PRESS

Many companies worried about future taxes, changes in government policies
and healthcare costs are taking a break before making any leasing commitments,
brokers say. Mature, larger companies are trying to better utilize space while tech
companies can’t seem to double in size fast enough yet worry about making long
space commitments.

“There is more indecision on the tax structure and where the economy is going,”
says Grant Greenspan of the Kaufman Organization. “They are trying to buy
[some time].” he says.

The Sandy superstorm is also changing the way companies feel about moving
downtown. Executives are looking at transportation options, as well as backup
and generator capacity within their buildings and for their own systems.

Mr. Hidary, 34, is the president of Hidrock Realty, a family-owned commercial real
estate developer that was founded by his father, Jack. The company specializes in
offices, residential properties and hotels, and its properties include 240 West 35th
Street and 960 Sixth Avenue.

Q. How do your responsibilities differ from those of your brothers Eddie and Steven,
who also work at the firm?

A. I work mostly with partners, lenders, financing of the real estate and development.
My brother Eddie handles the actual construction and development, working with the
architects and the engineers. Steven handles operations – he runs the assets.

Manhattan-based commercial real estate owner Hidrock Realty announced that
Carrier Northeast has signed a 5,320 s/f lease for the entire top floor at 240 West
35th St. The building is owned and operated in partnership with Meritage Properties.

Robert Kaplan, director of leasing at Hidrock Realty, represented the landlord in the transaction. The tenant was represented by Jason Frazier of CBRE.

240 West 35th St. is a loft-style U.S. EPA Energy Star-labeled building that features
a brand-new attended lobby with 24/7 access, a concierge, new elevators, upgraded
security, central air and exposed ceilings. Tenants enjoy the close proximity to public
transportation including multiple subway lines, Penn Station and Port Authority, and
are steps from Herald Square, Madison Square Park and numerous restaurants.

It all began with a simple premise: If you could ask the city’s biggest, most powerful commercial real estate owners 15 questions, what would they be, and what would that list look like?

Sure, it would include market predictions and boilerplate real estate stuff, like views on Midtown South’s dramatic uptick in popularity and its ongoing trendiness among tech upstarts. But it would also feature more intimate questions about politics and family, art and personal achievement. In short, it would be our platonic ideal of a night out with some of the most successful businessmen in New York.

And to our surprise, real estate owners responded enthusiastically and, in many cases, with a level of candor previously unseen in an industry where owners often play their cards close to the vest. Indeed, real estate titans like Anthony Malkin, Jason Pizer and Donald Trump let down their guard—if only for a moment—to share a lifetime of personal wisdom, market predictions and some strongly held convictions, from the outcome of November’s presidential elections to a dollop of property tax angst.

Industry analysts continue to debate whether the New York City real estate market
has recovered, but there’s no question that land prices here have. In some cases,
development sites are trading for close to – and even exceeding – the levels they hit
just before the 2008 financial crisis.

Eager developers, encouraged by lenders with a newfound willingness to write loans
for construction projects, are acquiring development sites across the city, pushing up
land prices. According to data compiled for The Real Deal by real estate firm Property-
Shark and the commercial brokerage Massey Knakal, the gains in price and volume
are being driven by a flurry of activity in Manhattan and Brooklyn.

Hidrock Realty recently signed deals with Staple Design and Born Fly for a total
of 6,570 square feet at 35 West 36th Street. The new tenants bring the building
to 96 percent leased.

Staple Design, the street culture apparel brand, retail store and creative consulting
firm, signed a 3,400 SF, half-floor lease on the seventh floor at 35 West 36th St.

Born Fly signed a 3,170-square-foot, half-floor lease on the third floor at 35 West
36th St. Established in 2004, the company has evolved from a small New York
tee-shirt line into a proper street wear collection.

Hidrock Realty presented Cory Albrycht, a director at Colliers International, with
five provate lessons from a PGA golfer at the Golf Club at Chelsea Piers in the
Tee Time-themed installment of its broker raffle series.

Hidrock launched the raffle series in January to thank the brokers who have helped
the company remain well occupied across its portfolio. Brokers who visited Hidrock-
owned buildings with prospective tenants were automatically entered into the raffle. “We’ve been able to remain nearly 100 percent leased across our office portfolio as
a direct result of the hard work that brokers like Cory do every day,” said Robert
Kaplan, director of leasing at Hidrock.

Featuring Abraham Hidary on the reopening of Greenwich Street and Hidrock’s
plans for the development across from the World Trade Center site

Jack Resnick & Sons rechristened its 14-story office tower in the financial district this
past weekend, giving it the new name 255 Greenwich Street. The building, which is
home to several New York City agencies including the Office of Management and
Budget, had been known as 75 Park Place since it opened in 1987.

The renaming is the latest move by landlords and developers to take advantage of
a repositioning of Greenwich Street, which is poised to become a main thoroughfare
running through the World Trade Center site when a long-closed stretch finally
reopens next year.

Manhattan-based commercial real estate firm Hidrock Realty recently awarded
Brian Weld of Cassidy Turley with premium tickets to “Jersey Boys” and dinner for
two at the restaurant of his choice in the “Best of New York”-themed installment
of its broker raffle series. Hidrock launched the raffle series in January as a show
of gratitude to the brokers who have helped the company to remain well occupied
across its portfolio of office properties. Brokers who visited Hidrock-owned
properties with prospective tenants were automatically entered into the raffle.

Hidrock will choose the winner of its next raffle, “Tee Time,” on June 28, when it
will award one broker with golf lessons from a PGA professional.

Earlier this quarter, Hidrock Realty made news when it was revealed that the
company had acquired a development lot on Greenwich Street near the World Trade
Center site for $27.9 million and planned to build a 300-key hotel there. What few real
estate analysts may have noticed, however, was that the deal was just the latest in a
series of increasingly ambitious hotel projects for the New York City-based development
and management company. Last week, brothers Abraham, Eddie and Steven Hidary—
president and vice-presidents, respectively—spoke to The Commercial Observer about
the hotel market, Lower Manhattan and sibling rivalries.

The Commercial Observer: Earlier this year, Hidrock acquired 133 Greenwich Street,
a site you intend on developing into a hotel property. Has Hidrock waded into the
hospitality market before?

Eddie Hidary: Actually we have two other hotels under development at this point, both
Marriott. One is branded as SpringHill Suites, 173 rooms, scheduled to open the first
quarter of 2013. The other is a Courtyard by Marriott, 168 rooms, scheduled to open
around the end of 2012.