LuxuryBlurb
Posts Tagged ‘new york city’
Tuesday, December 20th, 2011
Posted by Leonard Steinberg on December 21st, 2011
There are certain essential expenses that Americans incur that are a form of taxation…..Here are two examples:
GAS: The average American spends over $ 4,100/year on gasoline…..thats over 8% of their income! Now thats quite a tax. Gas prices are artificially high because of OPEC’s ability to monopolize the oil markets, and even though monopolies are illegal for all others, well, the oil industry is obviously immune to the law it seems. Imagine reducing the cost (or consumption) of oil by a third and the average Amercian household could pump another $ 100+ per month into the economy.
RENT: The news talks about the rise in rental apartment construction, as opposed to ‘for sale’ properties citing the fear of first time homebuyers wanting to rent instead of own. If there is a sharp rise in the volume of rental apartments, we could see rental prices drop, although its unlikely in Manhattan. Over 2,1 million apartments in New York City have some form of rent regulation, about 40,000 have full rent control. Imagine those controls were removed, the general consensus is that landlords would go crazy raising the rents……but maybe the exact opposite is true. Is it not possible that with a flood of lesser priced units in the market, all rents would come down, thereby reducing this ‘tax’ on the consumer? Imagine each tenant having an additional $ 100 per month or so to spend in the economy (where sales taxes are collected). Then again, just like our Federal tax system, only a select few benefit from rent control: the only problem is the selection process is deeply flawed and benefits a few unfairly.
What other disguised ‘taxes’ are out there that could help the middle class have a better life? Cable? MTA fees attached to cab fees? ATM fees?
Sunday, July 31st, 2011
 Posted by Leonard Steinberg on July 30th, 2011
We have covered this subject before in LUXURYLETTER: Manhattan and New York City sidewalks are constantly covered with hideous, unsightly construction sheds and scaffolding. Always dark, somewhat sketchy, and often covered with graffiti, the sheds leave much to be desired, which is why the Department of Buildings hosted the UrbanSHED Competition, asking designers to create a more aesthetically pleasing design for these sidewalk canopies. A prototype of the winning design has just been unveiled: the arched steel structure with a transparent top is a breath of fresh air. Designed by winner Young-Hwan Choi with architect Andrés Cortés and engineer Sarrah Khan of New York-based Agencie Group, the new canopy is a huge improvement from the standard pipe and plywood shed.
It is time to really evaluate this ugly scaffolding once and for all: While I love the concept of re-designing the scaffolding and making it more attractive, personally I see permanent sidewalk covers as the solution. The cost to building owners to rent these structures is prohibitive. With the sun a lot less desirable these days, why not cover sidewalks (a la Meatpacking District and Tribeca) with permanent canopies. These (attractive) canopies could be made of solar panels to generate power and also transmit light. Something needs to change.
Saturday, July 23rd, 2011
Posted by Leonard Steinberg on July 23rd, 2011
Are we all too quick to pass judgement without taking a long hard look in the mirror?
This week saw two amazing instances of mass judgement: Firstly, everyone everywhere, especially in the press, voiced their OUTRAGE at Rupert Murdoch and his organization’s hacking misdeeds….of course, NONE of these organizations passing judgement have participated in any form of ‘questionable practices’ to obtain their stories, and of course NONE of the people who read (and often believe the trash) these newspapers are in any way complicit by having supported these papers for so long by buying and reading them….hmmmm…..
Last night fair and balanced FOX’s Bill O’ Reilly highlighted what most people were thinking: that the Norwegian extremist who killed dozens yesterday in Oslo was a Muslim or Muslim sympathizer. Bill automatically assumed something as heinous as this crime against society could only be perpetrated by a Muslim. Well, he was wrong, and so were many (most?)of us who assumed the same thing. We had all forgotten the Oklahoma bombing. We had all forgotten just how violent all religious fanatics are, or have been, throughout history. Hopefully this horrible incident reminds us all that we as a society need to fight off all extremists, on the left and on the right: Muslim, Christian, Jewish, Aetheist, whatever. Extremists are the cancer of our planet.
Here are some other ironic, often stupid, examples I have been pondering of our natural leaning towards passing judgement on others:
The LEFT is keen on raising taxes on the rich. They have classified the rich as those earning above $ 250,000.00 without any regard of where they live and the cost of living in that city. Wait till these same judges see the effects of these “rich people” losing their mortgage tax deduction which looks like it will either be removed or sharply reduced.
The RIGHT runs on fiscal conservatism, yet operates like the most disfunctional corporation on the planet: Would a good CEO only focus on cutting costs without raising income? Would any smart CEO continue to allow some corporations to benefit by huge tax breaks that don’t need them? If the right was so outraged about the ‘bailing out of Wall Street’, why are they not as concerned about the add-huge-profits-to-the-bottom-line for the most profitable companies on the planet such as EXXON and GE?
On GOOD MORNING AMERICA on Wednesday, a segment showcased twins wearing very similar outfits, one inexpensive, and the other the ‘designer’, expenisve version….we had to guess which was which…..everyone cheered loudly for the inexpensive version: why would anyone not want those $ 30 jeans? …..the ones made in China…..the ones that took a job away from an American….the profit from those jeans will stay outside of the US so they will not get taxed….the tax dollars that may have helped pay down our debt….
New York liberals complain bitterly about the rising costs of renting in the City. These are often the same people that demand more benefits from the City and State, earlier retirement ages, etc. So real estate taxes are raised to pay for these benefits on those who own the real estate…. who are then compelled to raise the rents. How DARE they?
Christian Conservatives are outraged by abortion (and often any form of birth control)…..yet they seem quite comfortable with wars. Who chooses what life is precious and what life is not? These same Christian conservatives know well that once you ban abortions, the least educated, poorest will produce even more welfare recipients……the benefits the Christian conservatives want to cut the most…..
Many Sellers who earn millions of dollars each year are outraged by brokers fees. Why can’t brokers work for free?
Condominiums pride themselves at being the ‘un-co-op’, the sane alternative to revelaing your life to your neighbors, yet now demand disclosure from buyers on a very similar level to that of the craziest co-op boards.
New York City cyclists DEMANDED respect from the awful car-driving masses, so they were given miles of biker lanes…..have you noticed how many of them (the vast majority?) disobey any form of the law? Running lights, going up streets the wrong way…..and avoiding the bike lanes?
Last week all applauded (myself included)the new computer-system to control mid-town traffic in New York. That computer will replace the need for several low skilled workers with a few high-skilled workers, thus eliminating more jobs. Yes, technology is wonderful, but it does eliminate jobs. And if we do not educate the unemployed to thrive in the new high-tech world, they will remain unemployed…..and cost the States and Federal governement lots….and they won’t produce any tax revenues….and they won’t be in a position to consume in the same manner as if they were employed. Thankfully Mayor Bloomberg announced in the same week plans for bidding on a new high-tech college campus: We need more Bloomberg’s in government. Smart. (not perfect either, who is?)
And lasty, the poor consumer. For the last two years everyone has been deriding them for their irresposible, evil and wreckless spending habits, charging up those credit cards (that benefit the bankers and all their shareholders most with those crazy interest rates), getting mortgages they could not afford on homes they did not need, spending out of control, landing us in the GREAT RECESSION. Now those same fiscal conservatives are stunned by the slow growth in GDP, realizing (what a shock!) that the USA’s economy is driven by the consumer….who is being so much more responsible now…..but it is their fault the economy is not growing, because they are not spending as extravegantly.
My verdict: we are all guilty. There is only one way to clean up the mess, and that is to start in our own back yards.
Sunday, May 8th, 2011
Posted by Leonard Steinberg on May 8, 2011
We live in new times, which requires adjusting. All of us are doing it. Some Democrats are talking about deficits, some Republicans are talking about energy savings and green energy. Condominiums are talking about reserve funds and closer scrutiny of buyers. Yet many co-ops appear to be stuck in a time warp, and very clearly impact the value of the real estate they own.
I was chatting to a broker the other day about a co-op apartment she is trying to sell on the Upper East Side. It is a large one bedroom, over 1,000sf in size in a doorman building. It is asking a little over $ 650/sf. It is not in the most desirable location, but certainly a good one, moments from a Park. Maybe its time for buildings like this one to re-evaluate its co-op policies. Maybe co-ops that are under-valued could take on new life by adopting new rules such as a more liberal sub-leasing policy, installing a slick gym in the basement, updating the lobby, not just through a design comittee of owners, but through a serious comparison to other buildings that are valued at more than double. I often see apartments in these tired co-ops and marvel at the scale of the rooms, although ceiling heights in some are horrible. I wonder why a co-op would think that AC window-units were either economical or esthetically pleasing to anyone anymore: they are neither.
Another good idea would be to specify more clearly what board requirements these co-ops have, and maybe align them more with the real world.
Condo’s have adopted many ‘co-op-style’ rules to improve the quality of life in their buildings.
Yes, it is true the co-op structure has kept the New York market very stable and that should continue, but maybe the time has come to re-invent the co-op, keeping all that is good and eliminating all the bad, counter-productive stuff that hurts the prospects of future owners, but worse, de-values the homes of many un-necessarily.
It is time for all of us, condo’s and co-ops, Democrats and Republicans, parents and kids, husbands and wives, corporations and employees, unions and governments, to stike a fair balance and meet in the middle…..do whats best, not focusing exclusively on what is purely self-serving and counter productive to the big picture.
Monday, April 18th, 2011
Posted by Leonard Steinberg on April17, 2011
New York City is a city large enough to showcase how smart business, common sense and critical mass can impact huge shifts in our daily lives: and now the focus turns to energy savings.
While the world waits for ‘government’ to come up with some new invention to save energy, New York City is showcasing many ways to reduce consumption of energy through its own initiatives combined with government initiatives: The Empire State building just completed a large retro-fit to make the building more energy efficient…..it has reduced its energy consumption by almost 40%. Building codes require low-flush toilets and faucets…..thereby reducing water consumption significantly. Hybrid cabs use on average 20% less fuel than the older cabs. Many buildings are converting from oil to gas to heat. Old buildings are replacing old, leaky windows with new, more energy efficient ones.
In an apartment, here are some ways to make an impact:
1) Make sure your windows are energy efficient: if not, rally the troops in your building and instigate a building-wide program to replace old, leaky windows.
2) Window unit AC units are hyper-inefficient: ducted, central air is about 25% more energy efficient.
3) Replace incandescent light bulbs with LED’s….yes, the bulbs are super-expensive, but they last about 7 years and the quality of light is so much better than fluorescent.
4) Get motion sensor lights for fire stairwells in your building that are hardly every used: leaving a light on 24/7 is extremely wasteful. 2 lights is not a big deal…..but go and count how many are in a 12 story building. Hundreds!
5) Install dimmer switches: dimmed lights look better, make you look better, and use less energy.
6) Don’t leave unused appliances on, and unplug them when not in use.
7) If you want to reduce electrical costs, run the laundry overnight….electricity is cheaper then.
 Call your local authorities when you see park lights on when there is bright daylight…..have them turned off.
Individually the savings are not that great, but collectively the savings and reduction of energy consumption is HUGE. Join in…..its happening already, and there are some government incentives to encourage this shift in thinking.
Thursday, January 27th, 2011
 Posted by Leonard Steinberg on January 27th, 2011
If you check your mailbox, you may find a lovely envelope from the New York City Department of Finance showing the new assessment on your property. One of my assessment notices showed that the market value of a property I own increased in value by over 60%…..in 2010! WOW! That’s facinating. Where on earth did our (CORRUPT?) Department of Finance come up with these figures? It seems every single report has shown that New York property values have remained flat, dropped, or risen VERY SLIGHTLY in 2010, yet the New York City Department of Finance says it’s UP BY OVER 60% on my property.
Which (corrupt?), incompetent idiots are running this thuggery?
As of next week, LUXURYBLURB will start highlighting the disparities between real estate tax assessments in Manhattan to showcase how selective and incomprehensibly inefficient the system is. We will start by selecting prominent governemt officials homes and see who exactly is the beneficiary of over-taxing some to benefit others….
Do you have a nightmare real estate tax story you wish to share? Join our fight to-day to end this outrageously unfair system IMMEDIATELY: register at www.nycDUPE.com to-day!
Stay tuned!
Monday, January 24th, 2011
  Posted by Leonard Steinberg on January 24, 2011
Have you noticed how cars have become more cleverly integrated into architecture recently?
Two great examples: 1111 Lincoln Road in Miami beach designed by Herzog and de Meuron and developed by Robert Wennet…..and 200 Eleventh Avenue in New York City by Annabelle Selldorf, developed by Glauco Lolli Ghetti of Urban Muse and Young Woo & associates.
Whats next in CARCHITECTURE?
Wednesday, October 13th, 2010
 Why are important projects now unaffordable? This morning the New York Times reports how earlier in the 20th century, when the federal and state governments were much smaller, they had the means to undertake gigantic new projects, like the Interstate Highway System and the space program. But now, when governments are bigger, they don’t. These big infrastructure programs are often critical to not only stimulating the economy, but also driving intelligent, substantial development.
The reason is rather simple: Over the past few decades, governments have become entwined in a series of arrangements that drain money from productive uses and direct it toward unproductive ones, mostly politically driven.
New Jersey can’t afford to build its tunnel, but benefits packages for the state’s employees are 41 percent more expensive than those offered by the average Fortune 500 company. These benefits costs are rising by 16 percent a year. Are yours?
New York City has to strain to finance its schools but supports 10,000 former cops who retired before age 50. Will you retire before 50?
California can’t afford new water projects, but state cops often receive 90 percent of their salaries when they retire at 50. The average corrections officer there makes $70,000 a year in base salary and $100,000 with overtime (California spends more on its prison system than on its schools).
States across the nation will be paralyzed for the rest of our lives because they face unfunded pension obligations that amount to approximately $2 trillion — or $87,000 per plan participant. And remember the life expectancy of human beings has risen dramatically since these policies were enacted.
Another issue in prohibitive construction costs is the effect Unions have had on costs: like governments, Unions’ sense of entitlement has mushroomed and the excesses are strangling progress, hurting our economy and ultimately hurting the union members: think Detroit.
All in all, governments can’t promote future prosperity because they are choking on their own self-indulgence. And when governments cannot afford to take on these projects, everyone suffers, except of course the small group of government beneficiaries of this un-funded excess.
“There are only two solutions’” says Leonard Steinberg, publisher of LUXURYLETTER ”1) scale back benefits to market based reality, or 2) raise taxes.”
Thursday, September 9th, 2010
I am currently traveling in Europe researching trends and getting a breather: it ceases to amaze me how many restaurants located in the very best, most desirable, attractive locations seem to have the worst food and service. Is this an international phenomena?
Thinking of New York City, I guess the definition of ‘best location’ helps determine the quality of the restaurant. But I certainly can think of many prized locations in the city that do indeed deliver some of the worst food and service. Often the best restaurants in these prize locations are grossly over-rated. Just because you have a great location are you entitled to give those dreaded tourists the worst possible experience? I think Cities should fine rotten restaurants in great locations for bad service and quality, or at least give them a rating on the front door, a badge of shame…..
“In real estate it truly is all about location,” says Leonard Steinberg, managing director of Prudential Douglas Elliman and leader of the LUXURYLOFT team. “It is unfortunate when a retail establishment abuses a prize location. It is done so at the detriment of the town or city. Thankfully blogs have helped identify the worst offenders. Maybe an I-Phone APP for this is an idea, warning un-informed tourists not to enter a rotten restaurant?”
Tuesday, August 3rd, 2010
New York City’s education sector has become an increasingly important market for the construction industry, according to the New York Building Congress, a nonprofit group that represents the construction industry.
Elementary and secondary schools, as well as higher education institutions, accounted for 56% of the value of all institutional construction starts between May 2008 and April of this year, according to a report released by the group Monday.
The Building Congress points out that much of the surge is due to the work of the New York City School Construction Authority, which initiated $3.1 billion in public school projects over this period, compared with $174 million in starts by private elementary and secondary schools.
Private colleges and universities were responsible for $744 million in starts, while publicly-owned institutions of higher education, such as City University of New York, accounted for $540 million in starts.
Construction of new education facilities totaled $2.3 billion in value. This stands in direct contrast with the office sector, which has seen very little ground-up construction outside the World Trade Center in recent years. Recent major construction starts include CUNY’s $381 million Advanced Research Center and $210 million Fiterman Hall, as well as Mount Sinai School of Medicine’s $225 million research building.
New York City’s private and public institutions initiated $8.1 billion in total construction projects over a two year period ending in April 2010. The public sector was responsible for $4.87 billion, or 60%, of the value of these projects, while private sector owners accounted for $3.28 billion in project starts.
“These figures indicate the importance of government spending during a recession,” says Leonard Steinberg, head of the LUXURYLOFT team and a managing director of Prudential Douglas Elliman. “Without this spending, one could be certain the construction industry would be virtually wiped out. My concern is what happens once this construction ends: hopefully by then the private sector has recovered. The reality is the private sector is paying for all of this, regardless: while government spending may be huge, it is taxpayers money paying for this after all.”
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John 
lola gardner 
One of the best ways for apartment building and condominium owners to save money is to submeter tenants. Not only does it reduce costs for all parties, but it is also good for the environment.