Crains New York - October 22, 2012 - (Page 4)

IN THE Food trucks nab midtown spot MARKETS Operators get break from parking tix; office workers gain lunch choices BY LISA FICKENSCHER Midtown office workers will get 10 new lunch options later this month when 777 Third Ave., at East 48th Street, opens up its loading dock to a group of food truck operators. “Food trucks are a new amenity in the city that we wanted to offer to our tenants and to the greater community in Turtle Bay,” said Jonathan Iger, vice president of Sage Realty Corp., which manages the building and two others nearby. Sage Realty is rolling out the red carpet for its new mobile tenants, promoting them in its buildings, and setting up a food truck camera so that office workers can gauge the lines. Sage is also including a page about the trucks on its website, where tenants can even order lunch from them. Starting Oct. 29, the location will accommodate one truck a day, including Eddie’s Pizza, Luke’s Lobster, Comme Çi Comme Ça and Frites ‘N’ Meats, which will be there from 11 a.m. to 2:30 p.m. on weekdays. The initiative is part of a larger trend in which major landlords in the city are leasing space to food trucks. And it’s a welcome change for the truck owners, who are often chased out of spots by competitors or ticketed by the city for illegal parking. “This allows us to have more security, so that we don’t have to move in the middle of lunch or worry about getting a ticket,” said David Schillace, owner of the Mexicue truck, which is among the those vending at 777 Third Ave. Earlier this year, Brookfield Properties set up a food truck lot at 4 World Trade Center, where five trucks can park during the week, while last year Rockrose Development opened up an empty lot in Long Island City, Queens, for food trucks. There are two other locations in the city, next to Bryant Park and in Hudson Square in lower Manhattan, that offer seasonal spots for such vendors. “This is a strategy that is working in Boston, Chicago and Washington, D.C., where the local governments are devoting public space for food trucks, and in New York City the private sector is helping us set up permanent spots,” said David Weber, president of the NYC Food Truck Association, which facilitated the Third Avenue deal. The number of food trucks in the city has grown tremendously, from a handful several years ago to as many as 90 today, according to Mr.Weber. Still, Mr. Schillace, who owns two Mexicue restaurants, cites competition and a lack of available locations as reasons that he has not invested in more than one truck. “We look at the truck as a marketing tool to promote our brand,” he said. flickr by Aaron Elstein Astoria bank tries to forge new path A storia Federal Savings is the kind of bank most folks would say they want to see succeed. The institution has been serving New Yorkers since 1888 and has a homespun charm that comes from sponsoring events like an annual essay contest in which children complete a statement that begins, “If I save a lot today, in the future I could …” CEO MONTE REDMAN may be forced to sell. OCTOBER 2012 Carmel Partners is pleased to announce the final closing of its fourth investment fund C A R M E L PA R T N E R S INVESTMENT FUND IV $820,000,000 Targeting a raise of $700 million, Carmel’s Fund IV reached its hard cap of $820 million. Carmel invests in multifamily value-add, development and debt opportunities with compelling risk-adjusted returns in high barrier markets throughout the US. REALIZING THE POTENTIAL OF REAL ESTATE www.carmelpartners.com SAN FRANCISCO WA S H I N G T O N , D C | D E N V E R | I R V I N E | S E AT T L E | H O N O LU LU | N E W YO R K But Astoria, like a lot of small banks, is stuck between a rock and a hard place.The sluggish economy and ultralow interest rates make it tough for the $17 billion-in-assets institution to grow.Its core residential mortgage business faces pressure as it fights with governmentowned giants Fannie Mae and Freddie Mac for home-loan volume. Plus, there are millions in new compliance costs,and Astoria’s shares have returned just 2% over the past three years, compared with 14% for its peer group. Chief Executive Monte Redman, who has worked at Astoria since 1977 and took the helm last year, is doing his best with a tough hand.He cut about 10% of the bank’s staff and slashed its dividend payout by 69% to conserve cash.He’s also put a big emphasis on expanding the bank’s book of small business and apartment loans—a major shift for a thrift that’s long specialized in basic checking and savings services for Queens and Long Island homeowners. “This is a year of transition,”said Mr. Redman, who is 61. He’s encouraged by the results so far. Small business and apartment loan volumes are ahead of his projections and make up about 22% of the bank’s loan portfolio, a figure he’d like to increase to 40%. That growth helped the bank report third-quarter earnings of $13 million, a 20% bump from the yearearlier period. Still, powerful headwinds remain. Although earnings grew, the bank’s loan portfolio continues to shrink as low interest rates drive consumers to refinance their mortgages. And though Mr. Redman ASTORIA FINANCIAL CORP.’S STOCK PRICE, MONTHLY has identified thousands of small businesses on Long Island that his bank could serve, “what you see these days is that businesses are not looking for loans,” he said. An economic recovery would certainly help on that front,and Mr. Redman said prices have stabilized in the Long Island housing market after a painful slump. But small business owners still fret over economic and election uncertainties. Or, as Mr. Redman puts it: “They look at the what-ifs.” Another bank that faced the same sort of squeeze, Hudson City Savings, threw in the towel in August and agreed to be acquired by M&T Bank. Mr. Redman believes Astoria is well positioned to thrive once the economy revives and business lending picks up again. He even anticipates acquiring a few small banks that can’t cope with all the new regulatory costs. “I think in a few years you’ll see a lot of good, smaller banks overloaded by compliance costs raise their hands,” he said. The question is whether Mr. Redman’s shareholders will wait that long before forcing him to sell. T H I S A P P E A R S A S A M A T T E R O F R E C O R D O N LY 16% SIZE OF THE U.S. government’s remaining stake in bailed-out insurer American International Group. AIG Chief Executive Robert Benmosche (left) said last week that the feds may sell the rest of it by year’s end. At one point, the government owned 92% of AIG’s stock. 4 | Crain’s New York Business | October 22, 2012 debbie egan-chin/ new york daily news http://www.carmelpartners.com

Table of Contents for the Digital Edition of Crains New York - October 22, 2012

Crains New York - October 22, 2012
In the Boroughs
In the Markets
The Insider
Business People
Opinion
Greg David
Report: Real Estate
Real Estate Deals
The List
Digital New York
Classifieds
For the Record
New York, New York
Source Breakfast
Out and About
Snaps

Crains New York - October 22, 2012