Crains New York - June 11, 2012 - (Page 8)

THE INSIDER by Andrew J. Hawkins and Shane Dixon Kavanaugh A When trouble hits, wag the dog spate of positive news spewed forth from Gov. Andrew Cuomo’s office as The New York Times revealed that the gambling industry had funneled millions into a group closely aligned with him. Mr. Cuomo called for decriminalizing open possession of marijuana, announced job fairs across the state, helped broker a labor agreement and even teamed up with Attorney General Eric Schneiderman on a plan to fight prescription drug abuse. And, of course, he backed away from the casino and convention center project he had been negotiating for in Queens. “It’s clear they’re trying to salvage the idea that they don’t do pay-to-play,” an insider said. Dick Dadey, executive director of government watchdog Citizens Union, said the sudden pivot “raises a lot of eyebrows. … It doesn’t look good the way this unfolded, given the strength of the administration’s initial support for the project,” he said. Some viewed the burst of activity as cover from criticism over the gambling money that may dent Mr. Cuomo’s robust approval ratings. “This is nothing but a distraction to throw people off,” said Agnes Rivera, a board member with Community Voices Heard, an advocacy group for low-income people that is often at odds with Mr. Cuomo. While a Quinnipiac University survey taken before the Times story broke pegged the governor’s approval rating at an eye-popping 71%, a Siena Research Institute poll coming out June 11 could paint a different picture. A Cuomo spokesman declined to comment on the upcoming poll or on whether the JEFFRIES VS. BARRON Sparks fly THE TIMING of Gov. Andrew Cuomo’s announcement on decriminalizing low-level marijuana offenses was a blessing for Hakeem Jeffries, who had pushed for the change and earned a seat next to the governor at his press conference. That same day, Rep. Edolphus Towns, D-Brooklyn, endorsed Mr. Jeffries’ opponent, Councilman Charles Hakeem Jeffries Barron, in the race to succeed Mr. Towns. Mr. Jeffries had sought the endorsement and perhaps expected it, given that his foe had reacted to Mr. Towns’ retirement by saying he should have quit years ago. But Mr. Towns apparently blamed Mr. Jeffries for ushering him out by collecting more financial, labor and political support. In a sound bite worthy of a campaign ad, Mr. Cuomo said of Mr. Jeffries, “The assemblyman can be a tenacious Charles Barron advocate. I can tell you that firsthand, because I’ve been on the other side of the table. But he can also bring people together to get something done. And that’s what he’s done here.” Later in the week Mr. Barron blasted his opponent for “pure hypocrisy” when Mr. Jeffries rejected aid from a pro-charter-school group—but only after the group had mailed 30,000 pieces of campaign literature to voters. StudentsFirstNY, which announced that it would spend six figures to help Mr. Jeffries, agreed to stop spending on the race. Mr. Jeffries’ spokeswoman said he is opposed to such outside spending. said. However, he noted that Weight Watchers and Guggenheim Partners, both members of the organization, support the measure. administration’s string of announcements amounted to what politicos call wagging the dog. An Albany insider predicted the gambling story would have little effect on public opinion of the governor. “This is not a pocketbook issue for people,” the source said. “It’s somewhat abstract and esoteric—the same reason why people don’t cast votes based on campaign finance reform.” buck ennis Taxi endgame The legal battle over the city’s taxi plan will likely not be settled in court, but by city and state officials, former Taxi and Limousine Commissioner Matthew Daus said. “It’s highly unlikely the city will prevail [in court],” Mr. Daus said. “An appeal is fruitless.” A Manhattan judge issued a temporary restraining order blocking the city’s plan to issue new licenses to allow livery cabs to pick up street hails. Mr. Daus, a partner at Windels Marx, predicted that top elected officials would ultimately come together to rescue the plan. Meanwhile, taxi industry insiders expressed skepticism that the city could sell $1 billion worth of medallions in one fiscal year, arguing that it has never been done before. Sacrificial hotels newscom We Measure Success in Client Satisfaction. Discover Success. Coty Inc. is a leading global beauty company with an unrivaled portfolio of notable brands. Two hotel developments in Manhattan were effectively killed last week. The City Planning Commission cut a proposed 190room property from New York University’s expansion plan, and Community Board 4 rejected Chelsea Market’s proposal for a 12story boutique hotel next to its historic building. That was no surprise to one insider, who suggested the hotels merely served as smoke screens to provide cover for controversial developments. “It seems like there’s a new strategy out there,” the source said. “Add a hotel to any large-scale development. And when the community comes running and screaming, you sacrifice it.” Done with Duane With state Sen. Thomas Duane not seeking reelection, the Real Estate Board of New York hopes for a better relationship with his successor, a Senate insider said. Mr. Duane (left) was antagonistic toward REBNY throughout his career, perhaps reflecting the leanings of his liberal constituency. But the real estate group won’t be very involved in the race to replace him. “There’s not much difference in the candidates,” a source close to REBNY said. “Besides, [an] endorsement would probably be the kiss of death for anyone running.” 119,682 SF expansion at the Empire State Building Team: Richard Bernstein, Ralph Giordano and Jared Thal Rebuffing Bloomberg While Mayor Michael Bloomberg has gained little support from the city’s business community for his proposed ban on large sugary drinks, it hasn’t been for lack of trying. The Health Department pitched the Partnership for New York City with the proposal but was turned down. “We don’t need to take a position on every issue,” a spokesman for the business group Discover Expertise in Tenant Representation. Discover Cassidy Turley. Peter Hennessy President, New York Tri-State Region 212.318.9790 Peter.Hennessy@cassidyturley.com www.cassidyturley.com Tenant Representation / Project Leasing / Project & Development Services / Property Management / Corporate Services / Capital Markets For daily political and government news, subscribe to CRAIN’S INSIDER @ www.crainsnewyork.com/insider 8 | Crain’s New York Business | June 11, 2012 http://www.cassidyturley.com http://www.cassidyturley.com http://www.crainsnewyork.com/insider

Table of Contents for the Digital Edition of Crains New York - June 11, 2012

Crains New York - June 11, 2012
Table of Contents
Local hospitals suffer growing pains
Meet two of the busiest property buyers in town
Sin City: Pot, pop and ponies, by the numbers
New York, New York
Brooklyn Heights morphs into retail hot spot
The Insider
Real Estate Deals
Viewpoint
Greg David: Why city’s med centers must merge or die
Small Business
Plus: NY’s top hospitals list
Classifieds
For the Record
Tourists’ ticket to exclusive events
How to overcome the tech talent shortage
Executive Moves
Dewey partner down but not out
Hot and spicy at Singapura
The Weekahead

Crains New York - June 11, 2012