One of the top stories of the past week is the beginning of construction of the new high rise building coming to midtown that will reshape the Manhattan skyline. With the installation of its first steel column last week, One Vanderbilt , soon to be New York City’s second-tallest skyscraper, officially began its ascent into the sky. Banker Steel Company provided the 26,000 tons of domestically milled steel for development, which included the first 20-ton column installed last week. The office building will boast column-free floors, floor-to-ceiling windows, and 360-degree views of the city and beyond, according to 6sqft.com.

Designed by Kohn Pedersen Fox (KPF), One Vanderbilt will rise to 1,401 feet and will add over 1.7 million square feet of office space to Midtown Manhattan. The skyscraper sits adjacent to Grand Central Terminal and will encompass an entire block. One Vanderbilt will include direct underground connections to the subway system, while implementing $220 million in transit and infrastructure upgrades.

Staying with high rise news, Gary Barnett’s Extell Development is finalizing a $900 million construction loan from JPMorgan Chase for Central Park Tower. The financing would allow Barnett to proceed with the ultra-luxury condominium tower at 217 West 57th Street, which is the priciest residential project in New York City history with a potential $4 billion sellout. Closing on the loan would end an 18-month search for financing for the 179-unit, 1,550-foot supertall project, which many real estate insiders believed would never get built, this according to the Real Deal.

Last month, the New York State Attorney General’s office approved the offering plan , allowing sales to launch. The project has the priciest offering plan ever accepted by the city, followed by Vornado Realty Trust’s 220 Central Park South at $3.4 billion.

In a major shift, the Corcoran Group , Douglas Elliman , Nest Seekers International and BOND New York are taking part in StreetEasy’s “Premier Broker,” a program that lets firms purchase bundles of buyer leads from the online listings platform, this according to the Real Deal . The move represents a dramatic 180 for some firms, most notably Corcoran, whose CEO, Pam Liebman , lambasted the ad program and said her firm would not reimburse agents who take part.

In a statement to TRD , Liebman explained her change of heart: “For agents interested in identifying new opportunities for developing their business, they see this as a potential tool that can expand their customer base,” she said. BOND’s Noah Freedman added that Premier Broker will “facilitate connections with buyers.” Premier Agent is a cash cow for StreetEasy’s parent company, Zillow, generating more than $600 million last year, which is over 70 percent of the firm’s total revenue.

New York City is the most expensive big city in the world when it comes renting flexible, short-term office space. The average monthly price to rent a workstation in flexible offices for one person in NYC was $1,100 a month for the 12 months ending in February, the Wall Street Journal reported. San Francisco came in a close second.

Flexible office space, which includes co-working facilities like those operated by industry giant WeWork , offer shorter terms than a conventional lease for spaces already furnished for use.

The supply of flexible office space in New York City grew by 24 percent between February 2016 and 2017, according to Instant Group. London has the largest number of flexible office locations at 1,136. Landlords, too, are starting to provide more shared office spaces in order to compete, according to the Real Deal.

Long Island City’s notorious lack of retail was one of the main points at this year’s LIC Summit, with developers and realtors saying they finally see light at the end of the tunnel, the Real Deal reports. Aaron Fishbein , who heads up retail real estate at

the Winick Realty Group , said Long Island City is currently in the first wave of retail, which consists largely of fitness, medical and education tenants. Fishbein maintained that this will be followed by a wave of restaurants, which will in turn be followed by big box retail. “Long Island City is big league. Let’s get that out of the way,” he said, adding that the neighborhood has the key ingredients in transportation, office space, schools, hotels and residential space.

In rental news, rental prices inched upwards in all three markets in May relative to the previous month, with 0.5 percent in Manhattan, 0.3 percent in Brooklyn, and 1 percent in Queens. In Queens, Long Island city was the priciest on average for studios, one- and two-bedrooms.

In high end real estate news, a property seizure is being sought at One57 on Billionaires’ Row for the second time in a month. Following a mortgage default, apartment 79, a full-floor penthouse that cost $50.9 million, is scheduled for auction on July 19, according to PropertyShark and Bloomberg. The apartment was the eighth-priciest sold in the building. The owner of apartment 79, which boasts over 6k sq ft, is an entity called One57 79 Inc., which purchased the unit in December 2014. The entity took out a $35.3 million mortgage from a Luxembourg lender in September 2015. The borrower was expected to pay the loan in full in just one year, but was unable to meet its obligation.

Staying with the struggling high end market, condominiums at Tessler Developments’ 172 Madison Avenue off 33rd street are selling at a discount amid a softening luxury apartment market. The 11 closed sales recorded on StreetEasy show a final price that’s on average 9.2 percent below the most recent asking price, the Wall Street Journal reported. https://therealdeal.com/2017/06/23/units-at-tesslers-172-madison-arent-going-for-s ticker-price/

In transportation news, t he MTA periodically releases data tracking its performance, and the most recent numbers confirm what millions of New Yorkers have suspected. This past February, it was revealed delays had increased to about 70,000 a month up from 28,000 a month in 2012. According to another report, car breakdowns have increased, while subway regularity has decreased overall. A problem at a single station has the ability to mess up service for an entire day.

The MTA has acknowledged the severity of these problems, as the agency recently released its six-point plan to tackle the issue and committed $2.1 billion from its current capital plan to repair its signals. Despite this, critis say the city will be hard pressed to solve the issue within the next few decades. According to John Raskin, the head of transit advocacy group the Riders Alliance , “the problem is not that the MTA doesn’t know how to run trains. The problem is that every governor in a generation has underinvested in public transit.” That includes Governor Andrew Cuomo, who Raskin says has “ignored deteriorating transit service” in favor of funding big-ticket projects like the first segment of the Second Avenue Subway , this according to NY.Curbed.com.

In Brooklyn news, DeKalb Market Hall at City Point in Downtown BK finally opened to the public last week. The lower-level space that was unveiled has about 40 vendors, which is 10 more than anticipated a few months ago, this according to Brownstoner.com.
Some of the vendors include Katz’s Deli, Ample Hills Creamery , Bunsmith, the Arepa Lady, Lioni Italian Heroes and Bunker. Fortina, an Italian eatery by Chopped judge Christian Petroni, will be opening soon, as will a new Trader Joe’s on the same floor. The hall is open Sunday through Wednesday from 11 a.m. to 9 p.m. and Thursday through Saturday from 11 a.m. to 10 p.m.

In development news, Park Slope’s community board approved plans to replace the neighborhood Key Food on 5th avenue and Baltic st with a mixed-use development project, according to the BKLYNER. The site is part of an Urban Renewal Plan from 1981, which is set to expire in 2022, and imposes height restrictions of 40

feet. The developer, Avery Hall Investments, wants to build based on the maximum zoning height of the overall area, which is 75 feet.
As plans stand right now, the current Key Food will be replaced by two towers connected by a plaza, which in turn will also open access to Butler Street, which is currently blocked off by a wall on the Key Food site.

In all, the development will bring 165 rentals to Park Slope, 41 of them affordable units. The retail component of the project spans 50,000 square feet, 22,000 of which will be taken up by a new supermarket. 186 new underground parking spots will also be created as part of the development. The developer now has to wait on approval from the City Planning Commission to move forward, and Avery Hall hopes to begin construction in the spring of 2018, this according to NY Curbed.

Resources:

Organifi

Wix

-

Our Proud Sponsors: 

The RATNER Team 

Spartan Renovations

Interview With Jeff Streich

Hosted By Nate Pfaff

Jeff Streich has owned Prime Renovations for 15 years and he specializes in high-end renovations across the city. His father was an engineer and they would build their own decks with no power tools. When he first got into the business, he learned the value of setting clear expectations and communicating clearly with clients about exactly what they want. Construction is a challenging and often messy job, so Jeff sees one of his most important responsibilities to be very detail oriented and make sure everything is approved by his clients.

Jeff’s favorite restaurant in the city is Babbo on Waverly Place, as well as Bond Street downtown and Landmarc in the AOL building. He found E Myth by Michael Gerber to be extremely useful in giving insight into how to not be an employee of your own company but to be the owner. It teaches you how to delegate, which is extremely important in the construction business.

[1:32-2:11] Intro: Jeff Streich is the owner of Prime Renovations. He founded the company in 2004 and it specializes in high-end renovations across the city. Prime Renovations was founded after a chance encounter between Jeff and a stranger. Jeff was working as an exterior contractor at the time and he found a phone. On returning it, the owner was a man who happened to own 200 buildings across the city. Because of Jeff’s contracting experience, the man asked him if he wanted to do some exterior work, and soon after Prime Renovations was born.

[2:11-2:32] Can you tell us a little about yourself and what you specialize in? I’ve owned Prime Renovations for about 15 years now. We specialize in high-end residential renovations. Anything from bathrooms to kitchens to doors.

[2:32-3:13] How did you get into the renovation business? A long time ago, I had a friend that worked in waterproofing. I started working with him and I happened to find someone’s cell phone who happened to be an owner of a management company. He had a good exterior guy already, so he asked if I could do interiors. We started out doing some small stuff at the Bronx and from word of mouth it just grew so much every year.

[3:13-3:41] Did you grow up around renovations and home developments? Very little. My father was an engineer and he would build his own deck in the house but he wouldn’t let us use power tools. From this, I got a little experience but other than that, I don't have a renovations background.

[3:54-4:37] What are the biggest obstacles to overcome when doing renovations in the city? They're too many but one thing that’s really different in the city is you're restricted in time. For example, most buildings will allow us to work from 9 to 4. This is a big challenge. Getting the deliveries in coordination is quite hard because you can’t do deliveries with so much moving out. So coordination, and working with the buildings.

[4:37-5:09] What’s your favorite kind of renovation to do? The thing that we do most that I like is when we do a full gut renovation. It's like starting from scratch and having a blank canvas.

[5:09-7:13] Why do contractors have a bad reputation? Some just chase the money. They ask for the deposit and when work gets hard and they run out of money, they start another job and neglect the original work. I used to work with someone whose MO was to start a job, then get into a fight with the owner. He would either leave or get fired so he won't have to finish the job.

[7:15-8:30] What are some steps a homeowner might do to ensure they have a successful renovation? It's first important to find the right contractor. The best way to find one is by getting recommendations from other clients. Secondly, be very decisive in what you're buying. If you can’t make up your mind quickly, the renovations could go on forever.

[8:30-9:18] Stay in touch with the podcast by subscribing to the mailing list. Text Brooklyn to 66866.

[9:18-10:37] Why do prices vary so much from one contractor to the next for the same work? I’ve been doing this for 15 years and even my prices change considerably. Expenses vary from contractor to contractor because of project managers, insurances, office rent etc. when businesses grow it means the experience is better as well as the job quality, and this will cost incredibly more.

Supply and demand is another factor. If a contractor is busy, he tends to bid higher on incoming projects.

[10:37-11:42] What do you tell clients on a budget how to save money? That depends on what kind of job they're doing. There’s always a way to save but a lot of it has to do with what the client is buying. Marble tiles don't cost the same as porcelain tiles.

[11:42-12:37] If you're renovating a kitchen, which items do you feel are most important to spend money on? Personally, I think the appliances, backsplash, and the countertop. I am more than satisfied with Ikea cabinets because we customize them.

[12:37-15:21] What are the biggest mistakes that you’ve made over the years that you’ve really learned from? They’ve been numerous but recently I've realized it's so important to get submittals. When a client wants to buy something it's important to make sure it's the exact thing that they want.

[15:21-15:41] What are some of the biggest ways your city has changed over the past 2 decades? I think it's a little cleaner now but there's just so much traffic.

[15:41-16:05] What’s your favorite restaurant? I have a couple. My favorite is Babbo because the food is unbelievable. I also love Bond Street Downtown and Landmark at the AOL building.

[16:05-16:42] What advice would you give to someone looking for a renovation specialist? The smartest thing would be to make sure you have a good team. Ask your friends for referrals. This is the biggest thing.

Contact Our Guest:

Give him a ring at 646-436-3942

www.primerenovationsnyc.com

Resources:

E Myth by Michael Gerber

Wix

-

Our Proud Sponsors: 

The RATNER Team 

Spartan Renovations

Kings Auto Group

One of the biggest stories of this past week was Amazon agreeing to buy Whole Foods for $13.7 billion which could have a big impact on New York’s retail real estate market.

Whole Foods has 11 prime locations in New York City, and is widely known as one of the city’s most sought-after retail tenants. The retailer has been struggling with declining sales in recent years and saw its stock price lose half its value since 2013, the Wall Street Journal reported. In January, Whole Foods reached a deal to bring its lower-priced concept store to Two Trees’ 300 Ashland Place in Fort Greene. The retailer is also bringing a 60,000-square-foot store to Brookfield Property Partners’ 5 Manhattan West, and is building out a space at Harry Macklowe’s 1 Wall Street.

Amazon has been expanding into countless markets, including the opening brick-and-mortar stores and is expected to open a bookstore in the Time Warner center at Columbus Circle, where Whole Foods also happens to be a tenant.

Amazon is said to be considering taking 350,000 square feet of office space at 5 Manhattan West. Whole Foods’ share price surged 27 percent following the news of the acquisition.

Staying with Amazon, the online retail giant plans to open its first New York distribution center on the west shore of Staten Island. Amazon will open a “fulfillment center” at Matrix Development Group’s Matrix Global Logistics Park in Bloomfield on Staten Island’s west shore. Amazon’s center is expected to be the first of four warehouses on the site. The warehouse will be open by the end of summer, according to the New York Post.

In coworking space news, WeWork CEO Adam Neumann said his co-working company will go public in the near future, but provided no specifics on the timeline for an IPO. Neumann said WeWork generates an annual $1B in revenue, which averages $650/month from WeWork’s 120,000 members, according to Reuters.

WeWork is valued around $17B and has raised about $1.8B from venture capital funds and investors since it launched in 2010, according to bisnow.com

After decades of delays, construction will now begin at the historic James A. Farley Post Office next to Penn Station into the Moynihan Train Hall, a new 255,000-square-foot train hall housing both Amtrak and LIRR ticketing and waiting areas, as well as 70,000 square feet of new commercial, retail, and dining space. This as part of the $1.6 billion Penn-Farley Complex, according to 6sqft.com

The Moynihan Train Hall will increase Penn Station’s total concourse floor space by more than 50 percent, creating “an iconic civic space for Manhattan’s West Side” Governor Cuomo said in press release. He continued by saying, “Fifty years after the loss of the original Penn Station structure, passengers will once again experience a world-class rail hub worthy of New York.”

The main feature of the new train hall is a 92-foot-high skylight “to be built above the building’s historic and architecturally dramatic steel trusses” and reference the original Penn Station design. From here, passengers will have access to nine platforms and 17 tracks, as well as direct access to the Eighth Avenue subway and the existing Penn Station across the street, according to 6sqft.com

Shifting to downtown news, One World Trade Center, the tallest building in the Western Hemisphere, has been instantly recognizable since it opened in 2014, but a lawsuit claims that the look was stolen. Jeehoon Park, now the head of Qube Architecture in Georgia, claims to have come up with the design as a student at the Illinois Institute of Technology in Chicago in 1999, before it was used by international architectural firm Skidmore, Owings & Merrill for One World Trade Center, the New York Post reports. Park filed suit against SOM in Manhattan federal court on Wednesday, claiming the firm had multiple different ways of getting its hands on his design, such as his graduate adviser at the time, who now works for SOM. Park also claimed that SOM may have seen his design in the 2006 Keanu Reeves/Sandra Bullock romance movie "Lake House," which partially filmed in the lobby of SOM's Chicago office, this according to bisnow.com

Nearly 200 storefronts on Broadway are sitting vacant, a recent survey shows. The survey found almost 60 percent of the vacancies are below 110th Street, according to the Wall Street Journal. Broadway stretches 13 miles from the Financial District to Inwood.

In New York City, buying power per square foot of retail space declined 7 percent from 2000 through the first three months of 2017, according to CoStar Group figures.

In the first quarter of 2017, availability rates increased year-over-year in nine of the 11 submarkets in Manhattan, according to analysis from Cushman & Wakefield. The retail market in the city has weakened over the past 18 months, and some landlords are turning to short-term leases to fill space, according to the Real Deal.

On a brighter note, in Downtown Manhattan, office leasing activity totaled 677,000 square feet in May, 56 percent above the five-year monthly average of 433,000 square feet. Leasing in Midtown totaled 1.7 million square feet, 34 percent above the five-year average. ​Read the full reports for Midtown and Downtown Manhattan.

Median rents in Brooklyn were down 1.9 percent in May year-over-year, with one-bedrooms falling 3.6 percent but studios growing 6.3 percent. Median rents in Manhattan were up 2.2 percent, skewed by new high-end inventory entering the market.

The San Francisco rental market has been consistently down, with a 3.3% dip over the last 12 months.

The city may be on the hook for nearly $100 million in unexpected additional costs related to redeveloping Hudson Yards, according to a new report.

The Independent Budget Office found that an additional $96 million is needed to fund the extension of the No. 7 subway line and the planned four acres of park and open space known as Hudson Park & Boulevard. It is not yet clear how the additional expenses will be funded. The city expects to spend $266 million of its own capital funds by 2021 on projects related to Hudson Yards, when in 2005, the city expected to only spend $128 million, according to the Real Deal

In Brooklyn News

The Demolition work is well underway at the Brooklyn Heights branch of the Brooklyn Public Library and is scheduled to wrap up in the next 50 days. The developer of the project, Hudson Companies, is looking to transform the site at 280 Cadman Plaza West into a 36-story condo building with a new high-tech public library at the base. The developer recently closed on the $52 million purchase and has also managed to secure a $280 million loan that will go towards construction on the project, according to 6 sq ft.com. The condo building will feature 134 apartments. The first three floors will be occupied by the new library that will span over 26k square feet.

There will also be a 9,000-square-foot STEM lab that will be operated by the city’s Department of Education and be open to students in School District 13. Two retail spaces will front on Clinton Street. One of them will be leased by the Brooklyn Roasting Company and the other will be a pop-up food space for a variety of vendors curated by Smorgasburg.

The project also includes a commitment to a 114-unit affordable housing project at Fulton Street and Atlantic Avenue.

Bridgewater Capital Partners entered contract to buy a 1.5-acre waterfront Greenpoint site for about $60.5 million, according to The Real Deal. The Midtown-based development firm recently agreed to acquire the site at 1 Huron Street, which offers 180,000 buildable square feet for a residential project. The site currently holds a two-story, 80,000-square-foot warehouse. The price comes out to about $320 per buildable square foot.

In Williamsburg news, Deep-seated racial and ethnic tensions among Jewish and Latino communities who straddle two sides of the Broadway Triangle area in Williamsburg resurfaced this week over a massive 1,100-unit apartment complex slated for South Williamsburg. Leaders from the Latino community have expressed concerned that the apartment layouts in the Rabsky Group's sprawling eight-building project — which includes 287 units of subsidized housing — are slated to be built with multi-bedroom units that they say favor the Hasidic population and perpetuate segregation in the neighborhood, this according to DNA Info. Robert Solano, a Latino Williamsburg resident and head of Churches United for Fair Housing, cautioned community leaders that backing the project at 200 Harrison Ave. would mean an "expansion of the Jewish community.”

It’s still unclear how big the apartments will be complex will be, but some fear that Rabsky could build a large portion of four-bedroom apartments which would give large Hasidic families in the area an advantage over blacks and Latinos who typically have smaller family sizes, Solano said.

"How many four-bedrooms?" Solano said. "That within itself will then determine the diversity of the project." Orthodox Jewish Community Board member Simon Weiss called opponents to the Rabsky Group's plan "anti-Semitic and discriminatory."

Some privately-owned and city-owned properties within the Broadway Triangle area were rezoned for residential development in 2009, but housing advocates and community groups promptly sued the city arguing the rezoning violated fair housing laws because large apartments in low-rise buildings would unfairly cater to Orthodox Jewish Williamsburg residents.

"It's a segregated rezoning,” Solano said. The city has participated in creating a segregated community through rezoning. I walk through the Broadway Triangle rezoning [every day]. Don’t tell me it's inclusive." A public hearing in the Borough President's office will be held on July 10.

Resources:

Organifi

Wix

-

Our Proud Sponsors: 

The RATNER Team 

Spartan Renovations

Interview with Charles Diehl

Hosted by Nate Pfaff 

Charles Diehl got into architecture by way of physics and his interest in space exploration. He realized through that process that he was interested mostly in design and made the transition to architecture. He’s lived in Brooklyn for almost 20 years and recently bought a house in Bed-Stuy, which is where he currently lives with his family. His firm, Charles Diehl Architect, was established in 1999. Over the last few years, about 90% of his work is focused on renovation as opposed to new construction. The Brooklyn market has been primarily consumed by buying houses and renovating them, and that is where Charles’ expertise comes in.

He loves the Fort Greene/Clinton Hill area, which is where his office is located. Brooklyn Roast on Flushing Avenue is his favorite coffee spot and Chez Oskar on Malcolm X Boulevard is one of his favorite restaurants in all of New York City. He’s been getting the most calls from the Bed-Stuy/Bushwick area over the past few years, which have seen incredible change. He describes East New York as heating up and ripe for development because of the upzoning that could reshape its infrastructure.

He recommends people looking for an architect to ask lots of questions and talk to multiple architects. He recommends not hiring the cheapest person out there because they may end up costing you more money in the end by not anticipating complications or billing you for things that were not made clear to you in the beginning. The best way to reach Charles is through email at [email protected] or by phone at 347-280-3026.

[1:32-1:55] Intro: We have Charles Diehl of Charles Diehl Architecture. He has his architecture firm located outside the Navy Yard in Brooklyn. He lived in Brooklyn for almost 20 years and currently lives in Bed-Stuy, but he’s originally from South Carolina.

[1:55-2:25] Can you tell us a little bit about yourself and what you specialize in? I’ve lived in Brooklyn since 1999 in Clinton Hill, Fort Greene area. I’ve also lived and worked there. I've worked for a couple of architects in residential development, commercial, and public types of work.

[2:25-3:03] What is your favorite area of architecture and how did you get into architecture? I got into architecture when I was in college doing physics and I was interested in aeronautical designs and space exploration. The design was more interesting to me than anything else and I ended up switching architecture from physics.

[3:03-5:07] What are the two most important qualities of a successful architect? You have to be extremely diligent and creative. Being creative doesn't necessarily mean in terms of design but you have to be creative in solving problems. There are a lot of problems that come up in the process that require creative solutions.

[5:07-7:00] Do you have specific examples of issues that might come up? When renovating, a lot of buildings have floor issues. Some of these houses are really old and we never know how much work will be needed to correct unseen issues when the walls are intact. Because of this, we have to be really cautious of our decisions. Do we have to replace the floor entirely or just do minor repairs? This is where creativity comes in.

[7:00-7:47] Approximately, what percentage of your work is renovation as opposed to new developments? Over the last couple of years, 90% of my work has been renovation work. The Brooklyn market has been about people buying real houses and wanting to renovate them.

[7:47-12:19] What are some of the most important questions you ask a client when you're hired to renovate? These seem pretty obvious but, what is your budget? This can’t be underestimated because there's a huge implication for the cost, timing, and design of the work. Simple requests like legalizing a basement apartment introduces a ton of regulatory issues. So it's important to understand why they're doing that.

[12:19-13:06] Stay in touch with the podcast by subscribing to the mailing list. Text Brooklyn to 66866.

[13:06-13:29] What’s your favorite area of Brooklyn? I still like Forte Greene/Clinton area because I lived there for 15 years. I also enjoy the local businesses there.

[13:29-14:20] Do you have a favorite restaurant or cafe in that area? The only restaurant they had in that area actually moved. Chez Oskar used to be my favorite but they now relocated to Malcolm-X Boulevard. Brooklyn Roast on Flushing Avenue happens to be my go-to place for coffee and pastries since it's located right down the street from my office.

[14:20-15:11] Which is the hottest place in Brooklyn that is getting the most attention and activity for your business right now? We’ve seen the most work in Bed-Stuy and Bushwick over the last 3, 4 years till now.

[15:11-17:51] Do you see any other neighborhoods taking over? East New York seems to be the next big thing because of the upzoning law. However, developers are somehow scared to invest in this area at the moment.

[17:51-19:58] What exactly does upzoning mean? The zoning specifies the floor area ratio, apartment density, and parking based on what the city planning has decided, from an urban planning standpoint, is best for that neighborhood.

[19:58-22:01] What advice would you give to someone looking to hire an architect? Ask lots of questions and try to make sure the answers you're given make sense. It’s also advisable to talk to several architects. Different architects have different ways of doing business. Some are more design-oriented and some are more technically oriented, some know building and zoning codes and some rely on outside consultants to provide those answers. Don't hire the cheapest architect out there. This might cost you more in the end.

[22:01-23:18] If you could go back to the beginning of your career, what would you do differently? I said earlier my original interest was in space exploration. I could never have predicted that space was going to be privatized the way that it has. If I had seen that coming, I’d have worked a lot harder to keep myself in that area of work in designing and trying to be a part of the development of human space exploration. This is going to be a very big industry.

[23:18-24:01] Do you see us colonizing Mars? I don’t know. I think the challenges to that are pretty high at this point. Getting a man to go there now is extremely difficult. I think it's possible but it's a matter of whether it's will or just a profit motive to drive private industry there.

Contact Our Guest:

Send Charles an email at [email protected]

Give him a ring at 917-909-0214

http://www.cdiehlarch.com

Resources:

Quickbooks Self Employed

Revit

Dropbox

Wix

-

Our Proud Sponsors: 

The RATNER Team 

Spartan Renovations

Kings Auto Group

One of the top stories of the past week is City Planning officials approved a plan to rezone a slice of Midtown East to allow for taller buildings. The City Planning Commission voted unanimously last week to approve the Midtown East Rezoning Plan, which will permit developers to build higher as long as they make required contributions to the public — like money for transit improvements, buying development rights from adjacent landmarks and creating public plazas on their properties. The rezoning will affect 78 blocks: from 57th Street to the north, 39th Street to the south, Third Avenue to the east, and Madison Avenue to the west, the plans show. According to DNA Info.

In transportation news, there has been increasing commuter frustration with the NYC transportation system in 2017. Subway delays and cancellation have been high recently, and these issues can directly impact the real estate market. Slashing service — like with the impending L train shutdown or this summer’s Penn Station track closures —can have negative ripple effects on the market, just as expanding service has positive ripple effects, as in the case of the new Second Avenue subway line, ferry service, and the No. 7 train extension.

“The infrastructure hasn’t kept up with the population growth, and it’s going to take an enormous commitment and be significant investment,” one expert said.

Upper East Side apartments along the Q line saw 12 percent growth rate over the past five months, this according to DNA Info. The city's new ferry service is also having a positive impact on real estate. Apartment units near the ferry route have undergone an average of a $500 per month rental premium compared to those 1 kilometer away, according to an analysis from Nestio of available rental inventory along the DUMBO, North and South Williamsburg ferry stops. But shutdowns and delays in areas like Williamsburg and Bushwick, have investors concerned about it’s unpredictable impact on the market.

Staying with transportation news, The first section of the new Goethals Bridge will open to drivers over the weekend, with the original 89-year-old bridge closing for good this past weekend.

For the Goethals Bridge, the transportation agency decided to completely replace the existing one for a new one with wider roadways, a walkway for pedestrians and bicycles and a design that allows for mass transit options in the future. The new bridge will have six, 12-foot-wide lanes split into two spans, compared to the four 10-foot-wide ones on the old bridge. A multiple step phase in process will unfold over the next few years. According to DNA Info.

In tech news, The first three buildings at Cornell Tech’s Roosevelt Island campus are nearing completion, just in time for their official opening in September. The Cornell Tech campus on Roosevelt Island Campus is a 2 billion dollar project that is looking to develop an east coast hub for tech that could potentially rival silicon valley in the years to come.

In brokerage news, the British auction house Christie’s is raising its bid on luxury real estate in New York City. The firm abruptly ended its 20-year affiliation with residential brokerage Brown Harris Stevens on Friday and announced plans to open its own real estate office later this year. The new brokerage will operate out of Christie’s flagship at 20 Rockefeller Plaza, according to the Real Deal. In commercial real estate news, Nearly a year after Westfield Corp. unveiled the first phase of its $1.5 billion shopping complex in downtown Manhattan, the World Trade Center mall remains littered with vacant storefronts.

While Westfield announced that the entire 290,000 square feet of Phase 1 had been leased when the mall opened in August, roughly 20 percent of the space remains empty and unopened, according to calculations by The Real Deal. Many storefronts are covered over with wrappers directing shoppers out of the underground portion of the mall and up to the Eataly market on the third floor.

Staying with Commercial Real Estate, JPMorgan Chase signed a 305K SF expansion deal at Five Manhattan West in the Hudson Yards district. The country’s largest bank now has a footprint of 428K SF in the building, which recently signed Whole Foods as a retail anchor. This according to Bisnow.

Thanks to the recent condo boom that’s turned scores of investors into landlords, there’s an abundance of ultrahigh-end units on the rental market. And just like the rest of the rental market — where landlords have been throwing out concessions for the better part of a year — tenants in the uberluxury market are scoring big discounts.

Some agents are telling their clients that overpricing is a waste of time and that If [renters] see the apartment sitting on the market, they know they’re in a strong negotiating position.

Some experts say that the market will remain soft until the current inventory is absorbed.

Savvy renters, meanwhile, are jumping on the opportunity and some renters are getting up to 20% discounts from some of the high end apartments, this according to the Real Deal.

Though high end rentals make up a small fraction of the overall rental market, it is representative of a supply glut that is market wide, where supply continues to far outweigh demand, putting pressure on landlords to attract tenants in a highly competitive market. According to the Real Deal.

WeWork has acquired a construction tech company to help build out office space for its tenants.

The coworking company acquired FieldLens, a software application that helps various parties involved in a project — the developer, architect, construction manager, etc. — communicate in real time. In a blog post, WeWork’s chief product officer David Fano noted that FieldLens will help the company manage millions of square feet of construction in the coming year.

“Today, there is information loss at every stage of the building process as real estate, design, construction, and operations are provided by a large number of disparate providers,” Fano wrote. “This results in needless waste of materials, time, and capital at the end user’s expense.”

Earlier this month, the company launched a new business line — WeWork Wellness — that offers fitness classes and manages a gym. WeWork has 140 locations in 44 cities.

Two Brooklyn legislators have proposed a “flip tax” that would increase transfer taxes on certain residential properties that are resold within two years of being purchased. Assemblymembers have introduced bills touting the tax as a measure that would discourage the type of flipping they say reduces affordability in the housing stock.

The bill would make flipping less profitable by increasing the city transfer taxes by 15 percent for one-to-five-family properties resold within a year of being purchased, and 10 percent if sold within two years. It would exclude some transactions, like properties sold to a family member or homeowners with financial hardship, in order to target professional flippers.

The proposal was first floated by housing advocates during the East New York rezoning process, one of the areas that saw the largest increase in flipping activity in 2015, according to a report by the Center for NYC Neighborhoods, which looked at single-to-four-family homes. Critics say there are multiple ways around the tax so its impact could be marginal.

In Brooklyn News, the talk around 9 Dekalb Avenue has resumed. There hasn’t been much news from 9 Dekalb since a deal was finalized in April 2016 to bring the first building over 1,000 feet to BK. But it looks like there’s some movement on site. JDS Development Group posted a new video to its Instagram account showing that caisson installation is now underway, one of the first steps necessary when building a high rise.JDS has said that construction is underway with completion slated for 2020, when the building will stand at 1,066 feet tall. For 9 Dekalb JDS Development Group is teaming up SHoP Architects. The pair are also working on the American Copper Buildings, the uniquely shaped buildings on 1st avenue and 35th st, and 111 West 57th Street, the supertall Steinway Tower, which is expected to be complete in 2018.

In development news, The Rabsky Group has scooped up the large Williamsburg waterfront site that Consolidated Edison put on the market last fall, according to The Real Deal. The city had warned prospective buyers that it would refuse to rezone the land to allow for a residential project, so Rabsky has decided to build a commercial project at 500 Kent Avenue instead.

Right next to this project is the Domino Sugar Refinery site, which is being transformed into a megaproject of rental units and affordable housing. The initial phases of construction of the megaproject are underway, and will eventually include more than 6,000 apartments and a waterfront park with full city views. Two Trees announced today that leasing has begun at old DOmino refinery site at 325 Kent Avenue. Market-rate studios to 2 bedroom apartments in the building will range from $2,495 to $5,195. Its affordable apartments hit the city’s housing lottery last fall, with 87,000 (!) people applying for 104 apartment. According to Ny Curbed.

Increasingly, if you ask a New Yorker where to find the most authentic food in Chinatown, they might reroute you to Brooklyn. Devotees of hot pot, a fondue-esque specialty from China's Fujian Province, are lining up at eateries in Sunset Park, Brooklyn's first Chinatown, according to CNBC. Bensonhurst, the middle-class neighborhood in south brooklyn, now claims the highest concentration of Chinese immigrants in the borough. Chinese residents comprise the largest immigrant group in Brooklyn and the Chinese population in New York City is the largest outside of any Asian city.

Many foreign buyers, including extended members of Chinese families, view Brooklyn real estate as a secure, high-return investment.

Dr. Peter Kwong, a professor of Urban Affairs and Planning at Hunter College who is a leading scholar on immigration, said for many middle-class Chinese, Brooklyn real estate represents far more than a long-term investment plan. It functions as a catalyst from which a pathway to citizenship, or at least the legal right to live, study and work in the United States, can be forged. That's in large part thanks to the EB-5 federal visa program, which stated that Foreign investors who sink $500,000 or more into American residential or commercial projects that create at least 10 jobs become eligible for green cards for themselves, their spouse and their unmarried children. American companies are advertising all over China, with billboards that say green cards are being exchanged for US investment, under the ED-5 visa program.

Despite tightening restrictions and increased scrutiny on foreign investments, Dr. Kwong said many Chinese remain "desperate to get their money out," and he thinks they will find ways to get around the new CHinese rules. Kwong said Chinese communities will continue to grow along subway routes in Brooklyn, including the N Train route that terminates in Brooklyn's Coney Island. According to a recent search on Yelp, there are nine Chinese restaurants in the area and counting.

Resources:

Organifi

Wix

-

Our Proud Sponsors: 

The RATNER Team 

Spartan Renovations

Interview with Daniel Gershburg

Hosted by Nate Pfaff 

Daniel Gershburg started his own law firm right out of New York Law. After growing up in south Brooklyn, Daniel started his company in Sheepshead Bay and later moved his office to Downtown Manhattan. He’s covered every angle of real estate transactions, which account for 95% of his business. He came to focus primarily on real estate because he saw an opportunity to represent people that are really excited to buy or sell their home and build strong relationships with clients.

He observed an opening in the real estate attorney field because he saw most attorneys looking for volume and speed as opposed to fully committing to their clients and taking them through each step of the buying or selling process. He says that many clients don’t look past the price, but there are major differences between different attorneys and it’s important for a client to inquire about availability and be clear about whether or not the attorney will be fully accessible.

In terms of investing in New York real estate, he sees anywhere in Brooklyn as a smart location to park your money. He knows developers who are pushing into south Brooklyn and he still sees the established areas like Brooklyn Heights and Williamsburg as good options. He thinks the best investment is one where you buy and intend on living there for a long time. He doesn’t see buying on an interest-only mortgage as a wise option.
If he could go back to the beginning of his career, he would love to be a real estate broker because he sees the entrepreneurial, service industry as doing really well over the coming decades. He’s noticed that successful agents have no ego and are quite humble. The really good agents are completely honest with their clients and tell them why a deal may or may not be good for them. 

Regardless of what field you get into, Daniel sees hustling as essential for success. He also sees real-world reviews as much more valuable than online reviews. Building honest, meaningful relationships are at the heart of his business model.
Some of his favorite restaurants in Brooklyn are Randazzo's for seafood, Roll-n-Roasters for sandwiches, and L & B Spumoni Gardens pizza, which he says is “the best pizza in the world”. He highly recommends the books of Nassim Taleb, as well as Letters From a Merchant To His Son, published originally in 1901. He also recommends reading the annual letters of Warren Buffett.

[1:32-1:53] Intro: Local expert, Daniel Gershburg, is the owner and president of Gershburg Law. He was born and raised in New York and started his law firm right off New York law. He has covered every angle of a real estate deal from the 100s of transactions he’s done.

[1:54-2:52] Can you tell us a little bit about yourself and what you specialize in? I'm a native New Yorker. Went to New Jersey for college and returned back home after that. I went to law school in New York Law and right after, opened a practice in Sheepshead Bay, Brooklyn. 5 years ago, I moved my practice to Manhattan. 95% of what we do are real estate transactions.

[2:52-3:54] Any favorite restaurants or night spots in South Brooklyn? Randazzo’s is an awesome seafood restaurant that’s been around forever. Roll N Roaster on Emmons is great for roast beef sandwiches, and L & B Spumoni Gardens restaurant serves the best pizza. I got to these places all the time.

[3:54-4:48] How did you get into law? In college, I had to choose between working at Blinds To Go and going to law school. I chose law school. I enjoyed law school and had an entrepreneurial spirit and right after law school I combined those two. I started the law firm because I wanted to work for myself.

[4:48-5:56] How did you come to focus primarily on real estate? I always had a desire to get into real estate. When you were a one-man show, at the time, real estate had very little red. You were able to take care of clients and do closings. I started off with nothing but will and no money. In law, a lot of it is contentious unlike real estate where you're representing sellers and buyers who are always excited to make the deal. This is the reason I got excited to try it out.

[5:56-7:39] How have you done things differently from the rest of the field? I never wanted to do volume. I saw that clients, when buying, really needed a trusted resource to give them honest details on a practical level. For us, we handle the experience. Everything from making sure the building is okay to when they should apply for a loan, to whether the mortgage commitment is okay, what fees they're going to pay, or what they should look for in a walk through. All these weren’t being addressed when I began. I wanted clients to find value in what I did.

[7:39-9:34] Where are the hottest places right now in terms of overall activity and growth for real estate? Anything Brooklyn and Bronx is realistically a great area. There might be some sort of a slow down with the high number of units in the market, but there are a lot of people coming to Brooklyn and loving it. Brooklyn Heights or Williamsburg and Greenpoint are great options but you have to be going South Brooklyn.

[9:35-12:09] What have you learned about cycles in real estate business? I've practiced consumer bankruptcy so I've seen things from both sides. I have no idea when the next burst or boom will be. I've learned that the people that have done the best are the ones that buy a place and buy to live there for a long time. Chances that you're going to do just fine despite the cycle are quite high.

[12:09-13:01] What would you do differently if you went back to the beginning of your career? I’d become a real estate broker. I love the idea of finding and servicing people’s needs. In future, the economy will be sales and value-driven versus the industrial jobs. I’d either work in technology or in a sales area.

[13:01-14:33] What should someone look for in a real estate agent? The real estate agents I work with are really humble and lack ego. They know an area really well and you can tell that. Really good agents are ones who will tell you if a property is not right for you. They should give you candid opinion as to whether or why a particular place works for you. Interview various brokers based on referrals, reviews, or online search and have a face to face meeting with focus unto why you think you’ll be right for each other.

[14:33-16:24] What advice would you give someone looking for an attorney to represent them in a real estate transaction? I would have a conversation about availability and who will be handling the file. Clients don’t work past the price sometimes and they anchor their decisions based on how much they pay.

I would talk to the real estate attorney not just about how many files they’ve done but who’s going to handle the entire transaction from beginning to end and make sure I'm comfortable with that. Also, I think personal references should come way before online reviews while looking for an attorney.

[16:24-17:17] Stay in touch with the podcast by subscribing to the mailing list. Text Brooklyn to 66866.

[17:17-19:48] What advice would you give to somebody starting out as a real estate attorney? I would say if you're at your desk most of the day when you're just starting out, you're doing something wrong. If you're coming home before 5 PM, you're doing something wrong. I would go out to meet brokers and introduce myself pointing out what I can bring to the table. I would try and understand a particular neighborhood and what their needs are. Basically, try and educate yourself in the best way that you possibly can to know your product, client, and service.

[19:48-21:27] What is the biggest difference between doing a condo and a co-op deal? You're doing due diligence on both of them but you're dealing with a board when dealing with a co-op. The biggest difference is timing but attorneys in both really look and do due diligence with you on what’s going on with that building. Recently, some condos have become significantly strict in terms of who they allow in while co-ops are being less restrictive because they're being replaced by condos. However, on the purchase side, there's a lot of differences.

Contact Our Guest:

Send Daniel an email at [email protected]

Give him a ring at 212-390-8866

www.danielgershburg.com

Resources:

Letters From a Merchant To His So

The annual letters of Warren Buffett 

Dropbox

ScheduleOnce

Wix

-

Our Proud Sponsors: 

The RATNER Team 

Spartan Renovations

Kings Auto Group

One of the top story this week continues to be the stalemate between landlords and tenants in commercial real estate front in BK and Manhattan. Walking down 5th avenue in Manhattan and other busy spots of the city where storefronts cost a premium, you’ll notice an usually high vacancy rate. According to the Real Deal, this stalemate is characterized by tenants who won’t pay higher rents and landlords who refuse to accept lower prices.

Most recently, Ralph Lauren announced it would be closing its 39,000-square-foot flagship store on Fifth Avenue. The retailer will continue to pay a $70,000 per day in rent as part of the lease, which expires in 2029, if it can’t get out of the arrangement.

The hotel industry is also facing an uphill battle to absorb oversupply in the city and combat online home-sharing marketplace Airbnb.

Absorption is especially low in Brooklyn, where about 7 million square feet of office space is in the pipeline despite little interest from big-name Manhattan tenants. Amid the growing oversupply, the vacancy rate in Brooklyn reached 7.1 percent in the first quarter, up from 5.7 percent in late 2015, according to CoStar Group data.

The city’s multi family market is still seen as a good investment, but Dollar volume in the sector was down 60 percent from this time last year, an Ariel Property Advisors report shows. The land sale market has dipped considerably. The market was down more than 50 percent from this same time last year. Information in this paragraph is from The Real Deal.

Another New York building has started a petition to remove president Trump’s name from the building name. This one is the Trump Palace at 200 East 69th Street, and the movement was started by a former Goldman Sachs partner who has been trying to sell his unit in the building since 2015. He wrote in a letter to his neighbors, “We, the owners, can change the name if 2/3 of us agree...I understand that for some this is a complicated issue. For me, it’s only business. Our homes are worth more without the Trump name.” News of this letter was first reported by Newcaster Keith Olbermann, who sold his own apartment in the building last year for a $400,000 loss,. After selling his apartment, he tweeted “I got out with 90% of my money and 100% of my soul!” This according to LLNYC.

Headlining a Real Deal Issue last month, Street easy’s premier agent feature continues to provoke controversy. Instead of showing the sales broker as the agent to contact on a listing when you ask for more information, it puts you in touch with a broker who is not connected with the listing but has paid a hefty fee to be the broker contacted. The feature is raising big revenue for streeteasy and allowing newer, lesser known agents opportunities to land big clients on the buy side. But many in the industry find the new feature unethical.    

It renders expertise and reputation meaningless, they say, and also violates state advertising laws by allowing agents to put their name next to another agent’s listing. The Real Estate Board of New York, in a letter to the Department of State, said that the initiative created “a maelstrom of consumer confusion.” “Agents are seeing this as an opportunity,” said StreetEasy general manager Susan Daimler, who has maintained throughout the drama that Premier Agent is designed to give buyers more choice.

A slim, supertall residential skyscraper, much like one you might see on 57th street, wil be coming to Nomad, on (29th) st and Fifth Avenue. Israeli developer Boris Kuzinez, who's credited with creating the Moscow version of Billionaire's Row, is developing the project, and Russian architecture firm Meganom has been tapped as the designer. The design is expected to be sleek, modern, and unlike anything the city has ever seen, according to Meganom. This according to the Gothamist.

Speaking of super tall skyscrapers, Central Park Tower, on 57th st and 7th avenue, has been moving skyward and towards the label of World’s tallest residential skyscraper. If youre in central park looking south, it’s the building shooting up right next to columbus circle. Units will be hitting the market soon and it’s facade, much like 432 park avenue, will undoubtedly reshape the city’s skyline, as it will stand at 1,550 ft once completed, which is 300 feet higher than the roof of the empire state building. Once the building’s 179 condos come to market, the developer is anticipating a more than $4 billion sell out in the building, which would make it the most expensive building ever sold in the city. Assuming all goes according to plan, the building should be ready for move-ins by 2020. This according to NY Curbed.com

Looking at real estate numbers, Tribeca again boasted the highest asking price of anywhere in NEW York, at $4.995 million. NoHo followed with an ask of $4.95 million. Northwest Brooklyn had the highest ask in Kings County, at $1.299 million. Ditmas Park saw the biggest change in asking median price across either borough, rising 144.8 percent from last year to $1.285 million. In Midwood, the median ask rose 128 percent year-over-year to $704,500.

Finally, StreetEasy tracked April’s rent and found Manhattan rent prices continued to decline. The median rent decreased 1.1 percent compared to last year to $3,232, and has dropped steadily since last fall. Brooklyn rents have been going down for eight consecutive months. The median rent price fell 3.7 percent year-over-year, down to $2,785. Some top agents have estimated the high-end rental market is down 10 to 15 percent since late 2015. This according to NY Curbed.com. This is good news for renters,as landlords are giving away more concessions to attract tenants. sometimes landlords won’t advertise concessions but will offer them if you ask, so Be willing to negotiate to see what you can get. Some buildings are even offering a new kind incentive: discounted security deposits of $500 or $1,000, in order to reduce the amount of money renters have to pay up front. This according to amny.com

Troubling news out of China. The Chinese government has implemented tighter capital controls limiting overseas investments in order to strengthen China’s currency and promote investment within the country. Chinese outbound investment fell by 67 percent in the first four months of 2017, according to Bloomberg — the biggest decline since 2009.

The drop comes after a record year in 2016, when Chinese firms bought $246 billion worth of foreign assets. The Real Deal reported that Regulators are now discouraging splashy real estate deals abroad and investments by Chinese companies in overseas assets that aren’t strictly related to their business. This according to the Real Deal.

In domestic news, BlackRock, which oversees $5.4 trillion in assets and is the world's largest asset manager, is moving its headquarters to Hudson Yards. Hudson Yards is attracting companies with cheaper rents compared with the rest of midtown Manhattan. The average rent cost in midtown is $84 a square foot. Blackrock will pay an average of $74 a foot over the full term of the 20 year lease. The transformation of west midtown has been swift, as the developing district has also attracted the relocation of Coach Inc, Wells Fargo Securities and the National Hockey League. Its new building is expected to be finished in 2022.

Also in midtown west news, Whole Foods announced that it’s opening a 60,000-square-foot store in the Development project at W. 31st Street and 10th Ave, bringing even more retail options to what once a barren area of the city.

In BK news, The Jehovah's Witnesses' sell-off of their properties in Brooklyn continues, this time at 74 Adams St. in DUMBO, which is currently a wide, one-story parking garage. The parcel is zoned for 200K SF of retail and residential space and is under contract to be sold to developer Jeffrey Gershon, according to the real deal. Jehovah's Witnesses' exit from Brooklyn is all but complete now. This according to Bisnow.com.

One of their former buildings is poised to become Brooklyn Heights’s tallest condo building, after the conversion to condos in underway. The 29-story building at 67 Livingston Street between Court and Clinton streets will be reimagined as 23 condos, mostly consisting of two- and three-bedrooms priced in the $2 million to $3 million range. According to NY Curbed.com.

Keeping with former Jehovah's Witnesses properties, Plans for the project at 85 Jay St in Dumbo have been released. What is currently oversized parking lot in the heart of Brooklyn’s most expensive neighborhood, will become 2 towers that combine condos and rental units across 1.1 million square feet.

Kushner Companies, CIM Group and LIVWRK, paid a combined $345 million to buy the 135,000-square-foot site from the Jehovah’s Witnesses. Jared Kushner, an adviser and son-in-law to President Trump, does not plan to divest of his interest in the project. According to the Real Deal.

Staying in Dumbo, Bjarke Ingels Group, the cutting edge architecture firm that is behind the designs of some of the most prestigious buildings in the city, will be moving its headquarters from Manhattan to Brooklyn. The architecture firm behind will relocate its 200-person NYC operation to Dumbo. BIG has signed on for 50,000 square feet at Two Trees’s 45 Main Street and will take up space formerly used by West Elm, which itself moved to Empire Stores on the Dumbo waterfront.

New York City officials have launched an initiative to create 2,500 new affordable homes in Brownsville, Brooklyn, under what they call “The Brownsville Plan.” This is part of the 421-a affordable housing plan that they’ve rebranded “Affordable New York”, which provides tax breaks to developers building affordable housing. After the plan expired in 2016, it was reenacted this past April with several changes, which include wage requirements for construction workers on certain projects and a 35-year break from property taxes (up from 25) on large projects that pay these wages. According to NY Curbed.com

Haysha Deitsch, the contentious landlord of the Prospect Park Residence retirement home at 1 Prospect Park West, is following through with plans to construct an 11-story condo on the site of two auto body shops on Fourth Avenue, (between President and Carroll). The developer filed demolition permits at the site this week with plans to move ahead with a 16-unit building with a private roof deck, pet spa and children's playroom designed by Karl Fischer, DNAinfo reports. Deitsch paid about $10 million for the two properties along Fourth Avenue.

The Brooklyn Botanic Garden won’t be overshadowed by tall apartment buildings anytime soon. Developer Cornell Realty has withdrawn an application to rezone several Crown Heights blocks, according to the Brooklyn Paper, possibly in response to community outcry over its plans to construct two 16-story buildings close to the garden. According to NY Curbed.com

In Another proposal to deal with the L train shutdown of 2019, the MTA and the Department of Transportation have presented a proposal to lawmakers to create an HOV lane on the Williamsburg Bridge. According to the plan, the HOV lane would be placed on the bridge’s inner roadway and drivers carrying two or more passengers will be able to use it.

The agencies also proposed a new ferry route that would run from North Williamsburg to 20th Street, running eight boats an hour. The boats would be able to carry 1,200 people which is the same as an L train.

The shutdown was originally expected to last 18 months but will aim to complete the repairs within a 15-month timeframe beginning April 2019. According to NY Curbed.com

Fort Greene Park, in Fort Greene BK, is getting a $5 million upgrade, thanks to the city’s Parks Without Borders program. Large sections of the park will be closed at times to allow for the renovation, which is expected to take between 10 and 18 months. According to NY Curbed.com

Resources:

Organifi

Wix

-

Our Proud Sponsors: 

The RATNER Team 

Spartan Renovations

Interview with Jennifer Levy

Hosted by Nate Pfaff 

Jennifer Levy got into interior design through renovating her own home in Brooklyn and loving the process. She made the transition from professional photography to interior design after realizing her talents could best be utilized through a career in interior design. It’s her job to oversee renovations and decorating, track all of the parts that go into both the decorating and renovating, and also interface and be the buffer between the tradespeople and the client so the client doesn’t have to deal with every detail of the project. She says many of her clients feel that hiring an interior designer actually saved them money in the end because it removed the inefficiencies and challenges that they would have dealt with on their own.

She sees fearlessness and creativity as the most important qualities of a successful interior designer, as well as strong communication skills and a good, developed eye for design. She has her clients fill out a questionnaire to get a sense of their expectations and pain-points, their aesthetic and functional needs for their space. She loves the process of outlining her vision for space and turning it into a reality.

Jennifer lives in Carroll Gardens and it remains her favorite area of Brooklyn. Frankies Spuntino on Court Street is one of her favorite restaurants, as well as Buttermilk Channel, for their great atmosphere and fried chicken, which is “transformative”. She’s getting a lot of business in Windsor Terrace and Midwood and is also seeing a lot of activity in Downtown Brooklyn and the Navy Yard. She sees the Midwood area as a good place to invest because there are really nice apartments there and it’s an undervalued area of Brooklyn.

Jennifer says that your relationship with your interior designer is pretty intense and you need to feel very comfortable with them, have good communication and trust their taste and intentions. Her website, cavdesign.com, allows you to book a free phone call with Jennifer to discuss your project and see if she might be a good fit. She highly recommends The Four Hour Work Week by Tim Ferriss and The Go-Giver by Bob Burg and John David Mann.  

[1:32-2:01] Intro: Jennifer Levy is the founder and lead designer of Curved Design, a residential interior design firm. Born and raised in New York City and currently lives in Carroll Gardens, Brooklyn. She successfully transitioned from being a full-time professional photographer to starting an interior design firm.

[2:01-2:31] Tell us a little about yourself and what you specialize in. I am an interior designer specializing in residential interior design. I live and work in Brooklyn with some work projects going as far as Spain.

[2:32-2:53] How did you first get into interior design? I purchased an apartment and did some renovations on it and after a little while realized I was in love with interior designing and wanted to pursue it full time.

[2:54-4:39] Can you break down what interior designers do and also explain how you can help people through renovating and saving them time? I deal with decorating and overseeing renovations which means my clients don't have to deal with every single detail and interactions.

[4:40-5:45] What do you think are the 2 most important qualities of a successful interior designer? One, fearlessness. There are a lot of logistics involved and you can lose track of your vision. Because of this, it's important to keep in touch with your vision and creativity. Two, have really good communications skills both with your clients and the trade’s people and contractors to avoid minor conflicts.

[5:45-7:02] How do you know where to start implementing your vision when you first walk into space? First, before I meet with clients, I have them fill out a questionnaire. This helps me have a sense of what their pinpoint is. Secondly, I try to listen to what the client is really bothered by in their homes, or what they really want to change. How they want to feel, what aesthetic they're driving toward, and what functionality they need for space helps me come to a definite conclusion to what can work for them.

[7:03-9:05] Can you elaborate more on why fearlessness is an important quality for a successful interior designer? In order to be really successful as a designer, you have to show that you're going to add something that they haven’t seen before in their project. I try to do one new thing with every project which helps me be satisfied both personally and professionally.

[9:05-11:14] How did you effectively make a career change from a professional photographer to an interior designer? I started out as an architectural interior photographer. This allowed me to work with wonderful interior stylists and architects and I got to see a lot of great places which helped define and develop my opinion.

Photography required me to travel a lot which was becoming hectic because of my baby. I badly needed a career change and I started taking classes at FIT. I tackled a large renovation at my home which was like my first project.

[11:15-12:15] Did you enjoy renovating your home? Because that can be painful for most people.

I bit off a lot more than I could chew at the time. I realized I loved the feeling of putting or drawing something down on paper and eventually seeing it come to life. The renovation was a big learning experience.

[12:15-12:45] What’s your favorite area of Brooklyn and why? I'm personally to my neighborhood, Carroll Gardens. I like that it still has the Old Italian shops for food, great restaurants and bars, and transportation. Although there's new architecture coming up.

[12:45-13:21] Do you have a favorite restaurant in Carroll Gardens? For food, I love Frankies Spuntino. They have a lovely garden outside. Also, Buttermilk Channel which has totally amazing fried chicken. For wonderful tequila cocktails, I love Bar San Miguel.

[13:21-14:04] Where is the hottest place in Brooklyn right now in terms of where you're getting most of your business? It used to be Park Slope but now I'm getting more calls from Windsor Terrace and Midwood. I think there are great undervalued apartments in Midwood. Navy Yard and downtown Brooklyn are also coming up.

[14:51-16:41] What have you learned about financial cycles in your business? I came to this business with no preconceived notions about how I wanted to be a designer. Having a scalable business where I was growing and being able to take on smaller projects has really helped. Secondly, I have been a freelancer my whole life so I do understand the cyclical nature of the business. You have to put aside some money for such times but I think a lot of it is psychological. Separate your self-worth and feelings about things from the business.

[16:41-17:51] What are some of the biggest ways your city has changed over the past decade? I grew up in New York and in the last decade, the biggest change is the level of construction which is happening in a volume I've never seen before. This raises the property values, and safety, and pleasantness of some neighborhood. As a consequence, finding parking is harder and the streets are more crowded.

[17:51-18:42] Where did you grow up? I grew up on the Upper West side, moved to Brooklyn and then moved back to Manhattan and lived in Chelsea. I then purchased an apartment in Brooklyn which was a very wise investment decision at the time.

[19:01-19:53] Where would you focus your search in Brooklyn if you were to buy a property right now? The Midwood area. There are really great apartments there which are well-valued. With the L Train, I think the Williamsburg, Greenpoint area will have good value. There's definitely a lot of opportunities if you're willing to hunt.

[19:54-20:43] What advice would you give to someone looking for an interior designer? Alongside the fact that you have to really love their design aesthetic, it’s an intense relationship. Make sure you're comfortable with and have a mutual respect for that person. Challenging issue might come up during the process, so make sure you can communicate well.

Contact Our Guest:

Send Jennifer an email at [email protected]

Give her a ring at 917-383-3432     

www.cavdesign.com

Resources:

The Four Hour Work Week by Tim Ferriss

The Go-Giver

Wix

-

Our Proud Sponsors: 

The RATNER Team 

Spartan Renovations

Kings Auto Group

Interview with Kenneth Volandes

Hosted by Nate Pfaff 

Kenneth Volandes is of Greek descent and states that he got into real estate law because Greeks get involved in one of two things: “diners and real estate”. He suggests that the best way to get into real estate is to buy a multi-family that you can live in and produce income through. He also suggests getting into real estate early in life.

He likes spending time in Sunset Park and Redhook and sees Redhook as potentially the “next” neighborhood, especially with the introduction of city bike and if the 1 train extends there one day. He sees Sunset Park as a good area for investment, especially around 36th street, as well as around the Midwood/Flatbush area off the Q stop, where it’s 30 minutes to Union Square. He also sees the Bensonhurst area off the D train as a good investment because it’s also about 30 minutes to Union Square.

Mr. Volandes sees good times ahead for New York real estate. Most of the brokers he works with also feel confident about the New York market for the coming years. He states that as long as you don’t over-leverage you can still buy at a peak and sell at the next peak and make a strong return. He says Greeks don’t see selling property as a crime, but rather as a sin. He thinks it’s best to buy and hold as opposed to looking for a quick turn around. He says in the Brooklyn market today the real estate agent is making his or her commission because pricing the property right is essential.

Mr. Volandes recommends checking out Rich Dad Poor Dad to help change the way you think about earning income. He also recommends Confessions of a Commercial Real Estate Entrepreneur, as well as going online to get familiar with New York City landlord-tenant laws.

[1:31-1:54] Intro: Kenneth Volandes of The Law Offices of Kenneth Volandes. He was born, raised, and schooled in Brooklyn. He’s closed quite a number of commercial and residential deal in all the 5 boroughs.

[1:55-2:23] How did you get into law? Coming from a Greek descent, it’s obvious how I got into real estate. I started specializing in real estate and that was my introduction to law.

[2:24-3:26] what advice would you give to someone starting out in the field? In real estate, start early. Buy a multifamily estate and live in it to know your personal taste and priorities.

[3:27-6:23] What’s your favorite area in Brooklyn? I have a bias for Bay Ridge and Green Point because I grew up and lived in these two areas. But the best areas for investment right now are Sunset Park, Flatbush Midwood, and of the D Train north of Brighton Beach.

[6:23-7:16] Do you have a favorite restaurant in Brooklyn? I have two small daughters so I don't do restaurants anymore. But I would advise parents to go to Fort Greene Park and Bush Terminal Park with their children.

[7:17:10:20] Coming out of the recession, Brooklyn experienced a real estate boom. What is your experience with how long booms last and where is the market heading in 2-3 years?

If you want to know what’s going to happen in the future, take a look at the past. New York has had an up and down real estate market. I think it's going to change now but there are good times ahead.

[10:21-11:09] Stay in touch with the podcast by subscribing to the mailing list. Text Brooklyn to 66866.

[11:10-14:30] How concerned are you and your clients of the L Train shut down in Williamsburg, Greenpoint and how will that affect business? With technologies like Uber and also transport options like bikes, it might be easy on New Yorkers but the rent might need to go down a little. If not, people will go to downtown Brooklyn or other areas that are serviced by the 2,3,4,5 trains.

[14:31-16:39] What advice would you give to someone looking to buy or sell a property in Brooklyn right now? Brokers are earning their commissions now more than ever. If you’re selling your property, price it well or even a little bit low on the market value. If you're buying, make an effort to see a lot of product, know the price per sq2, and be mindful of the taxes and how much the renovation cost will be.

[16:40:17:27] If you could go back to the beginning of your career and change something what would it be? Buy real estate and buy sooner rather than later, don't overleverage, and buy things where you're focusing on cash flow and not necessarily appreciation.

Contact Our Guest:

Send Kenneth an email at [email protected]

Give him a ring at 917-699-4558

www.goldsteinhall.com

Resources:

Rich Dad Poor Dad

Confessions of a Commercial Real Estate Entrepreneur

Dropbox

Wix

-

Our Proud Sponsors: 

The RATNER Team 

Spartan Renovations

Kings Auto Group

Hi everyone, this is Nate Pfaff and for the past few months, my team and I have been working on a new project called the Brooklyn Made Real Estate Show, a podcast about New York City Real Estate and the professionals behind the scenes that make the New York market the most dynamic in the world. Our podcast provides a library of real estate information that can help you make better decisions, and avoid making the big blunders. It also provides a platform to connect people interested real estate to the professionals that make the market possible.

On the show, I talk to attorneys, bankers, developers, architects, artists, interior designers - anyone connected to the real estate market with value to share.

You'll get interesting stories...

Daniel Gershburg

Tony Castoro

You'll get valuable insights...

Kenneth Volandes

Daniel Gershburg

Andrew Ayers

And why New York City Real Estate is worth getting to know...

Jennifer Levy

Kenneth Volandes

Subscribe to the Brooklyn Made Real Estate Podcast and receive an episode each week, about events and real estate in New York, restaurants and places to check out, and interviews with the top professionals in the field.

The first episode comes out on June 6th and you can subscribe right now.