20150504-NEWS--0001-NAT-CCI-CN_-- 5/1/2015 6:04 PM Page 1 GOTHAM GIGS FLUID STYLE Jaguar Beckford’s forward fashions CRAIN’S® NEW YORK BUSINESS PAGE 20 VOL. XXXI, NO. 18 WWW.CRAINSNEWYORK.COM MAY 4-10, 2015 PRICE: $3.00 The IT boys Geeks who know how to keep hackers out of your business are the rock stars of New York’s frenzied economy BY AARON ELSTEIN After a dozen years toiling in the world of computer security, David Raviv suddenly finds himself in demand like a Hollywood star. And, like any divo, he’s getting pickier about the roles he’ll take. When a global corporation based in New York recently pitched the 41-year-old a $130,000 job with a 10% bonus for protecting computer networks from hackers, Mr. Raviv said no. He wouldn’t See IT BOYS on Page 18 david junkin david 18 5 HAVES HAVE-NOTS Oh, God—yet another When affordable Answer to NYC’s rent luxury mega-tower on housing isn’t woes: the suburbs! 57th Street? PAGE 4 PAGE 11 PAGE 14 NEWSPAPER 71486 01068 0 Congratulations! within our culture of excellence, select individuals stand out from year to year. we proudly salute this remarkable group of brokers. Back row, from left: Arlene Reed, Bonnie Chajet, Herb Chou, Lisa Chajet, June Gottlieb, Rachel Ostow Lustbader, Annie Cion Gruenberger Front row, from left: Rebecca Edwardson, Deborah Lupard, Wendy Greenbaum warburgrealty.com upper east side | 654 Madison Ave., NY, NY 10065 | 212.439.4500 flatiron | 18 West 21st Street, NY, NY 10010 | 212.300.1850 upper west side | 451 Columbus Ave., NY, NY 10024 | 212.203.9561 tribeca | 100 Hudson Street, NY, NY 10013 | 212.380.2400 Real estate brokers and salespeople affi liated with Warburg Realty Partnership Ltd are independent contractors and are not employees of Warburg Realty. Equal housing opportunity. 20150504-NEWS--0003-NAT-CCI-CN_-- 5/1/2015 6:06 PM Page 1 EXECUTIVE EDITOR’S NOTE FYICRAINSNEWYORK.COM Educated mess The education debate has turned into a brawl. Charter schools and Bratton leaves room teachers’ unions are using millions for compromise of political dollars to destroy each other. State legislators and the governor are thumbing their noses Bill olice Commissioner at Mayor Bill de Blasio’s effort to Bratton last week opened the get permanent control of the city’s window to a policing reform Jeremy Smerd ap imagess P schools. Standing with the mayor that could offer a compromise on this issue are businesses upset between warring political constituencies. ¶ At issue is City Council Speaker Melissa Mark- with the appalling unpreparedness of New York Viverito’s call to decriminalize quality-of-life crimes including public urination, biking on students for the workforce: Among city high-school sidewalks and drinking in public. Her proposal is opposed by the mayor, police, businesses and graduates who go to CUNY’s two-year colleges, editorial boards.The council speaker might lack a veto-proof majority but is riding a national about 70% need remedial courses. Fine timing, then, wave of anger over police abuses and disproportionate arrests of minorities. ¶ Mr. Bratton, for SUNY Chancellor Nancy Zimpher to come to worried that cops won’t be able to request IDs to check for outstanding warrants, defended his our newsroom last week. Since arriving from the “broken windows” policing in a 41-page report. But he acknowledged that people taken into custody for minor offenses often end up trapped in a byzantine system for days.“We can change University of Cincinnati in 2009, Ms. Zimpher has the penalty process that has become cumbersome and unfair,” he said. “It’s the process as much as suffered as an outsider with a reform agenda but has the arrests that people are concerned about.” ¶ That acknowledgement was welcomed by persevered with smarts and charm to improve Councilman Rory Lancman of Queens, who had told WNYC’s Brian Lehrer last month that SUNY’s finances, hire new faculty and expand people should not “have the full hammer of the criminal-justice system come down on their head degree programs. I was disappointed (though not for what is really a minor quality-of-life offense.” At press time, Mr. Bratton was planning to surprised) to learn that she does not back mayoral send a more detailed proposal to the council. control of schools. After all, she serves at the pleasure —jeremy smerd of SUNY trustees, who are appointed by the ‘BRIDGEGATE’ GUILTY PLEA enabling callers to create their own BIG MONEY governor. But she did say something that made my Three former allies of New Jersey private accounts. The Department of Ten-year-old fashion and style site ears perk up: Educators should follow the state’s Gov. Chris Christie have been Information Technology & Telecom- Refinery29 raised $50 million in a approach to Medicaid reform. Having covered charged for their involvement in the munications, which issued the “re- round led by Scripps Network Inter- 2013 closure of the George Wash- quest for systems integration servic- active and ad giant WPP,among the health care, I can tell you that to outsiders, New York ington Bridge. David Wildstein, a es,”hopes for work to begin in January. largest ever for a media company is considered a backwater when it comes to slimming former Port Authority official, aimed specifically at women. Refin- costs and improving outcomes. Ditto, I believe, for pleaded guilty and MTA BANS ADS ery29 is now valued at $290 million. education. But New York’s Medicaid redesign has could face two years Just a week after a in prison. Two others ‘So there will federal judge or- PRO SOCCER AT COLUMBIA? forced various stakeholders to work together or face were indicted on nine be no dered the Metropol- New York City Football Club could top-down cuts. (It helped that the governor brought counts, including itan Transportation move to Columbia University’s Bak- in Jason Helgerson, an outsider from Wisconsin, as conspiracy and fraud. unplanned Authority to display er Athletics Complex, where a larger an ad that could be stadium would be built that would be overseer.) Ms. Zimpher believes educators should do HOSPITAL WITHDRAWS pregnancy. interpreted as a call shared by the Major League Soccer something similar. “Maybe I’m a naive and silly girl, Montefiore withdrew to violence, the team and Columbia’s football squad. but you gotta try it,” she said. “It works in other its insurance plan We’re just not agency voted to ban NYCFC, now in its inaugural sea- cities.” Perhaps. But it won’t work here unless the from a government all political ads on son, plays at Yankee Stadium. program aimed at re- having sex’ subways and buses. two sides are compelled to sit down together with an ducing state and fed- —Joseph Ficalora, New These notices made PLUMBING WITH YOUR PASTRAMI outside education czar as mediator. And that eral health spending. York Community Bancorp up just $1 million The famed Carnegie Deli was tem- CEO, about the bank’s plan requires leadership. We’ll continue this conversation The Fully Integrated out of $138 million porarily shut down after Con Edison to avoid more mergers at our May 21 Breakfast Forum with Merryl Tisch, Duals Advantage pi- in total ad revenue workers found a Y-shaped piece of lot project awarded last year. Transit plumbing used to misappropriate chancellor of the state’s Board of Regents. Join us. 22 contracts last year totaling $14.6 agencies in Chicago and Philadel- natural gas. billion for plans to cover dual phia have approved similar bans. —emily laermer Medicare and Medicaid enrollees. THIS WEEK IN CRAIN’S Montefiore’s plan had the smallest PIMCO HIRES BEN BERNANKE contract among the group, at $8.2 The former Federal Reserve chair- SMALL BUSINESS--------------- 4 million. man will join global bond giant Pim- IN THE BOROUGHS co as senior adviser, a week after be- --------------4 LAGUARDIA REVAMP ing hired for a similar role at hedge THE INSIDER------------------------5 One major recommendation from a fund Citadel. IN THE MARKETS -----------------6 design competition to refurbish La- OPINION------------------------------8 Guardia Airport calls for transform- SILVER PLEADS NOT GUILTY GREG DAVID------------------------9 ing the Central Terminal into the Former Assembly Speaker Sheldon REPORT: REAL ESTATE--------11 airport’s new grand entrance. That Silver pleaded not guilty to a new SOURCE SODA THE LIST ----------------------------13 idea and others were shared with two charge that he transferred more than CLASSIFIEDS---------------------16 finalists bidding on the $4 billion $287,000 in illegal proceeds into Investors Bank CEO Kevin P. 21 renovation of the terminal. Both investments that were not disclosed A DEAL ABOUT NOTHING Cummings has big plans. BUSINESS PEOPLE ------------20 agreed to extend their bids to May to the public. A trial date is set for Hulu has signed a $160 million CORRECTIONS (SEE PAGE 19) 31, though some wonder if the new Nov. 2. deal with Sony Pictures and design ideas will upend the facility’s Time Warner’s Castle Rock to vol. xxxi, no. 18, may 4, 2015—Crain’s New York Business (issn 8756-789x) is redevelopment plans. FAVORING CURRIE stream episodes of Seinfeld.The published weekly, except for double issues the weeks of June 29, July 13, July 27, Aug. 10, Aug. 24 and Dec. 21, by Crain Communications Inc., 685 Third Ave., New York, NY Kelly Currie will temporarily replace transaction is part of the video- 10017. Periodicals postage paid at New York, N.Y., and additional mailing offices. Post- 311 GETS HELP Loretta Lynch as U.S. attorney for streaming site’s push to invest master: Send address changes to: Crain’s New York Business, Circulation Department, 1155 The city is requesting proposals to im- the Eastern District.