TOP ORGANIZATION TO WATCH IN REAL ESTATE 2015

A Special Edition from Sokol Media

FEBRUARY 2015

TOP ORGANIZATION

Photo: Howard Weschler

TO WATCH 2015

CREW NY (l to r: Jane Lyons, Faith Hope Consolo, Erin Bond, Christine Chipurnoi, Laura Walker)

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Contents 2

PUBLISHER’S PAGE One Plus One Makes Five

4

TOP ORGANIZATION TO WATCH 2015 CREW NEW YORK This expanded organization is now stronger than ever, leveraging 50 years of combined histories and achievements

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INDUSTRY NEWS The Urban Land Institute’s latest research reveals a surging real estate marketplace, while still taking nothing for granted

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DISTRICT FOR DESIGNERS: FAITH’S FASHION FOCUS Herald Square Harkens

4A

WOMAN TO WATCH 2015 ESTHER MULLER – ON TURNING 20

4A

The co-founder of the Academy for Continuing Education (ACE) has helped revolutionize the real estate brokerage industry

12A FIRSTSERVICE RESIDENTIAL Boosting Efficiency while Shrinking Impact

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Publisher’s Page

Sokol Media, LLC

FOUNDER & PUBLISHER Lori M. Sokol ART DIRECTOR Kerstin Vogdes Diehn

One Plus One Makes Five Sometimes the numbers speak for themselves, even when they don’t quite add up on paper.

Such is the case with the recent partnership of two women’s leadership organizations (AREW and NYCREW), which have joined forces to form one premier organization (CREW New York), combining 50 years of experience to now provide women in the real estate industry with a new and unmatched level of resources, education, and mentoring. “That’s why we believe, in this case, that one plus one makes five,” says Christine Chipurnoi, CREW NY copresident.

And even though this is the second time that Esther Muller has turned 20, it’s one that she cherishes even more. As the co-founder of the Academy for Continuing Education (ACE), which celebrates its 20th anniversary this year, Esther says proudly, “Since opening my school, I’ve seen the industry transformed!”

Further, no one can also deny the long-lasting effects of reducing buildings’ carbon emissions, which FirstResidential has thus far accomplished for 6,500 properties and over 1.5 million residential units. In this case, in fact, the beneficial results to people, the community and the planet are innumerable.

So, whether by combining forces, turning the same age twice, or providing benefits that are priceless, it’s very clear that in each of these cases, each of these numbers do add up.

Lori Sokol, Ph.D. Founder & Publisher

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PUBLISHING CONSULTANT James Janson CONTRIBUTING WRITER Faith Hope Consolo COPYWRITER/ RESEARCH ASSISTANT Jason H. Greenberg WEB DESIGN Design Disegno ACCOUNTING Citrin Cooperman PRINTING AmericasPrinter Sokol Media, LLC 75 West End Avenue, #P15F New York, NY 10023 Ph: 973-769-7012 www.sokolmediaonline.com Copyright by Sokol Media, LLC. No part of the publication may be reproduced or transmitted in any form or by any means without prior written consent from the publisher. The publisher reserves the right to accept or reject any advertising or editorial materials.

Advertisers and/or their agents assume the responsibility for all content of published advertisements and assume responsibility for any claims against the published based upon the advertisement. Editorial contributors assume any claims against the publisher based on the published work. No part of this publication may be reproduced in any form or by any electronic ormechanical means, including information storage and retrieval systems without permission in writing from the publisher. All items submitted to Sokol Media, LLC. become the sole property of Sokol Media, LLC. Editorial content may not necessarily reflect the views of the publisher. All correspondence and inquiries should be addressed to: Sokol Media, LLC., 75 West End Avenue, #P15F, New York, NY 10023.

The Bella Abzug Leadership Institute “Inspiring Young Women and Girls to Lead the Future” Our Mission

At BALI we…

provide a skillsbased program in leadership and debate training, community building and civic engagement, governance, and advocacy, public policy, domestic and global issues to motivated students. focus on selfempowerment, emotional learning and social justice action. encourage students to excel and become advocates for their own education and communities.

Going into our 10 Year!

The Mission of The Bella Abzug Leadership Institute th (BALI) is to inspire girls and young women to become effective, dynamic and visionary 21st century leaders as well as active and creative participants in civic, political, corporate and community life. BALI’s signature leadership and debate training coupled with our mentoring program, provides the skill set that instills confidence, and gives a strong voice to girls and young women from middle school to high school and college in the New York Tri-state “Women will run area.

the 21st Century…

This is going to be the women’s century and young people are going to be its leaders.”

-Bella Abzug, April 1997

Since our inception, we have trained

over 900 girls

in the NY Tri- state area.

For more information about BALI, please visit us at www.abzuginstitute.org.

The Bella Abzug Leadership Institute is a 501 (C) (3) Not- For Profit Corporation, all donations are tax deductible to the maximum extent allowed by law

TOP ORGANIZATION TO WATCH for 2015

Photo Howard Weschler

CREW NY 2015 Board and Committee Chairs for CREW New York: (Left to right) Pat Hildebrandt, Sheri Best, Iva Kravitz, Laura Walker, Christy Ullo, Jaimee Nardiello, Karen Shaw, Jane Lyons, Michele Boddewyn, Christine Chipurnoi, Erin Bond, Robin Fisher, Michele O’Connor, Lucy Carter, Michelle Cooper, Kenne Shepherd, Marianne Mathieu, Sara Rubenstein, Dana Trulis, Rochelle Crespi

“We can now mentor more women in all levels of real estate.”

“We are now in more diverse verticals and varied industry segments.”

“We are now the largest professional real estate women’s organization in New York.”

“We now have a larger presence at the national level.”

These are just a few of the assertions made by CREW New York’s new Co-Presidents, Jane Lyons of Rhode Associates and Christine Chipurnoi of Wells Fargo, who are now heading this larger and more powerful organization dedicated to strengthening women throughout New York City’s real estate arena.

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Top: The Presidents: Association of Real Estate Women (AREW) Immediate Past President Lina Telese, CREW CT President-Elect Janet Wheeler, CREW CT President Beth Ann Harney, AREW President Erin Bond, NYCREW President-Elect Christine Chipurnoi, AREW Vice President Jane Lyons, and NYCREW President Laura Walker.

Middle: 2014 AREW President Erin Bond and President-Elect Jane Lyons.

Bottom: NYCREW 2014 Board Member Erin Beitz and President-Elect Christine Chipurnoi.

Photos © www.onefinedayphotographers.com

Based upon an official declaration in December, 2014, two organizations serving women real estate professionals in the New York City market – the Association of Real Estate Women (AREW) and New York Commercial Real Estate Women (NYCREW) – have now joined forces to form a single, integrated organization, leveraging 50 years of combined histories and achievements.

FIVE-YEAR PLAN With a combined membership of more than 350, “the organization’s dedication to advancing women in real estate will provide its members and sponsors with opportunities like never before,” says 2014 AREW president Erin Bond, of the Center for Real Estate Studies, New York Law School. But that’s only the beginning.

“We want CREW New York to become the largest chapter in the CREW network,” Chipurnoi says, “For us, one plus one equals five.” Laura Walker, SVP at Citibank, and the most recent Director of NYCREW, concurs. “CREW New York is well-positioned to have explosive growth,” she says. “We can focus on doing business together, growing the membership, and mentoring and developing future leaders.”

And that’s no easy task. With nearly 9,000 CREW Network members representing almost every discipline within the real estate industry and ranging across more than 70 major markets in North America, CREW New York has its work cut out for it. Still, no one could be more supportive of its future success than CREW Network’s CEO Gail Ayers, Ph.D. “We are delighted about the merger of AREW and NYCREW,” she says. “With their combined strengths, CREW New York will create an even stronger organization for our New York members and heighten the presence of the CREW brand in one of the most significant commercial real estate markets in the world.”

Specifically, CREW New York plans to increase its power and presence in a number of ways. “Now that we are one of the top www.sokolmediaonline.com • 5

five chapters, we are looking forward to networking with other members beyond our geographic locations,” Lyons says. As part of the organization’s five-year growth plan, the organization plans to increase membership to 1,000 through specific recruitment targets, which includes engaging women in a variety of functional roles and market segments that currently have lower representation. These segments areas include construction, architecture, development, investment management, finance and private equity markets. “We want to provide more high-level programming, while still keeping the best programming from each of the previous organizations,” Bond says. “But we will also enhance them.” Further, additional events will focus on topics of interest including career advancement, social media, and networking. “We want to be relevant from a content-driven perspective,” Chipurnoi says, “while also responding to the immediate needs of the market.”

“Further,” Lyons adds, “we want to show senior-level women in C-Suite roles that they don’t need to join a different organization. If they want to have a high-touch experience, if they want impact, if they want legacy, CREW New York is the place.”

NATIONAL PERSPECTIVE Members of CREW New York are not the only ones to gain from the merger. By leveraging the New York region, CREW National will also benefit, and no one knows this better than Faith Hope Consolo, chairwoman of Douglas Elliman’s Retail Group, who has been appointed chairwoman emeritus of CREW New York and will serve in an advisory capacity to the Board.

“CREW National always felt that there should be one big chapter in New York City, the most prominent commercial real estate market not just in North America, but the world,”

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Top: March 2011 Leading Ladies panel: From Left: Andrea Olshan, NYCREW 2011 President Karen Dome, Helena Durst, Lisa H. Silverstein, NYcrew Director of Communications and panel moderator Faith Hope Consolo, NYCREW 2011 President-Elect Shari Linnick.

Bottom: Leading Ladies, 2013: NYCREW President Elect Laura Walker, Speakers Samantha Rudin Earls and Amy Rose; Panel Moderator and NYCREW Board Member Faith Hope Consolo, Speaker Shari Goodstein Rossi, NYCREW Past President Karen Dome.

Photos © www.onefinedayphotographers.com

Top: Leading Ladies 2014: NYCREW Board Member Erin Beitz, Speaker Laurie Zucker, Moderator and NYCREW Board Member Faith Hope Consolo, Speakers Shari Goodstein Rossi, Archie Gottesman.

Bottom Left: NYCREW Facilities Management Panel: Moderator and Co-Sponsor Amelia Janisz, Speakers Audrey Schultz and Patricia Revellese, Michael Aisner, Paul Magda.

Bottom Right: NYCREW’s Women Greening NYC Panel 2014 and the Board: Esen Edip, NYCREW Board Member Theresa Garelli, Esq., NYCREW President Laura Walker, Panel Moderator Amelia Janisz, Christopher Savoglou, event sponsor Ted Moudis, Speaker Eleni Reed, Lucy Carter, Speakers Sukanya Paciorek and Charlotte Matthews, NYCREW Treasurer Nancy Wood, NYCREW Board Member Erin Beitz.

Photos © www.onefinedayphotographers.com

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NYCREW 2014 Board, from left: Director Beth Zafonte, Treasurer Nancy Wood, Director Erin Beitz, President Laura Walker, President Elect Christine Chipurnoi, Directors Faith Hope Consolo and Annemarie DiCola, Past President Shari Linnick, Director Theresa Garelli, Esq.

Consolo says. “CREW New York’s new critical mass will allow us to invite leaders from chapters all over the country to speak at our events, which will also help them network with our members here. The connection between our chapters around the country will make us a stronger force not only within our industry – allowing each member to expand her business network – but to the business community at large.”

And now, CREW New York has even more to celebrate. Lyons and Chipurnoi recently announced that CREW National will hold its 2016 National Convention in New York City, which stands as a testament to the strength and potential growth of this new organization, both locally and nationally. “New York is unlike any other region in the country,” Consolo adds, with a smile, “Here, we have the best and the brightest!”

From Left: Erin Bond, Laura Walker, Christine Chipurnoi.

Photos © www.onefinedayphotographers.com

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Commercial Real Estate Women’s Network 2015 Board Bottom row: 2015 President Lori Kilberg Second row: CREW CEO Gail Ayers, President-Elect Laurie Baker, Immediate Past President Judith Nitsch Third row: Directors MaryBeth Shapiro, Faith Hope Consolo, Linda Adler Back Row: Directors Christine Gorham, Barbi Reuter, Alison Beddard, Jennifer Carey

SAVE THE DATE! for the

2015 CREW Network Convention and Marketplace September 30 to October 3, 2015 Hyatt Regency Bellevue Bellevue, Washington (on Seattle’s Eastside)

AUDIT COMMITTEE Jennifer Carey JLC Environmental Consultants

INDUSTRY RESEARCH COMMITTEE MaryBeth Shapiro Republic Title of Texas

COMMUNICATIONS COMMITTEE Faith Hope Consolo Douglas Elliman Real Estate

MEMBER EDUCATION COMMITTEE Christine Gorham Eastwood Real Estate Services LLC

Barbi Reuter Cushman& Wakefield/PICOR FINANCE COMMITTEE Linda Adler Carlton Fields Jorden Burt, P.A.

NATIONAL CONVENTION COMMITTEE Allison Beddard Cushman & Wakefield Commerce RECOGNITION COMMITTEE Judith Nitsch Nitsch Engineering

CREW NATIONAL NEWS CREW Network’s Boston-based affiliated chapter changes name to CREW Boston All 72 affiliated chapters in U.S. and Canada now carry CREW name

C

ommercial Real Estate Women (CREW) Network has announced that its Boston-based affiliated chapter has changed its name to CREW Boston. With this name change, all 72 chapters affiliated with CREW Network now carry the CREW name.

Founded in 1982 as New England Women in Real Estate (NEWiRE), CREW Boston is one of the largest chapters in the Network. With more than 500 members, the chapter focuses on educational programs, networking, mentoring and other activities that support the professional development of women working in commercial real estate throughout the region. At the same time, the influence of CREW Boston’s members reaches much further – more than 50 percent of the chapter’s members work for organizations with a national presence.

“NEWiRE has always been an important part of the Network,” said CREW Network CEO Gail Ayers, Ph.D., “and this change underscores the strength of the CREW brand. With the multitude of national and global companies in the Boston market, this change will create a greater awareness of CREW Network’s presence across

North America and foster more opportunities for our members to work together to succeed.”

The name change became official on Jan. 1, but the chapter will hold its official celebration at its Jan. 22 luncheon.

“With more than three decades of growth behind us, it was the right moment in our evolution to connect our members more strongly with the CREW Network and brand,” said Claudia Piper, CREW Boston president and senior vice president at Boston’s Webster Bank. “Real estate has always been about location and relationships, but in a global marketplace, it is important for our members to benefit from the connections of an international organization.”

Since affiliating with CREW Network in 1996, the chapter has been actively involved in helping set the organization’s direction.

Three CREW Network presidents have come from CREW Boston: Marianne Ajemian (Nutter, McClennan & Fish, 2007), Kristen Blount (Colliers International, 2010), and Judy Nitsch (Nitsch Engineering), who just completed her term as CREW Network’s 2014 president and is currently serving on the CREW Network Board of Directors as immediate past president.

CREW Scholarship Program

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REW Network Foundation scholarships are intended to encourage women to pursue an education which will lead to a career in the commercial real estate industry. Applications are accepted annually from Jan.- Apr. Winning scholars are notified by phone in June.

To date, CREW Network and its Foundation have awarded 66 scholarships totaling $520,000.

With the help of its generous donors, the CREW Network Foundation Scholarship Endowment and its scholarship program partners,The Goldie B. Wolfe Miller Women Leaders in Real Estate Initiative (GBWM Initiative) and Prudential Real Estate In-

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vestors, CREW was able to award ten (10) $5,000 scholarships a year: • •

•

CREW Network Foundation scholarship (4 awarded) CREW Network Foundation / Jane Ayers Wooley memorial scholarship (2 awarded) *Funded by donations made in memory of Gail Ayers’ (CREW Network CEO) sister.

CREW Network Foundation / Goldie B. Wolfe Miller Women Leaders in Real Estate Initiative scholarship (2 awarded)

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CREW Network Foundation / Prudential Real Estate Investors scholarship (2 awarded) All ten (10) scholars will receive: •

$5,000 (tuition and books)

•

Paid internship

•

Free CREW Network student atlarge membership (18 months)

•

Matched with a CREW Network member eMentor

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Free registration to the 2015 CREW Network Convention & Marketplace

CREW Network exists to influence the success of the commercial real estate industry by advancing the achievements of women.

e-Mentoring

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REW’s goal is to further the progress of women underrepresented in commercial real estate through a dynamic, technology-supported mentoring network.

Building upon the success of CREW Careers, the growth of UCREW and utilizing eMentors, the eMentoring Model will:

•

•

Give protégés a glimpse of the profession from the perspective of a practitioner; Provide knowledge, experience, and possible opportunities for protégés to observe (job shadow) an average day

•

•

in the life of a commercial real estate professional; Provide referrals to relevant community/school resources to enhance their interest in specific commercial real estate fields; Increase awareness of the profession and influence the quality and diversity of the applicant pool for commercial real estate companies.

eMentoring Program Thanks to Opus Foundation and James E. Gibbons Educational Development Trust

Fund, CREW Network Foundation funded the development of an eMentoring curriculum to train successful commercial real estate professionals to provide mentoring support to students, entry-level professionals, seasoned professionals making career changes, and those struggling to advance within her industry. The eMentoring program provides positive, one-on-one technology-based mentoring services to highly motivated protégés.

For further information, please visit www.crewnetwork.org

CREW 2015-2016 Leadership Summits 2015 Spring Leadership Summit June 18-19, 2015 Renaissance Baltimore Harborplace Hotel | Baltimore, Md. 2015 Fall Leadership Summit - prior to convention Sept. 30, 2015 Hyatt Regency Bellevue on Seattle’s Eastside | Bellevue, Wash.

2016 Winter Leadership Summit Jan. 28-29, 2016 San Antonio Marriott Riverwalk | San Antonio, Tex 2016 Spring Leadership Summit June 16-17, 2016 Detroit Marriott at the Renaissance Center | Detroit, Michigan

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INDUSTRY NEWS

REAL ESTATE BOARD OF NEW YORK PRESIDENT STEVEN SPINOLA STATEMENT ON MAYOR DE BLASIO’S STATE OF THE CITY ADDRESS “THE MAYOR’S CALL for an additional 160,000 market-rate units, above and beyond the 200,000 affordable units the administration plans to build or preserve over the next decade, is bold. It will go a long way to keeping New York the greatest city in the world in which to live, work, and raise a family.

Building more new market rate and affordable housing

and preserving and enhancing our current inventory of affordable housing is the only way to address our decades long housing shortage. Without such bold initiatives, the City’s housing market will tighten further and become even more expensive. Our industry stands ready to work with the Mayor and other stakeholders to put shovels in the ground and cranes in the sky to tackle this important goal.”

CUSHMAN & WAKEFIELD COMPLETES SALE OF AMERICAN BIBLE SOCIETY CORPORATE HEADQUARTERS BUILDING AT 1865 BROADWAY IN COLUMBUS CIRCLE C&W New York Capital Markets Group sells American Bible Society’s world headquarters site consisting of 265,000 square feet of zoning floor area for development into a prime, luxury residential building.

CUSHMAN & WAKEFIELD recently announced that it has advised American Bible Society (ABS) on the sale of its headquarters building at 1865 Broadway for $300 million to AvalonBay Communities, Inc. “The 1865 Broadway property has served us well for nearly 50 years.

The decision to sell the property was made to unlock the value of the site to further the mission of American Bible Society,” said ABS Board chairman, Nick Athens. “As we approach a third century of mission, we are laying the groundwork for the next 100 years of inviting people to experience the lifechanging message of the Bible.”

A Cushman & Wakefield team led

by Helen Hwang, Nat Rockett, Steve Kohn, Karen Wiedenmann and Brian Szczapa, represented American Bible

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Society in the transaction.

“We are extremely pleased to assist American Bible Society in a transaction that is so important to their mission,” said Hwang, a Cushman & Wakefield Executive Vice President.

“Development sites with a significant footprint and meaningful scale almost never become available in Manhattan, let alone within a location with such a global presence. To complete a deal with AvalonBay just speaks volumes for the potential of this project.”

ABS recently announced plans for a new global headquarters in center city Philadelphia, merging staff from its current New York City and Valley Forge, Pennsylvania locations.

A Cushman & Wakefield leasing team, led by Heather Sloan,Timothy Arizin and Edward Weiss, assisted

American Bible Society in selecting its new ministry site. In addition to staff offices, the new location will include a proposed ground-floor Bible Discovery Center on the doorstep of Philadelphia’s Independence Mall.

“American Bible Society has a remarkable Scripture collection of over 50,000 volumes in 2,500 languages,” said Heather Sloan, a Cushman & Wakefield Associate Director. “That collection will now be just steps from where the Declaration of Independence was signed, close to many other incredible museums and historical sites, continuing the transformation of Independence Mall in Philadelphia. Cushman & Wakefield is honored to have assisted American Bible Society with its headquarters relocation.”

INDUSTRY NEWS

serving tourists and resid world’s best holiday mark brick-and-mortar stores, a-kind Greenmarket boo namic and convenient ho

on New UNION SQUARE SEES Spotlight MAJOR JUMP IN Neighborhood The Union Square culinary landscape continues to evolve neighborhood Italian join DAILY VISITORS with a variety of new restaurants, innovative food concepts bar experience, Darrow’s and attractive opportunity sites. Recent additions to Park Avenue South include Florian’s classic Italian dishes, the 383,000 DAILY VISITORS MAKE GROUND-FLOOR RETAIL playful and inventive menu at Morton’s Grille, W New York OPPORTUNITIES IN DISTRICT EVEN DESIRABLE UnionMORE Square’s 201 Bar & Restaurant, and Thai street-food, Wok to Walk. Other district openings include Little Sal’s THE UNION SQUARE NEIGHBORHOOD sees 383,000 daily visitors, an all-time high and an 11% increase since 2012, according to the Union Square Partnership’s 2014 Pedestrian Activity Report. The Union Square Partnership (USP) attributes the neighborhood’s growth to the strong office leasing activity in Midtown South and USP’s work to bring new amenities to the area as well as its commitment to cleaning, promoting and beautifying the Union Square district. With this jump in foot traffic, current ground-floor retail opportunities in the district look particularly promising.

The district’s ground-floor retail vacancy rate remains one of the lowest anywhere in New York City at 2.9%.

Given this low rate, very few prime retail spaces in the heart of the district are available for businesses looking to move into the bustling neighborhood.

A new report by the Union Square Partnership highlights the available retail spaces in the Union Square-14th Street area. One of the largest spaces and one that offers excellent visibility from the center of Union Square is 9,505 SF at 34 Union Square East at the corner of East 16th Street being leased by Cushman & Wakefield. At 22 East 14th Street, Sutton-Garret Real Estate is leasing an 8,000 SF space with large street frontage above the new Planet Fitness. And, right along the Union Square Park, Newmark Grubb Frank Knight is leasing 4,000 SF at 25 Union Square West. A complete map of the district’s ground-floor retail opportunities is available on the second page of the report.

“Retailers have an exciting opportunity in 2015 to capitalize on Union Square’s all-time high pedestrian activity,” said Union Square Partnership Executive Director Jennifer Falk.

“Union Square has it all: a multitude of transit options (subway lines, Citi Bikes, buses), a beautiful park, unique shops, delicious restaurants, and a world-renowned Greenmarket.

To keep the area thriving and a place where businesses want to set up shop, the Union Square Partnership makes sure the streets are clean and safe and the Union Square Park remains an inviting public space with a state-of-the-art playground and free entertainment and fitness programming.”

Recognizing the benefits of establishing a business in Union Square, dozens of new retailers, fitness studios, and eateries signed leases in the neighborhood in 2014. New stores for homeware included Chilewich and Homenature.

New Retailers & Eateries Aum Namaste Bookstore Burger & Lobster Chilewich City MD CrossFit Union Square CVS Darrow’s Eddie Bauer Florian Homenature Little Sal’s Lot Less MAC Cosmetics Morton’s Grille Shuko Wok to Walk

222 East 14th Street 39 West 19th Street 23 East 20th Street 216 East 14th Street 1 Union Square West, BSMT 2 West 14th Street 115 East 18th Street 100 Fifth Avenue 225 Park Avenue South 7 West 18th Street 10 East 16th Street 17 West 14th Street 853 Broadway 233 Park Avenue South 47 East 12th Street 42 Union Square East

Retail Food and Drink Retail Medical Gym Retail Food and Drink Retail Food and Drink Retail Food and Drink Retail Retail Food and Drink Food and Drink Food and Drink

Burger & Lobster serving concepts expected in th etarian ABC Home Gro restaurant in the former SF café and gourmet food of prominent spaces cur page), the neighborhood options are primed to c eateries and restaurants

via urban75.org

New clothing and cosmetics stores included Eddie Bauer, Rent the Runway, and MAC Cosmetics. Contributing to the area’s reputation as a health and wellness destination, CrossFit Union Square, Reebok FitHub, Planet Fitness, and two Liquiteria locations opened in the area. In addition, a variety of eateries opened, including, Dough, Roast Kitchen, Florian’s, Botequim, Shuko, Morton’s Grille, Burger and Lobster, and Wok to Walk. New dining concepts expected in the coming year include vegan/vegetarian ABC Home Grown, Simon Oren’s new Spanish restaurant in the former Sushi Samba space, and a 22,000 SF café and gourmet food market, Urban Fare.

Union Square is home to over 70,000 residents, 150,000 workers and 40,000 students.

About the Union Square Partnership The Union Square Partnership (USP) is a private, not-forprofit community-based organization responsible for the revitalization of the 14th Street-Union Square neighborhood. USP’s mission is to improve the quality-of-life for the district’s residents, businesses and visitors, by providing public safety, sanitation, economic development and marketing services, and investing in the beautification of Union Square Park. For more information, visit www.unionsquarenyc.org.

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INDUSTRY NEWS

Urban Land Institute’s Emerging Trends in Real Estate® Americas (2015) Sustaining momentum, but taking nothing for granted.

Houston Voted Top City for 2015; Industrial Sector Remains Investor-Favored Property Type Charlotte N.C., in seventh place, is rated higher than Seattle THE SUSTAINED PERFORMANCE of the U.S. and Boston; and Nashville, ranked at 14, tops Manhattan. commercial real estate industry is expected to continue in “Investors are looking closely at opportunities beyond the 2015, fueled by improving fundamentals and robust investor core markets. These cities are positioning themselves as appetite – both domestic and foreign.

“Unlike previous reports and previous cycles, we are seeing highly competitive, in terms of livability, employment offersustained growth,” said Mitch Roschelle, partner, U.S. real es- ings, and recreational and cultural amenities,” Phillips said.

PwC and ULI outline the top trends in real estate for 2015: tate advisory practice leader, PwC. “In the past several years, we reported that real estate market participants’ main fears revolved around the uncertainty with the economy. Now, the 1. The 18-hour city comes of age trepidation in their eyes has more to do with the ability of The urbanization of America has given life to cities that had the growing real estate markets to adapt to a series of mega been historically nine-to-five. According to interviewees, trends impacting society and the global economy. These no longer is it accepted that only the great coastal cities mega trends include accelerating urbanization, demographic can be alive around the clock and on weekends. Downtown shifts and the impact of distributive technological transformations the key ingredients of housChapter advance1: Sustaining Momentumhave butcombined Taking Nothing for Granted ments.” ing, retail, dining, and walk-to-work offices to generate urban ULI Global Chief Executive Officer Patrick L. Phillips cores, spurring investment and development and raising the pointed to the continued rise of markets other than the largquality of life for a roster of cities. Buyers have more markets est coastal cities as top choices for overall real estate prosto consider now that the 18-hour centers are putting the elepects. Houston and Austin, which are ranked first and secments in place to ratchet up their investment capital flows. ond, respectively, topped San Francisco as favorites for 2015;

Real Estate Business Prospects Exhibit 1-4 Real Estate Business Prospects Multifamily developers

Real estate brokers

3.95 3.68 3.49 3.14

Insurance company real estate lenders 3.32

3.22 3.62 3.56

3.91 3.62 3.21 2.95

Homebuilders/residential land developers 2.64 1.66

Architects/designers

3.62 3.27 2.49 2.09

Real estate consultants

3.59 3.33 2.87 2.67

3.86 3.52

Private local real estate owners 3.18

2.84 3.76 3.46

Real estate investment managers 3.18

3.02

Commercial developers

REITs

3.57 3.43

3.72 3.68 3.49 3.14

Commercial bank real estate lenders 3.04 2.76

3.72 3.42 3.46 3.27

1 Abysmal

2015 2014 2013 2012

3.63 3.51

2015 2014 2013 2012

CMBS lenders/issuers

2 Poor

3 Fair

4 Good

5 Excellent

3.45 3.29 2.74 2.44

1 Abysmal

2 Poor

3 Fair

4 Good

5 Excellent

Source: Emerging Trends in Real Estate surveys.

Notes: Based on U.S. respondents only. Before the 2015 survey, “Commercial developers”’ and “Multifamily developers” were combined under the category “Commercial/multifamily developers.”

have been much talked about, but for all their impact thus far, there is much more to come. And the changes will accelerate 14 • www.sokolmediaonline.com and become more complex over the next ten years.

An institutional investor notes, “Renter-by-choice is still a potent

home.” Investors do not have to plan on this remaining constant since emerging trends take time to unfold. “A typical investment hold period for a core investment fund is ten years. What will the impact of the millennials be then?”

Chapter 1: Sustaining Momentum but Taking Nothing for Granted

3,500,000

2.5% Labor force growth

3,000,000

Average growth, 1980–2007

2,500,000

2.0% Average projected growth, 2008–2025

Annual percentage change

1.5%

2,000,000 1,500,000 1,000,000 500,000 0

INDUSTRY NEWS

U.S. Labor Force Exhibit 1-6 U.S. LaborGrowth Force Growth

Exhibit 1-6 U.S. Labor Force Growth

1.0%

3,500,000 3,000,000

2.5%

0.5% Labor force growth Average growth, 1980–2007

2.0%

0.0%

2,500,000

Annual percentage change

projected growth, 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 Average 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025

-500,000

2008–2025

1.5%

-0.5%

2,000,000

Sources: U.S. Bureau of Labor Statistics; Moody’s Analytics (Economic & Consumer Credit Analytics) forecast.

1,500,000

and the influenza breakout. Without a change in immigration policy, the U.S. will face a severe shortage of workers.” (Yes, 3. Labor markets are trending toward a you read that right: “since the end of World War ONE.”) Some The millennials are an even larger cohort than their partippinginpoint 500,000 developers the Southwest are already reporting feeling the ents – the baby-boom generation. While the tendency of The report states thatthe forward-looking are wakpinch.

And what about disincentives inbusinesses our visa system?

Survey respondents place job growth at the top of the list millennials to postpone homeownership and rent longer ing up a realization that whileprogram’s we were worried about Both theto E-5 “investor immigrant” constraints andthe a of most important 0issues for real estate, closely followed by will affect the apartment sector over next several years, “jobless recovery,” longer-term market were 2001 and 2002 2003 2004the 2005 2006 2007 2008 2009 student 2010 2011visa 2012 2013 2014 2015 2016 labor 2017international 2018 2019 trends 2020 2021 2022 program that educates students and2023 the related concerns2000 of wage income growth.

A leading many survey interviewees noted thatgrowth investors should -500,000 moving in them exactly the to opposite direction.

Retirements willare then sends home compete against the United States economic consultant says, “Labor force in the next few consider how the housing preferences of millennials could accelerate while the peak by of millennial labor force enconsidered ripe for change our interviewees. years will drop to U.S. the Bureau slowest growth rateMoody’s since Analytics the end(Economic of WWI Sources: of Labor Statistics; & Consumer Credit Analytics) forecast.

1.0%

for workers across the entire occupational spectrum. A global 1,000,000 search for talent is underway, and the United States needs to 2. The changing age game prepare for that. The steps need to start immediately.

0.5% 0.0% 2024 2025

-0.5%

Madison Honolulu Raleigh/Durham Minneapolis/St. Paul Tucson Charleston Omaha Boise Oklahoma City Portland, OR Austin Norfolk Kansas City Denver Salt Lake City Des Moines Seattle All-market average Memphis Atlanta Birmingham Cleveland Richmond Dallas/Fort Worth Louisville Chicago Inland Empire Las Vegas Los Angeles Tampa/St. Petersburg Miami Providence Houston Philadelphia New York City

change in the 2020s. Looking beyond the millennials, the trants has already passed. Within a few years, the talk will report anticipates further industry changes resulting from be about labor shortages, not surpluses. notion that and the influenza breakout.The Without a change in immigration for workers across the entire occupational spectrum.

A global Exhibit Potential Gap by Market the 1-7 emergence of Skills the smaller “Generation Z.” Planning “jobs people” willwill morph a primary rule of workers.” (Yes, policy, the U.S. face into a severe shortage search for talent is underway, and the United States needs to are chasing for a nation with lesser household formation, fewer new respondents place growthWar ONE.”) Some you readSurvey that right: “since the endjob of World prepare for that. The steps need to start immediately. of the labor market. consumers, and a meager number of workforce entrants is at the top ofdevelopers the list of most important issues for real reporting feeling the in the Southwest are already the challenge ahead for a real estate industry with its eye estate, closely followed theabout relatedthe concerns of wageinand 10% pinch.

Andby what disincentives our visa system?

Survey respondents place job growth at the top of the list on the 2020s. The report also notes that baby boomers – as growth.

Both the E-5 “investor immigrant” program’s constraints and a of most important issues for real estate, closely followedincome by 5% workers and retirees — will continue to have a significant student visa program that educates international students and the related concerns of wage and income growth. A leading impact on real estate development and investment for at then sends them home to compete against the United States are economic consultant says, “Labor force growth in the next few 0% least two more decades. considered ripe for change by our interviewees. years will drop to the slowest growth rate since the end of WWI -5%

Potential

by Skills Market Exhibit 1-7 Skills Potential Gap by Market

-15% -20% -25%

10% 5%

Madison Honolulu Raleigh/Durham Minneapolis/St. Paul Tucson Charleston Omaha Boise Oklahoma City Portland, OR Austin Norfolk Kansas City Denver Salt Lake City Des Moines Seattle All-market average Memphis Atlanta Birmingham Cleveland Richmond Dallas/Fort Worth Louisville Chicago Inland Empire Las Vegas Los Angeles Tampa/St. Petersburg Miami Providence Houston Philadelphia New York City

-10%

Notes: “Skills gap” is the difference between percentage of job openings projected to require some college and percentage of population with some college.

Estimates are for year-end 2012.

Source: Brookings 0% Institution.

-5%

Emerging Trends in Real Estate® 2015

7

-10% -15% -20% -25% Notes: “Skills gap” is the difference between percentage of job openings projected to require some college and percentage of population with some college.

Estimates are for year-end 2012.

Source: Brookings Institution.

Emerging Trends in Real Estate® 201515 7 www.sokolmediaonline.com

•

INDUSTRY NEWS

Importance of Issuesoffor RealforEstate in 2015 Exhibit 1-8 Importance Issues Real Estate in 2015 4. Real estate’s love / hate relationship with technology intensifies

1 No importance

No form of real estate is exempt from the exponential expansion of technology. Interviewees see technological disruption as providing new business tools and environments, opening new business paths, and cycling forward as a source of user demand in an era when more traditional industries may be sluggish. Technology is pushing change in space use, locations, and demand levels at an accelerated pace. It is now the norm to anticipate, strategize, and respond to new technologies before they are mainstream. Overall, the fear factor about technological disruption is easing, according to surveyed respondents.

E-commerce and crowdfunding, for example, are being viewed as an adaptation challenge, as retailers become “omnichannel distributors” and e-tailers begin to open brick-and-mortar stores.

5 3 4 Moderate Considerable Great importance importance importance

Economic/financial issues Job growth 4.59 Income and wage growth 4.11

●●

Interest rates 4.01 Global economic growth 3.51 Inflation 3.49 European financial conditions 3.44 New federal financial regulations 3.26 Energy prices 3.19 Federal fiscal deficits/imbalances 3.13 State and local budget problems 3.08 Slower growth and financial 2.94 instability in China

●●

Social/political issues Terrorism/war 3.53 Political gridlock 3.37

5. Event risk is here to stay There is nothing new in seeing investors along the continuum from “core” to “opportunistic,” but the trend will be that such distinctions are heightened over time, and 2015 looks to be a year when this will be especially evident, interviewees note. The reason is that the concern about “event risk” is troubling the minds of more and more interviewees (geopolitical risks, global unrest, and natural disasters). This is why international investors are considered to be the best prospect for increasing investment volume in 2015, according to the survey.

Federal government actions 3.35 Lack of qualified workers 3.31

●●

Immigration 3.14 Rising cost of education 2.97 Social equity/inequality 2.75 Real estate/development issues Construction costs Land costs Vacancy rates Infrastructure funding/development Refinancing Transportation funding Future home prices CMBS market recovery NIMBYism Affordable/workforce housing Deleveraging Wellness/health features in buildings Green buildings Risks from extreme weather

6. A Darwinian market keeps the squeeze on companies Competition is unrelenting, and the need to have a clear “brand identity” is important as firms seek to navigate in the swift stream of capital. The recent spin-off activities in the retail, office, and hospitality real estate investment trust (REIT) sectors sound a theme that will echo as a trend in 2015. The drive for efficiency and effectiveness in both service delivery and cost will filter from investor expectations down to the service providers, the report states.

1

7. A new 900-pound gorilla swings into view

2

3

4

5

16 • www.sokolmediaonline.com

Note: Based on U.S. respondents only.

What’s the emerging trend? Look for a change in the terms of debate from “defend our borders” to “send us workers” in the coming years.

8

Many of perman erosion, tors wei force pa we talkin figures s been ou has bee

Data su knowled are seek facturing since Ja

The volu matches trends to Product

Since a pro to grow thei aggressivel

4.05 3.90 3.76 3.72 3.55 3.47 3.24 3.20 3.15 3.13 3.02 2.74 2.67 2.51

Source: Emerging Trends in Real Estate 2015 surveys.

Emerging Trends 2014 alerted readers to the establishment of the Defined Contribution Real Estate Council to help plan sponsors and their participants achieve better investment outcomes through the use of institutional quality real estate. With a combined $12.6 trillion in capital, individual retirement account (IRA) and defined contribution (DC) funds will be identifying and taking advantage of the benefits of having high-quality commercial property in a mixed-asset portfolio.

Is this some excesses? N no one’s ide the alarm ab ahead. Its re Unemploym released in

8. Infrastructure: time for the United States to get serious?® Emerging Trends in Real Estate 2015

For all our vaunted technological innovations, the foundation of our commerce is eroding around us. It’s not just bridges and roads – since 2009, spending on educational buildings and health care facilities (by both public and private sectors) is down by one-third in real-dollar terms.

What does veterans wo filling office for improvin hotels and r unemploym by restrictiv Conference with suppor a cap of 15, try’s constru

While those the claim th ness in the opposite dir

100% 90%

Asia-based investors

80%

Europe-based investors

70%

level60% since the Hoover Dam was constructed during the Great 50% Depression.

The level of the lake has dropped 100 feet during this drought, and 150 feet from its high water mark in 1983. This 40% has cities like Denver, Phoenix, Las Vegas, and Los Angeles 30% Chapter 1: Sustaining scrambling, and has the federal government initiating a pilot pro20% gram to pay cash as an incentive to reduce water use. Needless 10% to say, if these cities were to face serious growth constraints on 0% population gains because of water deficiency, that would alter North America Europe Asia Global America’s real estate map considerably. A valuation specialist Source: Prequin. with a national practice had this to say: “How do we get what we need where weoff” need DroughtsLittle havewonder, been coming more them.

That’s “risk to it?” an extreme. then, that frequently and are longer lasting.

Can we figure out the transinternational investors are considered to be the best prospect portation of water?

Pipelines, pricing? for increasing investment volume in 2015, according to the Investment Prospects byeasements, Asset Class

North America–based investors

INDUSTRY NEWS

Percentage targeting area over next 12 months

World Regions

by Investor Location Exhibit 1-9 World Targeted, Regions Targeted,

by Investor Location

structure quality and reliability is negative, both in the immediate and in the mid-range future. It may take a catastrophe to move us off this particular dime.

Momentum but Taking Nothing for Granted

9. Housing Steps Off the Roller Coaster

understanding of Wall Street analysts, the more “pure play” the 1,000 Emerging Trends in Real Estate® 2015 better. Hence, the recent spin-off activities in the retail, office, and hospitality real estate investment trust (REIT) sectors sound 500 a theme that will echo as a trend in 2015. One analyst notes that while 0 “industry metrics are good, it is hard to be accre2010 acquisitions.

2010 2010 Companies 2011 2011 2011 2012 2012 tive merely2010 through need2011 to sharpen Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 their focus.” Some see this as a necessary discipline, a sign Source: National Association of Realtors. of maturity for the industry, and a harbinger of greater stability ahead. The drive for efficiency and effectiveness in both service 14 Emerging Trends in Real Estate® 2015 delivery and cost will filter from investor expectations down to the service providers.

10

That applies on the institutional investment side as well, leading one public pension plan sponsor to say that “replacing under-

as this trend gathers momentum.

2015

2014

2013

2012

2011

2015

2014

2013

2012

2011

2015

2014

2013

2012

2011

2015

2014

2013

2012

2011

2015

2014

2013

2012

2011

2015

2014

2013

2012

Seasonal adjusted annual rate (thousands)

2011

There were numerous reasons to be aghast at the housing fiasco and the vast amount of collateral damage that was inflicted on the economy and the financial system. Prior to the bubble, housing itself was thought to be “too big to fail.” Not only was the value total for residential real estate huge—in excess of from China, is making an impact in Los Angeles, Las Vegas, $20 trillion—but it was so granular that few economists believed and Miami, as well as in New York’s burgeoning outer-borough it vulnerable to systemic collapse. But collapse it did, leading market, Brooklyn. In a sense, the recent propensity of offshore Exhibit 1-10 Investment Prospects by Asset Class the nation—and the world—on an epic, stomach-churning Emerging Trends survey. investors to expand their roster of investment preferences is roller-coaster ride.

Some 5 at the end of the tunnel may come from the increas another sign of risk management—spreading their interests Excellentlight ing tendency of public agencies to turn to public/private partThe propensity for offshore wealth to find a home—literally—in across a wider geography is a way to limit downside volatility Good 4 Remarkably, housing seems to be putting the excesses of the nerships (PPPs) asisthe vehicle forofaddressing the infrastructure the United States a condition long standing.

Latin American in any one place. bubble and the ensuing collapse behind it. The trend in residencrisis.

Thehave daunting price tagMiami of needed improvements, families flocked to the area for many years. coupled Luxury tial real estate looks to be returning to the classic principles of with the straitjackets constraining public budgets, has prompted units Yield-oriented investors aren’t ceding the field. Value-add and Fairin3 the New York area have long been a part of that city’s supply and demand, with great sensitivity to any deviation from acosmopolitan wider degreeflavor. of cooperation.

The PPP approach is notold a panaBut now, sovereign wealth funds, family opportunistic investments are considered to have the best prosequilibrium quickly reflected in transaction volume and priccea, of course.

The private sector needsenjoying to earn ainitial return, and money, and high-net-worth individuals public pects for 2015 returns, according survey respondents, although ing. As this major segment of the economy—still the principal public face political pressure if theon return is derived offering are all converging the United States they think good, high-quality deals are difficult to find. But the Pooragencies 2 (IPO) proceeds of wealth for tens of millions of households—returns from increased opportunities. user fees (withReal tax increases notitseven onhas thegreat repository for investment estate in all forms best indicator that both conservative and aggressive investors to textbook fundamentals, we should see increasing confidence 1 Abysmal table in most places). Itproven is a conundrum. appeal as a durable, asset class in a risky world. will do well in 2015’s environment is the expectation that National emerge in the residential sector. There could hardly be a more Council of Real Estate Investment Fiduciaries (NCREIF) and positive the economyInvestment-grade as a whole.

Private direct Publicly listed already.

Publicly listed Publicly listed trend for Commercial On this subject, we are behind the curve ASCE estiToday’s offshore capital inflow is different in kind, as well as in National Association of Real Estate Trusts (NAREIT) real estate property companies homebuilders non–real estate mortgage–backed corporateInvestment bonds mates thatInternational theinvestments neededinvestment repair programs existing, identified or REITs securities degree. in U.S.for real estate is spread returns will risesecurities 60 to 90 basis points by 2020. Increasing returns What undergirds such a hopeful outlook? Even as the housing infrastructure needs will costand $2.2 over the next five years. across dozens markets, alltrillion income-producing property over time portend increasing capital flows, a trend that is good Source: Emerging Trendsof in Real Estate surveys. market became severely dislocated, the growth in the number Yet, a funding proposal for $50 billion to $75 billion and the Note: Based on the U.S. respondents only. types.

In 12 months ending July 31, 2014, $50.3 billion across the board for the industry. of U.S. households continued at a steady pace. Rental housing enabling legislation createacquired a national infrastructure bank are in globally sourcedto capital U.S. real property.

The benefited while single-family-home construction plummeted. mired in Washington politics.

Unfortunately, the trend of infraCanadians represented the lion’s share, at $15.1 billion.

But a Bottom line: America’s diversity—heterogeneity, to use academinvestors seek more control. This essence responsiblethe management.

While hunkering down for veritableof“spanning world” lineup each put between $2 bil-on.” The ics’largest current buzzword—is a strength andreduces a shield.the It is a strength of new managers might have seen at thisdomestic point an apocalypse is nottoa work: widespread strategy, certainly notKong,number lion and $4 billion Norway, China,and Japan, Hong because in a worldyou of dire risk, it gives both and interExisting Homes for Sale and Months’ Supply Exhibit Existing Homes for Sale and Months’ Supply in the real estate cycle, aaccording to an industry association aGermany, trend, 1-14 a concern capital conservation is clearly abroad in that’s Israel, for and Australia all were in that league.

And national capital chance not only to park money, but also to find A few niche offering funds.

Capital raising the That most likely a trend that will have legs as useofficer.markets themarketplace. most obvious of is the flows.

Many international investors andmanagers real estateare opportunities that match a whole range 12 3,500 is difficult for mid-tier managers. long as the world remains unduly exposed to the black swan of Existing homes for sale (thousands) commingled funds or invest through tax havens like Bermuda. of preferences. It is a shield because the dense web of the U.S. event risk. economy makes for greater resilience when shocks occur.

3,000 One upshot: fees (again) are going to be squeezed 10 as the Months’ supply By and large, foreign capital remains concentrated on the usual capital sources want more services for less money. After a long 6.

A Darwinian Market Keeps Squeeze 2,500 suspects: the gateway cities. The Sunbeltthe is making something year,outsourcing Emerging Trends were sensitive to periodThis in which was theinterviewees fundamental approach 8 of aCompanies comeback, attracting offshore capital to Phoenix ($700 (staying potential “black swan” developments.

“It on “lean and mean”), there is some indicationisn’t thatwhat bring-you see, 2,000 and the Texas markets (Houston, $1.1 billion, and Dallas, million) it is what you don’t see,” as one economic forecaster put it. ing real estate talent in-house is not only an improvement in Competition is unrelenting, and the need to have a clear “brand 6 $1 billion) for apartments, and Hawaii ($2 billion) and south Accommodating the potential for a downturn almost defines the accountability, but also more cost-effective.

Though this is going identity” 1,500 is important as firms seek to navigate in the swift stream billion) Development capital, especially on in just a slice of the industry, consolidation could accelerate ofFlorida capital.($1.1 For those in for thehotels. public markets, dependent upon the 4

2 difMeanwhile, capital raising in Europe has gotten more ficult with the Alternative Investment Fund Managers Directive (AIFMD). New regulations vastly increase reporting and 0 2012 2012 2013 2013 2013 Some 2013 managers 2014 2014 will 2014 compliance requirements. just not be Q3 toQ4 Q1operating Q2 Q3 Q1 reducing Q2 Q3the number of able afford underQ4AIFMD, private equity firms and hedge funds sourcing capital from the European Union, in the view of one such investor.

As more and more capital has become available, www.sokolmediaonline.com more and • 17 more players naturally have been looking to tap the cash. That leads to overpopulation in the field. Look for a winnowing-out process as the next step. The brokerage industry, it might be

Exhibit 1-15 Change in Disposable Income, Median Home Sales Price, and Affordability

250

14%

Median sales price

Affordability index

12%

8%

Disposable income growth

150

6% 4%

100

2% 0% -2%

2010 Q1

2010 Q2

2010 Q3

2010 Q4

2011 Q1

2011 Q2

2011 Q3

2011 Q4

2012 Q1

2012 Q2

2012 Q3

2012 Q4

2013 Q1

2013 Q2

2013 Q3

2013 Q4

2014 Q1

2014 Q2

2014 Q3

Affordability index

200

10% Year-over-year change

INDUSTRY NEWS

Change in Disposable Income, Median Home Sales Price, and Affordability

50

-4% 0

-6% Sources: U.S. Bureau of Economic Analysis; S&P Dow Jones Indices; National Association of Realtors.

The result, over a period of years, has been an enormous

10. Keeping an Eye on the Bubble— 9. Housing off thefor-sale roller coaster shortfall insteps the supply of new units.

That shortfall now 2. AUSTIN – Interviewees like the industrial base, the

Emerging Concerns to the millennial generation, and the lower cost of Housingamounts seems to putting the excesses of the bubble and appeal to 9be million homes. doing business inpositive Austin.outlook The market topyear’s choice for The generally flowing was fromathis Emerging the ensuing collapse behind it. The trend in residential real The production shortfall, in turn,looks has enabled the “monthstoof sup- bothTrends interviews and survey does have a dark side. Upcycles the office sector and the single-family housing sector estate, according to interviewees, to be returning ply” figure calculated by the National Association of Realtors (NAR) breed optimism, excessive optimism can promote recklessand the number twobut ranked market for retail.

Interviewees the classic principles of supply and demand. As this major to hover around five months since late 2012, with existing-home ness. Some interviewees asked, with good reason, whether segmentsales of the economy returns to textbook fundamentals, are also attracted to Austin’s diverse employee base, and the averaging 2.1 million over the same period. There seems to real estate will soon forget the hard-learned lessons of the confidence in the sector should continue risestayedmarket is an example of “jobs chasing people.” be a point ofresidential balance for single-family residential, andto it has recent past. Such prophets of caution are worth listening to,

10. Keeping eye on bubble emerging concerns – thing. steadyan around thatthe point for two–years now. That’s a good if the respondents to our survey are right. Equity underwriting 3. SAN FRANCISCO Thethan decline from numberofone will be less rigorous in –2015 in 2014, saythe 40 percent the The generally positive outlook flowing from this year’s Meanwhile, though, disposable income growth American spotresponses across all sources of equity.

Easing of standards last year, according to surveyed participants, is due Emerging Trends interviews and survey does havefor a dark households hasoptimism, been lagging seriously.

Homebuilders—and debt side will be evencities greater, with 42.1 percent seeing growth in the other than any identifiable flaw .side. Upcycles breed but excessive optimism can moreontothe their lenders—clearly recognize that the recent price recovery inin the lenders loosening next year.The And strong this is happening at a moment San Francisco market. local economy and promote bad investment patterns. However, in most cycles, housing has outstripped incomes. And this time there is no funny when mortgage spreads are already tight, and Treasury rates improved domestic and international travel have made San overbuilding excess leverage would likely have moneyand being generated in shady mortgage deals.already So prices are will inevitably rise. started not building momentum by now. the degree that looks toFrancisco the number one choice for hotel investment in reinflating to bubble levels.

In To other words, discipline hasn’t happened, thethe industry looks like it interest has learned be governing market. Thanks to low rates, some the NAR’s2015. Respondents ranked the office market number three Exhibit 1-16 Time Horizon for Investing and the retail market number four.

Index isand still relatively high at 165, so the market lessons Affordability in self-regulation self-correction. should enjoy decent liquidity even if rates bump up.

1–3 years

4. DENVER – Denver joins Austin and San Francisco as Markets to Watch A healthy story is shaping up, whereby housing should anticipate 7.8%

markets popular with the millennial generation. Denver’s Real estate investors be willing tobuyers’ pay record moderate price continue increases, to solidly based on ability to 36.6% 3–5 years industry exposure to the technology and energy industries prices for assets in the markets duealong to the that pay, fluctuating in major a fairly narrow band withfact minor ups and has also attracted investor interest. The results of the survey downs inoffer the NAR’s existing-home sales figures. that It is acan healthy—if these markets less volatile returns of capital 5–10 years 39.3% put Denver retail at number five and office at number six. boring—story.

But after the thrill ride of the past decade in housonly be found in a limited number of markets across the ing, boring is a very, very good trend to report. globe. This year, interviewees reflected a desire to take on 16.3% 10+ years 5. DALLAS/FORT WORTH – Interviewees raise the a measured amount of new risk in search of higher yields.

0% despite 10%being ranked 20% 30%than Houston, 40% possibility that lower Two strategies mentioned repeatedly with interviewees Percentage of total survey respondents the economic diversity could make the current growth rate focused on moving to more opportunistic-style investSource: Emerging Trends in Real Estate 2015Worth. surveys. more sustainable in Dallas/Fort The market conments in the major markets or in markets close to a major Note: Based on U.S. respondents only. tinues to be attractive to real estate investors because of its metropolitan area, or looking for the best assets in markets strong job growth, which benefits fromTrends the low cost of ®livEmerging in Real Estate 2015 outside of the core major markets. This year’s market ranking and doing business.

Single-family housing in the market ings reflect the attractiveness of markets for both of these is the highest ranked property sector – and it also has the strategies. highest ranked industrial sector (number four) among the A snapshot of the top five markets ranked by survey top five markets from this year’s survey. respondents and their outlook for each market: 1. HOUSTON – Houston offers a significant amount of investment opportunity. Investors believe that the energy industry will continue to drive market growth and that will support real estate activity in 2015. Houston was ranked number one in both investment and development expectations for next year; housing market expectations are ranked number two.

18 • www.sokolmediaonline.com

Now in its 36th year, Emerging Trends inReal Estate® is one of the most highly regarded annual industry outlooks for the real estate and land use industry. It includes interviews and survey responses from more than 1,000 leading real estate experts, including investors, fund managers, developers, property companies, lenders, brokers, advisers, and consultants. Visit www.uli.org

15

DISTRICTS FOR DESIGNERS

FAITH’S FASHION FOCUS:

Herald Square Harkens A

retail legend, but one that is in the middle of a revolution: One of the most exciting retail stories in town is the continuing extension and evolution of Herald Square.

Always the retail heart of the city, now there’s a lot more than Macy’s to see!

ABOUT HERALD SQUARE

SHOP IN HERALD SQUARE

Yes, technically Herald Square is the north part of the square between West 34th and West 35th Streets, Broadway and Sixth Avenue, named for the New York Herald newspaper that once was headquartered there. (Remnants of the building, including the landmark 1895 clock, remain.) Over time, however, it became one of the most famous retail cores in the world, home to department stores such as Macy’s, Gimbel’s, E.J. Korvette and Stern’s. All but the first are now gone, but West 34th Street is seeing retail expand west from Fifth Avenue beyond the historic boundary of Seventh Avenue to the now under-construction Hudson Yards (which will eventually be home to the city’s first Neiman Marcus)!

Give yourself a world tour of affordable retail on West 34th street, beginning at Fifth Avenue. Look for some of the major national and international retailers here. Start with Bebe (1)’s chic modern fashion, or walk down the street for fashionforward items for women and men at Express (7). Affordable fashion comes from the New York legend Strawberry (14). Teens and tweens have even more options at Zumiez (15), while adults can check out casual and career wear at Banana Republic (17). Korean retail meets Southern California with the surfer-themed Who A.U. (22).

Accompany all of that clothing with shoes from Aldo (27), Geox (29) or Vince Camuto (30).

By Faith Hope Consolo Chairman, Retail Leasing and Sales Division Prudential Douglas Elliman

www.sokolmediaonline.com • 19

International and fashion for men, women and children have huge flagships at Japan’s Uniqlo (31), Spain’s Zara (39), Sweden’s H&M (47) and American-born Forever 21 (50). Look for accessories from Fossil (38) and shoes at Steve Madden (41). Natural ingredients are key to the beauty products from Lush (44), the best-smelling shop on the street! Classic American style is found at Gap (60), then indulge your love of shoes at Payless Shoe Source (110 and 213). Or look for more footwear at DSW, also 213.

If you’re shopping for athletic shoes, Foot Locker’s classic store (120) or House of Hoops (2 Penn Plaza) will serve your needs.

Even more beauty items can be found at Sephora (130) – or go for the lovely jewelry at Kay Jewelers (136).

Macy’s (151), the world’s largest and arguably most famous department store, has undergone a massive renovation – look at all the changes! Casual shoes are the order of the day at Crocs (152). Find affordable bling at Swarovski (200) or look for more fashion for the entire family at Joe Fresh (215).

Lane Bryant (225) offers plus-size options from noted designers including Isabel Toledo.

Sharing that address is Footaction, another option for athletic apparel.

20 • www.sokolmediaonline.com

For musicians (and all who love music), Sam Ash Music Stores (333) is one of the great places on the planet. If you’re more visually inclined, check out the extensive selection of professional and amateur video and audio equipment at B&H Photo & Video (420).

Off 34th Street, don’t forget to drop in on JC Penney, Aeropostale, Gamestop and more at Manhattan Mall on 33rd Street and 6th Avenue, or Victoria’s Secret (1328).

Check out Barcelona style at Desigual (958 Sixth Avenue), or get ready to hit the links at New York Golf Center (131 West 35th Street). Urban Outfitters has a major lifestyle store at 1333 Broadway.

DINE IN HERALD SQUARE Perhaps no one wants to interrupt their shopping for elegant sustenance, but fine dining is still making its way to this area. But don’t think you’ll go hungry! Macy’s massive renovation has given us better cuisine, including Stella 34 Trattoria, which joins the Cellar Bar & Grill and Cucina & Co. Also stop in at Nuchas on Greeley Square for amazing empanadas, Wafels & Dinges at Herald Square for Belgian waffles, or Simit + Smith for Turkish bagels at 1400

Broadway. The Heartland Brewery has an outpost at 350 Fifth Avenue. Nick & Stef ’s Steakhouse (9 Penn Plaza) is next to Madison Square Garden. If you’re Irish (or want to be), step right on up to any of the numerous pubs in the area: Brendan’s Bar & Grill (42 West 35th Street); Féile (131 West 33rd Street); Foley’s NY (18 West 33rd Street) or Tír na nÓg Bar & Grill (5 Penn Plaza).

STAY IN HERALD SQUARE The Strand Hotel (33 West 37th Street) is a luxury option halfway between Herald and Times Squares. The rooftop bar has stunning views. The Hyatt Place New York Midtown South (52 West 36th Street) is a great value. Or consider some of the national chains which have outposts in the area: Hilton Garden Inn New York (63 West 35th Street); Best Western Premier Herald Square (50 West 36th Street); Radisson Martinique on Broadway (49 West 32nd Street); or the Holiday Inn Express Manhattan Times Square South (60 West 36th Street).

Return and see the changes at one of the great retail neighborhoods in the world.

Happy Shopping!

Calendar of Events

FEBRUARY-APRIL 2015 FEBRUARY Wednesday, February 25 6:00 – 9:00 p.m.

CREW New York Mid-Winter Networking Cocktail Reception Celsius @ Bryant Park To register, visit www.crewny.org

Friday, February 27 12:30 – 1:30 SMPS-NY Leadership Lunch: The Optimistic Leader Using Happiness and Positivity to Propel Performance @ Superstructures 32 Avenue of the Americas To register, visit www.smpsny.org

MARCH Thursday, March 5 12:00pm - 2:00pm REBNY Lower Manhattan Office Building Luncheon @Delmonico’s 56 Beaver Street For Lower Manhattan Committee members and their guests Contact: Desiree Jones Email: djones@rebny.com Phone: 212-532-3100

Thursday, March 12 5:30pm - 7:00pm The Secrets of Top Brokers and Industry Leaders FREE Seminar for REBNY Members Only. Registration Required REBNY Mendik Education Center 570 Lexington Avenue Contact: Jay Perez Email: yperez@rebny.com

Monday, March 23 12:00pm - 2:00pm REBNY Commercial Real Estate Finance Luncheon Yale Club 50 Vanderbilt Avenue - 44th Street Contact: Desiree Jones Email: djones@rebny.com Phone: 212-532-3100

Tuesday, March 24 8:00 AM - 10:00 AM SMPS-NY Client Panel: $100 Billion of Infrastructure in 5 Years – A Regional Perspective for Next Steps General Assembly 902 Broadway, 4th Floor To register, visit www.smpsny.org

APRIIL Wednesday, April 8 8:00 AM - 10:30 AM SMPS-NY New Jersey Affiliate Client Panel: Higher Education and Real Estate Development in the Garden State Daikin Solutions Plaza 10 Exchange Place, 21st Floor Jersey City, NJ 07302 To register, visit www.smpsny.org

Saturday, April 18 9:30am - 3:00pm REBNY Residential Upper Manhattan Committee Presents: Harlem Open House Expo Corner Social Restaurant 321 Malcolm X Blvd.

To register, visit www.rebny.org

Wednesday, April 22 8:00 AM - 5:00 PM SMPS Northeast Regional Conference Park Plaza Hotel 50 Park Plaza at Arlington Street Boston, MA Visit www.smps.org for further information

Tuesday, April 28 5:30pm - 7:30pm Sales Broker’s Deal of the Year Cocktail Party REBNY Most Ingenious Deal of the Year Awards at the 70th Annual Cocktail Party @101 Club - 101 Park Avenue Contact: Desiree Jones djones@rebny.com

www.sokolmediaonline.com • 21

FirstService Residential Boosting Efficiency while Shrinking Impact As the leading residential property management company in North America, FirstService Residential provides professional, full-service association management services to 6,500 properties. In New York City, the company manages more than 500 condominiums, cooperatives and rental buildings comprising 78,000 apartments that are home to more than 200,000 people.

New York City’s residential buildings are the largest single source of citywide pollution, producing 34% of greenhouse gases. In addition to these environmental costs, energy costs can comprise up to a third of a multifamily property’s budget – its largest controllable expense.

To help mitigate these effects, FirstService Residential established FS Energy, an energy management and advisory subsidiary that guides clients on ways to reduce energy costs, consumption, and emissions that will result in the highest efficiency gains. Since 2010, FS Energy has helped FirstService Residential clients save more than $23 million in energy costs while reducing the carbon footprint of the New York portfolio by nearly 16%. FS Energy’s customized efficiency solution recommendations have ranged from oil to gas conversions and cogeneration installations to mechanical control systems and lighting upgrades.

FirstService Residential was recognized for its achievements by being named “Environmental Stewardship Team of the Year” in 2014 by the New York Association of Realty Managers (NYARM). The company also achieved the 75% level in NYC Clean Heat’s Property Manager Recognition Program by switching the majority of its properties from dangerous, heavy fuels to cleaner alternatives.

“We have proven to our clients that implementing well12A • www.sokolmediaonline.com

designed energy management strategies is not only environmentally beneficial, but can add value and be profitable as well,” says Dan Wurtzel, president of FirstService Residential New York.

FirstService Residential was the first management company to join the Mayor’s Carbon Challenge, committing to reduce emissions from its portfolio of properties by 30% in 10 years. Nearly 80 FirstService Residential buildings – covering more than 17 million square feet – have joined the challenge by pledging to reduce emissions by at least 15% over the next 10 years.

After many of its properties sustained significant damage and extended power outages following severe weather events, FS Energy began exploring ways to better protect FirstService Residential buildings against future storms.

Its efforts were recognized when three of its projects were named finalists in RISE:NYC – a $30 million competition created by the New York City Economic Development Corporation to reward innovative resiliency measures.

Through the competition, FS Energy showcased enhanced energy infrastructure capabilities that provide emergency power in the event of grid failure.

Here are examples of how some FirstService Residential clients are benefitting from FS Energy’s expertise and innovative solutions.

THE STRAND CONDOMINIUM Project Type: Total Project Cost: Incentive: Annual Savings: Simple Payback: CO2 Reduction:

Oil to gas conversion and controls upgrade $276,000 $207,569 $173,851 1.59 years 21%

This 311-unit condominium installed two new dual fuel burners and a new boiler control system in conjunction with a conversion from oil to natural gas. Coupled with wireless apartment sensors, the energy management system monitors air and water temperature to ensure equal heat distribution throughout the building.

The property is also installing a 100kW natural gas fueled cogeneration unit to provide backup power during grid outages and to also provide a portion of the electrical and thermal loads for heating and domestic hot water production. A NYSERDA incentive of $433,000 resulted in no upfront costs to the building.

WOODROW COURT OWNERS CORP. Project Type: Hallway lighting upgrade Total Project Cost: $5,687 Incentive: $4,018 Annual Savings: $5,322 Simple Payback: 1.07 years CO2 Reduction: 4% Electricity Usage Decrease: 25,758 kWh 565 W 169th St—Monthly Electric Usage Comparison 10,000

Pre-Retrofit Post-Retrofit

Usage (kWh)

8,500

7,000

5,500

4,000 AUG 12

DEC 12

MAY 13

SEP 13

Billing Start Date

FEB 14

JUN 14

This 60-unit cooperative demonstrated that even small projects can achieve substantial results. Woodrow Court recouped the cost of a hallway lighting upgrade project in just one year by replacing existing pendant fixtures with LED Energy Star lamps and integrating ultrasonic occupancy sensors.

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PARK CITY ESTATES, REGO PARK, NY Project Type: Electrical sub-metering

and LED lighting upgrade Total Project Cost: $792,235 Incentive: $385,156 Annual Savings: $392,253 Simple Payback: 2.02 years CO2 Reduction: 8.5% Electricity Usage Decrease: 1,529,100 kWh This 1,049 unit complex installed sub-meters in each apartment to enable residents to pay only for the electricity they consume. The development’s five buildings had been master metered, meaning all residents paid the same amount whether or not they were conservative with their use. Park City Estates also performed an extensive LED upgrade by retrofitting lighting in the basement, garage, corridors, stairwells, and outside. A NYSERDA incentive cut total projects costs by almost 50%.

TURTLE BAY TOWERS Project Type: Oil to gas and controls upgrade Total Project Cost: $504,000 Incentive: $39,000 Annual Savings: $199,585 Simple Payback: 2.53 years CO2 Reduction: 24% This 338 unit cooperative converted from oil to gas after burning 160,000 gallons of No. 6 oil at a cost of nearly $500,000 annually.

Additionally, the building replaced one of its boilers, relined the chimney, and upgraded the control system – all financed through an unsecured, low interest energy loan.

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Classes held in the FirstService Residential Learning Center help educate staff on keeping equipment operating at maximum efficiency

EDUCATION & TRAINING FS Energy has found that improving operation and maintenance (O&M) practices are proven measures to reduce energy use, add value, and increase efficiency.

Along these lines, the company regularly hosts O&M seminars in the FirstService Residential Learning Center to educate building maintenance personnel on ways to keep operating systems and equipment performing at maximum efficiency. Sessions have covered such key topics as Lighting Essentials, Cooling Tower & Boiler Essentials, Best Practices for HeatTimer Control Systems and more.

Three years ago, FirstService Residential hosted its first annual Sustainability Expo & Symposium to provide board

members, building personnel and property managers with information and solutions for increasing sustainability and efficiency in their properties. The event, which has continued to grow bigger and more successful each year, is held in conjunction with Earth Day to emphasize the company’s commitment to environmental stewardship.

Each year, the event features a distinguished panel of green-minded industry experts who educate board members on topics such as incentives available to entice buildings to reduce emissions and how buildings can benefit from compliance with Local Law 87. Additional sessions for building personnel feature a supplier expo and seminar series on topics includ-

ing combined heat and power (CHP), water management, roofing systems, efficient lighting, pest extermination, tankless water heaters, solar and wind solutions and more.

“Our overall goal in hosting these events is to illustrate how efficiency measures can deliver savings to a property,” says Wurtzel, “while reducing its environmental impact, increasing property values and improving the comfort of residents.”

THE VALUE OF MEASUREMENT FS Energy’s innovative and analytical approach to energy improvement starts with taking baseline measurements, and the core of its success is a proprietary benchmarking database containing com-

www.sokolmediaonline.com • 15A

An exclusive event for FirstService Residential board members featuring a panel of green-minded experts discussing

How Your Property Can Decrease Costs

by Capitalizing on Energy Efficiency Measures Thursday, May 15, 2014 5:30 – 8:30pm 622 3rd Avenue, 14th Fl. New York City

York Hill Housing

ENERGY REPORT CARD

Dear Board Member, FirstService Residential strives to provide solutions that reduce operating expenses, enhance property values, and deliver the quality of life residents deserve. As the largest residential property management company in North America, we believe it is our social responsibility to help our clients and their properties become more energy efficient. We undertake this very important goal through our affiliate, FS Energy.

FS Energy is pleased to present your latest Energy Report Card. We have analyzed your building's energy data to determine your BERG score, estimated potential annual savings, and overall building performance to provide you with a breakdown of your property's energy efficiency. Your BERG score which can be found on the cover of this Report Card, is a one to ten rating that allows you to quickly gauge your building's efficiency relative to others.

In addition to your Residential’s BERG score, this Report Card includes theSustainability following charts: FirstService Annual Expo & Symposium provides information and solutions for increasing efficiency ◦ Annual savings opportunity in multi-family properties ◦ Year-to-Year changes in energy use and energy cost ◦ ◦

Weather normalized energy consumption Carbon Emission Impact

These visualizations will help identify how your building compares against the larger portfolio and see energy consumption by commodity over a period of time. This will allow the best decisions to be made on how to improve the building's efficiency.

Sincerely,

ENERGY REPORT CARD

Dan Wurtzel Tal Eyal President, FirstService Residential New York York Executive Vice President, FirstService Residential New York Hill Housing

ENERGY REPORT CARD

ESTIMATED POTENTIAL ANNUAL SAVINGS: $138,060 YorkftHill Housing $0.45/sq $454/unit

TOP-RATED BUILDINGS

YOUR BUILDING

$1.59/sq ft

$2.04/sq ft

$1,617/unit

$2,071/unit

Your building’s square footage: 309,204 Your building’s total units: 304 The extent of the improvements that can be implemented cost-effectively for your building can only be determined upon a more thorough analysis of your building by FS Energy.

York Hill Housing | www.fsenergyservices.com | Page 2 of 8

BUILDING ENERGY RATING GUIDE (BERG) SCORE Prepared exclusively for York Hill Housing

BUILDING ENERGY RATING GUIDE (BERG) SCORE Prepared exclusively for York Hill Housing

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prehensive historical data for nearly 1,000 buildings. Developed several years ahead of New York City’s Local Law 84 – which now requires annual benchmarking of energy and water use for buildings over 50,000 square feet – the database enables FS Energy to apply state-of-the-art data analysis to evaluate a property’s consumption compared to similar buildings.

These advanced analytics form the basis of the company’s Energy Report Cards, which are issued annually to clients and feature a Building Energy Rating Guide (BERG) score. “The BERG eliminates guesswork and arms our clients with measured data and a roadmap so they can implement the right energy management strategies for their buildings,” Wurtzel explains.

“As the city’s largest management company, we have a tremendous opportunity to significantly reduce energy costs while improving building efficiency,” he adds. “But more importantly, we have pledged to help our clients successfully reduce emissions because we assume the social responsibility to protect our environment – all part of our commitment to add value, enhance lifestyles and make a difference, every day, for every New York City resident, board member and building we serve.”

It’s a Window--NOT a Thermostat Tired of pa ying tto o heat an entire city? paying

Heat-Timer controls help property owners effectively regulate boiler system output, so tenants stay comfortable and BTUs stay INSIDE the building where they belong.

Finetune Boiler Operation!

Monitor space temperatures!

Monitor water & oil usage!

Timer’s Int erne ol Plus, with HeatHeat-Timer’s Interne ernett Contr Control em (ICMS) and wireless System Management Syst space sensors, owners can remotely monitor their buildings 24/7. ICMS communicates with wireless space sensors, allowing owners/ operators to monitor space temperatures, water usage, oil tank levels so owners stop wasting fuel and water.

Want to know EXACTLY how Heat-Timer can start saving you money? Contact us to schedule a FREE Boiler System Survey. E-mail us at FreeSur .com and a Systems reeSurvv e y@heat-timer y@heat-timer.com Specialist will contact you to schedule an appointment!

20 New Dutch Lane • Fairfield, NJ 973.575.4004 www.heat-timer.com

Congratulations to CBX

MINT-X

35 East 21 Street

File Job No Version Contact App(s)

New York NY 10010 Main 212 404 7970

MECHANICAL DEVELOPMENT LOG

PROCESS COLORS MintX_Logo.eps JAD-001 M1 Maria Gaskill CS3

Date Artist

11 Nov 09 KCMacD

Design Dir Allison Koller

Process Offset 100%

C

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LINE COLORS / SPECIAL FINISHING

DATE

DESCRIPTION

11Nov09

Logo Art

FS Residential

CBX APPROVALS VERS.

PROD.

DES.

ACCT.

M1

Congratulations to FirstService Residential on your leadership in energy efficiency and sustainability.

Fax 212 404 7941 www.cbx.com

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From your friends at JAD Corporation

New York Water Management 718-686-0040 www.waterbills.com

JAD Corporation of America (718) 762-8900 20-48 119th Street College Point, NY 11356

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268-04 Hillside Avenue, Floral Park, NY 11001 Tel: 1-800-560-1466 www.continentallightingcorp.com

Jason Walker & The

Congratulates Esther on a wonderful achievement!

TOP WOMAN TO WATCH 2015

walkerteam@elliman.com

(212) 965 6090

Esther Muller

On Turning

“I

20

opened my school twenty years ago, with the encouragement of Lewis Rudin, to focus on furthering ethics and providing relevant and updated content to the real estate brokerage community,” says Esther Muller, co-founder of the Academy for Continuing Education (ACE). “Since then, I’ve seen the industry transformed and revolutionized for the better.”

4A • www.sokolmediaonline.com

“People sometimes forget that Esther Muller was in the retail business, and as such was one of my first clients in the real estate business. She was a joy to work with. From there, we worked together on platforms, including the Real Estate Academy and both our efforts to bring women into the industry. As all of that took place, she became one of the greatest friends and blessings in my life.”

—Faith Hope Consolo, Chairperson, Retail Leasing Division, Douglas Elliman

Dottie Herman, President and CEO, Douglas Elliman, and Esther

It therefore comes as no surprise that ACE is now embarking on its third decade of success, having graduated over 4500 students thus far. As an industry leader, Muller has sold over $1billion in properties during her career to date. She has also co-authored her second book ‘Success is the Destination’, following on the heels of her first best-seller, ‘Tips from the Tops’. Esther has held the position of Professor and Director at the Graduate School of Business at Touro College, and is highly quoted on real estate industry issues in major media. Her depth of knowledge and experience has made her a legend with industry peers.

PROFESSIONAL DELIVERY WITH LUMINARIES But it doesn’t stop there. While real estate professionals can register for courses at a number of different schools in the New York area, Esther explains “The quality of the content, and the caliber of industry practitioners that teach have made her school so popular.”

Howard Lorber, Chairman, Douglas Elliman, and Esther

Jeff Appel, Esther, and Laura Scott

www.sokolmediaonline.com • 5A

35 • www.sokolmediaonline.com

Top: Jonathan Miller, President and CEO, Miller Samuel, and Esther with one of her classes Center (Left): ACE Team: Esther Muller and Professor Benjamin Wieder, Co-Founders, with Edreana Hampton, Executive Director, and Karen Loew, Creative Director (Right): Tom Positilio, Esther and Mickey Conlon, stars of Selling New York Bottom (Left): Bruce Wayne Solomon, Esther Muller and Jerry Feeney, Esq. (Right): Architects panel: Randy Gerner of Gerner, Kronick + Valcarcel, Eugene Flotteron of CetraRuddy, Eran Chen of ODA-Architecture, Esther, and Susanna Sirefman, moderator, from Dovetail Design Strategies.

ACE REAL ESTATE CLASSES RENEW YOUR NY REAL ESTATE LICENSE

FLORIDA LICENSING COURSES ONLINE!

•

ACE has partnered with Career WebSchool to offer the following online real estate & appraisal courses:

•

•

• •

Learn How to Become a Real Estate Agent Learn How to Get Your Broker’s License Renew Your License with Continuing Education Through Live Seminars Renew Your License with Continuing Education On-line Learn the Status of Your License

at ACE’s next continuing education empowerment 3-day conference New Jersey Real Estate Continuing Education New Jersey Appraisal Courses

• •

Florida Real Estate Licensing Courses Florida Appraisal Courses

Some of the industry’s leading experts include Amir Korangy, Barbara Corcoran, Barbara Fox, David Maundrell, David Schlamm, Diane Ramirez, Dottie Herman, Elizabeth Stribling, Eric Trump, Faith Hope Consolo, Frederick Peters, Gary Malin, Howard Lorber, Jason Walker, Jeff Appel, Jeff Levine, Jerry Feeney, John Reinhardt, Kelly Mack, Leonard Steinberg, Richard Dickson, Richard Mack, Robert Knakal, Stefani Markowitz, Wendy Maitland, William Rudin, and many other notable guest lecturers.

ONLINE DELIVERY Understanding the need to remain current and build upon the advances of technology over the past two decades, ACE has strived to incorporate the latest delivery methods of its educational content. “I also know, first hand, the types of time constraints and busy schedules that brokers and sales agents are subject to,” Muller says. As a result, her school launched, www.RealEstateAcademy.com, an on-line delivery of continuing education courses. “With this innovation, the school has successfully entered the world of virtual education,” Muller asserts. “I am thrilled to say that our courses may be completed anywhere – at home, or on the beach.”

Esther with Barbara Corcoran

“Most of my teachers are practitioners, so they can talk about the business by having lived it, which makes a huge difference.” www.sokolmediaonline.com • 7A

Press panelists from left: David Kaufman, New York Post, Valerie Block of Crain’s New York Business, Esther, Faith Hope Consolo, moderator, Chairman of Retail at Douglas Elliman, Julie Satow, The New York Times, Guelda Voien, of the Mortgage Observer, Katherine Clarke, The Daily News, Peter Grant, The Wall Street Journal Center Left: Leigh Kamping-Carder, senior editor of BrickUnderground, Esther, Drew Lang of Lang Architecture, Zach and Cody Vichinsky of Bespoke Real Estate Center Right: Frederick Peters, President of Warburg Realty and Esther

Bottom: Developers Panel: Michael Stern of JDS Development Group, Esther, Ofer Yardeni of Stonehenge Partners, with Katherine Clarke– moderator, from the New York Daily News, Charles Bendit of Taconic Investment Partners, and David von Spreckelsen of Toll Brothers City Living

By bringing top practitioners together with the dynamic, state-approved curriculum, which she designed, Esther has revolutionized real estate continuing education, by providing knowledge and skills necessary to succeed and thrive as an entrepreneur in the complex and rapidly changing 21st Century. Her goal is to continue to educate, empower, inspire, innovate – and close more deals in the next 20 years!

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©2015 Mattel. All Rights Reserved.

TO N E M O W 5 1 E TO TH TATE— S E L A E R N I WATCH

!

S N O I T A L U T A CONGR

Publisher’s Page

Sokol Media, LLC

FOUNDER & PUBLISHER Lori M. Sokol ART DIRECTOR Kerstin Vogdes Diehn

One Plus One Makes Five Sometimes the numbers speak for themselves, even when they don’t quite add up on paper.

Such is the case with the recent partnership of two women’s leadership organizations (AREW and NYCREW), which have joined forces to form one premier organization (CREW New York), combining 50 years of experience to now provide women in the real estate industry with a new and unmatched level of resources, education, and mentoring. “That’s why we believe, in this case, that one plus one makes five,” says Christine Chipurnoi, CREW NY copresident.

And even though this is the second time that Esther Muller has turned 20, it’s one that she cherishes even more. As the co-founder of the Academy for Continuing Education (ACE), which celebrates its 20th anniversary this year, Esther says proudly, “Since opening my school, I’ve seen the industry transformed!”

Further, no one can also deny the long-lasting effects of reducing buildings’ carbon emissions, which FirstResidential has thus far accomplished for 6,500 properties and over 1.5 million residential units. In this case, in fact, the beneficial results to people, the community and the planet are innumerable.

So, whether by combining forces, turning the same age twice, or providing benefits that are priceless, it’s very clear that in each of these cases, each of these numbers do add up.

Lori Sokol, Ph.D. Founder & Publisher

2A • www.sokolmediaonline.com

PUBLISHING CONSULTANT James Janson CONTRIBUTING WRITER Faith Hope Consolo COPYWRITER/ RESEARCH ASSISTANT Jason H. Greenberg WEB DESIGN Design Disegno ACCOUNTING Citrin Cooperman PRINTING AmericasPrinter Sokol Media, LLC 75 West End Avenue, #P15F New York, NY 10023 Ph: 973-769-7012 www.sokolmediaonline.com Copyright by Sokol Media, LLC. No part of the publication may be reproduced or transmitted in any form or by any means without prior written consent from the publisher. The publisher reserves the right to accept or reject any advertising or editorial materials.

Advertisers and/or their agents assume the responsibility for all content of published advertisements and assume responsibility for any claims against the published based upon the advertisement. Editorial contributors assume any claims against the publisher based on the published work. No part of this publication may be reproduced in any form or by any electronic ormechanical means, including information storage and retrieval systems without permission in writing from the publisher. All items submitted to Sokol Media, LLC. become the sole property of Sokol Media, LLC. Editorial content may not necessarily reflect the views of the publisher. All correspondence and inquiries should be addressed to: Sokol Media, LLC., 75 West End Avenue, #P15F, New York, NY 10023.

Contents 2A

PUBLISHER’S PAGE One Plus One Makes Five

4A

WOMAN TO WATCH 2015 ESTHER MULLER – ON TURNING 20 The co-founder of the Academy for Continuing Education (ACE) has helped revolutionize the real estate brokerage industry

12A FIRSTSERVICE RESIDENTIAL

Boosting Efficiency while Shrinking Impact

4

TOP ORGANIZATION TO WATCH 2015 CREW NEW YORK This expanded organization is now stronger than ever, leveraging 50 years of combined histories and achievements

12

4A

INDUSTRY NEWS The Urban Land Institute’s latest research reveals a surging real estate marketplace, while still taking nothing for granted

19

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A Special Edition from Sokol Media

FEBRUARY 2015

WOMAN TO WATCH 2015

Turning 20!

Photo: Howard Weschler

ESTHER MULLER