Appraisers's Insitute Fall 2015 issue

The Metrropolit opolitan New Y York ork Chapter of the Appraisal Institute Invites Y You ou to Attend its Annual Conferrenc e e Fall 2015

MetroNewYork

Quarterly THE METROPOLITAN NEW YORK CHAPTER

METRO NY CHAPTER 2015 OFFICERS President Sharon Y. Locatell, MAI Appraisers and Planners Inc. (212) 683-1201 slocatell@appraiser-plan.com First Vice President John A. Katinos, MAI Cushman & Wakefield, Inc. (212) 841-5061 john.a.katinos@cushwake.com Second Vice President Alice Palmisano, SRA Brown Harris Stevens (212) 508-7331 apalmisano@bhsusa.com Secretary William P. McKenna, MAI M&T Bank (212) 350-5578 wmckenna@mtb.com Treasurer Michael P. Neal, MAI Regional Appraisal Associates (212) 610-2811 mneal@regionalappr.com

NEW YORK’S CHANGING ECONOMY:

Who, What or Wher erre e is T TAMI? A AMI? Thursday, October 1, 2015

OPENING SPEAKERS:

Location: Club 101, 101 Park Avenue at E. 40th St.

Eric Adams Broooklyn Borough o Presiden e t

Registration / Breakfast: 8am – 9am

Jonathan Bowles Center for for an Urban an Futur Futurre

Panel Discussions: 9am – Noon Luncheon & Keynote Speaker: Noon – 2pm

Cost: $275 Candidates for Designation: $225 Tel: 866.966.3710 Email: metronyai@ aol.com w w w.aimetrony.com It's no longer the financial sector but technology, adver tising, media and information (TAMI) firms that are fueling the real estate market, creating significant changes in the who, what, why and where of leasing. From Buzzfeed to T Tw witter and Amazon, TAMI has been trending since 2012, leasing three times the space by 2014. As the most active leasing sector, TAMI firms are creating a changing dynamic. They are also leading a migration from Midtown and even Midtown South to points south and west, often to accommodate the younger demographics of their employees who live in Brooklyn or Jersey City, Weehawken and Hoboken. Join us as our exper t panelists explore what to expect in NYC's changing economy, fueled

by T TA AMI. Or not?

5 Hours of CE Credits are being applied for to the states of NY and NJ as well as the Appraisal Institute.

THANK YOU TO OUR CONFERENCE SPONSORS

PANELISTS: ANELIST David Ehrrenber enberg Broook B klyn Navy Yar Yarrd Andrrew Kimball Industrry City Brrrook ooklyn Jen Klein Cornell T Tech ech Ben McGrath Edwarrd J. Minskoff Equities Michael Rudin Rudin Management Co. Sacha Zarba CBRE

KEYNOTE SPEAKER: Kathryn Wylde Partnership for NYC

MODERA ATOR: Lois Weiss Commercial Real Estate Columnist New Yo ork Post

Conference sponsors are listed on page 7

PRESIDENT’S MESSAGE

President’s Message

Sharon Y. Locatell, MAI Dear Friends and Colleagues, t’s really true; time flies when you’re having fun! It’s been a great and rewarding year so far, and I can’t believe that we’re already heading into the 4th quarter of 2015. Our industry and City have been amazingly busy with records continuing to be set and business brisk.

Although Fall seems to be bringing some changes to the market, it will be interesting to how we end this year.

I

gotten some really juicy details!

Program co-chair, Marilyn Weitzman, is working on putting together our last luncheon to be scheduled for November and I’m sure the speaker will be equally as interesting. Thanks to all three Program Chairs who have made our luncheons a continued draw for chapter members.

In the meantime, your board and Connie have been diligently attending to Chapter business and I’m happy to report that we are doing great in all respects. Hats off to Marc Nakleh who continues the trend of rallying our benefactors to continue to support the Chapter and its events with their generous sponsorships. We have had another recordbreaking year with Sponsorships and we owe much gratitude to Marc for his tireless efforts.

Our June Outing was a beautiful evening on the 63rd floor of One World Trade Center where we heard from Robert Becker of the Durst Organization about the development, leasing and future for the iconic new tower.

With Dan Sciannameo’s introduction, Alice Palmisano and Michael Neal put together a great night of information and drinks. The amazing sunset that we were fortunate enough to see as the storm cleared from New Jersey topped off a wonderful evening.

We also continued our tradition of a joint Chapter Yankees outing at the invite of the Long Island Chapter of the Appraisal Institute in July.

As is our annual tradition, begun by and continued with the support of Brian Corcoran, with the Counselors of Real Estate as co-sponsors, we began the year with Mark Zandi’s always informative and fun overview of the regional and national economies. Mark never fails in making this a highlight of the post-holiday season.

Thanks also go out to Amanda Aaron for heading our Education Committee for a second year in a row. She has done another fantastic job and thus far we have run 13 classes and seminars, and have a full slate of classes and seminars scheduled for this Fall, so please be on the lookout for registration details from Connie.

This event was quickly followed by our first luncheon arranged by Program co-chair, Brian Corcoran, who did not disappoint.

Brian interviewed Paul Massey (“Goodbye Green and White: Why Massey Knakal Sold to C&W”) on his timely and lucrative deal with Cushman & Wakefield. Brian was able to elicit all the juicy details on Massey Knakal’s recent company sale.

Our largest annual event, the September Conference aka the Fall Conference as it falls on October 1st this year, is fully planned thanks to the very hard work of the Committee Chair, Theresa Nygard. Theresa has done a great job of lining up a stellar cast of speakers and participants for our most important yearly event. I’m happy to report that the event, titled New York City’s Changing Economy, Who, What and Where is TAMI? will be opened with remarks from Brooklyn Borough President, Eric Adams.

We will then have an opening speaker and two panels of guests including, among others, Jonathan Bowles, Center for an Urban Future; David Ehrenberg, Brooklyn Navy Yard; Andrew Kimball Industry City; Jen Klein, Cornell Tech; Ben McGrath,

Not to be outdone, Joel Leitner then arranged for our 2nd luncheon (“Taking the City by Storm”) an interview with Jared Kushner. Joel, of course, couldn’t help himself, and even got info on how the lovely Kushner couple, Jared and Ivanka, met. If, the luncheon had happened post Presidential primary season, we might have

2

Edward J. Minskoff Equities; Michael Rudin, Rudin Management; Sacha Zarba, CBRE. Our keynote address will be delivered by Kathryn Wylde the CEO of Partnership for New York City. Don’t forget to register!

Please mark your calendars for October 20th when Theresa Nygard will be giving a ½ day zoning seminar to be followed by a candidate cocktail hour. As if Theresa has not done enough work for the Fall Conference, she decided to put together an entire seminar for our Chapter’s benefit!

This seminar will be a must-attend one as she has already lined up an impressive panel of zoning experts. I’m sure this seminar will sell out so remember to register early!

John Katinos our incoming President for 2016 has planned the Installation Dinner and Holiday Party for December 2nd. It will be held at the beautiful Central Park Boathouse. Save the date.

I had the pleasure of attending the Regional Meeting in Dallas in late July where Eric Haims was elected Region IV Third Director.

I know our Chapter and Region will be well served by having a local representative on National’s radar, and we should all be thankful for Eric’s willingness to continue to give his time. Congratulations and welldone Eric. There is more Haims family news to report though. At the National Meeting in Dallas, Jerry Haims was given the Lifetime Achievement Award. I know I don’t only speak for myself when I say I can’t think of a more worthy and honorable person to have received this award. Jerry has been an MAI for 30 years, and for all of us who have had the pleasure of either working with him, for him or even against him, he is always pleasant and truly professional. Jerry we look forward to the next 30 years!

In closing, I am ready to finish out my term with the never-ending help of Connie our Executive Director. She continues to amaze me with her warmth, organizational skills and attention to detail. Please take the time to acknowledge her when you see her at our next event. I wish all of you a healthy and prosperous finish to 2015.

EVENTS

Metro New York Chapter of the Appraisal Institute and Counselors of Real Estate Jointly Host January Economic Forecast Guest speaker for this annual co-hosted event was Mark Zandi, PhD, Chief Economist of Moody’s Analytics where he directs economic research and co-founder of Economy.com, which was acquired by Moody’s Analytics in 2005.

Zandi’s overall projection for the 2015 economy was one of optimism for a good year that would continue into 2016 where he predicts we will be back up to full employment once again. Positive signs include reduction of individual debt, low mortgage rates, increases in home sales and the decline of mortgage delinquencies. As for New York City real estate, Zandi feels it will continue to thrive as foreign investors continue to view the city as a safe haven.

new MAI - Gene Lake, MAI with Terry Tener, MAI

Martin Levine, MAI with new MAI, Jenny Greissle, MAI

new MAI – Mark Wigler, MAI with Martin B. Levine, MAI

Theresa Nygard, MAI with new MAI – Thomas Tener, MAI

March Luncheon: Goodbye Green & White: Why Massey Knakal Sold to C&W The March 11th luncheon explored the opportunities the Cushman & Wakefield acquisition of Massey Knakal presented to the two firms.

Brian Corcoran, Executive Vice President, Valuation Advisory (left with Brian Corcoran, Sharon Locatell, Robert Massey Chapter President Sharon Locatell, Appraisers and Planners) interviewed Paul J, Massey, President, NY Investment Sales, (right) both of Cushman & Wakefield. Massey who said his former firm “made every mistake in the book but learned a lot over 26 years”, cited that 50% of Massey Knakal’s revenue came from the boroughs. That market presence benefits C&W which has adopted Massey Knakal’s geographic territorial system and can now bring its global expertise into play in mid-level Roman Rubinchik, MAI, AI-GRS Tino Korologos, MAI with new SRA – markets where Massey believes there are with new AI-GRS,Robert Hedrick, Juan Rafael Rivera, SRA “monster opportunities”.

MAI, AI-GRS

3

EVENTS

Joel Leitner Interviews Jared Kushner at May Luncheon Jared Kushner, the congenial CEO of Kushner Properties, a role he took on at the age of 27, giving up an intended career as a prosecutor, shared his history in real estate as well as recent acquisitions and market projections with the 100 attendees.

Sharon at podium

David Shlosh, MAI with new AI-GRS – Charles P. Cavanna, MAI, SRA, AI-GRS

His first acquisition as CEO, 666 Fifth Avenue for $1.8 billion, set a new record, a milestone he was unaware of, seeing the property’s value in the street front retail. Other acquisitions include 200 Lafayette Street for $50 million in a joint venture; another joint venture in converting a building in Jersey City into a mixed-use project; and the Watchtower Portfolio in the “Tech Triangle” of Brooklyn purchased with RFR and Invesco for $375 million.

Kushner is currently focused on walk-ups, creative office space, and retail.

Another big focus has been on so-called millennials. He sees demand in areas such as Soho, FiDi, Jersey City and Brooklyn which have been attracting younger people.

New MAI – Jon DiPietra with Joel Leitner, MAI

Joel with guest speaker, Jared Kushner

Long Island and Metropolitan New York Chapters of the Appraisal Institute Host Social Outing to Yankee Stadium on July 22nd

4

EVENTS

June Outing Explores One World Trade Center More than 100 Chapter members attended the Annual June Outing which this year was an exploration of One World Trade Center. Robert Becker, Vice President, One World Trade Center, The Durst Organization, served as presenter. The event was held on the 63rd floor of the building which features amazing panoramic reviews. A cocktail reception followed the reception.

Photos taken by Margaret Fox, Fox Photography

5

NEW MEMbERS

to the 2015 MAIs and SRA The Chapter wishes to acknowledge these professionals who through their hard work, discipline and expertise, have earned Appraisal Institute designations in 2015 (to date). Some are also acknowledged with photos in the newsletter upon receiving their certificates. On behalf of the Chapter, congratulations to all and to the new Review Designees!

Jon DiPietra, MAI John Farrell, MAI Joseph Ferranti, MAI Jenny Greissle, MAI Janet Gutin, MAI Ross Hoffman, MAI Gene Lake, MAI Sunita Mungol, SRA Howard Newman, MAI Carmela Quintos, MAI Jamie Rich, MAI Juan Rafael Rivera, SRA Paul Sipala, MAI Thomas Tener, MAI Adam Wald, MAI Mark Wigler, MAI 6

OCTObER CONFERENCE

The Metropolitan New York Chapter would like to thank the following sponsors of this year’s Fall Conference:

Patron Sponsors:

Supporter Sponsors:

Regional Appraisal Associates

Friends Aaron Valuation JDM Real Estate Co.

Martin B. Levine, MAI and Steven J. Schleider, MAI

7

Butler Burgher Group

MEMbER MILESTONES

Jerome Haims Receives National Lifetime Achievement Award

J

erome Haims, MAI, SRA, CRE, MRICS, founder and president of real estate and appraisal consulting firm Jerome Haims Realty, was awarded a Lifetime Achievement Award at the Appraisal Institute’s annual meeting in late July.

The Lifetime Achievement Award is presented to an Appraisal Institute professional who demonstrates high ethical standards; has volunteered several years of service and has contributed to the Appraisal Institute on the international, national, region and/or chapter level; has served his or her community; and has contributed to the appraisal profession for at least 20 years.

Jerry Haims has been active in the Appraisal Institute on the chapter, regional and national levels.

He has served as president of the Metropolitan New York Chapter and twice has been awarded the chapter's “Person of the Year Award.” He served as a regional representative for the Appraisal Institute’s Region IV for five years, and was chair of the national Bylaws Committee.

James britton Celebrates Half a Century as Member

J

ames Britton, MAI, is celebrating 50 years as a member of the Appraisal Institute. The Chapter congratulates Britton on his long- term commitment to our organization and for achieving this exceptional professional milestone.

8

Two Chapter Members Attend 45th Annual LDAC Meeting House Financial Services Committee’s oversight plan, members of Congress were requested to review the regulatory burdens on appraisers. Appraisal remains one of the most highly regulated professions in the United States.

Appraisers are regulated by the States, but also face Federal oversight as well as client overlays. Those who work in multiple States are faced with regulatory obligations such as background checks for renewals, reciprocity licenses and temporary practice permits. The Appraisal Institute requested a hearing be scheduled for review of the regulatory burdens on appraisers.

Andrew Sikiric, MAI of Jerome Haims Realty, Inc. and Keith Stillman of CBRE, Inc. were selected to serve as representatives from the Metropolitan New York Chapter of the Appraisal Institute by Chapter President, Sharon Locatell, MAI, and the Board of Directors to attend this year’s Leadership Development & Advisory Council (LDAC). The LDAC conference occurred on May 20-22, 2015 in Washington, DC. This was Keith’s third and final year in attendance and Andrew’s second year. This year represented the 45th annual meeting of the Council.

The purpose of LDAC is to assemble both designated members and candidates for designation from various Appraisal Institute chapters from around the country to meet in four different discussion groups to provide recommendations to both the Appraisal Institute’s Strategic Planning Committee and the National Board of Directors on various discussion topics. This year’s discussion topics were the following:

Per the Economic Growth and Regulatory Paperwork Reduction Act, the Federal Banking Agencies are reviewing whether to raise the appraisal requirement threshold, which currently stands at $250,000 for residential loans and $1 million for business loans. This has been confirmed during recent Senate Banking Committee hearings, as well as outreach events hosted by the federal financial institution regulatory agencies. During the hearings, those in favor of raising the threshold cited the need for regulatory relief for lenders in rural areas, a shortage of appraisers in rural areas, as well as “increased cost of appraisals” as reasons for supporting an increase. LDAC members reminded the Senators that real estate appraisals are an important element of basic risk management practices, protecting both property owners and taxpayers.

Senators were requested to sign on to a letter to the federal financial institution regulatory agencies, urging them to promote sound lending by maintaining the current appraisal requirement threshold.

“Developing and Growing Your Business – Finding New Clients and Meeting Their Needs” “Protecting the Integrity of the Appraisal Profession” “Appraising the Tough Ones – Difficult Properties and Controversial Topics” “Business Operations – Running a Business and Managing Employees” LDAC also provided the attendees with the opportunity to lobby representatives of Congress and Senators concerning the current burdensome regulatory environment for appraisers and proposed legislation associated with raising the appraisal requirement threshold.

Overall, the Appraisal Institute continues to make a significant investment in its future by providing a venue for open discussion in LDAC regarding issues that impact our profession and allow members from around the country to share experiences and stories about appraising in different markets.

Since the inception of the 114th Congress, multiple hearings have been held in the House Financial Services Committee related to “regulatory burdens” on lenders, especially community banks. As appraisal is currently a part of the

9

2015 EDUCATION SCHEDULE

The Metro NY Chapter of the Appraisal Institute

Upcoming Education Schedule SEPTEMbER/OCTObER SEPTEMbER 22 - OCTObER 2

DECEMbER 15 Business Practices & ethics

generaL aPPraiser income aPProach Part i (g-7) tuesdaYs & FridaYs - sePt. 22, 25, 29, oct. 2

Location: association of the Bar of the city of nY, 42 W. 44th st., nY, nY time: 9am-5pm cost: ai - $195 / Full - $215

Location: association of the Bar of the city of nY, 42 W. 44th st., nY, nY time: 9am-5pm cost: ai - $595 / Full - $625

SEMINARS: OCTObER 20 Zoning seminar candidate cocktaiL event

OCTObER 13 - 23 generaL aPPraiser income aPProach Part ii (g-7) oct. 13, 15, 21 & 23

Location: club 101, 101 Park ave., nY, nY seminar: 2pm – 6pm followed by cocktails: 6pm – 7:30pm cost: $175 special discount Price for candidates: $75 4 hours of ce credits are being applied for to the states of nY, nJ and the appraisal institute

Location: association of the Bar of the city of nY, 42 W. 44th st., nY, nY time: 9am-5pm cost: ai - $595 / Full - $625

NOVEMbER NOVEMbER 9 - 12

REGISTRATION

generaL aPPraiser rePort Writing & case studies

to register For anY oF the courses or seminars, PLease contact the chaPter oFFice at:

Location: association of the Bar of the city of nY, 42 W. 44th st., nY, nY time: 9am-5pm cost: ai - $695 / Full - $725

866-966-3710 or via e-maiL at: metronyai@aol.com

DECEMbER

association of the Bar of the city of nY, 42 W. 44th st., nYc (unless indicated)

DECEMbER 14

online education:

aLL cLasses take PLace at:

7 hour usPaP uPdate

online education: Learn at your own pace anytime, anywhere. top-notch appraisal institute courses and seminars come straight to your desktop with online education! Learn from any computer anywhere, whenever you have time. it's easy, convenient and a great way to get the education you want. check out the current course listing now!

Location: association of the Bar of the city of nY, 42 W. 44th st., nY, nY time: 9am-5pm cost: ai - $195 / Full - $215 Ruth Agnese Scholarship: metro nY chapter advanced candidates for the mai designation can apply now for the ruth agnese scholarship.

http://www.appraisalinstitute.org/education/online-education-view_programs.aspx

For details and to apply now go to: http://aimetrony.com/ruth-agnese-scholarship-apply-now/

10

EMPLOYMENT

Employment Opportunities METROPOLITAN VALUATION SERVICES SEEKS CHIEF APPRAISER AND SENIOR APPRAISER: CHIEF APPRAISER – SVP highly visible position within our firm to manage the review and quality control process. ideal candidate exhibits strong interpersonal skills and works well within a large volume fee shop environment. sixfigure salary plus benefit package, 401k and private office. in confidence, contact martin B. Levine, mai mlevine@mvsappraisal.com

SENIOR APPRAISER – TEAM LEADER Flex your entrepreneurial muscles here! opportunity to build your business and lead your group of staff appraisers as we promote and market your strong valuation and report production skills. time to start expanding your earnings with our platform and business model. ideal candidate possesses the mai designation, has a diversified valuation experience and demonstrated progressive career trajectory. competitive compensation including benefit package and 401k. in confidence, contact martin B. Levine, mai mlevine@mvsappraisal.com

NEW YORK CITY AND METRO AREA Work from YOUR HOME or OUR OFFICE – flexible schedule. Full OR part time commercial appraiser wanted at established manhattan based metro nY appraisal/consultation firm to work with head mai. Fee split – commission potential. internship/trainee also available. telecommuter a possibility. appraisal or some type of past real estate or office environment preferred. send resume/salary history in confidence to: appraise9mai@aol.com

State Certified Appraiser(s) new Jersey-based full-service real estate appraisal firm seeking state certified appraiser(s) for new York and/or new Jersey assignments. Predominantly traditional property types (multi-family, warehouse, retail, mixed-use, etc.). Favorable fee-split arrangements. also willing to train the right applicant. Please contact us via email at appraisalsnynj@gmail.com

Licensed Real Estate Appraisers Needed Marshall & Stevens has openings for mid-level and senior level appraisers in their growing nY office. candidates should have 5+ years of appraisal experience, and should be licensed in nY state.

Please forward your resume and cover letter directly to Patrick t. craig, managing director using the following email address: ptcraig@marshallstevens.com. For more information on marshall & stevens, please visit our website: www.marshall-stevens.com

Deutsche bank Seeks 2 Vice Presidents for its New York Office deutsche Bank is seeking two (2) vice Presidents for its new York office (60 Wall street). the positions require highly motivated individuals with sufficient credentials and experience to effectively support the Bank’s real estate businesses in an advance real estate appraisal review and consulting capacity.

For more information and to apply, visit our website at db.com/careers

11

2015 SPONSORS

The Metropolitan New York Chapter of the Appraisal Institute

Would Like to Thank the 2015 Chapter Sponsors: EDUCATION SPONSOR

SEMINAR SPONSOR

PLATINUM LEVEL KTR Real Estate Advisors, LLC

MurrayHill Properties

Marshall & Stevens

Originators Group, LLC

GOLD LEVEL Albert Valuation Group NY, Inc.

Goldstein, Rikon, Rikon & Houghton, P.C.

Appraisers and Planners, Inc.

Landauer Valuation & Advisory

Avison Young

Pearson Partners, Inc. PEARSON PARTNERS, INC.

CBRE Fried Frank

The Weitzman Group, Inc. Jerome Haims Realty, Inc. Wm. Shubert & Co. Joseph J. Blake & Associates

SILVER LEVEL New York Community Bank Nixon Peabody Regional Appraisal Assocs.

Wilrock Appraisal & Consulting, Inc

Aaron Valuation Colliers International Leitner Group Inc. Massey Knakal Realty Services

12