Commercial Power 2013

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April 30, 2013
The Weekly Newspaper of New Yorks Commercial Real Estate Industry commercialobserver.com
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Commercial Breaks Lease Beat Columns postings POWER 100 Special section Party circuit LOBBY Calendar Lease Beat Chart the plan
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Jared C. Kushner Publisher Jotham Sederstrom Editor-in-chief Robyn Reiss Associate Publisher Barbara Ginsburg Shapiro Director, financial advertising Al Barbarino, Alessia Pirolo, Billy Gray, Gus Delaporte STAFF WriterS Robert Knakal, Sam Chandan Columnists Stephen Kleege, Michael Ewing Contributing writers Ed Johnson Production and creative director Peter Lettre Photo Editor Lisa Medchill Advertising Production Michael Albanese President, Observer Media Group Ken Kurson editorial director, Observer Media Group Joseph Meyer CEO, Observer Media Group
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cover illustration by mario zucca
2|April 30, 2013|THE COMMERCIAL OBSERVER
THE COMMERCIAL OBSERVER|APRIL 30, 2013|3
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Newmark Grubb Knight Frank Nabs REBNYs Most Ingenious Deal

BY GUS DELAPORTE The Newmark Grubb Knight Frank team of Barry Gosin, Brian Waterman and Romel Canete was awarded the Real Estate Board of New Yorks Henry Hart Rice Award for the Most Ingenious Deal of the Year at the trade associations 69th annual cocktail reception. The deal, which was a lease for Morgan Stanley at 1 New York Plaza, closed in April of last year. The judging committee evaluated 37 deal-makers across sales, lease and finance transactions over the last year. So impressive were the submissions that a presenter at the event at the 101 Club wondered aloud whether their authors had advanced degrees in creative writing. Morgan Stanleys 1.15-million-squarefoot lease at 1 New York Plaza returned 2,300 back-office financial services jobs to New York City. Over the course of two years, the NGKF team created a long-term occupancy strategy for the investment banks back-office capabilities both in New York and New Jersey and also formed a unique transaction structure that enabled Morgan Stanley to renew its lease early. We applaud our commercial brokers for closing these clever and creative deals, said Steven Spinola, REBNY president, in a prepared statement. The years top prize
One New York Plaza.
went to a truly significant deal that will help a major financial institution bring back thousands of jobs to New York City. REBNYs second-place Robert T. Lawrence Award was presented to Helen Hwang and Nat Rockett of Cushman & Wakefield in
recognition of the sale of 88 Leonard Street in Tribeca. The C&W team was recognized for managing the varied interests of several stakeholders and creating solutions to assist Africa Israel in the development of the property.
Stat of the Week
5
help, but the uptick in demand for Downtown space also has a hand in this ranking. If this were the Power 7, all three Downtown submarkets would be accounted for, as the World Trade Center and Financial submarkets ranked sixth and seventh. 2. Penn Plaza/Hudson Yards The soon-tobe hottest submarket on the planet witnessed the leasing of 5.5 percent of its inventory this year, and that does not include the leasing activity in buildings under construction. The Macys renewal at 11 Penn Plaza for 646,000 square feet assisted in getting this submarket into the top two. 1. Fifth/Madison Is top-tier space making its comeback? A total of 6.3 percent of the inventory was leased or renewed through April. The Sony renewal of 798,000 square feet at 550 Madison and Jefferies Groups 457,000-square-foot renewal at 520 Madison Avenue fueled this ranking, but it also ranked third in total leases signed, with 34. Richard Persichetti is the vice president of research, marketing and consulting at Cassidy Turley, with 14 years of NYC research experience.
In honor of this weeks Power 100 rankings of real estate professionals, I figured I would create the first annual Power 5 rankings of the top submarkets by year-to-date leasing activity. To make things even across all 17 submarkets, they are based on leases signed and renewed as a percentage of the submarkets total inventory. So without further ado, here are the Power 5. 5. Flatiron/Union Square 2.9 percent of its inventory was leased or renewed during the first four months of 2013, led by AppNexuss 222,000-square-foot renewal and expansion at 28-40 West 23rd Street. Shockingly, this is the only Midtown South submarket represented in the Power 5. 4. Grand Central 3.2 percent of its inventory was leased or renewed through April. This is so despite its current availability rate of 15.3 percent, as 750,000 square feet of renewals between Simpson Thacher and EisnerAmper skews its number. Then again, arent all polls skewed in some way? 3. City Hall/Insurance With 4.6 percent of its inventory leased or renewed, City Hall comes in as the biggest surprise in this years Power 5. Being the smallest submarket in the poll does
Flatiron/ Union Square Grand Central City Hall/ Insurance Penn Plaza/ Hudson Yards Fifth/Madison 0% 1% 2% 3% 4% 5% 6% 7% 8%
STAN HONDA/AFP/Getty Images
Scott Singer and Jeffrey Morock of the Singer & Bassuk Organization received the third-place Edward S. Gordon Award for the $35 million construction financing of 50 Oceana Drive West in Brighton Beach. The financing for the Muss Development property was nearly scuttled by Hurricane Sandy and was in fact one of the first construction loans to be closed in an evacuated area following the storm, Mr. Singer told The Mortgage Observer. The winners of our second- and thirdplace prizes devised innovative solutions in the face of unique circumstances, including one that closed in the aftermath of Hurricane Sandy, Mr. Spinola added. Their hard work enabled successful transactions to be completed for two major residential properties. Last year, Tara Stacom and Michael Rotchford of Cushman & Wakefield took the Most Ingenious Deal of Year Award for representing the landlord at 1 World Trade Center in the lease negotiations with publisher Cond Nast. The incomparable Mary Ann Tighe, as she was described at the event, took second place for representing Cond Nast in the same deal. It took years of work to get the building to a point where a tenant like Cond Nast would even consider it, Ms. Stacom said at the time. gdelaporte@observer.com
After two years of consecutive increases, rents in Midtown South dropped during the first quarter of 2013, according to CompStaks effective rent report for the Manhattan office market, provided exclusively to The Commercial Observer. Effective rent, which includes landlord concessions, fell in Midtown South during the first quarter to $44.62 from $46.44 in the fourth quarter of 2012, a decrease of nearly 4 percent. Starting rent fell from $49.47 to $47.14 during the same period. Despite the decrease in effective rent in Midtown South, it is too early to determine whether the Midtown South submarkets run is coming to end, according to the report. Over 70 percent of the leases signed in the market were new leasesthe sign of a vibrant market, the report noted. As expected, tech dominated leasing during the first quarter in Midtown South, where the most significant deals were Shutterstocks 80,000-square-foot relocation to the Empire State Building and Googles expansion in the Chelsea Market. Midtown Souths performance was indicative of the entire Manhattan market, where effective rent fell across the board, with the notable exception of Midtown Class B. The Downtown submarket experienced a slight decrease, with effective rents falling
Midtown South Rents Fall for 1st Time in 2 Years
Midtown South, encouraging tech and media tenants to relocate from those markets. Major leases Downtown during the first quarter included HarperCollinss 180,748-square-foot lease at 195 Broadway and WeWorks 120,250-square-foot lease at 222 Broadway. GD
Graybar Building.
from $34.64 in the fourth quarter of last year to $33.81. However, CompStak predicts future increases, as the submarket remains an affordable alternative to Midtown and
New York City is beginning the public review process for the proposed rezoning of Midtown East, it was announced last week. Our East Midtown plan provides zoning incentives for the development of a handful of new, state-of-the-art sustainable commercial buildings over the next 20 years, said Amanda Burden, city planning commissioner, in a prepared statement. This will enable this iconic district to build on its distinguished building stock and maintain a spectrum of commercial space for different business needs, including tenants seeking modern Class A offices. As reported by The Commercial Observer, the Department of City Planning is proposing a zoning strategy for 78 blocks in Midtown East aimed at revitalizing the areas office buildings, which are more than 70 years old on average,. Long a sought-after area for office space, Midtown East has experienced very little Class A office development over the past 20
Review for Midtown East Rezoning Begins
years. In the past decade, just two midsize office buildings have been developed under current zoning, according to the DCP. According to proponents, office development in the Grand Central District is essential to remaining competitive amid new development at Hudson Yards and in lower Manhattan. However, preservationist groups have earmarked a number of buildings in the rezoning area for landmark status, which could influence the rezoning plans. Among the buildings being recommended for preservation are the Graybar Building atop Grand Central Terminal, the Pershing Square Building at 125 Park Avenue and the Yale Club. Preservationists insist the recommendations are mindful of the rezoning and redevelopment proposal. The real estate industry is not convinced. Following a coalition review in February, Steven Spinola, president of REBY, told The Commercial Observer that all buildings worthy of preservation had already been landmarked. The others are copies, and no way in the same level of quality, he said. [The coalition] concluded that there isnt anything really worthy of designation. Under the citys Uniform Land Use Review Procedure, Manhattan Community Boards 5 and 6 have 60 days to review the rezoning proposal, following which it will go before the borough president, the City Planning Commission and the City Council. GD
Hudson Yards ground-breaking.
Big Brother is watching. Like something out of a spy movie, residential building owners are now using private investigators and hidden surveillance to track down absentee tenants in rent-stabilized buildings. In a recent case, law firm Rosenberg & Estis represented Blair Hall Inc. , the owner of a 200-unit rent-stabilized building in Queens. Using surveillance techniques, the firm was able to ascertain that tenant Janina Vilcek s primary residence was in the state of Florida. In a decision dated February 13, Housing Court Judge Gilbert Badillo of the Civil Court of the City of New York in Queens, awarded possession of the apartment to Blair Hall Inc. Via video surveillance using cameras hidden in exit signs and smoke detectors, it was learned that Ms. Vilcek, who was also under investigation by the Secret Service on suspicion of partaking in multiple marriages to convey citizenship, was subletting her apartment to another building tenant while living in Florida. Ms. Vilceks defense was hardly convincing, according to Judge Badillo. To this Courts observation, whenever [Ms. Vilcek] was confronted with the contradictions, she would no longer remember or understand the question or information, he wrote in his decision. This signals a shift, Bradley Silverbush , senior partner at Rosenberg & Estis, told The Commercial Observer . In the old days, you relied on building staff or word of mouth to ascertain who was actually in the apartment. The law firm also subpoenaed Ms. Vilceks phone records to ascertain her location and used Internet databases to learn that the Polish-born woman was registered to vote in Florida and had cars registered in multiple states. Owners can spend up to $100,000 trying a non-primary resident case, according to Mr. Silverbush. I tell the clients: every dollar you spend on preparation and surveillance is worth $2 in litigation costs, he said. GD
Judge Rules in Favor of Queens Landlord Who Used Surveillance
At least one developer wants to build more housing at its Hudson Yards site. With the No. 7 train extension set to welcome its first train at 34th Street and 11th Avenue next June, developers are rushing to line up financing and break ground on millions of square feet in new projects. At least one landownerSilverstein Properties, which owns a 90,000-square foot site at 41st Street and 11th Avenuewants zoning rules changed to allow it to build more housing and less office space, according to The New York Times. For an area with poor transit links, the desire to shift from commercial to residential is not surprising. Though there will be a new subway station at 34th Street and 11th Avenue, successful office locations generally require not only transit, but redundant transit. There are seven different subway stations, for example, along 42nd Street between Fifth and Eighth Avenues. Grand Central has three plus a regional rail terminal, and the Plaza District has around half a dozen, depending on how you define the ritzy submarket. Hudson Yards, on the other hand, will have just one twotrack subway, with Penn Station and the Eighth Avenue subway a few long avenue blocks away at best. Commuters from Queens may have it easy, but there will be no one-seat subway rides from Brooklyn or any of Manhattans residential neighborhoods. While the desirability of housing in New York is also driven by proximity to transit, it relies mainly on access to Midtown. Office tenants, by contrast, need transit links to the outer boroughsa much taller order for out-of-the-way Hudson Yards. And the market seems to be bearing this out: developers are in some stage of building or have already delivered 10,000 of the total 20,000 apartments that the city has planned for Hudson Yards since 2005, according to the Times, while only one office building has broken groundRelateds tower at 10th Avenue and West 31st Street, where it has signed Coach, LOreal and SAP as tenants. Extells building on 11th Avenue is on hold for want of an anchor tenant, and Moinians mixed-use building doesnt have one either.
Silverstein Properties to Add More Housing at Hudson Yards
And while developers in todays market will throw up as many apartments as they can, builders have to work much harder to woo office tenants. The city has incentivized office space at Hudson Yards through tax breaks and more liberal zoning allowances, but office space at the World Trade Center is even more subsidized and has better transit access. Developers at Hudson Yards are understandably reluctant to throw up new towers while those in more natural locationssay, Vornado at 15 Penn Plazaare shelving their plans. More office towers will eventually join Relateds first in the lower 30s between Penn Station and the new No. 7 stop on 11th Avenue, with Related aggressively courting tenants for its second, larger building. But it remains to be seen if there will be demand for the string of commercial skyscrapers that the city envisioned rising along Hudson Boulevard, on sites like Silversteins, which lacks the redeeming proximity to Penn Station. Could a potential request by Silverstein to build housing instead of offices be the first of many? The city goes to great length to stimulate commercial developmentboth where there is demand, and where there isnt. At least for the moment, Hudson Yards seems to be a little bit of both. Stephen Jacob Smith
Mark Messier, 1994.
Hockey players and ice skaters tired of playing third or fourth fiddle to the citys other premier sports may rejoicethe
Bronx to Get Worlds Largest Ice Facility
worlds largest indoor ice facility is coming to the Bronx. Mayor Michael Bloomberg announced plans yesterday to transform the landmarked Kingsbridge Armory into a 750,000-square-foot ice sports facility with nine indoor year-round regulation-size hockey rinks, and athletes on hand for the announcement said the facility will change the face of ice sports in the city and provide hope for the dreams of future Olympians. The Kingsbridge National Ice Center
will change the sport in the metropolitan area, said New York Rangers legend and National Hockey League Hall of Famer Mark Messier. As a New Yorker, I know it will also change this city, providing invaluable educational and athletic opportunity to thousands of young people and transforming the Bronx into the new center of ice sports in the United States. The facilitys feature rink will seat 5,000 people, host national and international ice hockey tournaments, figure and speed skat-
ing competitions, and ice shows. Five of the rinks will be located on the main floor and four will be constructed on two elevated platforms positioned 40 feet above it. At least two rinks will be sled-hockeycompatible for people with disabilities, and KNIC Partners LLCwhich won an RFP process to redevelop the siteplans to create a foundation to establish free afterschool ice sports and academic tutoring programs for disadvantaged youth, with a goal of providing 12 hours of ice time each weekday during the school year and nine hours each weekday during the summer. The educational and fitness initiatives it will create represent new possibilities for so many children, including those who dream of one day becoming Olympic champions, said Olympic champion figure skater Sarah Hughes, who was on hand for the announcement. This is the start of something incredible for the Bronx. In addition to the ice rinks, the facility will feature a wellness center with off-ice training fitness, rehabilitation and sports therapy programs; dressing rooms and lockers with storage for individual hockey equipment; concession space; retail space for ice sport goods; and parking for approximately 480 cars. KNIC Partners LLC was selected through a competitive RFP initiated by the NYC Economic Development Corporation in January 2012. It entered into a 99-year lease for the property and will invest $275 million into the redevelopment, according to a statement from the mayors office.
Jordany Valdespin.
R O I R E P U S A VIEW OF
R EA L ESTATE
A public and environmental review is under way, with an anticipated groundbreaking in late 2014. The project will be built in two phases. The first will consist of five ice rinks, 50,000 square feet of community space, concessions and parking. It is slated for completion in September 2018, and the second phase is expected to open by September 2019. Through this redevelopment, the Kingsbridge Armory will now have an interior program befitting its iconic exterior architecture, said Mayor Bloomberg. The construction of the worlds largest indoor ice rink facility will create recreational opportunities for millions of visitors and local residents, and most importantly, create hundreds of jobs for the local community. This plan is proof that working together we can put aside our differences and do whats best for the city. Built between 1912 and 1917, the Kingsbridge Armory was designed by the architecture firm of Pilcher and Tachau, a shining example of military architecture featuring Romanesque arches, vaulted ceilings, decorative brick and terra cotta, and large battlement towers. It has sat vacant since 1996. Al Barbarino
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The New York Post reports that members of the New York Mets have forsaken Yankee-style Manhattan condos by renting units in two waterfront residential buildings in Long Island City. The blue collar Mets have decided against glitzy Manhattan digs, with Jon Niese, Jordany Valdespin, John Buck and Justin Turner among the players renting at the Avalon Riverview buildings, the Post stated. But whether or not that was a choice is a toss-up, given the salary discrepancies between the two teams. The Post article compares the $2,200- to $6,000-permonth rents at the buildings with the white-shoe digs of their hated crosstown rivals, like Derek Jeter. Mr. Jeter sold his Trump World Tower penthouse for $15.5 million, and Alex Rodriguez pays $18,900 per month for his apartment, the
Blue Collar Mets Settle for Less Glitzy L.I.C.
Post noted. But those two players also pull in some of the highest salaries in baseball, at $16 million and $29 million last year, respectively. By comparison, Mr. Neise, 26, young and early in his career, made a measly $769,500 last year. Thanks to Mr. Jeter and Mr. Rodriguez, the New York Yankees were the highestpaid team in baseball last year, with an average salary of $6.2 million, according to USA Today, compared with a Mets average salary of $3.5 million. Either way, the Long Island City digs are no dump, boasting panoramic Manhattan views, a ninth-floor pool, a rooftop garden with barbecue grills, a 24-hour concierge and a gym. And the Mets stay in Long Island City is perhaps a testament to the quality of life that developers like Rockrose and TF Cornerstone have been preaching for years in a neighborhood that finds itself at the center of the citys most promising building boom. Being in Long Island City is a lot easier because were not in Manhattan so its not crazy, but at the same time, we still have the city life one subway stop away, Mr. Nieses wife, Leah Niese, told the Post. The neighborhoods makeover from industrial wasteland to a viable alternative to Manhattan was paved by a 2001 residential rezoning that led the pioneering developers to build multiple residential towers along Long Island Citys waterfront. The idea is that this is not West Queensits the East Coast of Manhattan, TF Cornerstones chairman, Tom Elghanayan, told The Commercial Observer last month. We appeal to the same market as the high-end clientele of Manhattan. Ms. Neise also told the Post that her posse includes the significant others of Dillon Gee, Bobby Parnell, Tori Murphy, Daniel Murphy, Frank Francisco, Mike Baxter and David Wright. To keep looking great, Mets Manager Terry Collins, who also lives in one of the buildings, frequents Emily Salon and Spaas do the players wiveswhere manicures are $15, a leg wax is $50 and a mens haircut starts at $30, the Post said. AB
Getty Realty Corp. Directs Immediate Sale
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Another billionaire has just chipped in on the Applied Sciences NYC project on Roosevelt Island. Irwin Jacobs, founder of wireless telecommunications company Qualcomm, and his wife, Joan Klein Jacobs, are shelling out $133 million for a new center to be built on the highly anticipated engineering campus. This transformative gift will support the distinctive international partnership between Cornell and the Technion that is already creating a new model of graduate tech education in New York City, said Cornell President David Skorton in a prepared statement announcing the gift. Dubbed the Joan and Irwin Jacobs Technion-Cornell Innovation Institute, the center will offer dual degrees in information sciences from Cornell and the Technion-Israel Institute of Technology. It is set to launch in the fall of 2014. Mr. Jacobs isnt the first billionaire to chip in on the project. Applied Sciences NYC received a record-breaking gift of $350 million from DFS co-founder Chuck Feeney,last year. Mr. Jacobswho is worth $1.55 billion, according to Forbesand his wife, both Cornell alumni, previously established the Irwin and Joan Jacobs Professorship and the Joan Klein Jacobs Cornell Tradition Fellowship at Cornell, among other contributions. Mr. Jacobs has been giving away money at a steady pace, Forbes noted, also having donated $185 million to the University of California at San Diego, where he taught computer science, and, along with his wife, $75 million to the UCSD health system, and pledged more than $100 million to the San Diego Symphony. AB
Billionaire Donates $133 M. to Cornell-Technion
A team from Winick Realty Group is exclusively marketing two retail properties totaling 6,400 square feet on behalf of Abington Holding, The Commercial Observer has learned. Winick President Steven E. Baker, Director Michael Gleicher and David Lawford will market a built-out lounge at 125 East 54th Street with 400 square feet of ground-floor space and a 3,600-square-foot subterranean floor with 14-foot ceilings. The spot currently houses The Volstead, a nightspot named after late congressman Andrew Volstead, the father of prohibition. A lease here could include the transfer of the existing propertys liquor license, a coveted perk among restaurant and nightlife operators. This is not typical of New York City retail, Mr. Baker said in a prepared statement. Messrs. Baker, Gleicher and Lawford are also marketing a retail space at 106 East 23rd Street. That property has 1,400 square feet of ground-floor and 1,000 square feet of basement space on a well-trafficked stretch of 23rd Street between Park Avenue South and Lexington Avenue. Representatives from Winick could not provide immediate comment. Billy Gray
Winick to Market Two Midtown Retail Assets
As Gowanus braces for long-simmering residential development along the banks of its notoriously filthy canal, local and roving party people can take heart that one neighborhood standby has, for now, been given a stay of execution. Alfresco dance music bash Mister Sunday will return this summer to its home in Gowanus Grove, a half-acre lot at 400 Carroll Street. Mister Sunday (n Sunday Best) landed at the leafy canal-side oasis (formerly BKLYN Yard) in 2008, and seemingly each summer since has teetered on the verge of extinction. Deejays and proprietors Justin Carter and Eamon Harkin have occasionally taken the partya favorite of the Brooklyn underground sceneon the road, whether thanks to the Groves complicated real estate and operational history (it abruptly ceased operations in 2010) or due to issues stemming from nightlifes bte noire: beer, wine and liquor licenses. The announcement of Mister Sundays return emphasizes that the Messrs. Sunday are back for one more summer, which could be a hedging of bets or may allude to the Groves imminent closing. We think every summer is going to be our last, Mr. Carter told The Commercial Observer. Honestly, though, were never 100 percent sure, so [we] cant comment definitively either way. Times are certainly changing in postindustrial Gowanus, which has recently welcomed waves of scruffy young adults priced out of Williamsburg and Greenpoint. Last month, the City Planning Commission approved developer Lightstone Groups contentious 700-unit apartment complex abutting the Gowanus Canal, a Superfund site. And a 52,000-square-foot Whole Foods should open in the next few months. BG
GowanusPartySpotBack for One More Summer
On Sunday, just three months after its grand opening, the 11,424-square-foot Williamsburg dance club Output officially opened its roughly 2,500-square-foot penthouse and rooftop bar. The underground party promoter ReSolute broke in the space atop 74 Wythe Avenue, with Kiwi house DJ Recloose providing the soundtrack along with resident talent. Its in the heart of Williamsburg with an amazing skyline view, and we have a feeling that were all going to [be] spending lots of time there this summer, reads the ReSolute announcement. Plans for a penthouse and roof deck were included in the original Department of Buildings application filed by David Cutler of Hustvedt Cutler Architects in September of 2010. Earlier this year, a source familiar with Output said that the rooftop area would operate under a separate lease than the main dance floor and an attached Communistthemed ground-level bar and restaurant, which soft-opened last week. Representatives from Output did not immediately reply to an email request for comment. BG
Output Nightclubs Penthouse, Roof Deck Opens in Williamsburg
The oldest living Pritzker Prize winner turns 96 today. Chinese-American architect I.M. Pei will celebrate his 96th birthday with a small, intimate affair, his family relayed to The Commercial Observer. During his six-decade career, Mr. Pei created iconic structures across the world, including the Four Seasons Hotel in New York City and the pyramid entrance at theMuse duLouvre in Paris. Life is architecture. And architecture is a mirror of life, Mr. Pei said in a video released last year that looked behind the scenes at one of his latest projects, The Centurion. Mr. Pei moved to the United States from his native China nearly eight decades ago, ultimately finding his niche amid the buzz of bustling New York City. I know New York City better than I knew my mother country, Mr. Pei said. New York is the most exciting city in the world. Its not the most beautiful. Its the most exciting. Paris is more beautiful. London is more beautiful. But New York is exciting.It has life.It pulsates with life. Mr. Pei has been in semi-retirement since 1990, selectively taking on smallerscale projects that interest him.The Centurion, the luxury residential condominium he designed with his son, Li Chung (Sandi) Pei, is one of themandthe first condo building Mr. Pei designed out of 48 lifetime residential projects. The Centurionits kind of a fun project for me, he said.Its a small building, but because it is small ... the building has to speak, say, I am here. Mr. Pei is the brains behind the Guggenheim Pavilion; the Mount Sinai Medical Center Expansion & Modernization; the Bedford-Stuyvesant Superblock in Brooklyn; Columbia Universitys Comprehensive Master Plan; and the TWA Terminal Annex at JFK International Airport, among other New York City projects. His international projects, in addition to the pyramid at theLouvre in Paris, include the Bank of China Tower in Hong Kong and the Macao Science Center. Ieoh Ming Pei was born in China in 1917. The son of a prominent banker, he moved to the United States at age 18 to study architecture, receiving a bachelor of architecture degree from Massachusetts Institute of Technology in 1940. In 1942, he enrolled in the Harvard Graduate School of Design, where he studied under Walter Gropius and, after a hiatus volunteering with the National Defense Research Committee in Princeton, he completed his master of architecture degree in 1946. He was awarded the Wheelwright Traveling Fellowship by Harvard in 1951 and traveled extensively in England, France, Italy and Greece before becoming a naturalized U.S. citizen in 1954. Mr. Pei was unavailable for additional comment on this article and his family declined to elaborate on the special day. AB
Happy Birthday, I.M. Pei: Oldest Living Pritzker Prize Winner Turns 96
SALES BEAT
Upper West Side Residential Towers Sell for Record $400 M.
A joint venture led by The Carlyle Group has sold two newly developed residential towers on the Upper West Side to the California Public Employees Retirement System for a reported $400 million. Completed in 2010, the The Aldyn and The Ashley, 38 and 23 stories high respectively, include a mix of rental and condominiums for a total of 345 studio, one-, two-, three-and four-bedroom units that average roughly 1,000 square feet. The Sacramento-based pension fund, also known as CalPERS, made the purchase through Boston-based GID Investment Advisers LLC, its real estate manager for residential transactions. The Ashley and Aldyn provide GID an opportunity to expand our exposure in New York City in a single transaction, said Bill Chiasson, senior vice president and director of eastern-region acquisitions for GID, in a statement. Manhattan is a market that has historically provided consistent revenue growth versus the national average and where valuations hold up better over time versus other core U.S. markets. At nearly $1.2 million per unit, the transaction was the most expensive deal for more than 100 units on the Upper West Side since the 2007 purchase of The Apthorp, Bloomberg News noted. Included in the deal is 12,000 square feet of retail space, a 230-car garage and La Palestra, a 40,000-square-foot athletic club and spa offering state-of-the-art fitness equipment, an indoor pool, a game room, a bowling alley, a rock climbing wall, a basketball court, a golf simulator, a squash court and spa service rooms. The buildings are part of Riverside Center, an eight-acre site developed by Carlyle, Extell Development and other developers over the past decade. Its part of the 80-acre Riverside South development, which broke ground more than two decades ago. An HFF team led by Andrew Scandalios, Jose Cruz, Jeff Julien, Kevin OHearn and Matthew Lawton represented the seller of the luxury apartment towers, which are located along Riverside Boulevard. The commercial real estate intermediary and consulting firm made the announcement on Friday. AB
do approximately $62 million in proceeds, with a net gain of $22 million, according to a statement. As reported by The New York Observer, Vornado announced the end of its plans to develop Harlem Park in December 2008. Vornado had previously planned to develop a 630,000-square-foot office tower with MLB Network as an anchor tenant We were going to build the first office building in Harlem in 50 years on 125th Street and Park Avenue, said Joseph Macnow, Vornados chief financial officer, at an investor conference at the time. Weve shut that project down. The economics are not warranted today to do that job. Steven Roth, chief executive officer at the REIT, announced in a letter to shareholders filed with the Securities and Exchange Commission earlier this month that 2013 would likely involve more selling than buying. My belly tells me that prices are now higher than future prospects, Mr. Roth said in the letter. It also feels to me like interest rates will stay lower for longer than the pundits expect and that we are near the tipping point where market participants will start to believe and act as if its their God-given right to zero-bound interest rates. GD
Vornado Realty Trust has agreed to sell Harlem Park, a parcel of land located at 1800 Park Avenue at 125th Street, where the REIT had initially planned to develop an office tower, it was announced early last week. Vornado will receive $65 million plus additional undisclosed brownfield credits, tax incentives provided to developers for cleanup and reuse of brownfield sites. The sale, to an undisclosed buyer, is expected to close in the second quarter of 2013. The Harlem Park deal will net Vorna-
Vornado Sells Harlem Park Site for $62 million
In another whopping example of large real estate owners seeking to capitalize on current market conditions by unloading top-shelf inventory, Boston Properties has reportedly sold its 23-story office building at 125 West 55th Street for $470 million to J.P. Morgan Asset Management. The deal follows a string of other Class A building sales this year550 Madison Avenue, 30 Rockefeller Plaza, 237 Park Avenue and 75 Rockefeller Plazawhich accounted for $3.8 billion of the citys first-quarter dollar volume and created a 46% year-over-year jump, according to data fromAvison Young. We have started to see a notable uptick in the number of large, Class A buildings being put on the market, said Avison Youngs Neil Helman in an analysis released earlier this month. The persistently low interest-rate environment, coupled with cap rates moving downward and improving rental rates have created a veritable perfect storm for sellers. Other Class A properties on the market include 425 Lexington Avenue, 499 Park Avenue and 650 Madison Avenue. Many funds and REITs are now looking to sell as they feel the current environment is such that the returns they were seeking have or could be met with a disposition today, he added. The 552,000-square-foot, classic curtain-walled structure at 125 West 55th, known as Avenue of the Americas Plaza, was developed by Macklowe Properties, completed in 1990 and sold to Boston Properties in 2008. Its facade incorporates blue-green glass within a steel and reinforced concrete structure, while its
125 West 55th Fetches $470 M. Amid Push to Unload Class ATowers
interior features classical statues. Boston Properties owned a 60% stake in the building, while the remaining stake was split between Meraas Capital and a fund run by Goldman Sachs, known as U.S. Real Estate Opportunities 1, according to Real Estate Alert, which first reported on the sale. City records show that Boston Properties and investors paid just under $444 million for the property in 2008 as part of a package that also included the GM Building, 540 Madison Avenue and Two Grand Central Towerfor $3.9 billion in total. Earlier this month, Vornado Realty Trust CEO Steven Roth gave investors a heads up in a letter stating that the fat lady was entering the building, meaning that the year would be marked by careful buying, and more selling than buying. My belly tells me that prices are now higher than future prospects, Mr. Roth said.It also feels to me like interest rates will stay lower for longer than the pundits expect. Avenue of the Americas Plaza was 94% leased at year end, with major tenants including Macquarie Group, Clear Channel Communications subsidiary Katz Media and Air France. A representative for JPMorgan Chase declined comment on this story. Boston Properties did not return calls seeking comment in time for publication.AB
Vornado Realty Trust has sold the Harlem Park site at 1800 Park Avenue to Bruce Eichner and Continuum Company, the New York Post reported. Mr. Eichner is planning to develop a 596,000-square-foot, 80/20 residential building at the site which would include street-level retail, a garage and 600 apartment units, 200 of which would be affordable housing, according to the report. As reported by The Commercial Observer, Vornado announced last week it had agreed to sell the site for $65 million plus conditional brownfield credits. The REIT had previously announced in 2008 that it had ended a plan to develop a 630,000-square-foot office tower at the site with MLB Network as an anchor tenant. We were going to build the first office building in Harlem in 50 years on 125th Street and Park Avenue, said Joseph Macnow, chief financial officer, at an investor conference at the time. Weve shut that project down. The economics are not warranted today to do that job. Mr. Eichners major developments in New York include 180 Montague Street in Brooklyn Heights, a 33-story luxury residential building, and One Broadway Place, a mixed-use building in Times Square. He has also developed The Cosmopolitan Resort in Las Vegas and The Continuum on South Beach in Miami. Neither Vornado nor Continuum could immediately be reached for comment. GD
Eichner Buys Vornado Harlem Park Site, Eyes Residential
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The Commercial Observers Breakdown of Last Weeks 10 Biggest Deals*
BuzzFeed
Tiffany has subleased 57,691 square feet of space at Midtown South crown jewel 200 Fifth Avenue to buzzed-about digital media outlet and cat GIF purveyor BuzzFeed. The two-year sublease covers the entire eighth floor of L&L Holding Companys 600,000-squarefoot tower. Steven Marvin of Olmstead Properties represented the tenant. Studleys Gregg Taubin repped Tiffany. The New York Post reports that asking rent on the eighth floor was $80 per square foot when it went on the market in January. BuzzFeed currently occupies 24,000 square feet at Olmsteads nearby building 54 West 21st Street where asking rent for one available space is $49 a foot. Mr. Marvin has represented the tenant since it leased 3,500 square feet at the firms 113 Spring Street. The eighth floor was the last available space at 200 Fifth Avenue. Tiffany now leases 400,000 square feet on the ninth through 14th floors. A LEGO store will soon complement Eataly on the groundfloor retail block. Founded by Jonah Peretti, one of the creative thinkers behind The Huffington Post, BuzzFeed launched in 2006 and has since transitioned from a generator of memes and slideshows to a news outlet boasting respected reporters including Ben Smith and former Spin Editor-in-Chief Steve Kandell. The site welcomes approximately 25 million unique visitors each month.Billy Gray
57,691 Square Feet SUBLEASE
Promontory Financial Group

Promontory Financial Group has renewed and expanded its lease at 280 Madison Avenue near Grand Central Terminal. The strategy, risk management and regulatory compliance consulting firm will move from its 19,495-square-foot space on the 40th floor of the building to the 11th floor, where it will span the entire 49,541-square-foot floorplate. Promontory Financial Groups New York office is one of 15 branches around the world; the firms headquarters are in Washington, D.C. Opened in 2003, the New York office focuses on global banks, investment houses and U.S. branches of overseas firms. The New York Times recently brought light to the firms role as shadow regulator in the past several years. The firm has reportedly been a major power broker through new regulatory and compliance scrutiny. Promontory Financial Group did not have a broker representing it in the transaction. The landlord was represented by Mary Ann Tighe and Pete Turchin of CBRE. Promontory Financial Groups lease comes in the wake of Blue Mountain Capital signing 49,541 square feet on the 12th floor of the building. The building also renewed leases with Cohen & Steers for nearly 90,000 square feet and Viking Global Investors for 40,399 square feet. SL Green and Vornado have poured $125 million into a redevelopment plan that will position the building as a premier, stateof-the-art property strategically located in the desirable Grand Central Terminal submarket. The capital improvement program encompasses a world-class lobby spanning the entire blockfront between 48th and 49th streets and an interior courtyard with a reflecting pool. There will also be new elevator cabs, bathrooms and upgraded infrastructure. The building will also improve its HVAC to enhance environmental sustainability. Michael Ewing
49,541 Square Feet EXPANSION
Blue Capital
Mountain Citi Bike

The NYC Bike Share program, branded Citi Bike, has set up its headquarters in a 39,200-squarefoot space at 53rd Street and Third Avenue in Sunset Park, Brooklyn, it was announced today. Asking rent was less than $20 per square foot. It was a fairly quick search, Alec Monaghan, senior vice president at CBRE, who represented the tenant, told The Commercial Observer. We looked in Manhattan, but it became pretty immediate Brooklyn was going to be better in terms of price, product type and the acceptability of the road network. The 16,200-square-foot ground floor at the MWC Management Corp. property will be utilized as operational space to fix bicycles. The 8,000-square-foot second floor will house the programs call center, and the 15,000-square-foot lower level will be used as parking space for vans that will transport bikes to stations around the city. It is unique that we were able to house that in one building, Mr. Monaghan noted. Comparable space in Manhattan would have demanded rents double those of Brooklyn, he added. The Department of Transportation named Alta Bicycle Share as the operator for New Yorks bike-share program in September 2011. In May of last year, the DOT announced the system would be branded Citi Bike, with Citibank serving as title sponsor. The program is expected to launch next month, and stations are currently being installed throughout the city. The building was chosen as the central location for this broad New York City initiative because its the best economical use of space, Mr. Monaghan added in a prepared statement. Mr. Monaghan and Bill Jordan, CBRE vice president, represented the tenant. Michael Coleman of MWC Management represented the owner. Gus Delaporte
Borderfree.com
E-commerce company Borderfree.com (formerly Fifty-one Global E-Commerce) expanded and extended its lease for a total 22,226 square feet at 292 Madison Avenue, The Commercial Observer has learned. David L. Hoffmann Jr. and Bryan Boisi of Cassidy Turley represented the tenant. William G. Cohen and Ryan Kass of Newmark Grubb Knight Frank represented the owner, identified as 292 Madison Avenue Leasehold LLC. Asking rent was in the high-$40to mid-$50-a-square-foot range, said Michael Reid, a principal at building manager Herald Square Properties. The transaction comes just shy of a year after Borderfree moved into prebuilt offices on the full fifth and 17th floors of the Midtown tower, which Marciano Investment Group purchased in full in 2011. The company initially took the large fifth and smaller 17th floors, Mr. Reid said of therapidly growing tenant. Almost as soon as they moved in, the opportunity came for them to take the larger fourth floor, giving them contiguous floors. This seven-year lease expands Borderfrees footprint by about 5,100 square feet. Since assuming full ownership, Marciano has focused on reeling in tech and new media firms to the building. Theyre dedicated to transforming an old, somewhat tired building into a trendy, cool, upbeat state-of-the-art building, Mr. Reid said. These tenants all seem to like the scarified concrete look and high ceilings, and theyre 11 feet and up here. Another of 292 Madison Avenues strengths is its insistence on whole-floor leases. We give our tenants a single-floor identity, which they like, Mr. Reid said. Theyre not going to get lost on a big floor plate. He added that while the building courts relatively young firms, tenants are on solid financial footing.BG
Blue Mountain Capital has extended its lease and will expand at 280 Park Avenue. The firm had previously occupied a 22,250-square-foot office on the fifth floor of the building where it has been located since 2007. It will relocate to the 12th floor of the building, where employees will spread out across the entirety of a 49,541-square-foot floor plate. We certainly toured other buildings, said AJ Camhi, a vice president of RFR Realty. But at the end of the day, Blue Mountain Capital decided to stay at 280 Park Avenue because of the address, their desire to be on Park Avenue, and, most importantly, the ability to be on one floor. Mr. Camhi worked alongside his colleague Brad Siderow in representing Blue Mountain Capital. The landlords, a venture between SL Green Realty Corp. and Vornado, were represented by an exclusive leasing team from CBRE headed byPete Turchin. Blue Mountain Capital will take possession before the end of this year and they will build out the space to specifications from there. The renewal comes in light of the recent London Whale trade that cost JP Morgans London branch $6.2 billion in losses. A former executive, James Staley, announced earlier this year that he will be leaving JP Morgan in favor of Blue Mountain Capital Management, one of the hedge funds that profited by going against JP Morgan in the trade. Mr. Staleys addition comes in a sweep of others as the firm is in expansion mode. Blue Mountain Capital has been rapidly hiring new employees and their assets under management continue to grow, said Mr. Camhi. As a result, they needed more efficient space.ME
39,200 Square Feet NEW
* Square footage cited in headlines reflect total space occupied by tenant in building, including expansions and existing space. Leases reflect transactions closed, identified or publicly announced from April 22-26.
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The Commercial Observers Breakdown of Last Weeks 10 Biggest Deals*
10
CVS Caremark
Pharmacy CVS Caremark has signed a 15-year lease for 21,158 square feet at 3 Columbus Circle, it was announced last week. Asking rents were not disclosed. The lease is for the vacant part of the 768,565-square-foot buildings ground floor and a portion of the second floor, according to a statement from SL Green Realty, the buildings landlord in partnership with The Moinian Group. The pharmacy is expected to occupy the space beginning June 1. Were delighted to welcome CVS, a widely respected national retailer, to 3 Columbus Circle, said Steven Durels, director of leasing and real property at SL Green, in a prepared statement. The building at 3 Columbus Circle, formerly known as 1775 Broadway, occupies the entire block between Broadway and Eighth Avenue. The property recently underwent a renovation that included a new glass faade, a relocated and expanded lobby, new elevators and other infrastructure upgrades. The Winick Realty Group, which represents the landlord, is currently marketing the former Daffys space at 3 Columbus Circle, according to Jeff Winick, chief executive officer. The space, which is in the process of being converted, offers an entrance on 57th street and 55 feet of frontage. Availability includes the 5,300-square-foot ground floor, a 19,000-square-foot lower level and 14,200 square feet on the second level, which will face the new Nordstrom entrance. Were targeting clothing, Mr. Winick told The Commercial Observer. Its going to be one of the big-box clothing guys. Jason Pruger of Newmark Grubb Knight Frank represented the tenant in the deal. Mr. Winick and Kelly Gedinsky of Winick represented the landlord. NGKF and SL Green did not immediately return requests for comment. GD
Hart Howerton
Global architecture firm Hart Howerton has renewed its 15,090-square-foot lease at 10 East 40th Street. The firm already occupies the entire 39th and 41st floors in the tower of the 48-story Art Deco building, each floor spanning a little more than 7,000 square feet for a total 15,090 square feet. The building also houses the Morocco Consulate and Napa Group Inc., a longtime tenant. Hart Howerton was really happy, and they had their lease coming to an end in 2013, said David Berke, an associate director at Cushman & Wakefield, who represented the tenant in the transaction. [So] they wanted to renew and stay in the building. Theyve been there since 1983, and the floors worked for their operation. They looked at alternatives in Grand Central and Midtown South, added Mr. Berke. But in the end, we decided that we were happy in 10 East 40th Street. Mr. Berke was joined by his colleague Stuart Romanoff in representing the tenant. The landlord, Joseph P. Day, was represented by senior vice presidents Richard Brickell and Richard Teichman. Mr. Brickell and Mr. Teichman are also responsible for leasing out the remaining empty space, which ranges from 1,300-square-foot offices to 8,000-square-foot full floors throughout the building. Hart Howerton has been historically based out of two headquarters, one in San Fransico and one in New York City. The firm has expanded to offices in London and, as of late 2010, Shanghai. It has worked with corporations and institutions to design spaces all over the world, including Lulu Island in Abu Dhabi, UAE, and the Nashville International Airport. ME
15,090 Square Feet RENEWAL
Metropolitan Real Estate

International investment advisory firm Metropolitan Real Estate is moving its New York headquarters from 135 East 57th Street to 650 Fifth Avenue, The Commercial Observer has learned. The firm signed an 11-year lease for 11,289 square feet, taking the entire 29th floor of the 36-story, 382,500-square-foot office building, located in the Plaza District on 52nd Street, on the northern edge of Rockefeller Center. We are excited to add Metropolitan Real Estate to the growing list of excellent tenants at 650 Fifth Avenue, said Dr. Houshang Ahmadi, president of the nonprofit Alavi Foundation, the majority owner and managing partner of 650 Fifth Avenue Company. CBREs Robert Stillman, Paul Haskin and Zachary Freeman represented 650 Fifth Avenue in the transaction, while Paul Kotcher of Brickman & Associates represented the tenant. 650 Fifth Avenue offered what Metropolitan Real Estate was looking for, and we are pleased to have secured an entire-floor lease at the property, Mr. Kotcher said. CBRE is the exclusive office leasing agent and property manager of the building. The property recently underwent an $11 million lobby renovation, completed in July, and ownership is budgeting to improve the common areas on each of the floors and upgrade security systems as leasing efforts ramp up. There has been strong interest in 650 Fifth Avenue due to the completion of our extensive capital improvement program, the quality of our space and the excellent location, Mr. Haskin said. Last month, TGM Associates, a New York-based investment advisory firm focused on multifamily properties, renewed its 11,280-square-foot lease on the 28th floor. Al Barbarino
Kagan Productions
Anita Grossberg, a commercial broker on Douglas Ellimans Sroka Worldwide team, coordinated a pop-up lease at 860 Washington Street for theater producers Howard and Janet Kagan, The Commercial Observer has learned. The Kagans will bring their production Natasha, Pierre and the Great Comet of 1812 to a $2.5 million, 6,000-square-foot structure in what was a 10,000-square-foot vacant lot just off the High Line at Washington Street and West 13th Street. The performance space was built to resemble a Russian supper club, and will feature a czarist menu, cabaret singers and contortionists in addition to the main theatrical event, which will run from May 1 through September 1. Mr. Kagan had hoped to have the musical, a rock-opera riff on War and Peace born at Off Off Broadway theater Ars Nova, up and running by February. Ms. Grossberg set off last October to find a performance location in the Meatpacking District. I called parking lots, looked at different vacant lots, Ms. Grossberg said. One day I had a meeting with Howard on 14th Street regarding a permanent location. It was during that wickedly cold spell in January, and I couldnt wait outside. As I walked past Diane von Furstenberg on my way to The Standard, I saw the lot, and it clicked. Ms. Grossberg presented the idea of bringing Natasha, Pierre to the lot to aptly named building owners Romanoff Equities. I had to sell it, Ms. Grossberg said. Last year they had a flea market there, and they told me they had other offers. We were willing to put the money down. Mr. Kagan, who partners with Randy Weiner (Sleep No More) and Simon Hammerstein (The Box) on the show, will pay $250,000 for the lease, which closed in late March. In September, Romanoff will begin construction of a 10-story commercial building on the site. BG
Mobotix Corp.
German-based Mobotix Corp. will be leaving its office at 415 Madison Avenue and moving Downtown to Savannas 80 Broad Street, officials told The Commercial Observer. Enlisting CBREs David Young and Scott Sloves as brokers, the leading video security software company is taking a 7,840-squarefoot space on the seventh floor of 80 Broad Street. Savanna was represented in the transaction by an exclusive leasing team from Newmark Grubb Knight Frank consisting of Hal Stein, Adam Leshowitz and Todd Stracci. The team also negotiated a lease for the Foundation Fighting Blindness, which took 3,345 square feet on the 33rd floor of the building. Both leases had seven-year terms. Savanna acquired 80 Broad Street in September of 2011 and immediately took the building off the market to implement a major capital improvement program, which includes a $19 million investment in building improvements and renovations to tenant spaces, Todd Korren, a principal at Savanna, noted about the building in reference to an earlier lease deal. Savannas capital improvement plan also includes comprehensive building upgrades with fully modernized elevators, a renovated lobby with enhanced lighting and restored stone detailing, refurbished common-area bathrooms and new common corridors, added Mr. Korren. The building, located between Stone and Beaver Streets, spans 36 stories and 420,000 square feet. The property is one of many in Savannas Downtown-focused portfolio alongside 5 Hanover Street, 44 Wall Street, 110 William Street and neighboring 90 Broad Street. ME
11,289 Square Feet RELOCATION
7,840 Square Feet RELOCATION
* Square footage cited in headlines reflect total space occupied by tenant in building, including expansions and existing space. Leases reflect transactions closed, identified or publicly announced from April 22-26
property shark; ml design
Concrete thoughts
Manhattan Saves the Day

The Manhattan investment sales market typically serves as a lead indicator for the sales market citywide, and in the first quarter of 2013, it was once again. The Manhattan submarket (defined as south of 96th Street on the East Side and south of 110th Street on the West Side) led the way in the first quarter of 2013 with $5.5 billion in investment sales transactions. This represented 85 percent of the $6.5 billion citywide total. As expected, the $5.5 billion was significantly lower than fourth-quarter 2012 totals, as the end-of-year rush to take advantage of lower capital gains rates created an epic quarter in which sales volume hit $14.6 billion, the second-highest quarterly total in history (The first quarter of 2007 was the peak, with $17.2 billion). The good news is that the $5.5 billion was much better than we anticipated. In 2012, there was a total of $31.3 billion of investment sales activity in the Manhattan submarket. Annualizing the first quarter of 2013s $5.5 billion, we are on pace for about $22 billion this year. However, we feel that the 2013 total will rival, if not exceed, the $31 billion seen in 2012 as activity picks
$5.5 billion in first-quarter transactions represented whopping 85 percent of all deals citywide
up throughout the year. As expected, 2012 was a very active year, due to the impact an anticipated increase in taxes had on seller behavior. An externality like the capital gains tax increase has two tangible effects. First, it serves to catalyze some transactions Robert that might not have ocKnakal curred otherwise, as sellers realize that a window of opportunity may be closing. Second, it pulls activity from future periods forward, as sellers who were anticipating selling in early 2013 accelerated their process to close before the end of last year, achieving higher after-tax proceeds than they would have had they sold this year. Tax policy transparently impacts market participant behavior. Last year we saw a record number of properties sold in Manhattan as the turnover of the total stock of properties reached 4.3 percent, an all-time record. The previous high was achieved in 1998 when, under the Clinton administration, capital gains taxes were reduced from 28 percent to 20 percent. Another spike in sales occurred in 1986, prior to tax policies of the Tax Reform Act of 1986 kicking in at the beginning of 1987. In the first quarter of 2013, there were 130 properties sold in the Manhattan submarket. This was down significantly from the 484 properties sold in the fourth quarter of 2012. Again, this was not surprising, as the fourth-quarter 2012 total set an all-time record for Manhattan, as did 2012s yearly total of 1,194, eclipsing the 999 properties sold in 2007. Coming off this record year, we expected the number of properties sold to be down, and while it was, the 130 sales were more than we anticipated. We believe this is another positive sign for the balance of 2013. While we expect the number of properties sold in the Manhattan submarket to drop by 20 to 25 percent this year from last years total, we fully expect the dollar volume to be about where it was last year if not higher, given what we expect will be a resurgence in large office building sales, which impact dollar volume greatly. Perhaps one of the most surprising trends in the Manhattan submarket in the first quarter of 2013 has been the incredible run-up in land values over a relatively short period of time. According to the transactions we have been working on, we believe that land values have appreciated by as much as 30 percent in the past three months alone. We are seeing tremendous demand from local developers, as well as from developers from around the country who do not own anything in New York yet but are looking to get into the market. Joining them are foreign developers who are looking to do their first projects in New York City. We expect that land values will continue to rise throughout the year and may end the year as much as 50 percent higher than the averages we saw in 2012. rknakal@masseyknakal.com Robert Knakal is the chairman and founding partner of Massey Knakal Realty Services; in his career he has brokered the sale of more than 1,300 properties, with a market value in excess of $9 billion.
the lead indicator
Power, This Time for the Keynesians

Speaking of power, the Austerians have lost one of their most powerful corroborations. At least for political purposes, the oftcited and rather particular relationship between sovereign debt and growth has been sundered by a graduate students homework assignment. Never has so much of consequence turned on a spreadsheet error. The Keynesians are euphoric. From their vantage point, the case against borrowing has collapsed like a house of cards. The headline facts are compelling. Austerity in Europe has deepened the Continents economic malaise, affording unfavorable comparisons to the Great Depression. Just in time for the sequester, the American economy is repeating its own pattern of springtime stumbling. The risks of expansionary monetary policy seem misplaced. Inflationary pressures are ebbing on both sides of the Atlantic. At the Bank of Japan, all vestiges of reserve in monetary policy have been cast aside. From his bully pulpit at the Gray Lady, Professor Paul Krugman this weekend declared victory over the Austerians and a puritan worldview of economic inequality. It seems that proponents of restraint during downturns are not only misguided in their thinking. At least a few of them fit conveniently into the larger narrative of class conflict. Sam How consistent that Chandan we cannot disagree without our respective motives being questioned. There is a difference between fiscal expansion and structurally unsustainable deficits, but such nuance is tedious. So is the idea that we can have different solutions for different circumstances. Instead, some advocates of fiscal expansion are revealing themselves as ideologues to rival fiscal conservatives. Maybe that brings things into balance.
From one vantage point, the case against borrowing has collapsed like a house of cards
On the political right, there seems no willingness to trade long-term structural solutions for short-term policies that will help lift employment. In other parts of the world, positions are not always as intractable as they are in the United States. In the countries where austerity has been pursued with the greatest zeal by external agents and where it may be proving most self-defeating, that flexibility is fortuitous. This could prove another decisive week in Europes coquetry with fiscal discipline. At long last and after rejecting severe budget cuts, Italy will have a prime minister less inclined to see unemployment rise unchecked. Germanys finance minister will visit with his counterpart in Spain, where the official unemployment rate has surpassed 27 percent, to discuss an investment program that may signal a softening stance in Berlin. There are holdouts who remain skeptical about the consequences of deficits, even if they are only incurred in the toughest of times. In Canada, the Tory government is poised to balance the federal budget in 2015. To get there, spending growth has been limited to 1 percent. Canadian conservatives, who are not conservative by American standards, see it as targeted investment. Their even more liberal counterparts, mindful of inflation, point to a drop in real spending and rather severe cuts to direct expenditures. If there is a country that can afford stimulus, it is Canada. The economy is slowing and household debt levels are elevated. There is a good argument that stimulus will lift the economy while delaying the return to surpluses only temporarily. Of course, there is an election scheduled for 2015. And for all their liberalism, the Canadians are far more budget-conscious than their southerly cousins. dsc@chandan.com Sam Chandan, Ph.D., is president and chief economist of Chandan Economics and an adjunct professor at the Wharton School.
POSTINGS
Power 100 Heat Map F

rom a Taconic Investment Partners project in Hunts Point to the World Trade Center site in Lower Manhattan, power in New York real estate circles has increasingly expanded from the comfortable confines of Midtown Manhattan to the fringes of all five boroughs. While large developments such as Relateds Hudson Yards often dominate the conversation, Brooklyn, Queens and even the Bronx continue to grow in stature. Long Island City is fast becoming a focal point for the real estate industry as Rockrose and other residential developers tap into the growing Queens neighborhood. In the Bronx, Taconic Investment Partners, formerly the owners of 111 Eighth Avenue, is in the process of a significant capital improvement plan at the BankNote Building on Lafayette Avenue in Hunts Point. Below, a sampling of where power thrives in New York City in 2013.
A. Designed by Pritzker Prize-winning architect Chistian de Portzamparc, One57 is Gary Barnett and Extell Developments flagship residential and hotel tower and, once completed, will be the tallest residential building in Manhattan. B. In partnership with the elusive Joseph Chetrit of the Chetrit Group, David Bistricer acquired the Sony Building at 550 Madison Avenue late last year for $1.1 billion. C. Jonathan Grays Blackstone real estate unit, the worlds largest hotel owner, acquired the Waldorf Astoria in 2007 as part of its Hilton Hotels acquisition. D. Jeff Sutton of Wharton Properties controls much of Times Squares retail space, and 1515 Broadway includes Aeropostale as a major tenant. E. Stephen Ross and Related Companies broke ground on the first building, a 47-story, 1.7-million-square-foot tower, at the Hudson Yards development on the Far West Side in December. F. Edward Minskoffs 430,000-square-foot, 13-story 51 Astor will open in May, but the developer has yet to announce a tenant. Expect the glassfaade building near Cooper Union to be a tech magnet later this year. G. Tommy Craig and the Hines team in New York broke ground on 7 Bryant Park in February after receiving all-equity financing for the project last year. H. With LinkedIn, Anthony Malkin lured a major tech tenant to the iconic Empire State, and Malkin Properties is in the process of listing the building as part of a $1 billion IPO. I. Rockrose, with its luxury real estate buildings in Battery Park City and the West Village, has been at the forefront of development in Queens, where Justin and Henry Elghanayan are building The Club, one of the most sought-after buildings in Long Island City. J. Mayor Michael Bloomberg is getting set to leave office, but his influence on the real estate industry, and the city of New York, will be lasting. K. Near completion, the Durst Organizations One World Trade Center will welcome publishing giant Conde Nast as a major tenant on floors 42, 43 and 44. L. What once was the World Financial Center is being repositioned by Brookfield Office Properties Ric Clark and Mitch Rudin as a retail and dining destination dubbed Brookfield Place, aimed at attracting sophisticated residents of Battery Park City and Tribeca. M. Not typically known for its investment in residential properties, TIAACREF, led by real estate head Philip McAndrews, acquired a stake in 8 Spruce Street last year, valuing the property more than any other residential building in the country. N. David and Jed Walentas made their name in Dumbo more than a decade ago, but these days their company, Two Trees Management, is becoming increasingly synonymous with the Domino Sugar Factory in Williamsburg. O. Forest City Ratners management team of MaryAnne Gilmartin and Bruce Ratner have been receiving rave reviews for the Barclays Center, the Brooklyn arena that is home to the NBAs Brooklyn Nets and will welcome the NHLs New York Islanders in two years.
evan soares
26|APRIL 30, 2013|THE COMMERCIAL OBSERVER
BY JOTHAM SEDERSTROM
n 1881, the same year Billy the Kid died in a blaze of glory outside Fort Sumner following a national manhunt after he escaped from jail, Philip Hubert, the French architect, was finalizing what would become one of his lasting accomplishments.
Just blocks south of Central Park, a grassy oasis then only 23 years old, Mr. Hubert and his partner Jared Flagg, a renowned painter, minister and real estate
developer, were topping off New York Citys first co-op building, a six-story property with one elevator and eight duplex units, according to published reports from the time. The impetus for the idea was simple. Prior to the Civil War, many middle-class families shared space or took in boarders, while those of wealthier means in New York continued to live in row houses, alone. By the wars end, however, a leisure class had emerged, with some New York residents dividing their time between the city and Europe and choosing luxury hotels over single-family homes. Messrs. Hubert and Flagg sought to change that by building chic multifamily dwellings that at the time commanded $16,250or about $2.5 million in todays dollarsfrom railroad executives, well-known authors and, occasionally, the daughters of upper-class men. As an investment, it was a risky proposition, but as architecture, the Rembrandt,
with its terra cotta trim and Gothic design, was a beacon of civility in a year that saw not only Billy the Kids demise but also the Gunfight at the O.K. Corral, Sitting Bulls surrender and the assassination of President James Garfield. It was around this time that you saw kind of a flurry, over the next five years, of co-op construction in New York, said Matthew Lasner, a professor of urban affairs and planning at Hunter College and the author of High Life: Condo Living in the Suburban Century. In ways never seen before, people were living close together. Until it was razed in 1963, the Rembrandt stood at 152 West 57th Street, just across from the site of One57, the 1,004-foot ode to opulence now being developed by Gary Barnett, president of the Extell Development Company and perhaps this centurys leading purveyor of over-the-top luxury in New York, if not the world. It sort of brings the history of multifamily home ownership full circle, because
the very first owner-occupied apartment house in the United States was on that block, said Mr. Lasner. Its what set off the frenzy for condo construction at luxury rates. At least since the Romans built the vaunted Baths of Caracalla, a market for luxury living has persisted. Never before, however, has the price of entry seemed so steep. The records began being shattered in 2011, when a then-unknown Russian fertilizer magnate purchased a glitzy penthouse at 15 Central Park West for his college-age daughter for a stately $88 million, the highest price ever paid in New York City history. Not to be outdone, an unidentified buyeralso of foreign originpaid a whopping $95 million just four months later for the 89th and 90th floors at One57. Meanwhile, Steve Wynn, the casino tycoon, laid down $70 million for a duplex above the Ritz-Carlton.
MARIO ZUCCA
Today the concentration of wealth continues to tighten. Since marketing started at Mr. Barnetts palace in the sky, more than half of the buildings 92 condos have sold, for a total in excess of $1 billion. The most affordable of the remaining apartments clocks in at approximately $50 million, yet theres very little doubt that theyll all sell. Elsewhere in Manhattan, prices continue to soar. Last year, average sales for all sizes of co-ops and condos hovered around $1.45 million, just slightly below what upper-crust buyers were paying immediately before the economy collapsed in 2008, according to data aggregated by the real estate appraisal firm Miller Samuel Inc. And on a smaller scale, those outsize sales figures are spilling into Brooklyn and Queens, where a mini development boom is being orchestrated by Rockrose Development and TF Cornerstonetwo halves of the once-unified Elghanayan family that are both staking claims to almost-trendy Long Island City and its valuable virgin waterfront. Theres clearly a major shift in the mix toward the upper end of the market, said Jonathan Miller, president of Miller Samuel, who pointed to 56 Leonard Street, the affectionately named Jenga Building now in development, as yet another trophy residential asset on its way to the market. And its much more globally oriented, because were seeing such an influx of foreign demand for these types of projects. Mr. Barnett, he didnt have to mention, played a significant hand in raising the bar. John Kenneth Galbraith, the Keynesian economist, defined power as the possibility of imposing ones will upon the behavior of other persons. From Stephen Ross and The Related Companies successful development of a new neighborhood along the Far West Side to Jeff Sutton of Wharton Properties setting records for retail in Times Square, power is an ingredient served boldly in real estate circles. Since 2008, when The New York Observer launched its annual Power 100 rankings, influence has shifted from Mr. Ross, who
earned the coveted top position that year, to Douglas and Jody Durst, who earned the title in 2011, as much for their roles in shaping sustainable building practices as for wresting control of 1 World Trade and later luring Cond Nast to the building, which helped lend a fashionable sheen to lower Manhattan. It has included the aforementioned Russian fertilizer magnate, Dmitry Rybolovlev, as well as politicians no less influential than President Barack Obama
New Yorks coveted Ingenious Deal of the Year award last month, were firing on all cylinders, inking deals for powerhouse clients in an otherwise frenetic 2012. For Mr. Barnett, who was born Gershon Swiatycki in an Orthodox Jewish enclave on the Lower East Side far removed from the luster and glitz of One57, power has taken many forms, not least of all his success in creating a new plateau for luxury. Since transitioning into real estate from
Of the 167 names on this years listdown just a single individual from last years rankings squarely 40 percent come from the ownership and development sectors, an indication not only that real estate titans are on a buying spree, but that the value of land is bouncing back into vogue, as some, like Edward Minskoff, noted early on in the economic cycle.
and Mayor Michael Bloomberg, for whom power is inarguably a way of life. Of the 167 names on this years list down just a single individual from last years rankingssquarely 40 percent come from the ownership and development sectors, an indication not only that real estate titans are on a buying spree, but that the value of land is bouncing back into vogue, as some, like Edward Minskoff, noted early on in the economic cycle. Elsewhere, brokerage firms like Avison Young and Newmark Grubb Knight Frank, which took home the Real Estate Board of a career as a diamond trader, Mr. Barnett has displayed an unwavering willingness to butt heads, going to war with Bruce Ratner twicefirst for control of the land under The New York Times s Eighth Avenue headquarters and then with a last-minute bid for the rights to the Metropolitan Transportation Authority-owned Atlantic Rail Yards in Brooklyn. Along the way, hes drawn the ire of Donald Trump and The Related Companies, not to mention countless other real estate titans who he has refused to play nicely with. Indeed, while the savagery that took
the lives of Billy the Kid and James Garfield in 1881 has long since disappeared, Mr. Barnett shows no signs of giving up his own ruthless tendencies. He has a real strong stomach, Corcoran Chief Executive Officer Pamela Liebman said of Mr. Barnett in a 2010 profile of the developer. He shows no fear. But as in any conversation about intangibles, the question always dissolves into a chicken-or-egg debate. Is it Mr. Barnett wielding the power, what with his considerable ability to shoulder out the competition and lure in foreign investors for his $95 million palaces in the sky, or is it rather the foreign buyers themselves? To wit: since March of last year, Massey Knakal Realty brokers have sealed highprofile deals with 14 buyers from China alone, including the $54 million sale of a 400,000-buildable-square-foot development site in Williamsburg to that countrys government. Meanwhile, brokers at the investment sales firm closed transactions with investors from Mexico, Japan, Germany, the United Kingdom, South Korea, Brazil, France, Taiwan, the Netherlands, India, Singapore and Venezuela, to name a few. In other words, whose will is being imposed upon whose? Were still in this global credit crunch, and according to the Federal Reserve, credit, as far as residential mortgage lending is concerned, has not materially changed since Lehman fell, said Mr. Miller. So international consumers are paying cash, and while that isnt a new concept for the high end of the market, it does give them significant buying power. Theyre dictating more favorable terms than almost everybody else. So, yeah, he continued, the foreign buyer has a lot of power in this city right now. With that in mind, take stock and enjoy this years list, a purely subjective accounting of relative power and those New York City real estate brokers, architects, developers, attorneys, politicos, landlords and financiers who wield it oh so well. jsederstrom@observer.com
michael nagle; JONATHON ZIEGLER/ PatrickMcMullan.com; Chris Goodney/ Bloomberg via Getty Images; shravan vidyarthi
The more-than-$90-million-butnot-quite-$100-million sale of the penthouse at One57 set tongues wagging all summer. Speculation continues to swirl about which billionaires and lowly multimillionaires are buying up real estate in that monument to international wealth, which is now 70 percent sold. But Mr. Barnetts past 12 months included some slightly more earthbound accomplishments. Extell finalized a deal with Nordstrom for a sevenstory, 285,000-square-foot store at 225 West 57th Streetthe future tallest building in New Yorkthat will be the retailers first New York City location. Mr. Barnett also launched The Carlton House at 680 Madison Avenue, a 68unit condo conversion whose trophy dwellingsincluding a 10,000-square-foot townhouseshould fetch $65 million. Thor Equities dropped $277 million on 35,000 square feet of Carlton House retail, among the highest prices ever paid for Madison Avenue retail space. (The figure exceeded by $85 million what Extell paid for all of 680 Madison Avenue in 2010.) Finally, Mr. Barnett got in on the buzzing Hudson Yards dance floor and announced One Hudson Yards, a 1.8-million-square-foot office tower on Eleventh Avenue between 33 rd and 34th Streets. All told, while the crane atop One57 dangled precariously after Sandy hit, Mr. Barnett touched the sky.
1.
Gary Barnett (2) President, Extell Development
2.
Stephen Ross, Jeff Blau and Bruce Beal (7) Chairman & Founder, CEO, President, Related
At a moment in city history crowded with developments poised to transform New York1 World Trade Center, Midtown East rezoning, East Side Accessno project has more revolutionary potential than Relateds 15-million-square-foot Hudson Yards. In December, Related broke ground on the first of what will be a bustling huddle of buildings in the far west 30s, until very recently a bleakly nondescript nomans land. Coach has leased 750,000 square feet in the 47-story, 1.7-millionsquare-foot South Tower. This month, LOreal and SAP inked deals for 402,000 square feet and 115,000 square feet in the building. Relateds peripheral projects would be the centerpieces of most other developers. They include Willets Point, currently in the uniform land use review procedure, which will deliver 1 million square feet of retail, 2,500 housing unitsone-third of them affordableand six acres of parkland to the historically contaminated slice of Queens bordering Citi Field. Affordable Ross, Blau housing, always a statand Beal. ed goal of Mr. Ross and his colleagues, will make up the majority of the 900 housing units at the Hunters Point development. And Gateway 2 will add 600,000 square feet of retail to Brooklyn, even if Wal-Mart doesnt, as rumored, emerge as a tenant. Still, most eyes are glued to Hudson Yards, which Mr. Ross called the most ambitious construction project in the history of New York.
In March, SL Green, the largest landlord RXR Realty, led by Mr. Rechler, has continin New York City, announced it had inked ued the torrid acquisition pace it set in 2011 35 office leases across 457,677 square feet and early 2012. In September, the company of its portfolio during the first two months completed the acquisition of 450 Lexington of 2013, far surpassing the firms totals Avenue for close to $670 million in a net-lease from the fourth quarter of last year. Across deal. That deal was closely followed by a simits Manhattan portfolio, SL Green boasts ilar transaction in January, when the firm an occupancy rate of 93.8 percent. The acquired the 99-year triple-net lease at 75 REIT ended 2012 with the signifiRockefeller Plaza, which will undergo cant acquisition of 131-137 Spring a nearly $100 million renovation. Street in Soho for $122.3 million, This year has featured more of which followed the earlier acthe same, as the firm announced quisitions of 304 Park Avenue in February it had agreed to acSouth, and 635 and 641 Avenue quire 237 Park Avenue from of the Americas. Early this year, Lehman Brothers Holdings for SL Green assembled the $925 close to $800 million. Mr. Rechler, million bridge financing for Joe who also serves as vice-chairman Holliday. Chetrit and David Bistricers acof the Port Authority, announced quisition of the Sony Building, in January that RXR Realty had the largest real estate deal in leased 2 million square feet of the United State since 2011. office space across its properties in 2012.
3.
Marc Holliday and Andrew Mathias (1) CEO, President, SL Green
5.
Scott Rechler (4) Chairman and CEO, RXR Realty
Rechler.
7.
has changed how private equity firms look at real estate, generating billions for the firm by using CMBS to buy up real estate properties all over the world. Highlights last year were numerous, but included the closing, in October, of Blackstone Real Estate Partners VII, which raised $13.3 billion for global real estate investments, thanks in large part to investments from U.S. public pension plans.
4.
Steven Roth (6) President, Chairman and CEO, Vornado Realty Trust
Douglas and Jody Durst (5) Chairman and President, The Durst Organization
Jonathan Mathias. Gray (9) Global Head of Real Estate, Blackstone Group
When Blackstones Q1 2013 results were announced April 18, the real estate results seemed to tell the continuing story of Mr. Grays success at the private equity giant. Including capital committed, but not yet invested by the end of the quarter, the firms 12-month total real estate investments were at $10.5 billion. And fund performance over the quarter had pushed income to $353 million, up from $267 million the same quarter a year previous. Heading up the firms real estate group, Mr. Gray
6.
Jody and Douglas Durst.
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The biggest lease of the past 12 months was consummated on July 18, when the General Services Administration took 270,000 square feet at The Durst Organizations 1 World Trade Center. The GSA was the towers third tenant and vaulted it past 50 percent occupancy, a happy if belated milestone. The cousins Durst did not insert themselves into that prolix transaction in the style of Senator Chuck Schumer and his Beltway opponents. Still, they continued to lord over marquee properties like the Bank of America Tower and 4 Times Square. The latter will lose Conde Nast when it moves to 1 WTC, but the 1.8-million-square-foot property will gain a 43,000-square-foot H&M, which signed a lease last fall. Famously eco-friendly, Messrs. Durst will surely have an expanded platform on which to discuss ideas like cogenerator power in the wake of Superstorm Sandy.
Despite losing his right-hand man, Mike Fascitelli, this year after Roth. a surprise announcement that the industry veteran would step down as CEO, Mr. Roth remains one of the more intriguing figures on the New York City real estate scene. Mr. Roth steps back into the CEO position, a title he previously held for 20 years, without a flinch. Though criticized in the past for investments seen as too diverse, and dips in net income last year, Vornado remains one of the largest real estate businesses in Gray. the nation, with over $17 billion of equity and $30 billion in assets.
Anthony Malkin (12) President, Malkin Holdings

Though Mr. Malkin is facing a web of investors and lawsuits opMalkin. posed to the controversial REIT that would include the Empire State Building, his determination is solidifying his reputation as an industry heavy hitter, as he and father Peter inch tantalizingly close to winning the bid to launch the IPO. Malkin Properties portfolio includes 11 million square feet of trophy office property in the greater New York City area, including W&H Properties, a portfolio of nine pre-war trophy buildings in midtown Manhattan, as well as 1.9 million square feet of retail space, 1.4 million square feet of warehouse/distribution space and 2,700 multi-family units.
8.
Trump.
Jerry and Rob Speyer (18) Co-CEO-Chairman and Co-CEO-President, Tishman Speyer
Rob Speyer, 43, president and co-CEO of Tishman Speyer, succeeded Mary Ann Tighe to become the Real Estate Board of New Yorks youngJerry est chairman ever this year. Speyer. Meanwhile, hes the third successive generation of his family to hold the posta first in the organizations 117-year history. Though media-shy, Mr. Speyers success in real estate is no secrethis company has completed $6 billion in new transactions and raised $4.5 billion of new equity since 2010. Tishman Speyer delves aggressively into foreign markets, including India, Brazil and China, where Tishman Speyer has a development pipeline of 20 million square feet. Mr. Speyer plans to bring the global perspective to REBNY as New York begins to lag behind cities across the world, he said earlier this year.
9.
As Mr. Bloomberg prepares to vacate his post as the citys chief executive, he is unlikely to remove himself completely from the public sphere. The mayor will leave behind a lasting legacy in the real estate market, namely the Midtown East rezoning plan. The effort to revitalize the Grand Central districts office space and pedestrian usage wont yield results until well after Mr. Bloomberg leaves office, but Rob it will bear his signature. Speyer. Though preservationists are not yet convincedtheyre still fighting to landmark many of the areas buildingsrezoning is sure to be more popular than the mayors failed attempt to curb New Yorkers sugar intake.
10.
Michael Bloomberg (10) Mayor, New York City
11.
Bloomberg.
shape. Plans have been announced in the last year for a new marketplace, operated by Downtown restaurateur Peter Poulakakous, as well as a fast Sternlicht. casual dining area. Tenants inBarry cluding Michael Kors, Chopt Sternlicht (15) and the much-hyped Umami Chairman and CEO, Burger are signing up to be part of the repositioned Lower Manhattan property Starwood Capital Group before it opens in 2014. Downtown isnt Andrew Cuomo (3) Apparently there are no limits to Mr. the only place where Brookfield is exertGovernor, New York Sternlichts expansion to every possiing its influence, however. The developer state ble branch of real estate. He moves from broke ground on its Manhattan West projGovernor Cuomo has accomhotels to office, from residential propect in January, which, once completed, plished the unthinkable by erties to commercial real estate will yield 5.4 million square feet of office, shepherding three conseclending. His next step is expected residential and retail space. utive state budgets to by mid-2013, when his Starwood passage by deadline. Property Trust and Starwood Donald Trump (14) And hes put New York Capital Group will finalize CEO, Trump ahead of the curve on the $1.05 billion acquisition Organization totemic progressive of LNR Property, the worlds The bulk of Mr. Trumps press last year policies like gay marlargest commercial mortgage arose from his entertainment ventures riage and gun control. special servicer. In another bold Cuomo. and outspoken political pursuits. But real But his real estate track move, the first phase of Hudson estate remains the central pursuit of the record took a major hit last Yards will rise with $475 million in Trump Organization. On that note, 40 spring when a $4 billion plan to construction financing led by Starwood Wall Street continued its dramatic construct the nations biggest Property Trust. Mr. Sternlicht is incomeback. After First Investors convention center and casino at vesting in the heated market of Management Company earthe Aqueduct racetrack in the luxury residential condos, lier this month inked a deal Queens collapsed too. Starwood Capital Group for 36,490 square feet after has just kicked off the sales at the Lower Manhattan at the still-under-constructower, the 1.3-milliontion Baccarat Hotel, where an Clark. square-foot building was apartment is currently on the 92 percent leased. Leases market for $60 million. for 600,000 square feet expired there four years ago. Ric Clark The property also secured and Mitch the K-through-8th Green Ivy Rudin (22) Schools, which signed a 25year, 80,000-square-foot lease CEO and President, Rudin. recently. Meanwhile, work proBrookfield Office ceeded on Mr. Trumps golf Properties course at Ferry Point in the Bronx, Brookfields ambitious plan to reshape and despite the discovery of methane at the World Financial Center into a rethe site, locals were optimistic that the tail and dining destination rebranded fairways would boost property values. as Brookfield Place is beginning to take
12.
Genting company, the financier, balked at costs. Now Mr. Cuomo is rumored to be eyeing the Jacob J. Javits Convention Center as the site of a combination convention center and casino. Thats an interesting development seeing as how the Aqueduct was meant to banish the reviled Javits Center from Manhattans collective memory. (It was revealed last June that a lobbying group controlled by Genting and other gambling interests gave $2 million to a committee aligned with Governor Cuomo.) In cheerier news, the governor and Mayor Bloomberg buried the hatchet between the Port Authority and the 9/11 Memorial Foundation, which they respectively oversee, clearing the way for the 9/11 Museums completion.
13.
Slaven Vlasic/Getty Images; Sylvain Gaboury/PatrickMcmullan.com; Mireya Acierto/ PatrickMcMullan.com; Mario Tama/Getty Images; ; Drew Angerer/Getty Images; CHANCE YEH/PatrickMcMullan.com; A. De VOS/PatrickMcMullan.com
14.
Movers and Machers

A look at the biggest ranking shifts over the past three years
15.
William Rudin (32) Vice Chairman and CEO, Rudin Management
16.
Richard LeFrak (20) Chairman, President and CEO, LeFrak Organization
Who & Where

Stephen Ross, Jeff Blau and Bruce Beal Jr., Related Companies
2011
2012
2013
At the helm of one of the largest privately owned real estate companies in NYC, comprising 15 million square feet of commercial and residential space, Mr. Rudin was among the headline grabbers during the citys recovery from Hurricane Sandy. He is chairman of the Association for a Better New York, which helped raise more than $5 milRudin. lion in private donations to aid victims and has advocated for sustainable rebuilding throughout the region. Mr. Rudin also serves as president of Governor Cuomos Empire State Relief Fund, which raised more than $15 million to support residential rebuilding throughout New York state following the monster storm. In addition, this year he oversaw the successful launch and sellout of 130 West 12th Street, a 43-unit, pre-war condo in the West Village as he reimagines the site of the now-vacant Saint Vincents Hospital in the West Village.
Mr. LeFrak joined the family business in the 1970s and became chairman after his father, Sam, died in 2003. Perhaps best known for the 5,000-unit LeFrak City apartment complex in Queens, the firm also owns roughly 16million square feet of commercial, residential and retail properties in the Newport community in Jersey City, N.J., with a recent push toward diversifying beyond the tri-state area with investments in Oregon, California, Washington and Florida. The company is over a century old and owns more than 400 buildings, most of which were selfdeveloped. In addition to extensive real estate holdings, the firm has actively invested in energy since the 1970s, with current interests in more than 800 on-shore oil and gas wells.
10
Jerry and Rob Speyer, Tishman Speyer
15
18
William Rudin, Rudin Management
32
26
15
Lefrak.
Tobin Cobb and Justin Kennedy, LNR Property
41
36
61
Andrew Cuomo, New York State Governor
11
patrick mcmullan; steve friedman; joe fornabaio
Mr. Farkass lengthy business affiliations can seem like a matryoshka doll. Hes chairman and CEO of Island Capital Group, the firm he founded in 2003, but also chairman and CEO of C-III Capital Partners, one of several controlled affiliates of Island Capital Group. C-III, in turn, has a 40 percent ownership of real estate investment manager Centerline Capital Farkas. Group. The range of services offered across these is equally diverse and includes special servicing, the management of $2 billion of invested capital across four debt funds, affordable and conventional multi-family lending services and loan origination. Last year in particular was big for Mr. Farkass C-III Capital Partners, which has over $180 billion in assets under management. In January 2012, the firm completed its acquisition of NAI Global, which gave it access to an additional 5,000 real estate professionals. Shortly afterward, it placed toward the top of several of the lists from the Mortgage Bankers Associations year-end survey of commercial and multi-family servicing volumes for 2012.
17.
Andrew Farkas (16) Chairman and CEO, Island Capital Group
Jeff Sutton, Wharton Properties
58
35
29
David Levinson and Robert Lapidus, L&L Holding Co. Christopher Schlank and Nicholas Bienstock, Savanna Doug Harmon and Adam Spies, Eastdil Secured
49
61
43
N/a
97
58
36
44
35
Joe Chetrit, The Chetrit Group
40
24
Tighe.
18.
Howard Lutnick and Michael Lehrman (13) Chairman and CEO of BGC Partners and Chairman and CEO of Cantor Fitzgerald; and Global Head of Real Estate, BGC Partners
Lutnick.
Leandro Justen/PatrickMcMullan.com; A. De VOS/PatrickMcMullan.com
Over the course of its lifetime, Mr. Lutnicks two firmsCantor Fitzgerald and the financial brokerage firm BGC Partners have completed numerous real estate capital markets transactions. Another Cantor Fitzgerald affiliate, Cantor Commercial Real Estate, has originated over $5 billion in commercial real estate loans since its inception in 2010. Collectively, the BGC and CCRE teams have originated and securitized over $150 billion in commercial loans across 5,000 properties and raised approximately $30 billion in equity capital over 90 transactions. As if that werent enough, in March 2013,
CCRE announced that it was expanding into the investment management business. Mr. Lehrman oversees the real estate business at BGC, which acquired the commercial real estate advisory firm Newmark Grubb Knight Frank. Additionally, in his role with Cantor Fitzgeralds commercial real estate business, CCRE, Mr. Lehrman, together with Anthony Orso, has presided over the first new CMBS platform in a decade to originate, securitize and lead manage its own dealwith an initial securitization of $635 million.
Ms. Tighe became the Real Estate Board of New Yorks first female chairman in January 2010, highlighting decades of hard work that helped shatter the industrys glass ceiling. She handed the throne to Rob Speyer, but it remains nearly impossible to have a conversation about the citys greatest commercial brokers without mentioning Ms. Tighe. She is a seven-time winner of the REBNY Deal of the Year award, along with REBNYs Louis Smadbeck Memorial Broker Recognition Award and the Schack Institute of Real Estates Urban Leadership Awardwhich she was the first woman to receive. Her representation of Cond Nast in its move to 1 World Trade Center and retailer Coach as anchor-tenant at Hudson Yards are among the pinnacle deals that solidify her position among the citys elite brokers.
19.
Mary Ann Tighe (8) Regional CEO, CBRE
Charles Garner, Shaul Kuba, Avi Shemesh and Richard Ressler (21) Principal and Founder-Principals, CIM Group
Los Angeles-based CIM Group has continued to make its mark in the New York area with deals such as its recent $78 million purchase of the retail portion at 225 Fifth Avenue, which now joins a stable of properties that includes 200 Lafayette Street, 72 Sullivan Street, 303 East 51st Street and 737 Park Avenue, all either completed or in various stages of development. Then theres 432 Park Avenuethe former Drake Hotel sitewhich is being developed by CIM Group and partner Harry Macklowe into a 1,396-foot residential tower, the citys tallest. Founded in 1994 by Messrs. Kuba, Ressler and Shemesh, CIM Group is poised to make a literal and figurative mark on New York City when the tower is completed in the next several years.
20.
22.
Christine Quinn (17) New York City Council Speaker, New York City
Gelb.
21.
Jeffrey Gural, Jimmy Kuhn and Barry Gosin (25) Chairman, President, CEO, Newmark Grubb Knight Frank
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Mr. Gosin and Mr. Kuhn doubled the size of NGKF over the past year through the acquisitions of the former Grubb & Ellis, Frederick Ross and Smith Mack, strengthening the capital markets group with an additional Gural. 60 brokers. As if to prove that quantity sometimes leads to quality, the firm this year also produced five finalists for the Real Estate Board of New York Ingenious Deal of the Year award, an industry high. Mr. Kuhn. Gosin led the team that represented Morgan Stanley in its 1.15-million-square-foot renewal and expansion at One New York Plaza. Meanwhile, Mr. Kuhn, who runs the national NGKF capital markets platform, Gosin. oversaw a majority of the Malkin Holdings portfolio, much of which is expected to be included as part of a highly anticipated real estate investment trust that includes the Empire State Building.
The Democrat and putative front-runner in the race for mayor has handled the spotlights glare in recent months. And while Mayor Bloomberg is reportedly less fond of his onetime protg than in the past, the real estate industry has showered Ms. Quinn with campaign contributionsover $1 million worth of them as of last month, a figure well above her rivals. Speaker Quinn has opposed a commercial property tax hike and supported the Willets Point and 15 Penn Plaza development projects. She also favors a 30-year Ressler. cap on real estate taxes for landlords who comply with the embattled 421a program, which ostensibly incentivizes developers to carve out 20 percent of their properties for affordable housing. But its not all smooth sailing for Speaker Quinn, who, among other critical reports, reputedly curses like a sailor. Shes tussled with Joe Chetrit over his Chelsea Hotel renovations and been targeted by her constituents in Hells Kitchen for cozying up to Hudson Yards developer Stephen Ross. Mr. Ross praised the Real Estate Board of New Yorks affordable housing plan, which, The New York Observer pointed out, bears a similarity to Speaker Quinns.
Rockpoint
23.
Keith Gelb and Tom Gilbane (28) Managing Members,
Quinn.
This has been another year of intense buying and selling for the Boston-based private equity firm, which in March had closed on a nearly $2 billion real estate fundone of the largest since the financial crisis. In Midtown, Rockpoint bought an 80 percent stake in 1440 Broadway for $280 million, and partnered with Highgate Holdings for the $275 million purchase of Manhattan at Times Square. Rockpoint and Highgate have also decided to split in three parts their ownership of the Milford Plaza Hotel. They have already sold the land for $325 million, but are expected to raise more than $650 million with the sales of the hotel and the retail portions, over three times what they paid in 2010. In another rewarding deal, Rockpoint and Stellar Management sold the Milk Studios building in the Meatpacking District for $295 million. In 2008, they bought it for $161 million.
RYAN MCCUNE/PatrickMcMullan.com;
While the media-shy Mr. Chetrit continues to hide in the shadows cast by his towering deals, his $1.1 billion purchase Mort of the Sony Building at 560 Madison Zuckerman Avenue with David Bistricer made (11) and him a standout among industry elite, outbidding Owen Thomas heavyweights like Joseph Executive Chairman and Sitt and Harry Macklowe. CEO, Boston Properties Mr. Chetrits buying spree The year so far in real eswas not slowed by a spat tate news has perhaps been with tenants at the Chelsea dominated by nearly daily Hotel, which he is renovatChetrit. announcements of succesing. Along with Mr. Bistricer, sion changes at the top of the he purchased the Bossert Hotel industrys marquee institutions. in Brooklyn Heights for $81 milBoston Properties is among the A-list lion, with plans to convert it into a firms undergoing leadership changes, boutique luxury hotel with about 300 with Mr. Thomas on April 2 replacing rooms. The city is also selling two Civic Mr. Zuckerman as chief executive. (Mr. Center buildings at 49-51 Chambers Zuckerman remains executive chairStreet and 346 Broadway to Chetrit
24.
Joe Chetrit (40) President, Chetrit Group
Group and The Peebles Corporation for nearly $250 million; and Mr. Chetritis in contract to purchase the 1.5-acre former Cabrini Medical Center site at Second Avenue and East 19th Street.
25.
man of the real estate investment trust.) Mr. Thomas joins Boston Properties from Lehman Brothers Holdings, making him something of a rarity among recent executive successors, many of whom were promoted in-house. At LBH, he presided over transactions including the $15 billion sale of Archstone Enterprise LP to Equity Residential and AvalonBay Communities. Previous to the executive transition, Boston Properties year was marred by Superstorm Sandy, which, in Mr. Zuckermans words, wiped out the Daily News 4 New York Plaza headquarters. The News continues to publish out of temporary spaces, and should return home this fall. In other dispiriting news, Microsoft signed a 230,000-squarefoot lease at SPJ Properties 11 Times Square after eyeing Mr. Zuckermans 250 West 55 th Street.
Zuckerman.
26.
Phillips (29) Principal, CEO and COO, Jamestown Properties
Christoph Kahl, Matt Bronfman and Michael
27.
Jamestown Properties was victorious in its quest to develop a nine-story office tower on top of Chelsea Market when the City Council unanimously approved the plan last year, but not without concessions. The developer had to give up its plans to build Bronfman. a hotel at the former biscuit factory and was also asked by the City Planning Commission to give over $12 million to the High Line and to add plans for affordable housing. Before construction begins, the interior of the property will undergo a renovation, making room for more retail tenants. Earlier this year, Jamestown acquired Milk Studios, strategically located across the street from Chelsea Market at 450 West 15th Street, in a $284 million deal. Silverstein.
Leonard Litwin and Gary Jacob (19) Chairman and Executive Vice President, Glenwood Management
Litwin.
Jacob.
Walentas.
steve friedman; ; getty images
At 98 years of age, Mr. Litwin is the oldest member of the Power 100 list and is best known outside of real estate circles for his massive political contributions, which totaled nearly $1 million for New York State Senate candidates in the last election cycle alone. Mr. Jacob, who oversees much of the day-to-day operations at the development company, closed the sale of a site on the West Side for $111 million to Riu Hotels and Resorts last summer. Mr. Litwin, for his part, was named as the Real Estate Board of New Yorks first-ever lifetime honorary chairman last year.
Larry Silverstein and Martin Burger (34) President and Co-CEOs, Silverstein Properties
The highlight of Mr. Suttons past year came at the tail end of 2012: on December After six decades in the develop20, Mr. Sutton, with partners Joe Sitt, ment business, Mr. Silverstein is Bobby Cayre and the Adjmi family, closed on stepping down as chief executive officer the $150 million purchase of 529 Broadway, of Silverstein Properties, and the coat the super-prime Soho intersection chief executive at the firm, Mr. of Broadway and Spring Street. Mr. Burger, will succeed him. Mr. Sutton first approached ownerSilverstein stays on as chairship in 2005, and continued to man, and his influence on voice interest in the buildings his company and the real es26,500 square feet of commertate industry at large will cial space and 44,000 square undoubtedly continue. Mr. feet of development rights. It Silverstein is perhaps best was another notch in the belt known for taking over the 99of Mr. Sutton, whose retail inSutton. year lease on the World Trade vestments have been reported to Center just weeks before the 9/11 tertotal $2 billion, and his first partnerrorist attacks and vowing to rebuild the ship with Mr. Sitt. Wharton Properties also site, patiently and meticulously leading continued to do well on its own. Shortly the efforts for its rehabilitation. He said after the Soho deal, Mr. Sutton added the last month that 4 World Trade Center, 5,159-square-foot Times Square centerscheduled to open this year, is about 50 piece 1565 Broadway to his portfolio. Just percent leased and that he is negotiating down the block at 1552 Broadway, which deals that will be sufficient to trigger fiMr. Sutton and SL Green purchased for nancing for the completion of towers 2 $136.5 million in 2011, preparations continand 3, under an agreement with thePort ued for the arrival of a 30,000-square-foot Authority of New York and New Jerseya Express store. Other apparel giants that testament to the vow he made more than made strides at Mr. Suttons properties ina decade ago. cluded Alexander McQueen, which signed at 747 Madison Avenue; American Eagle, which is headed to 100 West 125th Street,
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Jeff Sutton (31) President, Wharton Properties
Mr. Suttons 180,000-square-foot Harlem project; and Urban Outfitters, which leased 21,000 square feet at 180 Broadway.
David and Jed Walentas (47) Principals, Two Trees Management

Having made its name in Dumbo, Two Trees Management spread its influence in Brooklyn to Williamsburg, where the firms plans for the Domino Sugar Factory site were met with widespread approval. Released in March, the plans, which were designed by SHoP Architects, will triple the amount of office space in Williamsburg. The site, acquired by Two Trees for $185 million in 2012, will also increase the amount of outdoor space, including Domino Square, a high-quality piece of parkland. Two Trees influence is not confined to Brooklyn, however, and the firm capitalized on interest in Mercedes House on the Far West Side, where a block of condos was sold to Invesco for $170 million in October.
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Although Mr. Steir likes to say that Studley is quiet about its accomplishments, the firm made quite a racket in 2012. Studley shattered its record for office leasing transactions, surpassing the benchmark set in 2011 by 15 percent. All told, the tenants it represented closed on over 5 million square feet of transactions in the calendar year. Monstrous tenants Steir. currently on the hunt for space augur another rewriting of the record board. Mr. Steir is guiding Time Warner as it scours the city for 3.5 million square feet of office space, the biggest office lease assignment in history. On a smaller but still significant scale, brokers from Studley represented Spotify as it leased 63,285 feet at 620 Sixth Avenue. Mr. Steir brought Tiffany to an additional 58,000 square feet at 200 Fifth Avenue. And assignments with hefty tenants like Jones Day and Wylie Publishing should culminate in major deals in the near future.
Mitch Steir and Michael Colacino (31) Chairman-CEO and President, Studley
Jeffrey Feil and Jay Anderson (32) CEO and Executive Vice President, Feil Organization
After managing to convince Omnicom subsidiary TBWA Worldwide to renew its lease at 488 Madison Avenue last year, the Feil Organization has maintained a brisk pace of leasing activity in the Midtown market. On the retail front, Feil welcomed the opening of the Tommy Bahama store, restaurant and Feil. bar at 551 Fifth Avenue and also signed up Schnippers Quality Kitchen at 570 Lexington Avenue, with the restaurant set to open later this year. Feil was also active with professional leasing, signing Schoeman, Updike & Kaufman to a lease for 16,000 square feet at 551 Fifth Avenue and closing an expansion and renewal for Fabiani Cohen & Hall at 570 Lexington.
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Mr. Schwartz, an expert in acquisition and repositioning, is the master behind the profitable transformations of the buildings in which Angelo After The Carlyle Group raised a Gordon invests. In a partmassive $2.35 billion real estate nership with Extell, the fundits sixthlast year, all private equity group Schwartz. eyes turned to the private eqis converting the uity firms $671 million IPO, Helmsley Carlton House, which priced at $22 per share, at 680 Madison Avenue, into below bankers initial range. a condo building. The joint venNearly a year later, Carlyle ture bought the property for Stuckey. shares are trading above $31, $150 million and has already an increase of over 40 percent. sold the retail part for $280 milThe second-largest U.S. private lion. In partnership with Alchemy equity firm by assets behind Properties, Angelo Gordon is dethe Blackstone Group reportveloping the condo 35 XV at 35 ed a 1 percent gain for its real West 15 Street, a glassy tower estate funds at the end of 2012. sitting atop Xavier High School. In March, Carlyles real estate With Metropolitan Realty Schoenfeld. unit elected to list its holding Associates, the firm bought the at 650 Madison Avenue for $1.3 former Stella Doro cookie factory billion, according to published in the Bronx to build a shopping reports, a building it had accenter. Angelo Gordon is raising quired in a partnership for two new investment funds for $695 million in 2008. $2.5 billion and is actively marketing condo apartments for approximately $1.2 billion.
Chung.
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Robert Stuckey, Mark Schoenfeld, Andrew Chung (24) Managing Directors, The Carlyle Group
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Adam Schwartz (37) Head of Real Estate, Angelo Gordon
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Doug Harmon and Adam Spies (44) Senior Managing Directors, Eastdil Secured (44)
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In 2012, Eastdil Secured was involved in some of the years largest investment sales Spies. deals. For starters, in January Douglas 2012, Mr. Harmon represented the Shorenstein sellers of Columbus Square, a group of and Mark high-rise apartment buildings on the Upper West Side. They sold for $630 Portner (38) million to a joint venture of UDR and Directors, Shorenstein MetLife. Most notably in 2013, Messrs. Company Harmon and Spies sold the Sony Building Shorensteins portfoat 550 Madison Avenue in Midtown lio covers 11 markets in bought by Joe Chetrits Chetrit Group for and between every cora whopping $1.1 billion. Delving further ner of the country. But back yields even more impressive deals, the San Francisco-based many of which have left an indelible mark behemoth has made the bigon New Yorks buildings and the make-
up of their occupants. The pairs sales, after all, include The Starrett-Lehigh Building, Googles headquarters at 111 Eighth Avenue, and 620 Avenue of the Americasthe retail mecca that T.J. Maxx and Bed Bath & Beyond call home and where Spotify decamped from the aforementioned 111 Eighth Avenue.
Shorenstein.
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Stanley gest waves in the City by the Bay. Last year, Twitter reloand Haim cated to 215,000 square feet Chera (41) at 1355 Market Street in MidHaim. Principals, Crown Market, a down-at-heel part of Acquisition town. Yammer, a social networking Moving from its roots in Brooklyn resite, followed with a 79,000-square-foot tail, the Chera family has left its marks on lease in the Market Square building, some of Manhattans most famous shoppaying $48 per square foot, or 60 perping streets. In the last year alone, in a joint cent more than Twitters $30 a foot. venture with Oxford Properties, Crown More recently, Shorensteins rebranding Acquisition has closed deals to purchase a of Market Squareit also includes 875 49.9 percentage stake in the Olympic Tower, Stevenson Streetis bringing 131,000 at 641 Fifth Avenue, along with the Cartier square feet of retail space, including mansion and the Versace building. The a grocery store and restaurants, Cheras were previously involved in the reto a neighborhood whose map positioning of the retail portion of 666 Fifth Shorenstein helped redraw. Avenue, which Vornado bought for $707 Elsewhere, Shorenstein million. Most recently, Crown Acquisition completed the purchase has turned its attention from Fifth Avenue of a 461,046-square-foot to Soho. It purchased 120 Prince Street building on the Boston in the same partnership with Centurion waterfront with fiRealty and Imperium Capital, which was nancing from the $1.23 behind the acquisition of the nearby Apple billion Shorenstein Realty Store at 103 Prince Street. Investors Ten, LP.
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THE FUTURE 100

etermining the 100 most powerful, influential and successful real estate professionals in a given year inevitably leads to some close calls and painful omissions. Here are five hopefuls for next years ranking.
Robert Duncan and Larry Heard Chairman and President/ CEO, Transwestern
Mr. Feldman will remain involved in that 186,940-square-foot condo-hotels development. That sale spurred two lawsuits pertaining to commissions. Less acrimoniously, Mr. Feldman entered talks with Collegiate Church to form a joint venture that would demolish buildings the church owns in NoMad and develop a 350,000-square-foot mixed-use tower.
Ben Bernstein and Ben Stokes Co-Founders and Principals, Red Sky Capital
Messrs. Bernstein and Stokes graduated from Cornell, where they were squash teammates, in 2006, and wasted little time in building a Kings County portfolio at Red Sky that includes 170 apartments and over 100,000 square feet of retail. Last year, Red Sky bought Triangle Sports, a 97-year-old Park Slope standby just steps from the newly installed Barclays Center, for $4.1 million, or $900 a footan exceptional figure for a vacant retail property in the borough. In another white-hot Brooklyn neighborhood, Red Sky dropped $66 million to acquire the Bedford Portfolio, a 55,000-square-foot retail cluster across from an imminent Whole Foods on Williamsburgs main drag that, according to persistent rumors, could house a future J. Crew store in the heart of the neighborhood. Brooklyn, it turns out, is their oyster, and its ready to shuck. After just a little over two years in the city, the Texas-based commercial real estate firm this month was hired by the Metropolitan Transportation Authority to manage a 2-million-square-foot portfolio. The major league assignment with one of the New York-iest of tenants capped a whirlwind month in which Transwestern also earned its first local leasing assignment (at Brause Realtys 254 West 31st Street) and represented Mandell School in its 10,000-squarefoot lease at 154 Christopher Street in the Village. Other developments last year included the hiring of erstwhile Durst Organization leasing executive John Grotto and the opening of a Greenwich, Connecticut, office.
Paul Amrich Vice Chairman, CBRE

As new media and tech start-ups continue to make Midtown South and Lower Manhattan home, increasingly they call on Mr. Amrich to navigate choppy waters. In August, he and his CBRE colleagues represented building owner TIAA-CREF when Salesforce.com inked a 10-year, 74,349-square-foot lease at 685 Third Avenue. He also had a hand in technology firm Epiq Systems 100,000-squarefoot lease at that 650,000-square-foot building, which as of late December was said to be nearing completion. Last summer, the fashion tenant Collection 18 took 32,000 square feet at 1370 Broadway, another of Mr. Amrichs assignments. More recently, the broker worked with ownership to bring the digital advertising provider Videology Inc. to 16,600 square feet at 1500 Broadway in the heart of Times Square.
Brian Waterman Vice Chairman, NGKF

The NGKF lifer represented 229 West 43rd Street (formerly The New York Times Building) in a lease with 10Gen that brought the tech firm to 29,400 square feet in the property. The 747,845-square-foot Times Square tower continues to seek an anchor tenant, and has stoked interest among fashion companies and Al Jazeera, which recently passed on a lease. Mr. Waterman, whom REBNY crowned Young Real Estate Man of the Year in 2001, for the second time won the boards Henry Hart Rice Award for most ingenious deal of 2012, sharing it with colleagues Barry Gosin and Romel Canete for signing Morgan Stanley to 1.15 million square feet at One New York Plaza.
Ziel Feldman Founder and Managing Principal, HFZ Capital Group

HFZ, with partner BSG Real Estate, closed on a $150 million purchase of The Chatsworth just before the New Year. The Beaux Arts Upper West Side rental building had not been on the market for 70 years. The firm sold the site of 20 West 40th Street for $83 million, although
illustrations by derrick dent
Steve Spinola (49) President, Real Estate Board of New York
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The Real Estate Boards longest-servAt the beginning of 2013, in anticipaing president, Mr. Spinola has continued tion of growth for Stonehenge Partners, his vocal opposition to landmark presco-founders and former managing ervation in many Manhattan partners Mr. Yardeni and Mr. neighborhoods, particularly Seiden were named co-chairsurrounding the Midtown East men of the company, while Mr. rezoning area. Mr. Spinola, Yardeni earned a chief execuwho has also been outspotive officer title. Among the ken on real estate tax issues, 23-year-old companys most has objected to the number notable recent moves, last year of buildings being considStonehenge teamed up with SL ered for landmark status in Seiden. Green Realty to buy eight reMidtown East, labeling many tail and multi-family Upper East copies of other landmarked Side properties for $416 million. Still buildings in the city. Mr. Spinola shopping for properties on the Upper is working with the New Yorks mayorEast Side, Stonehenge partnered with al candidates to gauge their stance on Invesco Real Estate and a Canadian inkey issues including taxes, job creation stitutional investor to buy a and affordable housing. The president 13-story rental building will be working alongside the trade asat 103 East 86th Street sociations youngest-ever late last year. chairman, Rob Speyer, 43, who was announced as Mary Ann Tighes replacement in July of last Yardeni. year.
Ofer Yardeni and Joel Seiden (59) Co-Chairman-CEO and Co-Chairman, Stonehenge Partners
Shanahan and Stacom.
Spinola.
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Darcy Stacom and Bill Shanahan (45) Vice Chairmen, CBRE

Ms. Stacom and Mr. Shanahan were at the top of the investment brokerage industry during the height of the market, when they brokered some of the largest deals in New Yorkand United Stateshistory, including the $5.4 billion sale of Stuyvesant Town-Peter Cooper Village to Tishman Speyer and BlackRock Realty. With the market approaching the heady days of the last decade, Ms. Stacom and Mr. Shanahan are back in action, marketing such properties as 425 Lexington Avenue and 499 Park Avenue for Hines alongside rivals Eastdil Secured, a firm which marketed four of last years 10 largest real estate investment deals, trumping CBREs one.
Constantine Dakolias, Anthony Tufariello and Chris Linkas (67) Managing Directors, Fortress Investment Group
In January, a partnership including Fortress acquired the remaining 50.1 percent share of the St. Johns Terminal Building in Soho from Eugene Grant for $250 million, alongside Atlas Capital Group and Westbrook Partners. The partnership had initially acquired a 49.9 percent stake in the property at 550 Washington Street for $207 million in 2006. The partnership plans to spend up to $100 million upgrading the property, including installLinkas.
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ing new elevators, windows, roofing and HVAC systems. The real estate team has rallied together and maintained a solid presence in the market, despite upheaval at Fortress, where Daniel Mudd, the funds former chief executive officer, resigned in 2012 in the wake of SEC allegations surrounding his time at lender Fannie Mae.
Edward Minskoff (23) President, Edward J. Minskoff Equities

Mr. Minskoff has developed close to 37 million square feet of property in 10 cities around the country. More than three decades ago, he started construction on the sprawling, 7.5-million-square-foot World Financial Center without a single tenant in contract, patiently securing giants like American Express, Merrill Lynch, Oppenheimer and Dow Jones. Its no wonder he had no fear at 51 Astor Place in Midtown South, where a 13-story, 430,000-squarefoot glass building now stands fully vacant. Known for his love of art, philanthropy, squash and golf, Mr. Minskoff has no plans to slow down anytime soon. As long as it remains fun, Ill continue to do it, he said last month.
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Julie and Edward Minskoff.
Central represents a defining legacy of the agencys sway. A 1978 Supreme Court case ruled that the terminals historic desDavid Levinson ignation did not infringe on the and Robert rights of developers. As the rezoning winds its way through Lapidus (61) Lapidus and the approval process, the LPC has CEO-Chairman Levinson. determined that 32 sites may qualiand President-CIO, fy for local landmark designation, and L&L Holding Company has sent letters to eight owners of those L&L Holdings portfolio includes propsignificant properties. City Hall hopes to erties at the vanguard of Manhattans win approval for the rezoning by October, three essential submarkets. WeWork and before Mayor Bloomberg leaves office. In Cond Nast inked major deals at 222 the meantime, the LPC has also busied itself Broadway, while HarperCollins signed with a spate of smaller development matfor 180,000 square feet at 195 Broadway. ters, from a controversial proposed hotel All three transactions signaled Lower next to the East Villages Merchants House Manhattans emergence as a media and to the landmarking of the Rainbow Room. tech hub and a shift in the center of those Beyond Manhattan, the LPC won a major sectors gravity from more established victory this month when it tripled the size points north. Meanwhile, in Midtown of the Bedford-Stuyvesant historic district. South, a 58,000-square-foot Tiffany expansion at 200 Fifth Avenue gave that Seth Pinsky (30) 800,000-square-foot building 100 percent President, occupancy. The Flatiron Districts overEconomic achieving oldest child will also welcome a 7,703-square-foot Lego store early next year, Development Corporation bringing yet more foot traffic to a properAs head of the citys fiscal dety already gridlocked with Eataly grazers. velopment agency, Mr. Pinsky Messrs. Lapidus and Levinson hope to duwas charged with diversifying plicate 200 Fifth Avenues success with 114 New Yorks economy following Fifth Avenue, which they should start marthe Lehman Brothers collapse keting in the coming weeks. Up in Midtown, Pinsky. and since then has pushed to L&L selected Foster + Partners to design the create less dependency on the fi41-story 425 Park Avenue, which will be the nancial sector. In addition to the first new full-block tower on that storied EDCs role in the creation of Cornells artery in a half-century. Finally, when this Roosevelt Island tech campus, Mr. Pinsky issue went to print, the New York Yankees, has launched more than 60 programs to of which Mr. Levinson owns a share, nurture businesses in arts, bioscience, fashwere 11-6 despite a slew of injured ion, green services, manufacturing, media all-stars. and technology. He oversees $2.5 billion of capital investments in parks and public spaces. He also took a pivotal role in the citys creation of a LEED-certified development in Willets Point, Queens, Robert and the transformation occurTierney (48) ring at Hudson Yards.
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petually contentious Greenwich Village expansion plan. But even Councilwoman Margaret Chin, who brokered a compromise in which NYU shrank its goal for growth by 20 percent, admitted that no one got everything they wanted. Still, the university will be adding 1.9 million square feet to its already sizable Village footprint, despite the vociferous objections of locals including Matthew Broderick to the $6 billion plan. Faculty also blanched at the proposalmany live in the area that will be significantly, and noisily, rearrangedand last month handed Dr. Sexton an embarrassing vote of no confidence. Yet Dr. Sexton and Ms. Hurley continue to lead NYU into new communitiesand attempt to assuage local fearseven as they weather resistance in the universitys spiritual home. The school looks to add six million square feet of campus space throughout New York, including an applied-sciences institute in Downtown Brooklyns burgeoning tech hotbed.
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Peter Riguardi (58) President, Jones Lang LaSalle
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Last fall, the Landmarks Commission was thrust onto center stage by the Department of City Plannings proposal to rezone east Midtown. The area around Grand Central is at the heart of the plan, which would inject the neighborhoods aging building stock with new blood by way of, in some cases, a 60 percent rise in allowable building density. For Mr. Tierney and the LPC, Grand
Alicia Hurley (43) President and Vice President for Government Affairs and Community Engagement, NYU
School was out for the summer when New York University won the critical support of the City Council for its per-
Sexton.
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Chairman, Landmarks Preservation Commission
Tierney.
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John Sexton and
Jones Lang LaSalle employs 40,000 people in 1,000 locations across the nation and 70 countries. Peter Riguardi, the companys tri-state region president, has changed the perception of the company, traditionally viewed as a consulting firm, in New York City. By recruiting top talent like Mitch Konsker, Paul Glickman, Scott Panzer and Richard Baxter, the firm now keeps pace with the Cushman & Wakefields and CBREs of the world, as it increasingly handles big deals and top-agency assignments. Most recently, Mr. Riguardi completed the Metropolitan Transportation Authoritys 1.6-millionsquare-foot lease at 2 Broadway, Riguardi. among the largest leasing transactions in the citys history.
The Power 100, 100 Years Ago

Since 2008, the Power 100 list has been about defining who is shaping the real estate world of today. But contemporary machers would do well to revisit the triumphs and missteps of their predecessors, five of whomall Real Estate Board of New York members in 1913are listed below. Heres how we would have reported on them and ranked them, had we been publishing The Commercial Observers Power 100 issue one hundred years ago. 1. E.A. Tredwell (9) The Real Estate Board of New York appointed E.A. Tredwell to a special committee that will examine and analyze city budget estimates with the Budget Committee. The board be-
lieves that certain cumbersome real estate assessed valuations must be reduced, among them the ratification of heights-of-buildings restrictions. Mr. Tredwell, President of the Real Estate Board, said he felt pretty badly about the way members of the Committee on Safety unduly assailed him with regard to the fireproofing of factory buildings. 2. Joseph P. Day (3) Mr. Day sold at auction the Dickey Estate in the Hunts Point section of the Bronx. The auctioneer also offered a bounty of large waterfront and acreage estates in the Westhampton, Easthampton and Good Ground enclaves of Suffolk County, Long Island. The Westhampton property includes 166 acres. At another auction, Mr. Day established a new record at a government sale, a $3,822,000 auction for the village of Fairview in Camden, New Jersey. The United States Shipping Board created the village during the war to provide roofs and shelter for overtaxed shipyard workers. Mr. Day also broached a curious question by asking whether secrecy in realty prices was disadvantageous to fixing accurate valuations. Mr. Day posited that greater publicity was warranted.
3. Francis E. Ward (14) Mr. Ward, President of the Brokers, presided over a meeting which pledged reform in condemnation matters. Noted men including Mr. Ward and fellow members in society (Henry Morgenthau, Gustav H. Schwab, Goodhue Livingston, Ralph Pulitzer) formed a permanent organization that pledged to preserve the citys existing park spaces and enlarge the park system. Of utmost importance to the organization is the determination of which restaurants to do away with in Central Park and other green spaces, thus permitting desirable buildings for rest rooms and shelters for mothers with children in their care. 4. Albert B. Ashforth (5) Albert B. Ashforth represented Phoebe S. Sinclair in her sale of 14 and 16 East Thirty-Third Street. A 10,000-squarefoot mercantile building is due to rise on the site,
which is a short promenade to the thriving Garment District, where two-thirds of the nations feminine apparel is manufactured. Mr. Ashforth also sold his three-floor, twenty-seven-room residence at the cooperative apartment house 666 Park Avenue to Virginia Vanderbilt for $195,000. Mrs. Vanderbilts husbands apartment is across the street, at 651 Park Avenue. Mr. Vanderbilt is now in Europe. 5. Irving Ruland (1) Irving Ruland & Co. is assembling a site on a lower west side plot in the name of Katherine J. Brower. The group has bought three Lilliputian structures at 215-219 West Seventeenth Street and a row of eight houses on White Place. Mr. Ruland was recently fined $25 for violation of tenement laws. Mrs. Irving Ruland will appear in a gavotte at Une Heure de Danse, an entertainment benefit for factory girls arranged by Mrs. Pearce Bailey. The Misses Leonie Alexandra and Flournoy Hopkins, and other women in society, will be in attendance.
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Harry Macklowe (50) Founder and Chairman, Macklowe Properties
Pamela Liebman (52) CEO and President, Corcoran Group
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Lorber (51) President-CEO and Chairman, Douglas Elliman
Just over a year ago, Mr. Macklowe subMs. Liebman has said that billionaire mitted plans for what would be the citys stacking block One57 is her favorite building tallest residential tower, an 84-story, in New York. Given the $90-million1,395-foot building at 432 Park plus sale last spring of the 90-story Avenue. Since then, the papers buildings penthouse and what have devoted as much ink to it says about (the stratospherthe developers family meloic upper limits of) Manhattans drama (involving an alleged residential market, thats no vendetta against his essurprise. Still, Ms. Liebman has tranged son-in-law, Kent Swig, also struck a note of caution at 740 Park Avenue) as his amid the ongoing din of almostMacklowe. condo conversions and soaring nine-figure luxury condo deals. new properties. Mr. Macklowes Corcorans fourth-quarter report professional endeavors have caused posted just 6,514 available listings, their own share of controversy. Earlier this down 16 percent from 2011 and a seven-year month, he filed a lawsuit regarding Brown low. The median price rose to $827,000, and Harris Stevens broker Carol Cohens qualiscarcity should continue to push prices up. fications for a rent-stabilized apartment at But buyers, or at least the type of buyer un737 Park Avenue, which Mr. Macklowe is able to drop $6.5 million on a One57 pad for converting to condos. That same converhis 2-year-old child, will remain frustratsion spawned another suit claiming that ed. Luckily, Corcorans recently redesigned a bed and breakfast was operating illegalwebsite is here to quell apartment hunters ly in the building. Still, good news about anxiety. The brokerage firm claims that the the splashy 432 Park Avenueits 126 units immersive site mimics the more advanced should have a total asking price nearing $3 dating portals by cutting through the brobillion, a recordoutweighed the bad, like kerbabble and guiding buyers to the best an injured construction worker. And if Mr. dining and nightlife in a given neighborMacklowe lost out (to Joe Chetrit and David hood. But with 30 percent of Bistricer) on a much-discussed billion-dolCorcorans clients being lar bid for the Sony Building, at least the foreigners, how much, if residences at 150 East 72nd Street hit the any, time theyll market with prices between $6 million be spending and $14 million. on their New York block is a Dottie Herman big quesand Howard tion.
Bendit and Pariser.
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Liebman.
Herman.
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Over the course of 2012, Ms. Herman mulled over whether to drop Prudential from the firms name, and in November, she and Mr. Lorber made it official. The pair, unable to successfully negotiate a new licensing agreement for the Prudential name, took the brand back to its 1911 roots, when Douglas Elliman was founded. The firm, which counts Robert De Niros son Raphael among its most successful brokers, made headlines when it listed the countrys most expensive apartment last year. The penthouse triplex at the CitySpire building, which has since been delisted, hit the market for a mind-blowing $100 million.
Hines has presence in more than 100 cities around the globe, investor relationships with many of the worlds largest financial institutions and offices in 18 countries and nearly 60 U.S. cities. Its portfolio of projectsthose under way, completed, acquired or managed for third parties consists of more than 1,205 properties, and the firm controls assets valued at roughly $23.8 billion. As partner of Hines Metropolitan New York area, Mr. Craig aggregated roughly 16 million square feet in development projects and transactions, making a mark on such addresses as 30 Hudson, the MoMA site at 53 West 53rd Street and the 470,000-square-foot 7 Bryant Park, where Hines celebrated a groundbreaking in April. The firm recently put 425 Lexington and 499 Park Avenue up for sale.
Tommy Craig Senior Managing Director, Hines
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Paul Pariser and Charles Bendit (54) Co-CEOs, Taconic Investment Partners
Taconic is perhaps best known for its investment in Googles 111 Eighth Avenue, a building it sold to the tech giant for a whopping $2 billion in 2011, and that capital has not gone to waste. The investment firm currently has a number of development projects in the pipeline, including a condo project at 71 Laight Street in Tribeca, where construction has recently commenced. The investment firm has also begun marketing space at 837 Washington Street, its joint venture with Thor Equities. Taconic is entertaining proposals from major tenants who would potentially take up to half the space at the office and retail building. An additional residential project in the West 50s is in the planning stages and is currently going through the rezoning process. These plans are in addition to Taconics New York investment portfolio, which includes 401 West 14th Street, where Apple is a major tenant.
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Resnick & Sons stands out as a leader in the sustainable retrofitting of buildings, and the company put their skills to work following the devastation wrought by Hurricane Sandy at 199 Water Street. The firm reopened the heavily damaged building less than six weeks after the storm filled Resnick. its basement with eight million gallons of seawater. Critical infrastructure was moved, the electrical system was replaced and the firm created a new lobby with energy-efficient LED lighting, creating a blueprint for other buildings affected by the storm. The company owns more than a dozen buildings across Midtown, Midtown South and Downtown. Among them are 110 East 59th Street, 880 Third Avenue, 485 Madison Avenue, 1755 Broadway and 315 Hudson Street.
Burton and Jonathan Resnick (55) CEO and President, Jack Resnick & Sons
Rev. Dr. James Cooper and Jason Pizer (63) Rector and President, Trinity Real Estate
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Paul Massey and Robert Knakal (60) CEO and Chairman, Massey Knakal Realty Services
Massey Knakal grew from a two-man operation founded in the mid-1980s into one of the citys largest and most visible real estate sales brokerages, outpacing its rivals in transactional volume with an approach that relies on a unique system of placing expert brokers within set geographic boundaries. Mr. Knakal, an industry mainstay, is the companys highest-producing broker, often the face of the company at events and in the media. Mr. Knakal alone recorded more than $1 billion of the firms $2.6 billion in sales last year, though he would tell you his golf game suffered because of it. Mr. Massey, meanwhile, has pushed to build the firms infrastructure and service lines, adding retail brokerage, mortgage financing and investment fund businesses, among others.
54.
With a real estate tradition stretching back to the early 1700s, Trinity Church continues to boost its reputation by reshaping the Hudson Square submarket. A vacancy rate of just 3 percent across the firms portfolio is an example of the areas increasing popularity with creative tenants. Pepsi, iN DEMAND and Adidas are just a few names which have signed leases this year at Trinity properties. The owner has also played a leading role in the Hudson Square rezoning plan, which stands to revitalize the neighborhood by increasing residential opportunities and adding amenities. Though Trinity does not have plans to act as a manager of residential units, it should have a significant role in approving the design and function of residential properties in the area.
Pizer.
Massey and Knakal.
steve friedman; sasha maslov; STAN HONDA/AFP/ Getty Images; Mireya Acierto/PatrickMcMullan.com
begin to provide financing to small investment firms buying foreclosed homes. The goal of the small financings would be to target niche U.S. housing markets. Mr. Kravit, who before joining Cerberus was a managing director at rival Apollo Real Estate Advisors, in recent years has overseen retail acquisitions and financings for both residential and commercial developments.
60.
Joe Sitt (70) Chairman and CEO, Thor Equities
Rhea.
Jeff Citrin and Craig Solomon (62) Principals, Square Mile Capital
56.
Square Mile Capitals year in 2012 was highlighted by USAA Real Estates acquisition of an interest in the business, but Messrs. Citrin and Solomon continue to oversee the day-to-day operations of the investment firm with over $2 billion deployed across 80 investments. In October, a joint venture involving Square Mile recapitalized a 31-property office portfolio in Southern California. The venture, which includes majority owner Blackstone Real Estate Partners VII, extended a $678.8 million mortgage refinancing for the 4.5-millionsquare-foot portfolio.
Since the summer of 2009, Mr. Rhea has been at the helm of the largest public housing authority in North America, which provides affordable housing for over 630,000 low- and moderate-income New Yorkers throughout the five boroughs. With such a monumental responsibility, its hardly a surprise that, in late 2012 and earlier this year, he came under pressure
One of the countrys largest private equity firms, with more than $20 billion in assets under management, Cerberus has a presence across multiInvesting across the New ple sectors and made headlines York, Boston and Washington, late last year for its decision to D.C., markets, Savanna experisell off its firearms investments, enced a marked uptick in activity in Shaun Osher a move applauded by many gun 2012. The real estate fund, over the with Schlank. control advocates for the empathy course of its lifetime, has invested that Cerberus executives showed more than $2.6 billion in more than 17 in the face of tragedy. In March, meanmillion square feet of property over its while, it was reported that the firm would
Larry Busacca/Getty Images; NICHOLAS MELE/ patrickmcmullan.com
57.
following reports that the backlog of requests for repairs among more than 2,500 residential buildings had ballooned to a whopping 420,000 tickets, nearly as many residents as NYCHA houses. Still, with 20 years of corporate experience, Mr. Rhea, previously a managing director at Barclays Center, weathered the storm, resolving to eliminate the backlog of delayed repair requests at some 334 developments, 3,597 residential buildings and 178,895 apartments across the five boroughs. No doubt hell benefit from the experiences of Mr. Harris, an executive vice president hired early last year. He was previously a senior vice president of development at AvalonBay Communities, where he oversaw the development of 5,330 apartments with a total cost of $1.89 billion.
Mr. Sitt ended 2012 on a record high note. He partnered with Jeff Sutton, Bobby Cayre Sitt. and the Adjmi family to purchase 529 Broadway, a property at the golden corner pocket of Broadway and Spring Street in Soho. The team paid $150 million for 43,888 square feet of development rights; the $3,418-per-developable-square-foot price tag set a new neighborhood benchmark. Mr. Sitt again paired up with Mr. Sutton a month later to buy out a minority stake in 560 Broadway, a six-story building whose retail tenportfolio. In May of last year, Savanna acants are Converse and Dean & Deluca. quired 576 Fifth Avenue after purchasing Newmark Grubb Knight Frank Chief the 72,000-square-foot propertys deExecutive Officer Barry Gosin was said faulted first mortgage earlier in the year. to have orchestrated that move. Another In October, the fund acquired a controlling master of the universe, Ron Burkle, also interest in 2 Rector Street after having boosted Mr. Sitts fortunes when he sold previously purchased a portion of the 430 West 14th Street to the Thor CEO for $100 million, reportedly bypassing propertys first mortgage in 2007 Peter Duncan of George Comfort and providing a mezzanine loan & Sons, who was in the final in 2010. Savanna closed out the stages of negotiations. year by acquiring two adjacent office buildings in Chelsea at 245 and 249 West 17th Street Tobin for $75.8 million.
John Rhea and Frederick Harris (56) Chairman and Executive Vice President, NYCHA
58.
Christopher Schlank and Nicholas Bienstock (97) Managing Partners and Founders, Savanna
Ron Kravit (57) Senior Managing Director and Head of Real Estate, Cerberus Capital Management
59.
Cobb.
Cobb and Justin Kennedy (36) Co-CEOs, LNR Property
61.
Special servicer LNR works through commercial loans threatened with default, standing as the largest manager of troubled U.S. commercial real estate loans. Mr. Cobb and Mr. Kennedy assumed their roles as co-chief executive officers in October 2010, both hailing from Deutsche Bank, where they were managing directors. The firms Commercial Property Group has developed, repositioned, managed or owned in excess of 40 million square feet of commercial real estate and more than 50,000 acres of commercial land across the United States. Vornado Realty Trust recently sold the 26.2 percent stake it purchased for $1.053 billion in 2010.
Park, a 16-unit building whose early listings asked for between $14.8 million and $42 million. That buildings new residents will be awarded keys to Gramercy Park, a near-mythical Manhattan real estate perk. With Russian, Chinese and South American buyers flooding the trophy apartment market, the Zeckendorfs should not require divine intervention to find deep-pocketed buyers for their two newest properties.
Broadway as its high-profile luxury condominium project at 150 Charles Street is selling out briskly, with 91 units in contract since sales started in February. Projects at 220 East 42nd Street (the former New York Daily News building) and Ten Hanover Square are among the firms previous undertakings.
Paramount Group made a bit of history last fall when it started marketing a block of floors totaling 130,000 square feet at 60 Wall Street, a 50-story office tower it owns that technically had never before been Amid a flurry of sales and on the market. Adding to its Hauspurg. big league properties brought allure was the fact that many to market by the real estate insurrounding buildings had over vestment firm founded by the years undergone condo this husband-and-wife duo, conversions. Other signifiMr. Hauspurg worked dicant developments included rectly on two standouts. He Chadbourne & Parkes relocaspearheaded a team markettion of its headquarters from ing The Chatsworth on behalf of 30 Rock to more than 200,000 the seller. That 200,000-squaresquare feet at Paramounts 1301 Paris. foot rental property at 344 West Avenue of the Americas. Also 72nd Street had not hit the sale block at that property, law firm Wilson in 70 years and, just before the New Year, Sonsini Goodrich & Rosati renewed a sold to HFZ Capital Group for $150 mil40,000-square-foot lease. Finally, the lion. Mr. Hauspurg and his colleagues also financial firm Centerview Partners exrepresented the sellers of 311-319 West 43rd panded at Paramounts 31 West 52nd Street. Atlas Capital in January snagged Street in a lease with rents pegged at $95 that Hells Kitchen property and its (fully a square foot, a figure seldom met in the occupied) 171,465 square feet of office past year. space for $62.4 million. Ms. Paris was as aggressive with new hires as she was with deal-making: George F. Moss and Nicole Rabinowitsch were just two standout arrivals. Eastern Consolidated also launched a retail sales team and grew its Not-for-Profit Advisory and Transaction Group during the firms whirlwind year of activity.
63.
Peter Hauspurg and Daun Paris (74) Chairman-CEO and President, Eastern Consolidated
65.
Albert Behler (68) President and CEO, Paramount Group
William and Arthur Zeckendorf.
64.
Steven Witkoff CEO, The Witkoff Group
The brothers Zeckendorf made big celestial news in February when they paid $600 per square foot for air rights they purchased from Christ Church. The $40
Witkoff.
JIMI CELESTE/ patrickmcmullan.com; David Beyda Studio
62.
Arthur and William Lie Zeckendorf (83) Principals, Terra Holdings
million deal clears the way for additional floors at the 51-story, 30-unit apartment building the Zeckendorfs are bringing to 60 th Street near Park Avenue. (Broker Robert Shapiro has called it a Viagra building: tall and slender, with great views.) The tower is expected to fetch rents of $8,000 per square foot, or nearly $50 million for a 6,000-square-foot pad. Last fall, the developers hosted the official coming out party for 18 Gramercy
Real estate attorney-turnedreal-estate developer Steven Witkoff of The Witkoff Group has been turning around underutilized properties and repositioning them for decades. The firm is building a 340,000-square-foot, 36-story, multiuse complex at 701 Seventh Avenue in Times Square after paying $430 million for the property. The developer is also converting the International Toy Building at 1107

In 2012 of the top New York City residential sales, representing the seller, or the buyer, or both, and also by co-broking with our industry colleagues,
is successful at all levels of the marketplace and also dominates the high-end
4 of the top 5
of all Co-ops
8 of the top 10
of all Condos
We sold
16 of the top 25
of all Townhouses
In the market over $10 million
of all Co-ops
In the market over $20 million

of all Condos
of all Townhouses
On average each Brown Harris Stevens agent had annual sales of
12,178,083
Hall F. Willkie, President
445 Park Avenue, New York, NY 10022 212-906-9200 www.BrownHarrisStevens.com
Greg Kraut and Arthur Mirante (92) Principal and Tristate President, Avison Young
First, in July, the Canadian real estate services firm Avison Young leased its first Manhattan headquarters: 15,000 square feet constituting the entire second floor of 623 Fifth Avenue. Then came the hiring spree. In short order, Avison Young poached Michael Leff (from Newmark), Adam Rappaport (from Cushman & Wakefield), John Ryan III (from Jones Lang LaSalle) and Walter Blyzniuk and Anthony LoPresti (both from CBRE). The firms first Manhattan leasing assignment followed in December, when it was tapped to market the 690,000-squarefoot Paramount Building in Times Square. Given the new kid on the blocks banner year, Mr. Mirantes explanation for the twoand-a-half-year headquarters lease seems like an understatement. Were growing so fast, he said, we didnt want to commit to anything for more than three years.
67.
Peter Duncan President and CEO, George Comfort & Sons

In August, George Comfort & Sons was rumored to be in negotiations to buy 75 Rockefeller Plaza, a property that eventually went to RXR Realty in a 99-year triple-net lease deal. Later in the month, the investment firm took its Worldwide Plaza property to market, three years after acquiring it for around $600 million. After offers came in around $1.5 billion short of initial expectations, George Comfort & Sons announced plans to recapitalize the property, which was being marketed by Easdil Secured. In short, its been a busy year for the familyowned firm.
69.
68.
Diane Ramirez (77) President, Halstead Properties

Halstead had its best year ever in 2012, with sales eclipsing by 20 percent the previous record, set in 2011. (Halstead, which is privately owned, did not disclose numbers.) That spike was driven in part by the brokerages continued rapid-fire expansion throughout the five boroughs and metropolitan area. In the past two months alone, Halstead opened offices in Park Slope and Washington Heights, a neighborhood on few top-tier residential firms radars. All told, Halstead under Ms. Ramirez has
70.
Robert Alexander and Stephen Siegel (69) Principals and Tristate President, CBRE
Del Nunzio.
66.
Hall Willkie. Willkie and Paula Del Nunzio (79) President and Senior Vice President, Brown Harris Stevens
In a year when the trophy apartment market sizzled, Brown Harris Stevens was on fire. The firms internal numbers show that BHS sold over a third of all coops and condos priced above $10 million and well over half of those properties
priced above $20 million. Ms. Del Nunzio logged six transactions that topped $20 million, including the $42 million sale in June of the Stanford White mansion at 973 Fifth Avenue, the years biggest townhouse deal. In all, BHS claimed four of the years top five and eight of its top 10 residential deals, including jaw-droppers at 15 Central Park West and 998 Fifth Avenue. Mr. Willkie voiced confidence in the residential markets resiliency after Hurricane Sandy, a prophecy that so far seems on point.
Some time ago, The New York Times noted that, in real estate circles, there had never been a phenomenon quite like Bob Alexander. Years later, the statement still rings true. As chairmen of CBREs New York tristate region and global brokerage, respectively, Mr. Alexander and Mr. Siegel have had a hand in the firms highestprofile New York City deals for as long as anyone can remember. In recent months, those big deals have continued to pile up, with Mr. Siegel recently leading the team that inked LOral USAs 402,000-squarefoot lease at the South Tower of Hudson Yards, a process that he said took nearly two-and-a-half years. Mr. Alexander, meanwhile, helped arranged more than 50 million square feet of real estate leases and sales transactions for a long list of financial firms including Lehman Brothers, Deutsche Bank AG, JP Morgan Chase, Fleet Bank, KPMG and Bank of America.
Kraut.
katie khouri
Mr. Cohen was dealt a big personal blow in January when his father, Sherman Cohen, died at 91. Yet Cohen Brothers Realty, the development, management and design firm that Sherman founded with his brothers, continued to bolster his considerable legacy. Last November, Nest Fragrances and Verigold Jewelry inked deals for a total 27,000 square feet at 3 East 54th Street. The Cohen family put Third Avenue on the retail and commercial map. And last fall Mr. Cohen tapped the Cushman & Wakefield team that in 2010 plugged major holes at 805 Third Avenue to do the same at 622 Third Avenue as a gaggle of leases neared expiration. In a more recent triumph, Mr. Cohen, who produces indie films in his spare time, correctly predicted five of the six major Oscar winners in an interview with The Commercial Observer. In other words, if his day job doesnt pan out, theres always Hollywood.
72.
icant influence on residential development Downtown, especially in Battery Park City, where the developers Liberty Green and Liberty Luxe propertieswhere rents range from $3,995 for a studio apartment to $12,000 for a two-bedroomsit west of the West Side Highway on North End Avenue.
POWER 100
Index
10 random points of interest Number of public housing units under the control of NYCHA Chairman John Rhea:
The
Charles Cohen CEO, Cohen Brothers Realty
178,000
Most Likely to Hoist a World Series Trophy:
David Levinson Charles Cohen
Most Likely to Win an Oscar in 2014:
Amount real estate industry has given to Christine Quinns mayoral campaign:
$1.3 million
Richard Baxter, Yoron Cohen, Scott Latham and Jonathan Caplan Vice Chairmen, Jones Lang LaSalle
This lineup of Jones Lang LaSalle brokers are among the commercial real estate industrys most accomplished capital markets and investment sales practitioners. The firm consistently ranks among the top investment sales firms in New York City in terms of dollar volume, with more than $2 billion in sales across approximately 24 deals in 2012, according to data compiled by The Real Deal. Among the most notable deals so far this year was the sale of the 24-story, 394,000-squarefoot Class A building at 350 Madison Avenue, sold by a team led by Mr. Baxter on behalf of Kensico Properties to RFR Holdings for $261.5 million.
Edward and Howard Milstein.
73.
Only Jay-Z song recognized by Mary Ann Tighe at the Barclays Center opening:
That New York song
Net worth of Michael Bloomberg, the wealthiest person on the list:
$27 billion
Douglas and Jody Durst

Number of Power 100 listers in the house for the Barclays Center opening night:
Most Eco-Friendly:
Cohen.
doubled in size over the past five years, with new offices also springing up in Cobble Hill and Southampton over the past 12 months for a total of 27 outposts. Expansion being a key goal of Ms. Ramirezs presidency, the brokerage continues to attract top-tier talent, like the team of Michael Hennessy, Chris Halliburton and Brandon Himmel. And growth has not been confined to brick-and-mortar outposts: the Leading Real Estate Companies of the World named Halsteads website the best among 600 contenders.
Number of confirmed billionaire buyers at Gary Barnetts One57:
The Milstein real estate dynasty has, over the course of four generations, developed and acquired over 50,000 apartments, 20 million square feet of office space and 8,000 hotel rooms. While activity has slowed in recent years, the Milsteins have had signif-
Number of confirmed buyers at One57 in total:
50
STEFANIE KEENAN/PatrickMcMullan.com;
71.
Howard and Edward Milstein (78) Principals, Milstein Properties
Number of husband and wife duos on the Power 100:
Power 100 Demographics

Few Minorities, Women in Power
Even during the worst of times, real estate is a big business. Money is rapidly changing hands for the owners, developers, brokers, private equity giants and others who make up The Commercial Observer s 2013 Power 100 list. But as in years past, precious few on the list can be categorized as minorities. On the heels of an election cycle that underscored the countrys shifting demographics, and in a city that boasts diversity of all sorts as a major selling point, New Yorks commercial real estate world has remained intractable on this front. A few facts gleaned from a quick perusal of the 2013 Power 100 list are worth mentioning. The top 10 slots on the list are all male, all white. The first woman CBREs Mary Ann Tigheappears in at No. 19. In all, out of some 167 people on the list, two are African-American men and a handful are Latino. There were no African-American or Asian women. As for white women, there are 13 on this years list, three more than in last years rankings. According to The Commercial Observer s own assessment, at the highest levels in New York City, no Asian or African-American women are directly influencing power in real estate. Don Peebles, the African-American developer and entrepreneur who made a splash in the New York market with The Peebles Corporations agreement to purchase 346 Broadway, said several factors are to blame for the citys real estate industry not being reflective of its diversity. There are a lot of entrepreneurs and real estate businesspeople who have been in the business for a very long time and so have a head start and an advantage, said Mr. Peebles, who himself has an impressive track record in cities like Miami and Washington, D.C. And real estate is a capital-intensive business. The Peebles Corporations $160 million acquisition of 346 Broadwaywhich is expected to be redeveloped into residential, hotel, retail and public spacewas made possible following a competitive RFP process. Such public-private partnerships, Mr. Peebles said, are a potential way for minorities and womenat least well-funded and well-proven onesto gain a foothold in New Yorks commercial real estate market.
74.
Aaron Jungreis President, Rosewood Realty Group
Rosewood Realty Group ranked among the citys premier investment sales firms last yearand Mr. Jungreis is a big Jungreis. reason why. A breakthrough 2012 brought $1.4 billion in sales, a 164 percent leap from the previous year, which put Rosewood next in line to investment sales powerhouse Massey Knakal. The firm completed 124 deals last year, and this year, Mr. Jungreis has said, he is on track to personally hit 130 toward a 170 goal for the firm. The firms deals, many off market, are split roughly 30-30-30 percent between Manhattan, Brooklyn and the Bronx, with the remainder in Queens. Expect another big year for Mr. Jungreis and his brokers at Rosewood Realty Group.
75.
Rufrano.
Glenn Rufrano (73) and Bruce Mosler (81) CEO-President and Global Chair of Brokerage, Cushman & Wakefield
White Men White Women
AfricanAmerican Men Latino Men
Latina Women Asian Men
One of the important roles that government can serve is to be transformational, Mr. Peebles said. He added that exposure to the industry was a key factor, since not all young people realize that its a viable, potentially lucrative career path.
Finally, The Commercial Observer asked Mr. Peebles to guess how many African-Americans were on the list. He guessed 10 out of the more than 100. When told that there were only two, he said, Thats unfortunate. Carl Gaines
brian letwin; ryan meehan
Mr. Moslers decision to step down as CEO of Cushman & Wakefield in 2010 and hire Mr. Rufrano as CEO is producing serious dividends. Mosler. Mr. Mosler became one of the firms top brokers anddriven by internal initiatives and a rising commercial real estate marketthe worlds largest privately held commercial real estate services firm reported the second-highest annual revenue in its 95-year history under Mr. Rufrano in 2012, at $2.05 billion. The firm continues to invest in key growth areas and seek new talent, most recently hiring 38-year-old Ronald Lo Russo as its new tristate president.
60,000-square-foot deal at 45-11 West 33rd Street in Long Island CityJesse Rubens represented the landlordand HP Girlswear/BB Actives 61,916-square-foot lease at 100 West 33rd Street. The Moinian Group tapped MHP as the leasing agent at 200 Madison Avenue, a 200,000-squarefoot property in Midtown South not yet saturated with tech tenants. But the office space specialist firm also made a significant step into retail waters by poaching Christine Emery, Yair Staav, Barrett Friedman and Mal Mitterand from The Lansco Corporation to form MHPs first retail team in four years. The group brings blockbuster tenants like Uniqlo and Hermes into the firms fold, and puts MHP in the position to make major moves in Soho and the Financial District that will complement its institutional portfolios.
80.
MaryAnne Gilmartin and Bruce Ratner (72) CEO and Chairman, Forest City Ratner Companies
Stribling.
Arnold, Kenneth, Steven and Winston Fisher (75) Principals, Fisher Brothers
Though at times press-shy, the family-owned company has a firm stable of Manhattan office towers in its portfolio and has managed to keep several blue-chip tenants in them. The firm, which started developing in the outer boroughs in 1915before eventually working its way to Midtown Manhattanis holding steady after consolidating some of its trophy properties in 2010. Its 5.5-millionsquare-foot portfolio of Midtown office properties includes 299 Park Avenue, Park Avenue Plaza, 1345 Avenue of the Americas and 605 Third Avenue, which it owns and manages.Late last year, the firm announced that Marc Packman, formerly of Trinity Real Estate, would take over as its director of leasing. Mr. Packman began in January.
76.
77.
Elizabeth Stribling and Kirk Henckels (80) President and Director, Stribling & Associates
79.
Norman Sturner and David Greene (86) President-CEO and President of Brokerage, Murray Hill Properties
Ratner.
Henckels.
During one week in January, brokers from Murray Hill Properties closed two major leases: Gander & Whites
Jemal Countess/Getty Images; RYAN MCCUNE/ PatrickMcMullan.com;
Cut from the cloth of the Upper East Side, Ms. Stribling shocked the real estate world in 2009 when she moved to, of all places, Brooklyn. The move was indicaFisher. tive of a larger change happening at her over 30-year-old residential brokerage. After a bold move to update branding and the firms website, Stribling & Associates was nominated for a Webby Award for best real estate website in 2012. While Ms. Stribling may have opted for Brooklyn, business is still dominated by the Upper East Side, where 950 Fifth Avenue is currently the firms most expensive listing: $26 million for 4 bedrooms and 5.5 bathrooms.
Mr. Glucks Stellar Management closed 2012 by selling the Milk Studios building at 250 West 15th Street to Jamestown Properties for more than $284 million. Stellar, which acquired the building in 2008 for $161 million, provided a $150 million loan to Jamestown for the purchase. Earlier in 2012, Stellar purchased an apartment building at 26 Vandam Street for $6.1 million in a move to add 15,625 feet of air rights to its One SoHo Square development. One SoHo Square, which was acquired by Stellar for $200 million last year, will combine 161 Sixth Avenue and 233 Spring Street.
78.
Laurence Gluck Principal, Stellar Management
It had been rumored for months, but just two weeks ago it was finally confirmed: Ms. Gilmartin, the heir apparent, would take over as chief executive officer of Forest City Ratner Companies. At the forefront of FCRCs activity at Atlantic Yards, Barclays Center, MetroTech and The New York Times building, Ms. Gilmartin will now take control of the developers day-to-day operations. Mr. Ratner, for his part, will stay involved in the business, which was a condition of taking the reins, according to Ms. Gilmartin. We finish each others sentences; we have spirited debates, Ms. Gilmartin told The Commercial Observer of her relationship with Mr. Ratner earlier this month. We often have better results because of the way we can argue back and forth, and I expect all of that will continue.
THE BROKERAGES
Broker representation, by firm COMMERCIAL: CBRE Newmark Grubb Knight Jones Lang LaSalle Cushman & Wakefield Studley Eastdil Secured Massey Knakal
Rosen. Fuchs.
2012
2013
Eastern Consolidated Murray Hill Properties Avison Young Rosewood Realty Winick Realty Group NA NA NA
81.
Holdings
Aby Rosen and Michael Fuchs (71) Co-CEOs, RFR
In the waning days of 2012, RFR Holdings closed on its $190 million purchase from Y&R of 285 Madison Avenue, a troubled property and site of a horrific elevator accident in 2011. Mr. Rosen said the property would benefit from RFRs long history of retrofitting office properties, and embarked on a $50 million capital improvement campaign aimed at luring institutional tenants. There have been some whispers of a hotel conversion. And last month, the company closed on 350 Madison Avenue for $261.5million. It shed properties at 90 Fifth Avenue and 608 Fifth Avenue. Meanwhile, dependably combustible tempers at the Gramercy Park Hotel seemed to have momentarily cooled. (Hotelier Ian Schrager sued his partners, Messrs. Rosen and Fuchs, in early 2012 over a $1.15 million loan that he claimed they did not repay.) In more tabloid-worthy personal news, Mr. Rosen sold his townhouse (and noted pleasure palace) at 22 East 71 st Street for $47 million to the prime minister of Qatar, whom multiple co-op boards rejected on account of his two wives, 15 children and wellarmed security detail.
Jonathan Mechanic and Steven Lefkowitz (84) Chairman of Real Estate Department and Partner, Fried Frank
Mr. Mechanic and Mr. Lefkowitz, partners in Fried Franks real estate practice, have doubled down on a long list of the citys most high-profile commercial real estate deals and an even greater list of real estates elite as clients. The duo negotiated deals on behalf of some of New Yorks biggest names, including Cond Nasts 1 World Trade Center lease, SL Greens $416 million joint venture with Jeff Sutton to acquire eight East Side properties, and Forest City Ratner in its Atlantic Yards project. CBREs Mary Ann Tighe, Silverstein Properties Larry Silverstein and Tishman Speyers Rob Speyer were among attendees at the firms 2012 holiday party.
82.
Douglas Elliman Stribling & Associates Brown Harris Stevens Corcoran Group Sothebys International NA NA
Businessperson designed by Alfonso Melolonta Urbn from The Noun Project
RESIDENTIAL:
2012
2013
Lefkowitz and Mechanic.
Town Residential
Andrew H. Walker/Getty Images; patrick mcmullan; CHANCE YEH/ PatrickMcMullan.com
Stephen Meringoff and Leslie Wohlman Himmel (89) Principals, Himmel + Meringoff Properties
In early March, Mr. Meringoff and Ms. Wohlman held a reception at 401 Park Avenue South to showcase the 252,000-square-foot propertys refurbished charms. Later that month, software solutions provider Vitech Corporation renewed its 42,200-square-foot lease at the Midtown South building. It was a boon for Himmel + Meringoff Properties, which is marketing five full 21,000-square-foot floorsfour of them contiguousat 401 Park Avenue South with asking rent in the high $50-per-square-foot range. Mr. Meringoff told The Commercial Observer that in addition to the usual tech suspects, blue-chip tenants including Time Warner have shown interest in the property. But the most interesting prospective tenant was one whose name he couldnt reveal: a very large ad agency looking to relocate from north of Grand Central Terminal to thriving, relatively funky Midtown South. Elsewhere in the district, Mr. Meringoff and Ms. Wohlman unloaded 158 West 27th Street for $57.5 million, more than doubling their money on a 2010 purchase.
84.
Falk.
86.
David Falk President of Brokerage, Newmark Grubb Knight Frank
Henry and Justin Elghanayan (95) Principals, Rockrose Development
85.
87.
Ralph Herzka (87) Chairman and CEO, Meridian Capital Group

From humble beginnings in Brooklyn over 20 years ago, Mr. Herzka has lifted Meridian Capital to a position as one of the largest commercial mortgage brokers in the region. Meridian closed close to 3,300 deals with a total volume of $20 billion in 2012,
83.
up from $17.3 billion across 2,800 deals in 2011. Last year, Meridian closed a $50 million permanent financing for Harrison Station, a luxury multi-family building in Harrison, N.J. In addition to his work at Meridian, Mr. Herzka co-founded mortgage banking firm Beech Street Capital and serves on the board of directors at Ladder Capital.
Mireya Acierto/PatrickMcMullan.com; ; RYAN MCCUNE/PatrickMcMullan.com; patrick mcmullan; RYAN MCCUNE/PatrickMcMullan.com
Rockrose purchased a 40acre site along the waterfront in Long Island City in 2003, setting off a massive wave of Kathryn the soaring glass and concrete Korte towers that are now synonymous President with the neighborhoods waterfront. When Henry Elghanayan and CEO, Sothebys split up the familys real esInternational Realty tate business from brothers Sothebys was one of sevTom and Fred (who started TF eral residential brokerages Cornerstone), he handed his to have its best year in 2012, siblings some of Rockroses besta sign of the markets post-reknown assets, such as Carnegie cession resiliency and especially, Hall Tower. Mr. Elghanayan and his Henry and in Manhattan, of the ultra-luxuson Justin instead took many of the Justin ry tier. Ms. Korte, who began her development sites in the firms portfolio and have steadily moved to Elghanayan. career at Sothebys in 1984 as an administrative assistant, has been build on them. The duo is spearheadcritical in growing the luxury-minding development in Court Square, with ed international firm. In the past two more than 2,500 residential units planned years, Sothebys has expanded by 500 over the next several years. Linc LIC will agents. Last year those agents closed boast panoramic Manhattan views and a over $1 billion in sales. long list of upscale amenities.
Mr. Falk found himself at the intersection of two of the years biggest real estate storiesthe tech boom and the changing Chelsea Marketwhen tech titan Google last month expanded its lease at the Meatpacking District property by 90,000 square feet. Mr. Falk represented building owner Jamestown Properties as it saw Google grow to occupy a hefty 250,000 square feet. Farther downtown, Mr. Falk worked with Pace University to continue something of a Financial District leasing spree: in the past 18 months, the erstwhile commuter school has gobbled up nearly 400,000 square feet of Lower Manhattan real estate as it drawsand sleepsan increasingly national and global student body. Last spring, he represented 200 Lafayette Street in a 200,000-squarefoot deal with the troubled J.C. Penney, which might be forced to sell some real estate holdings. But Mr. Falks biggest lease came on behalf of client Havas Worldwide Health, which in July leased 170,000 square feet at 200 Madison Avenue.
Best known for suburban residential developments, Toll Brothers has been ramping up activity in New York City. A Gramercy condo at 160 22nd Street recently hit the market with prices ranging from $800,000 to more than $5 million. Nearby, 400 Park Avenue South will open in fall 2013, and across the East River, the Pier House at Brooklyn Bridge Park will open in spring 2014. Earlier this year, the builder acquired another potential development site in the city at 953, 957, 959 and 961 First Avenue in Midtown East. Toll Brothers purchased the property from Alexico Group for $64 million.
88.
Douglas Yearley CEO, Toll Brothers
and Downtown. Headquartered at 200 Park Avenue South, ABS is the owner of 915 Broadway, home to General Assembly & Union Square Ventures. The firms creative arm, TechStarter, aims to help start-ups better understand the real estate industry and their real estate footprint. The firmmerged with PBS Real Estatethis month following the announcement that Laura Pomerantz, founding partner of PBS Real Estate, would launch her own eponymous firm.
In only a few short years, SHoP Architects has become the architect of record for developers looking for flourishes and willing to take risks. Best known as the designer of Brooklyns Barclays Center arena, SHoP Architects will expand its presence across the East River as designer of Two Trees Domino Sugar Factory development in Williamsburg. New plans call for tripling
the amount of office space in the sparse commercial district and increasing the amount of outdoor space. Moving north to Queens, SHoP has partnered with Related Companies at the Hunters Point South development in Long Island City. The partnership, which also includes Philips Houses and Monadnock Construction, is building the first two towers of a seven-tower residential complex.
26
Key: the top 5 professions by year 2013 2012 2011

Profession Landlords Developers Brokerage 2011 23 14 21 13 6 6 2 2 2012 24 15 20 15 3 3 3 2 2013 26 14 25 17 3 3 0 2
The Power 100, by profession

Profession Lenders Entrepreneurs Unions Lobbyists Real Estate Investment Trusts Publishers Academics Journalists 2011 1 1 1 1 2 1 1 1 1 1 2012 5 0 1 1 2 0 2 0 0 0 2013 0 0 2 0 0 0 2 0 0 0 Profession Aprraisers Nonprofit Fertilizer Magnate Construction Venture Capitalist REBNY Archetecture Management REIT 2011 1 0 0 0 0 1 0 0 0 2012 0 1 1 1 1 1 0 0 0 2013 0 0 0 0 0 1 1 1 3
The Industry
24
14
17
Investors Public Servants Elected Officials Financial Services
15
15 25
Attorneys
23 14
8 13 7
Restaurateurs Public Relations
Landlords
Developers
Brokerage
Real Estate Services, Residential
Investors
DAVID X PRUTTING/PatrickMcMullan.com; JONATHON ZIEGLER/PatrickMcMullan.com
Christopher Sharples, Coren Sharples, William Sharples, Kimberly Holden, Gregg Pasquarelli Co-Founders, SHoP Architects
89.
Christopher Sharples, Coren Sharples, William Sharples, Kimberly Holden, Gregg Pasquarelli.
Mr. Bistricer came onto the real estate scene many years ago with a number of Brooklyn residential conversion projects, but it was his $1.1 billion purchase of the Sony Building at 560 Madison Avenue with Joe Chetrit that put him in the Earle limelight. The deal pitted Mr. Bistricer and Mr. Chetrit against Altman industry heavyweights like (99) Altman. Joseph Sitt and Harry Macklowe, Chairman and Founder, winning a competitive bid by slapABS Partners ping down a jaw-dropping $600 million As an alumnus of Helmsley-Spear, where letter of credit with plans to turn the tower he worked for 40 years, Mr. Altman has into residential condominiums and a hotel. amassed a leasing and management firm Among other deals, the duo also purchased with 11 million square feet under its control the Bossert Hotel in Brooklyn Heights for since he founded it in 2000, with dozens of $81 million, with plans to convert it into a properties scattered throughout Midtown boutique luxury hotel.
91.
David Bistricer Principal, Clipper Equities
90.
Andrew Heiberger (96) Founder-CEO, Town Residential

Just this month, Town Residential renewed its 17,000-square-foot office lease at 100 Fifth Avenue and opened its eighth New York City location at 530 LaGuardia Place in the Village. The newest office will bulk up Towns downtown presence, which also emanates from a Thompson Street location featuring an international water bar. In other words, 2013 so far has been good to the fast-ascending Town, which toasted its second anniversary at a swanky party at the Dream Downtown last December. Joe Sitt, whose Thor Equities helped Town get off the ground financially, shared in the revelry emceed by Mr. Heiberger. Having established an Upper East Side office just last year, Town is prepared to tap into the rich vein of sky-high residential transactions in Manhattans primo neighborhoods.
92.
Mitchell Hochberg & David Lichtenstein President and Chairman-CEO, The Lightstone Group
In 1986, David Lichtenstein made his first investmentan $89,000 down payment from his savings and his credit cards on a two-family house. Two years later he would launch The Lightstone Group, having accumulated three apartment buildings. And two decades later, his firm debuted its nontraded Lightstone Value Plus REIT for $300 million, which invests in a mix of office, retail and other commercial properties. The firm was among those to go above and beyond in the aftermath of Hurricane Sandy, offering free office space to displaced tenants. The firm continues to invest and develop heavily throughout the boroughs, most recently winning approval from the city to build a 700-unit rental development on the banks of Brooklyns Gowanus Canal.
93.
Thomas and Frederick Elghanayan.
another $2 billion in recapitalizations, as well as an additional $1.5 billion in debt deals. The brokerage business continues to grow, with a number of deals currently in the pipeline. Some of Mr. Verrones past deals have included 14 Wall Street, 666 Fifth Avenue and 3 Columbus Circle.
96.
Thomas and Frederick Elghanayan Chairman and President, TF Cornerstone

When the Elghanayan brothers split Rockrose into two separate companies in 2009, TF Cornerstone retained most of the waterfront properties they had erected in Long Island City. TF Cornerstone owns five residential buildings along Center Boulevardincluding one condo building, The View. Sales at The View have topped $1,000 per square foot, and rental rates at TF Cornerstones other buildings have averaged around $50 per square foot, which are well above the neighborhood average but still well below their
After leaving Wachovia in 2008, Mr. Verrone, known in some circles as Large Loan for his lending during the bubble years, founded Iron Hound. Since its founding, the firm, with offices in New York and Short Hills, N.J., has closed $9 billion in deals between its restructuring and brokerage businesses. Iron Hound has completed
Ivanhoe.
Mireya Acierto/PatrickMcMullan.com
Robert Verrone (93) Founder, Iron Hound Management
94.
Robert Ivanhoe (98) Chairman of Global Real Estate Practice, Greenberg Traurig
By Mr. Ivanhoes own admission, business was slow during the downturn, but Greenberg Traurigs New York office has been at the forefront of the recovery of the firms real estate practice. Having worked with a number of big real estate names, including representing MetLife in the infamous sale of Peter Cooper Village and Stuyvesant Town to Tishman Speyer and BlackRock Realty for $5.4 billion, Mr. Ivanhoe is among the first names on the call list for complex real estate transactions.
95.
Asset management firm TIAA-CREF has developed a sophisticated real estate platform in recent years and activity in the New York market has been heating up. The firm, commonly known as a teachers pension fund, turned heads in December last year when it acquired a 49 percent stake in New York by Gehry at 8 Spruce Street for a reported $250 million. That deal valued the property at $1.05 billion, the largest-ever valuation for a residential property in the United States. At the same time, the asset manager was striking a deal for a 70 percent stake in MiMA, a mixed-use building, for close to $550 million. While residential investment has not been a traditional focus, it is one that continues to intrigue TIAA-CREF. Weve had an interest in the apartment sector, but the opportunity is infrequent, Mr. McAndrews told The Commercial Observer earlier this year.
97.
Manhattan counterparts. When two other buildings in the pipeline hit the market, it will bring the number of units the firm owns along its East Coast waterfront community to approximately 3,500.
Philip McAndrews Head of Real Estate Transactions, TIAA-CREF
Figueroa.
Mr. Figueroa oversees the largest Mr. Winick built Winick Realty Group into union of property service workers in the a recognized forerunner in the citys retail U.S., with over 120,000 members. The real estate market, with clients that include union has been an active participant Duane Reade, AT&T and Starbucks. The firm in discussions on a number of imporworks with standout real estate companies tant real estate issues, not the least including The Moinian Group, of which have been Midtown East Tishman Speyer, Chetrit rezoning and the renewal of Group, The Kaufman Madison Square Gardens speOrganization and The cial permit. Earlier this year, Related Companies. With a coalition calling itself the aid of executive vice Midtown 21C, which includes president Lori Shabtai, 32BJ, released a study on the firm populated the structures targeted by pres350,000-square-foot ervationists for landmark Upper West Side retail status in the Midtown East development Columbus rezoning area. The conclusion Square with tenants inWinick. of the study was that building cluding Verizon Wireless, preservation could impede the reStarbucks, Sephora, Whole zoning proposal. 32BJ was also one Foods and T.J. Maxx. Late last of three major unions to voice its supyear, the firm was selected by Brookfield port for a proposed major league soccer Office Properties to exclusively market stadium in Flushing Meadows, Queens, 40,000 square feet of vacant sub-level retail which could create up to 2,300 construcspace atOne New York Plaza. tion jobs.
98.
Hector Figueroa President, 32BJ SEIU
99.
Jeff Winick CEO, Winick Realty Group
100.
Rose Companies
Jonathan Rose Jonathan
Rose.
seiu; JONATHON ZIEGLER/PatrickMcMullan.com; CHANCE YEH/PatrickMcMullan.com
Since our last Power 100 issue, Mr. Rose opened Via Verde in the Bronx and broke ground on Harlem RBI on East 104th Street. The former project, a 222-unit affordable housing complex, came out on top in New Yorks first juried sustainable housing design competition. Jonathan Rose Companies reported that all of the 151 affordable apartments had been leased by the opening, which was attended by Mayor Michael Bloomberg. Harlem RBI is a $78.5 million hybrid project combining a K-8 charter school and 89 affordable housing units in the 143,000-square-foot East Harlem Center for Living and Learning. The U.S. Department of Education and New York City School Construction Authority gave a total $32.5 million to the development. But its best-known backer may be the (currently injured) Yankees first baseman Mark Teixeira.
The Power 100

At a glance
1. Gary Barnett 2. Stephen Ross, Jeff Blau and Bruce Beal 3. Marc Holliday and Andrew Mathias 4. Douglas and Jody Durst 5. Scott Rechler 6. Jonathan Gray 7. Steven Roth 8. Anthony Malkin 9. Jerry and Rob Speyer 10. Michael Bloomberg 11. Andrew Cuomo 12. Barry Sternlicht 13. Ric Clark and Mitch Rudin 14. Donald Trump 15. William Rudin 16. Richard LeFrak 17. Andrew Farkas 18. Howard Lutnick and Michael Lehrman 19. Mary Ann Tighe 20. Charles Garner, Shaul Kuba, Avi Shemesh and Richard Ressler 21. Jeffrey Gural, Jimmy Kuhn and Barry Gosin 22. Christine Quinn 23. Keith Gelb and Tom Gilbane 24. Joe Chetrit 25. Mort Zuckerman and Owen Thomas 26. Christoph Kahl, Matt Bronfman and Michael Phillips 27. Leonard Litwin and Gary Jacob 28. Larry Silverstein and Martin Burger 29. Jeff Sutton 30. David and Jed Walentas 31. Mitch Steir and Michael Colacino 32. Robert Stuckey, Mark Schoenfeld, Andrew Chung 33. Jeffrey Feil and Jay Anderson 34. Adam Schwartz 35. Doug Harmon and Adam Spies 36. Douglas Shorenstein and Mark Portner 37. Stanley and Haim Chera 38. Steve Spinola 39. Ofer Yardeni and Joel Seiden 40. Darcy Stacom and Bill Shanahan 41. Constantine Dakolias, Anthony Tufariello and Chris Linkas 42. Edward Minskoff 43. David Levinson and Robert Lapidus 44. Robert Tierney 45. Seth Pinsky 46. John Sexton and Alicia Hurley 47. Peter Riguardi 48. Harry Macklowe 49. Dottie Herman and Howard Lorber 50. Pamela Liebman 51. Tommy Craig 52. Paul Pariser and Charles Bendit 53. Burton and Jonathan Resnick 54. Paul Massey and Robert Knakal 55. Rev. Dr. James Cooper and Jason Pizer 56. Jeff Citrin and Craig Solomon 57. John Rhea and Frederick Harris 58. Christopher Schlank and Nicholas Bienstock 59. Ron Kravit 60. Joe Sitt 61. Tobin Cobb and Justin Kennedy 62. Arthur and William Lie Zeckendorf 63. Peter Hauspurg and Daun Paris 64. Steven Witkoff 65. Albert Behler 66. Hall Willkie and Paula Del Nunzio 67. Greg Kraut and Arthur Mirante 68. Robert Alexander and Stephen Siegel 69. Peter Duncan 70. Diane Ramirez 71. Howard and Edward Milstein 72. Charles Cohen 73. Richard Baxter, Yoron Cohen, Scott Latham and Jonathan Caplan 74. Aaron Jungreis 75. Glenn Rufrano and Bruce Mosler 76. Arnold, Kenneth, Steven and Winston Fisher 77. Elizabeth Stribling and Kirk Henckels 78. Laurence Gluck 79. Norman Sturner and David Greene 80. MaryAnne Gilmartin and Bruce Ratner 81. Aby Rosen and Michael Fuchs 82. Jonathan Mechanic and Steven Lefkowitz 83. Ralph Herzka 84. Stephen Meringoff and Leslie Wohlman Himmel 85. Henry and Justin Elghanayan 86. David Falk 87. Kathryn Korte 88. Douglas Yearley 89. Christopher Sharples, Coren Sharples, William Sharples, Kimberly Holden, Gregg Pasquarelli 90. Earle Altman 91. David Bistricer 92. Andrew Heiberger 93. Mitchell Hochberg & David Lichtenstein 94. Robert Verrone 95. Robert Ivanhoe 96. Thomas and Frederick Elghanayan 97. Philip McAndrews 98. Hector Figueroa 99. Jeff Winick 100. Jonathan Rose
the party circuit
Real Estate Board of New York Luncheon

April 25, The Hilton Midtown
tephen Winter of CBRE was bestowed with the coveted Most Promising Commercial Salesperson of the Year award at the Real Estate Board of New Yorks annual members luncheon. The event was moderated by Robert Knakal of Massey Knakal Realty Services and included as panelists Christopher Schlank of Savanna, Michael Stern of JDS Development Group and Kenneth Bernstein of Acadia Realty Trust.
clockwise from top: REBNYs 2012 Most Promising Salesperson of the Year Award Winner Stephen Winter of CBRe; Panelists Christopher Schlank of SAVANNA, Michael Stern of JDS Development Group, Kenneth F. Bernstein of Acadia Realty Trust and moderator Robert A. Knakal of Massey Knakal Realty Services; Mitchell A. Korbey of Herrick Feinstein LLP and Jeffrey S. Mitzner of First American Title; Pam Liebman of The Corcoran Group, Adrian Zuckerman of Seyfarth Shaw and Miles Borden of Seyfarth Shaw; Adelaide Polsinelli and Robert Khodadadian of Eastern Consolidated, a finalist for the Most Promising Commercial Salesperson Award; Jol Moss and Deborah Demaria of Warburg Realty Partnership; Howard Gilbert of Robert K. Futterman & Associates and Mark S. Stein of Meringoff Properties.
the party circuit
Real Estate Board of New York Ingenious Deal of the Year Awards
April 23, the 101 Club
eal estates top honors were bestowed to seven leading dealmakers as The Real Estate Board of New York announced the winners of its highly coveted Most Ingenious Deal of the Year Awards. Barry Gosin, Brian Waterman and Romel Canete of Newmark Grubb Knight Frank nabbed the Henry Hart Rice award at 69th annual cocktail reception at the 101 Club for the teams Morgan Stanley lease at One New York Plaza. Brokers from Cushman & Wakefield and The Singer & Bassuk Organization took home honors as well during a night of prestige at the 101 Club.
clockwise from top: Woody Heller with 2nd Place winners: Nat Rockett and Helen Hwang; Contest Judges; Jay Anderson of The Feil Organization, Andrew Albstein, Esq. of Goldberg Weprin & Ustin, David Lebenstein of Cassidy Turley, Woody Heller, Peter Hauspurg and Steven Spinola; Nicola Heryet of Cassidy Turley and Todd Korren; Linda Barr OFlanagan of Real Estate Weekly, Steven Hornstock of ABS Partners Real Estate, LLC, Adelaide Polsinelli of Eastern Consolidated, Alan Cohen of ABS Partners and Sara Trefethen of Real Estate Weekly; Mary Ann Tighe and Jonathan Mechanic.
clockwise from top left: Peter Hauspurg and Daun Paris of Eastern Consolidated; Alexandre Vial and Eric Weinberg of Brookfield Financial and Alan Miller of Eastern Consolidated; Rick Marek of The Vortex Group, Woody Heller of Studley and Donald Zucker of The Donald Zucker Company; Adam Frazier & Daniel Birney of Boston Properties and Michael Glavan of Studley; Thomas Keating of Rudin Management Company, Bill Montana of Studley, Thomas Bow of The Durst Organization and Ira Schuman; Ross Jacobs of Cogswell, Paul Massey and Todd Korren of Massey Knakal Realty Services.
New York Building Congress Breakfast Forum

April 16, Hilton New York
ew York City Economic Development Corporation President Seth Pinsky spoke at a power-studded New York Building congress breakfast that included his thoughts on recovery in the wake of Hurricane Sandy. As head of Mayor Bloombergs Special Initiative for Rebuilding and Resiliency task force, he signaled that future commercial and residential projects would not be retreating from the waters edge. Attendees, unsurprisingly, lauded the decision
the party circuit
clockwise from top: Richard T. Anderson and students from the Urban Assembly School for Design and Construction; Lisa Linden, LAK Public Relations; seth horowitz of Mcgraw-hill, michael zetlin of zetlin & de chiara and gary mcqueen of mcgraw-hill; Seth Pinsky, New York City Economic Development Corporation; Dean Angelakos of Par sons, Seth Pinsky, Denise Richardson of The General Contractors Association of New York and Milo Riverso, STV Group; Judy Cooper of Parsons Brinckerhoff with Richard Ravitch, Former Lieutenant Governor of New York; Manfred Ohrenstein of Ohrenstein & Brown LLP, Robert Stromsted of Parsons Brinckerhoff and Elliott G. Sander of HAKS.
lobby
Eastern Consolidated has hired Nicole Rabinowitsch as associate director, it was announced last week. Ms. Rabinowitsch will specialize in the sale and acquisition of commercial properties in Brooklyn and Queens with the firms Gabriel Saffioti. Given the tremendous commercial real estate activity occurring in neighborhoods like Williamsburg and Long Island City, we are delighted to have Nicole on our team as we continue to push into these exciting emerging markets, Daun Paris, president of Eastern Consolidated, said in a prepared statement. She brings a proven business track record to Eastern with experience in sales and management, and a wide range of clients and a keen understanding of the Brooklyn market, added Ms. Paris. Ms. Rabinowitsch has experience as a real estate salesperson for Corcoran Group in Brooklyn. Her focus now will be on larger residential elevator buildings, mixed-use and development sites. Phils strong background in construction and development makes him the ideal candidate for this position and is consistent with our strategy of recruiting top talent to Madison Realty Capital, said Joshua Zegen, co-founder and managing member of MRC. His expertise will enable us to further expand the reach and enhance the capabilities of our vertically integrated platform, Mr. Zegen added. as a managing director of Town Residentials new development and marketing sales division, will begin working on several projects like the Sterling Mason at 71 Laight Street. Reid has exceptional talent and will bring a great deal to our highly successful formula pairing top agents with top developers to market and sell some of the citys most coveted properties, said Susan de Frana, president and chief executive officer of Douglas Elliman Development Marketing. We look forward to sharing his expertise, which we strongly believe will significantly enhance our team and add value for our clients. Mr. Price brings nearly two decades of experience to Douglas Elliman having marketed over two dozen properties and achieved $1.5 billion in property sales. but strategically, craft and deliver the right message to reach our goals, Steves vast experience both inside and outside the airports makes him a natural for this position, Mr. Sitt added in a prepared statement. to-day operations, recruiting and expanding service lines throughout New Jersey. Davids the perfect guy to fulfill our vision in New Jersey, said Paul Massey Jr., chief executive officer of Massey Knakal. He believes in our unique, highly disciplined model with all divisions focusing in geographic territories, added Mr. Massey. New Jersey is a $4 billion market in annualized sales with over 700 investment sales. Commercial leasing and mortgages have similar dollar velocity.
The international engineering firm Thornton Tomasetti has named Kambiz Nassiri as vice president in the New York office, it was announced. Mr. Nassiri, who previously served as vice president of Cosentini Associates, will join Thorton Tomasetti with more than 30 years of experience in mechanical engineering, project management, sustainable design and construction of multidisciplinary projects. In my role as vice president in New York, I look forward to new experiences with my peers and clients, Mr. Nassiri said in a prepared statement issued last week. Thornton Tomasetti has a very active and well-respected MEP team, and it will be great to work closely with other individuals who have a passion for this work, Mr. Nassiri added. Mr. Nassiri is also a member of the Association of Energy Engineers, ASHRAE and the US Green Building Council.
Madison Realty Capital has hired Philip Schanzer as managing director, it was announced last week. Mr. Schanzer, who previously served as vice president of construction and development at Marx Realty & Improvement Co., will now manage and execute construction and development activities for the company.
CoStar has named Adams & Co. among the top five commercial leasing companies in New York, it was announced in an Adams & Co. press release issued last week. Among the recipients of the award was Adams & Co. real estate professional David Levy, who was named one of 2012s Top Office Leasing Brokers as well. Our team is made up of knowledgeable and skilled brokers who have a true passion for the industry; this award continues to encourage our team to perform at the highest level, said Mr. Levy. The award is determined by the amount of transaction volumes in commercial property sales and leases in each respective market. Being named one of CoStars 2012 Power Brokers confirms Adams and Co.s long-standing dedication to the commercial real estate market and our clients, which allows us to excel within the industry, said James Buslik, another principal of Adams & Co.
Douglas Elliman Development Marketing has hired Reid Price as executive vice president, it was announced last week. Mr. Price, who previously served
Global Gateway Alliances, a nonprofit organization dedicated to improving New York metropolitan regional airports and related infrastructure, has named Stephen Sigmund as executive director of the group, it was announced last week. Mr. Sigmund will lead the alliances efforts to turn around the regions airports. When we formed this organization we were clear that it would first and foremost rely on advocacy to advance our goal of initiating a wholesale improvement of the New York metropolitan regions major airportsand there is no better advocate for this change than Steve, said Joe Sitt, chairman of the Global Gateway Alliance and chief executive officer of Thor Equities. From his experience and understanding of the aviation issues we face to his ability to aggressively,
Murray Hill Properties has hired Darilynne Saunders as a managing director, it was announced last week. Ms. Saunders had previously worked as a principal at Saunders R e a l t y Advisors LLC and provided consulting services to established clients in all aspects of real estate acquisition and disposition requirements.
Massey Knakal Realty Services has brought on David Simon to join the firm as executive managing director, it was announced last week. Mr. Simon, who boasts more than 25 years of real estate experience, including as chief operating officer of Colliers Houston & Co., will now be responsible for overseeing day-
calendar
TUESDAY, APRIL 30 NYUs Stern Center for Real Estate Finance Research is hosting its second annual spring symposium. The forum features panel discussions with Wall Street analysts, leading policymakers and Sterns real estate experts and will examine the critical role of real estate in our economy and financial markets. NYU Stern, Second Annual Spring Symposium, Kaufman Management Center, Room 2-60, 44 West 4th Street, 8:45am-5pm; visit www.stern.nyu. edu for more information. WEDNESDAY, MAY 1 Join Scott Alper, principal of the Witkoff Group, for a luncheon and discussion on a developers perspective on New Yorks future. Admission is $70 in advance and $80 at the door. A Developers Perspective on New Yorks Future, Cornell Club, 6 East 44th Street, Ivy Room, 12:302pm; contact Aracelis Kuilan at (212) 885-7239 for more information. CoreNet is hosting a panel on the ins and outs of benchmarking. The panel will include Pat Pryor of UBS, Gagan Singh of Goldman Sachs and CoreNet Globals Peter Holland. CoreNet Workshop: Do You Measure Up? A Panel on the Ins and Outs of Benchmarking, Steelcase, 4 Columbus Circle, 11:30am1:30pm; visit www.corenetglobal. org for more information. Join Womens eNews for its 12th Annual Gala honoring its 21 Leaders for the 21st Century, a list of individuals dedicated to improving the lives of women around the world. 12th Annual Gala benefitting Womens eNews, JW Marriot Essex House, 160 Central Park South, 6pm; call (212) 244-1720 or email 21leaders@womensenews.org for more information. THURSDAY, MAY 2 REBNY is hosting a panel on the thinking behind some of New Yorks most active real estate investors and the future of New York. Peter Kozel, chief economist of Colliers International, will moderate the panel. REBNY Crossfire Event 2013: Todays Money, Investing, in New Yorks Future, REBNY Mendik Education Center, 570 Lexington Avenue, Lower Level, 5:30-7pm; visit www. rebny.com for more information. The Metropolitan New York Chapter of the Appraisal Institute is hosting a luncheon, entitled Toll Brothers Take Manhattan... and Other Boroughs. David Von Spreckelsen, a vice president and division president of Toll Brothers, will serve as a guest speaker. Metro New York Chapter of the Appraisal Institute Luncheon: Toll Brothers Take Manhattan... and Other Boroughs, Club 101, 101 Park Avenue, 11:30 am to 2pm; For more information, call 866-966-3710. MONDAY, MAY 6 Join Related and Oxford Properties for a discussion on the recent transformation of Manhattans West Side at Hudson Yards at the Center of Architecture. Related and Oxford: Design in the New Heart of New York, New York City for Architecture, 536 LaGuardia Place, 7-9pm; contact pr@hudsonyardsnewyork.com for more information.
ChartWeek
Lease Beat reflects deals closed or announced from April 22 to April 26. Information on leases, sales and financing deals can be sent to Michael Ewing at mewing@observer.com
OFFICE
200 Fifth Avenue 280 Park Avenue 280 Park Avenue 53rd Street and Third Avenue 292 Madison
Sq. Feet
Tenant
Landlord
BROKERS
68,791 49,541 49,541 39,200
BuzzFeed Blue Mountain Capital Promontory Financial Group LLC Citi Bike
Tiffany SL Green Realty Corp and Vornado SL Green Realty Corp.
Greg Taubin of Studley represented Tiffany. AJ Camhi and Brad Siderow of RFR Realty represented the tenant. A team from CBRE represented the landlord. The lease was set for 10 years. Promontory Financial Group did not have a broker represent the firm. Mary Ann Tighe and Peter Turchin of CBRE represented the landlord. The lease was set for 10 years.
MWC Management Alec Monaghan and Bill Jordan of CBRE represented the tenant. Michael Coleman of MWC ManCorp. agement represented the landlord. 292 Madison Avenue Leasehold, LLC Joseph P. Day Realty Corp. 650 Fifth Avenue Company Savanna Durst Organization Savanna William Cohen and Ryan Kass of Newmark Grubb Knight Frank represented the landlord while David Hoffman Jr. and Bryan Boisi of Cassidy Turley represented the tenant. Jeff Cushman, Stuart Romanoff and David Berke of Cushman & Wakefield represented the tenant. In-house brokers Richard Brickell and Richard Teichman represented the landlord. The lease was set for 10 years and six months. Robert Stillman, Paul Haskin and Zachary Freeman of CBRE represented the landlord. Paul Kotcher of Brickman & Associates represented the tenant. Hal Stein, Adam Leshowitz and Todd Stracci of Newmark Grubb Knight Frank represented the landlord while David Young and Scott Sloves of CBRE represented the tenant. In-house broker Karen Kuznick represented the landlord. The lease was set for two years and the asking rent was $56 per square foot. Scott Cahaly and Mitchell Konsker of Jones Lang LaSalle represented the landlord. Alex Jinshian of Colliers International represented the tenant.
22,226
Borderfree.com
10 East 40th Street 650 Fifth Avenue 80 Broad Street 655 Third Avenue 100 Wall Street 118-35 Queens Boulevard 237 West 37th Street 80 Broad Street 463 Seventh Avenue 112 West 34th Street
15,090 11,289 7,840 7,340 4,366 4,150 3,779 3,345 2,904 1,800
Hart Howerton Metropolitan Real Estate Mobotix Corp. Marathon Ventures Risk Placement Services Inc. Central Medical Services of Westrock Creare Foundation Fighting Blindness Caruana Group Ltd. Swatch
Muss Development Nicholas Forelli of Muss Development represented the landlord. Noel Caban of Winick Realty Group represented the tenant. MTS Real Estate Owner Savanna The Arsenal Company W&H Properties Brett Maslin of Adams & Co. represented the tenant. In-house broker Chedvach Rabinovich represented the landlord. Hal Stein, Adam Leshowitz and Todd Stracci of Newmark Grubb Knight Frank represented the landlord while Ben Nottingham of Studley represented the tenant. David Levy of Adams & Co. represented both parties. Brad Mendelson and Alan Schmerzler of Cushman & Wakefield represented the tenant. Joanne Podell and Ian Larner of the same firm represented the landlord.
463 Seventh Avenue
1,799
Score Inc.
The Arsenal Company The Arsenal Company
David Levy of Adams & Co. represented both parties.
463 Seventh Avenue
1,284
Diana Imports Inc.
David Levy of Adams & Co. represented both parties.
463 Seventh Avenue 463 Seventh Avenue 463 Seventh Avenue
1,269 1,247 305
Antares Continental Corporation AISAM Inc. Larry Macari
The Arsenal Company The Arsenal Company The Arsenal Company
David Levy of Adams & Co. represented both parties. David Levy of Adams & Co. represented both parties. David Levy of Adams & Co. represented both parties.
ChartWeek
Lease Beat reflects deals closed or announced from April 22 to April 26. Information on leases, sales and financing deals can be sent to Michael Ewing at mewing@observer.com
RETAIL
3 Columbus Circle
Sq. Feet
Tenant
Landlord
BROKERS
21,159
CVS Natasha, Pierre and the Great Comet of 1812 pop opera Tossed TD Bank
SL Green Realty Corp. Romanoff Equities W&H Properties SL Green Realty Corp. ST Owner LP
Jason Pruger of Newmark Grubb Knight Frank represented the tenant. Jeff Winick of Winick Realty represented the landlord. Anita Grossberg of Douglas Ellimans Sroka Worldwide team represented the tenant in negotiations for a temporary lease for a theater space. Lee Block and Hal Shapiro of Winick Realty represented the tenant while Jared Lack of Newmark Grubb Knight Frank represented the landlord. N/a Scott Galin and Darell Handler of Handler Real Estate Organization represented the tenant while Bruce Spiegel and William Bergman of Rose Associates represented the landlord. Asking rent was $120 per square foot.
860 Washington Street 1400 Broadway 180 Broadway
6,000 4,691 2,752
334 First Avenue
1,213
Second Time Around
Sales
265-267 South 2nd Street
Buyer
Seller
Sq. Footage
amount
Brokers
Private investor
Private investor
22,800
$9,700,000
Mark Lively and Brendan Maddigan of Massey Knakal represented both parties. Jake Blatter of Rosewood Realty Group represented the seller. Ryan Perkoski of the same firm represented the buyer. Paul Massey, Bob Knakal and Ryan Horvath of Massey Knakal represented both parties. Aaron Jungreis of Rosewood Realty Group represented both parties. Hall Oster of Massey Knakal represented both parties.
14-26 Broadway Terrace 567 Seventh Avenue 126 and 139 East 53rd Street 542 Cathedral Parkway
BTH Holdings Private investor Private investor Private investor
BGB Associates LLC Private investor 126 Realty NY LLC and 139 Realty NY LLC Private investor
48,640 4,149 81,305 5,065
$9,000,000 $7,250,000 $6,650,000 $3,400,000
6914 Sixth Avenue 684-686 Willoughby Avenue 363 South 4th Street 90-07 Jamaica Avenue
Private investor Private investor Private investor Private investor
6914 Sixth Associates Private investor Private investor Private investor
12,659 12,480 N/a 2,696
$1,900,000 $1,800,000 $1,225,000 $910,000
David Scheer of Rosewood Realty Group represented the seller. Aaron Jungreis of the same firm represented the buyer. Michael Amirkhanian of Massey Knakal represented both parties. Erik Lundberg and Shaun Riney of Marcus & Millichap represented the seller and the buyer. Stephen Preuss and Brian Sarat of Massey Knakal represented both parties. David Scheer of Rosewood Realty Group represented the seller. Mike Kerwin of the same firm represented the buyer.
42 Howard Avenue
Private investor
42 Howard Owner LLC
4,032
$575,000
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THE PLAN
145 West 57th Street

04
The northern portion, which gets a great deal of light, will house the tenants legal and accounting offices as well as a conference room. The natural light is great, Mr. Labaton said. You have light on both sides on the front and back, and opening up the space to the elevator creates a lot of open area, which makes the space seem bigger. The office has no dedicated storage space, but room in some of the offices will be used for filing needs. The offices, Id say theyre generous sizes, so they plan on using some [space] there, Mr. Labaton noted. Generally speaking, theyre trying to do away with it and theyre trying to go paperless. A pocket door was created to facilitate access between the northern and southern areas. The pocket door was put close to the conference room, Mr. Labaton noted. Like a foot away.
Originally on the hunt for an office space between 2,200 and 2,500 square feet, real estate investment firm Malone looked at available space at 145 West 57th Street. Not satisfied with the original 2,271-square-foot portion of the ninth floor it was shown, Malone instead opted to take the entire 4,368-square-foot floor plate, combining two separate spaces that, once reconfigured, will include two conference rooms, two pantries and a number of perimeter offices, including an executive corner suite. Abe Labaton, managing director at Murray Hill Properties, who represented the tenant, spoke with The Commercial Observer last week about the layout and the process of combining spaces.
05
01
The wall facing the floors elevator bay was taken down to create a large reception area for the space. Theres a nice, big reception area with chairs and couches and a bunch of artwork, Mr. Labaton said. In the southern area of the space, a wall separating two offices was demolished to create a larger office for Malones chief executive officer.
03
The pantry area in the southern portion was kept intact for the executive group, while the pantry in the northern space will be used by the rest of the employees. Theyre keeping two separate pantries, Mr. Labaton noted.
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LEASE BEAT: buzzfeed | blue mountain capital | borderfree.

April 30, 2013

cover illustration by mario zucca

2|April 30, 2013|THE COMMERCIAL OBSERVER

THE COMMERCIAL OBSERVER|APRIL 30, 2013|3

Newmark Grubb Knight Frank Nabs REBNYs Most Ingenious Deal

One New York Plaza.

Stat of the Week

4|April 30, 2013|THE COMMERCIAL OBSERVER

STAN HONDA/AFP/Getty Images

THE COMMERCIAL OBSERVER|APRIL 30, 2013|5

Midtown South Rents Fall for 1st Time in 2 Years

Review for Midtown East Rezoning Begins

6|April 30, 2013|THE COMMERCIAL OBSERVER

THE COMMERCIAL OBSERVER|APRIL 30, 2013|7

Hudson Yards ground-breaking.

Judge Rules in Favor of Queens Landlord Who Used Surveillance

Silverstein Properties to Add More Housing at Hudson Yards

8|April 30, 2013|THE COMMERCIAL OBSERVER

THE COMMERCIAL OBSERVER|APRIL 30, 2013|9

Mark Messier, 1994.

Bronx to Get Worlds Largest Ice Facility

10|April 30, 2013|THE COMMERCIAL OBSERVER

THE COMMERCIAL OBSERVER|APRIL 30, 2013|11

Work with a REBNY COMMERCIAL BROKER for the advantage.

Ask your broker if they are a member of REBNY. rebny.com | 212.532.3100

STAY ON TOP OF NEW YORK

Blue Collar Mets Settle for Less Glitzy L.I.C.

12|April 30, 2013|THE COMMERCIAL OBSERVER

THE COMMERCIAL OBSERVER|APRIL 30, 2013|13

Getty Realty Corp. Directs Immediate Sale

16 GASOLINE STATIONS 26 COMMERCIAL & RETAIL PROPERTIES

Nassau Westchester Rockland/Orange County Capitol Region and more

SEALED BID DEADLINE: JULY 10

Minimum Bids Up to 50% Off the Original Asking Prices

NRC.com/1304 800.747.3342 x1304

Billionaire Donates $133 M. to Cornell-Technion

Winick to Market Two Midtown Retail Assets

GowanusPartySpotBack for One More Summer

Output Nightclubs Penthouse, Roof Deck Opens in Williamsburg

14|April 30, 2013|THE COMMERCIAL OBSERVER

THE COMMERCIAL OBSERVER|APRIL 30, 2013|15

Upper West Side Residential Towers Sell for Record $400 M.

Vornado Sells Harlem Park Site for $62 million

Eichner Buys Vornado Harlem Park Site, Eyes Residential

16|April 30, 2013|THE COMMERCIAL OBSERVER

THE COMMERCIAL OBSERVER|APRIL 30, 2013|17

The Commercial Observers Breakdown of Last Weeks 10 Biggest Deals*

57,691 Square Feet SUBLEASE

Promontory Financial Group

49,541 Square Feet EXPANSION

Mountain Citi Bike

49,541 Square Feet EXPANSION

39,200 Square Feet NEW

22,226 Square Feet EXPANSION

18|April 30, 2013|THE COMMERCIAL OBSERVER

THE COMMERCIAL OBSERVER|APRIL 30, 2013|19

The Commercial Observers Breakdown of Last Weeks 10 Biggest Deals*

21,158 Square Feet NEW

15,090 Square Feet RENEWAL

Metropolitan Real Estate

11,289 Square Feet RELOCATION

10,000 Square Feet NEW

7,840 Square Feet RELOCATION