The Real Deal New York

August 2016 Issue

Who are real estate’s
quiet money backers?

Shadow investors become exposed
as they make big real estate plays

Back in 1980 — as oil prices were peaking in the aftermath of the Iranian Revolution — Israeli shipping magnate Sammy Ofer felt the itch to diversify his billion-dollar maritime empire. Enlisting his then 30-year-old son, Eyal, as his proxy, Ofer waded into New York’s real estate market, paying $800,000 for a brownstone on 42nd Street near Fifth Avenue that he quickly flipped for $1.8 million. Over the next three […]… [more]

The private players

A snapshot of some of the quiet investors bankrolling NYC deals

New York City real estate has had silent investors for as long as developers have been buying and selling property. But as the world economy grows more uncertain and lenders pull […]… [more]

The making of a starchitect

How fame is shaping NYC’s skyline

In a city ruled by conservative straight-lined skyscrapers, Bjarke Ingels’ 2 World Trade Center — when and if it is finally built — will stand out as a playful, teetering staircase. Designed as a series of seven precariously stacked blocks, the 3 million-square-foot building rising over Lower… [more]

Billionaires’ Row:
2014-2016?

The city’s “wealthiest” street is struggling to live up to its name

In 2011, 57th Street could barely be called millionaire’s row, with an average sales price of $1.57 million, according to CityRealty. But as everyone already knows, One57, which was completed […]… [more]

Costar’s crusade

The data giant’s intel is key to the industry, but is CEO Andrew Florance bullying the competition?

UPDATED: Aug. 1, 6:14 p.m.: What do George Washington, rapper Lil Wayne and actor Jeff Goldblum have in common? They all appeared earlier this year in a Super Bowl television […]… [more]

Building outside the box

From Israel’s first McDonald’s to “pixelated” towers, Eran Chen has built a reputation on defying convention at his clients’ will

When Eliot Spitzer presented his Williamsburg waterfront project to fast-rising architect Eran Chen in September 2014, the timeline and budget allowed for… [more]

The little bank that could

Arkansas’ Bank of the Ozarks has become one of New York’s most visible construction lenders and isn’t concerned about the risks

For the bulk of its 113-year history, Bank of the Ozarks was a small community lender with a few branches in Arkansas’ mountainous western region,… [more]

Bushwick, the sequel

The long-sought redevelopment of the Rheingold Brewery site is shaping up to be a game changer

In mid-June, renderings for a Brooklyn developer’s sprawling 1 million-square-foot rental complex at the former Rheingold Brewery site were unveiled to the public. Set to be developed by Yoel Goldman […]… [more]

The Closing:
Kenneth Fisher

The Fisher Brothers partner on his Bronx childhood, missed opportunities and family tragedies

Kenneth Fisher is a partner at Fisher Brothers, a century-old, family-run real estate firm that owns and operates more than 5.5 million square feet of… [more]

Midtown’s coming exodus

The once go-to office market is losing tenants at a rapid clip — and has more departures coming down the pike

By now the headlines are familiar: Tenant X is heading Downtown or Tenant Y is taking space on the Far West Side. But what’s often left out of the headlines […]… [more]

The volatile bonds that tie

The Brexit vote rattled global bond markets and that’s good news for New York real estate investors

Over the course of June and July, Britain roiled international markets by voting to leave the European Union, Italy’s struggling banks pushed the Eurozone closer to a new crisis and […]… [more]

The (guided) flight
to suburbia

Summer is traditionally moving time. For many New Yorkers, particularly families, that means leaving the city entirely. Nationwide, people aged 30 to 44 are moving to the suburbs at a […]… [more]

Serving up function over flash

Revamped U.S. Open Complex
forgoes grandeur, opts for a pragmatic approach

There’s a famous passage in “The Great Gatsby” that begins, “About half way between West Egg and New York the motor-road hastily joins the railroad and runs beside it for […]… [more]

Mapping order out
of chaos

Gerard Koeppel’s new book shines more light on the evolution of Manhattan’s street grid

It is one of the paradoxes of the human condition that we take infrastructure far more seriously in the breach than in the observance. We have been… [more]

The new waiting-to-buy market

Low interest rates fail to tempt first-time buyers frustrated by a lack of entry-level inventory

While low interest rates may suggest now is the time to buy, the soft rental market coupled with a limited supply of starter condo and co-op apartments is challenging conventional […]… [more]

The incredible shrinking office

More new buildings allow for packed workspaces, but will tenants start pushing the density limits?

In Hudson Yards, developers are testing the demand for large, super-dense office space. Two of Related Companies’ buildings in the Far West Side neighborhood have multiple floors that can provide […]… [more]

Editor’s note:
Thrust into the spotlight

The quiet players are starting to be heard. Mega-wealthy private investors, who typically fly far below the radar, are playing a bigger role in bankrolling New York City development today […]… [more]

Features

As office tenants depart, the city’s most iconic plaza finds itself at another crossroads
A roundup of news and data on the residential market
A roundup of news and data on the commercial market
The Olshan Properties CEO on her intense fitness training and being her husband’s boss
A roundup of real estate-related happenings
from last month
The RKF broker on secret sushi restaurants, wearing shorts at work and being straight with landlords
Real estate pros share picks for books on architects vs. engineers, life lessons from a dying scholar, and Moby
The funniest and most insightful comments
on real estate

Comings and Goings

Real estate finance startup Cadre, which lets institutions invest in commercial real estate online, hired former Starwood Capital Group executive Marcos Alvarado as its new head of acquisitions. Ginger Brokaw, […]… [more]