Publisher's note
April 01, 2009 12:02PM By Amir Korangy
It has come to my attention that the principals of two firms have advised their brokers not to cooperate with The Real Deal's reporters and have pulled the magazine from some of their offices. We always knew we had a tremendous impact on the city's real estate industry, but this came as a surprise even to us.
When we talked to the principals, they essentially said they didn't like that we weren't sugarcoating what's going on in the market. So let me set the record straight: The Real Deal covers the New York City real estate market more thoroughly and accurately than any other media outlet in the five boroughs. Maybe these principals would prefer if we wrote about how many Girl Scout cookies brokers are buying and how great the market has been this month. But that wouldn't be fair to our readers, because we have a responsibility to report what's actually happening in the market — even when it gets ugly.
All you have to do is look back at our last few issues to realize that we are not simplistically writing the-market-is-down-and-everything-is-falling-apart stories. We are reporting on how business is getting done now, whether it's through aggressive price cuts, condo auctions or a more intense focus on rentals. These tactics are all being employed by smart, creative brokers who know how to work a down market.
The strategy these principals prefer — ducking the press and keeping the news out of the hands of their brokers — is irresponsible on so many different levels, not to mention that it's a poor business decision.
But either way, The Real Deal will continue to give you thoughtful, unbiased reporting both in print and online daily, at www.TheRealDeal.com. So if your office has pulled the magazine, go get it online or buy it at one of the 270 newsstands that sell it around the city.
With that out of the way, I can finally move on to this month's very exciting issue.
Last month, Bernie Madoff was hauled off to prison. While that ordeal attracted international attention, what hasn't been written about is the concentration of Manhattan buildings that have been hit by the scam. Check out our map in
Mapping Madoff victims by building to see which ones have the highest number of Madoff victims.
On the flip side, we looked at who was doing well this month, despite the economic situation. We compiled the top 25 residential sales for the beginning of 2009. The data show that top prices are down sharply, and only seven of the top 100 sales closed above $10 million citywide. Still, the top is the top. So be sure to look at our list in Ceiling gets lower for top sales.
We also bring you a story about brokerages increasing fees for agents. Some brokers say the fees sting especially hard now that the economy has turned, but others say the power behind a firm with a big name is well worth the fee. Read Firms upping fees for brokers and decide for yourself.
On the developer front, we look at Yair Levy and all of the financial trouble he's facing. Until recently, Levy made a string of good deals. But now the man whom some media outlets dubbed the "condo king" is facing foreclosure at Rector Square, and contractors are claiming he hasn't paid them in months.
And as lawsuits pile up between developers and lenders, we look behind the scenes at three current cases, including one between real estate mogul Sheldon Solow and his embattled lender, Citibank.
On a personal note, I want to acknowledge the tragic death of New York Post reporter Braden Keil, who died of cancer last month. Braden never wrote for The Real Deal, but we followed his stories closely and loved when he called to protest in his charming way if we hadn't linked to one of them on our Web site. His sudden death was a shock, and we are all incredibly saddened. He was one of the finest real estate journalists in the city. His loss is already being felt in the industry.
Finally, we'd like to wish ourselves a happy anniversary. We are proud to report that it's been six years since The Real Deal launched, and we are still evolving and striving to do better. For all of you Twitter and Facebook junkies, you'll be happy to know that you can now watch for updates from us there, too. And a lot of you have been asking when our biggest residential brokerage firm spread is coming out. Watch for it next month. We're already getting it ready.
Enjoy our sixth anniversary issue.
The Real Deal reserves the right to delete any comment it finds to be rude, obscene, racist, sexist, bigoted, irrelevant or repetitive, as well as inappropriate comments about anyone's personal appearance. The Real Deal does not endorse any comments posted on its Web site nor does it verify the veracity of comments or the identity of posters.
Comments
Anonymous
Great note. I think that any real estate business that chooses not to have The Real Deal for their brokers are plainly stupid. First of all, you can't control what your brokers read. You can't even control when they show up to work. But to tell them to hide from the market truths, is just stupid. Keep it up Real Dealers. My firm gets the mag and we all read it and use it to communicate the market with our clients.
Comment #1 Posted By: Anonymous 04/06/09
Anonymous
rock on real deal!
Comment #2 Posted By: Anonymous 04/06/09
Anonymous
Those brokers are obviously still in denial! How can their customers expect them to do a good job if they are in denial about current market conditions? You should name those firms so people can avoid them.
Comment #3 Posted By: Anonymous 04/06/09
Downtown Broker
Thanks for the note [I was linked from Curbed, ps]. I read you every month, even more so in this down market. Of course, if said broker was your top paid advertiser, would you have handled it any differently?
Comment #4 Posted By: Downtown Broker 04/06/09
Anonymous
Thanks for the update. Proof positive that the real estate industry (ie brokers) need to be criminally investigated for anti trust behavior.
Comment #5 Posted By: Anonymous 04/06/09
Tom Acitelli
The Real Deal is staffed with top-notch people! - Tom Acitelli
Comment #6 Posted By: Tom Acitelli 04/06/09
Anonymous
would anyone dare to say who banned The Real Deal?
Comment #7 Posted By: Anonymous 04/06/09
David UWS
Congrats for the gutsy move, RealDeal. I've noticed in the past that "gloomier" NYC housing stories had been pulled from your website, so I appreciate that you will now stand up to these scumbag brokers and stand up for the truth. Potential first time buyers like myself will be the saviors of this market in the end, and I look forward to continuing to read your paper for up to date and honest information as the market goes though its much needed correction.
Comment #8 Posted By: David UWS 04/06/09
Anonymous
yeah can you name them please ?
Comment #9 Posted By: Anonymous 04/06/09
Andrew Fine
Kudos to The Real Deal. Buying a home is your average person's biggest life investment decision. Good information is key. TRD, for the past 6 years (congrats) has established itself as the go-to resourse for info on NYC real estate. My company and my blog will always cooperate with TRD. It is imperative to be educated on the market, a more educated agent is a more productive agent. Keep up the good work!
Comment #10 Posted By: Andrew Fine 04/07/09
Anonymous
There was a huge pile of Real Deal in my office - and we happily support you! I read online every day - and email the articles to my sellers and buyers on a regular basis. Dont sugarcoat a thing - I have been so busy with buyers that the more news that makes this market a good buy for them the better!
Comment #11 Posted By: Anonymous 04/07/09
Sofia Kim
We LOVE the Real Deal!
Comment #12 Posted By: Sofia Kim 04/07/09
Anonymous
I've been a fan of The Real Deal for only about a year or so, but it's now part of my required reading. I feel that because of reading this publication, as well as Curbed, I'm as informed about NYC's real estate market as any RE broker or agent, maybe more so. So please keep up the good work and keep the articles coming. PS: I especially enjoyed the profile last month on Stephen Ross of the Related Co.
Comment #13 Posted By: Anonymous 04/08/09
Marc Lewis
Amir, I support your response 100% and I have been a fan of your publication since the first issue. The name you chose is perfect, and there are companies out there who do not want the public to know the "real deal." Marc Lewis, President Century 21 NY Metro
Comment #14 Posted By: Marc Lewis 04/10/09
Anonymous
What happened to the other comments on here? What are you guys Obama (socialistic)? What happened to free speech? Very disappointed.
Comment #15 Posted By: Anonymous 04/10/09
Anonymous
There seems to be two sets of comments on this item. One on this page and one on the blog item, which has more than 30 comments on it.
Comment #16 Posted By: Anonymous 04/12/09
Chris A. Randolph
I have more buyers then ever but if even one of them made a serious offer I think I would fall over dead. I have beautiful listings that just sit there. I am working more rental clients (thought I was through with this) then when I started. Anyone not "noticing" the state of the market and electing to arm their troops with ignorance is so much more than simply being in denial. They are in fact, dishonest and just plain dumb. And they think their agents and clients are dumb too. We can call them "state of the market revisionists." Forget about a non-sustainable business model, this type of disingenuous sugar coating only fools the fools trying to fool others. By the way, any chance of leaking the names? Always good to know who the real idiots are.
Comment #17 Posted By: Chris A. Randolph 04/19/09
Joseph Armano
The Real is exactly that .. the Real Deal. The standard for New York City real estate news.
Comment #18 Posted By: Joseph Armano 05/01/09