchandising manager for men’s Having put his company on a intricacies of such sports as rugby, customer, take notice of what the cargo shorts priced at $65 to light- clothing at Dr. Jay’s stores, one of growth track, however, Mr. Harrell cricket and Australian football. customer really wants and reinvent weight suede shirts at $110. Con- the largest retailers for Akademiks is now looking to expand his offer- To get up to speed, he criss- every collection for each season.” sumers,however,quickly discovered men’s clothes. ings to include more moderately crossed the region, researching each a darker side. Not only was Aka- Truth be told, Mr. Harrell has priced goods. team and becoming expert in each Small-town boy demiks’ sizing off, but its Chinese- some regrets about all his success. “Akademiks has surpassed other market. in some ways, designing and selling made zippers proved faulty. Unable He describes himself as a hands-on brands, like Rocawear, and as of this “I think of myself as an anthropol- urban wear was as big of a reach for to pull the items off the shelves, Mr. designer,but over time he has had to year has become our No. 1 selling ogist,”says Mr.Harrell.“I study con- Mr. Harrell, who grew up in a small Harrell had to redesign and switch delegate responsibility to a team of brand,” says Cookie Falack, owner sumers to find out what they want.” town in Virginia, as divining trends to trusted YKK zippers for his next five division managers who make of Cookies, a kids clothing chain That skill served him well as cre- in the Jakarta, Indonesia, shoe mar- collection.Because his initial collec- day-to-day decisions about new de- based in the Bronx. “When a brand ative director for a series of big-name ket for Nike. All he knew about ur- tion was relatively small and con- signs and product placement. Mr. is this hot with adults, it trickles fashion brands, including Donna ban wear was that it was hot.Armed tained as many items with buttons as Harrell’s day centers on manage- down to kids.” Karan and Joseph Abboud,and since with $1.5 million from investors, with zippers,the setback was not fa- ment and production issues. early 1999 at his own outfit, Aka- Mr. Harrell carefully researched his tal. “It’s very hard to let go,” he says. COMMENTS? [email protected]

Attention Employers! CUNY offers a new benefit for employees of your company who may not have completed their college degree: • A low-cost opportunity… to obtain a high quality Online Baccalaureate in Business on their own time • A chance to advance… their skills with a baccalaureate taught by distinguished CUNY faculty • A program for students… who have earned at least 30 credits from an accredited college or university New Semester Starts January 25 • Apply Now! Join us at an Admissions Workshop: Meet with an admissions advisor, bring your transcripts, learn about financial aid Saturday, January 12, 11a.m.–3 p.m. Monday, January 14, 11a.m.–8 p.m. The Advisement Center, 101 West 31st Street, 7th floor, Manhattan www.cuny.edu/online or 212-652-CUNY(2869)

January 7, 2008 | Crain’s New York Business | 19 Crain's Classified is not responsible for corrupt files submitted by client or ads run under the wrong subheading. nb01p20_21cls.qxp 1/3/08 3:03 PM Page 20

Crain's Classified is not responsible for corrupt files submitted by client or ads run under the wrong subheading. Crain's Classified is not responsible for corrupt files submitted by client or ads run under the wrong subheading.

ACCOUNTING TELECOMMUNICATIONS PUBLIC & LEGAL NOTICES NEW YORK’S MOTOTRBO SPECIALISTS FORMATION NOTICE OF THE LIMITED LLC, Notice of Qualification of Metropolitan 885 Notice of Qualification of Bloomberg NAME: JAC-LEE, LLC. Art. filed with Secretary Third Avenue Leasehold, LLC. Authority Finance Holdings L.P. Authority filed with of State (SSNY) on November 8, 2007. Office filed with Secy. of State of N.Y. (SSNY) on Secy. of State of N.Y. (SSNY) on 11/13/07. MOTOTRBO™ Professional Digital location: New York County. SSNY designated 6/11/07. Office location: NY County. LLC Office location: NY County. Principal busi- Two-Way Radio System as agents of the LLc upon whom process formed in Delaware (DE) on 6/7/07. SSNY ness location: 731 Lexington Ave., NY, NY You can benefit from significant against it may be served. SSNY shall mail designated as agent of LLC upon whom 10022. LP formed in Delaware (DE) on productivity gains with this reliable process against it may be served. SSNY and affordable communication a copy of process to National Registered 11/5/07. SSNY designated as agent of LP solution. Enjoy the clearer voice Agents, Inc. 875 Avenue of the Americas, shall mail process to: c/o Metropolitan upon whom process against it may be BUSINESS SERVICES capabilities and enhanced battery Investors, 135 E. 57th St., 12th Fl., NY, NY served. SSNY shall mail process to: c/o life that digital provides. Suite 501, New York, NY 10001. Purpose: All lawful purpose. 10022. DE address of LLC: c/o National Corporation Service Company, 80 State St., • Integrated voice and data Registered Agents, Inc., 160 Greentree Albany, NY 12207, registered agent upon for increased productivity Drive, Ste. 101, Dover, DE 19904. Arts. of whom process may be served. DE address and privacy NOTICE OF FORMATION of Hudspith Org. filed with DE Secy. of State, 401 of LP: 2711 Centerville Road, Ste. 400, • Supports GPS Design LLC. Arts. of Org. filed with Secy. of Crain'sand text messaging Classified is not responsible for corrupt files submitted by client orFederal ads run St., under Ste. the 4, Dover, wrong DE subheading. 19901. Wilmington, DE 19808. Name/address of • Doubles the call capacity State of NY (SSNY) on 10/17/07. Office Purpose: any lawful activity. each genl. ptr. available from SSNY. Cert. of on a single channel – location: New York County. SSNY designated LP filed with DE Secy. of State, Townsend for the price of one license as agent of LLC upon whom process Notice of Qualification of Phallus LLC. Bldg., Dover, DE 19901. Purpose: any Call us today for a professional, against it may be served. SSNY shall mail lawful activity. no obligation survey or on-site demo. process to: 652 Broadway, # 8F, NY, NY Authority filed with Secy. of State of NY 10012. Principal business location: 652 (SSNY) on 11/8/07. Office location: NY Broadway, # 8F, NY, NY 10012. Purpose: County. LLC formed in Delaware (DE) on Notice of Qualification of The Eco Products It's 2008. Resolve your IRS problem Any lawful act. 7/26/07. SSNY designated as agent of LLC Fund GP, LLC. Authority filed with Secy. of 307 Fifth Avenue, New York, NY 10016 Crain's Classified is not responsible for corrupt files submitted by client or ads run under the wrong subheading. Liens, Audits, Sales & Payroll Tax 212-532-7400 upon whom process against it may be served. State of N.Y. (SSNY) on 11/27/07. Office Madison Avenue CPAs 212-684-3637 www.metrocomradio.com Notice of Formation of WELCOME TO THE TOP, SSNY shall mail process to: c/o National location: NY County. Principal business location: 250 Park Avenue South, 10th Fl., Or learn more at www.nwtaxsolutions.com The Largest Motorola Dealer in New York State LLC. Arts. of Org. filed with Secy. of State of Registered Agents, Inc., 875 Ave of the NY (SSNY) on 11/8/07. Office location: NY Americas, Ste 501, NY, NY 10001. Address to NY, NY. LLC formed in Delaware (DE) on TELEPHONE EQUIPMENT County. SSNY designated as agent of LLC be maintained in DE: 160 Greentree Dr., Ste 10/29/07. SSNY designated as agent of LLC upon whom process against it may be served. 101, Dover, DE 19904. Arts. of Org. filed with upon whom process against it may be served. WILL BUY ALL REAL ESTATE SSNY shall mail process to: c/o Robinson DE Secy. Of State,401 Federal St., Ste 4.,Dover, SSNY shall mail process to: c/o Corporation OFFICE TELEPHONE EQUIPMENT Brog Leinwand Greene Genovese & Gluck, PC, DE 19901. Purpose: any lawful activities. Service Company, 80 State St., Albany, NY Headsets, Etc. 1345 Avenue of the Americas, 31st Fl., NY, NY 12207. DE address of LLC: 1220 N. Market Call Toll Free 877-742-4273 OFFICE SPACE 10105. Purpose: any lawful activity. Notice of Qualification of Terra-Gen Geothermal St., Ste. 850, Wilmington, DE 19801. Arts. of Power, LLC. Authority filed with Secy. of State Org. filed with DE Secy. of State, 401 Federal Notice of Qualification of ARAMARK of N.Y. (SSNY) on 11/30/07. Office location: St., Ste. 4, Dover, DE 19901. Purpose: any Advertise on lawful activity. Crain's Classified is not responsible for corrupt files submitted212-947-5500 by client or adsEducational run under Services, the wrong LLC. Authority subheading. filed NY County. LLC formed in Delaware (DE) on with NY Dept. of State on 6/15/2007. Office 7/5/07.Crain's SSNY Classified designated is as not agent responsible of LLC for corrupt files submitted by client or ads run under the wrong subheading. www.crainsnewyork.com FOR ALL OFFICE, RETAIL & LOFT SPACES location: NY County. Principal business upon whom process against it may be served. Notice of Formation of CHATWAL FAMILY, New York City, Brooklyn, Queens address: 1101 Market St., Philadelphia, PA SSNY shall mail process to: 80 State St., LLC, a domestic Limited Liability Company. Call John Gallagher 500–50,000 SF 19107. LLC formed in Delaware (DE) on Arts. of Org. filed with the SSNY on UNDER MARKET SUBLETS – NO FEE! Albany, NY 12207, Attn: Corporation Service 8/31/1950. NY Secy. of State designated as Company, registered agent upon whom 07/24/06. Office location: NY County. SSNY Search our listings @ www.midcomre.com has been designated as agent upon whom @ 212-210-0189 Call Paul 212 947-5500 x 100 agent of LLC upon whom process against it process may be served. DE address of LLC: may be served and shall mail process to: 2711 Centerville Road, Ste. 400, Wilmington, process against the LLC may be served. SSNY shall mail a copy of process to: c/o c/o CT Corporation System, 111 8th Ave., DE 19808. Arts. of Org. filed with DE Secy. of NY, NY 10011, registered agent upon Sant Chatwal , 595 11th Avenue, NY, NY State, Townsend Bldg., Dover, DE 19901. 10036. Purpose: Any Lawful Purpose. PUBLIC & LEGAL NOTICES whom process may be served. DE address Purpose: any lawful activity. of LLC: 1209 Orange St., Wilmington, DE 19801. Arts. of Org. filed with DE Secy. of Notice of Formation of Madelyne Gray Notice Containing Substance of Application CARNELIAN CAR PARK LLC, a domestic State, 401 Federal St., Dover, DE 19901. Notice of Qualification of Terra-Gen Operating Interiors LLC, Art. of Org. filed Sec'y of State for Authority. Name of foreign limited liability Limited Liability Company (LLC), filed with the Purpose: any lawful activity. Holdings, LLC. Authority filed with Secy. of (SSNY) 11/5/07. Office location: NY County. company (LLC): MTL Global Ventures, LLC. Sec of State of NY (SSNY) on 10/24/07. NY State of N.Y. (SSNY) on 11/30/07. Office SSNY designated as agent of LLC upon whom Date of filing of application for authority Office location: NEW YORK County. SSNY is location: NY County. LLC formed in Delaware process against it may be served. SSNY shall Notice of Formation of ARX NY LLC, a (DE) on 8/13/07. SSNY designated as agent with secretary of state: November 15, 2007. designated as agent upon whom process domestic Limited Liability Company. Arts. mail copy of process to 530 East 72nd St., Jurisdiction of organization: Delaware. Date against the LLC may be served. SSNY shall of LLC upon whom process against it may NY, NY 10021. Purpose: any lawful activities. of Org. filed with the SSNY on 10/05/07. be served. SSNY shall mail process to: 80 of organization: March 17,2006. County mail a copy of any process against the LLC Office location: NY County. SSNY has been within state in which office is to be located: served upon him/her to GGMC HOLDING State St., Albany, NY 12207, Attn: Corporation Notice of Formation Nancy Rosen designated as agent upon whom process Service Company, registered agent upon New York. The secretary of state has been CORP., 1651 THIRD AVE., RM 207, NY, NY against the LLC may be served. SSNY shall Consultants L.L.C. art. of org. filed Secy. of designated as agent of the LLC upon whom 10128. General purposes. whom process may be served. DE address State NY (SSNY) 10/12/07. Off. loc. in NY mail a copy of process to: The LLC, Roberto ofCrain's LLC: 2711 Classified Centerville is Road, not Ste.responsible 400, for corrupt files submitted by client or ads run under the wrong subheading. process against it may be served. The post E. Macho, 181 Hudson Street, Ste 4d, NY, Co. SSNY designated as agent of LLC upon Wilmington, DE 19808. Arts. of Org. filed with whom process may be served. SSNY shall office address to which the secretary of state Notice of Qualification of WP XSL Bhaiv NY 10013. Purpose: Any Lawful Purpose. shall mail a copy of any process against it LLC. Authority filed with Secy. of State of DE Secy. of State, Townsend Bldg., Dover, DE mail copy of process to: 201 East 69th St, served upon him or her is: 381 Park Avenue NY (SSNY) on 11/26/07. Office location: 19901. Purpose: any lawful activity. NY, NY 10021. Purpose: Any lawful South – Suite 1214, New York, NY 10016. NY County. LLC formed in Delaware (DE) Notice of Qualification of MUSCULOSKELETAL purpose. PARTNERS VI, LLC. Authority filed with Secy. Address of office required to be maintained on 11/21/07. SSNY designated as agent of Notice of Formation of TWT 44, LLC. Arts. of in jurisdiction of its organization by the laws LLC upon whom process against it may be of State of N.Y. (SSNY) on 11/20/07. Office Notice of Qualification of Gemini 37 West 24th location: NY County. Principal business Org. filed with NY Dept. of State on 11/19/07. of that jurisdiction or, if not so required, of served. SSNY shall mail process to: The Office location: NY County. Secy. of State Street MT, LLC. Authority filed with Secy. of principal office: Corporation Service Company, LLC, Attn: General Counsel, 466 Lexington location: 505 Park Ave., 14th Fl., NY, NY State of NY (SSNY) on 11/5/07. Office location: 10022. LLC formed in Delaware (DE) on designated as agent of LLC upon whom 2711 Centreville Road – Suite 400,Wilmington, Ave., NY, NY 10017. Address to be main- process against it may be served and shall mail NY County. LLC formed in Delaware (DE) on DE 19808. Name and address of authorized tained in DE: c/o The Corporation Trust 10/4/07. SSNY designated as agent of 11/1/07. SSNY designated as agent of LLC Company, Corporation Trust Center, 1209 LLC upon whom process against it may process to the principal business address: officer in jurisdiction of organization where a Flicker, Garelick & Associates, LLP, 45 upon whom process against it may be served. copy of its certificate of organization is filed: Orange St., Wilmington, DE 19801. Arts. of be served. SSNY shall mail process to: SSNY shall mail process to: William T. Obeid, Org. filed with DE Secy. Of State, 401 c/o Corporation Service Company (CSC), Broadway, 21st Fl., NY, NY 10006. Purpose: Delaware Division of Corporations, 401 any lawful activity. 200 Park Ave. South, Ste 1305, NY, NY Federal St., Ste 4., Dover, DE 19901. 80 State St., Albany, NY 12207. DE address 10003, also registered agent. Address to Federal Street – Suite 4, Dover, DE 19901. Purpose: any lawful activities. Purpose of business: Upholstery Design. of LLC: c/o CSC, 2711 Centerville Road, Ste. be maintained in DE: c/o Harvard Business 400, Wilmington, DE 19808. Arts. of Org. Notice of Formation of 230 East 11 Street Services, Inc., 16192 Coastal Hwy, Lewes, Notice of Qualification of Financial Technology filed with DE Secy. of State, 401 Federal St., LLC. Arts. of Org. filed with Secy. of State DE 19958. Arts. of Org. filed with DE Secy. Notice of Formation of Mercer International Management, L.L.C. Authority filed with NY Dover, DE 19901. Purpose: all lawful acts of N.Y. (SSNY) on 11/20/07. Office location: Of State, 401 Federal St., Ste 4., Dover, DE Trading LLC. Arts. of Org. filed with NY Dept. Dept. of State on 11/7/07. Office location: NY and activities. NY County. SSNY designated as agent of 19901. Purpose: any lawful activities. of State on 2/28/07. Office location: NY County. County. Principal business address: 555 Crain's Classified is not responsible for corruptLLC upon whomfiles submittedprocess against by it client may be or ads run under the wrong subheading. Principal business address: 40 Mercer St., NY, California St., Ste. 2900, San Francisco, CA Notice of Qualification of Waldo’s Dollar Mart served. SSNY shall mail process to principal NY. Secy. of State designated as agent of LLC 94104. LLC formed in Delaware (DE) on De Mexico, S.De R.L. De C.V. Authority filed business location: c/o Joan Olitski, 230 E. Notice of Qualification of Bear Stearns Europe Long/Short Euro Fund, L.P. upon whom process against it may be served 7/28/98. NY Secy. of State designated as with NY Dept. of State on 10/30/07. Office 11th St., NY, NY 10003. Purpose: any and shall mail process to: G. Warren Whitaker, agent of LLC upon whom process against lawful activity. Authority filed with NY Dept. of State on location: NY County. LLC formed in Baja 12/4/07. Office location: NY County. LLC c/o Day Pitney LLP, 875 3rd Ave., 28th Fl., it may be served and shall mail process to: California (BC) on 2/2/99. NY Secy. of State NY, NY 10022. Purpose: any lawful activity. formed in Delaware (DE) on 12/3/07. NY c/o CT Corporation System, 111 8th Ave., designated as agent of LLC upon whom Notice of Qualification of HealthTronics Secy. of State designated as agent of LLC NY, NY 10011, registered agent upon whom process against it may be served and shall Service Center, LLC. Authority filed with NY upon whom process against it may be Notice of Formation of KURTH CENTRAL PARK process may be served. DE address of LLC: mail process to: c/o CT Corporation System, Dept. of State on 8/31/07. Office location: NY served and shall mail process to the princi- LLC. Arts. of Org. filed with Secy. of State of 1209 Orange St., Wilmington, DE 19801. 111 8th Ave., NY, NY 10011, registered agent County. Principal business address: 1301 S. pal business address: c/o Bear Stearns NY (SSNY) on 11/15/07. Office location: NY Arts. of Org. filed with DE Secy. of State, upon whom process may be served. BC Capital of Texas Hwy., Ste. 200B, Austin, TX Asset Management Inc., 237 Park Ave., NY, County. SSNY designated as agent of LLC 401 Federal St., Dover, DE 19901. Purpose: address of the LLC: Torre del Bosque, Blvd. 78746. LLC formed in Delaware (DE) on NY 10017, registered agent upon whom upon whom process against it may be served. any lawful activity. Manuel Avila Camacho 24, Piso 7, Col. Lomas 12/22/06. NY Secy. of State designated as process may be served. DE address of LLC: SSNY shall mail process to principal business de Chapultepec, 11000 Mexico, D.F. Arts. agent of LLC upon whom process against it 1209 Orange St., Wilmington, DE 19801. location: c/o Elisabeth M. Kovac, Esq., 90 Park BLACK RABBIT, LLC, a domestic Limited of Org. filed with Public Registrar of Property may be served and shall mail process to: c/o Arts. of Org. filed with DE Secy. of State, Ave., Ste. 1710, NY, NY 10016. Purpose: any Liability Company (LLC) filed with the Sec and Commerce, Boulevard Insurgentes 18302, CT Corporation System, 111 8th Ave., NY, NY 401 Federal St., Dover, DE 19901. Purpose: lawful activity. of State of NY (SSNY) on 10/3/07. NY Office Tijuana, BC. Purpose: any lawful activity. 10011, registered agent upon whom process any lawful activity. location: NEW YORK County. SSNY is designated may be served. DE address of LLC: c/o The Notice of Qualification of Grand Avenue as agent upon whom process against the Notice of Qualification of Central Park Group Corporation Trust Co., 1209 Orange St., Notice of Qualification of BLT 32 LLC. Authority L.L.C. Authority filed with Secy. of State of LLC may be served. SSNY shall mail a copy Carlyle Fund, LLC. Authority filed with NY Wilmington, DE 19801. Arts. of Org. filed filed with Secy. of State of N.Y. (SSNY) on N.Y. (SSNY) on 12/12/07. Fictitious Name of any process against the LLC served upon Dept. of State on 11/14/07. Office location: with DE Secy. of State, 401 Federal St., Dover, 12/3/07. Office location: NY County. Principal in NY State: 37 Grand Avenue LLC. Office him/her to STEPHANIE PAPPAS, 121 READE NY County. LLC formed in Delaware (DE) on DE 19901. Purpose: any lawful activity. business location: 11 Madison Ave., NY, NY location: NY County. LLC formed in Delaware ST., NY, NY 10013. General purposes. 7/10/07. NY Secy. of State designated as 10010. LLC formed in Delaware (DE) on (DE) on 12/3/07. SSNY designated as agent agent of LLC upon whom process against it Notice of Formation of D2 Consultants LLC. 11/27/07. SSNY designated as agent of LLC of LLC upon whom process against it may Notice of Formation of FROM A TO Z may be served and shall mail process to: 12 Arts. of Org. filed with Secy. of State of NY upon whom process against it may be be served. SSNY shall mail process to: c/o PRODUCTIONS, LLC. Arts. of Org. filed with E. 49th St., 14th Fl., NY, NY 10017, principal (SSNY) on 9/11/07. Office location: NY Co. served. SSNY shall mail process to: c/o Corporation Service Company (CSC), 80 Secy. of State of NY (SSNY) on 10/22/07. business address of the LLC. DE address of SSNY designated as agent of LLC upon Corporation Service Company, 80 State St., State St., Albany, NY 12207. DE address of Office location: NY County. SSNY designated LLC: c/o National Corporate Research, Ltd., whom process against it may be served. Albany, NY 12207. DE address of LLC: 2711 LLC: c/o CSC, 2711 Centerville Road, Ste. 400, as agent of LLC upon whom process against 615 S. DuPont Hwy., Dover, DE 19901. Cert. SSNY shall mail process to: c/o Thelen Reid Centerville Road, Ste. 400, Wilmington, DE Wilmington, DE 19808. Arts. of Org. filed it may be served. SSNY shall mail process to: of Form. filed with DE Secy. of State, Federal Brown Raysman etal, Attn: Joel Handel, 19808. Arts. of Org. filed with DE Secy. of with DE Secy. of State, P.O. Box 898, Dover, George Sheanshang, Esq., 130 W. 57th St., & Duke of York St., Dover, DE. Purpose: any Esq., 875 Third Ave, NY, NY 10022. State, 401 Federal St., Ste. 4, Dover, DE DE 19903. Purpose: any lawful activity. NY, NY 10019. Purpose: any lawful activity. lawful activity. Purpose: any lawful activities. 19901. Purpose: any lawful activity.

20 | Crain’s New York Business | January 7, 2008 Crain's Classified is not responsible for corrupt files submitted by client or ads run under the wrong subheading.

nb01p20_21cls.qxp 1/3/08 12:07 PM Page 21

PUBLIC & LEGAL NOTICES

BARBARA TAFT DESIGN, LLC, a domestic Notice of Formation of BX-7F Associates III Notice of Qualification of Fidelity Technology Notice of Formation of 144 EAST 30TH Notice of formation of 135 West 13, LLC. Arts. Liability Company (LLC) filed with the Sec LLC. Arts. of Org. filed with Secy. of State Group, LLC. Authority filed with NY Dept. of STREET LLC. Arts. of Org. filed with Secy. of of Org. filed with the Sect’y of State of NY of State of NY (SSNY) on 7/24/07 office of NY (SSNY) on 11/5/07. Office location: State on 11/13/07. Office location: NY County. State of N.Y. (SSNY) on 11/14/2007. Office (SSNY) on 11/28/2007. Office location, county Location: NEW YORK County. SSNY is NY County. SSNY designated as agent of Principal business address: 82 Devonshire St., location: NY County. SSNY designated as of New York. The street address is: 26 East designated as agent upon whom process LLC upon whom process against it may be Boston, MA 02109. LLC formed in Delaware agent of LLC upon whom process against it 10th Street, #4C, New York, NY 10003. SSNY against the LLC may be served. SSNY shall served. SSNY shall mail process to: 55 Broad (DE) on 2/26/07. NY Secy. of State designated may be served. SSNY shall mail process to: has been designated as agent of the LLC upon mail a copy of any process against the LLC St., 16th Fl., NY, NY 10004. Purpose: any as agent of LLC upon whom process against c/o Ronald S. Cutlip, 393 W. 49th St., #2JJ, whom process against it may be served. served upon him/her to BARBARA TAFT, 33 lawful activity. it may be served and shall mail process to: NY, NY 10019. Term: until 12/31/2060. SSNY shall mail process served to: The LLC, WEST 67TH ST., NEW YORK, NY 100239. c/o CT Corporation System, 111 8th Ave., Purpose: any lawful purpose. 26 East 10th Street, #4C, New York, NY General purposes. Notice of Qualification of Gemini 442 West NY, NY 10011, registered agent upon whom 10003. Purpose: any legal act 36th Street 12, LLC. Authority filed with Secy. process may be served. DE address of LLC: NOTICE OF FORMATION of BENTLEY RESIDENTIAL Notice of Qualification of HLT Waldorf LLC. of State of NY (SSNY) on 11/8/07. Office 1209 Orange St., Wilmington, DE 19801. GROUP LLC a New York limited liability Notice of Formation of 393 Lefferts Partners, Authority filed with Secy. of State of NY location: NY County. LLC formed in Delaware Arts. of Org. filed with DE Secy. of State, company (“LLC”). Articles of Organization LLC. Arts. of Org. filed with Secy. of State (SSNY) on 10/22/07. Office location: NY (DE)Crain's on 11/5/07. Classified SSNY designated is not responsible as agent for401 corrupt Federal St., files Dover, submitted DE 19901. byPurpose: client or adsfiled runwith underSecretary the of Statewrong of NY subheading. (“SSNY”) of N.Y. (SSNY) on 6/8/07. Office location: County. LLC formed in Delaware (DE) on of LLC upon whom process against it may be any lawful activity. on 9/19/2007. Office location: New York NY County. SSNY designated as agent of 9/20/07. SSNY designated as agent of LLC served. SSNY shall mail process to: William T. County. SSNY designated as agent upon LLC upon whom process against it may be upon whom process against it may be served. Obeid, 200 Park Ave South, Ste 1305, NY, NY Notice of Formation of ORIBE HAIR CARE, whom process against LLC may be served. served. SSNY shall mail process to: 302 SSNY shall mail process to: c/o Corporation 10003, also registered agent. Address to be LLC. Arts. of Org. filed with Secy. of State SSNY to mail process to: The LLC, 401 Fifth Ave., 8th Fl., NY, NY 10001. Purpose: Service Company, 80 State St., Albany, NY maintained in DE: c/o Harvard Business of N.Y. (SSNY) on 9/25/07. Office location: Washington Street, 4th Fl., New York, NY any lawful activity. 12207. Address to be maintained in DE: Services, Inc., 1692 Coastal Hwy, Lewes, DE New York County. SSNY designated as agent 10271. Purpose: Any lawful act of activity. c/o Corporation Services Company, 2711 19958. Arts. of Org. filed with DE Secy. Of of LLC upon whom process against it may Notice of Formation of 660 Cleaning Service Centerville Rd., Ste 400, Wilmington, DE State, 401 Federal St., Ste 4., Dover, DE be served. SSNY shall mail process to: c/o Notice of Formation of 168 Ludlow A LLC. Company LLC. Arts. of Org. filed with NY 19808. Arts. of Org. filed with DE Secy. Of 19901. Purpose: any lawful activities. United Corporate Services, Inc., 10 Bank St., Arts. of Org. filed with Secy. of State of NY Dept. of State on 12/5/07. Office location: State, 401 Federal St., Ste 4., Dover, DE Ste. 560, White Plains, NY 10606. Purpose: (SSNY) on 11/21/2007. Office location: NY NY County. Principal business address: c/o 19901. Purpose: any lawful activities. GRESHAM LANG GARDEN DESIGN LLC any lawful activity. County. SSNY designated as agent of LLC Fisher Brothers, 299 Park Ave., NY, NY upon whom process against it may be 10171. Secy. of State designated as agent Notice of Qualification of KLS Diversified Articles of Org. filed NY Sec. of State (SSNY) 1/4/07. Office in NY Co. SSNY desig. agent Notice of Formation of 34Gansevoort Managing served. SSNY shall mail process to principal of LLC upon whom process against it may Asset Management LP. Authority filed with Member LLC, Art. of Org. filed Sec'y of State business location: c/o 88 Rivington St., NY, be served and shall mail process to: c/o Secy. of State of N.Y. (SSNY) on 11/7/07. of LLC upon whom process may be served. SSNY shall mail copy of process to 135 5th (SSNY) 10/30/07. Office location: NY County. NY 10002. Term: until 12/31/2035. Martin L. Edelman, Esq., Paul, Hastings, Office location: NY County. LP formed in SSNY designated as agent of LLC upon whom Purpose: any lawful activity. Janofsky & Walker, 75 E. 55th St., NY, NY Delaware (DE) on 11/2/07. SSNY designated Ave., 2nd Fl., NY, NY 10010, which is also the principal business location. Purpose: Any process against it may be served. SSNY shall 10022. Purpose: any lawful activity. as agent of LP upon whom process against it mail copy of process to c/o Nat. Reg. Agents, Notice of Qualification of Gemini 442 West may be served. SSNY shall mail process to lawful purpose. 875 Ave of the Americas, Ste. 501, NY, NY 36th Street 24, LLC. Authority filed with Secy. Notice of Formation of 1903 WEST FARMS, principal business location: 150 Hartshorn 10001, the Reg. Agt. upon whom proc. may of State of NY (SSNY) on 11/8/07. Office LLC. Arts. of Org. filed with Secy. of State Drive, Short Hills, NJ 07078. DE address Notice of Qualification of 43 WEST 64TH be served. Purpose: any lawful activities. location: NY County. LLC formed in Delaware of N.Y. (SSNY) on 10/12/07. Office location: of LP: Corporation Service Company, 2711 STREET LLC. Authority filed with Secy. of (DE) on 11/5/07. SSNY designated as agent New York County. SSNY designated as agent Centerville Road, Ste. 4, Wilmington, DE State of N.Y. (SSNY) on 10/29/07. Office of LLC upon whom process against it may be of LLC upon whom process against it may 19808. Name/address of each genl. ptr. location: NY County. LLC formed in Michigan NOTICE OF FORMATION of mia c. LLC. served. SSNY shall mail process to: William T. be served. SSNY shall mail process to: c/o available from SSNY. Cert. of LP filed with (MI) on 1/3/07. SSNY designated as agent of Arts. of Org. filed with NY Dept. of State on Obeid, 200 Park Ave South, Ste 1305, NY, NY Drechsler & Drechsler LLP, 60 E 42nd St., DE Secy. of State, P.O. Box 898, Dover, DE LLC upon whom process against it may be 11/20/07. Office location: NY County. Secy. of State designated as agent of LLC upon 10003, also registered agent. Address to be Ste. 1463, New York, NY 10165. Purpose: 19903. Purpose: any lawful activity. served. SSNY shall mail process to: c/o Rosenberg & Estis, P.C., 733 Third Ave., whom process against it may be served maintained in DE: c/o Harvard Business any lawful activity. and shall mail process to: c/o mia c. LLC, Services, Inc., 1692 Coastal Hwy, Lewes, DE Notice of Formation of Maya’s Fitness, LLC. 14th Fl., NY, NY 10017, Attn: Jason Davidson. MI address of LLC: 2120 Austin Avenue, Ste. 177 E 79th Street 9th Fl., NY, NY 10075, 19958. Arts. of Org. filed with DE Secy. Of Notice of Qualification of AG Capital Recovery Arts. of Org. filed with Secy. of State of N.Y. principal business address of the LLC. State, 401 Federal St., Ste 4., Dover, DE Partners VI, L.P. Authority filed with Secy. of (SSNY) on 11/8/07. Office location: NY 100, Rochester Hills, MI 48309. Arts. of Org. filed with MI Secy. of State, Dept. of State, Purpose: any lawful activity. 19901. Purpose: any lawful activities. State of N.Y. (SSNY) on 12/13/07. Office County. SSNY designated as agent of LLC location: NY County. Principal business upon whom process against it may be served. Lansing, MI 48918. Purpose: any lawful activity. Notice of Formation Morgan 1102 LLC art. of Notice of Qualification of A.W. Jones location: 245 Park Ave.,26th Fl., NY,NY 10167. Crain's Classified is not responsible for corruptSSNY shall filesmail process submitted to principal by clientbusiness or ads run under the wrong subheading. org. filed Secy. of State NY (SSNY) 10/15/07. International, LLC, App. for Auth. filed LP formed in Delaware (DE) on 10/18/07. location: c/o Katsky Korins LLP, 605 Third Notice of Qualification of 1385 Broadway Off. loc. in NY Co. SSNY designated as agent Sec'y of State (SSNY)10/30/07. Office location: SSNY designated as agent of LP upon whom Ave., NY, NY 10158, Attn: Warren Esanu, Esq. Management LLC. Authority filed with NY of LLC upon whom process may be served. NY County. LLC org. in DE 10/24/07.SSNY process against it may be served. SSNY shall Purpose: any lawful activity. Dept. of State on 11/14/07. Office location: NY designated as agent of LLC upon whom County. LLC formed in Delaware (DE) on SSNY shall mail copy of process to: Victoria mail process to: c/o Corporation Service Guthrie, 353 E 53rd St, 1A, NY, NY 10022. process against it may be served. SSNY shall Company (CSC), 80 State St., Albany, NY Notice of Qualification of SSF III Gemini GP, 11/13/07. NY Secy. of State designated as mail copy of process to 375 Park Ave., Ste. agent of LLC upon whom process against it Purpose: Any lawful purpose, managed by 1 12207, registered agent upon whom process LLC. Authority filed with NY Dept. of State on or more members. 3304, NY, NY 10152. DE office addr.: c/o CSC, may be served. DE address of LP: c/o CSC, 10/26/07. Office location: NY County. Principal mayCrain's be served Classified and shall mail is process not responsible to: c/o for corrupt files submitted by client or2711 ads Centerville run under Rd., Wilmington,the wrong DE subheading. 19808. The Chetrit Group, 404 5th Ave., 4th Fl., NY, Crain's Classified is not responsible for corrupt files submitted by client or2711 ads Centerville run under Road, the Wilmington, wrong DE subheading. 19808. business address: 1585 Broadway, NY, NY Notice of Qualification of Seagul Capital LP. Cert. of Form. on file: SSDE, Townsend Bldg., Name/address of each genl. ptr. available from 10036. LLC formed in Delaware (DE) on NY 10018, principal business address of the Dover, DE 19901. Purpose: any lawful activities. LLC. DE address of LLC: c/o Corporation Authority filed with Secy. of State of N.Y. SSNY. Cert. of LP filed with DE Secy. of State, 10/23/07. NY Secy. of State designated as (SSNY) on 11/13/07. Office location: NY Townsend Bldg., Dover, DE 19901. Purpose: agent of LLC upon whom process against it Service Co., 2711 Centerville Rd., Ste. 400, Notice of Formation of Limited Liability Wilmington, DE 19808. Arts. of Org. filed with County. LP formed in Delaware (DE) on any lawful activity. may be served and shall mail process to: c/o 2/28/07. SSNY designated as agent of LP Company (LLC). Name: PANY HOLDINGS, CT Corporation System, 111 8th Ave., NY, NY DE Secy. of State, 401 Federal St., Dover, DE LLC. Articles of Organization filed by the 19901. Purpose: any lawful activity. upon whom process against it may be served. Notice of Qualification of Ame Ame LLC. 10011, registered agent upon whom process SSNY shall mail process to: c/o Corporation Department of State of New York on: Authority filed with Secy. of State of N.Y. may be served. DE address of LLC: c/o The 10/2/2007. Office location: County of New Notice of Formation of E 46 Group LLC. Service Company (CSC), 80 State St., Albany, (SSNY) on 12/12/07. Office location: NY Corporation Trust Co., 1209 Orange St., NY 12207, registered agent upon whom York. Purpose: any and all lawful activities. County. LLC formed in Delaware (DE) on Wilmington, DE 19801. Arts. of Org. filed with Articles of Organization filed with the Secretary Secretary of State of New York (SSNY) of State of New York on 10/09/07. Office process may be served. DE address of LP: 12/5/07. SSNY designated as agent of LLC DE Secy. of State, 401 Federal St., Dover, DE c/o CSC, 2711 Centerville Road, Wilmington, designated as agent of LLC upon whom upon whom process against it may be served. 19901. Purpose: all lawful purposes. Location: New York County. Secretary of State process against it may be served. SSNY of New York designated as agent of LLC upon DE 19808. Name/address of each genl. ptr. SSNY shall mail process to principal business available from SSNY. Cert. of LP filed with shall mail copy of process to: 823 11th location: The LLC, c/o Charles Brian O’Kelley, whom process against it may be served. Avenue, New York, NY 10019 Name of For. LLC: DB BEAVERTON HOLD- Secretary of State of New York shall mail DE Secy. of State, Townsend Bldg., Dover, 63 Lispenard St., Apt. 2A, NY, NY 10013. DE CO LLC. Appl. for Auth. filed with Secy. of process to: Marcus Attorneys 13 Greene DE 19901. Purpose: any lawful activity. address of LLC: Corporation Service State NY (SSNY): 9/25/07. Jurisd. and date Notice of Formation of Levy Longview Debt Company, 2711 Centerville Road, Ste. 400, Avenue Brooklyn, New York 11238. Principal Fund, LLC, Art. of Org. filed Sec'y of State of org.: DE 8/22/07. NY State office loc.: NY NOTICE OF FORMATION OF LIMITED Wilmington, DE. Arts. of Org. filed with DE Cty. SSNY designated as agent of LLC upon office location: 500 Broome Street, 2nd Floor, PARTNERSHIP. NAME: S.J.C. 308 LENOX (SSNY) 11/9/07. Office location: NY County. Secy. of State, P.O. Box 898, Dover, DE 19903. whom process may be served. SSNY shall New York, NY 10013. Purpose: Any lawful SSNY designated as agent of LLC upon whom activity. AVENUE FAMILY LIMITED PARTNERSHIP. Purpose: all lawful acts and activities. mail process to: 1345 Ave. of the Americas, Application for Authority was filed with the process against it may be served. SSNY shall 46th Fl., NY, NY 10105. Addr. of LLC in DE Secretary of State of New York (SSNY) on mail copy of process to c/o Hofheimer Gartlir is c/o The Corporation Trust Co., 1209 BRIDGE LEADERSHIP GROUP LLC, a domestic & Gross LLP, 530 Fifth Ave., NY, NY 10036. Notice of Formation of Atlantis Publishing, 07/09/07. The LP was originally filed with LLC. Arts. of Org. filed with Secy. of State Orange St. Wilmington, DE 19801. Arts. of Limited Liability Company (LLC). Articles of the Secretary of State of Nevada on Purpose: any lawful activities. Latest date Org. filed with DE Secy. of State, Div. of Organization filed with the Secretary of State 12/31/2057. of NY (SSNY) on 11/14/07. Office location: 07/14/05. The date of duration is perpetual. NY Co. SSNY designated as agent of LLC Corps., Townsend Bldg., Dover, DE 19901. of NY (SSNY) on 1/23/07. NY Office location: Office location: New York County. SSNY Purpose: any lawful activity. NEW YORK County. SSNY is designated as has been designated as agent of the LP Notice of Formation of Memento Mori LLC. upon whom process against it may be agent upon whom process against the LLC upon whom process against it may be Arts. of Org. filed with NY Dept. of State on served. SSNY shall mail process to: Santo Notice of Qualification of RIVIERA VENTURES may be served. SSNY shall mail a copy of any served. SSNY shall mail a copy of process 8/31/07. Office location: NY County. Barravecchio, 20 Esther Depew St., Staten LLC. Authority filed with Secy. of State of N.Y. process against the LLC served upon him/her to the LP, c/o Nevada Corporate Principal business address: 44 St. Marks Island, NY 10306, also registered agent. (SSNY) on 12/3/07. Fictitious name in NY to THE LLC, 105 WINTHROP ST #3L, Formations, Inc., 1500 E. Tropicana Pl., NY, NY 10003. Secy. of State designat- Purpose: any lawful activities. State: VELOCITY MANAGERS LLC. Office BROOKLYN, NY 11225. General purposes Avenue, Suite 100, Las Vegas, NV 89119 ed as agent of LLC upon whom process location: NY County. Principal business against it may be served and shall mail Notice of Formation of E.D.O. Food IV, LLC. process to: 1 Maiden Ln., 5th Fl., NY, NY Arts. of Org. filed with NY Dept. of State on location: 35 E. 21st St., 5th Fl., NY, NY 10010. Notice of Formation of BMG Operating LLC. Notice of Qualification of MATRIX ALLIANCE 10038, Attn: Spiegel & Utrera, P.A., P.C., LLC formed in Delaware (DE) on 9/23/04. Arts. of Org. filed with Secy. of State of NY LLC. Authority filed with Secy. of State of N.Y. 12/14/07. Office location: NY County. Secy. regd. agt. upon whom process may be of State designated as agent of LLC upon SSNY designated as agent of LLC upon (SSNY) on 12/11/07. Office location: NY (SSNY) on 11/29/07. Office location: NY served. Purpose: any lawful activity. whom process against it may be served. County. SSNY designated as agent of LLC County. Principal business location: 35 E. whom process against it may be served and shall mail process to the principal business SSNY shall mail process to: c/o Corporation upon whom process against it may be served. 21st St., NY, NY 10010. LLC formed in Notice of Qualification of Barca Capital, LLC. Service Company, 80 State St., Albany, NY SSNY shall mail process to principal business Delaware (DE) on 9/20/04. SSNY designated address of the LLC: 5134 Broadway, NY, NY Authority filed with Secy. of State of N.Y. 10034. Purpose: any lawful activity. 12207. DE address of LLC: 2711 Centerville location: David Oved, 31 W. 34th St., 3rd Fl., as agent of LLC upon whom process against (SSNY) on 12/7/07. Office location: NY Road, Ste. 400, Wilmington, DE 19808. Arts. NY, NY 10001. Purpose: wholesale clothing. it may be served. SSNY shall mail process County. LLC formed in Delaware (DE) on of Org. filed with DE Secy. of State, 401 to: c/o Corporation Service Company, 80 12/5/07. SSNY designated as agent of LLC Notice of Qualification of IA Orchard Hotels Federal St., Dover, DE 19901. Purpose: any Notice of Formation of LUCKY 2 LOGISTICS, State St., Albany, NY 12207. DE address upon whom process against it may be served. Westbury, L.L.C. Authority filed with NY Dept. lawful activity. LLC. Arts. of Org. filed with Secy. of State of LLC: 2711 Centerville Road, Ste. 400, SSNY shall mail process to principal business of State on 11/29/07. Office location: NY of N.Y. (SSNY) on November 30, 2007. Wilmington, DE 19808. Arts. of Org. filed location: Ryan Floyd, 100 Haven Ave., Apt. County. Principal business address: 2901 NOTICE OF FORMATION of Cutman Films, Office location: New York County. SSNY with DE Secy. of State, 401 Federal St., 18C, NY, NY 10032. DE address of LLC: Butterfield Rd., Oak Brook, IL 60523. LLC LLC. Org. filed with the Secy of State of NY designated as agent of LLC upon whom Dover, DE 19901. Purpose: any lawful activity. c/o Corporation Service Company, 2711 formed in Delaware (DE) on 11/16/07. NY (SSNY) on 6/15/07. Office location: NY process against it may be served. SSNY Centerville Road, Ste. 400, Wilmington, DE Secy. of State designated as agent of LLC County. SSNY designated as agent upon shall mail process to: The LLC, 153 West Notice of Qualification of SRI Six 125 Park 19808. Arts. of Org. filed with DE Secy. of upon whom process against it may be served whom process against it may be served. 27th Street, New York, NY 10001. Purpose: LLC. Authority filed with Secy. of State of State, First & Federal St., Dover, DE 19901. and shall mail process to: c/o CT Corporation SSNY shall mail process to: Cutman Films, any lawful activity. N.Y. (SSNY) on 12/5/07. Office location: NY Purpose: any lawful activity. System, 111 8th Ave., NY, NY 10011,registered LLC 351 W. 48th Street, Apt 1B, New York, County. Principal business location: 125 Park agent upon whom process may be served. DE address of LLC: 1209 Orange St., Wilmington, NY 10036. Purpose: Any Lawful Act. MEENAN & ASSOCIATES, LLC, a domestic Avenue, NY, NY. LLC formed in Delaware (DE) KEVIN MACKINTOSH PHOTOGRAPY, LLC, a DE 19801. Arts. of Org. filed with DE Secy. of Limited Liability Company (LLC) filed with the on 7/20/04. SSNY designated as agent of LLC domestic Limited Liability Company (LLC), State, 401 Federal St., Dover, DE 19901. Notice of Formation of 611 Holdings LLC. Sec of State of NY (SSNY) on 12/13/01. NY upon whom process against it may be served. filed with the Sec of State of NY (SSNY) on Purpose: any lawful activity. Arts. of Org. filed with Secy. of State of N.Y. Office location: NEW YORK County. SSNY is SSNY shall mail process to: c/o Corporation 7/30/07. NY Office location: NEW YORK (SSNY) on 12/3/07. Office location: NY designated as agent upon whom process Service Company, 80 State St., Albany, NY County. SSNY is designated as agent upon County. SSNY designated as agent of LLC against the LLC may be served. SSNY shall 12207. DE address of LLC: 2711 Centerville whom process against the LLC may be served. To place your classified upon whom process against it may be served. mail a copy of any process against the LLC Road, Ste. 400, Wilmington, DE 19808. Arts. SSNY shall mail a copy of any process against SSNY shall mail process to principal business served upon him/her to COLLEEN M. MEENAN, of Org. filed with DE Secy. of State, 401 the LLC served upon him/her to JARVIS ad call John Gallagher location: c/o The LLC, 250 W. 26th St., 4th Fl., 396 BROADWAY, NEW YORK, NY 10013. Federal St., Ste. 4, Dover, DE 19901. Purpose: IRVING & CO., LLP, 104 FIFTH AVE, 6TH @ 212-210-0189 NY, NY 10001. Purpose: any lawful activity. General purposes. to own and operate real property. FL., NY, NY 10011. General purposes.

January 7, 2008 | Crain’s New York Business | 21 Project14 11/21/06 5:40 PM Page 1

Competitive Advantage.

It’s tough out there. Competition has never We provide the hard news you need to make the been fi ercer. New ways of doing things arrive tough choices – to help you seize the opportunity at a dizzying pace. Pressure mounts to become before the other guy fi gures it out. We’re Crain more productive and effi cient. Do you bet the ranch, Communications and we publish 30 newspapers play your hand, or attack the middle ground? You and magazines, in a half-dozen strategic industries, need an edge. That’s where we come in. dedicated to helping you make the diffi cult calls. Hard news for hard choices. That’s what we’re here for.

Publishing 30 Magazines and Newspapers Worldwide

Advertising Age American Coin-Op American Drycleaner American Laundry News Automobilwoche Automotive News Automotive News Europe AutoWeek BtoB Business Insurance Business Insurance Europe Creativity Crain’s Chicago Business Crain’s Cleveland Business Crain’s Detroit Business Crain’s New York Business Crain’s Mexico Crain’s Monterrey European Rubber Journal FinancialWeek InvestmentNews Modern Healthcare Pensions & Investments Plastics News RCR Wireless News Rubber & Plastics News TelevisionWeek Tire Business Urethanes Technology Waste News Workforce Management

CNYB_AD01_Rev-03102006.indd 1 3/10/06 4:20:15 PM CNYB 01-07-08 A 23 1/3/2008 7:46 PM Page 1

DINING OUT BUSINESS INSIDE Cushman & Wakefield Warding off picks green the chill pro for some foods just go better with cold weather. Here are new post four restaurants to help warm up the winter. PAGE 25 LANDMARC AT THE TIME WARNER CENTER most restaurants are indoors, but this one is doubly insulated. You’ll be warm by the time your escalator gets to the third floor and warmer still after tucking in to Marc Murphy’s hearty steaks, chops and pastas. Great for weekend brunch, too. 10 Columbus Circle (Time Warner Center), 3rd floor (212) 823-6123 www.landmarc-restaurant.com HILL COUNTRY the texas barbecue made here is the ideal arctic food: hunks of slow-cooked meat (brisket is pit master Robbie Richter’s specialty), served

with carbohydrate-rich sides (including three choices of beans) and Lone Star State- size cocktails. Live music Wednesday through Sunday

nights also helps get the alper barbara circulation going. 30 W. 26th St. (between Broadway and Sixth Avenue) (212) 255-4544 www.hillcountryny.com SZECHUAN GOURMET one bite of this spot’s dan- dan noodles, Szechuan dumplings or razor clams and you’ll forget about the temperature anywhere but inside your mouth.Tucked away on a side street in Escaping winter midtown, this is one of the SLEEPER SEASON? city’s premier spicy food Catch a queen, hit destinations. the rink, dig an 21 W. 39th St. (between Fifth urban garden, and Sixth avenues) doldrums head to (212) 921-0233 nearby slopes or THE TAVERN 10 activities to banish go jazzy. AT GRAMERCY TAVERN this flatiron eatery’s the postholiday blahs rustic charms are most alluring in winter, especially in the bar- café called the Tavern, where much of the food is prepared on a wood-burning grill. It is BY LOUISE KRAMER the ideal drop-in destination (open from noon until late) for THERE’S CONSTANT TALK OF AN IMPENDING RECESSION and the subprime anything from chef Michael mess, and you have already blown your New Year’s resolutions. Before Anthony’s seafood chowder to you sink into a megacase of the blues, here are some activities that will pastry chef Nancy Olson’s cheer you up. apple crisp for two. 42 E. 20th St. (between Broad- The hordes of visitors have departed, and the city is your oyster.Treat way and Park Avenue South) yourself to dinner at a favorite restaurant, or get tickets to one of (212) 477-0777 Broadway’s current crop of rave-reviewed shows. Enjoy high tea or a www.gramercytavern.com foot massage—or both. Or explore one of these suggestions for putting —steven a. shaw a spring in your step this winter. See ESCAPING on Page 24 clay patrick mcbride patrick clay

January 7, 2008 | Crain’s New York Business | 23 CNYB 01-07-08 A 24 1/3/2008 7:49 PM Page 1

BUSINESS LIVES SEASONAL PRESCRIPTION Shorter, darker days; cold weather; and postholiday letdown Escaping the winter doldrums can all contribute to winter blues. “It is a real phenomenon,” says Alan Manevitz, a psychiatrist on the faculty of New York- Presbyterian Hospital/Weill Cornell Medical Center. His tips: St., is one of Manhattan’s GET CLOSE TO ROYALTY FLIPPING OUT: Pan Aqua offers scuba oldest scuba emporiums, Don’t drink too much ith room rates at record highs, a cozy New York classes and trips. offering training year- overnight has become a major splurge.This deal round. Courses start at Get the right amount of sleep Wincludes something other than a humdrum spa $250 and include Avoid overeating treatment. On Jan. 13, classroom and pool time, PHOTO-READY: the Ritz-Carlton New as well as equipment and Walk for an hour during the day Check into the Ritz- York Battery Park is wet suit rentals. You’ll Carlton for a view of Soak up as much sunlight as possible the Cunard Queens. offering a prime view of need your own booties, three Cunard Queens fins and a snorkel.The that will be assembled company holds monthly in New York Harbor for gatherings and leads the first time: Queen istockphotos diving trips to places like DIG SOME COOL CULTURE Mary 2, Queen Elizabeth Mexico, Alaska and the Galapagos Islands. he new museum of contemporary art on the Bowery 2 and newcomer Queen For more information, go to www.panaquadiving.com. offers the latest in art and architecture in a quintessential Victoria.The Anchors Tdowntown neighborhood. Designed by the Japanese firm Aweigh package Sanaa, the light-filled promises great sight building—a pile of six lines to the majestic TAKE A SNOW DAY rectangular boxes clad vessels from rooms or a fun family outing, head to Winter Jam, a free in seamless aluminum outfitted with festival held by the Parks and Recreation Department mesh—is Manhattan’s telescopes, plus a F and Olympic Regional Development Authority in first newly built seafood dinner and Central Park on Feb. 9. museum since the breakfast in bed.The Attractions include a Whitney. price is $585 for two, not including taxes. ramp for snowboarding The inaugural For reservations, call (212) 344-0800. and tubing, live music, a exhibit, called CHAIRMASTER: green market and a “Unmonumental,” The New Museum of warming hut serving showcases sculpture Contemporary Art hot chocolate. If from 30 international opened recently. BRUSH OFF THE BLADES weather permits, you artists. Many works are kating amid the can watch the week assembled from found objects, like discarded furniture, and castles of commerce at before as snowblowers RAMP IT UP: add up to much more than the sum of their parts.There’s a SRockefeller Center distribute man-made Snowboarders let hip café and, of course, a gift shop. loose at Winter Jam has had a touch of magic powder to create a field in Central Park. For more information, go to www.newmuseum.org. since the rink at the Art for cross-country skiing Deco landmark opened in and snowshoeing. ORDA will provide skis and snowshoes. 1936. With the tree The festival hub is the Naumburg Bandshell, at 72nd Street. gawkers gone, it’s a great For details, got to www.nycgovparks.org. HIT THE LOCAL SLOPES time for a spin with friends t’s not aspen, but or family. Starting today Hunter Mountain in through early April, Rock Ithe Catskills can tide Center Café is offering a ENJOY GREENHOUSE EFFECTS you over if you need a $75 package, Skate-A- he cherry blossoms skiing fix, and Paragon Date, that includes dinner won’t be in bloom again Sports near Union for two and VIP access to Tfor months, but the Square will get you the rink (meaning you don’t ICE TIME: Rock Brooklyn Botanic Garden has there and back the have to wait on line).Tax, Center’s rink package plenty to look at to gladden same day. Paragon tip, drinks and skate rental runs through April. the heart and eye in the offers bus trips to are extra. meantime, like orchids at Hunter on For reservations, call (212) 332-7620. their peak in the toasty Wednesdays, Saturdays BACK TO NATURE: Steinhardt Conservatory. SCHUSS: Paragon and Sundays (and can Tour the Brooklyn Wander the 52 acres for some Sports has day trips also arrange private Botanic Garden with unexpected urban calm amid to Hunter Mountain trips).The $70 price START JAZZING IT UP a therapist. the evergreens, or take in the Catskills. includes a lift ticket; ight the blues with the blues—and some jazz. Kings alper barbara advantage of a free outdoor add $25 for equipment of the Crescent City, a program at Jazz at Lincoln Center tour called Chase Away the Winter Blues (Feb. 3 and March rental. For beginners, the package includes a lesson on the F Jan. 11-12, celebrates the music of New Orleans with the 9).The hour-long tour is led by a psychotherapist who bunny slope and a limited lift ticket.The bus leaves at 6:30 tunes of Louis provides tips on how to maintain a sunny outlook—and you a.m., and you’ll be back in time for a late dinner. Armstrong and can learn about plants and animals along the way. For more information, go to www.paragonsports.com. Jelly Roll Morton, For more information, go to www.bbg.org. among others, hosted by actor Wendell Pierce. STEP AWAY FROM THE COUCH You can also catch a GET AN ENDORPHIN BOOST f you’re tired of sitting at home watching reruns, do free preconcert f you’ve already taken wine classes and learned about it in public at the Paley Center for Media, formerly known lecture by renowned the finer points of cheese, check out chocolate. Manhattan Ias the Museum of SOUL SURVIVOR: Mavis saxophonist and Ifood historian Alexandra Television and Radio, Staples will perform at clarinetist Victor Leaf leads tours of New York’s DARK SECRET: A at 25 W. 52nd St. Its BAM in late January. Goines. For tickets, growing number of artisanal chocolate tour led by library has more than chris strong a food historian go to www.jalc.org. chocolate shops and shares the includes lots of 140,000 television For a soulful evening, head to the Brooklyn Academy of rich history of the mood- tasting. and radio programs Music on Jan. 22 to hear veteran blues and gospel singer elevating treat along the way. and commercials Mavis Staples perform in tribute to Dr. Martin Luther There’s plenty of sampling, as accessible for solitary LIKE TO WATCH: King Jr. well as instruction about viewing or for up to The Paley Center For tickets, go to www.bam.org or call (718) 636-4100. gauging quality.Tours four people at a larger has thousands of TV typically start at Jacques console. It’s a great programs. Torres Chocolate at 350 way to take a solo trip mcgrath norman Hudson St., where you can down memory lane or to share your favorite episodes with your DIVE INTO DISCOVERY watch beans turned into bars. kids.The center has daily screenings and holds frequent panel

f you long for adventure but can’t leave the city, sign Prices start at $65 a person for istockphotos discussions. up for scuba lessons. When opportunity knocks, you’ll be a 3.5-hour tour. For more information, go to www.mtr.org. Iready to take the plunge to see spectacular fish—maybe To reserve, contact Chocolate Tours of NYC at (646) 637-8100, or even sharks or a shipwreck. Pan Aqua Diving, at 460 W. 43rd e-mail [email protected]. COMMENTS? [email protected]

24 | Crain’s New York Business | January 7, 2008 CNYB 01-07-08 A 25 1/3/2008 6:36 PM Page 1

BUSINESS LIVES CORPORATE LADDER Eleni Reed C&W gets green star Real estate firm’s Ms. Reed is charged with ensur- ing that the 500 million square feet PERSONNEL FILE sustainability chief will of office space that Cushman man- ages around the globe meets envi- COMPANY Cushman & Wakefield ensure that buildings ronmental standards. Other real es- Inc. make the grade tate firms have named sustainability TITLE Director of sustainability czars in the past year,a sign of the is- strategies sue’s growing importance. BY THERESA AGOVINO One of Ms.Reed’s first tasks is to AGE 40 convince owners of Cushman & RÉSUMÉ Senior project manager, he times have caught Wakefield-managed buildings of NYC Mayor’s Office of Operations; up with Eleni Reed. the financial benefits of spending senior planner, STV Inc. Constructing green money on upgrades that help make buildings and commu- an office tower green. She says that PERSONALITY Type A nities has become the owners are sometimes reluctant to MANAGEMENT STYLE Thorough Trage,but Ms.Reed has been focused shell out the cash for a more efficient on the subject since 1987, when she boiler, for example, because they are was a college student.That year,The accustomed to simply passing ener- tainability.The project would allow Brundtland Report, commissioned gy costs on to tenants. for the bulk certification of existing by the United Nations, highlighted properties by streamlining the rat- the need for sustainable develop- Green value ing process,known as Leadership in

ment, sparking Ms. Reed’s interest “you have to show building own- Energy and Environmental Design. neff david in environmental issues. ers that green buildings get higher Many new buildings are being After completing her studies,she rents and get higher occupancies,” constructed to LEED standards, so how they measure up against U.S. city, she was charged with develop- maintained that focus in a variety of says Ms. Reed, a Canadian who the real challenge lies in upgrading Environmental Protection Agency ing the rules and regulations for im- urban planning roles, which includ- holds a master’s degree in urban existing structures—in areas such as benchmarks. Once the reviews are plementing the green building law ed managing the implementation of planning from McGill University in cleaning and maintenance, recy- complete, Cushman & Wakefield and designing reporting tools to New York City’s green building law. Montreal.“A lot of tenants are look- cling and heating and cooling sys- will make suggestions on improving track its benefits and costs. Such dedication paved the way ing for space that is green.” tems—to win certification. building efficiency, Ms. Reed says. “The law is a complex piece of for Ms.Reed’s latest appointment,as Persuading owners to make The pilot program is under de- legislation,and Eleni did a yeoman’s director of sustainability strategies changes will be important because velopment, and Ms. Reed won’t say Ready for the challenge job of piecing all the rules together,” for Cushman & Wakefield Inc.The of a pilot program that Cushman & how many buildings Cushman & those who know ms.reed say that says John Krieble, director of sus- position, a new one for the real es- Wakefield is working on with the Wakefield will commit to it or when the executive, who ran in the New tainable design at the city’s Depart- tate firm, will put a spotlight on the U.S. Green Building Council, a the certification process might start. York City Marathon last year, is ca- ment of Design and Construction. tall, thin blonde, who is joining an nonprofit that developed the stan- The firm will continue to evalu- pable of the demanding tasks that lie industry that’s dominated by men. dards for certifying buildings’ sus- ate buildings it manages to assess ahead. When she worked for the COMMENTS? [email protected]

January 7, 2008 | Crain’s New York Business | 25 CNYB 01-07-08 A 26 1/3/2008 9:32 PM Page 1

BUSINESS LIVES

EXECUTIVE MOVES

ACCOUNTING & CONSULTING operating officer from chief financial principal. Friedman: Jeffrey P.Agranoff, 30, joined as officer. Michael J. Vardaro, 36, was promoted to HOT JOBS director of recruiting, a new position. He ROO Group: Kaleil Isaza Tuzman, 36, was partner from principal. had been director of human resources at appointed chairman and chief executive Perelson Weiner. officer. He had been president and chief MEDIA & ENTERTAINMENT WANTED: DIRECTOR, operating officer at JumpTV Inc. 4Kids Entertainment Inc.: Barry Stagg, ADVERTISING & COMMUNICATIONS 52, joined as senior vice president of NEW YORK OFFICE Cossette Communications: Christian LAW corporate communications. He was Quenneville, 34, was appointed director Anderson Kill & Olick: Eric E. Schneck, 44, formerly a communications consultant ORGANIZATION Appleseed of digital marketing for Cossette New joined as a shareholder. He had been a at Amp’d Mobile. York. He had been vice president, partner at Seyfarth Shaw. Martha Stewart Living Omnimedia Inc.: JOB DESCRIPTION Direct fundraising activities, recruit volunteer attor- director of Internet marketing at Arent Fox: Peter J. Fitzpatrick, 52, joined Amy Wilkins, 45, was named publisher of neys and business professionals, and manage public interest education Cossette Communication Group in as a partner. He had been a partner at Everyday Food magazine. She continues programs Canada. Bryan Cave. as senior vice president, publisher of Jason Moyer, 32, was named senior vice Cadwalader Wickersham & Taft: Tony V. Martha Stewart Weddings magazine. MOST IMPORTANT TASKS Helping to solve the city’s education prob- president, director of client services and Pezzano, 43, joined as a partner. He had Real Simple magazine: Karen Saltser, 43, lems, including recruiting public school teachers, and helping immi- innovation, Cossette New York. He had been a partner at Morgan & Finnegan. was promoted to vice president, digital, grants understand the financial system been vice president and account director Bartholomew Verdirame, 58, joined as a from general manager. CREDENTIALS NEEDED at Young & Rubicam. partner. He had been a partner at Sundance Channel: Tara Marshall, 42, Five-plus years’ management or fundraising Morgan & Finnegan. was appointed director of integrated experience; an understanding of the legal and business communities ARCHITECTURE & DESIGN Davis & Gilbert: Jason Abramson, 35, was sales. She had been sales manager at SALARY $70,000 to $90,000 A. Epstein and Sons International Inc.: promoted to partner from associate. ABC Digital Media Sales. Lawrence Dalziel, 50, joined as senior Gary Kibel, 39, was promoted to partner Time Warner Cable Inc.: Arthur Minson, RECRUITER Internal project manager. He had been project from associate. 37, was promoted to executive vice DOWNSIDE Challenge of juggling multiple constituencies manager and senior architect for Matthew Schneider, 34, was promoted to president and deputy chief financial K. Hovnanian Homes. partner from associate. officer from senior vice president of UPSIDE Opportunity to work with one of the country’s largest and most Davis Polk & Wardwell: Donna finance. influential pro bono legal communities FINANCE & INSURANCE Rosenwasser, 48, was promoted to Univision Communications Inc.: Tonia New York Life International: Susan executive director from associate O’Connor, 38, was named executive vice Appleseed is a nonprofit network of 16 public interest justice centers in Cartledge, 37, joined as senior vice executive director. president, distribution sales and the United States and Mexico. Its goal is to build a society where oppor- president of human resources. She had Dechert: Jay Alicandri, 34, was promoted marketing. She was formerly executive tunities are genuine, access to the law is universal and equal, and gov- been director of human resources at to partner from associate. vice president, distribution, at Gemstar- ernment advances the public interest. Director Vicki R. Walcott-Edim IBM. Lee D. Caney, 39, was promoted to TV Guide. completed a one-year fellowship and returns this month to law firm Vikram Sawhney, 39, joined as senior partner from counsel. Vibe Media Group: Gary R. Lewis, 59, vice president of business development. Stephanie M.Tita, 35, was promoted to was promoted to chief marketing officer Jones Day, a founder of Appleseed. —ANDREW BUCK He had been country head, business partner from associate. from director of integrated marketing development, at GE India. Ellenoff Grossman & Schole: Gabriel and events. Storm Exchange Inc.: David Smith, 36, Mendelberg, 37, was promoted to partner WEA Corp.: Richard Jennings, 41, was was appointed vice president of sales. He from associate. promoted to vice president of creative had been alternative investments Morgan & Finnegan: Tod M. Melgar, 40, services from senior director of creative Sebco Development Inc.: Peter Cantillo, Major Lindsey & Africa: Treadon K. manager at the Chicago Mercantile was promoted to partner from associate. services. 56, was elected president and chief Moore, 32, was appointed managing Exchange. Patterson Belknap Webb & Tyler: Stuart Waterfront Media: Laura Klein, 44, was executive officer. He had been assistant director. She was formerly director of Zurich Financial Services Group: Kevin E. Pollack, 43, was promoted to partner named vice president of sales. She had deputy general manager at the New attorney placement at Hudson. McCracken, 53, was promoted to from counsel. been vice president and publisher at York City Housing Authority. The National Down Syndrome Society: Jon executive vice president, casualty, from Pillsbury Winthrop Shaw Pittman: Woman’s Day magazine. Trump Organization: Sara Nemerov, 31, Colman, 38, was promoted to president senior vice president, casualty, Alexander Moon, 47, joined as a partner. was promoted to vice president of global from chief operating officer. Northeast. He had been a partner at Duane Morris. REAL ESTATE licensing from senior director of global —adrianne pasquarelli Joseph Tocco, 49, was promoted to Reed Smith: Elena P.Lazarou, 31, was Colliers ABR Inc.: Richard Bernstein, 54, licensing. and sarah studley executive vice president, property, from promoted to partner from associate. was named vice chairman. He had been senior vice president and property John B. Webb, 41, was promoted to president at Trammell New York. SERVICES manager, Northeast. partner from associate. Madison Realty Capital: Eric Scheffler, 38, Big Brothers Big Sisters of NYC: Michael EXECUTIVE PROMOTIONS Thompson Hine: Robert Rywkin, 55, was was named managing director and A. Corriero, 65, was named executive The fastest way to get an announcement into HIGH TECH & NEW MEDIA promoted to partner from of counsel. general counsel, a new position. He was director, effective July 1. He is currently Crain’s is to submit details online. Fill out the form Logicworks: Kenneth Ziegler, 30, was Zetlin & De Chiara: Lori Samet Schwarz, formerly associate director at Bear a judge in the New York State Court of at www.crainsnewyork.com/submit. The promoted to president and chief 50, was promoted to partner from Stearns & Co. Claims. Executive Moves column is also available online.

THE WEEKS AHEAD

THIS WEEK’S EVENTS Union League Club, 38 E. 37th St., Business Owners, New York City nonmembers. (212) 473-7805 or holds forum on the outlook for the JANUARY 8 Lincoln Hall, second floor. Fee: $50 chapter, holds program on accounting [email protected]. natural gas industry. 11:30 a.m. to 1:30 Camba Small Business Services holds members, $75 nonmembers. for nonaccountants. 7:30 a.m. to 9:30 JANUARY 16 p.m., 1177 Sixth Ave., second floor. Fee: workshop on starting a business. 6 p.m. (212) 841-9230 or a.m., Sovereign Bank, 551 Fifth Ave., Small Business Development Center $75 members, $95 nonmembers. to 8:30 p.m., 884 Flatbush Ave., second [email protected]. corporate conference room. Fee: free for holds workshop on developing a (646) 871-3405 floor, Brooklyn. Free. (718) 282-2500, JANUARY 9 members; $35 in advance and $45 at business idea into a business plan. 10 or [email protected]. ext. 242, or [email protected]. New York Investing Meetup holds door for nonmembers. (212) 252-1100 a.m. to 1 p.m., CUNY on the JANUARY 17 JANUARY 8 seminar on the effect of the credit crisis or [email protected]. Concourse, 2501 Grand Concourse, Arts & Business Council of New York Retail Marketing Society holds lunch on on investments. 6:30 p.m. to 8:30 p.m., JANUARY 10 Bronx. Free. (718) 960-8697 or and American Express hold workshop consumer conundrums after the 1290 Sixth Ave. Fee: $5. Workshop in Business Opportunities [email protected]. on marketing technology. 9 a.m. to holidays. 12 p.m. to 2 p.m., Williams (212) 255-7327. holds legal clinic. 6 p.m. to 8 p.m., 55 JANUARY 17 12:30 p.m., 200 Vesey St. Fee: $35 for Club, 24 E. 39th St. Fee: $50 members, JANUARY 9 Exchange Place, suite 503. Free. New York Media Information Exchange Arts & Business Council members, $75 nonmembers. (201) 692-8087 or Career Assistance Center holds (212) 684-0854 or [email protected]. Group holds breakfast program on $55 nonmembers. (212) 279-5910, retailmarketingsoci@retailmarketing workshop on time management. 6:30 JANUARY 12 future wireless communication. 7:30 ext. 221. society.org. p.m. to 8 p.m., St. Bart’s Community Insiders Group holds workshop on a.m. to 10 a.m., SobelMedia World JANUARY 8 Center, 109 E. 50th St., third floor. Fee: insider secrets to financial freedom. 1 Headquarters, 4 W. 43rd St., main JANUARY 21-27 Manhattan Review holds information $20. (212) 501-8045 or bforda@aol.com. p.m. to 3 p.m., Insiders Success ballroom. Fee: $30 members, $50 JANUARY 22 session on GMAT and M.B.A. JANUARY 9 Institute, 216 Greene Ave., Brooklyn. nonmembers. (212) 725-2295 or NYC Business Solutions holds seminar admissions. 7 p.m. to 8:30 p.m., 420 The Five O’Clock Club holds seminar Free. (718) 622-2271 or [email protected]. on how and where to get financing in Lexington Ave., suite 2310. Free. on advanced interviewing techniques. [email protected]. JANUARY 17 New York City. 10 a.m. to 12 p.m., 110 (212) 997-1669 or 6:30 p.m. to 8:30 p.m., 11 Penn Plaza, SalemGlobal Internet Website William St., seventh-floor conference [email protected]. fifth floor. Fee: $50. (914) 788-5482 or JANUARY 14-20 Marketing holds networking reception. room. Free. (212) 618-8817 or JANUARY 8 [email protected]. JANUARY 15 8 a.m. to 10 a.m., UBS Conference [email protected]. Networking for Professionals holds JANUARY 10 Association of Real Estate Women Center, 1285 Sixth Ave., 14th floor. Fee: JANUARY 23 networking reception. 6 p.m. to 8 p.m., New York Commercial Real Estate holds seminar with the real estate press. $10. (646) 217-4184 or American Business Media holds Barna Restaurant, 365 Park Ave. South. Women Inc. holds networking 6 p.m. to 8 p.m., First American Title [email protected]. networking reception. 6 p.m. to 8 p.m., Fee: $10 members and $15 nonmembers reception. 6 p.m. to 8 p.m., Insurance Co., 633 Third Ave. Fee: $25 JANUARY 17 Prince George Ballroom, 15 E. 27th St. in advance; $20 for all at door, cash only. Sonnenschein Nath & Rosenthal, 1221 members, $35 nonmembers. New York Public Library’s Science, Fee: $95. (212) 661-6360, ext. 3337. (212) 227-6556. Sixth Ave., 25th floor. Fee: $100 (212) 599-6181 or [email protected]. Industry and Business Library holds —adrianne pasquarelli JANUARY 8 members, $125 nonmembers. JANUARY 15 lecture on investing for beginners. 5:30 Urban Land Institute, New York (212) 499-6566 or Manhattan Chamber of Commerce p.m. to 7 p.m., 188 Madison Ave., room More meetings online at District Council holds information [email protected]. holds networking reception. 6 p.m. to 8 018. Free. (212) 592-7000. www.crainsnewyork.com session on the economic and real estate JANUARY 10 p.m., Roger Smith Hotel, 501 JANUARY 17 Click on “Events” outlook for 2008. 8 a.m. to 9:30 a.m., National Association of Women Lexington Ave. Fee: $15 members, $25 New York Society of Security Analysts

26 | Crain’s New York Business | January 7, 2008 CNYB 01-07-08 A 27 1/3/2008 9:11 PM Page 1

BUSINESS LIVES TABLE TALK by Bob Lape shrimp in lush crab sauce. stunningly priced. One example: La Cantina Toscana ½ Tommaso’s forte is playing taste The super-Tuscan Solaia 1986 that 1109 First Ave. (between East 60th off taste—the harmonious stuffings retails for between $200 and $414 is and East 61st streets), Manhattan. he uses to splendid effect. These sold here for $300. Scores of great (212) 754-5454. Perhaps New York’s could be simple ones in stuffed ones are marked up a mere 50%. purest Florentine food in a casual mushrooms, artichokes or calamari, The bright, quick and effective 38-seat hideaway. Wild game, offal, or more exotic flavor blends he has service team does not sing, but their 200 wines, and baby eels for $10.95. developed for seafood, pork or veal attention hums, and Tommaso’s pa- Two gentlemen of Florence pre- chops and chicken. He’ll stuff trons applaud more frequently for pared 200 dinners for the Italian quenelles of shrimp into cabbage different reasons from those of any ambassador. The ambassador’s leaves and make a succulent medley other restaurant in town. back in Rome now, so there’s room of sausage, nuts, onions and raisins for us. to fill boned chicken. COMMENTS? [email protected] His tender veal spiedini alla Sicil- Marchi’s ½ iana are rolled around an onion-and- 251 E. 31st St. (between Second and garlic combination that enlivens the BEST OF BOB LAPE Third avenues), Manhattan. dish. A thick pork chop gets a filling (212) 679-2494; www.marchires of ground meat and cheese in robust Other recently reviewed restaurants taurant.com The “quiet legend” of brown sauce. Red snapper is done featuring Italian food: Kips Bay enters its 77th year of with a sweet-and-sour salute of providing no-menu, Italian family- olives, anchovies and escarole L’Impero style dining, with a lavish five- sautéed with sultana raisins. 45 Tudor City Place (between East course spread for $42.75. Tommaso’s pastas ($16.95 to 42nd and 43rd streets), Manhattan. $18.95) are generously sized por- (212) 599-5045; www.limpero.com. Tini ½ tions of things like four-cheese Chef Michael White brings his 1562 Second Ave. (at East 81st gnocchi, linguine with clam sauce, full-flavored contemporary Italian Street), Manhattan. (212) 628-3131. or the aforementioned and not-to- cooking to this handsome East The Lentini brothers—host Enzo be-missed rabbit pappardelle. Sider. House-made pasta, seafood and chef Giuseppe—offer an There are sturdy cold-weather and chicken dishes are standouts, informal, lighter, seafood-rich take dishes such as osso buco, braised backed by smooth service and a on the food and hospitality of their short ribs,tournedos Tommaso,and deep wine list. native Puglia. A raw bar serves calves’ liver sautéed with pancetta, Mare-Tinis; the regular bar makes buck ennis onions and dried figs. Al Di La ½ 20 Mar-Tinis. COZY: Tommaso Verdillo’s Tommaso of Brooklyn is like a favorite uncle’s home, adorned with Desserts are southern-Italian 248 Fifth Ave. (at Carroll Street), family pictures, hints of the Italian south, a copper espresso machine and a much-used piano. standards, from cannelloni to tarts Brooklyn. (718) 783-4565; www.aldila and cheesecake. trattoria.com. Chef Anna Klinger’s Tommaso’s 35-year-old wine Venetian-accented cooking makes collection, encompassing some of this Park Slope nine-year-old a Italy’s finest bottles and vintages, is perennial hot ticket. The no-res- Strictly kosher gift baskets for the holidays, ervations policy means that cus- condolence, & year-round events. Italian veteran tomers can enjoy a pleasant wait at www.kosherline.com • 888-567-4378 worth the trip the spot’s nearby wine bar. A MATTER OF Food, affordable wines A shape-shifter himself, Mr. Perspective Verdillo has recently shed 130 shine at Brooklyn pounds. His restaurant is like a favorite neighborhood spot; uncle’s home, adorned with family pictures, hints of the Italian south, a a grand impresario hefty copper espresso machine and a much-used piano. ommaso of brooklyn An operatic tenor, Tommaso ef- marks its 35th anniver- fortlessly intersperses his thick, TOMMASO sary this month. gooey, anchovy-and-caper studded 1464 86th St., (between 14th If the only reason to mozzarella in carozza with arias and 15th avenues), Brooklyn seek out this astonishing from Aida. Awesome house-made (718) 236-9883 Tneighborhood restaurant were its pappardelle in rich rabbit ragu may www.tommasoinbrooklyn.com treasure trove of stunningly afford- lead to his giving voice to “The able wines, that would be motiva- Wind Beneath My Wings.” The tion enough. It’s worth a trip from music-making is mostly on week- CUISINE Italian anywhere. But before even assaying ends; the delicious, satisfying cook- WINES 400 choices, 10 by the M&K takes a closer look. its cellar, wine legend Robert Park- ing happens every day. glass As certified public accountants and business consultants, er labeled Tommaso’s “perhaps my Tommaso is not alone in enter- favorite Italian cuisine in the Unit- taining his guests. Soprano Nina DRESS No code we understand that the difference is in the details. From number - ed States.” Mr. Parker is seldom ac- DiGregorio and tenor/guitarist NOISE LEVEL Lively, plus opera crunching to strategic business planning, M&K looks at your cused of a faulty palate. David Guzman spell the maestro singing business and financial situation from every point of view. It’s not just I love the comfort, taste fidelity when he works tables or spins savory PRICE RANGE about the bottom line, but how you get there. That’s the M&K Way. and honesty of the food that Tom- treats from the kitchen. Putting $21.95-$29.95 maso Verdillo has practiced over the yourself in his hands is the best way WINE MARKUP Off-the-charts years. But the great New York din- to approach the meal. low! ing moments he creates are the sum Every dish arrives blazing hot CREDIT CARDS All major of many interlocking parts. Some or properly chilled, as its nature are predictable, others a surprise. dictates. RESERVATIONS Recommended He cooks,hosts,serves,sings,in- Antipasti ($8.50 to $14.95) ring HOURS Lunch and dinner, spires and delights an audience familiar chords respectfully, from Mon.-Sat., noon-midnight, Sun., Marcum & Kliegman LLP ranging from swells to the demi- scungilli in hot sauce through fried noon-10 p.m. Certified Public Accountants & Consultants monde, often at the same time—if zucchini or calamari, Caesar or NEW YORK in different rooms. That’s part of Tuscan bread salads, and baked = Outstanding www.MKLLP.com Can you guess MELVILLE Tommaso’s raffish charm. You just clams or snails. Foie gras is sautéed = Excellent 800.921.0777 what this image is? GREENWICH never know who’s sharing the expe- with caramelized orange peel and = Very good Email your answer to: = Good GRAND CAYMAN rience with you, or precisely what Calabrese onions. Seafood cannel- [email protected]. shape it will take. loni is a roll of minced lobster and

January 7, 2008 | Crain’s New York Business | 27 Project3 12/10/07 12:31 PM Page 1

HP recommends Windows Vista® Business.

HP Compaq dc78004 Business PC HP Compaq 6910p4 Business Notebook with Intel® vPro™ Technology with Intel® Centrino® Pro Technology

Intel® vPro™ Processor Technology Intel® Centrino® Pro Processor Technology Intel® Core™2 Duo3 Processor E65502 Intel® Core™2 Duo3 Processor T75002 (2.20 GHz) (2.33 GHz) Genuine Windows Vista® Business1 ® 1 Genuine Windows Vista Business $1,599 $899 SmartBuy PN: GM120UT#ABA SmartBuy PN: RU022UT#ABA

Servicing your technology shouldn’t bring business to a grinding halt. That’s why we at Softmart, your friendly neighborhood technology partner, teamed up with HP, as well as our local partners, to bring you innovative new computers built with Intel® vPro™ and Centrino® Pro Technology. We can manage, update and secure them remotely without interrupting your workday—even if your computer is turned off or unresponsive. Making service seamless is just another benefi t of working with Softmart, a local HP Authorized Gold Business Partner.

Get in touch: softmart.com/hp or 1-800-269-4175

Learn more: hp.com/go/facetoface

All offers available from HP Direct and participating resellers. Prices shown are HP Direct prices, are subject to change and do not include applicable state and local sales tax or shipping to recipient’s destination. Simulated screen. Photography may not accurately represent exact confi gurations priced. Associated values represent HP published list price. 1. Certain Windows Vista product features require advanced or additional hardware. See http://www.microsoft.com/windowsvista/getready/hardwarereqs.mspx and http://www.microsoft.com/windowsvista/getready/capable.mspx for details. Windows Vista Upgrade Advisor can help you determine which features of Windows Vista will run on your computer. To download the tool, visit www.windowsvista.com/upgradeadvisor. 2. Intel’s numbering is not a measurement of higher performance. 3. Dual Core is a new technology designed to improve performance of certain software products. Not all customers or software applications will necessarily benefi t from use of this technology. 64-bit computing on Intel architecture requires a computer system with a processor, chipset, BIOS, operating system, device drivers and applications enabled for Intel® 64 architecture. Processors will not operate (including 32-bit operation) without an Intel 64 architecture-enabled BIOS. Performance will vary depending on your hardware and software confi gurations. See www.intel.com/info/em64t for more information. 4. The HP dc7800 PC is enabled for Intel vPro Technology and the HP 6910p is enabled for Intel Centrino Pro Technology. Some functionality, such as Intel Active management technology and Intel Virtualization technology, requires additional 3rd party software in order to run. Availability of future “virtual appliances” applications is dependent on 3rd party software providers. Compatibility of this generation of Intel vPro and Centrino Pro technology-based hardware with future “virtual appliances” and Microsoft Windows Vista operating system is yet to be determined. Intel, the Intel logo, Intel vPro, Centrino, Intel Core and Core Inside are trademarks of Intel Corporation in the U.S. and other countries. Microsoft and Windows are U.S. registered trademarks of Microsoft Corporation. Windows Vista is either a registered trademark or trademark of Microsoft Corporation in the United States and/or other countries. © 2007 Softmart, Inc. All rights reserved. © 2007 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice. The only warranties for HP products and services are set forth in the express warranty statements accompanying such products and services. Nothing herein shall be construed as constituting an additional warranty. HP shall not be liable for technical or editorial errors or omissions contained herein.