Company of the Month: Polimeni International: Agile, visionary and able to pull the trigger on deals hours before the competition

In an era of cloud computing, apps and cyber commerce, Polimeni International, LLC, Garden City, Long Island, still believes in the value of good old fashion brick and mortar. However, its president and CEO, Michael Polimeni says 21st Century information technology has profoundly raised the bar, requiring his company to be agile, visionary and able to pull the trigger on deals hours before the competition. For over thirty years his firm has been a full-service real estate leader specializing in the development, construction, management, brokerage and marketing of prime commercial properties throughout the U.S. and in selected global markets. Polimeni International has a proven and consistent track record of identifying potential areas of growth in advance of the market, allowing the company to maximize its returns on investment. From its venture in mass transit oriented development in the northeast to the creation of retail malls in post-Communist Poland, Polimeni International has long been adept at being among the first to enter a lucrative market and equally skilled at recognizing when an economic cycle is about to turn. Polimeni says the privately owned firm is in a strong position with a portfolio that is divided at 60% retail and 40% commercial office space. "I am fortunate to lead an executive team whose focus is to recognize and benefit from real estate growth opportunities here and abroad for the purpose of creating maximum return on investment. However, we bring something else to the table that allows us to attract local partners who want to ensure their investment is going to enhance their community," said Polimeni The CEO says this particular aspect of their corporate culture is a core part of their strength in closing deals in areas far from their Long Island home office. That philosophy is also reflected in the close working relationship Polimeni has with brokers throughout the region. "We recognize the enormous value of the brokerage community and how their role has transformed in the last decade into being an integral part of the process of identifying and closing on potential properties," said Polimeni. Scott Mauri, Polimeni CFO, observed, "The question is how can we define ourselves in a very crowded and harshly competitive marketplace? Is it a particular physical asset that sets the stage or a proven corporate culture that creates an integrated approach to the deal? We think it's the latter and our track record suggests that it is a proven and rather successful pathway for Polimeni International." The company's general counsel, Stephan Garber, Esq. said, "There is a lot of history at this company in terms of understanding the cyclical nature of the market and where it will grow and contract next. What we also recognize is that there are historic changes in the real estate market both here and abroad that provide us with opportunities as well as exit strategies. Finally, we know that there are structural changes in the industry itself where REITS have firmly established themselves. Accordingly, we challenge ourselves every day to ensure we remain competitive, profitable and visionary at a time when others have access to enormous capital. Candidly, my money is on David in that kind of contest." The firm currently oversees over 1.5 million s/f in the U.S. and an additional 2 million feet Europe. The properties reflect the core properties they consciously decided to hold during the selling frenzy in the real estate industry prior to 2008. "We were offered ridiculous prices for these properties but it was a conscious decision to hold them as they represent the foundation upon which our growth is based. While today we are looking for product like the rest of the world, we have the ability to be selective about when, where and with whom we will partner," said Polimeni. Fighting weight - Since 2008 we have been in a fairly strong position - looking for product like the rest of the world. Over time the company has reduced its offshore holdings and has chosen instead to focus its next generation of growth within the U.S. Company executives say they are not favoring one part of the nation over another but, rather, are deal driven. Polimeni said, "There is no 'magic bullet' any longer in real estate. Margins are razor thin, the competition for deals goes around the block and you are faced with the equivalent of finding a needle in a stack of needles. So we need to bring all of our tools to the challenge - from building management to identifying local investors, from hands on experience to a demonstrated solid rate of return from prior investments. You come to the table with every aspect of your expertise focused and sharpened or don't come at all." Polimeni isn't disturbed by those who predict e-commerce will eventually spell the demise of the retail real estate in which the firm has significant holdings. "By the time a drone delivers your dry cleaning we may see cold fusion and a Mars colony with Martian sprawl. Let's be realistic. Barnes and Noble may become a handful of nostalgia centers and Best Buy's stores will be show rooms, but when you want it within an hour you are going to our retail centers for that sprocket wrench, shirt or quart of milk," said Polimeni. One area in which Polimeni is reluctant to build new is New York and his hometown region of Long Island. "Some projects have taken a decade and more to get from concept to concrete. Forget missing the market. You may be in assisted living by the time you have your approvals. It's one thing to acquire an existing structure and repurpose or reposition it, but you have to think long and hard about building ground up in the New York metro region and what your burn rate is going to be to get the approvals," said Polimeni. That doesn't make Polimeni an advocate of build anything anywhere. He is in fact an outdoorsman who spends his weekends in the woods of rural Pennsylvania during literally every season. No surprise then when he is asked who would he like to have dinner with, living or deceased, his answer is Theodore Roosevelt. "Few Americans really appreciate the legacy this man left us. It may not be the Panama Canal or trust busting. I would argue it is the creation of America's national park system that may be the most precious gift TR gave the U.S. There is no reason why orderly economic growth can't complement that legacy so that our region and nation remain strong in this very challenging century," said Polimeni.