TOP STORIES GRIDLOCK Editorial CUNY to tackle See Page 12 community college Should NYC dropout problem try congestion PAGE 2 ® pricing? Ugly legal battle Vote @NewYorkBusiness.com burns landmark restaurant; can it recover? VOL. XXII, NO. 50 WWW.NEWYORKBUSINESS.COM DECEMBER 11-17, 2006 PRICE: $3.00 PAGE 2 SMACKDOWN: Spitzer energy USA’s prime-time ratings gains are Developers panel tinged green; due to pro an insider pick wrestling, which President Bonnie for budget director Hammer brought back to the abandoning PAGE 3 network. Curtis Sliwa finds a safe haven near condo deals a mosque PAGE 6 Companies turn Flagging market has television cameos owners converting into profit gushers; to hotel projects joining MySpace as demand soars SMALL BUSINESS, P. 23 BY JULIE SATOW

BUSINESS LIVES for the past two years, the Chetrit Group has been moving full-steam ahead with plans to convert the Empire Hotel into 125 luxury condominiums. But now that fast-paced condo sales have braked, the developer is switching THE GREAT VISA CHASE gears and repositioning the dowdy Expats on edge as they building across from Lincoln Cen- await permanent status ter as a 440-room upscale hotel. BOWING OUT: The project partners sold PAGE 33 More developers are finding 485 Fifth to Hyatt when units failed to move. that the speediest exit strategy from the faltering condo market is jennifer chiu to sell their projects to hotel oper- keting. The company did not re- AT DEADLINE ators anxious to expand in New turn calls for comment. York. In some cases, developers “Real estate developers go THE NUMBER OF RESIDENTIAL have tried to market their projects wherever the money is, and right FORECLOSURES in New York to condo buyers first but end up now they see hotels as the bloom on City increased to 2,143 in choosing to cash out quickly be- the rose,” says John Fox, a senior October, a 28% rise over cause of sluggish sales. Others, like vice president at PKF Consulting. September, according to data the Chetrit Group, are making the Though a handful of small con- provider RealtyTrac.The move even before they begin mar- See CONDO-TO-HOTEL on Page 8 sharpest jump occurred in USA Network’s Brooklyn, where 815 homes were in foreclosure, a 62% change. Foreclosures in the cliff-hanger Bronx increased 42% to 301. Staten Island foreclosures Miserly regulators jumped 29% to 270.The Pulls out programming stops numbers were essentially flat in Manhattan and Queens. to beat TNT, grab No. 1 spot chill Wall St. favors The percentage of troubled loans in the city remains well BY MATTHEW FLAMM Bank of America and Citigroup. below the national average. Firms limit client “Firms that hired a 12-piece band on dec. 22, usa network will present an attention-grab- entertainment; no last year are now hiring a quartet. THE CHAIRMAN OF THE bing edition of Monk, showing an episode in black and Those that hired a quartet just COMMISSION that proposed white, followed by the same one in color. USA will also add more coffee cups? want a piano player.” closing nine New York One reason: Securities regula- hospitals says that the state an hour to its regular two hours of wrestling that week. tors and federal prosecutors are in- must revamp its system for Meanwhile, this Sunday, competing cable network BY AARON ELSTEIN vestigating Wall Street’s entertain- long-term care. Goals include TNT will air the entire Lord of the Rings cycle. ment practices,believing that some promoting at-home care, The special programming makes December feel like even though Wall Street is fin- gifts and parties have crossed the See AT DEADLINE on Page 2 See USA’s on Page 8 ishing one of its most bountiful line from camaraderie-building to

buck ennis years ever, Erik Marshall detects a bribery. The examination of ex- miserly air. pense-account statements threat- “Across the board, brokerage ens one of investment banking’s COMINGNEXT WEEK firms are spending less on client most cherished traditions—big Corporate giving is about donating parties than they did a year ago,” nights out on the company’s products as well as cash, organizing says Mr. Marshall, a partner at dime—and are forcing many firms ELECTRONIC EDITION volunteer efforts on a company-wide Hank Lane Music and Produc- to tone down client entertainment. basis and taking advantage of the Web. tions, which books performers for “The culture has definitely

NEWSPAPER parties held by Goldman Sachs, See REGULATORS on Page 8 AT DEADLINE Continued from Page 1 Avenue store, although he later CUNY’s new lesson plan restructuring reimbursements to said a final decision has not been emphasize preventive care and made. ending the costly competition with us to create a new model for the to college coursework and opportu- among hospitals for big-ticket TAKKLE.COM, A SOCIAL Proposal would help academic success of community col- nities for paid internships and jobs. technology. Stephen Berger, NETWORKING SITE for high community college lege students,” says a CUNY During the school year, students speaking at a Crain’s breakfast school athletes, will debut on spokesman. would be divided into tightly sched- event on Friday, said he did not Monday.The company, which students graduate Nationally, only 24% of commu- uled morning and afternoon class blame the state’s health care has offices in Times Square, is while keeping jobs nity college students graduate with and study blocks for a minimum of problems on the health backed by major players in the associate’s degrees within six years 12 credits per semester. Students insurance industry, which has city’s investment community: of enrolling, according to Columbia would attend class and be expected been targeted by some hospital Jack Schneider, a managing BY SAMANTHA MARSHALL University’s Community College to complete their homework within groups. But he says insurers will director at Allen & Co., as well Research Center. While some en- each morning or afternoon session. need to cooperate in as Greycroft Partners, administrators from the City rollees transfer to four-year pro- Students would receive counseling overhauling payment systems. Wasserman Media Group and University of New York are meeting grams, the majority of community from tutors and mentors. IJ Smith Enterprises. with Mayor Michael Bloomberg college students at some point give ANIMAL RIGHTS GROUPS WILL this week to garner support up on their education. Balancing work and school CAMPAIGN against city TRAVELOCITY, A SOUTHLAKE, for a proposal that could CUNY would initially the program will also help stu- restaurants that offer foie gras, TEXAS-BASED AGENCY that transform the city’s com- 42% enroll 1,000 students in its dents find part-time jobs structured says Gene Bauer, president of booked more than $7.4 billion munity colleges, sources SHARE of all new program.University of- around their academic schedules so undergrads Farm Sanctuary, a nonprofit in travel last year, signed a five- close to the talks say. nationwide ficials hope that 50% of that their need to earn money won’t spearheading the effort.The year lease for the entire 10th The innovative program enrolled in them would graduate within interfere with their studies. campaign may start on floor, or 17,500 square feet, at would use intensive tutor- community three years of entry,and 75% “That makes a lot of sense,” says Valentine’s Day and will include 325 Hudson St.The building, at ing and counseling to tack- colleges would complete their de- Melinda Mechur Karp, senior re- protests outside restaurants. Vandam Street, has an asking le the chronic dropout grees within four years. The search associate at the Columbia re- Farm Sanctuary is also talking rent of $44 per square foot. problem afflicting the CUNY com- effort would involve the six commu- search center. “We’re hearing there to prominent owners and chefs Travelocity, which was munity colleges, whose predomi- nity colleges: Borough of Manhat- are conflicts between work and about supporting its cause. represented by Cushman & nantly lower-income students are tan,Bronx,La Guardia,Queensbor- school, and students don’t feel they Wakefield Inc., is relocating its often forced to give up their studies ough, Kingsborough and Hostos. get enough support services.” LORD & TAYLOR’S FANS ARE New York office from 139 because of the need to support Before their first semester, stu- Academic experts say that the RALLYING to protest the pos- Centre St. GVA Williams themselves or their families. It dents would work with academic tu- CUNY program could reshape com- sibility that the retailer will leave represented the landlord. would be part of the mayor’s soon- tors to bring their reading, writing munity college programs across the Manhattan. Spurred by a to-be announced antipoverty effort. and math skills up to the college lev- United States. mention in an e-mail newsletter KIDZ BOP, A CD SERIES THAT “We are encouraged by the inter- el. They would also enroll in special called The Three Tomatoes,a FEATURES children singing est of the mayor’s office in working summer programs and be exposed COMMENTS? [email protected] group of concerned shoppers pop songs, will score a has been sending angry letters to marketing coup Wednesday Richard Baker, president of the when the Kidz Bop Live touring department store’s new parent show makes its first television company, NRDC Equity appearance.The performance Partners. Mr. Baker said last on shopping channel QVC will month that his private-equity promote CDs and the start of a Ugly legal battle burns firm might close the Fifth new tour. ■

CORRECTIONS The name of Nina Campbell, the designer for The Campbell Apartment, was misstated in the landmark restaurant Dec. 4 “New York, New York” column. The name of accounting firm Rothstein Kass was misspelled in the Dec. 4 Business Lives feature, “Holiday stress tests.” Fight is over; One if by Land must restore reputation The New York Times Building is owned by The New York Times Co. and Forest City Ratner Cos. The ownership was misstated in CoStar’s Dec. 4 list of the most active Manhattan office buildings. BY LISA FICKENSCHER one if by land, two if by sea, THIS WEEK IN CRAIN’S the storied Greenwich Village restaurant where marriage REAL ESTATE DEALS------11 proposals are popped more often VALERIE BLOCK ------13 than champagne corks, is gearing

THE INSIDER------14 up for its 35th anniversary. But far more important to its NEIGHBORHOOD owners is another milestone: the JOURNAL------15 apparent end of seven years of WEEK IN REVIEW ------16 nasty litigation that has sullied their reputation and left One if by 37 THE WEEKS AHEAD ------18 Land bruised and battered.The REPORT: 15th-most popular eatery in the SMALL BUSINESS------23 city nearly a decade ago ranks No. 41 today, according to the 2007 CLASSIFIEDS ------32 New York Zagat Survey. BUSINESS LIVES------33 “We are working very hard on a HOME FRONT------36 revival of the restaurant,” says CORPORATE LADDER------37 Noury Goujjane, who owns the

EXECUTIVE MOVES------38 venerable spot with his wife, 39 Colleen. “The legal expenses were BOB LAPE ------39 taking away from our ability to vol. xxii, no. 50, december 11, 2006—Crain’s New York Business (issn 8756-789x) is pub- lished weekly by Crain Communications Inc., 711 Third Ave., New York, NY 10017. Periodi- invest in the business.” cals postage paid at New York, N.Y. and additional mailing offices. Postmaster: Send address Mr. Goujjane, 43, is reluctant to CARRIAGE HOUSE changes to: Crain’s New York Business, Circulation Department, 1155 Gratiot Avenue, Detroit, DIVIDED: The family of MI 48207-2912. for subscriber service: Call (888) 909-9111. Fax (313) 446-6777.$3.00 a copy, $59.79 one year, $109.79 two years. (GST No. 13676-0444-RT) ©Entire contents discuss the suit, the details of the original owner said copyright 2006 by Crain Communications Inc. All rights reserved. which have never been revealed he was manipulated.

See CLASSIC SPOT on Page 9 buck ennis

2 | Crain’s New York Business | December 11, 2006 THE SPITZER TRANSITION State energy panel eyes tough policies

“We think Eliot gets it,” says Advisory committee may set new standard KeySpan’s Mr. Manning. “We be- on environmental issues; antibusiness slant? lieve we’ve got the right people in the room.” “There’s nothing stopping New KeySpan Chief Executive Rob- BY ERIK ENGQUIST York from going in this direction,” ert Catell is on the advisory panel, SMOKING OUT CARBON: Katherine Kennedy of the he says. and Patrick Foye, deputy chairman NRDC wants the new a committee advising Governor- Indeed, Mr. Spitzer seems in- of Long Island Power Authority, is governor to broaden the elect Eliot Spitzer is likely to push clined to match California’s hard- part of Mr. Spitzer’s inner circle, scope of a regional for the adoption of the most aggres- hitting regulations, if not surpass Mr. Manning points out. antiemission program.

sive energy and environmental poli- them. During his campaign, he de- The industry is taking a prag- buck ennis cies in the nation. Its recommenda- clared,“Environmental stewardship matic approach to dealing with the tions, due before the holidays, will is good for the economy.” Singling political momentum of Mr. Spitzer Mr. Manning says. “If you engage science, it will be done to you. You include building new, clean power out power plants as “the No. 1 pol- and the environmental crowd. the issue, you have a larger role in want to be at the table.” sources and cracking down on older luter in our state,” he called for “a “We’ve all recognized that there’s designing the policies themselves.If power plants and factories that spew new generation of power plants that a real issue around climate change,” you’re standing back denying the COMMENTS? [email protected] greenhouse gases. run on cleaner-burning fuels.” Mr. About three-quarters of Mr. Spitzer sees his huge election victo- Spitzer’s 29-member energy and ry as a mandate to follow through. Green groups assert that tighter state rules will ultimately benefit GREEN GOALS New York businesses by preparing Making the numbers work Besides attacking global warming them for more stringent federal reg- issues, Eliot Spitzer’s environmental ulation down the road. But Mr. committee may ask him to: Pokalsky is dubious. government can make a differ- Mr. Francis worked for two law “You have to question whether Spitzer appointee ence—education, health care and firms, including Skadden Arps DOUBLE land-preservation New York state can afford to tight- Paul Francis must economic development,” Mr. Fran- Slate Meagher & Flom from 1983 funding to $500 million a year en its own screws when most of the cis says. to 1986. He became friends with TOUGHEN clean-water rules to nation is doing absolutely nothing, find state money New Yorkers have heard this Mr. Spitzer’s wife while at the firm, compensate for federal inaction or very little,” he says. to fund new agenda kind of rhetoric before. Republican and the two men renewed their RESTORE Department of Gov.George Pataki ran as a budget- friendship. Environmental Conservation staff Cause for concern cutter in 1994, but state spending to previous levels “it’s a very legitimate concern,” BY ANNE MICHAUD has grown 77% in his 12-year Politically active agrees David Manning, chief envi- tenure, to $110 billion. Tom Basile, after leaving Priceline.com in PASS a new law to govern siting ronmental officer for KeySpan for much of his life, Paul Francis a Republican strategist, predicts 2001,Mr.Francis founded a venture of power plants Corp.,the state’s largest generator of has been the brainy one behind the that the situation will worsen under capital firm, Cedar Street Group, REVIEW Pataki administration electricity. scenes,hammering out the details of “tax-and-spend liberals” in the with two colleagues from Web- decisions on power-plant If New York unilaterally sets the big idea. Spitzer administration. House Club, a Priceline.com spin- emissions emissions standards that drive up In the business world, he advised If that is the incomer’s bent, he off. The idea was to extend the energy costs, people would buy Ann Taylor Stores on its initial pub- shows little sign of it. “Government name-your-price model to groceries more power from cheaper coal lic offering and helped guide the doesn’t have the resources to do all and gasoline, but WebHouse failed environment policy advisory com- plants in neighboring states,he says. launch of its successful Loft divi- things,” Mr. Francis says. within a year. mittee are environmentalists, as are New York would get the worst of sion. He negotiated three rounds of Besides a spot on a Westchester Mr. Francis lives in Pelham two of its three co-chairs. The im- both worlds: higher utility bills and financing for Internet high-flier County utility board, this is his first Manor with his wife, Titia Hulst, balance has not been lost on busi- dirtier air. Priceline.com, while Chief Execu- job in government. The son of an and their two teenagers. He is active ness advocates. With that in mind, industry tive Jay Walker collected kudos in local politics and gave “It’s a concern to us that in gen- leaders will closely watch how Mr. as the “New-Age Edison.” $26,000 last year to the na- eral, industry has relatively little Spitzer implements the Regional Mr. Francis, 52, is now tak- tional Democratic Senatorial representation,” says committee Greenhouse Gas Initiative. Pro- ing on his most difficult finan- Campaign Committee. member Ken Pokalsky, director of nounced “reggie,” RGGI is a nine- cial challenge yet. As Gover- David Alpert, former environmental programs for the state effort to cut carbon dioxide nor-elect Eliot Spitzer’s newly Westchester County Demo- Business Council of New York emissions from power plants, large- appointed state budget direc- cratic chairman, says he has State. “It would have been nice to ly by imposing caps on energy pro- tor, he must close a $2.9 billion heard Mr. Francis criticize have additional technical expertise ducers. New York’s current target annual budget deficit but also both ends of the political spec- from our side on the panel.” is a 10% reduction from 1990 levels free up the funding to keep trum. “He’s certainly not a Members of the committee, who by 2020. campaign promises, like cut- conservative,and he’s not a lib- IN TOUCH: Paul have met twice and are set to con- Katherine Kennedy, senior at- ting middle-class property tax- Francis (right) is eral, either,” Mr. Alpert says. vene for the final time today, won’t torney for the Natural Resources es and providing health insur- an old friend of “He’s a professional business- discuss the panel’s deliberations. Defense Council, says the program ance to every child. Eliot Spitzer’s. man. He gets the job done.”

But they readily reveal their should also cover factories. The job of budget director, ap images People who have worked agenda for the new administration. “That’s something Gov. Spitzer traditionally a low-profile post with Mr. Francis on policy is- Their top priority: reducing the car- could do through the Department with relatively minimal impact, has IBM executive and a homemaker, sues during the past 18 months say bon emissions blamed for global of Environmental Conservation taken on greater significance with Mr. Francis grew up in Chappaqua. they are impressed with his intellect warming. with regulatory action,” she says. his appointment late last week. Mr. His sister, Abby Kohnstamm, is a as well as his manner, which is unas- “He would not need the Legisla- Francis is a close friend of Mr. former high-level marketing execu- suming and receptive. He is a type B Playing it smart ture.” Other reforms could meet re- Spitzer’s—as well as of his wife, Sil- tive at IBM. Mr. Francis graduated personality to Mr. Spitzer’s type A. “new york would be very wise to sistance in the Republican-led state da Wall Spitzer—and was the cam- from Yale University and New York Even when ferreting out oppos- continue with the progress it’s made Senate. paign’s chief policy adviser. He will University School of Law. ing camps on a given issue, Mr. to date and be a national leader on Ms. Kennedy’s organization will hold the additional title of senior His first political hero was Francis has made all sides feel heard, the issue of climate change,” says figure prominently in the recom- adviser to the governor. Chappaqua Assemblyman Edward says Elliot “Lee” Sander, a trans- Robert Moore, a committee mem- mendations of Mr. Spitzer’s adviso- Meyer, a Republican-turned- portation expert who advised the ber and the executive director of ry committee, which is co-chaired Budget deadline looms Democrat whom Mr. Francis de- campaign. Environmental Advocates of New by NRDC’s air and energy program with a budget proposal due Feb. scribes as someone who went into “He has created a good network York. director, Ashok Gupta. 1, Mr. Francis is already talking politics “to make the world a of checks and balances,” Mr. Sander Mr. Moore says the state should Nevertheless,some in the energy about making tough choices. better place.” Messrs. Francis and says,“and he has done it in a way that pass legislation establishing econo- industry say they won’t be marginal- “We must make the hard deci- Spitzer first met while volunteering hasn’t alienated anybody.” my-wide targets for carbon dioxide ized by Mr. Spitzer and the green sions so we have the resources avail- on Mr. Meyer’s 1976 campaign for reduction, as California has. activists. able to invest in the priorities where Congress. COMMENTS? [email protected]

December 11, 2006 | Crain’s New York Business | 3 IN THE MARKETS HIGHLIGHTS REEL Powerhouse Lehman +2.1% has little room to grow The Bloomberg/ nancial officer.“But it’s going to get hard- post extraordinarily strong gains in earn- Crain’s New Earnings growth er for Lehman to keep running at full tilt.” ings through much of the year. York Index Of course, analysts have been predict- Interest rates in Europe are now ris- rose 2.1% expected to level off to end the ing a Wall Street ing, however, and the as bond markets cool slowdown for difference between

week at ➡ 375. The months, and they the cost of short-term S&P 500 have been flat-out money and that of BY AARON ELSTEIN Index rose wrong as the busi- long-term money is 0.9%, nesses of arranging narrowing. That is closing at t’s a testimony to Dick Fuld’s corporate mergers making it harder for 1410. success as Lehman Brothers’ chief and taking companies bond traders to make executive that when the firm said public have surpassed money and is a big rea- last week that over the next decade all expectations. With son why analysts ex- it would award him shares worth Lehman executives pect Lehman’s earn- RISERS I$186 million, there was nary a peep of saying they plan to ex- ings to grow only 4% 5-DAY 1-MONTH 3-MONTH CLOSING protest. pand in private equity, next year, a far cry % CHANGE % CHANGE % CHANGE PRICE Lehman’s transformation from bond proprietary trading from this year’s ex- Investment Tech. +19.6% +7.8% +1.2% $44.16 specialist to all-around Wall Street pow- and acquisitions, the pected 24% rise and erhouse has been one of the industry’s firm could yet pull 2005’s 38% jump. Take-Two Interactive +12.7% +32.4% +69.6% $20.10 most noteworthy accomplishments of re- another rabbit out of “It’s tough to see New York & Co. +10.8% +7.2% +26.8% $14.18 cent years. Investors have shared in the its hat. how Lehman will pick Market cap $41 billion Bank of New York +10.4% +13.2% +15.7% $39.16 good times. The firm’s share price has But skeptics note up the slack,” Bern- stein’s Mr. Hintz says. OSI Pharmaceuticals +9.5% +3.4% +6.7% $39.30 soared nearly 125% over the past five that the firm is now Year-to-date price change +20% years—narrowly outperforming Gold- getting squeezed by Lehman will re- CEO’s shares $620 million man Sachs and well ahead of Merrill slowing bond mar- port full-year results SINKERS Lynch and Morgan Stanley. kets, which remain next week. Analysts 5-DAY 1-MONTH 3-MONTH CLOSING Trouble is that Lehman’s stock, which the heart of its busi- project 2006 earnings % CHANGE % CHANGE % CHANGE PRICE closed Friday at $77.03, is hardly cheap. ness, despite recent diversification ef- of $3.9 billion, or $6.74 a share, on rev- Sirius -10.8% -8.0% -3.6% $3.79 With analysts expecting the firm’s stellar forts. So far this year, 56% of revenue has enue of $17 billion, compared with the Pfizer -9.6% -5.4% -8.7% $25.18 earnings growth to level off next year, now flowed from debt sales and trading. prior year’s per-share income of $5.44 on is a good time for shareholders to pocket The bond business slowed consider- revenue of $15 billion.Next year,analysts Reckson -4.5% +5.7% +7.0% $45.95 their winnings and move on. ably in the United States this year due to think profits will hit $7.01per share on Warner Music -3.2% -9.8% -2.2% $24.00 “The stock is priced for perfection,” rising interest rates. Fortunately, robust revenue of $18.5 billion. Interpublic -2.9% +3.7% +22.2% $11.60 says Sanford C. Bernstein & Co. analyst bond markets in Europe more than made Brad Hintz, a former Lehman chief fi- up for the slowdown,allowing Lehman to COMMENTS? [email protected]

STOCKS TO WATCH America’s comic-book kingpin defies odds with Marvelous results; ‘Thanks, Spidey’ TALK ABOUT INCREDIBLE FEATS. Shares of Marvel Entertainment have shrugged off three quarters of double- digit profit declines, and the prospect of at least one more to come. While they rose only modestly last week, they are up 29% over the past three months. Investors are gearing up for the 2007 release of movies Ghost Rider, Spider- Man 3 and The Fantastic Four 2. Char- acters including Spidey also will show In a world of instability, one private bank has remained steadfast for up as toys and appear in video games. two hundred and twenty-two years. Makers of filtration equipment have rarely drawn a crowd on Wall Street—at least until recently. In the past three months, shares of Pall have leapt nearly 30%, adding almost 12% last week alone. Yes, company profits are growing, Generation after generation, The Private Bank of The Bank of New York has been acquiring financial wisdom and serving its clients but the real question is: Are filter makers suddenly sexy, or is Pall seen as with unwavering commitment. just the sort of company likely to become the focus of a richly priced leveraged buyout? This is the home of the nation’s first trust, created for the wife and seven children of our founder, Alexander Hamilton. And this is where we have continued to serve our clients and their families ever since. Going into last week, shares of G-III Apparel were among the best Even in today’s banking climate of change and uncertainty, The Private Bank is an oasis of stability – preserving wealth, investing for the performers of all New York-based firms’ future, and helping families succeed. Just as we have been doing for over two centuries. To learn more about how our enduring commitment stocks. News on Thursday of a 57% to trust and investment management can bring you peace of mind, call Thomas F. Scaturro, Managing Director, at 212-408-7785. jump in quarterly earnings put the coat maker’s stock into overdrive, and it raced ahead 38%. With shares trad- The Private Bank since 1784 ing at 22 times next year’s expected earnings—roughly in line with results for superstars like Ralph Lauren—the trick will be for G-III to not merely grow, but to do so consistently. ©2006 The Bank of New York. Member FDIC. charts: jennifer chiu

4 | Crain’s New York Business | December 11, 2006 Wo rk i n g We a lt h needs experience

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BuenosAires Rockefeller Center

welcomes the following lease renewals Chicago and expansions NEW YORK,NEW YORK Frankfurt Highline Capital edited by Valerie Block December 11-17 Management, LLC London represented by

LosAngeles Timothy J. Dempsey and Jonathan More of CB Richard Ellis, Inc. and

Madrid Baby site “When a restaurant tumbles Richard S. Plehn of strikes Nerve the way we did, they don’t usually Milwaukee GVA Williams, Inc. come back,” says Mr. Evans. forget sex. Nerve.com’s newest sibling is all about parenting. On

NewYork Tuesday, Nerve Media, the creator Master of verse Occidental International of the soft-core relationship site, gives warning

NorthernVirginia Corporation will give birth to Babble.com, an represented by online magazine for urban parents. i told a friend two years ago Kenneth D. Rapp, The site will feature personal That real estate’s a bubble. essays, videos, message boards and “I know,” he said, “but what the Timothy J. Dempsey and other interactive features. “The heck, Paris James C.Ackerson of existing parenting magazines do I’ll scoot before there’s trouble.” Philadelphia CB Richard Ellis, Inc. not express the joy, pain and Alas, he stuck around too long, humor of having children,” says He wanted to hit the top. Rufus Griscom, Nerve’s chief Now he sings a pauper’s song,

SanFrancisco for leasing information, please contact: executive, who has a 21-month- His losses just won’t stop. Peter Brindley old son. He says his site has “a I’m telling you today, my friend, Natalia Macias Gilbert sleek sophisticated design” and With stocks still flying high,

SaoPaulo Todd Silverman will appeal to mothers and fathers. This market’s gonna crash quite Theodore Koltis Mr. Griscom, who’s expecting soon, his second child in June, says Though I’m not sure just why. Seattle gettyimages Nerve Media invested about It might be war, or debt, or oil.

SiliconValley $500,000 in technology to build The tipper? Take your pick. Guardian Angel Babble.com and expects more I can’t predict exactly, but ... 212.715.0300 than half a million regular readers I’m saying: “Get out quick.” finds safe haven by the end of next year. American —the wall street poet Sydney street crawling Apparel, Skip Hop, Netto Col- http://www.wallstreetpoet.com

WashingtonDC lection and Scandinavian Child with undercover cops have signed on as advertisers. Crain’s neither agrees nor disagrees might not lure most with the opinions in this verse. ANew Yorkers seeking a Compass eatery condo, but for Guardian regains bearings Struggling Giants Angel and WABC radio score with fans show host Curtis Sliwa compass has gotten its groove back.The Upper West Side new team turmoil may be hurting (above), the added heat American eatery is expected to the New York Giants on the field, Weiser is pleased to announce that seemed pretty cool.The red- pull in $5 million in revenues this but it’s done wonders for ratings. bereted celebrity, who year, compared with $3.6 million The Dec. 3 survived a 1992 mob hit in 2004, when it lost nearly a third matchup against John of its business. the Dallas Cow- Martin J. allegedly ordered by Rated the best new restaurant boys was watched Gotti Jr., moved into a $1.2 in the 2003 Zagat Survey, Com- by 1.4 million million two-bedroom, two- pass fell on hard times after chef New York house- Lieberman bathroom condo on East Neil Annis left to open his own joint. holds, 10% more

has joined as a partner. Patrons suffered through three me- gettyimages than watched the 96th Street last week, right diocre chefs in the next 13 months. same matchup last year, according next door to Manhattan’s “We were in sorry shape then,” to Nielsen. largest mosque. says co-founder Don Evans, who Media buyers expect the New York City Mr. Lieberman possesses more than sold his share of the restaurant and Giants to stay hot—putting Fox 135 West 50th Street “My primary reason for New York, NY 10020 30 years of experience providing is now a consultant to it. flagship station Channel 5 in the Tel 212.812.7000 accounting, tax, and business valuation moving was security,” says Executive chef John Fraser made catbird seat with advertisers. “The Fax 212.375.6888 services. Mr. Lieberman has served clients Mr. Sliwa, who vacated a all the difference when he joined Giants having lost these last few Long Island in a broad range of valuation assignments, rental on East 34th Street. in April 2005. Last year he weeks has made the season more 3000 Marcus Avenue secured a two-star review in The interesting,” says Rich Golden, Lake Success, NY 11042 including shareholder dissent suits, “I’ve had all kinds of New York Times, and last month executive vice president at HN Tel 516.488.1200 contract damage claims, divorce, and tax Fax 516.488.1238 problems with the Gottis he was named one of four chefs to Media & Marketing Inc. disputes. Mr. Lieberman’s focused expertise and the Gambinos, includ- watch by Esquire. With yesterday’s start time Westchester primarily encompasses estate and trusts 660 White Plains Road ing threats against my son.” earlier in the day than Tarrytown, NY 10591 tax matters, valuations of closely held Dec. 3’s kickoff, Tel 914.333.0555 businesses, technology-based growth The land beneath the AIR GUITAR viewership may not have Fax 914.333.0556 companies, medical instruments and residential tower, developed PAUL GREEN’S School of Rock will expand been as high. But the New Jersey prospect of more 399 Thornall Street biotech companies, and service companies. by The Related Companies, in metro New York next year. The music Edison, NJ 08837 is leased from the Islamic school, which inspired the Jack Black come- clubhouse squabbling— Tel 732.549.2800 Weiser's Business Valuations Group dy of the same name, will open in Manhas- between Michael Strahan Fax 732.549.2898 Cultural Center of New Plaxico provides appraisal services of equities set and Huntington, L.I., and Chatham, N.J., (above) and Burress, or between Tiki www.weiserLLP.com of closely held companies and other York. But Mr. Sliwa says the bringing the number of Barber and Coach Tom religious connection works locations to 15 in the intangible assets. Coughlin—should keep for him. “The NYPD has to area and 25 nation- fans enthralled. “When make sure nothing happens wide. The School of there is midweek For more information, contact Rock All-Stars will Martin J. Lieberman, CPA/ABV, ASA to the worshippers or their coverage and compelling Weiser LLP appear at B.B. King’s stories attached to the Certified Public Accountants at 212.375.6558. shrine,” he says. in Manhattan on team, people tune in,” Prudential Douglas Dec. 26. says sports TV consul- Elliman brokered the deal. tant Neal Pilson. ■

6 | Crain’s New York Business | December 11, 2006 © 20 06 FedEx.

Your total solution for all your business needs is closer than you think. FedEx Kinko’s Office and Print Center has over 1,500 worldwide locations, many open late. From copying and printing to packing and shipping, FedEx Kinko’s offers a range of solutions for all your office needs. FedEx Kinko’s helps save you time and money so you can focus on the things that really matter — like growing your business. For more information, go to fedexkinkos.com. Our office is your office.® ® Regulators chill Wall St. favors NASD RULE 3060(a) NO MEMBER OR PERSON associated with a member shall, Continued from Page 1 Others firms appear to be crack- ness was so good.No one has forgot- directly or indirectly, give or permit to be given anything of changed,due to government regula- ing down before the regulators ar- ten how brokerage houses shelled value, including gratuities, in excess of $100 per tion,” says Tatiana Byron, president rive. A UBS employee was ordered out millions to fete dot-com execu- individual per year to any person, principal, proprietor, of party planner 4PM Events. to return coffee mugs bearing the tives,investors and various hangers- employee, agent or representative of another person The government’s investigation, name of the vendor who sent them. on at such hip venues as Tribeca where such payment or gratuity is in relation to the which began about two years ago, A stockbroker at Citigroup’s Smith Rooftop. But the parties proved to business of the employer of the recipient of the payment or claimed its first casualty last week Barney says he’s stopped giving out be much more successful than the gratuity. A gift of any kind is considered a gratuity. when Jefferies Group Inc. agreed to bottles of wine or taking customers businesses they celebrated,and Wall

pay $10 million to the Securities and to dinner.“I send Citi calendars now Street is keen to avoid the percep- istockphoto Exchange Commission and the Na- instead,” he says. tion of spending frivolously again. tional Association of Securities “Particularly among the publicly leveraged buyout shops are still hap- to additional business for our firm at Dealers.The fine settled charges that Picking up the tab traded companies, there’s a real py to spare no expense for a lavish some point.” a former salesman treated Fidelity some wall street executives are C.Y.A. attitude of ‘Have a nice par- evening. The pullback in entertainment Investments employees to more than finding themselves in the peculiar ty, but nothing over the top,’ ” says spending may also help explain why $1 million worth of chartered flights, position of dipping into their own Howard Givner, president of party Extravagant fun New York Knicks tickets are widely golf outings, Super Bowl tickets, and deep wallets and picking up the tab planner Paint the Town Red Inc. this past september, Mr. Rose available for the first time in years. parties sponsored by Maxim and if dinner with a client exceeds the For example, Morgan Stanley’s bought scores of Rolling Stones Most seats at Madison Square Gar- Playboy in an effort to win more busi- limit set by the NASD—$100 per “marketing and business develop- concert tickets with a face value of den cost more than Wall Street’s ness from the mutual fund giant. person per year. ment” costs eased to $828 million $160 each, and hired a fleet of buses $100 gift limit. An MSG spokes- Renowned investment bank “It’s weird,” says Simon Rose, through the first three fiscal quarters to transport customers and employ- man declined to comment. Lazard Ltd. admits its gift and gra- chief executive of investment bank of this year, from $831 million a year ees to and from Giants Stadium.Be- “Corporate cutbacks are one rea- tuity practices are under investiga- Dahlman Rose & Co. “But all over earlier, even though revenues soared fore the show, he fed his guests ribs son there are lots of empty seats,” tion by the Justice Department, the Street, people are erring on the by 27%.In dot-com crazed 2000,the and fried chicken, washed down says executive recruiter Brian Drum SEC and NASD. Trading firm In- side of caution.” firm spent a whopping $1.6 billion with as much soda, beer and liquor of Drum Associates Inc.“Of course, vestment Technology Group Inc. Wall Street firms are also under on business development. as they cared to drink. the Knicks also aren’t very good.” also says it’s been contacted by the pressure from shareholders to avoid Fortunately, privately owned “I got to meet lots of clients that SEC and NASD. the excesses seen the last time busi- brokerage firms, hedge funds and night,” he says. “That may translate COMMENTS? [email protected]

planned to build at 485 Fifth Ave. selling it as a hotel, but it was easy “They could wait it out another and profitable,”says Kenneth Horn, Condo-to-hotel conversion trend two years to sell the remainder of the president of Alchemy. units or receive an immediate return But a hotel sale may not be the Continued from Page 1 keep rising.In the third quarter,con- at Lodging Investment Advisors. on their investment by selling to only option for developers faced dominium projects have already do sales fell 7%, to 1,026, and listings The recent sale of the W New Hyatt now,” says Mark Gordon, a with a stagnant condo market. Res- been converted into boutique ho- were on the market an average of 4% York-Union Square is fueling the managing director at investment idential rents have jumped as much tels, the Empire shows that the longer, or 155 days, according to ap- fire. Istithmar, an investment group bank Sonnenblick Goldman, which as 15% in the past year and are ex- trend is catching on with bigger de- praisal firm Miller Samuel. owned by the government of Dubai, represented Belfonti and Carlyle in pected to keep rising. Though velopments. It is the third such con- On the other hand,the New York paid a record-breaking $285 million the $136 million deal. they’re not high enough yet to cov- version in as many months.Most re- hotel market is experiencing for the hotel,at East 17th Street and er most builders’expenses,the gap is cently,the Philadelphia-based hotel tremendous demand. The average Park Avenue South. Quick route to profits closing. group Korman Communities ac- cost of a room is an unprecedented “The W deal represents the first a hyatt spokeswoman says the “If you bought land in the past 24 quired a condominium project on $260 a night, and the average occu- time in Manhattan that a hotel was company hasn’t completed its plans months, you have paid through the Sutton Place when sales there pancy rate is 88%,according to PKF sold for more than $1 million a for the building. nose, and right now rents don’t pen- stalled. In September, the Global Consulting. room,” Mr. Hennessey says. “For Alchemy Properties, which had cil in,” says Peter Von Der Ahe, a di- Hyatt Corp. bought 485 Fifth Ave. many projects, we’ve reached a intended to convert the former Sut- rector at Marcus & Millichap. “In when buyers failed to materialize. Looking at sites crossover point where hotel use is ton Hotel on East 56th Street into most cases, developers are not well- The three projects promise to “we have been approached by a more valuable than residential.” condo units, also chose the quick capitalized enough to wait until create more than 700 hotel rooms. number of clients to evaluate sites for Belfonti Capital Partners and route to profits. The firm sold the rents rise, so a hotel sale is a more The number of condos on the hotel use that had once been slated for the Carlyle Group reached that building to Korman for $84 million immediate solution.” market has surged 69.7% in the past condominium development,” says point after selling just under half of rather than wait for all the units to sell. year,to 3,943 units,and is expected to Sean Hennessey, the chief executive the condominiums that they had “We received about 10% less by COMMENTS? [email protected]

USA is up 11% in that age demo- ings gains to wrestling,which doesn’t graphic so far this year and up 14% in attract a wide range of advertisers, USA’s year-end cliff-hanger total viewers, according to Nielsen. Mr. Wakshlag says. Almost as crucial to the channel’s TNT can also boast of being the Continued from Page 1 success, observers say, has been the advertising front-runner. Its gross sweeps month at the broadcast net- introduction of its “Characters Wel- ad revenue is projected to reach works, and in a way it is. USA, a di- come” logo, which helped create a $787 million this year, 1.4% more vision of NBC Universal, is poised unified identity for its hodge-podge than in 2005, according to Kagan to seize cable’s annual prime-time of programs, including wrestling, Research. Cable operators also pay ratings crown for the first time since Monk and repeats of Law & Order. TNT higher license fees, which are 1999. It would supplant TNT, expected to boost cash flow to which has owned ad-supported ca- Rare feat $666 million on total revenue of ble’s primetime for the past four the pièce de résistance was cre- $1.7 billion. years. ating the series Psych, scheduling it USA’s ad sales are growing more USA has a lot to gain. A first- after Monk and achieving the rare quickly. This year, they’ll be up 9%, place position would be a feather in feat of actually building on that hit to $736 million. Its estimated cash the cap of NBCU Chairman Bob show’s audience. flow is expected to be $475 million Wright, who orchestrated the deal “They get more bragging rights on total revenue of $1.15 billion. that brought the channel under the for that than for being No. 1,” says Both USA and TNT prove company’s umbrella. NBCU would Donna Wolfe, chief negotiation of- there’s a bright future for a broad- also steal some thunder from archri- ficer at advertising agency Universal based cable channel. val Time Warner, parent of TNT— McCann. “The common wisdom for quite

and just when NBC can use all the nbc universal TNT shrugs off the possible loss some time was that the niche, tar- good news it can get. MYSTERY SOLVED: USA has leveraged the success of Monk to boost other shows. of the No. 1 spot in prime-time ca- geted networks were ascendant and ble. The network will remain the that the day of the broad-based net- Calling card leader in total-day ratings, says Jack work was over,” says Erica Gruen, a what’s more,a win for USA would she says. “It shows that USA knows channel gave it up to save money. Wakshlag, chief research officer for principal with Quantum Media, a mark a career high for Bonnie Ham- what it’s doing.” World Wrestling Entertainment: Turner Broadcasting System Inc., television consulting firm. “But it’s mer, who became president of the The rebound began with Ms. Raw almost immediately drew a which owns TNT. the big networks that get the big au- network after NBC bought it in Hammer’s decision to reintroduce huge influx of male viewers in the “Primetime is only a quarter of diences.” 2004. Being first “is a calling card” professional wrestling, a regular advertiser-friendly 18-to-49-year- the average day,”Mr.Wakshlag says. with cable operators and advertisers, USA feature until 2000, when the old category. Additionally, USA owes its rat- COMMENTS? [email protected]

8 | Crain’s New York Business | December 11, 2006 Classic spot’s ugly lawsuit draws to a close TURNING POINTS 1993 Continued from Page 2 as Mario Batali, new entries, like his sisters maintained that their broth- Two judges apparently agreed.In publicly. Court documents read like Babbo, siphoned business from er had remained despondent over April 2005,a Surrogate Court judge NOURY GOUJJANE is made a Joyce Carol Oates novel, simmer- mainstays like One if by Land. the death of his life and business ruled that Mr. Braiger was not co- general manager. ing with family betrayal and sensa- The lower Manhattan landmark, partner, Mario DeMartini, in 1989 erced into anything. The court also 1999 tional accusations. often described as the city’s most and was incapable of making a com- found no evidence that Mr. Gouj- The salacious tale began in Au- romantic dining venue, could no petent decision about his estate. jane had tampered with the will. CO-FOUNDER AND OWNER gust 1999, when One if by Land longer thrive on its reputation as the The couple had bought the two- Two months ago, Ms. Spinell Armand Braiger dies; his family co-founder and owner Armand story, 18th-century carriage house lost her appeal. Mr. Mandel filed a files a lawsuit alleging fraud against the new owner, Braiger died unexpectedly at the together and turned it into a restau- motion last month for the appeals Noury Goujjane. age of 69. Instead of leaving his ‘If we needed rant in 1972. court to rehear the case, but he con- $3 million fortune to family mem- According to court records, Mr. cedes that “these motions are spar- 2005 bers, Mr. Braiger named his busi- new chairs, we Braiger became convinced that he ingly granted.” ness partner, Mr. Goujjane, the ex- needed a successor. He met Mr. A JUDGE rules against Mr. Braiger’s family. ecutor of his estate, which included had to think Goujjane at a Florida restaurant in Renewed hope the restaurant. 1991 and decided that the Paris na- the most recent court decision 2006 twice about it,’ tive fit the bill. Two years later, the has given Mr. Goujjane fresh hope. A question of control one-time waiter was the general His next challenge will be to attract THE FAMILY loses its mr. braiger’s spurned sisters— the owner says manager of One if by Land. a new generation of diners to the court appeal. Leonore Spinell and Adele Woot- Soon after that, Mr. Braiger classic eatery, which has four fire- ers,who has since died—filed a law- transferred shares of the business to places and is famous for its Beef suit shortly after. Mr. Goujjane, whom he referred to Wellington. more relevant to diners,” Ms. They claimed that Mr.Goujjane, as “the future of the restaurant,” ac- Among improvements under Spiegel says. a married father of two, had used a cording to court documents. Mr. way are the installation of new light- Chief among the advantages sexual relationship with their broth- place where people go to become Braiger also bought a house in the ing and carpeting. Additionally, the possessed by One if by Land, Two er to gain control of his assets.They engaged or celebrate anniversaries. West Village for Mr. Goujjane and menu is being updated and expand- if by Sea is that it is well-known and also accused him of tampering with “Being a special-occasion restaurant his family. ed to include options other than the that no landlord can raise the rent, the will. is not enough anymore,” says indus- Upon Mr. Braiger’s death, the $75 prix fixe dinner. because the Goujjane family owns “We had hoped to keep the try consultant Clark Wolf. sisters—who were each left Mr. Goujjane would not discuss the building. restaurant in the family,” Ms. The lawsuit even prevented the $250,000 from life insurance poli- the restaurant’s finances. Industry “I know the restaurant has been Spinell said through her lawyer, Goujjanes from keeping up with cies—accused Mr. Goujjane of “in- consultant Arlene Spiegel says, famous for being very traditional,” Marc Mandel. simple maintenance. “If we needed tentionally hustling” their brother. however, that the 140-seat restau- Mr. Goujjane says. “I want to bring The ensuing battle drained the new chairs, we had to think twice Mr. Goujjane denied the accusa- rant should be doing $7 million to it down a notch, to be a restaurant restaurant of cash for reinvestment about it,” Mr. Goujjane says. tions, describing his friendship with $9 million in annual revenues. where you feel less intimidated to at a time when the city’s dining The main concern of the plain- Mr.Braiger as a father-son relation- “Despite the difficulties they come in.” landscape was rapidly changing. tiffs, however, was that Mr. Braiger ship. He insisted that Mr. Braiger have faced, they have the ingredi- With the rise of celebrity chefs such had been taken advantage of. The made his own decisions. ents for success if they can become COMMENTS? [email protected]

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December 11, 2006 | Crain’s New York Business | 9 CHOOSE YOUR WEAPON: Rivals, rates chase Commerce’s Greg Braca feels that other banks are paying “stupid rates” to maintain Commerce Bank market share. onto tightrope easy, going from zip to $6 billion in Fast-growth strategy deposits in five years, with 1,300 threatened by low employees in all five boroughs. Commerce isn’t done yet.It plans yields, copycats to open about two dozen New York City branches before the end of 2007 with similar services and to double its current number of outlets by the end of the decade. BY TOM FREDRICKSON But these next steps are likely to be much more difficult. commerce bank invaded New York in September 2001. It planted Under pressure

its big red C’s on spanking new the interest rate environment, buck ennis branches and popularized radical which has gotten tougher for all ideas such as free checking and Sun- banks,has a heavier impact on Com- it margin, Commerce has begun to 9% in the third quarter versus the HSBC are offering online savings day hours. Commerce made it look merce. Squeezed by its narrow prof- back off its commitment to keep fees year-earlier period, and sharehold- accounts paying 5% interest or more. on consumer accounts to a minimum. ers have grown distinctly restless. “Yes, it’s become more challeng- In addition,competitors are emulat- Commerce’s share price is up only ing when other banks are paying ing the Commerce model, opening 4% since the beginning of 2006, stupid rates just to hold on to mar- ONE LIBERTY PLAZA scores of branches and erecting gi- while the Keefe Bruyette & Woods ket share,”Mr.Braca says.“I just say, ant signs that are just as flashy. Bank Sector index gained 14%. God bless the fact that we are not BETWEEN CHURCH STREET AND BROADWAY “Other banks are no longer roll- Meanwhile, consumer deposits playing that game.” ing over,” says Robert Hughes, a bankwide declined by 0.4% in the Commerce would have difficul- banking analyst with Keefe Bruyette third quarter compared with the ty matching competitors’ best rates & Woods. second quarter.That’s a bad sign for even if it wanted to. Many other Things looked rosier when a bank whose whole strategy is banks are using a large share of their SUBLEASE FROM Commerce, based deposits in highly INSTITUTIONAL in Cherry Hill,N.J., profitable ways, in- entered the New THE CITY STATS cluding providing SUBLESSOR York market. Even credit cards and mak- though the move DATE BRANCHES DEPOSITS ing speculative busi- nearly coincided June 30, 2002 6 $312.0 million ness loans.Commerce with the Sept. 11 invests most of its de- June 30, 2003 17 $1.0 billion terrorist attacks, it posits in relatively was a good time in June 30, 2004 31 $2.5 billion low-yielding bonds. the banking cycle. June 30, 2005 37 $3.6 billion Competitors are The Federal Re- applying pressure at serve dropped in- Sept. 30, 2006 48 $6.0 billion other points. They terest rates to nearly Sources: FDIC, Commerce Bank have extended their

zero to jump-start buck ennis hours and begun of- the economy, while fering many of the same shell-shocked stock market in- based on fast growth. In the third extras as Commerce. Valley Nation- vestors stuffed money into banks. quarter of 2005, consumer deposits al Bank now has coin-counting ma- Since then, the number of branches grew by a robust 5.3%. chines in its Manhattan branches. in the city has shot up 28%, to near- Meanwhile, sharp retail operators ly 1,600 branches. Quarterly concerns such as Wachovia and Bank of Commerce has opened 49 of “one quarter is not a trend,but the America have entered the market. those branches; it’s the city’s 11th- fact that consumer deposits were Another problem for Commerce largest retail bank when ranked by down on a linked-quarter basis is is that it misjudged interest-rate deposit market share. Customers movements,betting that short-term For information, contact: SPACE FEATURES love Commerce’s long hours,friend- rates would drop below long-term • Part 24th floor, 16,547 rentable ly service and trademark extras, in- rates—a scenario that simply has Bruce Surry square feet T 212.618.7044 cluding self-service coin-counting not occurred. [email protected] • Very bright space, panoramic views machines,lollipops and piggy banks “Commerce is more vulnerable for the kids,and biscuits for the dog. than other banks to the shape of the • Double corner unit James Searl “Our brand recognition in the yield curve,” says Jackie Reeves, an • Institutional sublessor T 212.618.7055 New York market has gone to high analyst at Ryan Beck & Co. [email protected] • Furniture can be made available from nonexistent in just a few years,” Moreover, Commerce is contin- • Existing open plan installation says Greg Braca, Commerce’s New uing to pay far more than its com- Patrick Dugan with 8 offices, conference room York market manager. “It’s far and petitors to open branches.The bank istockphoto T 212.618.7043 and 57+ cubicles away our fastest-growing market.” prizes premium sites for its marble- [email protected] The bank picks its niches careful- appointed, heavily staffed locations. • Efficient, column–free floor plate ly and competes ferociously. Unable Customers love As the bank nudges up its deposit • Work negotiable to tap the rich vein of deposits from service fees—boosting the fee for local municipal agencies—key cus- the long hours bounced checks to $35 from $33,for BUILDING FEATURES tomers in its other markets—Com- example—it is clearly struggling to merce caters to the city’s surprisingly and the piggy eke out profits. • Elegant marble lobby cash-rich nonprofits and lends to the In the past, New York’s dense CB Richard Ellis • 7 day/24 hour access, security and relatively neglected health care sector. banks for the kids population was sufficient to support 140 Broadway concierge service New York, NY 10005 Customers range from the Commerce’s strategy of rapid growth. 212.618.7000 • Tenant security card key access Brooklyn Historical Society to Con- The city’s demographics helped www.cbre.com • Convenient to all major transportation tinuum Health Care, a large four- Commerce make city branches hospital system based in Manhattan. profitable in half the time it took its Thousands of small businesses and a something to keep an eye on,” says suburban branches to break even. growing number of middle-market KBW’s Mr. Hughes. But the institution is now facing a companies also bank at Commerce. Analysts say that customers start- big test of whether it’s truly a bank This year, Commerce’s banking ed putting deposits in other banks for all times and seasons. model has begun to show some that have improved their offerings. cracks. Earnings per share declined Competitors like Citibank and COMMENTS? [email protected]

10 | Crain’s New York Business | December 11, 2006 REAL ESTATE DEALS

fice condominiums. “Lovell was offered the chance to Hedge fund invests in bigger offices buy its floor but decided it would rather move out and continue leas- with fishnet hose, greeting cards and agement Inc. in the Broadway deal. current building is being converted ing,” says Peter Sabesan, a broker at Laurus relocates organic shampoos—and the other The asking rent was $60 per into office condominiums.The firm Hunter Realty Organization,which to Madison Avenue; half will serve as a costume shop. square foot. has signed a 10-year lease for 24,000 represented the tenant. He says that The retailer operates 16 stores in —elisabeth butler square feet at 110 William St., at John buying an office condominium is retailer Ricky’s gears New York City, one in East Hamp- Street. The asking rent at the 32- more expensive than leasing; prices ton,L.I.,and two in Florida.Ricky’s story building is $28 a square foot. at 125 Maiden Lane range from up for Halloween executives plan to open at least two Office condo spurs Lovell, which was founded in $350 to $425 a square foot. more stores in the city next year. New York in 1936,occupies 22,000 The building at 110 William aurus Capital Manage- “They want to do something tenant to move square feet at 125 Maiden Lane, St.—the headquarters of the city ment is nearly quadru- downtown and maybe on the Upper lovell safety management co., between Pearl and Water streets. Economic Development Corp.—is pling the size of its East Side,”says Scott Edlitz,the ZE which advises companies on how to But the firm’s lease has expired and owned by Swig Equities,which rep- midtown offices. The Realty broker who represented both manage their workers’ compensa- its landlord, Time Equities Inc., resented itself in the transaction. hedge fund, which has the tenant and landlord Fink Man- tion insurance,is moving because its is converting the building into of- —julie satow L$1.6 billion in assets under manage- ment, has signed a six-year sublease for the entire 10th floor, or 38,300 square feet, at 335 Madison Ave. The asking rent in the 29-story building, between East 43rd and East 44th streets, is $75 to $85 a Connecting Lawyers, Nonprofi ts, and Communities square foot. Lawyers Alliance for New York thanks our supporters and award-winning volunteers Laurus, which invests in public companies with market caps below In the past year, we provided business law services to more than 450 nonprofi ts that are improving the quality of life in $500 million,has posted average an- New York City neighborhoods. We thank all of our supporters for a great year! Special thanks to Seth M. Zachary of nual returns of over 19% since its in- ception in 2001. The 70-employee Paul, Hastings, Janofsky and Walker LLP for his leadership of our record-breaking 2005 - 2006 Law Firm Appeal. We firm is relocating from 10,000 welcome John R. Ettinger and Richard J. Sandler of Davis Polk & Wardwell as Co-Chairs of the 2006 - 2007 Law Firm Appeal. square feet at 825 Third Ave., at East 50th Street. Principals Sponsors Hughes Hubbard & Reed Goldfarb & Fleece Stillman & Friedman, P.C. Externship Sponsors The investment company is sub- Booth Ferris Foundation* The Bank of New York LLP Holland & Knight LLP Unilever Bestfoods Cleary Gottlieb Steen leasing the 335 Madison space from The Clark Foundation Dewey Ballantine LLP* Israel Discount Bank of Katten Muchin Valley National Bank & Hamilton LLP the American Arbitration Associa- Cleary Gottlieb Steen The Dreitzer Foundation, New York Rosenman LLP Wolf, Block, Schorr and Orrick, Herrington tion, which has consolidated its op- & Hamilton LLP* Inc. Jackson Lewis LLP Lankler Siffert & Wohl Solis-Cohen LLP & Sutcliffe LLP erations into 54,000 square feet at Davis Polk & Wardwell* Helena Rubinstein King & Spalding LLP LLP Wollmuth Maher Skadden, Arps, Slate, 1633 Broadway,between West 50th Debevoise & Plimpton Foundation Kramer Levin Naftalis Littler Mendelson & Deutsch LLP Meagher & Flom LLP * & Frankel LLP Weil, Gotshal & Manges and West 51st streets, according to LLP LeBoeuf Lamb Greene Patterson, Belknap, FJC, A Foundation of & MacRae LLP LexisNexis Webb & Tyler LLP In-kind Donors: LLP Chris Kraus, a broker at The Donor Advised Funds Morgan, Lewis & Bockius Mayer, Brown, Rowe Ridgewood Savings Bank Pfi zer Inc Staubach Co. who represented the The Frances L. & Edwin LLP* & Maw LLP Sheresky, Aronson RR Donnelley sublessor. The Kaufman Organiza- L. Cummings Memorial The Scherman MetLife Foundation & Mayefsky Shearman & Sterling LLP tion represented Laurus. Fund* Foundation, Inc. Milbank, Tweed, Hadley —julie satow IOLA Fund of the State Benefactors & McCloy LLP of New York Astoria Federal Savings Milberg Weiss Bershad Lawyers Alliance also congratulates the recipients of Ira W. DeCamp Bear Stearns & Schulman LLP Foundation the 2006 Cornerstone Awards for their outstanding Ricky’s dresses up Bingham McCutchen LLP Morgan Stanley JPMorgan Chase Satterlee Stephens Burke pro bono business legal services to nonprofi ts working Foundation Colgate-Palmolive costume business Company & Burke, LLP The New York SI Bank & Trust to build a better New York. Community Trust The Fan Fox and Leslie R. growing chain Ricky’s NYC has Samuels Foundation, Inc. Foundation Orrick, Herrington Institutional Honorees signed its 20th store lease and is Fulbright & Jaworski L.L.P.* Sutherland Asbill making Halloween a more impor- & Sutcliffe LLP* & Brennan LLP DLA Piper US LLP Paul, Hastings, Janofsky Helen Matchett DeMario Goodwin Procter LLP tant part of its business strategy. Foundation Thelen Reid & Priest LLP & Walker LLP Torys LLP Ricky’s will use the basement at Pfi zer Inc Hogan & Hartson L.L.P. Individual Honorees Contributors the site, 375 Broadway, between Shearman & Sterling HSBC Bank USA, N.A. Thomas E. Claps Skadden, Arps, Slate, Meagher & Flom LLP Franklin and White streets,to launch LLP* Jean & Louis Dreyfus Alston & Bird LLP Tamika S. Cushenberry Simpson Thacher & Bartlett LLP Foundation, Inc. American Chai Trust a Halloween costume rental business. Sidley Austin LLP* Robert Friedman Dickstein Shapiro LLP The 10,500-square-foot space will Simpson Thacher Kenyon & Kenyon LLP The Atlantic * Philanthropies Carolyn B. Levine Hughes Hubbard & Reed LLP serve as a storage area for rentable & Bartlett LLP* Kirkland & Ellis LLP Blank Rome LLP Deirdre Roarty Mitacek Farrell Fritz, P.C. costumes as well as a distribution cen- Skadden, Arps, Slate, Pillsbury Winthrop Shaw Meagher & Flom LLP* Pittman LLP* Caplin & Drysdale William P. Perkins Seyfarth Shaw LLP ter for other Ricky’s stores.For $50 to Stella and Charles Proskauer Rose LLP* Henry Lipschutz, Inc. Daniel Rosenberg Chanel $100 a night,customers will be able to Hubbard One Guttman Foundation Stroock & Stroock Robert M. Safron Patterson Belknap Webb & Tyler LLP dress up in elaborate costumes, such Sullivan & Cromwell & Lavan LLP* Hummingbird Ltd. * Kelly D. Talcott Kirkpatrick & Lockhart Nicholson Graham LLP as a Marie Antoinette outfit. Ricky’s LLP Patrons Kaye Scholer LLP is already a go-to place for disguises. Taconic Foundation, Inc. American Express Morrison & Foerster LLP Cindy L. Wenig Chadbourne & Parke LLP When the store opens in Febru- Thacher Proffi tt & Wood Foundation North Fork Bank Robert S. Whitman Orrick, Herrington & Sutcliffe LLP ary, about half of the 3,800-square- LLP The BTMU Foundation, Pathways to Housing foot ground floor will operate as a reg- Wachtell, Lipton, Rosen Inc. Stamack Construction For a full list of our volunteer institutions, please visit the “Lawyers” & Katz* ular Ricky’s variety store—complete Carter Ledyard LLC section of our new website at www.lawyersalliance.org Weil, Gotshal & Manges & Milburn LLP Sterling National Bank * LLP Chadbourne & Parke LLP Vincent Mulford White & Case LLP* Citigroup Inc. Foundation Winston & Strawn LLP* The Citigroup Private Donors Bank Law Firm Group Amalgamated Bank of Leaders Credit Suisse Arnold & Porter LLP* New York Deutsche Bank, N.A. Citigroup Foundation Atlantic Bank of New York Dickstein Shapiro LLP* New York Foundation Bank Hapoalim B.M. DLA Piper US LLP The Rhodebeck Condon & Forsyth LLP Epstein, Becker & Green, Charitable Trust* Covington & Burling LLP P.C. Schulte Roth & Zabel FDNY Foundation The Feinberg Group, LLP LLP* Flemming, Zulack Gibson, Dunn Sonnenschein Nath Williamson Zauderer & Crutcher LLP & Rosenthal LLP* LLP 330 Seventh Avenue Sean Delany Goldman, Sachs & Co. Gair, Gair, Conason, New York, NY 10001 Executive Director Goodwin Procter LLP Steigman & Mackauf Tel: 212 219-1800 Christine D. Rogers *supporter of the Anniversary Campaign www.lawyersalliance.org Chair RICKY’S operates 16 stores in New York City.

December 11, 2006 | Crain’s New York Business | 11 VIEWPOINT Clearing air on traffic problem editor in chief Rance Crain vice president, publishing director he mere suggestion last week that New and government workers drive into Manhattan (see “The Alair Townsend York impose a daily fee on cars that enter Insider,” Page 14). One reason for the out-of-control publisher Jill Kaplan the central business district south of 60th number of public-sector drivers is a lack of central EDITORIAL Street created enough political smog to oversight of city parking permits. That is an area worth editor Greg David managing editor Richard Barbieri obscure an important issue. Before it exploring. projects editor Cynthia Rigg envelops the entire city, it’s time to look The partnership’s work is producing so much anxiety deputy managing editors Valerie Block, Erik Ipsen calmly at what we know about traffic because it spotlighted London’s very successful use of senior reporters Aaron Elstein, congestion and possible solutions and ask a simple question: congestion pricing. By charging vehicles £8 a day to enter the Lisa Fickenscher, Matthew Flamm, Why not study the problem carefully? city, the U.K. capital has reduced traffic by 17%, increased trip Tom Fredrickson, Samantha Marshall, T Anne Michaud, Miriam Kreinin Souccar An innovative report issued by the Partnership for New speeds by 19%, raised bus ridership by more than a third and reporters Barbara Benson, Elisabeth Butler, Erik Engquist, Amanda Fung, Hilary Potkewitz, York City quantifies the amount of excess traffic in the lessened pollution.The city was even able to turn a nifty Julie Satow, Gale Scott center of Manhattan and traces the way it causes problems trick: It cut taxi fares but increased taxi revenues because restaurant critic Bob Lape art director Steven Krupinski for businesses drivers were able to make more trips.That shows the power deputy art directors Carolyn McClain, and workers in of pricing over behavior. Daniel Mednick staff photographer Buck Ennis other boroughs The politics of congestion pricing remain treacherous. copy desk chief Wendy Zuckerman and the suburbs. The administration of Mayor Michael Bloomberg has kept copy editors Michele Arboit, Leslie Jay, Thaddeus Rutkowski Economists the effort at arm’s length, though it will go nowhere without research editor Denise Southwood calculate that Mr. Bloomberg’s associate research editor Adrianne Pasquarelli gridlock drains endorsement. Politicians www.NewYorkBusiness.com $13 billion from Trucks account such as Rep. Anthony online editor Catherine Tymkiw the area’s for only 5.4% of Weiner, who represent online reporter David Jones economy every areas outside of EDITORIAL AND ADVERTISING OFFICES 711 Third Ave., New York, NY 10017-5806 year.They vehicles in the Manhattan, have wasted editorial: 212.210.0277 Fax 212.210.0799 estimate that the no time in attacking the advertising: 212.210.0259 congested area Cable craincom nyk city could gain as idea, trying to exploit likely Fax 212.210.0499 many as 52,000 opposition from businesses Entire contents ©copyright 2006 Crain Communications Inc. All rights reserved. jobs if it could and residents in Brooklyn ®CityBusiness is a registered trademark of MCP solve the and Queens. Inc., used under license agreement. istockphoto problem. It’s worth remembering TO SUBSCRIBE: Call 888.909.9111; fax 313.446.6777. The report lays to rest the notion that trucks are the that the partnership did not call for the imposition of $3.00 a copy, $59.79 one year, $109.79 two years. primary culprit. The partnership’s study shows that trucks congestion pricing. It merely wants the city to apply for www.NewYorkBusiness.com account for only 5.4% of the vehicles in the affected area. federal grant money to study the issue in depth, in particular ADVERTISING AND MARKETING That should end any thought of reviving a 1980s plan to to determine exactly who is driving into Manhattan and advertising director Vanessa Cognard business development manager force trucks to make their deliveries at night—a why. It is information that New York needs.The city should Robert N. Grossman proposition so expensive that it would have a disastrous seek the funding to push the issue forward. account executives Andrew Carlin, Holly A. McKeown, Derek Reese, impact on the economy. On the other hand, the study Jennifer Siniscalchi, William E. Squitieri, reveals that a surprisingly high percentage of construction Do you support congestion pricing? Vote @ www.NewYorkBusiness.com Brigitte Stieglitz western account manager Ellen Mazen (Los Angeles) 323.370.2477 classified sales manager John Gallagher newsletter product manager Catherine Evans Gittens LETTERS TO THE EDITOR sales coordinators Lulé Haznedari, Anita Perrino credit Pat Grondziak 313.446.6082 marketing director MJ Snyder marketing assistant Jill H. Bottomley assistant circulation manager Small businesses need lower taxes Michael Holowchuk internet director Marc Minardo

NEW YORK PRODUCTION CITY SHOULD SHOW COLLEGES PAY TOO MUCH less fancy finishes. Manhattan MORE CONCERN FOR CONSTRUCTION production and pre-press director Community College comes in at Michael Corsi the dec. 4 editorial, “Mayor something’s rotten in the $537 per square foot, John Jay advertising production manager needs to think tax cuts,” should college construction business College of Criminal Justice is Marilyn DeMilta have been titled “Mayor must (“Colleges cram to cope as costs paying $761 per square foot, and PUBLISHED BY CRAIN COMMUNICATIONS INC. think tax cuts if he expects small take off,’’ Dec. 4). Brooklyn College seems prepared chairman Keith E. Crain

business to remain in New York.” Has anybody looked at the cost neighbors.columbia.edu to pay through the nose at $823 president Rance Crain I just wrote my landlord a per square foot? At a time when COLUMBIA’S planned campus in Harlem. per square foot. secretary Merrilee Crain check for $28,000 for a little more developers are paying an average These are public institutions treasurer Mary Kay Crain than two months’ rent, and I pay of $350 per square foot to build using public money. executive vp, operations William Morrow 60% of my building tax increases, luxury housing, colleges seem to be paying a lot more for (presumably) ingrid wiegand senior vp, group publisher Gloria Scoby group vp, technology, circulation, like many small businesses on the manufacturing Robert C. Adams ground floors of five-story vice president/production & commercial buildings. manufacturing David Kamis I paid my taxes during the WHAT’S COMING UP IN CRAIN’S? corporate circulation director Patrick Sheposh dot-com collapse, the market slide, Nonprofit Crain’s 2007 Small the aftermath of Sept. 11 and the Book economic business founder G.D. Crain Jr. (1885-1973) power blackout. Now it’s time for industry chairman Mrs. G.D. Crain Jr. (1911-1996) the city to show me it cares. report of Lists outlook report dan kobin Dec. 18 Dec. 25 Jan. 1 Jan. 8 Restaurant DANO

12 | Crain’s New York Business | December 11, 2006 the Middle East. Burned-out cars and ravaged towns scar the front Q. GGK’s Slogan is… pages and top the evening news. “Quality Companies Are Attracted To Us” But any distress over the war is no match for the high that comes In your view, why are quality companies from holiday consumption. Deni- attracted to Goldstein Golub Kessler LLP? zens here are so absorbed by their travel plans,their shopping lists and A. “Quality companies understand their holiday dinner menus that value – the value of the products news of the conflict—whether it’s and services they offer their clients– called a civil war or sectarian and the value of the audit advice strife—becomes so much back- ground noise. Another bombing, we provide. more maimed, more dead, pass the In fact, our reputation is based salt, please. on 42 years of providing outstanding What would it take to spur a value to our clients. That is why so Neal Rosenberg, CPA deeper sense of outrage? Harlem many of them have been with us Partner Congressman Charles Rangel has for so long.” 212.372,1211 vowed to open up debate on rein- [email protected] stating the draft,a concept that elic- its sniggers from most New Yorkers. To learn more about our commercial audit services for He insists that it would level the privately-held companies, our specialized services for playing field between the haves, SEC reporting companies, hedge funds, broker-dealers, who can avoid fighting, and the and not-for-profit organizations, or to request a brochure, have-nots, who end up serving— john h.john howard call me or visit our website, www.ggkllp.com mostly to pay for a college educa- tion. He says it could deter future senseless wars. GOLDSTEIN GOLUB KESSLER LLP Though even Mr. Rangel Certified Public Accountants and Consultants knows his quest is unlikely to meet QUALITY COMPANIES ARE ATTRACTED TO USSM A wartime focus with success, he says he wants young people to become passion- 1185 Avenue of the Americas Suite 500 New York, NY 10036-2602 Tel 212.372.1800 Fax 212.372.1801 www.ggkllp.com ately engaged in the discussion. on holiday frenzy With the draft as cudgel, the sub- ject of war might become of utmost concern to the college-bound and s the sharp elbows come out this holiday sea- their middle-class parents who feel so insulated from the issue that son and shoppers cram department stores seeking they can fight to the death over that perfect something for that special someone, who gets the last PlayStation 3 on they might take a moment to think about those the shelf. who won’t be hitting the stores this year—the This year, instead of obsessing about what’s under the tree, New Ayoung men and women who are more worried about staying Yorkers could make the smallest of alive than getting the latest video game console.The ones serv- gestures by sending a care package to a soldier sleeping in a tent in the ing in Iraq. closest to them, let desert and defending our right to The nation’s adven- alone strangers serving shop till we drop. ture in Iraq has now sur- in an unpopular war To send a gift overseas, visit passed the time spent thousands of miles USO.org, anysoldier.com or defending freedom dur- away. ecarepackage.org. Special parcel ing World War II, yet Yes, Americans post packaging materials can be re- the disconnect between proved their dismay quested by calling the U.S. Postal the folks fighting and over the conflict with Service at (800) 610-8734. those they were sent their votes last month, to protect has never tossing out Republican Valerie Block is a Crain’s deputy seemed larger.Especial- hawks in favor of Dem- managing editor. Editor Greg David ly in New York, where VALERIE ocrats opposed to the returns next week with a look at life moves at a lightning BLOCK war. Wall Street envy. He regularly alter- pace. People caught up Yes,newspapers and nates in this space with Publishing with their careers and broadcasts dutifully Director Alair Townsend, who takes social lives rarely have time to think cover the tragic events repeating an acerbic look at goings-on in city about what’s going on with the ones themselves day after brutal day in and state government.

CRAIN’S ONLINE POLL SHOULD CELL PHONE SERVICE BE PERMITTED ON SUBWAY TRAINS AND ON PLATFORMS? NEARLY HALF OF THE 161 RESPONDENTS to a Crain’s online poll support wireless Neither platforms .28% 26%. Platforms providers that want the MTA to allow them nor trains only to offer service in subway tunnels and on train platforms. Twenty-six percent of Platforms and respondents support the MTA’s plan to .46% wire only the platforms, while 28% oppose trains any underground wireless service.

For this week’s question: Go to www.NewYorkBusiness.com/poll to have your say.

December 11, 2006 | Crain’s New York Business | 13 carrier, we do not see it having any impact,” says Port Authority spokesman Pasquale DiFulco. GRIDLOCK ALERT Who is driving THE INSIDER THE PARTNERSHIP FOR NEW YORK CITY argued in a report issued last week that Liu mulls citywide traffic jams in Manhattan impose enormous costs on the economy. The by Erik Engquist and Anne Michaud business advocacy group called for more study of the issue. One possible office in 2009 solution would be to deter drivers by establishing so-called congestion pricing—fees for cars that enter the most crowded areas of Manhattan. city councilman John Liu, The report attempts to pinpoint the types of businesses that lose the most D-Flushing, is exploring a citywide productivity to gridlock by identifying the industry sectors with the highest run in 2009 and is seriously percentages of workers who drive to their jobs in Manhattan. Continental waylaid considering the public advocate post, insiders say. on Shanghai road Though Mr. Liu hasn’t formed ontinental airlines a campaign committee, he reported has mobilized much of the $327,500 on hand in his district account in July. Ccity’s business community Mr. Liu, who chairs the and political establishment council’s Transportation behind its bid to run nonstop Committee, says he hasn’t made service between Newark any decisions about 2009. Liberty International Airport and Shanghai. But the effort is New Jamaica plan likely to be derailed by China to be unveiled soon Eastern Airlines’ decision to the city expects to roll out its launch nonstop service from John plan for a massive rezoning of Jamaica, Queens F. Kennedy International newsbloomberg , in January.The zoning is intended to foster a Airport to Shanghai. slot to China against American “transportation-oriented business The Shanghai-based carrier has Airlines, which is suggesting a district” by encouraging office kept a low profile over the past few Dallas-Beijing route; United Airlines, construction.The AirTrain, which months, advertising the flight which aims to launch Washington- runs from JFK Airport to the primarily in Chinese-language Beijing service; and Northwest Jamaica subway station, is seen as a press and among ethnic travel Airlines, which proposes a Detroit- draw for businesses. City officials agencies.The inaugural flight left Shanghai route.The DOT will will reassure residents that the JFK on Saturday. announce its decision early next character of their blocks will be One of Continental’s main year. preserved. arguments to the Department of The Port Authority of New

Transportation is that its service York & New Jersey says the jennifer chiu would provide a much-needed link China Eastern flight does not REBNY balks between the financial capitals of affect its unwavering support of represents some of New York’s for affordable housing citywide. both countries. China Eastern’s Continental’s bid. “DOT’s decision at 421-a reform largest builders, is balking at a move diminishes that claim. is being made for a U.S. carrier, and the real estate board of New compromise proposal to reform a Continental is competing for a since China Eastern is a foreign York, a lobbying group that popular tax break for new Governors Island developments. Last week, City Council proposal Speaker Christine Quinn (below) and the proposed U.S. Public Service Mayor Michael Bloomberg agreed to Academy, a civilian version of West reform the 421-a tax abatement Point, is interested in creating a program by requiring developers in campus on Governors Island. most of Manhattan, in large areas Leslie Koch, president of the of Brooklyn and on the Queens Governors Island Preservation and half empty. waterfront to set aside 20% of their Education Corp., says an educa- units for affordable housing if they tional institution would fit the want the break. island’s mission but would have to “This proposal will make go through a competitive applica- projects no longer feasible in areas tion process. A bill to create the like Fort Greene and Park Slope, school was sponsored by Sen. Hillary which are not areas that have Rodham Clinton in September and shown themselves to be will be reintroduced in February. consistently strong,” says Michael Ms. Koch says GIPEC is seek- Slattery, REBNY’s head of research. ing tenants for 52 historic buildings The group is calling for an that total 1.3 million square feet. alternative that would let New construction is also possible. developers receive the abatement if they build affordable units within half full. the same community district or Willets Point within half a mile of the project. REBNY did voice support for project due in ’08 some aspects of the bill, such as the city won’t choose a developer letting developers of four- to five- for a massive Willets Point project unit buildings remain eligible for until 2008, despite Mayor Michael 421-a. Bloomberg’s declaration in his “state The fate of the of the city” speech last January that Quinn- a builder would be selected “to Bloomberg plan begin turning the Iron Triangle Improve your outlook by advertising in is unclear. A into a community jewel with parks, Crain’s Economic Outlook 2007 significant bloc jobs and housing.”

buck ennis on the council is The city has begun its Issue Date: January 1 | Ad Close: December 14 backing an environmental analysis of the site alternative but won’t compile a draft impact that would statement until 2007. After that, To advertise, call 212-210-0259 require the general plan for Willets Point developers will go through the seven-month or visit newyorkbusiness.com. to set aside Ulurp process. A developer would 30% of then be selected from a list of eight their units finalists. ■

14 | Crain’s New York Business | December 11, 2006 NEIGHBORHOOD JOURNAL

to open an account. “There are lots of ways to have people establish Brooklyn tries pre-made housing identity,” she says. “If you have a passport or a national ID card from up in Bedford-Stuyvesant.“Just like fer money transfer services—a ne- your country, or a driver’s license— Novel project rises your coffee cup stays warm,” so will Immigrant nabe cessity in predominately immigrant those are all valid.” overnight on plot; these homes, says Habitat-NYC to get credit union neighborhoods—as well as check- Ms. Sullivan is organizing the Executive Director Roland Lewis. cashing and savings accounts. credit union with the help of state Queens area gets The organization needed special with a bit of luck, by this time “Now, people either have to use Assemblyman José Peralta, who permission from the Department of next year, residents of Jackson expensive check-cashing services or heads the Assembly’s Subcommit- its first credit union Buildings to use the insulated con- Heights, Corona and Elmhurst will Western Union, or they keep their tee on Banking in Underserved crete forms, which also absorb noise finally have a credit union to call money under the mattress,” says Communities.The credit union will n unusual affordable and deter insects. their own. Zoe Sullivan, FHCH’s director of most likely be a branch of an exist- housing plan in Brook- “It makes for a very sturdy struc- The nonprofit Forest Hills community development. ing one. Talks with the Lower East lyn calls for hundreds of ture as well as a very well-insulated Community House hopes to open a To help attract reluctant cus- Side People’s Federal Credit Union units to go up literally structure,” Mr. Lewis says. credit union to serve the area’s more tomers, Ms. Sullivan will advertise are under way. overnight. —erik engquist than 200,000 residents. It would of- that U.S. citizenship is not required —hilary potkewitz AThe floors, ceilings and walls of more than 800 multifamily homes are being assembled in a factory at the Brooklyn Navy Yard. Starting next month, finished units will be loaded onto flatbed trucks, moved New York is a world-class city. under cover of darkness to a 45-acre site at Spring Creek in East New Shopping. York and hoisted onto newly poured foundations. Dining. The unusual nighttime opera- tion is designed to avoid traffic, but Health care. the real breakthrough is the modu- lar construction, which boosts qual- ity and cuts costs significantly. The With HIP, world-class health care is now affordable. approach also allows work to pro- ceed regardless of weather. “The prices are about 10% to 15% lower per square foot,” says Vincent Linarello, an architect at Alex Gorlin Architect, which de-

SPRING CREEK will be built in five phases.

signed these affordable houses for the Nehemiah Community Devel- opment Fund Corp.“The technique works fine for one- to four-story buildings.” That is precisely what is being built at Spring Creek. The project’s first phase, 117 homes, could be ready next summer. Five phases are planned. Unlike the drab housing developments of the past, this one will incorporate 13 types of facades, each with its own color. “This is our first attempt at [do- ing so many variations],” Mr. Linarello says. The project is part of a larger community to be called Gateway Estates, a mixed-use development that will sprawl over 227 acres of There’s nothing like living and working in New York. That’s why HIP offers you and your landfill. Gateway will include 2,200 employees world-class health care at very affordable rates. HIP has partnerships with leading housing units, to be sold at below- hospitals and physician group practices throughout the New York metro area. So, you can market rates, plus a 625,000- choose from 25,000 physicians and other health care professionals in 41,000 locations. HIP also square-foot retail center, a park and offers plans with new, enhanced benefits packages featuring free eyeglasses, gym membership a public school. Innovative construction tech- reimbursements, alternative medicine and massage therapy. Call to learn more. niques are also being used at a much FOR MORE INFORMATION, CALL 1-888-447-7864 OR VISIT HIPUSA.COM® smaller affordable housing project in Brooklyn. Habitat for Humanity is pouring concrete between slabs of

polystyrene—think Styrofoam— ® 2006 HIP Health Plan of New York for nine multifamily condominium buildings that the group is putting

December 11, 2006 | Crain’s New York Business | 15 WEEK IN REVIEW

Morgan Stanley ECONOMIC SPOTLIGHT buys Brookville morgan stanley acquired Brookville Capital Management, a four-year-old hedge fund with $221 million in assets.The deal marks Morgan Stanley’s fourth hedge fund investment in two months. NYC brings suit over guns mayor michael bloomberg sued 12 gun dealers in Georgia, Ohio, Virginia, Pennsylvania and South Carolina who allegedly sold weapons tied to crimes in New York City. Also, the city said that Nascar’s S.I. bid crashes six other out-of-state dealers have agreed to have their operations INTERNATIONAL SPEEDWAY CORP. scrapped a $550 million monitored by court-appointed plan to build an 82,500-seat NASCAR RACETRACK on Staten officials. Island, citing a lack of political support. The Daytona Beach, Fla.-based company paid $100 million two years ago to buy ESPN joins a 440-acre former oil-tank farm near the Goethals Bridge film festival and later added another 236 acres of industrial parkland. the tribeca film festival and Economy Watch Critics charged that the racetrack would create massive Walt Disney Co.’s ESPN signed a NYC posted its lowest jobless rate since the data-tracking series began in the traffic jams and pollution. It isn’t clear what will become of deal to launch a film festival mid-’70s. Area inflation fell, spurred by a huge 12% decline in the energy index. the site. featuring independent sports movies.The festival will run SEPTEMBER ’06 OCTOBER ’06 COMPARISON photos: bloomberg news during the 12-day TriBeCa event NYC jobless rate 4.5% 4.1% 4.4%1 ban on the use of trans fats by next spring. NYC employment change +400 -2,200 +59,1002 Reckson sale restaurants. Restaurants have until NY area inflation change -0.5% -0.5% +2.4%3 receives nod July 1, 2007, to find substitute cooking oils and until July 1, 2008, Primedia unloads 1-U.S. unemployment rate. 2-Change since December 2005. 3-Inflation rate for the latest reckson associates realty to replace trans fats in baked 12-month period. Corp. shareholders approved the goods. In addition to the trans fat sporting titles $3.8 billion sale of the company to ban, the board passed a rule primedia inc. sold its hunting, SL Green Realty Corp.The vote requiring most fast-food eateries fishing and gun enthusiast titles, NYC Hotel Stats Broadway Stats came after bids by billionaire to post nutritional information on including Guns & Ammo and The daily room rate continued Attendance and gross slid in the investor Carl Icahn were rejected their menus. Florida Sportsman, to private rising in October, pumping up the week ended 12/3, The League of and Reckson management equity firm Intermedia Partners average for the first 10 months of American Theatres and Producers sweetened the deal by promising for $170 million in cash. The sale 2006 to $259.88, according to PKF says. Just over halfway through the its shareholders an additional Bank of New York includes all related Web sites and Consulting. The year-to-date season, attendance is down 2% vs. the dividend of 29 cents a share. television and radio occupancy level reached 84.9%. first half a year earlier; gross is up 8%. to acquire Mellon programming. bank of new york co. agreed to JetBlue growth cut acquire Mellon Financial Corp. in jetblue airways corp. slowed a $16.5 billion all-stock deal that Countrywide Home expansion plans for the second will create the time this year in world’s largest settles with AG an effort to securities countrywide home loans inc., stem losses. servicing one of the nation’s largest It delayed company.The new mortgage lenders, reached a delivery of company, to be called $3.2 million deal with Attorney 32 Embraer jets Bank of New York Mellon Corp., General Eliot Spitzer for by four years and said it now will have $16.6 trillion in assets allegedly charging minority home expects seat capacity to grow 14% and be based in Manhattan. buyers in Brooklyn higher to 17% in 2007, compared with a interest rates than white prior forecast of 18% to 20%. CCNY gets $10M customers. the new york life foundation Capital IQ’s Weekly Deals Report Pfizer halts gave a record $10 million to help Navy Yard cited pay for the expansion of the Colin TRANSACTION SIZE drug trial for back rent COMPANY (in millions) BUYER/INVESTOR TRANSACTION TYPE Powell Center for Policy Studies pfizer inc. halted a clinical trial of at City College of New York.The the brooklyn navy yard Arbor Realty Trust Inc. $547.5 Not disclosed GCI Uniondale, L.I. one of its most promising drugs— grant will fund scholarships and Development cholesterol-lowering treatment programming as well as a leader- Corp. owes Cara Therapeutics Inc. $19.0 Ascent Biomedical Ventures, MVM Life GCI Tarrytown, N.Y. Science Partners, Alta Biopharma Partners torcetrapib—because of an in-residence program. the city CryptoMetrics Inc. $12.0 Not disclosed GCI unexpected number of deaths, as $2.2 million Tuckahoe, N.Y. well as side effects, including Tiffany eyewear in back rent GigaSpaces Technologies Ltd. $11.2 Not disclosed SB M&A high-blood pressure.The stock and has kept Manhattan fell 10.8% to $24.86 a share in the tiffany & co. signed a 10-year shoddy Horizon Wimba Inc. $10.0 Tudor Ventures, First Analysis Corp., GCI first four days of trading last week. licensing deal with Milan-based leasing and Manhattan The Argentum Group, Gefinor Ventures Luxottica Group, allowing the property Games Media Properties $4.8 Edison Venture Fund GCI Italian company to design, records, Manhattan NYC approves produce and distribute eyewear according to Selected deals announced during the week of Nov. 26 for companies headquartered in metro New under the Tiffany name. The an audit by city Comptroller York. GCI: Growth capital investment represents new money invested in a company for a minori- trans fat ban ty stake. SB M&A: Strategic buyer M&A represents a minority or majority acquisition of existing agreement, which marks Tiffany’s William Thompson (above). shares of a company without the participation of a financial buyer. the new york city Board of first eyewear deal, calls for a 2008 —from staff reports and jennifer chiu Health unanimously approved a debut. bloomberg news reports

16 | Crain’s New York Business | December 11, 2006 duced content,” Mr. Harrison says. Scott Roesch,general manager of Viacom focuses on Internet comedy Atom Films, says its relationship at MTV Networks “supercharges our up on YouTube,albeit in smaller por- back to iFilm?” value proposition to the creator.… It Aims to monetize tions.One executive close to Viacom gives us direct access to networks.” video, challenge said it’s hard for the company to Stealing share Stealing share from a behemoth know what kind of a deal it should blair harrison, like YouTube won’t be easy. Hitwise YouTube with strike with YouTube until iFilm iFilm’s CEO, says data from November show that ad-friendly content makes a go of it on its own—and the company has YouTube’s share of Web traffic con- makes its most popular content as ac- had several itera- tinues to rise, growing 18% in the cessible and distributable as possible. tions since it past month; iFilm’s is up 35%, and BY ABBEY KLAASSEN “IFilm’s not starting from launched in 1999. Atom Films’606%.YouTube’s share scratch, and there’s no reason they After watching of traffic for the week ending Nov. viacom is getting serious about wouldn’t or shouldn’t make a play for COMEDY CENTRAL’S Doug Herzog will run Atom Films and iFilm. other video portals 25 was still 44 times greater than its online-video strategy—by bet- it,” says Jason Klein, president and pop up, “we real- Atom Films’ and 40 times greater ting heavily on comedy. co-chief executive of Special Ops ized our audience than iFilm’s. Atom Films, relaunched last Media, a Manhattan-based digital- es it on YouTube or iFilm, and if wanted not just a place to find user- week,will be a playground for aspir- marketing company. But, he adds, he’s already on YouTube looking generated and viral content but also Abbey Klaassen is a reporter for Advertis- ing video producers hoping for the if “Joe Blow doesn’t care if he watch- at 10 other videos, then why go some of the best professionally pro- ing Age, a Crain publication. next big Comedy Central or Spike TV hit. When iFilm relaunched a month ago as a more accessible, more open video portal, it was loaded with clips of The Daily Show’s Jon Stewart and his Comedy Central cohorts. AT THE CENTER OF THE TRANSPORTATION TRIANGLE Indeed, as comedy continues to prove popular on video sites,the two Viacom-owned video companies have been brought under Doug Herzog, president of Comedy Cen- tral/Spike/TV Land, and it’s be- coming clearer how they fit into Vi- acom’s online-video strategy. Atom Films, bought over the summer, will concentrate on short- form, independently produced con- tent and will be an incubator for MTV Networks. iFilm, bought more than a year ago, is emerging as

Both sites are already money makers, execs like to point out

a broad-based video portal and a home for professionally produced MTV Networks content. Both sites already make money on advertising, Viacom executives say. With quality material to place advertising against, Viacom has an advantage over YouTube and Google Video, which have struggled with guaranteeing that advertisers will Class-A office space just blocks from Penn Station,Grand Central Terminal and Port Authority. be safe from questionable content. Professional material 420 FIFTH AVENUE though viacom has been criticized in the press for a lagging online This is the “Transportation Triangle’s” Newest Office Building. strategy, its content, such as the Available now: popular clips of Comedy Central’s Daily Show, has contributed to the THE ENTIRE 4TH FLOOR growth of sites such as YouTube. 29,406 RSF

A month ago, Viacom’s corpo- FOR LEASING INFORMATION,PLEASE CALL: rate office asked YouTube to remove some copyrighted content originat- Robert C.Gallucci Haley L.Klein Matthew R. Astrachan Mitchell L.Konsker 212.841.7872 212.841.7892 212.841.7904 212.841.7626 ed by a variety of Viacom cable net- [email protected] [email protected] [email protected] [email protected] works, including Comedy Central and MTV. Some of that content still shows

December 11, 2006 | Crain’s New York Business | 17 THE WEEKS AHEAD

THIS WEEK’S EVENTS DECEMBER 12 a.m., Salute, 270 Madison Ave. Fee: funding. 8:30 a.m. to 10:30 a.m., Actors [email protected]. DECEMBER 12 Special Libraries Association, New York $15. (347) 529-6349 or Theatre Workshop, 145 W. 28th St., DECEMBER 14 U.S. Department of Commerce and chapter, holds program with Don [email protected]. third floor. Free. Registration required. InfoHighway Communications, Baker & McKenzie hold seminar on Tapscott, founder and CEO of New DECEMBER 13 (206) 709-9400, ext. 115, or Broadsoft and Polycom Inc. hold VOIP global taxation. 8:30 a.m. to 10:00 a.m., Paradigm. 5:30 p.m. to 8:30 p.m., CIBC Bridgestar holds seminar on bridging to [email protected]. information seminar. 2:30 p.m. to 5:00 1144 Sixth Ave. Fee: $75. (212) 809-2685 Auditorium, 300 Madison Ave. Free. the nonprofit sector. 9:00 a.m. to 10:30 DECEMBER 13 p.m., 1 Penn Plaza. Free. or [email protected]. Advance registration required. a.m., Pace University Midtown Retail Marketing Society holds lunch (212) 404-5219 or DECEMBER 12 (212) 951-2102 or Campus, 551 Fifth Ave., eighth floor. program on the psychology of today’s [email protected]. Brooklyn Chamber of Commerce holds [email protected]. Free. (617) 572-2833 or recreational shoppers. 12:00 p.m. to 2:00 DECEMBER 14 seminar on how to retain key employees. DECEMBER 13 [email protected]. p.m., Williams Club, 24 E. 39th St. Fee: Association for Accounting Marketing, 8:30 a.m. to 10:30 a.m., NYC Business New York Public Library’s Science, DECEMBER 13 $50 members, $75 nonmembers. New York metropolitan chapter, holds Solutions Center, 9 Bond St., fifth floor, Industry and Business Library holds South Bronx Overall Economic (201) 692-8087 or retailmarketingsoci program on increasing accountability Brooklyn. Free. (718) 246-5219 or workshop on how to start and operate a Development Corp. and New Jersey @retailmarketingsociety.org. through pipeline management. 8:30 [email protected]. home-based business. 5:30 p.m. to 7:00 Transit hold workshop on how to do DECEMBER 14 a.m. to 10:00 a.m., Cornell Club, p.m., 188 Madison Ave., room 018. business with New Jersey Transit. 3:00 Action International holds information 6 E. 44th St. Fee: $70 members, $80 More meetings online at Free. (212) 592-7000. p.m. to 4:30 p.m., 555 Bergen Ave., third session on growing a business. 12:30 nonmembers. (212) 859-7375 or www.newyorkbusiness.com DECEMBER 13 floor, the Bronx. Free. (718) 732-7547. p.m. to 2:00 p.m., Crema Restaurante, [email protected]. Click on “Events” Business Network International holds DECEMBER 13 111 W. 17th St. Free. DECEMBER 14 networking breakfast. 6:45 a.m. to 8:30 Benevon holds seminar on sustainable (646) 862-1710 or United Way of New York City and Baruch College hold seminar on the role of the nonprofit board. 4:00 p.m. to 6:00 p.m., 135 E. 22nd St., room 301. Free. (646) 660-6743 or [email protected]. DECEMBER 15 Healthcare Financial Management Association, metro New York chapter, holds annual finance and audit update. 9:00 a.m. to 3:30 p.m., LaGuardia Marriott Hotel, 102-05 Ditmars Blvd., East Elmhurst, Queens. Fee: $125 members, $199 nonmembers. (516) 826-4472. DECEMBER 18-24 DECEMBER 18 Biba4Network holds networking reception. 7:00 p.m. to 9:00 p.m., Soho Dance, 598 Broadway, sixth floor. Fee: $10 members, $30 nonmembers. (917) 573-9808 or [email protected]. DECEMBER 19 Women’s Venture Fund holds customer service training program. 6:30 p.m. to 8:30 p.m., 545 Eighth Ave., 17th floor. Fee: $65. (212) 563-0499 or [email protected]. DECEMBER 19 Seedco holds restaurant management workshop. 1:30 p.m. to 3:30 p.m., Department of Small Business Services, 110 William St., seventh-floor boardroom. Free. (212) 618-8862 or [email protected]. DECEMBER 25-31 DECEMBER 28 Power Networking Business Series holds information session. 5:00 p.m. to 8:00 p.m., Baton Rouge Restaurant, 458 W. 145th St. Free. (212) 413-9554 or [email protected]. JANUARY 1-7 JANUARY 3 New York Designs and City University of New York hold course on solving entrepreneurial challenges. 6:00 p.m. to 9:00 p.m., 45-50 30th St., seventh floor, Long Island City, Queens. Fee: $160. (718) 663-8403 or [email protected]. JANUARY 8-14 JANUARY 9 New York City Business Networking Group holds networking reception. 6:00 p.m. to 8:00 p.m., Stone Creek, 140 E. 27th St. Free. (212) 471-8456 or [email protected]. —adrianne pasquarelli

TO LIST YOUR EVENT

© 2006 The Northwestern Mutual Life Insurance Co., Milwaukee, WI. Securities offered through Crain’s lists business meetings online and includes Northwestern Mutual Investment Services, LLC, a registered investment adviser, member NASD and SIPC. 6999-NBCNY2006 them in the print edition on a space-available basis. Events in New York City with admission fees of less than $300 are considered for the print publication. Listings can be submitted only through the Crain’s For 150 years, people have been coming to Northwestern Mutual to put their minds at ease. Web site. To submit a calendar listing, go to the quiet company ® www.newyorkbusiness.com and click on “Events.” Sponsors have a choice of several free or paid list- northwesternmutual.com insurance / investments / ideasTM ing options. All business events will be posted online within two business days. Crain’s can neither confirm receipt of listings nor say if or when event listings will appear in the print edition.

18 | Crain’s New York Business | December 11, 2006 2 sites aim to ring up sales during e-shopping season

the decade-old site had about 19 proposition and better functions.” Pronto, ShopWiki million unique visitors in October, ShopWiki, which launched in enter field dominated according to research firm April, hopes to set itself apart Nielsen//NetRatings. The second- through popular online community by Shopzilla, others; largest, Shopping.com, had 18 mil- features such as user-generated con- lion unique visitors. Shopping.com tent and video. For example, when a will traffic rise? was launched eight years ago and is shopper types in a search for a TMX now owned by eBay. Elmo doll, the site will deliver a list BY AMANDA FUNG By contrast,the numbers of peo- of prices and online retailers accom- ple using Pronto and ShopWiki are panied by reviews and a buying two fledgling New York technol- too small to be rated. Executives at guide, which users can update any- ogy companies, Pronto.com and both companies, while insisting time, in wiki fashion. A video con- ShopWiki, are hoping to cash in on that traffic is on the rise, declines to tributed by a user named Tarrina what is likely to be a record-setting disclose specific figures. displays how to play with Elmo. holiday season for e-com- To encourage users to merce. submit product videos, Between Thanksgiv- ShopWiki is paying users ing and Christmas, U.S. $50 per video.It expects to consumers are expected have over 500 product to spend $27 billion on- videos by year’s end. line—a 23% increase over last year. The frenzy is $6 million in financing driving demand for a “we are 100% focused on growing number of Web continuing to provide sites that help shoppers what we think consumers compare prices. want,” says Kevin Ryan, “Pronto.com is fo- former DoubleClick chief cused on staying in this executive and co-founder space for the long term,” of ShopWiki, which has says Dan Marriott, chief raised $6 million in ven- executive of the site, ture financing. “We want which officially launched people to keep coming on Nov. 20. “Great con- back.” sumer services and brands According to Mr. aren’t built overnight.” Ryan, ShopWiki makes money from pay-per- Big backers click ads displayed on the both sites are propelled site and operated by by high-profile players on Google. He argues that the city’s tech scene. For- his site is more useful to mer DoubleClick Inc. consumers than other executives run Shop- shopping sites because its Wiki, and media mogul SHOPWIKI AND PRONTO are supported by high-profile players on the search results aren’t influ- Barry Diller’s IAC/ city’s tech scene, but both are still too small to be rated. enced by advertisers. InterActiveCorp owns In addition, he says, Pronto.com. the site is fueled by a pro- But ShopWiki and Pronto have “It will be difficult to become the prietary technology that scours the a long way to go to catch up to their next Shopzilla and Shopping.com,” Internet widely for merchandise more established rivals. says Heather Dougherty, a senior and retailers. The biggest shopping search en- analyst at Nielsen//NetRatings. “The odds of finding lower gine is Shopzilla and its affiliates. “However,a company can rise in the prices are much better when you Now owned by E.W. Scripps Co., ranks fairly quickly with the right have 10 choices compared with just three,” Mr. Ryan says. Pronto,which has been in testing PAY AS YOU CLICK since January,displays search results from sites that advertise and share THE BOOM IN WEB SHOPPING is expected to help Google Inc. gain traction for revenue with it.But it also uses tech- its new online payment service, Google Checkout, which the Silicon Valley- nology similar to ShopWiki’s to based search giant developed at its New York office. scan the Web for relevant results Google Checkout, launched in June to compete with PayPal, aims to make from Web sites that do not sponsor it easier to shop online. Users register their credit card and personal Pronto. information on the site; then they can shop directly on a network of store sites Mr. Marriott of Pronto says the without having to register for each one. More than 1,000 merchants, mix of paid and unpaid search re- including J&R.com and ToysRus.com, have signed on so far. sults distinguishes his site from Traffic to Google Checkout was up 41% for the week Shopzilla and other leaders in the ended Dec. 2, according to research firm Hitwise. The field. “Virtually all the other ser- site had 538,000 unique visitors in October, the vices only provide listings that are first month in which its audience was big enough to be paid advertising,” he says. “Con- reported by Nielsen//NetRatings. sumers are not served well if they get “It has exceeded our expectations,” says Benjamin a small subset of what is out there.” Ling, the service’s lead engineer. Pronto is trying to leverage par- To generate interest in the service, ent IAC’s network of more than Google is working both sides 20 Web sites, which attract 229 of the virtual aisle: The million unique visitors a month. company is waiving Pronto already powers the shop- merchants’ transaction ping search engines for three IAC sites: iWon.com, Excite.com and processing fees until the end MyWay.com. of 2007 and offering Mr. Marriott says, “We want to shoppers $10 off purchases of get as much traffic as we can.” at least $30.

gettyimages COMMENTS? [email protected]

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©2006 Consolidated Edison Company of New York, Inc. Ad: Arnell Group SMALL BUSINESS INSIDE Good press for a clothing boutique, and other success tales PAGE 27 Top SBA lenders in the NY area PAGE 28 How to take stock of this year’s results and lay the groundwork for 2007 PAGE 30

BY STEVE GARMHAUSEN Firms DANIELLE MALKA says that an explosion in demand followed the timing couldn’t have been bet- the appearance of an ter for high-end shaving products expand eShave product on company eShave:Its shaving kit was Queer Eye for the prominently featured on an episode Straight Guy. of Queer Eye for the Straight Guy into smack in the middle of the 2003 Christmas shopping season. “There was an instant explosion MySpace in demand,” says Danielle Malka, president of the midtown Manhat- tan-based company. “Until the end Find customers, of the year, we went completely make contacts; crazy here.” To cope,the five-employee com- some ‘friends’ pany—known for its handmade brushes, razors and other prod- in name only ucts—quadrupled its staff to 20 and took over the space next door. In BY KAREN J. BANNAN three weeks, by the time the holiday had passed, the company had rung radio station hot 97 plays up 35% of its annual revenues. hip-hop and rap music. Its DJs are themselves stars, regularly Short-term windfalls rubbing elbows with the likes appearances on reality shows such of Beyoncé, Ludacris, Diddy, as Queer Eye and Extreme Makeover: and Busta Rhymes. Home Edition have provided invalu- As the producer of Whatz able exposure for numerous New Going On, a fledgling satellite- York City businesses. In exchange TV talk show dedicated to such for donating their products, services music, Ken Murphy longed and time, the firms have reaped desperately to get into Hot 97. short-term windfalls as viewers hit His immediate aim was to do a Google and the shows’Web sites for live interview there with one of more information. A few firms have its DJs—exposure that he fig- even managed to use careful mar- ured would put his program on keting to turn the brief exposure the map. into long-term marketplace recog- When calls and e-mails nition—and growth. failed to get him anywhere, Mr. “It immediately gives your brand Murphy turned to the social credibility,”says Brooklyn-based re- networking site MySpace.com. tail consultant Simon Dallimore. He quickly set up his profile “And,of course,you can revisit it and page and sent messages to sev- use it in PR materials.” eral Hot 97 DJs who also have The bottom line for participat- pages, asking them to make ing companies is that their dona- him one of their approved con- tions pay for themselves many tacts, or “friends.” Several did. times over. Increasingly cordial e-mails Over the last three years, Dwell See ENTERING on Page 26 Home Furnishings on Canal Street has handed over more than $10,000 worth of its colorful bedding goods STEPS for appearances on Queer Eye, Ex- treme Makeover and The Apprentice. TO CREATE Each cameo has brought a quick albeit brief 5% or so pop in sales. A PAGE But that is not what Christiane GO TO MYSPACE.COM Lemieux, founder and creative di- and enter your e-mail rector of the company, values most.

address, name, ZIP buck ennis 1 Impressions linger code and date of birth. You can also upload an image, “the appearances definitely build such as a photo or company your brand,” says Ms. Lemieux, logo. whose 10-employee company is on TVcameos boost target for $4 million in sales this YOU’LL BE ASKED year. “People may not be able to to edit your profile and place exactly where they saw you, 2create a headline and but they’re like,‘I love Dwell;I know a list of the types of people I saw it somewhere.’ ” you’d like to “meet.” Though NY companies Even those small business own- it’s not required, you can ers who are skeptical about the detail your interests; favorite short-term benefits of making ap- music, movies and books; Use shows like ‘Queer Eye’ to pump up sales; pearances on television carefully and heroes. milk their moments of fame for benefits of exposure can last for years See PROFITS on Page 24

December 11, 2006 | Crain’s New York Business | 23 REPORT SMALL BUSINESS Profits from cameos Continued from Page 23 Nonetheless,Mr.Lanza includes months, if not longer. tapes of the Queer Eye appearances Chain restaurateur Louis Lanza in his media kit, one that has helped scoffs at the idea that a Queer Eye him land appearances everywhere episode last year featuring his Better from The Jane Pauley Show to the Burger restaurant and one this year Food Network to CNN Money. featuring his Josie’s Restaurant have TALKING IT UP: The year after eShave’s appearance on Queer Eye for the Straight Guy, the company’s business doubled. caused an uptick in business. Far and wide “I don’t believe in that stuff,” says some business owners have been Mr.Lanza,whose Better Burger and genuinely surprised by just how far inquiring about franchising oppor- Rock Junket walking tour of historic continuing stream of business. Josie’s properties have a staff of about their fame has spread via television. tunities. He tells them that it’s too rock music sites in the East Village “They kept replaying the episode 200 and annual revenues of between Mr. Lanza has received e-mails early to go international. was featured on Queer Eye two years throughout the world,” says Mr. $10 million and $15 million. from places as far-flung as Australia In the case of Bobby Pinn,whose ago,the exposure abroad has led to a Pinn, who estimates he earns $10,000 a year walking tourists in the footsteps of The Ramones, The New York Dolls and other legends. “To this day, I’m still getting people from places like Sweden who saw that show.” Still going eshave is another company that has found that the commercial glow of a television experience can last for years. The year after the company’s first appearance on Queer Eye—and with the help of an endorsement on its home page from the show’s grooming guru, Kyan Douglas— the company’s business doubled. Nearly 80% of employees Although its employee count has settled at 10, revenues are expected to hit $1.8 million this year, up from are very concerned about less than $500,000 in 2002, Ms. Malka says. * rising commuting costs. COMMENTS? [email protected] TASTES DIFFER So what are you doing to help? REALITY SHOW executives say there is room on their shows for lots of businesses. At Extreme Makeover, for example, Executive Producer Denise Cramsey says, “We try not to turn away any vendors.” Products not used in one episode are typically diverted to another show. After all, the show’s producers have to build and furnish an entire house in each episode. Queer Eye is a bit more exclusive. It features just 10 products and services in each Give your employees TransitChek, the money-saving tax-free commuter benefits program. episode. Employees are increasingly concerned about rising commuting costs. Companies are concerned, too, about wage The key to getting on? “Have a inflation and employee attrition that commuting costs can cause. Now, there's a simple and effective solution for great product, be available on short notice and be patient,” says ** everyone:TransitChek tax-free commuter benefits programs. Employees can save up to $1,300 a year or more Frances Berwick, executive vice in commuting costs. Companies can save thousands of dollars in payroll taxes, too. Plus,TransitChek Programs are president of programming and easy to implement, easy to administer, easy to use — and they're IRS approved. What can you do to help drive production at Bravo, where Queer down rising commuting costs? Call TransitChek today to find out. Eye runs. Another wrinkle to be Want to know more? Get the results of “The 2006 Commuter Impact Survey” FREE at www.transitcenter.com. considered is that such shows Or call 1.866.521.CHEK (2435). may feature certain vendors

* According to the 2006 Commuter Impact Survey, 76% of human resource decision makers surveyed believe their companies’ employees are extremely more prominently—including or very concerned about rising fuel/commuting costs. mentioning them by name— ** Based on annual salary of $35,000. Employee tax savings include: Federal, State and Local Income Tax, Social Security and Medicare. Annual savings of up to $500 or more based on the than others. maximum $105 monthly deduction allowed for mass transit. Annual savings of $1,300 or more based on pretax deduction maximum of $105/month for mass transit and $205/month for commuter parking. Lower deductible may result in smaller savings. Individual savings may vary. Calculations based on 2006 Federal Income Tax rates. Consult your task advisor. Sometimes that prominence is linked to advertising deals or especially large donations of goods and services. But on Extreme Makeover, even a commitment worth less than $10,000 will get the business www.transitcenter.com ©2006 TransitCenter.All rights reserved. on-screen credit and a listing on the show’s Web site.

24 | Crain’s New York Business | December 11, 2006 Today’s Aetna

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Continued from Page 23 ensued, and this past spring Mr. Murphy got the green light for an in-station interview with Enuff, the popular afternoon DJ. Growing a business takes hard work – and a bank that works with you. “My show took on a life of its North Fork Bank has the solutions Your Small Business needs to succeed: own once I made that connection,” I says Mr. Murphy, who predicts that Loans, lines of credit, merchant processing and other banking services his revenues will triple this year, to I Checking, money market and savings accounts I $120,000. Cash management services – including an online cash management suite Growing numbers of savvy en- I Investments, insurance and retirement services* IT’S ALL ABOUT I trepreneurs are getting on the Equipment finance services MySpace.com bandwagon. The PARTNERS – NOT JUST BANKERS. reasons are simple. For starters, THE IMAGE Working with North Fork also gives you something more – the services of a North Fork banker who’s committed to there are no membership fees or SOME BUSINESSES are turning to finding out where you want your business to go, and then developing a strategy for getting you there. other costs required to set up and professionals to create and * Securities are offered through NFB Investment Services Corp., a registered broker/dealer, member NASD/SIPC. Annuities and other types of insurance are maintain a profile page. Once on- maintain their MySpace pages. offered through NFB Agency Corp. Both are non-banking affiliates of North Fork Bank. line, business owners have access to Not FDIC Insured Not Bank Guaranteed May Lose Value Advantage Consulting Services, a Not a Deposit Not Insured by any Federal Government Agency a huge range of potential customers Los Angeles-based Internet and contacts. marketing consultancy, is one of The site boasts more than 120 the increasing number of firms million users and says it is is adding now offering those services. 250,000 every day. Many consultants also help A MySpace page is easy to create companies find suitable and includes a wealth of informa- Your Small Business friends. Hiten Shah, Advantage’s Right where needs us. tion:name,sex,location,photos and chief executive, says firms like his Borrow Below Prime! favorite bookmarks. can help keep clients from falling Most important,users can access To learn more, speak to a North Fork Bank representative into the wrong crowd online. today. Stop by any North Fork Bank branch, visit other friends’ friends—generally people with common interests— “There’s no censorship as to www.northforkbank.com or call 877-694-9111. what people can put on a page,” Accurate as of 11/17/06 and subject to change without notice. Credit products subject to underwriting approval. Other terms and conditions apply. because pages list their names and, sometimes, photos. Friends can Mr. Shah says. “So if you really leave messages or comments about care about your brand, try and the page’s originator or, in the case associate your business with of a business, about a company and friends who uphold your values its products. and personality.” Builds credibility shanti trayham, a clothing de- in the door. signer who founded her own firm, Executives at Revolution Air, a Shaya Design Inc., two years ago, five-year-old jet charter service, are IT’S A BIG CITY OUT THERE. decided to give MySpace a try a few just discovering that. months back. Salesperson Kerry Sailler spent She created her page,incorporat- about a day setting up a page earlier ing pictures of her latest fashions, this fall and has since devoted about Get noticed by the top people and within a day she was flooded 15 hours to searching the MySpace site for users in Revolu- tion Air’s target market, including trying to conquer it. Users must rely music stars, other celebrities and owners of professional concierge on the site’s services. The Manhattan-based compa- search engine, ny, which has revenues of about $20 million a year, now has some which is ‘terrible’ 140 friends—none of whom has generated any business. Not enough data it’s a common experience.Some with messages. Executives at com- experts point out that it can be dif- panies ranging from Nickel and ficult for potential customers to lo- Dime Music Group to Christian cate a firm on MySpace. A user Dior were impressed enough with looking for a particular person, Ms. Trayham’s product to want to group or company must rely on the become her friends. Each new con- site’s search engine, which is “terri- tact widened her circle and added to ble,” said Hiten Shah, chief execu- her credibility. tive officer of Advantage Consult- “I accumulated 250 friends in ing Services, an Internet consulting Advertise in Crain’s Report: Real Estate less than two months,” Ms. Tray- firm based in Los Angeles. ham says. “I’ve been approached to There’s also the question of met- featuring Top BIDS create T-shirts and hats for a record rics. Users can see how many people label and was asked to rep five de- have visited their page, but the site ISSUE DATE: JAN 15 AD CLOSE: JAN 2 @ NOON signers from Africa.” doesn’t track how long visitors stay She estimates that the new con- or what they do. *Plus bonus distribution at the annual REBNY banquet. nections will help boost her rev- “MySpace is good,but it’s failing enues to $1.5 million in 2007 year in some areas,” Mr. Shah says. “It from a projected $125,000 this year. doesn’t give people enough infor- Of course, few business owners mation. If you knew more about Call 212-210.0259 or visit can sit back and expect to get hun- who was visiting your page, you dreds of “friends requests”—much could tweak your content and ad- newyorkbusiness.com. less offers to cut big deals—simply vertising” accordingly. by putting up a page. MySpace is simply a way for them get a foot COMMENTS? [email protected]

26 | Crain’s New York Business | December 11, 2006 REPORT SMALL BUSINESS

switched to pitching specific gift shop buyers.The switch paid kinds of cultural experiences New products that were hot or cool— off. NuOp Design’s magnets, called Yorkers crave but all too rarely enjoy. ankle boots in eco-friendly Shaps, are now sold in more than For roughly $100 an hour per materials, for example—and that 150 museums nationwide. person, her company, Indigo,allows GROWTH TALES made the difference.” “The great thing about museum its clients to sample the city’s Key strategies used by young firms by Lisa Goff shops is that there are always new museums, fashion shows, visitors—tourists, school groups— restaurants and more in the Magnet maker so museums will keep reordering company of a knowledgeable and attracts buyers the same items,” says Mr. Frisari, charming guide. Recent Indigo who designs the magnets. “If we experiences include arranging Free press lifts entrepreneurs have to be careful had sold to neighborhood gift flowers with florist-to-the-stars what they wish for. shops, like we originally planned, Jodi Zimmerman, and helping clothing boutique Frank Frisari and John McCoy we probably would have had to cook breakfast at Café Gray. any startups are thought they’d succeed if they could retire this design by now.” Ms. Arnowitz’s target market is hobbled by their tiny to get lots of people at huge gift shows In addition to museums, Shaps everyone who has ever looked at in Atlanta and New York to notice are sold in 200 university gift shops the listings in the back of New York Mnonexistent marketing their line of geometric magnets. and office supply stores—the result magazine and sighed wistfully. budgets. But as Kate McGregor “We worked so hard to get into of adding stationery trade shows. “We do all the work for you,” learned, it’s possible to mount a great marketing campaign those shows,” says Mr. Frisari, a Revenues for 2006 are on track says Ms. Arnowitz, who had been a without spending a dime. graphic designer who co-founded to hit $400,000, almost five times marketing executive at Turner NuOp Design Inc. in late 2004. “But last year’s total. So far, the only Broadcasting and Major League Since the August opening of Kaight, her eco-friendly what we learned is that we have to employees are the partners. Baseball before founding Indigo in Orchard Street clothing boutique, she’s done a brisk business. pick the right shows, or we just end 2003.The company has two full- Her $60 bamboo fabric T-shirts and $200 organic denim jeans up showing our products to a lot of Sampling the city time and 12 part-time employees. are flying out the door, and she’s on track to meet her first-year wrong people.” Revenues this year are expected to With the help of a sales rep they gets easier hit $1.5 million. revenue projection of $300,000. “Free press attracts more attention met at the Javits Ms. Arnowitz says she plans to Sure, what Ms. McGregor is than paid advertising,” says Ms. Convention new york’s super- add family packages to the current selling is hugely popular right now McGregor, a former editor at Center show in abundance of art, mix of one-on-one, group and but, just as important, a host of Institutional Investor magazine. January 2005, the fashion, food and wine is corporate options. press reports have helped put She says that even as a former partners focused a big reason why people Kaight on shoppers’ radar screens. journalist, she found it difficult to their marketing, want to live here. But how COMMENTS? [email protected] To date, Kaight has been figure out exactly how to sell her signing on at the often do we really indulge in featured in Time Out New York; new business to the press. annual trade these urban pleasures? Not COMING UP Good, a general interest magazine “At first, I was pitching the idea show for museum often enough, says Holly In January, “Growth Tales” will be replaced by “Hits for the socially responsible; and of the store, but I quickly realized Arnowitz, who has built a + Misses,” a column that will look at young firms Nylon, an urban lifestyle magazine. that wasn’t working,” she says. “So I NUOP sticks to its designs. business out of arranging the and strategies that worked or fell flat.

December 11, 2006 | Crain’s New York Business | 27 REPORT SMALL BUSINESS

LEADING LENDERS SHIFT AS 2006 ACTIVITY SLOWS the sba lending juggernaut slowed down con- siderably in the fiscal year ended in September. The number of area loans rose 14%, one-third the size of the jump recorded in 2005. Dollar volume actually sank, falling nearly 4% as banks’ average loan size contracted. Leading the retreat was last year’s leader, HSBC, which recorded steep declines in both the number and the value of its SBA loans. HSBC’s pullback cleared the way for hard-charging Bank of America to take the crown in number of loans. A huge increase in lending by J.P.Morgan Chase allowed it to capture second place. jennifer chiu New York Area’s Top SBA Lenders Ranked by number of loans in fiscal 2006

Number of loans Number of loans Percent Dollar value of loans Dollar value of loans Percent Rank Lender in fiscal 2006 in fiscal 2005 change in fiscal 2006 in fiscal 2005 change

1 Bank of America 1,219 752 +62% $51,909,300 $31,264,200 +66% 2 J.P. Morgan Chase Bank 1,028 508 +102% $51,572,600 $34,210,180 +51% 3 HSBC Bank USA 811 1,425 -43% $44,270,600 $99,913,800 -56% 4 Capital One Federal Savings Bank 236 347 -32% $10,460,000 $15,480,000 -32% 5 Banco Popular 224 85 +164% $10,231,100 $7,672,800 +33% 6 Washington Mutual Bank 203 0 n/m $5,926,200 $0 n/m 7 Citibank 187 140 +34% $6,977,500 $7,799,300 -11% 8 BNB Bank 167 135 +24% $25,841,000 $30,265,000 -15% 9 Manufacturers and Traders Trust Co. 165 150 +10% $12,382,000 $12,604,500 -2% 10 Citizens Bank 161 228 -29% $7,457,500 $8,815,000 -15% 11 Flushing Savings Bank 110 53 +108% $20,644,100 $11,727,700 +76% 12 Commerce Bank 90 115 -22% $30,912,700 $38,131,600 -19% 13 Empire State Certified Development Corp. 82 76 +8% $54,762,000 $49,638,000 +10% 14 Long Island Development Corp. 71 65 +9% $49,778,000 $39,801,000 +25% 15 Unity Bank 52 42 +24% $21,114,500 $23,458,300 -10% 16 North Fork Bank 51 27 +89% $2,520,000 $1,375,000 +83% 17 CIT Small Business Lending Corp. 44 57 -23% $26,092,000 $32,181,300 -19% 18 Nara Bank 42 30 +40% $21,715,500 $15,767,000 +38% 19 Shinhan Bank 37 31 +19% $13,120,000 $7,595,400 +73% 20 KeyBank 34 15 +127% $3,932,000 $6,562,900 -40% 21 PNC Bank 30 19 +58% $17,707,100 $15,381,400 +15% 22 Wells Fargo Bank 26 26 0% $700,000 $890,000 -21% 23 Business Loan Center 25 15 +67% $7,122,700 $5,760,000 +24% 24 Woori America Bank 25 19 +32% $6,411,000 $3,821,900 +68% 25 TD Banknorth 22 31 -29% $3,123,200 $2,695,000 +16% 26 Suffolk County National Bank of Riverhead 20 4 +400% $1,705,000 $475,000 +259% 27 New York Business Development Corp. 18 14 +29% $6,451,600 $4,347,000 +48% 28 Community National Bank 18 0 n/m $5,691,000 $0 n/m 29 Newtek Small Business Finance Inc. 17 21 -19% $5,417,000 $6,854,000 -21% 30 Valley National Bank 17 47 -64% $2,371,500 $7,442,400 -68% 31 Innovative Bank 15 16 -6% $185,000 $95,000 +95% 32 Ocean Bank 14 8 +75% $13,197,000 $3,295,000 +301% 33 Rhinebeck Savings Bank 14 3 +367% $1,720,750 $305,000 +464% 34 Community Capital Bank 13 41 -68% $8,704,000 $11,587,000 -25% 35 Interchange Bank 12 11 +9% $2,182,000 $2,680,000 -19% The U.S. Small Business Administration’s New York district includes New York City and Dutchess, Nassau, Orange, Putnam, Rockland, Suffolk, Sullivan, Ulster and Westchester counties. Rankings are for the fiscal year ended Sept. 30, 2006. Figures include 7(a) loans— loans to businesses unable to secure financing on reasonable terms through normal lending channels—and 504 loans—long-term, fixed-rate financing for major fixed assets. Figures do not cover banks’ third-party participation in 504 loans. In case of tied figures in the number of loans, lenders are ranked by dollar amount. n/m Not meaningful.

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nesses should come up for air and BY TINA TRASTER evaluate their financial position from both a tax and a planning ynne lambert spent standpoint. Putting off these tasks much of last year just try- until after the New Year could be ing to keep up with bur- costly: For one thing, a delay may geoning demand for the close the door on opportunities to “Manhattan map” shirt reduce taxes.Now’s the time to stop, Lsold by her clothing and parapher- regroup and plan. nalia company, NYC Subway Line. It was only after she finally took TIP 1 a breath and analyzed production Do the math. costs that she realized her margins had been slipping for months. add up all ledgers, compute an- “I was so busy cranking out pro- nual totals for sales, expenses and 236,000 Readers Are Awaiting 40 Names. payroll, and reconcile bank ac- 40 counts. Check pay slips against the Putting off tasks payment summary. Organize and itemize invoices and receipts. could mean Next, prepare preliminary in- come, balance sheet and cash flow losing tax statements using a software pro- Report: 40 Under 40 Executives to Watch gram like QuickBooks. deductions Begin to assemble and tally ex- penses by vendor,and prepare 1099s (statement for recipients of miscel- Issue Date: January 29 laneous income) for independent Ad Close: January 11 contractors whom the company duction to meet demand for our paid $600 or more. To advertise call 212.210.0259 top-selling item that I didn’t notice or visit newyorkbusiness.com costs creeping up,” Ms. Lambert TIP 2 says.“Last December,after the rush, Plan a tax strategy. I took time to evaluate and had no choice but to raise the wholesale with those preliminary figures in price on the shirts by nearly 10%.” hand, sit down with an accountant As the year wraps up, small busi- before early December. Look at the

30 | Crain’s New York Business | December 11, 2006 istockphotos year’s liability, whichever islower. whichever year’s liability, $150,000) or90%ofthecurrent gross incomeismore than year’s (110%ifadjusted liability must equal100%oftheprevious Estimatedpayments 16. is dueJan. Thefinalpayment December. early culate estimatedtaxesfortheyearin the self-employed Don’t getcaughtshort. TIP 4 reduceswhich taxableincome. bepaid12monthsinadvance, can expenses Such er overhead costs. interest onloansandoth- leases, car equipmentor sense toprepay rent, $108,000 for2006. expenseupto which abusinesscan ternative minimum tax. the businessisnotsubjecttoal- provided that waiting untilJanuary, inDecemberinsteadof tax payment es ormakingthelastestimatedstate real estatetax- Also considerpaying out bonusesorsetupa401(k)plan. to accelerate deductions Act now. TIP 3 obligation. lowing year’s profit—and tax eitherwouldincrease thefol- cause ductions wouldbeabigmistake,be- de- incomeoraccelerating deferring betterthe nextyear,substantially perform thatthecompanywill lieve than expected. areburden whenearnings higher ing deductionshelpslower thetax Accelerat- out Decemberinvoices. tosend ple aswaitinguntilJanuary rent year’s taxburden. deductionstoeasethecur- celerate makes sensetodeferincomeorac- whetherit together todetermine profit andlossstatement business’ DECEMBER IS its company making over results.Isthe Look reflection. analysis and new hiresnow.” developing budgetsandmaking resources, we’re shuffling plans toexpanditsadbudget, have oneclient that we “Because agency. based advertising Management Inc.,aManhattan- Total Communications atTargetCast officer financial chief says SalChieffalo, staffing evaluate ourclients’ orchangedirection? course the shouldstay firm the whether say about What doesperformance are workingout?Whicharen’t? andvendors products, customers What services, expectations? meeting margins DEEP THINKING Ask anaccountantifitmakes improvements,Consider capital Ifthere’s reason tobe- Warning: beassim- incomecan Deferring sales goals “In the fourth quarter, we quarter, fourth “In the for the followingyear,”for the the month for month the ? Are needs and should recal- hand , al deduction for gifts tocustomers al deductionforgifts annu- Washington thinksmall:The are taxdeductible. postage, including and theseitems, gestures engendergoodwill, Such send clients Be generous. TIP 5 getting aninterest-free loan. isessentially Service nal Revenue ortheInter- thoselimits, overpays 147 w35thSt. Record Storage:$1/m+many otherservices Self StorageLockers: day/month (alsodeskspace) Locker Rent A CORPORATION experience inaccounting,financeandvariousspecialized Certified QuickBooks POS Experts QuickBooksPOSExperts Certified NEW YORKLLC The PlacetoGoBuyorSellaBusiness who understand your business and the importance ofcor- who understandyourbusinessandtheimportance CALL FORFREE NEW YORK INFORMATION COMPLETE COMPLETE $ Don’t in forgetthatourfriends Reduce thelastinstallmentifit $ 234 64 16 The NationsLargestBrokerageFirm ACCOUNTING/QUICKBOOKS Selling Your Business? 212-210-0189 REPORT John Gallagher BOOKKEEPING SERVICES To place your PACKET

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AND ESTATE LOTS s Crain’s New York Business eeking it COSTA RICA [email protected] Call 877Costa15 w s in o d o w will focusonthe s w n i t I q ft. e d d office entity. d eal for s . | 31 PUBLIC & PUBLIC & PUBLIC & PUBLIC & PUBLIC & LEGAL NOTICES LEGAL NOTICES LEGAL NOTICES LEGAL NOTICES LEGAL NOTICES

Notice of Formation of Copernicus Institutional LEGAL NOTICE Notice of Application Notice of Formation of Cohen Adams, Notice of Formation of ROCKVIEW Notice of formation of Limited Liability Investors, LLC. Arts. of Org. filed with NY for Authority of limited liability company LLC Arts. of Org. filed with the Secy. of NYBOT, LLC. Arts. of Org. filed with Company (LLC) Big Apple Spots L.L.C. Dept. of State on 10/17/06. Office location: NY Articles of Organization filed with the Secretary (LLC) Name: 51st and Eleventh, LLC State of NY (SSNY) on 10/12/06. Secy. of State of NY (SSNY) on County. Secy. of State designated as agent of 10/6/2006. Office location: NY County. of State of New York (SSNY) on 11/02/2006. LLC upon whom process against it may be Application for Authority filed with the Office location: NY County. N.Y. Office location: New York County. SSNY SSNY designated as agent of LLC upon SSNY designated as agent of LLC upon served. Secy. of State shall mail process to: Department of State of New York on whom process against it may be served. has been designated as an agent upon whom 327 Central Park West, Ste. 12C, NY, NY October 05, 2006. The jurisdiction of its whom process against it may be served. SSNY shall mail process to: National process against it may be served. The Post 10025, principal business address of the LLC. Office address to which the SSNY shall mail a formation is Delaware. The date of its SSNY shall mail process to: c/o Barton Registered Agents, Inc, 875 Ave of the Purpose: any lawful activity. Barton & Plotkin, LLP, 420 Lexington copy of any process against the LLC served formation is July 19, 2006. Office location: Americas, Ste 501, NY, NY 10001 upon him/her is C/O the LLC: New York County. The Secretary of State Avenue, NY, NY 10170 Purpose: any lawful activities. Big Apple Spots L.L.C. 648 E. 11th St Apt D1 Notice of Qualification of NOCHA A LLC. of New York (SSNY) is designated as agent Purpose: any lawful activity. New York, New York 10009. The Principal Authority filed with NY Dept. of State on of LLC upon whom process against it may Notice of Formation of Limited Liability Business Address of the LLC is: 648 E. 11th 11/14/06. Office location: NY County. LLC be served. The principal business location is St Apt D1, New York, New York 10009 formed in Delaware (DE) on 11/9/06. Secy. of Notice of Qualification of Sedna Partners (QP) Company. Aegis Ventures LLC (LLC). Articles c/o Potamkin Cadillac, 798 11th Ave., New of Organization were filed with the Secretary of Purpose/ character of LLC/LLP: Any Lawful State designated as agent of LLC upon whom LP, App. for Auth. filed Sec'y of State (SSNY) Purpose Date of Dissolution: No Specific Date process against it may be served. Secy. of York, NY 10019. The address SSNY shall 12/29/04. Office location: NY County. LP org. State of New York (SSNY) on August 28, 2006. State shall mail process to: Michael Fischer, mail copy of process to is c/o Potamkin in DE 12/27/04. SSNY designated as agent of Office location:New York County. SS has been REQUEST FOR PROPOSAL c/o Sukenik, Segal & Graff, P.C., 404 5th Ave., Automative Group, Inc., 6600 Cowpen Rd., LP upon whom process against it may be designated as agent of the LLC upon whom 5th Fl., NY, NY 10018, principal business process against it may be served. SSNY shall (200), Miami, FL 33014. The address of the served. SSNY shall mail copy of process to Requests for Proposals address of the LLC. DE address of LLC: c/o office required to be maintained in the 200 Park Ave., Ste. 3900, NY, NY 10166. DE mail a copy of process to LLC c/o Joyce Sheena, Corporation Service Co., 2711 Centerville Rd., 1349 Lexington Ave. #10E, NY, NY 10128. jurisdiction of its formation is c/o National office addr.: CSC, 2711 Centerville Rd., OUTDOOR CAFÉ Wilmington, DE 19808. Arts. of Org. filed with Wilmington, DE 19808. Cert. of LP on file: Purpose: For any lawful purpose. DE Secy. of State, Federal & Duke of York St., Registered Agents, Inc., 160 Greentree Dr., AT HUDSON Dover, DE 19901. Purpose: any lawful activity. Ste. 101, Dover, DE 19904. The name and SSDE, Townsend Bldg., Dover, DE 19901. Name/addr. of each gen. ptr. avail. at SSNY. address of the authorized officer in the NOTICE OF FORMATION OF LIMITED BEACH, MANHATTAN Purpose: any lawful activities. LIABILITY COMPANY. Name: HAMPTONS jurisdiction of formation where a copy of its Notice of Formation of Stursberg and MEDIA, LLC. Application for Authority was The City of New York Department of Parks & Associates, LLC, a professional service limited certificate of formation is filed is Delaware filed with the Secretary of State of New York Recreation requests proposals for the operation and Notice of Formation of Goldpoint Capital liability company (PLLC). Arts. of Org. filed Division of Corporations, 401 Federal St., (SSNY) on 10/24/06. The LLC was originally maintenance of an outdoor café at Hudson with NY Dept. of State on 8/24/06. Office Ste. 4, Dover, DE 19901 Management LLC, Art. of Org. filed Sec'y of filed with the Secretary of State Nevada on Beach/W. 105th Street, Riverside Park, Manhattan. State (SSNY) 12/28/01. Office location: NY location: NY County. Secy. of State designated 09/18/06. Office location: New York County. All proposals must be submitted no later than Friday, County. SSNY designated as agent of LLC as agent of PLLC upon whom process against it Notice of Formation of FRANCE TAXI, LLC a SSNY has been designated as agent of LLC January 12, 2007 at 3:00 p.m. A site tour will be upon whom process against it may be served. may be served. Secy. of State shall mail process domestic Limited Liability Company (LLC), upon whom process against it may be served. held on Tuesday, December 19, 2006 at 11:00 a.m. to the principal business address of the PLLC: Articles of Organization filed with Secretary of SSNY shall mail copy of process to Attn: SSNY shall mail a copy of process to the LLC, 405 Lexington Ave., Ste. 4949, NY, NY 10174. State on 07/10/2006. NY Office location: New Anthony F. Bruan, 18 East 41st St., 20th Fl., 257 Park Avenue South, 5th Floor, New York, For more information, contact: Gabrielle Ohayon, Purpose: the practice of law. York County. Secretary of State is designated NY, NY 10017. Purpose: any lawful activities. New York 10010. Purpose: For any lawful Project Manager, Parks & Recreation, Division of as agent upon whom process against the LLC purpose Revenue and Concessions, 830 Fifth Avenue, the may be served. Secretary of State shall mail a Arsenal-Central Park, Room 407, New York, NY Notice of Qualification of Unleash copy of any process against the LLC served Notice of Formation of ATJ CONSULTING, 10021 or call (212) 360-1397 or download the Marketing, LLC, App. for Auth. filed Sec'y LLC, a domestic Limited Liability Company Notice of Formation of New York Request for Proposals document at upon him/her to C/O THE LLC, 313 10th Cardiovascular Associates, PLLC. Arts. of of State (SSNY) 10/12/06. Office location: (LLC). Articles of Organization filed with www.nyc.gov/parks. You can also e-mail her at Avenue, New York, NY 10001. Purpose: Any Org. filed with Secy. of State of NY (SSNY) on NY County. LLC org. in DE 10/6/06. SSNY lawful activity. Secretary of State on 10/13/2000. NY Office [email protected]. designated as agent of LLC upon whom location: NEW YORK County. Secretary of 3/25/2004. Office location: NY County. process against it may be served. SSNY State is designated as agent upon whom SSNY designated as agent of LLC upon whom TELECOMMUNICATION DEVICE FOR THE DEAF Notice of Formation of Advanced Solutions process against it may be served. SSNY shall shall mail copy of process to 126 & Supply LLC, Art. of Org. filed Sec'y of process against the LLC may be served. (TDD) 1-800-281-5722 MacDougal St., Ste. 2D, NY, NY 10012. DE Secretary of State shall mail a copy of any mail process to: c/o Epstein Becker & Green, State (SSNY) 11/10/06. Office location: NY P.C., 250 Park Ave, NY, NY 10177-0077, attn office addr.: Inc. Services Ltd., 3500 County. SSNY designated as agent of LLC process against the LLC served upon S. Dupont Hwy., Dover, DE 19901. Cert. of him/her to C/O ANNA M. BOUTZALIS Philip M. Gassel, Esq. Purpose: practice of upon whom process against it may be medicine with a specialty in cardiology. Form. on file: SSDE, Townsend Bldg., served. SSNY shall mail copy of process to CPA, 265 POST AVE., STE. 130, Dover, DE 19901. Purpose: any lawful c/o Oded Levy, Kaia Investment Mgmt., WESTBURY, NY 11590. DURATION Coming Up activities. 767 Third Ave., 6th Fl., NY, NY 10017. DATE: 10/10/2030. Purpose: To engage in Notice of Formation of C IMPERIAL, LLC, a Purpose: any lawful activities. any lawful act or activity. domestic Limited Liability Company (LLC). on the Calendar Notice of Qualification of Centre Asset Articles of Organization filed with Secretary of Management GP LLC, App. for Auth. filed Notice of Formation Frank Productions, LLC Notice of Formation of Integrated Builders State on 10/19/06. NY Office location: NEW Sec'y of State (SSNY) 8/1/06. Office art. of org. filed SSNY 2/10/05. Off. loc. in NY LLC. Arts. of Org. filed with Secy. of State YORK County. Secretary of State is designated location: NY County. LLC org. in DE Co. SSNY designated as agent of LLC upon of NY (SSNY) on 10/31/05, as amended. as agent upon whom process against December 18th 7/31/06. SSNY designated as agent of LLC whom process may be served. SSNY shall Office location: NY County. SSNY designated the LLC may be served. Secretary of State Top Nonprofits upon whom process against it may be mail copy of process to: 23 Leonard St, NY, as agent of LLC upon whom process shall mail a copy of any process against the served. SSNY shall mail copy of process to NY 10013. Purpose: Any lawful purpose. against it may be served. SSNY shall mail LLC served upon him/her to C/O SOVEREIGN Attn: James A. Abate, 30 Wall St., 6th Fl., process to: 5 W. 19th St., NY, NY 10011. PARTNERS, LLC, 38 E. 57TH ST., NEW NY, NY 10005. DE office addr.: CSC, 2711 349 E. 10TH STREET, LLC Articles of Purpose: any lawful activity. YORK, NY 10022. LATEST DATE TO Centerville Rd., Wilmington, DE 19808. Org. filed NY Sec. of State (SSNY) DISSOLVE: DECEMBER 31, 2036. Purpose: December 25th Cert. of Form. on file: SSDE, Townsend 9/7/2006. Office in New York Co. SSNY To engage in any lawful act or activity. Bldg., Dover, DE 19901. Purpose: any desig. agent of LLC upon whom process Notice of formation of Edge Wealth Book of Lists lawful activities. Management LLC. Arts. of Org. filed with the may be served. SSNY shall mail copy of Notice of Formation of Claudia M. Cooke, process to 270 Lafayette Street - 4th Floor, Secy. of State of NY (SSNY) on 10/20/2006. Office location: 675 Third Avenue, Ste. 2800, M.D., PLLC. Arts. of Org. filed with NY Dept. Notice of Qualification of NY-Bronx IV, LLC. New York, N.Y. 10012. Purpose: Any of State on 11/16/06. Office location: NY lawful purpose. NY, NY in NY County. SSNY is designated as Authority filed with Secy. of State of NY agent of the LLC upon whom process against County. Principal business address: 400 E. January 1st (SSNY) on 11/17/06. Office location: NY 85th St., Apt. 6A, NY, NY 10028. Secy. of State Urbecon LLC Articles of org. filed NY Sec. it may be served. The person to whom SSNY 2007 Economic Outlook County. LLC formed in Delaware (DE) on shall mail a copy of any process, and the designated as agent of PLLC upon whom 10/31/06. SSNY designated as agent of LLC of State (SSNY)10/25/2006. Office in New process against it may be served. Secy. of York Co. SSNY desig. agent of LLC upon registered agent of the LLC upon whom upon whom process against it may be served. process against the LLC may be served, is: State shall mail process to: Claudia M. Cooke, SSNY shall mail process to: 660 S. Figueroa whom process may be served. SSNY M.D., 133 E. 73rd St., Ste. 506, NY, NY 10021 shall mail copy of process to 40 West 105th Scott Ziegler, c/o Ziegler, Ziegler & Assoc., St, 24th Fl, Los Angeles, CA 90017. Address 570 Lexington Ave., 44th Fl, NY, NY 10022. Purpose: medicine. January 8th required to be maintained in DE: 40 E. Division St., New York, New York 10025. Purpose: Any lawful purpose. Purpose: any lawful activity. Small Business Report St, Ste A, Dover, DE 19901. Arts. of Org. filed Notice of Formation of DGM Realty with DE Secy. Of State, 401 Federal St., Ste 4., Notice of Formation of Fix Flyer LLC, filed Associates, LLC. Arts. of Org. filed with Secy. Dover, DE 19901. Purpose: any lawful Notice of Formation of Robert D. Glatter, M.D., of State of NY (SSNY) on 12/14/05. Office activities. under the original name FixML Flyer, LLC, Art. PLLC. Arts. of Org. filed with NY Dept. of State of Org. filed Sec'y of State (SSNY) 10/6/03. location: NY County. SSNY designated as on 11/6/06. Office location: NY County. Secy. agent of LLC upon whom process against it Office location: NY County. SSNY designated of State designated as agent of PLLC upon January 15th Discover New York LLC. Art of Org filed may be served. SSNY shall mail process to: as agent of LLC upon whom process against it whom process against it may be served. Secy. with NY Sec of State (SSNY) 6/10/04. c/o Dean Maltz, 1735 York Ave., 14H, NY, Real Estate may be served. SSNY shall mail copy of of State shall mail process to the principal Office in NY County. SSNY designated NY 10128. Purpose: any lawful activity. business address of the PLLC: 17 W. 67th St., LLC agent upon whom process may be process to 210 East 68th St., 1G, NY, NY Apt. 1E, NY, NY 10023. Purpose: practice the served. SSNY shall mail copy of process to 10021. Purpose: any lawful activities. profession of medicine. 60 E42nd St, #1415, New York, NY 10165. Notice of App. For Auth. For Foreign Ltd. January 22nd Purpose: any lawful purpose. Notice of Qualification of Lexa Partners LLC. Liability Co. (FLLC.) Name: MEADORE Authority filed with NY Dept. of State on SCULPTURES LLC Filed with Sec. of State of Agenda for New York 10/30/06. Office location: NY County. LLC WAGRAM INTERNATIONAL LLC, NY (SSNY) 07/24/06. Jurisdiction: Delaware. Notice of Formation of SIBERIA TAXI, LLC a formed in Delaware (DE) on 1/18/02. Secy. of Articles of Org. filed N.Y. Sec. of State Organized: 07/20/06. Off. Loc: New York Co. (SSNY) 12th day of October, 2006. Office in domestic Limited Liability Company (LLC), State designated as agent of LLC upon whom SSNY is designated as agent of the FLLC upon New York Co. at 400 West 37th St, Ste 12A, Articles of Organization filed with Secretary of process against it may be served. Secy. of State whom process against it may be served. SSNY New York, NY 10018. SSNY design. Agt. shall mail a copy of any process to the THE Call John Gallagher State on 07/07/2006. NY Office location: New shall mail process to: c/o CT Corporation York County. Secretary of State is designated Upon whom process may be served. SSNY LLC, 246 fifth Avenue, Ste. 504/505, New System, 111 8th Ave., NY, NY 10011, @212-210-0189 as agent upon whom process against the LLC shall mail copy of process to 400 West York, NY 10001. Jurisdiction office address: may be served. Secretary of State shall mail a registered agent upon whom process may be 37th, Ste 12A,New York, NY 10018. reg. 32 Loockerman Square, Suite 109, Dover, to place your classified copy of any process against the LLC served served. DE address of LLC: 1209 Orange St., Agt. upon whom process may be served: DE 19904. A copy of the articles is filed at advertisement today! upon him/her to C/O THE LLC, 313 10th Wilmington, DE 19801. Arts. of Org. filed with Spiegel & Utrera,P.A.,P.C. 45 John Street, Delaware Secretary of State, Division of Avenue, New York, NY 10001. Purpose: Any DE Secy. of State, 401 Federal St., Ste. 4, NYC 10038 1 800 576-1100 Purpose: Any Corp., P.O. Box 898, Dover, DE 19903. lawful activity. Dover, DE 19901. Purpose: any lawful activity. lawful purpose. Purpose: Any lawful act or activity.

32 | Crain’s New York Business | December 11, 2006 BUSINESS CORPORATE LADDER NYSE trader’s big exchange: a job at Nasdaq PAGE 37 buck ennis

GOTHAM GIGS Green grocer DAMIÁN MERCADO, 47, manages the East New York CITY OF DREAMS: Food Co-Op, the first high- Chioma Nnadi, quality cooperative grocery to whose magazine open in a low-income area of brought her from London three years New York City. Mr. Mercado, ago, now considers who has worked in the New York home. grocery business since the 1980s, has a salary of $30,000 to $35,000.The Brooklyn store opened Nov. 20. THE CO-OP WORLD Mr. Mercado will soon have one part-time employee. Members do most of the work, including selling the organic produce the area had lacked. “The rate of diabetes is high in East New York,” he says. “I don’t see many people eating healthy foods.” RECEPTION The $125 membership fee ($25 for people on public assistance) and the obligatory three hours a week of unpaid work deter some.The group had fewer than 20 members after two weeks, but 200 have signed up for trial memberships. “It’s starting slowly, but everything is a process,” Mr. Mercado says. —tom fredrickson

EXPERT OPINIONS SHOULD I GIVE UP MY iPOD FOR A MICROSOFT ZUNE? if you have an iPod, there’s very little incentive to switch BY to Zune.The price and The great visa chase capacity are the same, and the iPod offers better features, like the ability to download TV Expats on the edge as they await permanent status shows, music videos and

games. Certain types of “cool” buck ennis transcend demographics, and the iPod has achieved that. It’s THE LONG ROAD BY SAMANTHA MARSHALL going to be a while before TO A GREEN CARD Zune gets close to that cool t was during a manicure that Chilean-born real estate broker Jacky Teplisky, factor. If you’re a new custom- FIND EMPLOYER to sponsor er and don’t want an iPod, the 46, began to feel like a true New Yorker. H1B nonimmigrant visa. Zune is your best alternative. Life had been lonely the first few months after her company transferred her to FILL OUT I-94 FORM upon entry But its music-sharing feature Manhattan from Madrid. Most of her social contact was with other transplants into the United States. is really just a lending one: A from South America and Israel, where she grew up. But one day she began talking PERSUADE EMPLOYER to shared song expires after three petition for green card by filing plays or three days, whichever with a native over some French tips.The woman became Ms.Teplisky’s first real PERM Labor Certification with the comes first. New York friend and introduced her to a circle of women who, among other Department of Labor. —michael things, taught her local dating rules. FILE I-140 Immigrant Petition for gartenberg “The nail salon was my turning point,” the executive recalls. Alien Worker with Department of Homeland Security. Research director New York is a magnet for overseas professionals who arrive on visas and quickly gain a Jupiter FILE I-485 application to register Research foothold, and most of them can tell stories about the moment they felt at home. It doesn’t take for permanent residence. Analysts Imuch—a crosstown bus ride, a random encounter on the street, See EXPATS PURSUE on Page 34

December 11, 2006 | Crain’s New York Business | 33 BUSINESS LIVES Expats pursue permanence in adopted country

Continued from Page 33 year-old style editor whom Fader a polite exchange on an elevator. magazine brought from London IN THE VISA TRENCHES Usually within a year, New York ru- three and a half years ago.“I just did- ins these world citizens for other n’t think that [the visa process] I CAN RELATE to the experiences of cities. would be this difficult or that the the people I write about this week, But as easy as it is for expatriates idea of leaving here would freak me because I’m an expatriate. I to settle in, it’s getting increasingly out so much,” she says. arrived from Canada in May 2001, difficult for legal About 36% of the population of sponsored for an H1B visa by aliens to make the New York City is foreign-born, ac- Crain’s. I wasn’t thinking about a 36% United States a cording to the U.S. Census Bureau’s green card back then, but was just SHARE permanent home. 2000 data. The number of people happy to have a job when almost of New York City The immigration living here with work visas is not everyone else in my industry was population that process becomes tracked. Foreign workers have al- losing theirs. The fact that the job is foreign-born more complicated ways flocked to the city, but the de- was in New York was a bonus. every year, and mand for skilled employees from buck ennis I soon started putting down each return trip through John F. overseas has grown along with the roots. I didn’t buy an apartment or Kennedy International Airport Getting a green local economy’s dependence on in- get married, though finding an serves as a reminder to these resi- ternational business and global American husband would have dents that the lives they’ve built here card can cost trade. been one way to secure my can be taken away at any time. Most legal foreign employees residency. Instead, after a lifetime Author Samantha Marshall must come here on an employer- Constant companion thousands in of living abroad—in Canada, sponsored work visa, usually an England, Cambodia, Hong Kong and Vietnam—I finally found myself in a “i can’t imagine a life anywhere legal, filing fees H1B.The national cap on such visas place I couldn’t imagine leaving. else,” says Aquin Mathew, a 28- is 65,000 a year, and it is reached New York has that effect on global citizens. We are ambitious and restless, year-old marketing executive from quickly. The visas, which require and this is one of the few places where we could stay forever and not get India who arrived in 2003. She met that expats stay with their sponsor- her husband here and is now getting ing employer, expire after three bored. In a way, we were born to become New Yorkers. When we discover this her green card. years and may be renewed once. city, we come home. “If I hadn’t met him,I don’t know leave is never far from the mind of That leaves foreigners wishing to But this homecoming has been bittersweet. what I would have done,” Ms. an expat. remain beyond six years the option I’m starting to panic as I reach the middle of the term of my second H1B Mathew says. “I love New York too “It’s something I talk about with of applying for a green card and fil- visa. Hearing horror stories from other resident aliens has made me realize much to move away.” my other overseas friends all the ing for an H1B extension as they that my hold on the life I’ve built here is fragile. It’s hard to plan for the long- The possibility of being forced to time,” says Chioma Nnadi, a 27- await the change in their status. term future with my uncertain immigration status hanging over me. I don’t Obtaining a green card, which want to buy property until I know I can remain; I’m unsure about where I grants workers permanent U.S. res- should put my retirement savings. As much as I want to stay, I’m always idency,can cost thousands of dollars making contingency plans. in legal and filing fees. And in the Every time I return here from overseas, I get knots in my stomach. Though Have you or your post-Sept. 11 era, the process is immigration officers are helpful and courteous most of the time, I’m well- fraught with roadblocks and ever- aware that they have discretionary power to deny me re-entry. I often see tightening rules. About 200,000 other travelers taken for questioning. It even happened to me once. (I guess I company been people apply for green cards each was having a bad hair day.) year, but only 140,000 get them. It’s understandable, given security concerns, that border officials would overcharged by lawyers? want to take a closer look at us expats. But that doesn’t make it any easier. Chillier climate “Immigrating to the U.S. is like adopting a child,” says Rodolfo Valentin, an the cumulative effect of this Argentinean hairdresser who moved here 22 years ago. “You love this country Has your company been sued (or will it be) tougher climate, combined with more because it’s the one you’ve chosen.” rule changes made in 2000, is a If only the government would see it that way. by lawyers for unpaid legal fees? backlog of about 500,000 applica-

Our law firm offers a unique service: tions, immigration experts say. The buck ennis getting excessive legal fees reduced and/or approval process can now take as long as a decade. through immigration every time made her realize that her situation refunded, strictly on a contingent basis.* Airport immigrationhalls can be and explain why you’re here,” Ms. is tenuous, no matter how closely We only get paid a percentage of the savings scary places until an applicant gets Nnadi says. she follows the rules. Petitions for that green card. Visa holders, who Ms. Nnadi, whose H1B status green cards can be turned down, or in legal fees that we achieve for you. must go to a separate line, face expires in three years, has acclima- petitioners might simply lose their Visit our website to learn more. grilling by customs officers and may tized so well that when she goes employment and be forced to leave be photographed and fingerprint- back to London she finds herself the country. ed. Even expats whose papers are in apologizing less and wanting her “In our situation, you’re not just order may be stopped by a border coffee made faster. losing a job,”Ms.Nnadi says.“We’re What have you got to lose? official and escorted into a room for The stories she hears from fel- losing a whole life.” further questioning. low expats who failed to secure Think about it. “It’s horrible having to go permanent residency here have COMMENTS? [email protected]

THIS WEEK ON Carney & McKay This week’s issue Sign up for an 1475 Franklin Avenue electronic sub- Garden City, New York 11530 scription that gives 516.742.6600 you access to the paper on Sunday. Real estate Sign Breaking news up for alerts on key www.carneyandmckay.com Sign up to receive companies; find alerts highlighting breaking stories, the most important Back issues Use the events and links business stories Online polls archives to find to membership of the day, before * Computed after deduction of litigation out of pocket expenses, including Express your opinions stories published in organizations and costs and disbursements, which, by law, the client remains responsible they appear in about the issues of previous editions of resources on the for in the event there is no recovery or reduction of fees. newspapers. the week. Crain’s. real estate page.

34 | Crain’s New York Business | December 11, 2006 TARGETED ADVERTISING OPPORTUNITIES 2007

The Crain’s New York Business 2007 calendar provides unique advertising opportunities in virtually every sector of New York’s business community.

EDITORIAL FEATURE ISSUE DATE AD CLOSE EDITORIAL FEATURE ISSUE DATE AD CLOSE

EDUCATION SMALL BUSINESS Report: Education Mar 5 Feb 15 Report: Small Business Jan 8 Dec 21 Report: Education Aug 6 Jul 19 Report: Small Business Feb 12 Jan 25 ▲ Top MBA Programs Aug 6 Jul 19 ▲ Top SBA Loans Feb 12 Jan 25 ◆ Guide to Higher Education Dec 3 Nov 15 Report: Small Business Mar 12 Feb 22 Report: Small Business Apr 9 Mar 22 LAW Report: Small Business May 14 Apr 26 Report: Business of Law Feb 26 Feb 8 Report: Small Business Jun 11 May 24 Report: Business of Law Nov 5 Oct 18 Report: Small Business Jul 9 Jun 21 ▲ Top Law Firms Nov 5 Oct 18 Crain’s Small Business Awards Aug 13 Jul 26 HEALTH CARE Report: Small Business Sep 10 Aug 23 Report: Small Business Oct 8 Sep 20 Report: Health Care Mar 26 Mar 8 Report: Small Business: Guide to Growing a Business Nov 12 Oct 25 ▲ Top Hospitals Mar 26 Mar 8 Report: Small Business Dec 10 Nov 21* Report: Health Care Jun 18 May 31 ▲ Top SBA Lenders Dec 10 Nov 21* ▲ Top Benefit Consultants Jun 18 May 31 Report: Health Care Aug 27 Aug 9 FINANCE & ENTERPRISE ▲ Top Health Insurers Aug 27 Aug 9 2007 Economic Outlook Jan 1 Dec 14 Report: Health Care Oct 22 Oct 4 Report: Wealthy New Yorkers Apr 2 Mar 15 ▲ HOLIDAY Top Banks Apr 2 Mar 15 ▲ Top Thrifts Apr 2 Mar 15 ◆ Gift Guide Sep 3 Aug 16 Report: International Business Apr 23 Apr 5 ■ Corporate Party Guide Sep 24 Sep 6 ■ Holiday Party Guide Oct 29 Sep 11 Report: Corporate Boards May 28 May 10 ▲ Top Publicly Held Companies May 28 May 10 TRAVEL/MEETINGS Report: The New Influentials Jun 4 May 17 Report: Meetings and Conventions Feb 5 Jan 18 Report: Executive Pay Jun 25 Jun 7 ▲ Largest Conventions/Events Feb 5 Jan 18 ▲ Top Paid CEOs: the Fortunate 100 Jun 25 Jun 7 Report: Meeting Planners Guide May 7 Apr 19 Report: Accounting Sep 24 Sep 6 Report: Executive Travel Sep 17 Aug 30 ▲ Top Accounting Firms Sep 24 Sep 6 ▲ Top Airlines Sep 17 Aug 30 Report: Fastest Growing Companies Oct 1 Sep 13 Report: Meetings and Conventions Oct 29 Oct 11 ▲ Top Fastest Growing Companies Oct 1 Sep 13 ▲ Top Hotels Oct 29 Oct 11 SPECIAL INTEREST REAL ESTATE Report: Agenda for New York Jan 22 Jan 4 Report: Real Estate Jan 15 Jan 2* Report: 40 Under 40 Jan 29 Jan 11 ▲ Top BIDs Jan 15 Jan 2* Report: The New York Film Industry Apr 30 Apr 12 Report: Real Estate Feb 19 Feb 1 ◆ Golf Guide May 21 May 3 ▲ Top Office Leases Feb 19 Feb 1 Report: Minority Business Jul 16 Jun 28 ▲ Top Building Sales Feb 19 Feb 1 ▲ Top Minority Firms Jul 16 Jun 28 Report: Real Estate Mar 19 Mar 1 ▲ Top Women Owned Firms Jul 16 Jun 28 ◆ Spring Residential Guide Mar 19 Mar 1 Report: Business of Sports Jul 23 Jul 3* Report: Real Estate Apr 16 Mar 29 ▲ Top Professional Teams Jul 23 Jul 3* ▲ Top Architects Apr 16 Mar 29 Report: Unions in New York Aug 20 Aug 2 Report: Real Estate May 21 May 3 ▲ Top Unions Aug 20 Aug 2 Report: Real Estate Jul 30 Jul 12 Report: Technology Nov 19 Nov 1 ▲ Top Office Leases Jul 30 Jul 12 ▲ Top Software Companies Nov 19 Nov 1 ▲ Top Building Sales Jul 30 Jul 12 Report: Privately Held Companies Nov 26 Nov 8 Report: Real Estate Sep 3 Aug 16 ▲ Top Privately Held Companies Nov 26 Nov 8 ▲ Top REITS Sep 3 Aug 16 Report: Corporate Philanthropy Dec 17 Nov 29 Report: Real Estate Oct 15 Sep 27 ▲ Top Nonprofits Dec 17 Nov 29 ▲ Top Construction Companies Oct 15 Sep 27 ◆ Fall Residential Guide Oct 15 Sep 27 SPECIAL ISSUES Report: Real Estate Dec 3 Nov 15 MARKET FACTS Jul 2 Jun 14 ▲ Top Commercial Property Managers Dec 3 Nov 15 BOOK OF LISTS 2007 Dec 24 Dec 6*

▲ Top list ◆ Magazine Size Supplement ■ Special Pullout Section *Early close

TO ADVERTISE, CALL 212-210-0259 OR VISIT NEWYORKBUSINESS.COM. BUSINESS LIVES HOME FRONT Innkeeping nets cash, fills empty nests B&B owners relish the hotel tax collection changed in Sep- B&B OWNERS tember 2004,the Department of Fi- company of strangers; nance says, it has has issued 87 cer- 79% are between 35 and 64 tificates of authority. demand grows in city years old Running a bed-and-breakfast isn’t for privacy hounds. Sue 88% live on the premises Fishkin, who opened Rugby Gar- BY MARGARET JAWORSKI 55% depend on outside income dens in Brooklyn in September,says privacy was an issue for her 15-year- Source: Professional Association of Innkeepers International lmost every morning, old daughter. “At first, she wasn’t Mervyn Rampaul has thrilled about the sharing her home breakfast with a bunch a spurt that mirrors what’s going on with strangers,” says Ms. Fishkin.

of strangers. For Mr. in the rest of the country. By adding design elements that buck ennis Rampaul, the owner of “There are about 25,000 B&B’s separated the family’s bedrooms on LIFE IN THE SLOWER LANE: Jeremy Archer and his wife, Carol Donawa, converted their AStaten Island’s Harbor House Bed in the U.S.,” says Pamela Lanier, au- the second floor from the rest of the Hamilton Heights brownstone from a rental property into a bed-and-breakfast last fall. & Breakfast, the morning meal is thor of The Complete Guide to Bed & house, she alleviated her daughter’s his time to mingle with and get to Breakfasts, Inns and Guesthouses In- anxiety.“She’s fine with it now,”says know his guests. ternational. Twenty years ago, there Ms. Fishkin, who is delighted with gone.The guests keep the house live- modern methods. Last fall, Jeremy “There’s a camaraderie that de- were only 2,500, she says. the success of her B&B. ly,” says Ms. Lehrer. And the added Archer and his wife, interior design- velops at the breakfast table,” says “We’ve been booked almost income can be considerable—up to er Carol Donawa, converted the Mr. Rampaul, 58, who traded in his Affordable alternative every night since we opened,” she $30,000 gross per room per year. Hamilton Heights brownstone they hectic high-tech career for the gen- the trend dovetails with demand. says. Rugby Gardens’ rates are $135 bought for $300,000 in 1999 from a tler occupation of innkeeping 10 With the cost of the average hotel to $150 per night, which adds up to Den mother rental property into a B&B. By the years ago. room topping $200 in New York, a pretty good return on the $6,000 along with her full-time job as a time Sugar Hill Harlem Inn opened, Most New Yorkers lack both the tourists find B&B’s an affordable the family invested in renovating nurse for the New York City Health the couple had spent $400,000 to re- living space and the inclination to in- alternative. two guest rooms. & Hospitals Telehealth Program, store their 1906 Victorian to its vite guests into their homes. B&B Because New York City has no li- Some couples turn to innkeeping Ms. Lehrer is a den mother to her turn-of-the-century elegance. owners don’t merely enjoy the com- censing requirements,anyone with a as an antidote to empty nest syn- guests, helping them navigate public Getting the business off the pany of strangers; they relish it. spare room can open a bed-and- drome.Sue Lehrer and her husband transportation and find a good ground took nearly a year.Mr.Arch- Though there are no hard statis- breakfast. The only document re- opened two-bedroom Dekoven restaurant and anything else they er credits the turnaround to a re- tics on the number of B&B’s in the quired is a certificate of authority, Suites in their three-story Victorian need.“I think of myself as an ambas- designed Web site. “We’re grossing city,owners and observers say a grow- which allows establishments renting house in Brooklyn seven years ago, sador for New York City,” she says. about $30,000 a month,” he says. ing number of family-run inns have more than one guest room to collect after the kids moved out. These days, the old-fashioned sprung up over the past few years.It’s hotel taxes. Since the law regarding “My children were grown and business of innkeeping depends on COMMENTS? [email protected]

We give bonuses Equity Office Properties all year-round. is pleased to announce that

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This is not an offering. The complete offering terms are in an offering plan available from the Sponsor. File No. CD-06-0046.

36 | Crain’s New York Business | December 11, 2006 BUSINESS LIVES CORPORATE LADDER Robert McCooey Trader’s big exchange NYSE veteran leaves for a shift in scenery. Opportunity knocked in Sep- PERSONNEL FILE for archrival Nasdaq; tember, when he got a call from one of Nasdaq’s top executives, Chris COMPANY Nasdaq Stock Market will use his knowledge Concannon. Nasdaq wanted some- Inc. to boost share listings one who could help explain to in- TITLE Senior vice president, capi- vestment bankers and private equi- tal markets group ty specialists why they should list BY AARON ELSTEIN shares of newly public companies AGE 41 with Nasdaq instead of the NYSE. RÉSUMÉ Floor trader at New York he career change They also needed someone who Stock Exchange, CEO of broker- Robert McCooey just could talk to institutional investors age Griswold Co. made is tantamount to a about why they should route trans- Coca-Cola salesman actions through Nasdaq rather than BIRTHPLACE Rye, N.Y. swearing fealty to Pepsi. the stock exchange. INDISPENSABLE GADGET Black- TOr a General Motors executive buy- Berry ing a Ford Mustang. Nasdaq’s coup Simply put,New York Stock Ex- mr. mccooey jumped at the chance change floor traders never defect to to grab a corporate post at a time tails of the pay package that lured join the archrival Nasdaq Stock when many of his NYSE colleagues him to Nasdaq, but his new boss,

Market—at least,not until Mr.Mc- are losing jobs to electronic trading. Executive Vice President Adena neff david Cooey did just that last month.The His arrival represents a coup for Friedman, was paid nearly $1 mil- senior vice president at Nasdaq’s Nasdaq, considering his familiarity lion in salary and bonus last year. ing to expand overseas and are try- arcane matters as Nasdaq’s depth of newly created capital markets group with its chief competitor’s strengths She lauds Mr. McCooey as “a noted ing to seize trading business and book and quality of execution. must now persuade more companies and weaknesses. voice on the future direction of Wall listings from one another. In the meantime, he’s largely cut and people to follow in his footsteps. He began his tenure at the stock Street” who “has shown leadership Mr. McCooey, who nearly at- ties to the place where he and his “I know the New York Stock Ex- exchange in 1983, as an intern at his in understanding and anticipating tended law school before joining the family worked for decades.As a sou- change and how it works very well,” father’s trading firm. Over the next the needs of his customers.” family business at the NYSE, looks venir, he hangs a framed letter in his says Mr. McCooey, who became a two decades, he traded stocks listed forward to pressing Nasdaq’s case to new office from a bygone exchange member of that institution in 1988. on the NYSE,Nasdaq and other ex- Fighting for customers anyone who will listen. A former chairman welcoming his father,who “I look forward to using my knowl- changes and built his floor broker- his decision to decamp to Nasdaq high-school debating champion, he joined the NYSE in 1956. edge to help Nasdaq.” age firm, called Griswold Co. after comes at a time when the battle for likes discussing finer points of fact “The world of exchanges is It’s a dramatic switch, but after the street he grew up on, to 35 em- customers is especially intense. As and logic. That will come in handy changing fast,” he says. “It was time nearly 20 years of trading at the ployees. He had served on the the regulatory barriers that once as he tackles his new job, which will for something new.” NYSE and running a small broker- NYSE’s executive board since 2003. separated the institutions dissolve, involve convincing Wall Street vet- age firm, the father of six was ready Mr. McCooey will not reveal de- both Nasdaq and the NYSE are rac- erans like himself to care about such COMMENTS? [email protected]

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December 11, 2006 | Crain’s New York Business | 37 BUSINESS LIVES

EXECUTIVE MOVES

ACCOUNTING & CONSULTING mergers and acquisition practice at join as partner, effective Jan. 1. He BBK: Tim Hassenger, 50, joined as Houlihan Lokey Howard & Zukin. currently serves as an associate at HOT JOBS managing director. He was formerly a Stanford Group Co.: Abi Subramanian, Emmet Marvin & Martin. partner at Nightingale & Associates. 34, joined as director of private capital. Gibson Dunn & Crutcher: Rashida La BDO Seidman: Ralph M. Fatigate, 58, He had been a director, private equity Lande, 33, was promoted to partner WANTED: CHIEF joined as director, litigation and fraud group, at SG Cowen. from associate, effective Jan. 1. investigation practice. He was formerly UBS AG: Michael D. Kelly, 37, joined as Kramer Levin Naftalis & Frankel: Eric M. MERCHANDISING OFFICER executive vice president of Optima executive director. He had been a Lerner, 49, joined as partner. He was Compliance & Consulting Inc. managing director at Ashbridge formerly a partner at Katten Muchin COMPANY Aéropostale CTC Consulting: David Upson, 42, joined Investment Management. Rosenman. JOB DESCRIPTION Overseeing clothing design and marketing at the teen as a managing director and senior hedge Morrison Cohen: Alan M. Levine,37,was fund research analyst. He was formerly a HIGH TECH & NEW MEDIA promoted to partner from associate. apparel retailer managing director at the Fairfield Bond Art and Science: Hyo Yeon,42, Karin J. Lundell, 51, was promoted to MOST IMPORTANT TASKS Keeping up with the latest fashion trends Greenwich Group. joined as a senior partner. She was partner from senior counsel. formerly executive vice president and Evan I. Maron, 37, was promoted to CREDENTIALS NEEDED Proven merchandising experience ADVERTISING & CONSULTING managing director for the New York partner from senior counsel. SALARY Last executive earned $525,000 annually Zeno Group: Lara Cohn, 35, joined as a office and chief strategy officer of FCBi Kristin T. Roy, 35, was promoted to senior vice president. She had been Worldwide. partner from senior counsel. DOWNSIDE Starting a new position and maintaining profit momentum senior vice president at Steele Rose Orchestria Corp.: William Butler, 38, Reed Smith: Cindy Schmitt Minniti, 32, after the busy holiday season will be challenging Communications. joined as director of strategic alliances. was promoted to partner from associate, He was formerly senior manager, global effective Jan. 1. UPSIDE Playing a role in maintaining and growing a respected national EDUCATION strategic partners, at Symantec Corp. Simpson Thacher & Bartlett: Barrie B. brand National Academy Foundation: J.D. Hoye, Covit, 33, was promoted to member Former chief merchandising officer and executive vice president Christo- LAW 52, joined as president. She was formerly from associate, effective Jan. 1. pher Finazzo was fired after an investigation found that he had con- president of Keep the Change. Bryan Cave: Paul M. Kaplan, 55, joined John C. Ericson, 35, was promoted to as partner. He had been a partner at member from associate, effective Jan. 1. cealed an affiliation with South Bay Apparel Inc., a major Aéropostale FINANCE & INSURANCE Sheppard Mullin Richter & Hampton. Michael J. Garvey, 33, was promoted to vendor. CEO Julian Geiger has assumed merchandising responsibilities Financo: Lee S. Helman, 36, joined as Carter Ledyard & Milburn: Alan Lewis,46, member from associate, effective Jan. 1. during the search. The company operates 727 stores in 47 states. managing director. He was previously joined as partner. He had been a Gregory T. Grogan, 33, was promoted to —KIRA BINDRIM a managing director at Gruppo shareholder at Buchanan Ingersoll & member from associate, effective Jan. 1. Levey & Co. Rooney. Sasan S. Mehrara, 35, was promoted to First Republic Securities Co.: Abe Michael Shapiro, 56, joined as partner. member from associate, effective Jan. 1. Borenstein, 50, joined as managing He had been a shareholder at Buchanan Ellen Reilly Patterson, 32, was promoted director. He had been a first vice Ingersoll & Rooney. to member from associate, effective president at Ryan Beck Inc. Cleary Gottlieb Steen & Hamilton: Jan. 1. senior vice president of advertising sales Department. Goldsmith Agio Helms: Andrew Torgove, Leonard C. Jacoby, 36, will join as Weil Gotshal & Manges: David Ball, 44, from vice president of advertising sales. The One Club: Mary Warlick, 56, was 46, joined as managing director and partner, effective Jan. 1. He is currently a was promoted to partner from counsel, Golf Digest magazine: Ken DeLago,42, promoted to chief executive from head of the distressed advisory and partner at Wilson Sonsini Goodrich & effective Jan. 1. was named design director for the executive director. restructuring practice. He had been Rosati. Daneille Do, 33, was promoted to Condé Nast title. He had been art Kevin Swanepoel, 45, was promoted to director and co-head of the distressed Dorsey & Whitney: Mark Jutsen, 36, will partner from associate, effective Jan. 1. director at GQ magazine. president from marketing and Jacqueline Marcus, 47, was promoted to New York Junior Tennis League: Gary L. interactive director. partner from counsel, effective Jan. 1. Davis, 49, will join as president and Update Legal: Julie K. Mangini, 37, was chief executive in February. He currently promoted to chief operating officer from MANUFACTURING serves as manager of airport operations national staffing director. Clestra Hauserman Inc.: Joseph Yenna, 42, at Newark Liberty International Airport —adrianne pasquarelli joined as regional sales manager. He had for the Port Authority of New York and been manager of contract sales at Acme New Jersey. Architectural Walls. New York Magazine Holdings: Stephen EXECUTIVE PROMOTIONS Kennedy, 36, joined as liquor and Crain’s lists the promotion and hiring of New York MEDIA & ENTERTAINMENT financial services director. He had been area senior executives on a space-available basis, AOL: Ron Grant, 40, was appointed an account manager at Outside with priority given to positions in New York City. president and chief operating officer. He magazine. The fastest way to get an announcement into was formerly senior vice president, Crain’s is to submit the information online. operations, for Time Warner Inc. SERVICES Go to www.newyorkbusiness.com and click on Field & Stream magazine: Neil Jamieson, Federal Shield Consulting: Dennis W. “Executive Moves”; then click on the link to fill 28, joined as art director for the Time4 Farrell, 58, joined as president and chief out the submission form. The Executive Moves Media title. He had been deputy art executive. He was formerly column is also available online. director at Sports Illustrated magazine. commanding officer of the homicide Crain’s cannot confirm receipt of listings or say Fuse: Jason Miller, 36, was promoted to squad at the Nassau County Police when they will appear.

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38 | Crain’s New York Business | December 11, 2006 BUSINESS LIVES TABLE TALK by Bob Lape unnecessary.Served family style,the and marinated tomatoes for wrap spot in downtown White Plains. Tradition begins with the warm artists. Owner-chef Anthony Goncalves is hummus; a peasant salad of red and The Pera Tradition is $42 per the real deal. green cherry tomatoes, onions and person and a delightful way to dine. parsley; and roasted whipped egg- Otherwise,these meats are available Ithaka ★ ★ plant. The latter needs seasoning, à la carte, as are four seafood dishes. 308 E. 86th St. (between First and but every table has small ramekins of Desserts ($8) are few, and the Second avenues), Manhattan. mixed spices, ranging in impact baklava is not high on my list, but (212) 628-9100. After a seven-year from mild to whoops! baked shredded wheat with a run in Greenwich Village, this There’s plenty of pide, the soft, molten cheese center and honey Greek taverna of great consistency one-sided flatbread resembling pita, syrup is a winner. and quality moves to the Upper East which is good for scooping or wrap- Pera’s wine list embraces 16 Side. ping. A basket of warm, hollow, countries, with 21 bottlings from seeded breads follows. With it Turkey,Lebanon,Israel,Greece and Parea ★ ★ comes a small dish of wickedly barn- Cyprus.Most are marked up around 36 E. 20th St. (between Park Ave- yardy white cheese. Then a round 100% over retail. nue South and Broadway), Man- pidette spread with ground seasoned The young Turk waitstaff is un- hattan. (212) 777-8448. Strikingly lamb. commonly engaging and helpful. handsome contemporary Greek Just when the appetite begins to restaurant with innovative small flag, the main event arrives. It’s a COMMENTS? [email protected] dishes created by Cleveland culi- large platter colorfully filled with nary star Michael Symon. fresh ground lamb Adana with east- ern Mediterranean spices, chicken BEST OF BOB LAPE Pylos ★ ★ urfa—similarly treated chicken pre- 128 E. Seventh St. (between Ave- pared on skewers—separate bro- Following are other recently reviewed nue A and First Avenue), Manhat- chettes of lamb and chicken, mari- Mediterranean restaurants. nated mini lamb shish,and seasoned lamb riblets.These tender and juicy Picholine ★ ★ ★ ★ grill-tattooed meats are inter- 35 W. 64th St. (between Broadway spersed with grilled tomatoes and and Central Park West),Manhattan. peppers, and blanketed at one end (212) 724-8585. An elegant redesign, by yet more fresh pide. Alongside is exciting new menu and reinvigorat- another round of parsley and onions ed spirit move Terrance Brennan’s temple to modern Mediterranean cuisine to the top of the list. buck ennis ★ ★ ★ EYE-CATCHING NEWCOMER: Earth tones predominate at midtown’s Pera Mediterranean Dona Brasserie, which features an artfully lowered ceiling that reduces sound. 208 E. 52nd St. (between Second PYLOS provides flavorful Greek home cooking and Third avenues), Manhattan. on Manhattan’s Lower East Side. (212) 308-0830. Two stars among the city’s hard-charging young res- taurateurs, Donatella Arpaia and tan. (212) 473-0220. A wonderful chef Michael Psilakis, join forces in take on Greek home cooking on a sexy new “first-generation Med- the Lower East Side. Tony Chi Young Turk iterranean” hit. designed this casual set for flavor- ful, fresh dishes crafted by Greek Trotters ★ ★ ★ food authority Diane Kochilas. ■ educates NY 175 Main St., White Plains. (914) 421-5012. There is exciting PERA and original New American cui- Pera’s specialties are A large open kitchen fills the rear MEDITERRANEAN wall.The culinary brigade in whites and close-fitting black hats per- BRASSERIE meats, mezes, salads; 303 Madison Ave. table spices range forms smoothly under dual leader- (between East 41st ship. The co-executive chefs are and East 42nd streets) from mild to whoops! Sezai Celikbas of Istanbul’s Kose- (212) 878-6301 basi restaurant and Jason Avery of the Regent Wall Street. Pera’s man- ★★½ era mediterranean aging partners, Burak Karacam and Brasserie is an eye-catch- Cem Erenier, are Turkish-born and CUISINE Eastern Mediterranean Office & Retail ing newcomer deserving American-educated. WINES 125 choices, 31 by the Availabilities: a spot on your must-try To re-educate the New York glass list. Its forte is the friend- palate on matters Turkish, there are 212.594.2700 DRESS No code TROTTERS offers exciting and original cuisine Ply service of Turkey’s delicate grilled 20 mezes and salads ($3 to $14). in downtown White Plains. slgreen.com meats, mezes and salads. This is These are fresh, honest and tasty NOISE LEVEL Moderate modern Turkish cuisine,simple,fla- items, such as warm hummus PRICE RANGE $21-$32; chef’s vorful and appealing. topped with crisps of air-dried beef tasting menu, “Pera Tradition,” sine, a worldly wine list and metic- Reaching New Heights. In Istanbul, Pera is the historic pastirma, crisp phyllo rolls filled $42 ulous service at this constantly name of a famed cultural melting with Turkish white cheese, various evolving and improving dining pot neighborhood now called Beyo- eggplant dips or whips, beef-and- WINE MARKUP 90%-215% glu. But that’s another local Turkish bulgur tartare served in lettuce cups, CREDIT CARDS All major restaurant, and Pera is a space of en- and stuffed grape leaves. tirely different looks and finesse. A Mediterranean seafood sam- RESERVATIONS Melissa Brown Design converts pler holds raki-cured salmon, mari- Recommended a former Irish pub into a strikingly nated white anchovies,sea bass with HOURS Lunch, Mon.-Fri., attractive, 130-seat restaurant and smoked paprika yogurt, and crab- 11:30 a.m.-3:30 p.m.; Dinner, bar. Earth tones predominate, ac- meat with avocado and tomato. I Mon.-Sat., 5:30-11 p.m., Sun., cented by zebrawood, onyx and al- love the gutsy fire of smoked papri- 5-10 p.m.; Brunch, Sat.-Sun., abaster panels and ceramic tiles.The ka dip served with a generous quan- 11:30 a.m.-3 p.m. ceiling is artfully lowered by means tity of artichoke hearts that are dust- ★★★★ of two large sheetrock palas that also ed with chickpea flour and fried. = Outstanding ★★★= Excellent reduce sound. Table separation is But, and this is a big but, if your ★★ excellent, and conversation flows main course choice is the chef ’s tast- = Very good ★= Good easily, despite the ethnic music in ing called the Pera Tradition, steer the background. clear of appetizers. They’re quite

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