As you close the books on 2018, consider what an interesting year it has been. Our President never ceased to amaze us. There were ongoing confrontations with both houses of Congress. Further, the raising of tariffs placed companies, which depend on importing goods from China, in extremely challenging positions on their heels while they tried to determine their next move. Mr. Trump’s persistent negotiating skills, however, do seem to be working and I believe these tariffs will become a thing of the past.
Real estate investors and developers have been flocking to opportunity zone funds to take advantage of the best kept secret within the Tax Cuts and Jobs Act: the Investing in Opportunity Act. By re-investing capital gains into a certified “Opportunity Zone,” to revitalize distressed communities and create jobs, investors have the ability to defer tax, or exclude part or all of the tax on the capital gain invested, as well as the gain earned on their investment. The investment can be passive or active.
In preparing this article, I reference two previous New York Real Estate Journal articles dating back to December 2010 and March 2012, which in certain instances reflect where market conditions are heading in 2019. Question, “is the glass half empty or half full?” The start of 2019 and end of 2018 highlighted volatility in the socio-political arena, economic, financial and equity markets, trade war deficits, fluctuating oil prices, Fed rate hikes, Sovereign stability “deal or no deal” – EUC and Brexit, along with an aging population all point to lower forecasts in most sectors for 2019.
Mineola, NY If you think a regional bank can’t attract millennials and other tech-savvy people to its workforce, think again. Hanover Community Bank’s workforce has grown by 75% percent in the year since it reinvented its headquarters with a new workplace concept. The bank’s headquarters design embodies president and CEO Michael Puorro’s vision of the company as “a different kind of bank.” That difference is obvious in JRS Architect, P.C.’s top-to-bottom design. It integrates technology throughout the workspace to promote collaboration both within and beyond the building’s walls. The re-do includes amenities – such as a fitness center, multiple common areas, and multi-purpose video equipment throughout the workplace – typical of a forward-thinking corporate headquarters. The open-plan design and inviting, airy feel represent a cultural shift in an industry known for its traditional, somber workspaces.
Melville, NY Bullard Law Group (BLG) has welcomed Jeanine Segall as the firm’s marketing and operations director and Matthew Baldassano as an associate attorney. Prior to BLG, Segall was the COO of Perception Media Group, an integrated marketing company that offered cross-media marketing. She is a veteran of both the legal and marketing profession. As marketing and operations director, she will be serving as the brand visionary and assuming the responsibility of their growth strategy.
Garden City, NY Janover LLC has promoted two senior managers, Mary Beth Vetter, CPA and Tammy Daitch, CPA to principals, effective January 1st. Vette began her career at KPMG in the audit practice. She then joined Schoenfeld, Mendelsohn, Goldfarb (SMG) in Woodbury, where she worked for 20 years. In 2013, she joined Janover when SMG merged with Janover. She received her BS in Accounting from St. John’s University. She is a member of the American Institute of CPAs and the New York State Society of CPAs.
Bohemia, NY P.W. Grosser Consulting, Inc. (PWGC) has hired William Henfling, as a staff engineer. He will assist PWGC’s engineering division. He will be based at PWGC’s newly expanded Bohemia base of operations where he will enhance the development of PWGC’s engineering efforts related to civil/site and water resources. “I am extremely excited to join PWGC,” said Henfling. “I look forward to making a positive contribution to the team and learning from the experienced staff. I am prepared to face the new challenges that come with the variety of environmental services PWGC provides.”
Uniondale, NY Gabriella Botticelli has joined the law firm of Forchelli Deegan Terrana LLP as an associate in the tax certiorari practice group. She concentrates her practice in the specialty area of property tax refund and reduction, commonly known as tax certiorari. Botticelli has experience with properties throughout NYS, specifically the Suffolk, Nassau, and Westchester counties.
This column is offered to help educate agents new to commercial and investment brokerage and serve as a review of basics for existing practitioners. A part of the tax bill that became law at the end of 2017 was the “Investing in Opportunity Act,” which established the Opportunity Zone program. The idea was to create incentives to revitalize economically distressed communities using private funding not taxpayer dollars.
New York, NY The Long Island Real Estate Group (LIREG), of which Richard Herzbach is co-president, recently arranged a special tour of the MTA East Side Access Project. East Side Access provides new LIRR service to the east side of Manhattan, supplementing existing service to Penn Station on Manhattan’s west side and Atlantic Terminal in Brooklyn. The East Side Access megaproject is one of the largest transportation infrastructure projects currently underway in the U.S. with a history that reaches back to the 1950’s when discussions were first held regarding regional transportation planning. The project encompasses work in multiple locations in Manhattan, Queens and the Bronx and includes eight miles of tunneling.