Crains New York - June 25, 2012 - (Page 2)

EDITOR’S NOTE Yep. We did a redesign My former boss Xana Antunes started this remake of Crain’s New York Business, and I finished it after being promoted into her job. Good thing we both had the irreplaceable Steve Krupinski as our art director during the redesign process—and have so many creatively minded Glenn Coleman reporters, editors and designers who helped the entire newsroom rethink, refresh and reinvent many of this paper’s longstanding features. The goal was to reboot the paper as it inevitably transitions toward the digital page. There were many, many meetings. Drinks were had one night. OK, maybe two nights. More meetings, more revisions and, ta-da, here it is: a Crain’s that showcases our famously enterprising reporting and reaffirms our commitment to covering—as no one else can—the local news, issues and personalities that matter most to business owners and professionals in the five boroughs. Our strength at Crain’s has always been the middle market, the midsize companies that link the city’s mighty Fortune 500 headquarters with its legions of small businesses. (Check out pages 17 to 38, where we profile 50 of the area’s fastest-growing private companies.) This redesigned Crain’s drives our readers deeper into the boroughs and gets inside the vital array of city businesses that other New York media ignore (or simply don’t understand). Then there’s the reimagined New York, New York column, which we’ve made an entire section. It’s a helluva town, as the old song goes. Our mission here is to give you a helluva paper to read all about it. — glenn coleman FYI T CRAINSNEWYORK.COM Former North Fork bigwigs fork over $20M penalty wo bankers got busted for jumping back into the New York banking scene too soon. John Kanas (right), the former chief executive of North Fork Bancorp, and his longtime deputy, John Bohlsen, had to pay $20 million for breaking a noncompete agreement they signed with Capital One Financial shortly after the Virginia-based bank acquired North Fork in 2006. Under the terms of the agreement, Mr. Kanas, New York’s most successful community banker over the past generation, and his former vice chairman agreed not to do business in the New York market until August 2012. But in 2009, Mr. Kanas bought a failed thrift in Florida, BankUnited Inc., which snapped up a small bank in New York last year. Pretty soon, Mr. Kanas began signing leases for branches near Capital One locations, bidding for loan portfolios and posting want ads for New York jobs. In the face of a Capital One lawsuit, the banker buddies defended their actions, arguing that they were merely laying the groundwork to re-enter the New York market when their agreements expired. A trial scheduled for July was pre-empted on June 19 when the parties announced an “amicable resolution.” Both bankers also agreed to extend their agreements to the end of January. Don’t feel too bad for Mr. Kanas, though. He pocketed about $200 million when he sold North Fork to Capital One six years ago. — aaron elstein data from the New York Police Department. Most of the recorded crimes were burglaries, grand larcenies and robberies. Murders are down 15.6%, however. “People are still getting shot,” a source explained, “but they’re not dying as much.” … DAFFY’S DUCKS ITS BILLS? Discount clothing chain Daffy’s is rumored to be in financial hot water. Facing an increase in competition from online retailers like Gilt Groupe and larger chains such as Nordstrom Rack, the Secaucus, N.J.-based company is having trouble paying vendors, according to sources. A Daffy’s spokesman said the company has nothing to report. … ON TAPPAN ZEE, LABOR AND CUOMO AGREE. Gov. Andrew Cuomo and building trades unions approved a labor agreement for the Tappan Zee Bridge project, one of the largest public infrastructure projects in the country. The deal will save $452 million on the construction of a new bridge over the Hudson River. All the state needs now is the estimated $6 billion it will take to build the span. … MIGHTY HOSPITABLE OF THEM. Restaurants, bars bloomberg news THIS WEEK IN CRAIN’S IN THE BOROUGHS-------------------------- 3 IN THE MARKETS ----------------------------------4 THE INSIDER -----------------------------------------------6 GREG DAVID--------------------------------------------15 ALAIR TOWNSEND -------------------------15 REAL ESTATE DEALS -------------------16 CRAIN’S FAST 50-----------------------------17 FOR THE RECORD ---------------------------39 CLASSIFIEDS -----------------------------------------40 NEW YORK, NEW YORK ----------45 SOURCE LUNCH --------------------------------46 OUT AND ABOUT ------------------------------47 NEW! BUSINESS PEOPLE Rachel Yeomans makes a fashion statement with her Working Wardrobe blog P. 8 PIER 40 BILL FAILS. Legislation aimed at helping the five-mile Hudson River Park, which will exhaust its reserve fund in less than three years, failed to pass before the state legislative session ended June 21. The bill called for making Pier 40, the park’s main commercial asset, more attractive to potential developers by expanding its uses and extending its lease term. … HOSPITAL LOVE TRIANGLE. Continuum Health Partners left NYU Langone Medical Center standing at the altar for another suitor: Mount Sinai Medical Center, which feared that a potential Continuum-NYU marriage, announced just two weeks earlier, would threaten its standing as a premier academic medical center. But having spurned NYU for Mount Sinai, Continuum must now seal the deal—and have it blessed by state health and financing agencies and the Federal Trade Commission. … CRIME SPIKES. Crime rose in 49 of the city’s 76 precincts, and major crimes such as rapes and robberies jumped 4.2% citywide, the New York Post reported, citing HOORAY! THE MAYOR INTRODUCED A PLAN TO STREAMLINE the city’s land-use application process, expecting within two years to allow twothirds of all project applications to be reviewed 25% to 50% faster. istockphoto OY VEY! SOME OF GOOD HUMOR’S most popular icecream bars, like the chocolate eclair, are missing from the trucks this summer. Why? A factory closure. ‘People are still getting shot,’ a source told the Post, ‘but they’re not dying as much’ and hotels united to launch a trade group that will fight for their interests in Gotham proper. The New York City Hospitality Alliance includes some of the biggest names in restaurants and nightlife, including Stephen Hanson, president of BR Guest Hospitality, and Andrew Rigie, a veteran of the statewide New York Restaurant Association’s —lauren elkies city chapter. ADDICTED TO NUMBERS? GET A DAILY DOSE AT @STATSANDTHECITY vol. xxviii, nos. 26, 27, june 25-july 8, 2012—Crain’s New York Business (issn 8756-789x) is published weekly, except for double issues the weeks of July Fourth, Labor Day and Christmas, by Crain Communications Inc., 711 Third Ave., New York, NY 10017. Periodicals postage paid at New York, N.Y., and additional mailing offices. Postmaster: Send address changes to: Crain’s New York Business, Circulation Department, 1155 Gratiot Avenue, Detroit, MI 482072912. for subscriber service: Call (877) 824-9379. Fax (313) 446-6777. $3.00 a copy, $99.95 one year, $179.95 two years. (GST No. 13676-0444-RT) ©Entire contents copyright 2012 by Crain Communications Inc. All rights reserved. STORIES TO WATCH IN THE WEEKS AHEAD June 25: Developer Larry Silverstein tops out 4 World Trade Center. June 26: Congressional primaries are held in New York. July 1: 10,000 large NYC buildings must start phasing out high-polluting fuel oil. July 4: Macy’s fireworks launch from four barges in the Hudson around 9 p.m. 2 | Crain’s New York Business | June 25, 2012 http://www.CRAINSNEWYORK.COM

Table of Contents for the Digital Edition of Crains New York - June 25, 2012

Crains New York - June 25, 2012
Contents
In the Boroughs
In the Markets
The Insider
Business People
Alair Townsend
Greg David
Real Estate Deals
Crain’s Fast 50
For the Record
Classifieds
New York, New York
Source Lunch
Out and About

Crains New York - June 25, 2012