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INSIDE Kindergarten TOP STORIES as vital indicator Ailing W. Chelsea —Greg David awaits its boost on city economy from High Line park ® Page 11 PAGE 2 Chain drugstores snap up bargain VOL. XXV, NO. 14 WWW.CRAINSNEWYORK.COM APRIL 6-12, 2009 PRICE: $3.00 retail real estate PAGE 3 NY Auto (Bailout) Big insurers Show: how Detroit drives city economy A MAN FOR may need PAGE 3 U.S. lifeline SPECIAL REPORT OUR TIMES MetLife, Pru, THAT’S LIFE Developer’s socially conscious model others see losses These life insurers are sitting overwhelm their on unrecorded investment is green in more ways than one losses that could wipe out cash cushions their minimum cash reserves. I Gross unrealized losses BY THERESA AGOVINO I BY AARON ELSTEIN Adjusted capital many new buildings blossomed in Harlem during the boom, but the $29.8B year-old David and Joyce Dinkins Gardens on West 153rd Street life insurance companies were some of the most enthu- stands out. The seven-story brick property is a state-of-the-art green siastic consumers of Wall building, whose 86 affordable units include 26 reserved for youths who Street’s most toxic junk dur- are aging out of the foster care system. ing the boom years. Now $16.1B It’s the brainchild of for-profit developer Jonathan Rose and non- they’re suffering a most seri- profit group Harlem Congregations for Community Improvement. ous case of indigestion: They face billions worth of invest- MetLife REAL ESTATE “We had an idea for a new alternative, and Jonathan had the expert- ise to get it done,” says Lucille McEwen, chief executive of HCCI, ment losses that threaten to $14.6B Four neighborhoods noting his ability to both build and finance green construction. wipe out their coffers, forcing roll with recession’s punches them to raise cash when doing $4.2B See DO-GOOD on Page 9 PAGES 13-18 so is just about impossible. Unless the federal govern- Hartford G Tenants’brokers find their P. 13 ment intervenes for yet an- $11.3B time has come other financial sector bailout, G Ranking the area’s largest experts warn of the biggest $9.1B architecture firms P. 16 wave of life insurer failures in G Financial firm lands 20 years. “The industry is Prudential downtown bargain, and other getting hit from all direc- Source: CreditSights deals of the week P. 18 See LIFELINE on Page 8 Bad reception at Channel 4 BUSINESS LIVES news coverage and good TAX CRUNCH TIME Berman out as people.” Accountants AWOL station tries to That angry fan has a as spouses face life in point. Ratings-challenged the single lane PAGE 21 recast local news WNBC is blowing up the lo- cal news model. The station is shedding BY MATTHEW FLAMM high-priced talent and turn- INDEX ing the newsroom into a last week, local fans cried “content center” that pro- IN THE MARKETS ______4 URBAN LEGEND: foul when sportscaster Len duces stories for multiple THE INSIDER ______12 The value of Berman announced that he outlets. Those comprise the Jonathan Rose’s would no longer be Web site and New CLASSIFIEDS ______19 projects has hit “Spanning the York Nonstop, a CORPORATE LADDER ______23 $1.5 billion. World” on WNBC 40% just-launched 24- PORTION EXECUTIVESee AT DEADLINE MOVES on ______Page ______2 ______23 but would instead be hour digital channel. of local stations’ buck ennis joining a recent exo- revenues that The aim is to reach dus from the station come from different audiences, 14 NEXT WEEK CRAIN’S that has included half newscasts some of which don’t 5 a dozen well-known get news from tradi- SMALL BUSINESS reporters and anchors. tional sources. Nonstop, for “WNBC is doing a instance, is trying to entice REPORT: SEEKING A bailout,” wrote grandpajoe younger viewers with ELECTRONIC EDITION STIMULUS BOOST on the Daily News Web site. lifestyle programming—and

NEWSPAPER “They are bailing out of good See BAD RECEPTION on Page 8 71486 01068 0 CNYB 04-06-09 A 2 4/3/2009 8:06 PM Page 1

RAISED SIGHTS 19th Street IN BRIEF Park buzz and rezoning spurred billions’ worth of development. Some High Line neighbors: RIDING THE RAILS: STATE ATTORNEY GENERAL ANDREW CUOMO IS The new park, the INVESTIGATING COMPLAINTS BY LOCAL WINE- 18th Street brainchild of area residents, features makers who say liquor store owners have native plantings, threatened to boycott their products. “We’ve benches and movable been told it is an investigation at this point,” chaise longues. says Jennifer Carlson, who represents a coalition of winemakers and grape growers in the state.The coalition, Vote Wine 2009, Appellation Wine & Spirits 17th Street supported the wine bill, which would have 156 10th Ave. 16th Street allowed grocery stores to sell wine but was kicked out of the state budget last week. Liquor store owners opposed the measure. A liquor stores spokesman says, “We have had several 11th Avenue conversations with the attorney general’s office and have been cooperating with his office.” 10th Avenue 15th Street THOUGH BRITISH CLOTHIER TOPSHOP MADE High Line Building ITS U.S. DEBUT IN SOHO LAST WEEK TO 450 W. 14th St. throngs of eager shoppers, neighboring stores on Broadway have yet to receive any benefit. Quirky clothier Yellow Rat Bastard, eatery SoHo Café and accessories shop Jewelry Café, 14th Street all said foot traffic and sales were lackluster on Topshop’s opening day. Many area stores had been waiting for Topshop’s arrival nearly as The Standard

anxiously as the trendy retailer’s customers, with 848 Washington St. Ninth Avenue Eighth Avenue

the expectation that the British import would Washington Street bring hordes of new shoppers. Little West 12th Street PETER GUBER AND JON PETERS, THE HOLLYWOOD DUO WHO ONCE RAN SONY Pictures Entertainment, may soon be reuniting—on bookshelves. Mr. Guber, who Earnest Sewn Gansevoort Street Los Dados heads Mandalay Entertainment, has just sold a 821 Washington St. 73 Gansevoort St. business book to Crown Publishers. It’s called

Ah-Ha: Unleash the Magic of Story to Power Your photos: buck ennis Success. Mr. Peters, the untutored hairdresser turned movie mogul, is shopping his proposed autobiography, Studio Head.The tell-all promises to be as over-the-top as some of Mr. High Line park’s opening raises Peters’ productions, which include Batman and Superman Returns.
CORRECTIONS Chelsea’s hopes for better times Zanaro’s restaurant in White Plains was designed by Haverson Architecture and Design in Greenwich, Conn. The information was misstated in the March 23 “Table Talk” column. NEIGHBORHOOD JOURNAL rant near the park’s Gansevoort Street en- Gary Levy, a partner in accounting firm J.H. Cohn, was misidenti- Stylish site may trance, has been anxiously awaiting the fied in the March 30 article “Hey, bartender, make it a double.” High Line. Business has been down 10% draw crowds, but The High Line’s rebirth began in 1999, to 15% since the beginning of this year, vol. xxv, no. 14, april 6, 2009—Crain’s New York Business (issn when a group of local residents formed says manager Sean Maddrey. 8756-789x) is published weekly, except for the 1st and 3rd week of Friends of the High Line to preserve what At Earnest Sewn,a high-end denim la- July, the 1st, 3rd and 5th week of August and the 4th week of will it be gravy train? December by Crain Communications Inc., 711 Third Ave., New many others had long thought was an ele- bel that opened its flagship on Washing- York, NY 10017. Periodicals postage paid at New York, N.Y. and vated albatross 30 feet above street level, ton Street in 2005, the situation is even additional mailing offices. Postmaster: Send address changes to: BY AMANDA FUNG Crain’s New York Business, Circulation Department, 1155 Gratiot from Gansevoort to West 30th streets. worse. Sales of its $200 pairs of jeans are Avenue, Detroit, MI 48207-2912. for subscriber Construction of the first phase of the down 50% since November. “Business has service: Call (888) 909-9111. Fax (313) 446-6777.$3.00 a copy, in less than two months, the first part $170 million park, which extends up to been abysmal,” says manager Annie Wu. $59.79 one year, $109.79 two years. (GST No. 13676-0444-RT) ©Entire contents copyright 2009 by Crain Communications Inc. of the High Line, the city’s first elevated West 20th Street, began in 2006. Land- “Any additional traffic will be awesome.” All rights reserved. park, will open to great fanfare in West scapers planted more than 7,500 native Chelsea. grasses, shrubs, vines and perennials, and Raising The Standard The hyperstylish new park, which sits they installed more than a dozen Brazilian ms.wu did see a spike in foot traffic in De- atop a 1.5-mile section of a former freight hardwood benches, including movable cember thanks to The Standard, André ECONOMETER railway line,will mark the official transfor- chaise longues on rails. Balazs’luxury hotel.The soft launch of the mation of an area that until recently was In recent years,the buzz surrounding the property, built directly above the High Weekly shift in city’s business climate. known for its abandoned factories, desert- park and a rezoning that allows taller tow- Line at Washington and West 13th streets, EUPHORIA came cheap last week as investors got ed streets, panhandlers and prostitutes. ers have spurred roughly 50 developments initially drew tourists to the 18-story  excited over auto sales data less dismal than The High Line’s opening is nine months in the area worth about $5 billion.Further- glass-and-concrete structure. But the forecast, signs that deeply discounted houses can behind schedule, yet it couldn’t be better- more,a crop of luxury boutiques and high- number of visitors quickly dwindled. be sold, and indications financial panic is passé. timed, coming as the recession damps the end restaurants, such as Craftsteak and Some wonder if the same thing will neighborhood’s efforts to wash away its Del Posto, have made the area their home. happen after the High Line hype fades.

POSITIVE NEGATIVE gritty past with a wave of new stores and “It used to be scary to walk around the West Chelsea is home to roughly 100

  CLOUDY  developments. neighborhood,” says Cary Tamarkin, the commercial art galleries. While gallery developer of a loftlike apartment building owners praise the High Line’s design,they S Once in three lifetimes Y T at 456 W. 19th St. that’s slated to open in wonder about its commercial impact. O N R “a park like this opens once every 200 January. “The energy and edge to the area “Increased foot traffic doesn’t necessar- N M U years,” says Scott Pactor, co-owner of Ap- is now phenomenal.” ily translate into sales for us,” says Andrew Y S pellation Wine & Spirits, located near the Nevertheless,Mr.Pactor of three-year- Kreps, whose West 22nd Street art gallery High Line’s West 18th Street entrance. old Appellation Wine notes that reces- opened in 1999. “We are very excited that it will bring ad- sion-sapped customers are tightening Developer Charles Blaichman—who -67% 663,000 +5.5% ditional traffic to the neighborhood.” their purse strings. “Thankfully, people is finishing the High Line Building, a 15- Drop in sales of Jobs lost in the Bloomberg/ In fact, city Parks Commissioner Adri- continue to drink,” he says, “but they are story office tower straddling the park on new Manhattan U.S. in March, Crain’s NY Stock an Benepe estimates that the High Line will buying cheaper bottles of wine.” 14th Street—is skeptical about the park’s apartments in 1Q bringing the Index weekly attract nearly 1 million visitors annually. Many area retailers, restaurants and ability to boost business. versus a year recession’s toll to change “Park space is a magnet for economic boutiques that have been hit hard by the “The High Line opening will attract earlier 5.1 million (Corcoran Group and (Dept. of Labor) development,” says Mr. Benepe. “It is a recession are counting on the park’s open- more people to the neighborhood,” Mr. PropertyShark.com) park in the sky that will be a huge boon to ing to reinvigorate sales. Blaichman says.“But I don’t know if the park the neighborhood.” Los Dados, a year-old Mexican restau- will alleviate the economic problems.”

2 | Crain’s New York Business | April 6, 2009 CNYB 04-06-09 A 3 4/3/2009 8:17 PM Page 1

CAR TALK

The U.S. auto industry’s many problems don’t just Taking off the ritz affect Detroit. Here are some of the ways that New York is as much a car town as a subway city.

cy rates for the city’s fanciest hotels were off their image—top hotels are piling on the dis- THE NEW YORK INTERNATIONAL AUTO SHOW With occupancy rates 18% from the same period last year, to just counts. The Mandarin Oriental is offering is the biggest car confab in the U.S., with 1.2 slumping, posh hotels 65%; room rates were down 15%, to $304 a $50 spa credits at check-in and giving more re- million visitors and $112 million in spending night, according to Smith Travel Research. peat customers complimentary room up- by exhibitors and fans last year. Don’t expect offer discounts, deals grades. Such guests can, for instance, stay in a the same economic impact from this year’s One-upmanship suite that’s normally priced at $1,800 for $800. show, running April 10-19: NYC & Company BY LISA FICKENSCHER it is a dramatic reversal for an industry “Now is a time to build friendships,” Mr. predicts about 1 million show visitors. whose fortunes rose with the stock market. Tauscher says. the white house and congress say corpo- Over the past three years, the average nightly The Mandarin’s neighbor across the street, MERCEDES RULES: The Mercedes-Benz rate executives on the dole shouldn’t be bunk- rate at New York hotels rose more than 50%, Trump International Hotel & Tower, lets E63 AMG makes ing in luxury hotels.But the truth is that four- largely led by the top properties. guests upgrade their rooms to the next level its Manhattan and even five-star Manhattan hotels are a Until recently, having the highest prices for just $50, shaving $150 off the typical up- debut this steal these days. was a status symbol for elite hotels.When the grade cost. And in February, guests who week. Deals offering everything from 50% off Mandarin Oriental opened at Columbus Cir- booked a $645 suite over a weekend received the room price for the second night to a $500 cle in late 2003, for example, it boasted the a $500 gift certificate for Ivanka Trump’s jew- SMART CART: gift certificate at a swanky jewelry store are city’s most expensive presidential suite: elry boutique on Madison Avenue. Toyota’s Scion iQ is a “microcompact” just some of the enticements haute hoteliers $12,000 a night, $1,000 more than the com- Even celebrity hotelier Ian Schrager is for city driving— are using. And many packages are slated to parable accommodation at the Four Seasons. bowing to pressure, offering 50% off every and parking. continue through the summer, an indication The hotel was able to “maintain that posi- other night of a stay at his Gramercy Park Ho- of how long the soft market is expected to last. tion in 2004 and 2005” but was then overtak- tel. A reservation with the discount for two “Luxury hotels are actually the best deal en by competitors,says Rudolf Tauscher,gen- nights in mid-April comes to an average of they have ever been,”says Bjorn Hanson,pro- eral manager of the Mandarin Oriental. $334 a night for a basic room. THE GREATER NEW YORK AUTOMOBILE fessor at New York University Preston Robert The rate race, now in the opposite direc- “In this economy,you are obliged to go into DEALERS ASSOCIATION reports that more Tisch Center for Hospitality, Tourism and tion,is in part fueled by the “AIG effect”—the your bag of tricks to do whatever it is you can,” cars are sold in the New York metro area Sports Management. backlash against conspicuous consumption says Mr. Schrager, who has noticed an uptick than in any other region in the country. Last The bargains are being driven by the steep- that has transformed luxury properties into in the Gramercy Park’s occupancy since the year’s total sales here—$23 billion—were est declines in occupancy and room rates in pariahs for many longtime customers. promotion began. down 18% from 2006 levels. decades.Through February,average occupan- To attract business—and to help soften Losing power over rates GRAMERCY some of the deals will remain PARK HOTEL in place until September. The Four Seasons is running a two- 50% night package until Labor Day OFF ROOM PRICE that includes a $200 per-night for every other credit. With it, guests can re- night during a stay FOUR duce their overall rate or pay for SEASONS a meal or other services at the hotel. $200 Director of marketing Brian THERE’S A REASON IT’S PER-NIGHT Honan says that many bankers CALLED THE GM BUILDING: hotel credit on a have stopped using the Four Back in the 1960s, General two-night package Seasons. And he concedes that Motors employed 3,300 peo- fewer entrepreneurs and top ex- ple in the office tower, which ecutives in other industries are cast a long shadow over booking rooms. Wall Street because of the But in adjusting to the new company’s pioneering use of austerity, luxury hotels are con- bonds, derivatives and other cerned about losing their power financing techniques. GM’s MANDARIN to charge more when the econ- finance workforce in NYC ORIENTAL omy improves. today? Just 109, helping to As Benjamin Sinclair, direc- steer $27 billion in bond tor sales and marketing at the debt that may end up valued $50 St. Regis, explains, “We can’t SPA CREDITS at pennies on the dollar.

drop our rates so low that it may buck ennis and complimentary allow the hotel to win during a upgrades recession but lose during the re- I photos: buck ennis bloomberg news covery.”

CERBERUS CAPITAL MANAGEMENT’S 80% STAKE in Chrysler is officially a car wreck. The automaker’s $20 billion in debt is now worth little to its investors, and the government is Drugstores’ retail prescription pushing for a merger with Italy’s Fiat. Will elu- sive Cerberus founder Stephen Feinberg stroll Strategic Retail. “More than selling drugs and the auto aisles at the Javits Center this year? As other stores close, chains scoop up space shampoo,they’ve become mini-super centers.” A spokesman would say only, “There’ll definite- Not every brand is stocking up on real es- ly be a Cerberus presence at the auto show.” and expand selections in push for market share tate, however. Rite-Aid Corp., with 240 New York locations, has no plans to open any more NEW YORK LAW FIRMS ARE GETTING PLEN- Winick, president of Winick Realty. “Drug- here, according to a spokeswoman. The com- TY OF BILLABLE MILEAGE from the auto BY ADRIANNE PASQUARELLI stores are taking advantage of that.” pany, based in Camp Hill, Pa., is actually clos- bailouts, including Cadwalader and Sonnen- Duane Reade, CVS Caremark Corp. and ing as many as 117 stores nationwide and is one schein (hired by the Treasury Department) and coming to a corner near you—another Walgreen Co.are moving aggressively to scoop of the few poorly performing drugstore busi- Willkie Farr (the president’s auto task force). chain drugstore. up square footage left behind by Starbucks and nesses. Last week, it reported a fourth-quarter Detroit’s Big Apple bankruptcy experts Scores of clothiers and eateries in the city Chase Bank. While other retailers plunge into loss of $2.3 billion—the seventh straight quar- are Jones Day (Chrysler) and have closed in the past year, succumbing to bankruptcy, drugstores are expanding their lo- terly decline—compared with a loss of $952.2 Weil Gotshal (GM). Also the dismal retail environment. But pharmacy cations and product offerings to increase mar- million in the same period in 2007. hitching a ride: Sullivan & outlets are on the rise. More than two dozen ket share.Many have added clinics that provide But Rite-Aid’s competitors are proceeding have opened here in the period, and more are consumers with simple health services or are with New York rollouts. National giant Wal- Cromwell (Fiat), Wachtell Lipton on the way as rents and competition for va- ramping up grocery aisles. The goal is to be- greens,which reported revenues of $59 billion (GMAC), Schulte Roth (Cer- cancies decline. come more of a one-stop shop. for the fiscal year that ended Aug. 31, 2008, berus) and Paul Weiss (GM bondholders). “You don’t have the banks … or other ma- “Drugstores are filling the vacuum for re- opened a 16,000-square-foot flagship in —hilary potkewitz

jor retailers fighting over the space,” says Jeff tail,” says Candace Corlett, president of WSL See DRUGSTORES on Page 8 istockphoto

April 6, 2009 | Crain’s New York Business | 3 CNYB 04-06-09 A 4 4/3/2009 7:28 PM Page 1

Health Net of the Northeast IN THE MARKETS targeted by EmblemHealth by Aaron Elstein & Elisabeth Butler Cordova

Acquisition would Care health plan subsidiary, which ness or entering into a partnership. has about 240,000 members, with At the time, he said the compa- boost membership; 2 Health Net’s 221,000 enrollees in ny was having “significant chal- Goldman snacks: smaller portions that state. A deal also would boost lenges due to our scale relative to the other possible bidders EmblemHealth numbers in New marketplace.” from the i-bank’s profit kitchen Jersey, where it currently covers 86,525 people. Quashed rumors ot even mighty Goldman tional businesses that historically BY BARBARA BENSON There is a possibility that a third in a statement in early December, Sachs is being spared the have supported Goldman.” bidder could emerge.Aetna also may Paul Lambdin, president of Health Nmisery that has consumed In particular, the government, emblemhealth, parent of Group be looking at Health Net’s North- Net of the Northeast, denied ru- Wall Street.Last week,it was report- which now regulates Goldman like Health Inc.and HIP Health Plan of east and Arizona operations as a mors that the insurer would with- ed that top investment banker Bry- an ordinary bank, won’t let its New York, is mulling a bid for the means to increase its small business draw from the Northeast. on Trott was leaving to start his own traders bet anywhere near as aggres- assets of Health Net of the North- enrollment., according to one “We have a strong network and a shop with help from longtime client sively as they did traditionally— east,according to a source briefed on strong base of customers and loyal Warren Buffett. And Goldman re- robbing Goldman of its main source EmblemHealth’s plans. Health associates,” he said.“We are review- vealed in a filing that it recently of amazing profits. Net’s operation in the area is shrink- EmblemHealth ing whether there are potential part- bailed out former Chief Operating At about $114, Goldman shares ing and is widely thought to be seek- nerships with others that will allow Officer Jon Winkelried by buying trade 44% below their 52-week high ing a buyer or larger partner. If Em- is in the due us to better serve our customers and $20 million of his ailing hedge fund but well above the recent trough of blemHealth makes the acquisition, strengthen the provider networks and private equity investments. $47. The company argues that the it will significantly expand its mem- diligence phase that serve them.” The times are changing for firms loss of leverage will be offset by the bership base in Connecticut and As recently as mid-March, formerly known as investment collapse of competitors and wider New Jersey, snapping up 344,000 of the process Health Net executives hinted at the banks. Morgan Stanley has begun spreads on many securities. more members there, in addition to recent negotiations with potential recasting itself into more of a retail It will be a hard slog for Chief Ex- 221,000 in New York. buyers, which could conclude “in a broker, in the image of the departed ecutive Lloyd Blankfein. Mr. Hintz Manhattan-based Emblem- month or two.” Merrill Lynch. Yet Goldman exec- has slashed his first-quarter earnings Health is in the due diligence phase “There’s an opportunity for utives insist that they see no need to estimate for Goldman by 46%,warn- of the process. Meanwhile, a private source.An Aetna spokeswoman says [companies] with more scale there alter their i-bank model, which in ing of write-downs in real estate,mer- equity fund is also conducting due the company “does not comment on to get better health care costs,” said good times generated profits that chant banking and principal invest- diligence on the Connecticut-based market rumors or speculation.” Mr. Gellert, addressing an investor were the envy of, well, everyone. ments. He also plan in advance of possibly making Last year,Health Net announced conference last month. Health Net “Our business model … is large- figures return- a bid. it was scrutinizing its Northeast op- lacks that scale in the Northeast and ly to be an adviser, a financier, a co- on-equity erations because of a large member- Arizona, and so its administrative investor and a financial intermedi- will be a Critical mass ship decline in the region. In a No- expenses are running about 5% ary,” Chief Financial Officer David minuscule for emblemhealth, the chief at- vember investor call with analysts, higher there than they should be, he Viniar said during a conference call 4%. A few traction of such a deal would be the Health Net’s chief executive, Jay said. late last year.“That’s what our strat- more quar- possibility of achieving more critical Gellert, said that management was Health Net and EmblemHealth egy is, and we don’t see why that ters like that mass by combining the already sub- considering several strategic op- both declined to comment for this should change.” and Mr.Blank- stantial operations of its Connecti- tions, including growing the busi- article.
Uncle Sam has a different view. fein may be As analyst Brad Hintz of Sanford C. forced to find a Bernstein & Co. observed in a re- new business search report last week, “A more model.

conservative regulatory environ- bloomberg news Sooner or later, ment threatens many of the institu- CEO BLANKFEIN: A new bank model? everyone in your position JetBlue’s stock is experiencing liftoff thinks about it. transportation stocks soared last Lufthansa for $300 million. Thursday after G20 summit leaders “This is a company that is very announced a $1 trillion strategy for well-positioned to take advantage of financial recovery. Shares of JetBlue a strong balance sheet as well as a Airways Corp. rose 16% that day and strong brand,” JetBlue Chief Exec- ended the week at $84.41, up 57% utive Dave Barger boasted at a con- Why doesn’t my payroll provider from an all-time low of $2.81 in ear- ference last month. ly March. Prudently cutting flights has offer more to me and my employees? JetBlue appears poised to contin- helped keep each seat more prof- ue its ascent. Most analysts expect itable. (A JetBlue spokeswoman the company to actually fly out of said last week that its flights to Long Fidelity Investments does. Our web-based payroll service isn’t just better than the red this year, Beach, Calif., might be eliminated.) the rest, it’s truly unique. We’ve changed what a payroll service can mean to your with consensus The carrier has estimates of per- even trimmed business and your employees – that’s why small and medium-sized businesses share earnings of 57 the passenger like yours aren’t just thinking about it, they’re switching to Fidelity HR/Payroll. cents. Last year, the volume at its airline delivered a loss hometown air- Let us show you how we can help you be more productive at work, and give your of 7 cents a share. UP, UP AND AWAY? port, John F. Kennedy employees access to tools that can help them better manage their paycheck and One reason for the International, to 12 sunny outlook: Jet- million passengers in prepare for the future. Blue is seen as more January, down 9.9% flexible than most of from January 2008. Fidelity HR/Payroll. its peers because of a The company has a Simplify your workload. Empower your employees. nonunion workforce load that could get and U.S. fleet with an heavy, however: It was fidelitypayroll.com/nyc average aircraft age of stuck with $611 million or call 1-866-415-8221 just 3.6 years. That in short-term auction- means lower staff ex- rate securities at the be- penses and mainte- ginning of last year, just nance costs,as well as higher fuel ef- as the resale market for them col- ficiency when oil prices are lapsed. JetBlue has since reclassified stratospheric. JetBlue got some fi- the holdings as long-term invest- nancial tailwind last year when it ments and dropped their book value sold a 19% stake to Deutsche to less than $250 million.

4 | Crain’s New York Business | April 6, 2009 CN012851 4/1/09 12:27 PM Page 1

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NEW YORK,NEW YORK TISHMAN SPEYER edited by Valerie Block is PLEASED to ANNOUNCE THE RENEWAL and EXPANSION of PENGUIN GROUP Queens and Long Island Yanks tickets launched a “SoulWow” newspaper (USA) INC and radio ad campaign—a takeoff to highest bidder of the ShamWow commercials at that run on late-night cable TV— aseball season starts urging the flock to hit the booth 375 HUDSON today, and it will soon today from 3 p.m. to 9 p.m. be apparent whether The tag line: “The only way to represented by B cleanse yourself from the inside C.C. Sabathia Mark (left) and out!” Richard Berzine, Teixeira are worth their Managing Partner Michael Robert DeAngelis millions. Migliozzi of ad agency Forza It’s already clear that Migliozzi called creating the and Richard Fenn of campaign a unique experience. “As Richard Berzine & Company, Ltd. Yankees’ season-ticket opposed to having a chief holders are making a mint marketing officer approve it, you from selling their seats at the have the bishop approve it,” he for leasing information, please contact: new Yankee Stadium. says. “I can only imagine how Megan Sheehan Michelangelo felt.” Ross Sheingold, who holds Local media outlets were Calvin A. Farley two $20 seats in the upper happy to have the ads at a time deck, says he sold his tickets when revenues have gone straight to next week’s home opener 212.715.0300 for $476. After that windfall,

getty images he’s now thinking about selling more tickets, to Red Sox and other premium games, so he can cover the $1,700 he spent to buy his 41-game ticket plan with his dad. “Hopefully, it’ll help pay for playoff tickets,” says Mr. Sheingold, who runs the New Stadium Insider blog. The $1.5 billion Yankee Stadium brings a new ball game to hell. But Christian station Star for season-ticket holders who are quickly learning the skills 99.1 refused to take part. “We of Wall Street traders, pricing their assets to maximize cannot air spots that speak about a sacrament,” a WAWZ-FM returns. On StubHub, thousands of season-ticket holders account manager told Mr. are fielding offers for their seats as they try to recoup their Migliozzi in an e-mail. upfront expenses.This is fine with the Yankees.The team has a revenue-sharing agreement with the online Nightlife marketplace. Two things might chill the ticket mania. First, the scholars Yankees may be lousy. Second, a glut of tickets could if nightclub impresarios Noah new york international Tepperberg and Jason Strauss ever 2009 develop as season-ticket holders rush to cash in. tire of the lush life, a Harvard Naturally, Mr. Sheingold is pleased to sell his seats for so Business School associate auto show much money, but he acknowledges that it changes his professor has a proposition. relationship with the team. “There could be a career for jacob javits them to teach at Harvard,” says center april 10 -19 “It’s like you’re becoming an extension of their ticket Anita Elberse. office,” he says. “It’s weird.” Her class used the duo’s Mon-Sat: 11am - 10:30pm Sun: 10am - 7pm Marquee as a case study of a A cupcake which currently operates 18 stores, successful nightclub in an industry has never before received such a that sees more failures than stipulation request. But Mr. Bauer figures it’s survivors. By lasting five years, good marketing for the expanding Marquee has defied a typical cept Cars • crumbs bake shop got a sweet business, which will have 30 stores lounge’s 18-month lifespan.The reen Cars • Con onomical Cars • G deal for its newest location at 880 by year’s end. founders made the journey from • Ec Newest Cars & Trucks • Compare the Third Ave. Landlord Jack Resnick Though same-store sales have Manhattan to Cambridge to talk New Technologies & Sons actually agreed to slowed from pre-October growth to Ms. Elberse’s M.B.A. class last Go to autoshowNY.com concessions if the bakery promised rates of 30% to 40%, sales are still week. to deliver a dozen of its famous up by about 25%, Mr. Bauer says. “A lot of the students suggested – Check Out Our Calendar Of Events cupcakes to the company’s sales “The good thing about cupcakes is that we open more places,” says – You Can Join Members Express Club meeting every month. “I thought people eat them when they’re Mr.Tepperberg, who with Mr. – Save Time . . . Buy Tickets Online! they were kidding,” says Crumbs drowning their sorrow or Strauss is a partner in Tao and – Buy Auto Show/Ferry Combo Tickets Online co-owner Jason Bauer. “Then it celebrating,” he says. Lavo nightclubs in Las Vegas as showed up in the lease.” well as Marquee at 289 10th Ave., What’s more, they “take it very near West 26th Street. g forr everryone seriously,” he Church ads In June, the partners will be 2009 re’’ss ssometthiing fo There ow! says. “The have soul doing just that, opening an as-yet- att tthe Show! rent is due on unnamed lounge at 116 10th the fifth, and the catholic church took an Ave., in the space formerly For security purposes, NO backpacks allowed on Show floor. Random security and bag checks. Special rail admission packages at LIRR & Metro-North ticket windows. See autoshowNY.com for NY Waterway Combo tickets. FREE Shuttle Bus to Show from every month, unusual step this weekend to get occupied by Earth. Manhattan Parking Plaza on 42nd St. (between 9th & 10th Aves.) available all day weekends and from 6pm - 10:30pm Mon-Fri. they want its parishioners to confession An activity of the Greater New York Automobile Dealers Association recorded information: 800.282.3336 their cupcakes.” before Easter.The Roman Contributors: Aaron Elstein, Crumbs, Catholic Church of Brooklyn, Lisa Fickenscher, Matthew Flamm

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avoid overtime, leaving already- overworked reporters scrambling to Bad reception get crews and making investigative Lifeline for insurers pieces almost impossible. Continued from Page 1 evening newscasts,dumping popu- Resources are shrinking through- Continued from Page 1 in revenue. a smattering of news. lar syndicated show Judge Judy at 4 out the organization. In one fre- tions,” says Rob Haines, an analyst A Prudential spokesman says the As local television revenues p.m. in 2006. Ratings fell off a cliff. quently cited example, political re- at independent debt research firm firm “has the intent and ability” to plunge across the country, WNBC Unlike WNBC, first-place porter Melissa Russo went to Albany CreditSights. “I never imagined hold its securities “to recovery of val- says it is taking necessary steps to WABC has continued to invest in in January to cover Gov.David Pater- we’d come to this.” ue or maturity,” so it considers the avoid becoming a media dinosaur. pricey syndicated programming,like son’s appointment of Kirsten Gilli- MetLife Inc., the largest life in- investment losses to be temporary. “We started on this process over The Oprah Winfrey Show at 4 p.m., brand. She arrived with one camera- surer, faces up to $30 billion in in- A MetLife spokesman says, “We a year ago, recognizing the signs of and has kept its news team intact. person; WABC sent a team of seven. vestment losses—nearly double the remain comfortable with the overall change,” says Vickie Burns, vice Of course, no station is immune When news broke, Channel 7 went so-called adjusted capital that strength and diversification of our as- president of news and content.“This to the pressures on local television. live, but Channel 4 couldn’t. MetLife is required by regulators to sets and believe our portfolio is well- will put us in a stronger position go- GE doesn’t break out local station set aside to cover its obligations, ac- positioned to support MetLife’s ing forward.” performance but More with less cording to CreditSights. Prudential business now and in the long run.” Its position can’t blames it for the 6% jay dedapper, a political reporter Financial Inc. is looking at $11 bil- A spokesman for Hartford did get much worse. In slide in NBC’s who was let go in January,says man- lion in losses, and Hartford Finan- not comment. March, 4 New York fourth-quarter agement wants to do more with less. cial Services Group Inc. as much as News at 5 had earnings, to $865 “But you can make that ‘less’ so $15 billion. The three insurers’ Blame the auditors 32,000 viewers in million. Local sta- much less that there is no conceiv- cushions to absorb losses are tiny, many in the industry say audi- the advertiser- tions get up to 40% able way that you can produce all with equity at less than 5% of assets. tors are to blame for much of the dis- friendly category of of their revenues you need to,” he says. Some life insurers could be in tress. Ms. Lamel, who serves on the 25-to-54-year-olds, from newscasts. Ms. Burns responds that jeopardy if markets decline further, board of American Progressive Life according to Nielsen nbc photo: rogelio rodriguez The Walt Dis- WNBC is still competitive and warns longtime insurance analyst & Health Insurance Co., says ac- Media Research—a OUT: Len Berman will leave WNBC. ney Co.saw operat- points out recent stories the station Gloria Vogel,a managing director at countants are forcing companies plunge of two thirds ing income for its has broken, including the taxi sur- Vogel Capital Management. “The like hers to value even well-per- from the slot’s 2007 number. broadcasting segment slip 60%, to charge that was part of the MTA margin for error,” she says, “has be- forming bonds at unreasonably low Early in the month, the station $138 million, in the first fiscal quar- bailout. She also stresses the need to come terribly small.” prices because they contain some ended its failed experiment with the ter,which ended Dec.27.Operating reach different audiences but con- It’s a disquieting moment for an subprime mortgages. Her reaction 7 p.m. New York Nightly News on income at News Corp.’s television cedes that the news division remains industry that’s long marketed itself to the bean counters: “We say, WNBC and moved it to the digital segment fell 92%, to $18 million, in a work in progress. as a beacon of reliability through ‘Come on, guys! The issuer is still channel. Even the 11 o’clock news the second fiscal quarter, which It’s still early days for Nonstop, good times and bad. solvent, we’re getting the dividend, anchored by Chuck Scarborough ended Dec. 31. Fourth-quarter op- but Ms. Burns says that, according The roots of the insurers’ prob- and we don’t intend to sell.’ ” and Sue Simmons, once No. 1, now erating income for CBS Corp.’s tel- to Nielsen, 75,000 households lems can be found in the dot-com Life insurers got a major boost runs a distant second to WABC. evision segment fell 40%, to $272 tuned in the first week and watched bust, when the Federal Reserve last week when U.S. accounting million. for an average of 45 minutes. slashed interest rates to lift the econ- standard-setters granted financial Under pressure The challenge for WNBC lies in Though Mr. Berman’s dismissal omy out. Lower rates depressed institutions greater leeway in decid- some of wnbc’s troubles are of its not destroying its news division in might have upset fans, some ob- yields on most bonds, which life in- ing how to value their distressed in- own making.But it had help from the order to save it. servers say that the move is in line surers buy to meet payout obliga- vestments. last-place prime-time performance Channel 4 insiders describe a with how TV news is changing. tions to policyholders. To juice re- Still, many experts say further of NBC and the cost-cutting culture factory-like atmosphere in which Bill Carroll,director of program- turns, the insurers began losses are all but inevitable. of parent company General Electric. quantity is emphasized over quality. ming at consulting firm Katz Tele- feasting on more exotic The recession will chill sales Under pressure to save money, The ranks of camerapersons vision Group, says, “Older viewers bonds, such as mortgage- 20% of new policies and force in- the station went for cheaper pro- have been thinned through buyouts might complain,but younger people backed securities and collat- SHARE of all surers to liquidate invest-
corporate debt gramming leading into the early and their schedules rearranged to ask, ‘Who’s Len Berman?’ ” eralized debt obligations, bought by ments to pay claims, Ms. acquiring fully 20% of all insurers this Vogel says. CreditSights’ corporate debt ladled out by past decade Mr. Haines adds that exist- Wall Street bankers. ing customers may surren- Drugstores’ retail prescription Regulators, at first alarmed, sub- der their life insurance policies in sequently acquiesced because ratings exchange for cash so they can make agencies graded so much of the funky their mortgage or car payments. Continued from Page 3 debt AAA. “The insurance depart- To offset potential losses, insur- Times Square last fall and has 17 MORE ROOM ON THE SHELVES ment would look at this stuff and say, ers must raise cash. MetLife was more city locations on the drawing ‘What the hell is this?’ ” says Linda able to tap about $400 million in Drugstore chains splurge on New York City real estate. board. Lamel, a former deputy superinten- government-guaranteed debt last New York-based Duane Reade Total NYC Recent Planned dent at the New York state Depart- month, but few others have that op- carries a hefty debt load—nearly Stores openings openings ment of Insurance. “I don’t think the tion.Some are seeking bailout mon- $550 million, most of which comes insurers did anything crazy—they ey under the U.S. Treasury’s Trou- due over the next two to three * * tend not to be crazy people—but cir- bled Asset Relief Program—in fact, years—but its net sales rose 5% last 225 15 10 to12 cumstances were such that they had several insurers have bought banks year from 2007, to $1.8 billion. De- to search for alternatives.” in recent months to qualify. Mr. termined to stay on a growth track, 109 3 4 Haines estimates that MetLife the company is like a kid in the can- Gorging on debt could receive as much as $9 billion, dy aisle when it comes to grabbing after gorging on dodgy debt, in- Prudential $5 billion and Hartford retail space. 53 17 17 surers are now feeling the pain. more than $3 billion.Prudential de- *Includes nearby counties. Sources: Companies and real estate firms. CreditSights estimates that clined to comment on how much Destination location MetLife, Prudential, Hartford and TARP money it seeks. “our goal ultimately is to trans- other large public life insurers col- The industry’s outlook is so un- form Duane Reade to be more of a sandwiches in select stores. The in- value-priced clothing retailer Joyce lectively face $80 billion of gross un- certain, healthier players may balk at destination store,” Chief Financial tention is to eventually roll out the Leslie. realized losses—enough to wipe out buying the weaker ones. That could Officer John Henry said in a recent products, which are supplied by Mom-and-pop drugstores and the insurers’ equity and demolish unleash the biggest wave of insolven- conference call. Queens-based Bimmy’s,at more lo- bodegas get squeezed when chains 38% of the industry’s total capital. cies since the early 1990s.Mr.Haines Duane Reade opened more than cations. come into the neighborhood, but Last year, a dismal one by any meas- says smaller players are most at risk a dozen locations in 2008,including “People come in all the time, so the giants are a dream-come-true ure, saw the life insurance industry’s because large life insurers are such vi- one in a former Chase branch on the why not offer them fresh, quality for landlords. Recognizable tenants statutory capital decline by $32 bil- tal customers for banks that the gov- Upper East Side; it plans to cut the food” for lunch and dinner, asks like CVS—which had a nearly 4% lion, according to Moody’s. ernment won’t allow them to fail. ribbon on at least another 10 this Bimmy’s owner Elliot Fread. jump in same-store sales and a 17% MetLife faces the most severe When a life insurer is deemed in- year. surge in earnings in the fourth quar- losses, at $30 billion, but it’s still po- solvent,the state takes over and typ- Additionally, the retailer, which Multiplying ter—are preferable to lesser-known sitioned better than peers like Pru- ically protects customers by trans- Oak Hill Capital Partners bought cvs, based in Woonsocket, R.I., is outfits. And drugstore often lease dential or Hartford. For starters, it’s ferring its policies to a healthier five years ago for $653 million, has also multiplying in New York. The large spaces and are willing to accept still profitable, generating more company while selling the failed in- made itself more appealing to land- national chain has four store open- odd configurations, such as a small- than $3 billion in net income last surer’s assets. Locally, such business lords by toning down signage. It re- ings planned for the next few er ground-floor that comes with a year. Prudential, however, posted a is handled by the New York Liqui- cently opened tastefully advertised months. The new locations include large basement or second level. $1 billion loss last year—and more dation Bureau. Its staff of 300 is outposts at East 72nd Street and Lexington Avenue and East 84th “They end up solving the prob- trouble looms, thanks to what Stan- bracing for more work. First Avenue and at Broadway and Street, at the former home of local lem for the landlord at a time when dard & Poor’s drily calls a “higher As the state bureau’s chief, Mark Broome Street. furniture seller Straight from the it’s difficult to find tenants,”says Pe- than average” amount of junk assets Peters, said in an interview last Last month,Duane Reade began Crate, and 20 University Place, ter Braus,executive vice president of on its books. Hartford posted a $2.7 month, “We’re ready for whatever testing a line of gourmet salads and which once housed a Starbucks and Sierra Realty.
billion loss last year amid a 65% drop happens.”

8 | Crain’s New York Business | April 6, 2009 CNYB 04-06-09 A 9 4/3/2009 3:10 PM Page 1

ity, brought together 23 funding Mr. Rose has initiated a new line sources to finance it. of business: developing buildings for Do-good developer does great “It was incredibly hard and in- a fee, as he did with Dinkins Gar- credibly complicated,” says Mr. dens. He says diversifying his busi- Continued from Page 1 flashy returns.Today,Jonathan Rose ity to pull together multiple strands Rose.“But now I know how to do it.” ness strategy creates more stability Mr. Rose is a real estate devel- Cos.aims for returns of 12% to 15%. of funding, combining government The Denver project was a proto- and profit opportunities,giving oth- oper with an unusual mission: to “We go for low risk and high re- and bank loans and grants available type in other ways. Its proximity to ers more reason to follow suit. prove that it’s possible to turn a prof- liability,” says Mr. Rose. “We don’t for affordable housing,urban renew- public transportation eliminated “If the economics [of my model] it while revitalizing urban areas want those peaks and troughs.” al and green projects. His projects long, ecologically unfriendly com- are successful, people will replicate through building affordable, eco- In fact, Mr. Rose still owns the average between six and 12 funders. mutes to work. And even though it,” says Mr. Rose. logically sustainable housing near first project he ever built: a complex green building was in its infancy Current projects include a Har- transportation hubs. in Santa Fe, N.M., designed to pro- Consortium-builder back in 1992, numerous green ele- lem property that will offer market- Never has his model looked better. vide inexpensive places for artists to he learned how to create such ments were employed in the rede- rate and affordable housing, and an While the recession is pulveriz- work and live. He financed the $2 consortiums on his second project: velopment. affordable, green residential com- ing many developers, Mr. Rose’s million, 50,000-square-foot steel converting a 100-year-old former More recent projects incorporate plex in the Bronx. eponymous business is thriving.The property with a straightforward department store in downtown new developments in sustainability. “Jonathan challenges everyone value of the company’s projects, bank loan. Denver into a mixed-use property Green features at the Dinkins Gar- around him to think more broadly, which are spread from Harlem to That was probably the company’s with condos, affordable housing dens’ roof include a planted roof, more creatively,” says New York Seattle, rose 25% over the past year, last simple financing. One of the and retail. He and his partner, the sunshades and a rainwater-harvest- City Housing Commissioner Rafael hitting $1.5 billion. Mr. Rose is keys to Mr. Rose’s success is his abil- Denver Urban Renewal Author- ing system. Cestero.
working on 19 projects in New York City,and he’s busy raising a $50 mil- lion fund to buy residential build- ings and improve them by employ- ing green management practices. “My model is to make the world a better place,”says Mr.Rose,a soft- spoken, bearded jazz buff who will happily launch into 15-minute dis- courses on the wonders and chal- lenges of converting old windows into energy-savers. Family legacy mr. rose says he inherited much of his strategy and his charitable streak from his father, Fred, a hugely suc- cessful developer who died in 1999. The Rose family, whose credits in- clude constructing the 41-story 280 Park Ave., has made a fortune in real estate and donated generously to various charities. Mr. Rose’s ap- proach is to incorporate social bene- fits into each project, many of which include elements such as libraries, classrooms, and housing for the sick or homeless. He also shuns the tactics of many of his peers, who bought and sold “Own”a building properties quickly, flipping them like flapjacks to gain outrageous re- turns—and who are now left hold- ing wildly inflated properties, with without having to no way to sell or refinance them. Instead, when Mr. Rose, now 56, headed out West two decades ago to make his mark, he followed his fa- buy it. ther’s advice to hold properties for the long term and seek steady, not 160,000sq.ft. EXPLORING CAREERS (7 contiguous floors) GROUP SEEKS HOST BUSINESSES THE GREATER NEW YORK Council’s Exploring program seeks businesses to host sessions offering high school students the chance to explore Brand your company with a prestigious Plaza District presence. various industries and make better decisions about career :: New lobby and entrance :: In-building screening room choices. Exploring puts together :: New restrooms :: On-site parking groups of 15 to 25 students. :: New corridors :: Financially stable ownership They meet at the host busi- nesses after school for four or :: New in-building restaurant more sessions, learning about educational requirements, salaries and what people in their selected fields actually do. For more information, call Exploring Director Nicholas Bogeatjes at (212) 651-2808, Gary Rosen, 212-216-1687 Howard Tenenbaum, 212-216-1685 Demanding Quality. Delivering Value. [email protected] [email protected] SLGREEN.COM or visit www.nyexploring.org.

April 6, 2009 | Crain’s New York Business | 9 CNYB 04-06-09 A 10 4/2/2009 8:53 PM Page 1

VIEWPOINT Who will fight for NY’s future? editor in chief Rance Crain publisher, vp Jill R. Kaplan ew yorkers angered by politicians that voters prefer government editorial director Greg David the reckless budget spending to tax cuts. EDITORIAL editor Xana Antunes adopted in Albany last Reversing that mind-set will require a managing editor Glenn Coleman week—a group that candidate for governor who can mobilize deputy managing editors Valerie Block, Erik Ipsen surely includes every public sentiment for smaller government and contributing editor thinking business- lower taxes. Anyone launching such a Elizabeth MacBride columnist Alair Townsend person in the state— campaign will need business support and senior reporters Theresa Agovino, must decide what can be done to change money to challenge the status quo. Aaron Elstein, Erik Engquist, Lisa Fickenscher, direction. The answer is to find the right The short list of those available for this Matthew Flamm, Miriam Kreinin Souccar N ANDREW CUOMO reporters Barbara Benson, Amanda Fung, champion for governor, and understand the role begins with Attorney General Andrew Daniel Massey, Adrianne Pasquarelli, true lessons of Eliot Spitzer’s unhappy Cuomo and includes Nassau County Hilary Potkewitz restaurant critic Bob Lape attempt at reform. Executive Thomas Suozzi and former New art director Steven Krupinski The disaster that is the state budget can be York City Mayor Rudy Giuliani. State deputy art directors Carolyn McClain, Daniel Mednick summarized easily.The state increased Comptroller Thomas DiNapoli’s strong staff photographer Buck Ennis spending by $10 billion, at a time when rev- criticisms of the budget last week suggest copy desk chief Wendy Zuckerman copy editor Thaddeus Rutkowski enues are falling, by using $7 billion in federal he, too, might be a possibility. Business research editor Denise Southwood stimulus money and impos- leaders must begin now to www.crainsnewyork.com ing more than $7 billion in recruit them to run on a web editor Brian Tracey The budget is senior producer Elisabeth Butler Cordova tax increases. It will tax the platform of cutting the THOMAS SUOZZI producer Kira Bindrim rich (via income tax hikes), a millstone state budget and taxes. EDITORIAL AND ADVERTISING OFFICES the middle class (by ending Also required will be an 711 Third Ave., New York, NY 10017-5806 pulling down the editorial: 212.210.0277 Fax 212.210.0799 property tax rebates) and honest campaign that advertising: 212.210.0259 even the poor (with a utility clearly outlines to voters Cable craincom nyk state’s economy Fax 212.210.0499 tax increase that will be the difficult decisions that Entire contents ©copyright 2009 Crain Communications Inc. All rights reserved. passed on to all customers). must be made about their ®CityBusiness is a registered trademark of MCP It is a millstone dragging money.That is the only way Inc., used under license agreement. down the state’s economy. to avoid the fate of Mr. TO SUBSCRIBE: Make no mistake. Gov. David Paterson, Spitzer, who had failed before the Call 888.909.9111; fax 313.446.6777. RUDY GIULIANI $3.00 a copy, $59.79 one year, $109.79 two years. Assembly Speaker Sheldon Silver and Senate prostitution scandal ended his term. He www.crainsnewyork.com Majority Leader Malcolm Smith did not wasn’t able to reform Albany because he ADVERTISING AND MARKETING craft this budget because they thought it hadn’t campaigned on a specific set of senior account managers Cornelius P. Gore, William E. Squitieri would hurt them politically.Their calculation actions—he won with a huge majority, but no commercial real estate sales manager is the opposite: that reductions in state mandate. His personality contributed to his Cory Marks account executives spending, especially on health care and problem but was not the primary cause of his Irene Irvill, Courtney McCombs, Anthony Mowad education, would have damaged them.The ineffectiveness. sales manager, classified print & online John Gallagher fact that 95% of school budgets around the Disgusted by Albany, many business- sales coordinator, print & online state pass on the first try—despite supposed people will be tempted to toss up their Lulé Haznedari sales coordinator Anita Perrino anger over rising property taxes—tells hands. Exactly the opposite is needed. THOMAS DiNAPOLI credit Todd J. Masura 313.446.6097 bloomberg news. getty images marketing director Amy Crossman marketing manager Jill H. Bottomley circulation manager Andrea Richardson assistant circulation manager POLL COMMENTS Rosalie Ford general manager, interactive Marc Minardo web developer, interactive Chris O’Donnell Businesses don’t need added burden NEW YORK PRODUCTION production and pre-press director Michael Corsi WILLIE SUTTON robbed banks railroad—nor does anyone else people of Long Island can accept? already getting a spectacular deal. advertising production manager because “that’s where the money who works here—and we are taxed —helene stone —john smith Suzanne Fleischman Wies was.” Why tax stressed businesses to the max already.The franchise PUBLISHED BY CRAIN COMMUNICATIONS INC. that could go under from one more tax was raised while we were LET THE COST of the infrastructure BEFORE ANY DECISION about how to chairman Keith E. Crain camel-back-breaking straw? Tax sleeping, and every time there is a fall on those who use the bail out the MTA,an impartial president Rance Crain those who can pay: the rich. need to help someone who has not infrastructure. In that way, the cost consultant should be brought in to secretary Merrilee Crain —david arnow done the right thing, they just go of a subway ride reflects the cost of determine if the MTA is budget- treasurer Mary Kay Crain executive vp, operations William Morrow straight for businesses. providing the service.The same ing correctly and spending its senior vp, group publisher Gloria Scoby I AM A SMALL BUSINESS OWNER on How much more do you think should be true for Metro-North, money based on current priorities. group vp, technology, circulation, Long Island who does not use the small businesses and also the LIRR, PATH, etc. MTA riders are —dadie perlov manufacturing Robert C. Adams vice president/production & manufacturing David Kamis chief information officer Paul Dalpiaz WHAT’S COMING UP IN CRAIN’S? corporate circulation director Patrick Sheposh

Small Largest What Report Real Small founder G.D. Crain Jr. (1885-1973) business banks New Yorkers on estate business chairman Mrs. G.D. Crain Jr. (1911-1996) report and thrifts earn education report report April 13 April 13 April 20 April 27 May 4 May 11

10 | Crain’s New York Business | April 6, 2009 CNYB 04-06-09 A 11 4/2/2009 8:54 PM Page 1

sections, few checked out the more expensive lower bowl. Meanwhile, the Yankees hired Manhattan residential real estate brokerage Prudential Douglas Elli- man to help sell premium seats and luxury boxes at their new stadium. But the team didn’t trim the top seat price, which is more than $2,500 a game. Both teams are stuck with finan- cial plans conceived in better times, when they were convinced that they would be selling coveted tickets. The once high-flying Manhat- tan real estate market has finally hit the wall, too. First-quarter data from the appraisal firm Miller Samuel show that the median price of existing apartments fell 20%. Further declines are inevitable. Miller’s figures indicate that the median apartment price is still dou- ble what it was a decade ago. The New York Public Library is john h.john howard forging ahead with a $1 billion plan to consolidate its circulating and re- search arms in the famous Fifth Av- enue building through a mostly un- derground expansion. A different kind The institution’s fundraising de- pends on Wall Street. Stephen Schwarzman of the Blackstone of measurement Group pledged $100 million for the project. Five of the six members of the steering committee for the an- he dry statistics issued by government aren’t the nual Library Lions benefit dinner last fall were names inextricably only economic indicators.In New York,things like linked to the industry:Marron,Pin- private school applications and the public library cus, Fuld, Rohatyn and, of course, expansion are worth watching because of what they Schwarzman. tell us about future trends and about New Yorkers’ The NYPL’s ambitious strategy will be impossible to carry out with- Tcurrent state of mind. out the expansion. Crain’s reported recently that despite mounting layoffs on These indicators might seem un- connected, but they show that tran- Wall Street, the process School Advisors. sitions are hard and can’t be made of getting a child into Administrators say overnight. All New Yorkers hope We are pleased to have represented kindergarten at Man- the number of Manhat- that some development will revive hattan private schools tan residents willing Wall Street or that some new indus- has never been more and able to pay $34,000 try will become an engine for competitive. Applica- a year for private school growth. tions for the 2009-10 far outstrips the supply. If neither happens soon, howev- academic year were up The New York Times er, reality will set in. Some parents at least 10%, a record at has reported that the will opt for public schools. The most schools, and offi- Mets intensified their Mets and the Yankees could have to cials say they had to turn efforts to sign up sea- cut ticket prices and their sky-high away about 20 kids for GREG son-ticket holders in payrolls for players. Apartment in its $225 million sale-leaseback each available spot. At DAVID the weeks leading up to owners will probably determine least 350 kids were “shut the opening of Citi that they are much less wealthy than out”––rejected from Field.The organization they thought they were. And the of 750,000 SF in every place to which they ap- offered prospective patrons tours, New York Public Library might be The New York Times Building at plied––double the number in 2008, and though many visited the upper forced to decide to live with the fa- according to Manhattan Private deck and middle decks and outfield cilities it has. 620 Eighth Avenue CRAIN’S ONLINE POLL New York, NY Should Albany impose a payroll tax to bail out the MTA? to W. P. Carey & Co. LLC 300 VOTES Date of poll: April 1 Yes. It’s a No. New more York equitable businesses Cushman & Wakefield Investment Banking Group 29% 71% . solution— . are already professionals Michael Rotchford, Louis Wolfowitz without it, overtaxed. transit users and Kelli Lee, as well as Andrew Sachs of Brokerage will bear too Services, represented The New York Times Company. much of the burden.

For readers’ comments, see Page 10.

April 6, 2009 | Crain’s New York Business | 11 CNYB 04-06-09 A 12 4/3/2009 1:23 PM Page 1

close the health care spigot. Third, federal stimulus money arrived to DEMOCRATIC AGENDA help hospitals transition to a new re- Smooth sailing? THE INSIDER imbursement system. WITH THE STATE BUDGET DONE—at least until tumbling revenues compel Mr. Paterson crowed last week lawmakers to revise it—the new Democratic majority in the Legislature will that he “beat the lobbying effort.” turn its attention to a slew of bills that had been blocked by Senate by Erik Engquist Lawmakers were convinced that his Republican leaders, now out of power. proposals were reforms, not simply  cuts, and that the fiscal crisis The Healthy Teens Act will provided reason and opportunity to be championed again by change the system. “It doesn’t Suzi Oppenheimer, A win—yes, a win— happen every day,” the governor D-Westchester. It would said, “but it happened this week.” establish state grants that for governor Few noticed, though, because an school districts could use to mpowered by a income tax hike and much- teach a less conservative criticized spending increases sex-education curriculum. landslide election win dominated news coverage. Supporters say many and off-the-charts districts are not giving teens Eapproval ratings, Eliot Spitzer Without Ravitch, the contraception istockphoto stormed into Albany two years information they need to avoid pregnancy and sexually transmitted diseases. ago demanding health care MTA plan crashes  Paid family leave came close to passing when the Legislature was divided between the parties, but with Democrats in charge, 2009 could be its year. reforms that would purportedly where is former Metropolitan Employees, not businesses, would contribute to a fund, from which workers save hundreds of millions of Transportation Authority chief on family leave would be paid. But opponents say the law would hamstring Richard Ravitch (below) when businesses and force them to pay overtime to remaining employees. dollars and keep people straphangers need him? On vacation healthier to boot. in North Africa—unfortunately for One or two Democratic senators won’t be able to stop the bill, as they did the MTA,which has watched the with proposed East River bridge tolls, because family leave has some support He got nowhere. Hospitals among Senate Republicans. Thomas Morahan, R-New City, sponsored the and health care unions state Senate flail about in a pitiful bill in 2008 and was joined by three other Republicans and all 30 steamrolled Mr. Spitzer’s plan bloomberg news attempt to close Democrats. It only stalled out when then-Majority Leader Joseph Bruno with an advocacy campaign that destroyed the new governor’s the agency’s refused to bring it to the floor for a vote. popular support and won over lawmakers. In 2007 and 2008, budget deficit.  Another push will be made for a circuit-breaker bill to limit property taxes to the Legislature blithely perpetuated the funding streams that Mr. Ravitch had a certain percentage of a homeowner’s income. Because the bill would been the top reduce tax revenue for school districts, lawmakers will couple it with had long bloated state budgets. salesman for a unfunded-mandate relief for districts. So why was Gov. David Paterson (above)—lacking an rescue package  bloomberg news Democrats will also push again for a “fair pay” bill to give teeth to a 1963 proposed by a election mandate and saddled with record-low popularity— law protecting the rights of female and minority employees. Craig Johnson, commission he chaired last year. He able to get lawmakers last week to approve essentially the same got the plan relatively close to the D-Nassau, is the Senate sponsor. overhaul that they previously rejected? finish line in Albany, but it was First, the Senate is now controlled by Democrats, who have pecked to death by a handful of little sympathy for a health care cabal that for years helped Senate Democrats after he headed attempt to soften his image, but his overseas. Gov. David Paterson plans NY tax rates initial posts this year are caustic. Republicans keep control of the chamber. Second, rapidly to call lawmakers back to the table now top Jersey’s One post asks why Mayor Michael evaporating state revenues left lawmakers little choice but to to hammer out an agreement. Bloomberg doesn’t tell his MTA the new state income tax law, appointees to vote against fare like the current one, has “recapture” hikes. Mr. Green omits the fact that provisions that phase in higher tax the agency has no other means to rates on all New York income as unilaterally raise enough revenue to earnings climb (unlike federal balance its budget. Mr. Green income tax, which hits each income supports a payroll tax and bridge bracket with a different rate). For tolls to fund the MTA. adjusted gross incomes starting at $300,000, the new rate gradually Meet Comptroller Thomas DiNapoli rises from 6.85%, reaching 7.85% Nickel deposits when AGI is $350,000. It starts will cost city increasing again when AGI Come hear Comptroller DiNapoli discuss his proposal to diversify the hits $500,000, maxing out municipal recycling investments of the state pension plan to improve performance. He will be at 8.97% when AGI tops programs will be hurt by the questioned by Crain’s editorial director, Greg David, on the state budget, $550,000. New Jersey’s expansion of nickel deposits to top rate is also 8.97%, but plastic water bottles, which can the state's overall fiscal problems and his own future political plans. New York’s rate is fetch $600 a ton in the effectively higher because it marketplace, says Ken Pokalsky, reaches back to the first senior director of DATE: Tuesday, April 14, 2009 SPONSORED BY: dollar earned. government affairs for the Business Council TIME: 8:00-8:30 am Networking Breakfast Green of New York State. 8:30-9:15 am Program Other curbside blog recyclables might VENUE: Grand Hyatt Hotel sell for only $30 a jabs at ton. New York 42nd St. and Grand Central Terminal mayor City’s recycler, Hugo Neu, has a public clause in its TICKETS: $70 for individual tickets if pre-registered by April 7; $75 thereafter. advocate contract candidate Mark protecting the $650 for table(s) of ten if pre-registered by April 7; $750 thereafter. Green (right) is company from blogging again, images getty this very as he did during scenario, so the his 2006 bid for city will have to To register go to crainsnewyork.com/events, or fax your business card state attorney pay it about $20 and credit card information to “DiNapoli Forum” at 212-210-0499. general. Mr. million more per Green’s blog was year to accept seen then as an recyclables.
You must be pre-registered to attend this event. All tickets are non-refundable. For more information, please call the events hotline at 212-210-0739. For daily political and government news, subscribe to CRAIN’S INSIDER @ www.crainsnewyork.com/insider

12 | Crain’s New York Business | April 6, 2009 CNYB 04-06-09 A 13 4/2/2009 4:20 PM Page 1

REAL ESTATE INSIDE Top architecture firms in the New York area PAGE 16 “The retail environment is on pause, like the rest of the city.” —Joe Chan, president, Downtown Brooklyn Partnership, Page 17

Shift gives tenants’ brokers new edge

With landlords eager to deal, door is wide-open for hard bargains

BY DIANE C. HESS

when tenants’ broker Ma- risa Manley contacted a cli- ent’s landlord early last year to renew its lease, she got a fairly typical response. She was told that her client, a small de- sign services firm in midtown, would need to negotiate with the landlord directly. After several such rebuffs, Ms. Manley got a big surprise late last year. The building’s owner called her and said that he would be delighted to get an offer from her. It’s different this time “things have gotten much more fragile for building own- ers,”says Ms.Manley,president

of Commercial Tenants Real annie bissett Estate Representation Ltd. “Now we’re hearing landlords who have been through other cycles say that this one is differ- ent,and that they’re taking a se- rious look at what it takes to get Four neighborhoods tenants.” That new attitude is part of a broader seismic shift that has put tenants—and tenants’ bro- kers—back in the driver’s seat. See BROKERS on Page 14 roll with punches SLOWDOWN Manhattan leasing activity, in Recession hits some locations harder than others square feet. land’s largest developer, isn’t dream- thought as recently as a year ago might Street firms,downtown Brooklyn made BY AMANDA FUNG ing—he’s scrambling to refinance bypass us—hits with increasing major strides in recent years at- 5,426,410 construction loans for two develop- fury.Yet the impact of the downturn tracting private businesses and diver- 1Q 2007 or years, developer ments in the area that his bank re- is highly uneven.In this report,Crain’s sifying its mix of commercial tenants. Leib Puretz dreamed cently put into foreclosure. In addi- takes a look at how four very differ- Last year, companies including about transforming St. tion, the Brooklyn-based developer ent sections of the city are faring and WPP’s ad agency UniWorld Group 5,044,276 George, Staten Island’s has put the brakes on two nearby 19- rates the recession’s impact on each. and News Corp.’s Community 1Q 2008 commercial and govern- story condominiums. Newspaper Group signed leases at Fmental hub, into a place where Wall “This neighborhood is not yet in Big projects MetroTech Center, according to Street professionals could settle gentrification,” says Joseph Margo- Keith Caggiano, a broker at CB 3,076,185 down in luxury condominiums. He lis, project manager for Mr. Puretz. stalled out Richard Ellis Inc.At the time,land- 1Q 2009 planned to lure them with striking “It would have been, if not for the lords were dangling asking rents in views of the harbor and prices only economy.” AFTER NEARLY 20 YEARS of growth the high-$30s per square foot, but Source: CB RIchard Ellis Inc. half those of Manhattan. And so it goes all across the city fueled by government agencies and this year rents have fallen to the Today Mr. Puretz, Staten Is- as the recession—which many people back-office operations for big Wall See FOUR on Page 17

April 6, 2009 | Crain’s New York Business | 13 CNYB 04-06-09 A 14 4/2/2009 4:23 PM Page 1

REPORT Brokers gain an edge

Continued from Page 13 a result, they advise clients to walk, With vacancy rates rising dramati- not run, to the contract signing as cally, brokers representing tenants rents continue to ebb. find themselves being courted as Marcus Rayner, managing prin- they haven’t been in years.The shift cipal at tenant advisory firm Cresa- is being felt especially keenly at Partners, counseled a midtown- firms that specialize in representing based venture capital firm to do just tenants—and as a result are seen by that last summer, betting that rents many as driving a harder bargain would fall. With prices now down than outfits that also represent 50%, Mr. Rayner’s client is ready to landlords. talk about renewing before its lease In fact, single-focus firms report expires in May. that their business surged last year by anywhere from 30% to 50%,even A successful challenge as overall deal volume shriveled. In working with a media company, the final quarter of 2008, for exam- Mr. Rayner was also able to do ple, overall leasing something that was activity hit its low- unthinkable as re- est level in more The bottom cently as last than seven years, year. He success- plunging more line is that fully challenged a than 50% from midtown land- year-earlier levels, landlords are lord’s figure for an according to Cush- office’s rentable man & Wakefield eager to sign square footage, a Inc. figure many land- Suddenly, users on tenants owners have quiet- of space can afford ly inflated for years. to be a lot pickier “This kind of about their offices, flexibility with re- in terms of every- gard to termina- thing from loca- tion,sublease rights tion and amenities to cost.That new and even square footage is in some power also means they have more of instances more important than a re- an incentive to turn to tenants’ bro- duction in rent,” Mr. Rayner says. kers to get better deals. Other goodies now on the table—and there is no reason for True motivation tenants to take just one or even “we don’t have an obligation to two—range from a year’s free rent satisfy landlord clients, so we can and reduced markups on power to therefore truly advocate on behalf bigger allowances to build out of the tenant,” says Erik Schmall, space. a senior managing director at the The bottom line is that landlords city’s largest exclusive tenant ad- are eager to sign on tenants, and if visory firm, Studley. “Basically, that means talking to tenants’ bro- everything in leases is negotiable kers, then so be it. now.” “They are much quicker to re- At this point, most brokers be- turn my calls,” says Ms. Manley. lieve that the tenant-driven market “They know that tenants have a lot looks like it will last a good while.As of options.”
FULL-SERVICE BROKERAGES SAY THEY CARE ABOUT TENANTS, TOO FULL-SERVICE FIRMS, which represent both landlords and tenants, scoff at the notion that they are any less interested in pressing their tenant clients’ cases than firms that represent only occupiers of space. “You have two things in this business, your reputation and your time,” says Gus Field, an executive vice president who has spent two decades representing tenants at Cushman & Wakefield. “When I represent a tenant, I have 100% fiduciary responsibility 70% to that client and that client alone, and whether or not OF THE the lease is being offered by Cushman & Wakefield, CB CLIENTS for Richard Ellis or Jones Lang LaSalle makes no difference Bruce Surry at at all.” CB Richard Ellis In addition, brokers who work for big, full-service firms are tenants insist that their huge scale gives them advantages that most tenant-only brokerages lack. Those include facilities management teams, valuation advisers and capital markets groups. For the big firms, tenant clients also add up to a growing business. Bruce Scurry, an executive vice president at CB Richard Ellis, notes that in 2008 his clients were evenly split between tenants and landlords. This year, he expects tenants to account for 70% of the mix. “Tenants have lived for a long time in a landlords’ market, and they sense the change,” says Mr. Scurry. Meanwhile, Mr. Field expects to see another factor boosting his deal volumes this year. He forecasts that more tenants will be seeking to unload 1909-2009 A century of adding value. their excess space.

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REPORT REAL ESTATE New York Area’s Largest Architecture Firms

Ranked by number of area architects 2008 '08 NY area NY area Worldwide worldwide projects architects architects construction Number of NY area total square Head of firm 2008/ 2008/ volume projects service mix footage Rank Firm Phone/Web site 2007 1 2007 1 (in millions) 2 in 2008 3 (% of billings) (in millions) 4 Selected NY area projects/clients

Perkins Eastman BradfordPerkins 161 250 $4,500.0 NY area: 200 Architecture: 80% 5.8 TKTS booth, Sky View Parc 115 Fifth Ave. Chairman, chief executive 182 290 US: 550 Interiors: 12% New York, NY 10003 (212) 353-7200/www.perkinseastman.com International: 85 Planning: 6% 1 Restoration: 2% Gensler Architecture, Design & Planning Joseph Brancato, Robin Klehr Avia 158 542 $16,600.0 NY area: 1,037 Architecture: 40% 20.9 St. John's University, Ogilvy 1230 Sixth Ave. Managing principals 139 561 US: 6,490 Interiors: 52% 2 New York, NY 10020 (212) 492-1400/www.gensler.com International: 540 Planning: 8% Kohn Pedersen Fox Associates Paul Katz 146 201 n/d NY area: n/d Architecture: 80% n/d Related Companies, Port 111 W. 57th St. President 139 198 US: n/d Interiors: 5% Authority New York, NY 10019 (212) 977-6500/www.kpf.com International: n/d Planning: 10% 3 Restoration: 5% HOK Kenneth Drucker,Juliette Lam, Chuck Siconolfi 130 1,032 $13,000.0 NY area: 92 Architecture: 70% n/a Canon USA headquarters, 620 Sixth Ave. Senior principals 142 1,041 US: 1,425 Interiors: 20% SUNY Downstate Medical 4 New York, NY 10011 (212) 741-1200/www.hok.com International: 1,921 Planning: 10% Center Skidmore Owings & Merrill T.J. Gottesdiener 90 201 n/a NY area: 181 Architecture: 81% n/a Multipurpose building at New 14 Wall St. Managing partner 92 186 US: 562 Engineering: 5% School University, Katz New York, NY 10005 (212) 298-9300/www.som.com International: 308 Interiors: 10% Women's Hospital at LIJ 5 Planning: 4% Medical Center RMJM Sir Fraser Morrison 87 840 n/a NY area: 65 Architecture: 70% n/a East River Science Park, 275 Seventh Ave. Chief executive 88 709 US: 300 Interiors: 15% Gouverneur Healthcare Services New York, NY 10001 (212) 629-4100/www.rmjm.com International: 593 Planning: 9% 6 Restoration: 6% Polshek Partnership Architects Timothy P.Hartung,Joseph L. Fleischer 77 77 $500.0 NY area: 45 Architecture: 83% 0.2 Weill Cornell Medical College's 320 W. 13th St. Managing partners 67 67 US: 75 Interiors: 5% Biomedical Research Building, New York, NY 10014 (212) 807-7171/www.polshek.com International: 0 Planning: 7% Staten Island Courthouse 7 Restoration: 5% Perkins+Will Paul Eagle 71 650 $5,097.4 NY area: 24 Architecture: 80% 0.1 New York University's Leonard 215 Park Ave. South Principal, managing director 52 517 US: 1,220 Interiors: 18% N. Stern School of Business, New York, NY 10003 (212) 251-7000/www.perkinswill.com International: 45 Planning: 2% United Nations Capital Master 8 Plan HLW Theodore Hammer, Susan Boyle,JohnGering 65 115 $700.0 NY area: 135 Architecture: 46% 3.0 Google, Nassau County 115 Fifth Ave. Managing partners 65 117 US: 185 Engineering: 8% Courthouse New York, NY 10003 (212) 353-4600/www.hlw.com International: 50 Interiors: 41% 9 Planning: 5% Ismael Leyva Architects Ismael Leyva 60 60 n/d NY area: 11 Architecture: 64% 1.4 785 Eighth Ave., Yves at 166 48 W. 37th St. President 99 99 US: 20 Interiors: 18% W. 18th St. New York, NY 10018 (212) 290-1444/www.ilarch.com International: 5 Planning: 12% 10 Restoration: 6% Spector Group Scott E. Spector, Marc B. Spector, 58 63 $595.0 NY area: 109 Architecture: 42% 3.6 Nasdaq Stock Market, New 19 W. 44th St. Michael H. Spector 57 62 US: 123 Interiors: 42% Jersey School Construction New York, NY 10036 Principals International: 5 Planning: 14% Authority 11 (212) 599-0055/www.spectorgroup.com Restoration: 2% NBBJ Timothy Johnson 56 455 $9,400.0 NY area: n/d Architecture: 84% n/dn/d 2 Rector St. Partner 54 490 US: n/d Interiors: 10% 12 New York, NY 10006 (212) 924-9000/www.nbbj.com International: n/d Planning: 6% Cetra/Ruddy Inc. Nancy J.Ruddy 56 58 $752.0 NY area: 3 Architecture: 50% 2.8 1 Madison Park, Audubon 584 Broadway President 73 73 US: 51 Interiors: 20% Sanctuary New York, NY 10012 (212) 941-9801/www.cetraruddy.com International: 3 Planning: 5% 13 Restoration: 25% Fxfowle Architects Guy Geier 56 58 $650.0 NY area: 60 Architecture: 65% 4.0 11 Times Square, Lincoln 22 W. 19 St. Managing partner 74 79 US: 70 Interiors: 15% Center redevelopment-Alice New York, NY 10011 (212) 627-1700/www.fxfowle.com International: 16 Planning: 10% Tully Hall 5 14 Restoration: 10% GreenbergFarrow Navid Maqami 55 114 n/d NY area: 85 Architecture: 85% n/d East River Plaza, Fordham 44 W. 28th St. Principal 85 143 US: 622 Engineering: 2% Place New York, NY 10001 (212) 725-9530/www.greenbergfarrow.com International: 4 Interiors: 3% 15 Planning: 5% Restoration: 5% Cooper Robertson & Partners Alexander Cooper 51 51 $305.0 NY area: 25 Architecture: 52% 0.004 Hunter College School of 311 W. 43rd St. President 58 58 US: 69 Interiors: 1% Social Work, Whitney Museum 16 New York, NY 10036 (212) 247-1717/www.cooperrobertson.com International: 6 Planning: 47% of American Art expansion Swanke Hayden Connell Architects Richard S. Hayden 50 115 n/a NY area: 75 Architecture: 65% 2.5 Moody's, Federated 295 Lafayette St. Managing principal 52 100 US: 110 Interiors: 30% Department Stores 17 New York, NY 10012 (212) 226-9696/www.shca.com International: 55 Restoration: 5% Robert A.M. Stern Architects Robert A.M. Stern 50 50 $1,464.1 NY area: 44 Architecture: 95% 0.9 15 Central Park West, 460 W. 34th St. Senior partner 53 53 US: 157 Interiors: 5% Kaufman Center New York, NY 10001 Robert S. Buford International: 30 18 Managing partner (212) 967-5100/www.ramsa.com Beyer Blinder Belle Architects & Planners Frederick A. Bland 48 57 $407.0 NY area: 159 Architecture: 31% 0.6 New York City Hall, Cooper- 41 E. 11th St. Managing partner 51 62 US: 241 Interiors: 8% Hewitt National Design New York, NY 10003 (212) 777-7800/www.beyerblinderbelle.com International: 7 Planning: 22% Museum 6 19 Restoration: 40% Mancini Duffy Anthony P. Schirripa 42 77 $725.0 NY area: 208 Architecture: 5% n/a Cushman & Wakefield, 39 W. 13th St. Chairman, chief executive 68 124 US: 279 Interiors: 93% Fitzpatrick Cella Harper & 20 New York, NY 10011 (212) 938-1260/www.manciniduffy.com International: 186 Planning: 2% Scinto Gruzen Samton Architects Planners & Interior Designers Michael Kazan 42 42 $16.0 NY area: 210 Architecture: 88% 1.2 Academic and laboratory 320 W. 13th St. Principal 39 39 US: 231 Interiors: 5% building at Cooper Union, El 21 New York, NY 10014 (212) 477-0900/www.gruzensamton.com International: 7 Planning: 7% Museo del Barrio Davis Brody Bond Aedas Partners 7 41 45 $431.1 NY area: 32 Architecture: 80% 0.5 National September 11 315 Hudson St. (212) 633-4700/www.davisbrodyaedas.com 42 44 US: 48 Interiors: 5% Memorial & Museum, New York, NY 10013 International: 15 Planning: 10% Columbia University's 22 Restoration: 5% Manhattanville expansion STV Architects Inc. David MilesZiskind 40 82 $950.0 NY area: 101 Architecture: 45% 4.5 Bronx Adult Psychiatric 225 Park Ave. South Senior vice president, chief architect 39 81 US: 1,700 Engineering: 35% Center, Spring Creek New York, NY 10003 (212) 777-4400/www.stvinc.com International: 1 Interiors: 3% Intermediate School/High 23 Planning: 5% School Restoration: 12% SLCE Architects Peter Claman 37 37 $2,625.0 NY area: 50 Architecture: 90% 9.2 10 West End Ave., Avery 841 Broadway Partner 48 48 US: 50 Interiors: 5% Condominium 24 New York, NY 10003 (212) 979-8400/www.slcearch.com International: 4 Planning: 5% Pei Cobb Freed & Partners Architects George H. Miller 36 36 $155.0 NY area: 9 Architecture: 85% 0.2 Fordham University, St. 88 Pine St. Managing partner 35 35 US: 26 Interiors: 10% Vincent's Hospital 25 New York, NY 10005 (212) 751-3122/www.pcf-p.com International: 7 Planning: 5% Ehrenkrantz Eckstut & Kuhn Architects, which appeared on last year's list with 50 New York area architects, declined to participate. New York area includes New York City and Nassau, Suffolk and Westchester counties in New York, and Bergen,Essex, Hudson and Union counties in New Jersey. To qualify for this list, firms mustbearchitecture firms with an office in the New York area. All information was supplied by the firms.In caseoftied figures, firmsare ranked by number of worldwide architects.In case those figuresare tied, firmsare ranked by worldwideconstruction volume. Due to rounding, percentages may not add up to 100. n/a Not available. n/d Not disclosed. 1-Full- time and full-time-equivalent registeredarchitects, as of Dec. 31. 2-Dollar amounts in cludeonly those projects completed in 2008. 3-Includes projects indesignstage, under construction or completed in 2008. U.S. numbers include the New York area.International numbersare for projects outside of the United States. 4-Total square footage for projects completed in 2008. 5-Lincoln Center redevelopmentwas in collaboration with Diller Scofidio + Renfro. 6-Cooper-Hewitt was in collaboration with Gluckman Mayner Architects. 7-Steven M. Davis, William H. Paxson, Grabé K. Christopher, Carl F. Krebs, David K. Williams Research: Denise Southwood, Maia Blume and Selena Shen

16 | Crain’s New York Business | April 6, 2009 CNYB 04-06-09 A 17 4/2/2009 4:24 PM Page 1

REPORT REAL ESTATE St. George, S.I. 10% to 15% to around $10 per square units, and The Pointe, with foot currently, according to John POPULATION 182,800 58—have been put into fore- Four neighborhoods Reinertsen of CB Richard Ellis. closure by banks holding $47 MEDIAN HOUSEHOLD INCOME $56,000 million in construction loans. Elsewhere in St. George, the Continued from Page 13 Instead, brokers say, home prices Dreams for upscale FORECLOSURE RATE 16.9% good news is that the market for re- mid-$30s and few deals are getting have eased 5% to 6% to date, but- housing fading fast Source: Furman Center report on the 2008 state tail space has held up better, in part done. Meanwhile, a number of big tressed by the area’s its solid housing of New York City’s housing and neighborhoods simply because it never moved much projects that promised to make stock, good schools and excellent WITH ITS NEWLY RENOVATED ferry even at the peak of the economy. downtown Brooklyn the fastest- transit links. terminal and a stadium for its suc- “We weren’t asking for pie-in- growing office market in the city “Forest Hills is a good, vibrant cessful minor league baseball team, tor at Casandra Properties, which the-sky prices,”says Mr.Pitera,not- neighborhood,”says Tom Donovan, St. George finally seemed to have ar- markets Mr. Puretz’s buildings. ing that average asking rents for a partner at Massey Knakal Realty rived. Staten Island’s largest devel- Instead, Mr. Puretz, burdened shops are $30 a square foot, about Downtown Brooklyn Services, who heads its Queens oper,Mr.Puretz,had hoped to catch with financial setbacks, has 97 units the same as they were a year ago. office. the wave and have more than 600 on the market.Two of his more am- “The potential is here,” Borough Even so,the volume of residential housing units on the market this bitious projects, both of which are President James Molinaro says. “I RESIDENTIAL UNITS 2,000 transactions is off steeply,and bids are year, says John Pitera, a sales direc- fully built—The Pearl, with 101 am still very optimistic.” OFFICE SPACE 18 million coming in well below asking prices. square feet Meanwhile, vacancies are rising RETAIL SPACE 4 million along the area’s main retail strips. square feet (half on Fulton “I started noticing vacancies in Street) the early fall of last year,” says Jack Soleimani, owner of Jacklyn’s Bou- Source: Downtown Brooklyn Partnership tique, an apparel retailer that’s been in Forest Hills for 30 years. outside Ground Zero are on hold. The asking rents for storefronts Among those are Forest City on Austin Street have plummeted to Ratner’s sprawling $4 billion At- around $70 per square foot—less lantic Yards project, and City Point, than half of the peak of $150 per which was supposed to transform the square foot hit in 2007. Albee Square site on Fulton Street Landlords are working with ten- into Brooklyn’s tallest building, a 1.5 ants to provide rent relief or other million-square-foot residential, re- lease concessions to keep more shops tail and office tower. from falling into the “avail- The market for retail Recession able” category, according to space is also in retreat. Impact Cory Zelnick, founder of “At this current moment, Rating brokerage Zelnick & Co. the retail environment is on pause, like the rest of the Mauled city,” says Joe Chan, presi- Food markets dent of the Downtown Bloodied holding up well Brooklyn Partnership. As of January, 20 of 100 Bruised JOBS MAY BE GONE and the shops on Flatbush Avenue economy may be in sham- in the neighborhood were Scratched bles, but people still need to vacant, according to Faith ☺ eat, and maybe even drink. Hope Consolo,chairman of Unscathed Boasting one of the world’s Prudential Douglas Elli- largest food distribution cen- man’s retail leasing and sales division. ters—including the city’s wholesale Nearby, the asking retail rents on meat,vegetable and fish markets,plus Fulton Street have fallen by a third warehouses for everything from spices from their high of $150 per square to Budweiser—the Hunts Point sec- foot in 2007, according to brokers. tion of the Bronx is holding its own. Completing the trifecta of woe,a Led by such neighborhood stal- bumper crop of residential towers, warts as the 37-year-old, 60-acre including Oro, Forte and BellTel Hunts Point Cooperative Market, Lofts, have sprouted, following a 2007 rezoning that permitted taller buildings in the area. Many ob- Hunts Point, Bronx servers wonder if there are enough buyers to consume the supply of high-end apartments. AVAILABLE INDUSTRIAL SPACE 2.1 million square feet Affluent oasis INDUSTRIAL VACANCY RATE 3% spared the brunt Source: CB Richard Ellis Inc. WITH ITS TREE-LINED STREETS and mixture of handsome houses, well- which alone has 52 member meat maintained high-rises and bustling companies and roughly 2,400 em- shopping strips, Forest Hills in ployees, the neighborhood has seen Queens stands as one of the few city vacancy rates remain relatively low, neighborhoods that have yet to see according to brokers and communi- double-digit percentage declines in ty officials. housing prices. “There is no spike in vacancies, and demand for property remains strong,” says Nick Burns, a director Forest Hills, Queens of sales at Massey Knakal Realty Services. Last year, Hunts Point at- POPULATION 117,900 tracted a number of high-profile MEDIAN HOUSEHOLD tenants, including Baldor Spe- INCOME $63,500 cialty Foods and Anheuser- FORECLOSURE RATE 4.4% Busch, both of which leased Source: Furman Center report on the 2008 state 200,000-square-foot facilities. of New York City’s housing and neighborhoods Last year, asking rents held up relatively well, slipping a modest

April 6, 2009 | Crain’s New York Business | 17 CNYB 04-06-09 A 18 4/2/2009 4:27 PM Page 1

REPORT EMCOR in Greater New York City LOCAL OPERATIONS NATIONAL OPERATIONS Deals EMCOR SERVICES NEW YORK/NEW JERSEY EMCOR ENERGY SERVICES Frank Cooney, President Art Strenkert, President Mechanical Services Energy Services Financial firm’s FOREST ELECTRIC EMCOR FACILITIES KNOWLEDGE CENTER Salvatore Caputo, President & CEO Dan Rodstrom, Vice President & GM Electrical Services Facilities Services downtown digs HERITAGE MECHANICAL EMCOR FACILITIES SERVICES Jeffrey A. Porrello, President & CEO Kevin Craig, President Mechanical Services Site-Based Facilities Services enue,as well as a location in Queens. PENGUIN AIR CONDITIONING EMCOR GOVERNMENT SERVICES Landlord’s effort Since an extensive build-out is not Daniel P. Dubin, President & CEO Michael Shelton, President to court Avalon needed, Mr. Schwartz plans to open Mechanical Services Government Facilities Services for business on Earth Day,April 22. Partners pays off “Our business is all about sus- WELSBACH ELECTRIC EMCOR MECHANICAL SERVICES tainability, after 100 years,” he says. Keith D. Carney, President & CEO Mike Bordes, President Electrical Services Mechanical Services valon partners inc. is Candice Dobbs, president of relocating to new digs in Dobbs Associates Inc., represented WELSBACH ELECTRIC OF L.I. the financial district— both Eneslow and landlord William Joseph P. Florio, President & CEO just a few blocks away Friedland. Electrical Services from its current office at —adrianne pasquarelli A60 Broad St. The Manhattan-based invest- ment firm, founded in 1996, has Security company signed a lease for 9,000 square feet doubles footprint at 30 Broad St., where it will occupy the entire 24th floor of the building. touchcom inc. will be doubling its The asking rent for the prebuilt space when it moves into 7,500 space was $40 per square foot. square feet at 118 W. 22nd St. in May. Vincent Au, managing director The provider of building securi- of Avalon, says the space “was a sig- ty systems signed a five-year lease CONTACT US: nificantly better value than our old for the entire 10th floor of the prop- premises.” The firm signed a five- erty,between Sixth and Seventh av- 866.890.7794 [email protected] www.emcorgroupny.com year lease, with an option to renew. enues. The asking rent was $38 a “We are right where the tenant square foot. The company is cur- wants to be—next to the New York rently located at 151 W. 25th St. Stock Exchange,” says Wes Rudes, Touchcom was drawn to the who along with Richard Doolittle at space because of its location and rea- Murray Hill Properties was the leas- sonable rent, says the company’s ing agent for Gotham Realty, the broker, Anthony Dattoma of CB landlord. “It’s an open space with Richard Ellis Inc. He adds that the windows,” Mr. Rudes adds, noting space was already built out and the that the bull pen layout is ideal for landlord was providing certain serv- financial professionals. ices,such as painting,so Touchcom’s “The management at 30 Broad moving expenses will be minimal. made a serious and aggressive effort Newmark Knight Frank broker in courting us, which made us feel John Brierty represented the build- The Town of Hempstead Industrial Development Agency really wanted,” says Mr. Au. ing’s owner, Adlie Associates. Eric Zemachson and Chris —theresa agovino Mongeluzo, brokers at Newmark Tax Benets Package Knight Frank, represented Avalon in the transaction. Pizza cooks with quick approval. —amanda fung in Hell’s Kitchen rents might be dropping in SoHo, How’s that for Comfort shoe firm but they’re holding firm in trendy eases into space Hell’s Kitchen. Pizza Plus NYC re- economic stimulus? cently signed a 10-year lease for 800 footwear retailer Eneslow is square feet at 707 Ninth Ave., between We’re non-pro t, but our goal is to make sure you pro t by relocating, expanding stepping out on Second Avenue,just West 48th and West 49th streets. or building your company in our thriving and dynamic community. The Town of in time for its 100th anniversary.The The deal was completed near the Hempstead Industrial Development Agency is ready to o)er you substantial real company,which specializes in ortho- asking rent, $196 a square foot. estate tax relief, nancing assistance and a fast track to necessary approvals. Join pedic shoes, signed a 15-year lease “The price we got is pretty close the many businesses and institutions that took us up on our o)er and now say: for its second Man- to what we would Thank you, Town of Hempstead IDA. hattan location, tak- have gotten six to 12 ing 2,000 square feet months ago,” says It’s a great environment to grow your business: at 1504 Second Ave., Aaron Gavios, the between East 78th executive vice presi- and East 79th streets. dent at Square Foot The asking rent was Realty who repre- $120 a square foot. sented landlord JPJ Eneslow will re- Realty. He explains place the departed that rents in the area Foot Solutions at the have proved resilient Find out how to put the Town of Hempstead IDA to work for your business. Upper East Side in the recession. spot—a development With seating for Each year, a host of businesses and institutions put the non-prot that will be cheered by 40, this will be Pizza Town of Hempstead IDA to work and help them realize their plans to build, area residents, who Plus’second and larg- relocate, expand and innovate. complain that they FOOTREST: 1504 Second Ave. er location. Its first miss having a place to site, open since 1985, buy comfortable shoes. is three blocks south on Ninth Av- IDA BOARD “[The new store] is near a num- enue.The new restaurant,housed in ber of hospitals and health care pro- a former laundromat, will open for fessional offices that send us a lot of business by the summer. Put us to work for you. clients,”says Eneslow’s owner,Rob- Howard Aaron, also of Square © 2009 Town Of Hempstead. All rights reserved. (516) 489-5000 x 4200 | www.tohida.org ert Schwartz. The retailer already Foot Realty,represented Pizza Plus. has offices and a store on Park Av- —adrianne pasquarelli

18 | Crain’s New York Business | April 6, 2009 nb14p19-20cls.qxp 4/3/09 2:38 PM Page 19

PUBLIC & LEGAL NOTICES EXECUTIVE RECRUITER

NIMA ASSET MANAGEMENT LLC, a Notice of Qualification of Zaffran, LLC. domestic Limited Liability Company Fictitious name in NY State: Zaffran POSITION AVAILABLE (LLC) filed with the Sec of State of Consulting, LLC. Authority filed with NY on 11/21/08. NY Office location: Secy. of State of NY (SSNY) on 2/2/09. New York County. SSNY is designat- Office location: NY County. LLC ed as agent upon whom process formed in Delaware (DE) on 12/26/02. against the LLC may be served. SSNY designated as agent of LLC SSNY shall mail a copy of any upon whom process against it may be process against the LLC served upon served. SSNY shall mail process to: him/her to John Coleman, Esq., 444 c/o Falcon & Singer P.C., 14 Harwood Madison Ave., Ste. 805, NY, NY Court, Ste. 220, Scarsdale, NY 10583. 10022 General purposes. DE address of LLC: 874 Walker Road, Ste. C, Dover, DE 19904. Arts. of Org. CAPITOL PUBLISHING, LLC filed with DE Secy. of State, Townsend Notice of formation of Capitol Bldg., Dover, DE 19901. Purpose: any Publishing, LLC. Articles of Org. lawful activity. filed with Secy. of State of NY (SSNY) on 01-16-09. Office location: Notice of Formation of Neshgold, L.P. NY County. SSNY designated as Application for Authority filed with Secy. agent of LLC whom process against of State of NY (SSNY) on 03/02/09. it may be served. SSNY shall mail Office location: NY County. Original process to LLC, 79 Madison Ave., jurisdiction: Delaware. SSNY desig- 16th Floor, NY, NY 10016. Purpose: nated as agent of L.P. upon whom any lawful activity. process against it may be served. SSNY shall mail process to the L.P., Notice of Formation of GREEN APPLE c/o Neil S. Goldstein, Esq., Robinson VENTURES LLC. Arts. of Org. filed with Brog Leinwand, et al., 1345 Ave. of the Secy. of State of NY (SSNY) on Americas, 31 Fl., New York, NY 10105. 03/17/09. Office location: NY County. Purpose: any lawful act or activity. SSNY designated as agent of LLC upon whom process against it may be QUANTUM CODERS, LLC Articles of served. SSNY shall mail process to c/o Organization filed with NY Secretary Jerome Caulfield, Carter Ledyard & of State (SSNY) 7/11/07. Office in NY Milburn LLP, 2 Wall St., NY, NY 10005. County. SSNY is designated as agent Purpose: Any lawful activity. of LLC upon whom process may be served. SSNY shall mail copy of NOTICE OF FORMATION of New process to Corporation Service Co., 80 York City Lishenew Corporation State St., Albany, NY 12207, which is (D/B/A) A-1 News New York City also the registered agent upon whom Corp.. LLC Arts. Of Org. filed with process against the LLC may be Secy Of State of N.Y. (SSNY) on served. Purpose: Any lawful purpose. 5/22/08 Office location: NY County SSNY designated as agent of LLC Notice of Formation of E.T. # 6104 - upon whom process against it may 6816 LLC. Arts. of Org. filed with NY be served. SSNY shall mail process Dept. of State on 3/13/09. Office loca- to: principal business location: 327 tion: NY County. Sec. of State desig- West 36th St. New York, NY 10018 nated as agent of LLC upon whom Purpose. Any Lawful activity. process against it may be served and 1183472 w.o. shall mail process to: c/o Joseph Moshkovsky, CPA, 747 3rd Ave., 4th Notice of Formation of BK BELTS, LLC. Fl., NY, NY 10017, regd. agt. upon Arts. of Org. filed with Secy. of State whom process may be served. of NY (SSNY) on 03/24/09. Office Purpose: any lawful activity. location: Bronx County. Principal office of LLC: 3950 Blackstone Ave., Notice of Qualification of AmSpec #4N, Riverdale, NY 10471. SSNY Services, L.L.C. Authority filed with TELECOMMUNICATIONS LOANS FOR SALE designated as agent of LLC upon Secy. of State of NY (SSNY) on PUBLIC & LEGAL whom process against it may be 03/23/09. Office location: Bronx NOTICES Loans for Sale served. SSNY shall mail process to County. LLC formed in New Jersey Commercial lender seeking to sell Seth Kaplan at the principal office of (NJ) on 06/18/97. Principal office and the LLC. Purpose: Any lawful activity. NJ address of LLC: 360 E. Elizabeth ZULLER & BONDY, LLP a domestic Mortgage notes. NY Metro Area. Ave., Linden, NJ 07036. SSNY desig- Limited Liability Partnership (LLP) filed with the Sec of State of NY (SSNY) Please call 212-786-7362 Notice of Formation of ImageKing nated as agent of LLC upon whom on 2-12-09. NY office Location: NY Visuals LLC. Arts. of Org. filed with process against it may be served. County. SSNY is designated as agent Secy. of State of NY (SSNY) on SSNY shall mail process to the LLC upon whom process against the LLP 2/13/09. Office location: NY County. at the address of its principal office. may be served. SSNY shall mail a SSNY designated as agent of LLC Arts. of Org. filed with State of NJ, copy of any process against the LLP REAL ESTATE upon whom process against it may Dept. of Treasury, Div. of Revenue, served upon him/her to The LLP, 42 be served. SSNY shall mail process P.O. Box 308, Trenton, NJ 08646. W. 38th St., Ste. 802, NY, NY 10018. to: 227 E. 45th St., NY, NY 10017. Purpose: Any lawful activity. Purpose: Law COMMERCIAL Purpose: any lawful activity. 125E 80 LLC, a domestic Limited WAREHOUSE SPACE Liability Company (LLC) filed with the Notice of formation of GetHired, LLC Notice of Formation of Roundsquare Sec of State of NY on 3/5/09. NY Arts. of Org. filed with Secy. of State New Jersey Port Warehousing Equities, LLC. Arts of Org. filed with Office location: New York County. of N.Y. (SSNY) on 2/11/09. Office Sec. of State of NY (SSNY) on SSNY is designated as agent upon location: NY County. SSNY designat- Up to 75,000 sq/ft - 3/5/09. Office location: NY County, whom process against the LLC may ed as agent of LLC upon whom Divisible, Secured SSNY designated as agent of LLC be served. SSNY shall mail a copy process against it may be served. upon whom process against it may of any process against the LLC SSNY shall mail process to: principal Transportation Included be served. SSNY shall mail process served upon him/her to The LLC, 125 business location: Purpose: Any law- to: c/o Cassandra Carpio, 5 Marine E. 80th St., Parlor Fl., NY, NY 10075 ful activity. 505 E. 79th Street, #10A, Jeanette Ayala (908) 282-7330 View Plaza, Suite 318, Hoboken, N.J. General purposes. NY, NY 10075 07030. Purpose: any lawful activity. Notice of Qualification of BRC SPV I, Notice of Qualification of Equity OFFICE SPACE Notice of Qualification of 140Labs, LP. Authority filed with Secy. of State Residential Services II, LLC. Authority LLC. Authority filed with Secy. of of NY (SSNY) on 2/12/09. Office filed with NY Dept. of State on Tribeca Film Center State of NY (SSNY) on 3/13/09. location: NY County. LP formed in 3/24/09. Office location: NY County. Executive office space Office location: NY County. LLC Delaware (DE) on 2/6/09. SSNY des- LLC formed in IL on 12/19/08. NY VISIT OUR WEBSITE available in Tribeca Film Center formed in Delaware (DE) on 3/12/09. ignated as agent of LP upon whom Sec. of State designated as agent of 24-hour security, conference SSNY designated as agent of LLC process against it may be served. LLC upon whom process against it rooms, screening rooms, upon whom process against it may SSNY shall mail process to: Daniel may be served and shall mail CRAINSNEWYORK.COM Long & Short term rentals. be served. SSNY shall mail process Beltzman, 1270 Broadway, Ste. 1009, process to: c/o CT Corporation to princ. bus. loc.: The LLC, 15 Broad NY, NY 10001, also registered agent. System, 111 8th Ave., NY, NY 10011, 212-941-2000 St., Ste. 2624, NY, NY 10005. DE DE address of LP: 2711 Centerville regd. agt. upon whom process may address of LLC: United Corporate Rd., Ste. 400, Wilmington, DE 19808. be served. Principal office addr.: 2 N. Services, Inc., 874 Walker Road, Ste. Name/address of genl. ptr. available Riverside Plaza, Ste. 400, Chicago, C, Dover, DE 19904. Arts. of Org. from SSNY. Cert. of LP filed with DE IL 60606. Arts. of Org. filed with IL To place your classified ad filed with DE Secy. of State, 401 Secy. of State, Federal & Duke of Sec. of State, 501 S. 2nd St., Rm. Federal St., Dover, DE 19901. York Sts., Dover, DE 19901. Purpose: 351, Springfield, IL 62756. Purpose: call John Gallagher @ 212-210-0189 Purpose: any lawful activity. any lawful activities. any lawful activity.

April 6, 2009 | Crain’s New York Business | 19 nb14p19-20cls.qxp 4/3/09 1:15 PM Page 20

PUBLIC & LEGAL NOTICES

Notice of Formation of SH-MANIA NOTICE OF FORMATION of Study Notice of formation of Limited Liability Notice of Qualification of AG MORT- Notice of Qualification of DSRM ELEVEN LLC. Arts. of Org. filed with Bright Tutors LLC. Arts. Of Org. filed Company (LLC). Pamela Gale LLC. GAGE VALUE PARTNERS MASTER Brokerage LLC. Authority filed with Secy. of State of NY (SSNY) on with Secretary Of State of N.Y. Articles of Organization with the FUND, L.P. Authority filed with Secy. NY Dept. of State on 3/5/09. Office 03/19/09. Office location: NY County. (SSNY) on 12/30/08. Office location: Secretary of State of New York (SSNY) of State of NY (SSNY) on 02/06/09. location: NY County. Princ. bus. addr.: Principal office of LLC: c/o Shoe New York County. SSNY designated on 10/17/08. N.Y. Office location: NY Office location: NY County. LP formed 255 Vista Valley Dr., Fruita, CO 81521. Mania, 853 Broadway, NY, NY 10003. as agent of LLC upon whom process County. SSNY has been designated in Cayman Islands on 10/28/08. LLC formed in DE on 12/18/08. NY SSNY designated as agent of LLC against it may be served. SSNY shall as an agent upon whom process Principal office of LP and Cayman Sec. of State designated as agent of upon whom process against it may be mail process to principal business against it may be served. The Post Islands address is: c/o Ogier LLC upon whom process against it served. SSNY shall mail process to location: Study Bright Tutors c/o Bruce Office address to which the SSNY Fiduciary Services (Cayman) Ltd., may be served and shall mail the LLC at the address of its principal Brittain 305 West 76th St. NY NY shall mail a copy of any process Queensgate House, S. Church St., process to: c/o CT Corporation office. Purpose: Any lawful activity. 10023. Purpose: Any lawful activity. against the LLC served upon her is P.O. Box 1234, George Town, Grand System, 111 8th Ave., NY, NY 10011, 1181771 m3-Tu a7 C.O. the LLC. The principal address Cayman, Cayman Islands. SSNY regd. agt. upon whom process may Notice of Formation of Bassin Capital of the LLC is 1 Central Park West, NY, designated as agent of LP upon be served. DE addr. of LLC: 1209 Advisors, LLC. Articles of Organization Notice of Formation of PRODIGY NY 10023. Purpose character of LLC: whom process against it may be Orange St., Wilmington, DE 19801. filed with Secy. of State of NY (SSNY) CAPITAL GROUP, LLC. Arts. of Org. to engage in any lawful act or activity. served. SSNY shall mail process to Arts. of Org. filed with DE Sec. of on 02/11/09. Office location: NY filed with Secy. of State of NY (SSNY) c/o Angelo, Gordon & Co., L.P., 245 State, 401 Federal St., Dover, DE County. SSNY designated as agent of on 02/25/09. Office location: NY Notice of Registration of BRONSTEIN Park Ave., 26th Fl., NY, NY 10167. 19901. Purpose: any lawful activity. LLC upon whom process against it County. Principal office of LLC: 72 VAN VEEN & SCHUCK, LLP, a The registered agent of the company may be served. SSNY shall mail Greene St., 2nd Fl., NY, NY 10012. domestic LLP. Notice of Reg. filed upon whom and at which process Notice of Qualification of The Catalyst process to the LLC, 145 West 67th SSNY designated as agent of LLC with the SSNY on 02/19/09. Office against the company can be served is Credit Opportunity Fund, L.P. Street, New York, NY 10023. upon whom process against it may be location: NY County. SSNY has been Corporation Service Co., 80 State Authority filed with NY Dept. of State Purpose: any lawful act or activity. served. SSNY shall mail process to designated as agent upon whom St., Albany, NY 12207. Name and on 2/4/09. Office location: NY County. the LLC at the address of its principal process against the LLP may be address of each general partner are LP formed in DE on 6/10/03. NY Sec. office. Purpose: Any lawful activity. served. SSNY shall mail a copy of available from SSNY. Arts. of Org. of State designated as agent of LP Notice of Formation of Justin Tower, process to: The LLP, 150 East 58th filed with The Registrar of Companies, upon whom process against it may LLC. Certificate of Conversion filed Ground Fl., Citrus Grove Bldg., be served and shall mail process to NOTICE OF FORMATION of Arvelo St., 21st Fl., NY, NY 10155. Purpose: with Secy. of State of NY (SSNY) on To Practice The Profession Of Law. Goring Ave., George Town, Grand the principal business addr.: 767 03/13/09. Office location: NY County. Architecture+Design, PLLC.Arts. Of Cayman, Purpose: Any lawful activity. Third Ave., 32nd Fl., NY, NY 10017. SSNY designated as agent of LLC Org. filed with Secy. Of State of N.Y. NOTICE OF FORMATION OF Jeffrey DE addr. of LP: c/o Incorporating upon whom process against it may (SSNY) on 4/27/07. Office location: W. Varcadipane PLLC. Article of Services Ltd., 3500 S. DuPont Hwy., be served. SSNY shall mail process New York County SSNY designated Notice of Formation of ODINARES, Organization filed with Secretary of Dover, DE 19901. Name/addr. of to the LLC, c/o Robert A. Schachter, as agent of LLC upon whom process LLC. Arts. of Org. filed with Secy. of State of NY (SSNY) 12/01/08 Office genl. ptr. available from NY Sec. of Esq., Robinson Brog Leinwand against it may be served. SSNY shall State of NY (SSNY) on 03/03/09. location NY County. SSNY designated State. Cert. of LP filed with DE Sec. Greene Genovese & Gluck P.C., 1345 mail process to: 123 William St.,NY, Office location: NY County. Principal as agent upon whom process may be of State, P.O. Box 898, Dover, DE Avenue of the Americas, New York, NY 10038 Principal business location: office of LLC: 350 Fifth Ave., Ste. served. Address SSNY shall mail any 19903. Purpose: any lawful activity. NY 10105. Purpose: engage in any 39 W 19th St., Ste.603 NY, NY 10011 4400, NY, NY 10118. SSNY designat- process is 500 W. 56 St., 821. NY, NY lawful act or activity. Purpose: To practice architecture. ed as agent of LLC upon whom 10019. Purpose of PLLC: engage in any process against it may be served. Notice of Formation of STRATEGIC lawful act or activity. Principal Business SSNY shall mail process to the LLC EXPERIENTIAL GROUP, LLC. Arts. ABURR LLC, a domestic Limited Notice of Formation of 15 William location: 500 W. 56 St. NY, NY 10019. at the address of its principal office. of Org. filed with Secy. of State of NY Liability Company (LLC) filed with the Street 34-E, LLC. Arts. of Org. filed Purpose: Any lawful activity. (SSNY) on 02/18/09. Office location: with Secy. of State of N.Y. (SSNY) on Sec of State of NY on 2-4-09. NY NY County. Principal office of LLC: Notice of Formation of RitaSue 2/18/09. Office location: NY County. Office location: NY County. SSNY is 49 W. 27th St., 5th Fl., NY, NY 10001. Siegel Resources, LLC. Articles of SSNY designated as agent of LLC designated as agent upon whom Notice of Formation of JOSLYN LEVY SSNY designated as agent of LLC Organization filed with Secy. of State upon whom process against it may be process against the LLC may be & ASSOCIATES LLC, a domestic upon whom process against it may of NY (SSNY) on 3/11/09. Office served. SSNY shall mail process to: c/o served. SSNY shall mail a copy of LLC. Arts. of Org. filed with the SSNY be served. SSNY shall mail process location: NY County. SSNY designated Snitow Kanfer Holtzer & Millus, LLP, any process against the LLC served on 12/16/08. Office location: NY to Corporation Service Co., 80 State as agent of LLC upon whom process 575 Lexington Ave., 14th Fl., NY, NY upon him/her to Adrienne Cannella, County. SSNY has been designated St., Albany, NY 12207-2543. against it may be served. SSNY shall 10022. Purpose: any lawful activity. 200 W. 57th St., Ste. 1304, NY, NY as agent upon whom process against Purpose: Any lawful activity. 10019. General purposes mail process to the LLC, 17 West the LLC may be served. SSNY shall 54th St., 9B, New York, NY 10019. mail a copy of process to: 230 W Notice of Formation of RAINMAKER Purpose: any lawful act or activity. Notice of Formation of Engel Advisors, Notice of Formation of DRMBRE APT 105th St. Apt 9D, NY, NY 10025. MANAGEMENT, LLC. Arts. of Org. LLC. Arts. of Org. filed w/ Sec. of State 14D-12A, LLC. Arts. of Org. filed with Purpose: Any Lawful Purpose. filed with SSNY on 7/20/07. Office of NY (SSNY) on 1/15/09. Office Secy. of State of NY (SSNY) on Notice of Formation of MP PEARL location: New York County. SSNY location: New York County. Principal 12/10/08. Office location: NY County. LLC. Arts. of Org. filed with Secy. of Notice of Formation of Alive Idea Media designated as agent of LLC whom business address: 1075 Park Ave., Principal office of LLC: 411 E. 53rd State of NY (SSNY) on 3/5/09. Office Group LLC. Arts. of Org. filed with Secy. process against may be served. Apt. 5D, NY, NY 10128. SSNY desig- St., Unit 6F, NY, NY 10022. SSNY location: NY County. SSNY designat- of State of NY (SSNY) on 5/15/08. SSNY shall mail process to: c/o The nated as agent for service of process designated as agent of LLC upon ed as agent of LLC upon whom Office location: NY County. SSNY des- LLC, SHANE L. BENSON, 100 against LLC & shall mail a copy to whom process against it may be process against it may be served. ignated as agent of LLC upon whom Suffolk St., Apt 1A, New York, NY Leonard Witman Esq., Witman served. SSNY shall mail process to SSNY shall mail process to: The LLC, process against it may be served. 10002. Purpose: all lawful activities. Stadtmauer, P.A., 26 Columbia Tpke, Michael Berger, 62 Sumner Rd., 545 Fifth Ave., Ste. 600, NY, NY SSNY shall mail process to: Greg W. Florham Park, NJ 07932. Purpose: Greenwich, CT 06831. Purpose: Any 10017. Purpose: any lawful purpose. Brooks, 119 Fifth Avenue, 3rd Fl., NY, engage in any lawful activity. BITS AND ATOMS, L.L.C. Art. of Org. lawful activity. NY 10003. Purpose: any lawful activity. Filed Sec. of State NY 1/30/2009 Off. Notice of Qualification of Maiden Re NOTICE OF FORMATION OF LIM- Loc. New York Co. SSNY designated Notice of Qualification of INTERMIX Insurance Services LLC. Authority Notice of Qualification of LionHedge ITED LIABILITY COMPANY. NAME: as agent upon whom process against AGENT, LLC. Authority filed with Secy. filed with Secy. of State of NY (SSNY) Paulson Recovery Fund, L.P., App. WILLIAM STREET HOSPITALITY it may be served. SSNY to mail copy of State of NY (SSNY) on 03/06/09. on 3/5/09. Office location: NY County. for Auth. filed Sec’y of State (SSNY) LLC. Application for Authority was of process to THE LCC c/o Anthony Office location: NY County. LLC LLC formed in Delaware (DE) on 1/15/09. Office location: NY County. LP filed with the Secretary of State of Townsend, 115 E 9th St, Ste. 10H, formed in Delaware (DE) on 02/23/09. 12/12/07. SSNY designated as agent org. in DE 1/14/09. SSNY designated New York (SSNY) on 12/11/08. The NY, NY, 10003. Purpose: Information SSNY designated as agent of LLC of LLC upon whom process against it as agent of LP upon whom process LLC was originally filed with the technology consulting services. upon whom process against it may be may be served. SSNY shall mail against it may be served. SSNY shall Secretary of State of Delaware on served. SSNY shall mail process to process to: c/o National Registered mail copy of process to c/o LionHedge 11/19/08. Office location: New York Notice of Formation of FEED THE Corporation Service Co., 2711 Agents, Inc., 875 Avenue of the LLC, 405 Park Ave., Ste. 803, NY, NY County. SSNY has been designated DOG, LLC. Arts. of Org. filed with Centerville Rd., Ste. 400, Wilmington, Americas, Ste. 501, NY, NY 10001. 10022. DE office addr.: CSC, 2711 as agent of the LLC upon whom Secy. of State of NY (SSNY) on DE 19808, which is also the DE Address to be maintained in DE: 1209 Centerville Rd., Wilmington, DE process against it may be served. 02/24/09. Office location: NY County. address of LLC. Arts. of Org. filed with Orange St., Wilmington, DE 19801. 19808. Cert. of LP on file: SSDE, SSNY shall mail a copy of process SSNY designated as agent of LLC Jeffrey W. Bullock, Secy. of State, Div. Arts. of Org. filed with DE Secy. Of Townsend Bldg., Dover, DE 19901. to the LLC, 56 West 45th Street, 4th upon whom process against it may of Corps., 401 Federal St., Dover, DE State, 401 Federal St., Ste 4., Dover, DE Name/addr. of each gen. ptr. avail. at Floor, New York, New York 10036. be served. SSNY shall mail process 19901. Purpose: Any lawful activity. 19901. Purpose: any lawful activities. SSNY. Purpose: any lawful activities. Purpose: For any lawful purpose. to Corporation Service Co., 80 State St., Albany, NY 12207-2543. Purpose: Any lawful activity.

NOTICE OF FORMATION of COREY DISTASIO, L.AC., PLLC. Articles of Organization filed with the Secretary of State of NY (SSNY) on 02/20/09. Office location: NY County. SSNY has been designated as agent upon whom process against it may be served. The Post Office address to which the SSNY shall mail a copy of any process against the PLLC served upon him is C/O the PLLC, 217 E. 22 Street, #32, NY, NY, 10010. Date of Dissolution: No Specific Date. Purpose of PLLC: Acupuncture. Street address of Principal Business location: 217 E. 22 Street, #32, NY, NY, 10010.

20 | Crain’s New York Business | April 6, 2009 CNYB 04-06-09 A 21 4/2/2009 7:30 PM Page 1

BUSINESS CORPORATE LADDER Self-starter launches high-tech company PAGE 23 buck ennis

GOTHAM GIGS From Russia with style ANYA PONOROVSKAYA, 39, moved to the U.S. from Russia as a child. Having little money, she pieced together outfits to fit in with her classmates. Now she’s a designer and owner of GirlCat, a boutique. EURO-FLAIR In her early 20s, Ms. Ponorovskaya tried her luck at photography and real estate. She began taking classes at FIT and then flew to Italy to study. From there, she headed east to Kazakhstan, where she opened her first studio. But she returned to New York a year later. TRENDSETTER In 2004, Ms. Ponorovskaya opened a store on Elizabeth Street, followed by a second on the same street. The stores initially sold other designers’ wares but now sell only her own. She christened another shop in Boerum Hill in 2007. IN VOGUE Though sales were down in December and January, the stores boasted record-breaking numbers in A CPA’S WORK IS February and last fall. She is NEVER DONE: Irwin Horowitz, his wife, now focusing on her shoe line, Naomi, and their which she started last year. children, Fran and —maia blume Benjamin. EXPERT OPINIONS

TACKLING SPRING CLEANING buck ennis assign each family member a specific task, then divide and BY CARA S. TRAGER conquer. Open windows and air out the house with spring hile william regen, a certified public breezes. Clean rooms from top No rest accountant, stays late at his Manhattan to bottom so the dust won’t office churning out clients’ tax returns, his fall to areas wife, Lillian, blows her Weight Watchers you’ve diet on pizza or peanut butter and jelly already for the sandwiches. A chocolate bar serves as her cleaned. Using a usual nightcap. squeegee on “It’s comfort food when you’re alone so istockphoto windows and tax-weary much,” says Ms. Regen, the director of shower doors operations for a residential real estate management firm in Manhattan. will leave fewer Dealing with three months of mate-free time is an annual ritual for streaks than a CPAs, spouses cope cloth. Vacuum or Wspouses of CPAs. Each year, as the more than 11,000 CPAs in the city mop from the with crushing workload confront the profession’s most compressed and See CPAs on Page 22 point farthest from the entryways so you don’t track WHAT THEY MAKE dirt, and don’t forget to vacuum doormats. CPA’s average —anthony santelli $200K+ $400K+ $1M+ Senior home editor annual salary PARTNER IN A SMALL FIRM PARTNER IN A MIDSIZE FIRM PARTNER IN A NATIONAL FIRM Martha Stewart Living Source: Frank Fusaro, CPA, Forum Personnel Inc.

April 6, 2009 | Crain’s New York Business | 21 CNYB 04-06-09 A 22 4/2/2009 7:31 PM Page 1

BUSINESS LIVES CPAs cope with workload MANAGEABLE STRAIN LATE NIGHTS AT THE OFFICE and minimal conversation may sound like an Continued from Page 21 stay-at-home mom with three kids, tations this tax season to join friends itemized guide for divorce. But the seasonal habits of CPAs won’t doom a crushing deadlines—March 15 for ages 4,3 and 5 months.Her husband, for an overnight in the Poconos with marriage, says Mel Schwartz, a Manhattan psychotherapist and author of corporate returns and April 15 for Stephen, is a senior tax manager at her daughter, Angelica, 6. The Art of Intimacy, the Pleasure of Passion. personal income tax, partnership Holtz Rubenstein Reminick & Co. “I would’ve felt like a single “CPAs’ unavailability during tax season will tax an unhealthy marriage, but and trust returns—their other “Sometimes they don’t see my hus- mom,” says Ms. Torres, whose hus- their limited availability has no effect on a healthy marriage,” he says. halves brace themselves for single band for four to five nights,”she says. band, Edwin, wons a CPA firm in Even so, after 12 weeks of limited contact, couples say they need to ease life. Clients’ late returns and year- Not every tax widow or widower Forest Hills, Queens. back into their pre-tax season lives. “After working on adrenalin, it takes a few end planning only add to their solo complains about loneliness. For Accountants aren’t satisfied with days or weeks to get back into the groove with the home life and the family,” woes, as does the current economic empty-nesters and families with the reality of workloads, either. says Erica Rubin, a CPA and a senior manager at Marks Paneth & Shron. crisis, which has not only curtailed older kids at home,spouse-free time “I can’t stay in touch with the And while CPAs need time to unwind—“I just want to stay home,” says their extracurricular spending but can be downright liberating, with children’s education,” says Irwin Marc Newman, a partner at accounting firm Buchbinder Tunick & Co.—their also muzzled their griping. fewer meals to prepare and more Horowitz,Naomi’s husband,a CPA other halves are ready to socialize. His wife, Robin Gorman Newman, can’t nights to meet with friends. They with ERE in Manhattan. “By the wait to “bust loose,” she says. “I feel entitled.” Glad to be working also relish more hours to curl up time I get home,it’s too late to catch “people don’t understand how with a book without distractions. up on what happened during the crazy the hours are, but I don’t want Naomi Horowitz—mother of a day, and I’m too exhausted,” to complain. In this recession, I’m son,15,and daughter,12,and direc- Erica Rubin, a senior manager at trips, have fallen by the wayside as Their union produced four children, very grateful that we’re both work- tor of alumni affairs at a private Marks Paneth & Shron in Manhat- rich and poor cut back. ages 9 to 20, and turned Mr. Stein- ing,” says Ms. Regen, whose hus- school in Queens—appreciates tan, still remembers her emotional Robin Gorman Newman,who is metz, a real estate broker in Brook- band is a partner in Regen Benz & having the time to “take yoga class- response to the day trip her husband married to a CPA and works from lyn’s Coney Island,into the kids’pri- Mackenzie in Manhattan. es,watch TV without ‘Who’s taking and daughter took to the circus two her Great Neck, L.I., home on her mary caregiver during his wife’s busy Still, for spouses caring for chil- over the remote,’ and make phone years ago while she slaved over Web site, Motherhoodlater.com, season. Though he still helps their dren, daily parenting can turn into calls to catch up with old friends.” clients’tax returns.“I wanted them to has refrained from exercising at the youngest child with homework after solitary drudgery. Yet even Ms. Horowitz experi- have a good time, but I felt bad that gym in the evenings this year. She getting dinner on the table five “It’s especially tough on the kids,” ences doleful moments during her I could not be with them,” she says. can’t justify paying a babysitter $30 nights a week, he says he isn’t com- says Linda Aponte, a CPA turned husband’s busiest season.“What you to watch her 6-year-old son—on plaining.“Nowadays,I’m happy that miss is the family unit, and that’s Few indulgences top of keeping her $500 monthly she brings in money.” what hurts,” she says. “We chill out this tax season, the teetering gym membership, which includes But here’s the dirty little secret: and wait for tax season to end.” economy has put a crimp in many sessions with a personal trainer. After tax season, a CPA’s intense Despite their misery, CPA spouses’ tax-time entertainment. On the positive side, the econo- workload only temporarily sub- spouses don’t love company when it Their family finances are still intact, my has to some extent suppressed sides. Late returns are due on Sept. makes them feel like a third wheel. with partner salaries averaging from spouses’ griping. 15 and Oct.15—which leaves many Without her husband at her side,fit- $200,000 to more than $1 million. Ms. Rubin was already a CPA spouses home alone, again.“There’s ness instructor and Citibank Project But typical indulgences,such as tak- when she and Abe Steinmetz really only three months of a quiet Manager Gina Torres declined invi- ing mother-and-daughter bonding walked down the aisle 23 years ago. period,” says Ms. Rubin.

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Terms and conditions: Must be an Amtrak Guest Rewards member and register for this offer online at AmtrakGuestRewards.com/31609 or by calling 1-800-307-5000 and selecting option 2. Members must include their membership number when making reservations. Reservations for qualifying trips must be made between March 16, 2009 and May 9, 2009 for travel taken between March 16, 2009 and May 9, 2009. Trips taken during the promotion period, but reserved prior to the promotion period will not earn bonus points. Limit of two qualifying trips per day (one roundtrip or two one-ways). Cancelled or refunded reservations/tickets will be deemed ineligible. Once registered, the first through fourth qualifying trips during the promotion period will be awarded double points. The fifth qualifying trip and beyond will earn triple points. Trips taken on National Train Day (May 9, 2009) will earn quadruple points. Travel with a monthly pass or using multi-ride tickets does not qualify for this promotion. Double points and quadruple points will post to your account along with your regular point earnings, triple points will post to your account between May 10 and June 15, 2009. Other terms and conditions may apply. Amtrak, Amtrak Guest Rewards and Discover the Rail Way are service marks of the National Railroad Passenger Corporation.

22 | Crain’s New York Business | April 6, 2009 CNYB 04-06-09 A 23 4/3/2009 2:35 PM Page 1

BUSINESS LIVES CORPORATE LADDER Dave Morgan Self-starter is at it again Seasoned entrepreneur lion, to flog its own programs. Simulmedia will use aggregated PERSONNEL FILE launches high-tech data to help executives decide when promo project in risky to run those spots, based on factors COMPANY Simulmedia like time of day, geography and cur- TITLE Founder and chief rent events. Mr. Morgan says the executive medium: television technology will help networks achieve maximum impact by nar- AGE 45 BY KIRA BINDRIM rowing an unmanageable number of RÉSUMÉ Founder and CEO, Taco- choices for consumers. da; founder and CEO, Real Media tartup veteran Dave “What’s critical is delivering Morgan is once, twice, promotions according to the people HOBBY Running three times an entrepre- who are watching, not just the pro- MANAGEMENT STYLE Collegial neur. Two years after the gram they are watching,” he says. sale of two online ad busi- Snesses he founded—Tacoda to The dreaded double whammy tually became Real Media, a prede- AOL for $275 million, and 24/7 the company’s launch—slated cessor to 24/7. Mr. Morgan then Real Media to WPP Group for for later this year—comes as tradi- launched Tacoda in 2001,just as the $649 million—Mr. Morgan is tional television enters dire straits. technology bubble was bursting.Six poised to launch his third New York Already slammed by the prolifera- years later, after selling that compa- company, this time in television. tion of video viewing on comput- ny, he spent just three months as an The Pennsylvania native is ap- ers, iPods and cell phones, TV ex- AOL executive before the startup plying his Internet advertising ex- ecutives have been hit with a bug hit again.

pertise to the tube with Simulme- double whammy in the last year, as With his solid track record, Mr. buck ennis dia, a new business that will use ad dollars have all but dried up Morgan has gained the trust of both technology to predict the best times, amid a nationwide recession. Mr. employees and investors. Among opinion leader and a good attracter on. In 2002, Masthead Venture channels and cities for promoting Morgan figures that will make his them is Mr.Burnham,whose Union of people,” says Rich Levandov, a Partners, where Mr. Levandov is specific shows. offerings even more attractive to Square Ventures also invested in this managing member of Avalon Part- still a partner, was the first institu- “Having spent a lot of time the industry. latest project. Simulmedia staffers ners, another Simulmedia investor. tional investor in Tacoda. around media, it’s become clear to The serial entrepreneur got into include a handful of Mr. Morgan’s “He’s a very persuasive individual For his part, Mr. Morgan seems me that a lot of the techniques that technology in the early 1990s, after old colleagues, among them Conor and a super salesperson.” unfazed by entering what might have worked well online will impact stints in law and journalism. His big Finnegan,formerly Tacoda’s pricing otherwise be considered an aging television,” he says. break came in 1995, when he ran and inventory manager, and Jeff Longtime connection medium. Mr.Morgan estimates the televi- into Union Square Ventures partner Storan and Pravin Chandiramani, although Simulmedia is Avalon’s “I don’t see this as going back- sion industry spends 25% of com- Brad Burnham on an elevator and strategists at AOL’s Platform-A. first venture with Mr. Morgan, Mr. wards,” he says. “I’m just going for- mercial time, worth some $10 bil- pitched him the idea for what even- “Dave is a thought leader, an Levandov has been there from early ward in a broader platform.”

EXECUTIVE MOVES

ACCOUNTING & CONSULTING ARCHITECTURE & DESIGN marketing at CashEdge Inc. Grant Thornton: Peter Scalise, 36, joined as Fxfowle Architects: George Hellmuth, 66, Dorthy.com: Jim Anderson, 40, joined as HOT JOBS executive director, strategic federal tax was named director, mid-Atlantic chief technology officer. He had been services practice, and research and region. He was previously senior chief technology officer at StandardID development tax credit leader, Northeast principal at HOK. and chief executive at Augment region. He previously was senior Communications. WANTED: SALES DIRECTOR manager and thought leader of research EDUCATION tax incentives at KPMG. Yeshiva University Museum: Jacob Wisse, LAW COMPANY BBC Worldwide Americas KPMG: Sam Shi, 36, was promoted to 43, was named director. He continues as Greenberg Traurig: Gary D.Ticoll, 58, was JOB DESCRIPTION Leading a team of five that sells BBC footage and director of the U.S.-China practice from associate professor and head of the art appointed shareholder. He had been senior manager. history program at Stern College for special counsel at Cadwalader photos Protiviti: Robert Gould, 33, was promoted Women of Yeshiva University. Wickersham & Taft. MOST IMPORTANT TASK New business development to director from associate director. Hartman & Craven: Anne E. Pitter, 57, FINANCE & INSURANCE was named partner. She was formerly a CREDENTIALS NEEDED Experience in stock footage sales ADVERTISING & COMMUNICATIONS Evercore Partners: George R. Ackert, 39, partner at Thelen. SALARY $90,000-plus, sources say AdMeld: David Hertog, 32, joined as was appointed senior managing director. McKool Smith: Jack Cooney, 61, joined as director of marketing. He was formerly He was previously global head of principal. He previously was a partner at RECRUITER In-house director of marketing at KickApps. transportation and infrastructure at Davis Polk & Wardwell. DOWNSIDE Service targets a niche market, so candidate needs to be Brian Kane, 40, was named vice Bank of America Merrill Lynch. Tom Engel, 62, was appointed principal. president of operations and human Herald National Bank: Henry Auffarth, He had been a partner at Howrey. creative resources. He had been director of 61, was named senior vice president and Skadden Arps Slate Meagher & Flom: UPSIDE Product is fun to sell publisher services at Google, New York. senior managing director. He had been Judith S. Kaye, 70, joined as of counsel. Carat: Steven Feuling, 47, was named senior vice president of the commercial She previously was chief judge of the The BBC has a massive archive of footage and photos, but in the past executive vice president and chief client markets group at Citibank. New York Court of Appeals. it sold the rights to the work only when asked. With this new position, development officer, a newly created Roger Bedore, 65, joined as senior vice Sonnenschein Nath & Rosenthal: Peter the news organization is looking to actively use the archive to bring in position. He was formerly vice president and managing director. He Morgan, 35, was named partner. He revenue. —MIRIAM KREININ SOUCCAR president, demand strategy, and category formerly was a group director and senior had been a partner and chair of the development officer at Yahoo Inc. vice president at Signature Bank. hedge fund group at Thacher Proffitt Doremus: Kristina Walden, 36, was & Wood. appointed director of interactive media. HEALTH CARE She previously was media supervisor at EngenderHealth: Ann K. Blanc, 50, was MEDIA & ENTERTAINMENT Razorfish. named director of the maternal health Muscle & Fitness: Chris Lockwood, 37, Krupp Kommunications Inc.: John Foster, task force. She had been a program was appointed editor in chief of the 39, was named executive director, a officer in the population and American Media Inc. title. He was Networks. associate vice president. newly created position. He was formerly reproductive health program at The formerly president and owner of Majer Warner/Chappell Music: Lee Dannay, 44, Sierra Realty Corp.: Jeffrey Anderson, 59, vice president at Cohn & Wolfe. John D. and Catherine T.MacArthur Sciences. was named vice president of artists and was named managing director. He was Foundation. The Public Theater: Andrea Nellis, 40, was repertoire. She was formerly president formerly an associate at Winslow & Co. promoted to general manager from chief and chief executive of GoodWorks —maia blume EXECUTIVE PROMOTIONS HIGH TECH & NEW MEDIA financial officer. Music, which she founded. CarryQuote: Jeremy Sokolic, 39, was Studio 3 Networks: Courtney Menzel, 42, The fastest way to get an announcement into Find Crain’s calendar listings for Crain’s is to submit details online. Fill out the form appointed senior vice president for joined as senior vice president of content REAL ESTATE Howard Ecker & Co.: The Weeks Ahead online at at www.crainsnewyork.com/submit. The marketing and product management. distribution. She continues as senior vice Lou Vidaillet, 29, www.crainsnewyork.com/events

Executive Moves column is also available online. He was formerly vice president of president of national accounts at MTV was promoted to vice president from M

April 6, 2009 | Crain’s New York Business | 23 Project5 3/31/09 1:28 PM Page 1

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