REALTOR - BMARVisit • rEaLtor ProFEssioNaL EDgE • JaNUarY 2010 • PagE 2010 Represents A Major Opportunity For Realtors Each year our legislatures in City Hall, Albany and Washington

Visit www.bmar.org • rEaLtor ProFEssioNaL EDgE • JaNUarY 2010 • PagE 1

Matthew Engel, CPM, President • Vol. XXVI, No. 1 • JANUARY 2010 • NUNZIO DEL GRECO RCE, Chief Executive Officer

REALTOR

What’

s In

side 2010 Leadership ........................................................................... 2

Additional MLS Listing Opportunities .............................................. 14

Association Mission Statement ...................................................... 13

Benefits of Participating in the BMAR Multiple Listing Service........... 15

Calendar of Events .......................................................................3-4

CEO Report .................................................................................... 2

Co-op City Award ............................................................................. 9

Join Us ......................................................................................... 14

Manhattan Companies Join MLS Realtors ......................................... 9

Members Corner ............................................................................. 9

Members News Corner .................................................................... 9

NAR Creates National Property Database for Realtor Members ......... 10

National Association of Realtors Fact Sheet ...................................... 4

New Members Approved January ...................................................... 8

Newsletter Product & Service Providers ............................................ 5

NYSAR Legal Hotline ..................................................................... 13

President’s Message ...................................................................... 3

Support Camp Good Days & Special Times ....................................... 5

That Distressed Assets Wave? ......................................................... 6

VOX and IDX Solutions are available through BMAR MLS .................. 10

continued on page 6

(Seated left to right) Susan Goldy, 2010 NYSAR Secretary Treasurer.; Billy Schur, Strategic Planning Committee Chairman; Matthew Schmelzer, President-Elect; Matthew Engel, 2010 President; and Virginia Gallagher, BMAR Past President (Standing Left to right) Nunzio Del Greco, CEO; Maxine Mears Clarke, Maxine Mears Clarke Real Estate; Shimon Shkury, Massey Knakal Realty of the Bronx; Grace Rivera, Membership Assistant; Christina Taylor, Laujel Realty Corp.; Janine Schall, BMAR Office Manager; Barbara Ann Benson, Better Homes & Gardens Rand Realty; Sonny Vataj; Vataj Realty; Michael Berr, Goodhart National Gorman Agency; Gene Reisman, Novick, Edelstein, Lubell, Reisman, Wasserman, & Leventhal, P.C.; and Joseph Mawad, Tekniverse, Inc.

realtors® see a Decade of Dramatic Developments

At the beginning of the 21st century, most home buyers had never viewed a home online; the three top home sale marketing methods were yard signs, newspaper ads and open houses; and nearly nine out of 10 buyers financed their purchase with a fixed-rate, 30-year mortgage. What a difference a decade makes.

“The real estate industry has seen tremendous change and evolution over the past decade,” said NAR President Vicki Cox Golder, owner of Vicki L. Cox & Associates in Tucson, Ariz. “As the first, best source for real estate information, Realtors® have not only anticipated and adapted to the evolving needs of their clients and customers, but also have influenced industry trends and innovations that will carry us into the future.”

In 1999, buyers who went online in search for a home were in the minority – only 37 percent of buyers used the Internet in their home search, according to data from the NAR Profile of Home Buyers and Sellers. Today, 90 percent of buyers are searching online, and the real estate industry has responded. Sites like REALTOR.com, which attracts nearly 12 million total visits every month, have evolved to gives today’s buyers what they want – not just property listings, but multiple photos, online videos, mapping features, and comprehensive neighborhood information, as well.

Median home values over

bmar strategic Planning Committee ChartsCourse for the Next 5 Years with Nar assistance

The Strategic Planning committee of the Bronx-Manhattan North Association of Realtors (BMAR) has been busy scheduling meetings, reviewing completed surveys from the membership and excellent participation from committee members. The goal of the committee is to chart a course for the next 5 years for the BMAR with assistance from the National Association of Realtors (NAR).

For the first time a representative from NAR will be facilitating a strategic Planning Retreat to assist BMAR. Vice President of NAR, Gar Anderson will facilitate the full day retreat on April 1st at the Hutch Metro Center.

2010 BMAR President, M a t t h e w E n g e l , C P M stated, “We are excited to have leadership from NAR participate in our long term strategic planning”. Billy Schur, Strategic Planning Committee chairman added, “ G a r h a s a n e x c e l l e n t reputation as a facilitator and we are looking forward to the retreat”. NAR Vice President, Gar Anderson serves as direct link between NAR, state and local associations such as BMAR.

PagE 2 • JaNUarY 2010 • rEaLtor ProFEssioNaL EDgE • Visit www.bmar.org

CEO R

EPOR

T Nunzio Del greco rCE, Chief Executive Officer

2010 LeadershipOffICERs

matthew engel, cpm President

matthew schmelzer President-Elect

nunzio Del greco, rce Chief Executive Officer

christina taYlor V.P. Bronx Residential Div.

richarD guarino V.P. Manhattan Residential Div.

Danielle erickson noak V.P. Owner-Management Div.

kathY zamechanskY V.P. Commercial - Industrial Div.

stephen wolinetz Treasurer

hatema nezaJ Secretary

eliot J. cherson, esq. Counsel to the Board

GOVERNORs

Frank BarBieri BarBara ann Benson michael Berr peter BourBeau Vincent Buccieri James k. coleman Joseph w. colonel richarD conleY FloYD e. cooper lorraine coYle, esq., gri, sres Vasco DasilVa ellen FelD, gri wanDa ForDen JeFFreY gault richarD giliotti richarD gooDman, cpm ram gupta Joan kuzniar, gri maxine mears-clarke anthonY mormile eugene reisman, esq. hale rickman, cpm shimon shkurY ranDolph J. silVerstein James slatterY sonnY VataJ arnolD walDman earl h. washington

sENIOR COUNCIL

george Bookis, gri mark F. engel, cpm sanDra erickson Joel t. Fishman Virginia m. gallagher perrY gault susan e. golDY, cips, gri Jacqueline kYle kall BarrY h. leVites, cpm Joseph F. limongelli michael schmelzer, gri william schur eric a. sterling, iFa, asa, gaa Joseph a. Villani

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2010 New Year’s Resolution Means Business

Each New Year brings many of the usual resolutions which include a variety or mix such as: lose weight; exercise and work out more; and spend more time with family and friends. With the challenges that the economy and market has created in 2009, I suggest a proactive New Year’s Resolution for all real estate professionals in the New York metropolitan area to position yourself in BMAR to network and cultivate more business in 2010. Through BMAR membership, Realtors and Realtor Associates also benefit with automatic membership in the New York State Association of Realtors (NYSAR) and the National Association of Realtors (NAR) with over 1.3 million members and take advantage of additional exclusive benefits.

This is an excellent time to be an active member of BMAR since NAR has acquired technology from Lender Processing Services (LPS) Real Estate Group, a leader in real estate technology, to create and manage an information database of all commercial, residential and vacant land properties in the U.S. The acquisition includes technology assets for NAR’s own use to control and manage the REALTORS Property Resource™ (RPR™), a parcel-centric information database covering all of the more than 147 million property parcels in the country. This database is designed to be a resource for NAR members (REALTORS®, REALTOR-ASSOCIATE® members and Institute Affiliate members), creating single source access to data which will add value to the information available for members to use with their clients and customers.

Some of the benefits of RPR™ are: provide unmatched access to a single-source national compilation of tax and assessment data; property data; neighborhood, school, demographic and psychographic information; and maps, trends and reports. It will be exclusive to members of NAR, who can share its information with their clients. Members who register with a valid NRDS ID can access non-proprietary, non-MLS/CIE sourced data; however, only MLS/CIE Subscribers/Participants will be able to view MLS/CIE sourced information.

There will be no public access to the RPR™, and the database and its data cannot be shared through consumer websites. Its design is to provide a single-source access for public record information for commercial, residential and vacant land such as tax assessments and comparable data, liens, zoning, permits, environmental, neighborhoods, school districts and community demographics. With this new technology acquisition and data licensing, the RPR™ will provide tax and assessment data coverage in 92% of U.S. counties, and has an aggressive plan to provide coverage for as close to 100% of the country as possible within two years.

continued on page 7

Visit www.bmar.org • rEaLtor ProFEssioNaL EDgE • JaNUarY 2010 • PagE �

2010 Represents A Major Opportunity For Realtors

Each year our legislatures in City Hall, Albany and Washington DC consider a series of initiatives aimed at altering the landscape in our industry. Many of these potential bills suggest new ways to help the industry, but unfortunately many of them, perhaps most of them do not. Realtors year in, year out must raise their voices and interact with their representatives. This interaction must include relationship building, developing continual conversations in which Realtors can educate their representatives as to why certain legislation will promote the industry, creating expanded homeownership and a stronger economy. Equally important or perhaps even more so, Realtors must put their money where there mouth is and contribute generously to representatives as well as to various political action committees that support them. RPAC, the tip of our Realtor lobbying spear is perhaps the best of these PACs.

The year of 2010 represents a major opportunity for Realtors to voice their concerns. The national agenda is clouded with many other issues, including health care and the overall economy. In such a situation, only those who seek out their representatives with fervor will be heard. On the state level, the political majority of the Senate hangs on by a one seat majority, a situation in which a series of targeted elections will direct the future of the legislative agenda. Among other legislation, the future of Rent Regulation will be on the agenda in the coming term.

Key items that NYSAR is supporting includes:

• Overall property tax relief.

• An expansion of the homebuyer tax credit to homes up to $1,000,000 would result in $7,000 in a maximum of three years. This bill would stimulate our economy, while creating business in our specific industry.

• The passage of legislation that would allow individuals and couples to make pre-tax contributions to a savings account that would be dedicated to the purchase of a first home.

Items that NYSAR will oppose include:

• Legislation to require a water quality test as a condition of the transfer of any real property served by a well. This legislation will delay real estate closings and it is unnecessary, duplicative and essentially an unfunded mandate on New York State homeowners.

• Legislation to prohibit “exclusive” brokerage agreements between brokers and sellers of non-multiple, residential dwellings within New York City. This bill states all sales contracts between sellers and brokers “shall be deemed to be void as against public policy and wholly unenforceable.”

• Legislation to mandate a real estate broker practice solely within the confines of their county of residence or the county of their principal or branch office

As you can see, the issues that will come before the legislators this year are crucial to the future of our industry. There are no excuses for a lack of involvement. I invite every one of our members to give to RPAC and to do so generously throughout 2010.

matthew Engel, CPm2010 President

President’s Message

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CaLENDaroF EVENtsJANUARY 6, 2010 strategic Planning Committee Meeting Bmar Board room 10:00 am – 11:30 am

JANUARY 19-MARCH 22, 2010 salesperson’s Course Bmar Board room 6:00 pm – 9:00 pm

Banquet Committe Meeting Bmar Board room 10:30 am – 11:30 am

JANUARY 26, 2010 New Member Welcome seminar & Code of Ethics Training Bmar Board room 9:30 am – 1:00 pm

JANUARY 28, 2010 Board of Governors Meeting Bmar Board room 9:30 am – 10:30 am

JANUARY 31-fEBRUARY 4, 2010 NYsAR Business Meeting the Desmond hotel albany, nY

fEBRUARY 18, 2010 Board of Governors Meeting Bmar Board room 9:30 am – 10:30 am

MARCH 9, 2010 NYsAR Code of Ethics & Professional standards Procedures Training westchester marriot 607 white plains road tarrytown, nY 8:30 am – 4:00 pm

MARCH 18, 2010 Board of Governors Meeting Bmar Board room 9:30 am – 10:30 am

MARCH 23, 2010 New Member Welcome seminar & Code of Ethics Training Bmar Board room 9:30 am – 1:00 pm

APRIL 1, 2010 strategic Planning Retreat hutchinson metro center 1200 waters place Bronx, nY 9:00 am – 5:00 pm

APRIL 13, 2010 Board of Governors Meeting Bmar Board room 9:30 am – 10:30 am

APRIL 15, 2010 86th Annual Banquet marina del rey caterers, Bronx, nY 5:30 pm – 10:00 pm

APRIL 27, 2010 New Member Welcome seminar & Code of Ethics Training Bmar Board room 9:30 am – 1:00 pm

PagE � • JaNUarY 2010 • rEaLtor ProFEssioNaL EDgE • Visit www.bmar.org

MAY 10-15, 2010 NAR Legislative Meeting washington, Dc

MAY 20, 2010 Board of Governors Meeting Bmar Board room 9:30 am – 10:30 am

JUNE 17, 2010 Board of Governors Meeting Bmar Board room 9:30 am – 10:30 am

General Membership Meeting & Election of 2011 Officers & New BOG Members Board of Governors Meeting Bmar Board room 10:30 am

JUNE 21, 2010 75th Annual Golf & Tennis Outing metropolis country club westchester, nY

JUNE 29, 2010 New Member Welcome seminar & Code of Ethics Training Bmar Board room 9:30 am – 1:00 pm

sEPTEMBER 12-15, 2010 NYsAR Business Meeting hilton rye town hotel rye, nY

sEPTEMBER 16, 2010 Board of Governors Meeting Bmar Board room 9:30 am – 10:30 am

OCTOBER 19, 2010 New Member Welcome seminar & Code of Ethics Training Bmar Board room 9:30 am – 1:00 pm

OCTOBER 27, 2010 9th Annual Real Estate Trade show (TENTATIVE DATE) LOCATION TBA

NOVEMBER 3-8, 2010 NAR Annual Convention new orleans, la

NOVEMBER 16, 2010 New Member Welcome seminar & Code of Ethics Training Bmar Board room 9:30 am – 1:00 pm

NOVEMBER 18, 2010 Board of Governors Meeting Bmar Board room 9:30 am – 10:30 am

DECEMBER 2, 2010 26th Annual Holiday Party marina del rey caterers Bronx, nY 5:30 pm – 10:00 pm

DECEMBER 16, 2010 Board of Governors Meeting Bmar Board room 9:30 am – 10:30 am

National association of rEaLtors® Fact sheetwhat: The NATIONAL ASSOCIATION OF REALTORS®, “The Voice for Real Estate,” is America’s largest trade association, representing 1.3 million members, including NAR’s institutes, societies and councils, involved in all aspects of the residential and commercial real estate industries.

who: Our membership is composed of residential and commercial REALTORS®, who are brokers, salespeople, property managers, appraisers, counselors and others engaged in all aspects of the real estate industry. Members belong to one or more of some 1,600 local associations/boards and 54 state and territory associations of REALTORS®. They are pledged to a strict Code of Ethics and Standards of Practice.

why: Working for America’s property owners, the National Association provides a facility for professional development, research and exchange of information among its members and to the public and government for the purpose of preserving the free enterprise system and the right to own real property.

The Term REALTOR®

The term REALTOR® is a registered collective membership mark that identifies a real estate professional who is a member of the NATIONAL ASSOCIATION OF REALTORS® and subscribes to its strict Code of Ethics.


bmar Camp good Days 2010 Fundraiser...Yes, i’d like to help Camp good Days

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SEND YOUR DONATION TO: broNX‑maNHattaN NortH assoCiatioN oF rEaLtors, iNC. 1867 Williamsbridge Road, Bronx, NY 10461-6298

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sUPPort CamP gooD DaYs & sPECiaL timEs iN 2010

Camp Good Days and Special Times is a non-profit corporation that was established in 1980 to help improve the quality of life for children with cancer and their families.

Camp Good Days is changing the face of childhood cancer treatment. Its methods and programs have served as models for pediatric oncology units across the country and the world. Since it’s founding, Camp Good Days has expanded to provide many different programs for people whose lives have been affected by this disease. Camp Good Days also sponsors a program for children who have a parent or sibling with AIDS. Because of its nature, the camp is in constant need of money and support. It is for this and the many excellent programs it offers that the Bronx-Manhattan North Association of Realtors (BMAR) continues to choose Camp Good Days as our Community Service fund-raising program.

The Bronx-Manhattan North Association of Realtors began supporting Camp Good Days in 1988 with the encouragement of Mark F. Engel, Board President. BMAR was recognized and awarded the 1990 Community Service Award from the New York State Association of Realtors for its community service programs including support of the camp in 1990 raising over $3,000. In 2009, over $27,650 was contributed by members.

Unlike many charities, Camp Good Days has no national affiliation or sponsor organization to fund it; it has no foundation or corporation that serves as a major benefactor and it receives no government funding. The camp relies solely on the contributions and donations from generous and concerned individuals and organizations. For this fact, BMAR solicits contributions from the members and friends of the Association each year.*Contributors to Camp Good Days are recognized in the BMAR Professional Edge(sPoNsors $1‑$�9; PatroNs $50‑$99; bENEFaCtors $100 & oVEr)

PagE � • JaNUarY 2010 • rEaLtor ProFEssioNaL EDgE • Visit www.bmar.org

that Distressed assets wave? Hasn’t arrived and may never--but a steady flow has clearly begun

Article by Robert Knakal Chairman, Massey Knakal Realty Services

It is said that history repeats itself. However, when it comes to distressed commercial real estate assets, that saying needs to be modified by adding “but in different ways”.

The NYC building sales market started to feel the effects of the credit crisis tangibly in the summer of 2007. From that time through the fall of 2008, it was tempting to believe that maybe things wouldn’t be so bad. However, with the collapse of Lehman Brothers and the fundamental restructuring of Wall Street as we knew it in October of 2008, it became clear that the economic condition of the country was significantly worse than we anticipated.

As it became clear that we were headed into very choppy waters, many people in the industry, including myself, had predicted a tsunami of distressed assets coming to market. This dynamic has not played out as little has happened in the two and a half years since our awareness grew about the pending problems with commercial real estate.

Notwithstanding this fact, current economic conditions have certainly created profound stresses in the marketplace. During the asset bubble-inflating years of 2005 into 2007, there were $109 billion of investment sales completed in New York City. Based upon reductions in property values, and the loan-to-value ratios that existed during those years, we estimate that about $80 billion of that activity, or roughly 6,000 properties, have negative equity positions. This means that the amount of the mortgage is in excess of today’s value.

Adding to this properties that were refinanced during that same period, we estimate that there are approximately 15,000 properties in New York City which are in a negative equity position.

We further estimate that these properties have approximately $165 billion in debt and that, if these properties were underwritten using today’s standards, a conservatively leveraged market would only have about $65 billion in debt on those properties. This $100 billion of excess leverage is what is creating distress in the marketplace.

It is unreasonable to think that the entire $100 billion of leverage will be extracted from the marketplace due to the fact that several owners have additional sources of income that can support properties which are in a negative cash flow position. If these owners want to own the assets on a long-term basis, they will continue to feed the property. There will also be a substantial percentage of these properties that will simply be worked out between the borrower and the lender.

We do, however, anticipate that by the time we exit this cycle, $30 to $40 billion of excess leverage will be extracted from the marketplace and that will occur in the form of recycled capital stacks, which will create losses.

Thus far in the cycle, very little of this activity has actually occurred, as everything that has happened legislatively has created a disincentive for lenders to deal with troubled assets embedded in their balance sheets.

Modifications to FASB’s mark-to-market accounting guidelines, bank regulators allowing lenders to keep loans on their balance sheets at par even if the lender knows that the underlying collateral is worth only 50 percent of that value, and modifications to REMIC guidelines have created a path for banks, servicers and special servicers to do little to get recycling in motion in a substantive way.

Additionally, the Fed’s highly accommodative monetary policy, where banks are able to borrow at close to zero and lend at significantly higher rates or, conversely, simply buy risk-free treasury bonds, puts the lenders in a position where they are

continued on page 7

the past decade have increased more than 25 percent, from $137,600 in November 1999 to $172,600 in November 2009 (the most recent existing-home data available). Fewer people are buying detached, single family homes – 82 percent in 1999 compared to 78 percent in 2009 – but more people are buying homes in suburban neighborhoods – 46 percent in 1999 compared to 54 percent today.

Buyers themselves have also changed. A smaller proportion of married couples are buying homes these days; while married couples comprised 68 percent of all home purchases at the beginning of this century, they represent 60 percent of all buyers today. Single men and women have made up the difference – single men purchased 10 percent of all homes last year, compared to only 7 percent 10 years ago. Single women now represent more than one-fifth of all home buyers – 21 percent, up from 15 percent in 1999.

Other things haven’t changed. The median age for home buyers last year was 39, just as it was in 1999. Neighborhood quality, affordability, and convenience to work and school have consistently been top priorities for both past and present buyers. And eight out of 10 recently surveyed consumers believe that owning a home is an investment in their future.

“Realtors® have been around for more than 100 years, but one constant during that time has been the persistence of homeownership as the American Dream,” said Golder. “As the first decade of this century comes to a close, NAR stands ready to meet the many challenges and opportunities that lie ahead by helping our Realtor® members better serve their clients and communities and ensuring that those dreams of homeownership remain possible for all who want to achieve it.”

The National Association of Realtors®, “The Voice for Real Estate,” is America’s largest trade association, representing 1.2 million members involved in all aspects of the residential and commercial real estate industries.

realtors® see a Decade ..continued from front cover

Visit www.bmar.org • rEaLtor ProFEssioNaL EDgE • JaNUarY 2010 • PagE �

that Distressed assets wave? ......continued from page 6

highly profitable. This advantageous recapitalizing of the banking industry enables quarterly earnings to serve as ammunition to offset losses.

For these reasons, there has been very little activity in the commercial real estate distressed arena up to this point. This has caused significant frustration on behalf of buyers looking to acquire these assets. In fact, the low supply of available assets has prompted bidding wars for those few distressed assets that have come on the market.

We have, however, recently seen a shifting tide of late. Rather than a tsunami of distressed assets coming to market, we believe that this distressed asset recycling process will consist of slow rolling waves over time. They will be created by several factors, including interest reserve burn off, expiration of interest-only periods, conversion of floating-rate provisions to fixed-rate, and, most importantly, mortgage maturity.

In the distressed asset area, properties that are most significantly strangled by excess leverage are those with 2006 and 2007 vintage debt. Most of these loans will mature in 2011 and 2012, creating distressed conditions over the next two to three years.

Other advantageous loan terms, which were common during the bubble years, are often creating land mines in capital stacks.

Interest reserve provisions were typically a component of proforma transaction loans that were relying on significant value-added strategies to increase net operating income. As real estate fundamentals have degraded over time, these proforma increases have been unobtainable, creating interest reserve burn-offs without cash flow levels to service the debt.

Many loans had interest-only periods which were typically not for the entire duration of the loan. As amortization kicks in, the additional cost will typically push total debt service payments to a level in excess of net income.

Additionally, those loans which are floating over LIBOR, which opened Monday morning at 23 basis points, may be paying debt service at a rate below 2 percent. At such a low debt service rate, properties with negative equity may, in fact, still be cash flowing. However, when the rate is reset to a market rate of approximately 6 percent, net income falls far short of being able to service the debt.

These factors are starting to loosen up the congestion in the distressed asset pipeline. This has been particularly evident over the past two to three months.

Going back to mid-2008, Massey Knakal has completed in excess of 1,000 valuations for lenders, servicers and special servicers, giving them an idea of the value of the underlying collateral for their loans. From October 2008 thru October 2009, these valuations resulted in our being retained to sell only 12 distressed assets. Within the past three months, we have been retained to sell 32 distressed assets. This is a trend that many of my friends at other building sales firms have seen as well.

There are four factors that we believe are adding to the motivation of sellers to bring their distressed assets to the marketplace now.

First, the foreclosure process in New York is extremely long and cumbersome. Many lenders and servicers are based outside of New York; and, in almost every other jurisdiction in the country, the foreclosure process is much more streamlined than it is here. Going through the New York system, which is often complicated by bankruptcy filings both on personal and entity levels, can, at times, take two to three years.

As lenders become impatient with this process, decisions are made to monetize their assets now. This is particularly beneficial when realizing that, due to the short supply of availabilties, lenders are able to achieve pricing of 95 percent to 100 percent of collateral value for notes that are being sold.continued on page 8

The RPR’s™ national demographic information, along with enhanced search capabilities, will allow a REALTOR® anywhere in the country to provide more information to their clients. The enhanced search features will allow nationwide depth of property searches, as well as market-to-market comparisons. Advanced User Profile Features and social networking components will help REALTORS® create referral communities, as well as reverse-prospect specialized property types, such as vacation and waterfront to REALTORS® throughout the U.S.

Membership in BMAR is an investment for your business in 2010. You can benefit as a member to generate more business including referral business from the hundreds of companies throughout the New York metropolitan region that are active members of BMAR which includes companies directly or indirectly servicing the business community and real estate industry where ever their office is located. Companies do not need an office in Manhattan or the Bronx to be active members of the association. Even one business referral or new business contact more than pays for the annual membership dues. The value of the business relationships cultivated through BMAR membership is priceless. Make active membership in BMAR one of your 2010 New Year’s Resolutions.

2010 New Year’s resolution means business ......continued from page 2

Visit us at www.bmar.org

attend the86th Annual

Banquetthursday,

april 15, 2010marina del rey Caterers

5:�0 pm ‑ 10:00 pmFor more information contact:

Janine schall at: [email protected](�18) 892‑�000 or (212) 2�2‑��


Second, it is becoming clear that fundamentals will not improve dramatically in the short term. The unemployment rate remains elevated and job losses continue. Given the methodology for calculating the unemployment rate, it is predicted by many economists that the official rate will stay elevated even after job creation occurs, as the participation rate will continue to escalate.

Third, as lenders monetize toxic assets they are able to make new loans which are highly profitable and less risky. Bank spreads, or profitability, two years ago was as small as 30 or 40 basis points based on the competitive marketplace to deploy debt capital. Today, those spreads can be 300 or 400 points over treasuries, creating a situation where each dollar lent is 10 times as profitable as it was two years ago. Moreover, these loans are made with less risk as the amount of the loan is 60 to 65 percent of today’s lower value, as opposed to 75 to 85 percent of yesterday’s inflated value.

Fourth, it is becoming clear that at some point the Fed will have to sequence an exit from the marketplace and, regardless of the method used, it will have a negative impact on commercial real estate. As discussed in last week’s “Concrete Thoughts” column, there are four routes the Fed’s exit could take: terminating assets purchases (which is a program that consists of mainly buying mortgage backed securities and is expected to cease in March of this year); draining excess bank reserves in the form of a reverse repos and/or term deposit facilities; raising the federal funds rate in tandem with increasing interest rates on reserves or; selling assets outright.

Numbers one, three and four above will have the effect of raising interest rates, which will put pressure on lenders to either compress their spreads or pass along the increases in the form of higher mortgage rates for borrowers. It is very likely that a small percentage of these increases will be absorbed in the form of compressed spreads, while the balance will result in higher mortgage rates.

that Distressed assets wave? ......continued from page 7 10 NEw mEmbErs aPProVED bY tHE boarD oF goVErNors

boarD oF goVErNors mEEtiNgJanuary 28, 2010

� rEaLtorsJoaquin Freddy Diaz Jeffrey J. JonasTwo One Two Realty Red Bell Real Estate232 West 238th Street 1415 S. Main StreetBronx, NY 10463 Salt Lake City, Utah 84115Tel: (917) 417-7648 Tel: (877) 500-1415Fax: (718) 293-1211 Fax: (801) 464-4084Referred by: BMAR Staff Referred by: BMAR Staff

Edwin RiveraForensic Real Estate Corp.1428 Zerega AvenueBronx, NY 10462Tel: (718) 863-1300Fax: (718) 863-4877Referred by: Matthew Engel, Mark Engel

� rEaLtor assoCiatEsBarry Dank Fern KaminsMLBKaye International Realty Inc. MLBKaye International Realty Inc.641 Lexington Avenue 1067 Park AvenueNew York, NY 10022 New York, NY 10128Tel: (212) 259-0400 Tel: (212) 828-7206Referred by: Marilyn Harra Kaye Referred by: Marilyn Harra Kaye

Briggs Elwell Monte K. Brown Related Management Co. Weichert Realtors House & Home423 West 55th Street, 9th floor 609 Kappock Street, Suite 1ANew York, NY 10019 Bronx, NY 10463Tel: (212) 319-1200 Tel: (718) 432-5000Fax: (212) 593-5793 Referred by: Joseph GreeneReferred by: Jeffrey Brodsky

� aFFiLiatEsJames Quintessenza Joe Giannettino Jocarl Management LTD. JAD Corporation of America1737 Victor Street 20-48 119th StreetBronxville, NY 10708 College Point, NY 11356Tel: (718) 823-1380 Tel: (718) 762-8900Fax: (718) 823-7499 Fax: (718) 762-7320Referred by: BMAR Staff Referred by: BMAR Staff

Geri SciortinoThe Bronx Design Group2914 Westchester AveBronx, NY 10461Tel: (718) 409-9874Fax: (718) 931-0717Referred by: Sandra Erickson

continued on page 13


Co‑oP CitY awarDED to VEr‑tECH ELEVator Co. iNC.Ver-Tech Elevator Co., Inc. is very proud to announce they have commenced with the Maintenance at Co-Op City January 01, 2010. The 180 elevator complex is a New York City housing cooperative located in the Northeast Bronx. with 15,372 residential units in 35 high-rise buildings and 7 townhouse clusters. Co-Op City is the largest cooperative hous-ing development in the world. There are approximately 50,000 residents and their guests who use the vertical transportation daily. The bid went off September 1, 2009, Ver-Tech Elevator was the lowest responsible bidder, the next step was a vote by the Co-Op Board during the General Meeting on 10-21-09, and then the final part of the process was the approval by New York State Division of Housing and Community Renewal which came in mid November. Mr. Gelestino states “we are excited to be partnering with Riverbay and honored to have the outstanding opportunity to work for a group with such integrity, we are also very thankful to our staff for rising to the occasion and bringing this accom-plishment to fruition”. Ver-Tech Elevator’s base operations are predominantly in the New York City 5-boro area as well as the Long Island and Westchester region. Future growth for Ver-Tech Elevator is inevitable as they continue to set forth strict guidelines and high standards to all phases of elevator related services for their clients.

iNForma ENErgY AnnOunCES NEw

LigHtiNg DiVisioN

NEW YORK CITY, NY (January 18, 2010)-- Informa Energy today announced the formation of their new L.E.D. Lighting Division. The division will be headed by Warren Wright, a veteran in the field of technology sales and energy management services for the past 20 years.”

“Our clients have been asking for a reliable resource to help them reduce electricity costs beyond what we have done for them with the commodity. This is an integral part of our comprehensive energy management program to reduce overall costs through efficiency and energy management,” said company president, Janet Garofalow.

“I am excited about joining the Informa Energy Management team and expanding their scope into additional Energy Management areas,” Wright said at a recent Energy Seminar in New York City. “There are several other initiatives we will be taking in the months and years ahead to help our clients increase energy efficiency and manage their energy dollars wisely.”

Lou Romano CEO of Informa remarked, “Warren brings tremendous knowledge of today’s state-of-the art lighting along with a very strong financial background that makes him a valuable asset to our organization and to our clients.”

“Financial options such as leasing and assisting the customer in obtaining grant money will be a major part of the Informa product mix.” said Wright.

Informa Energy Inc. specializes in energy consulting, procurement and conservation with offices in New York City and New Jersey.

Contact: arlene alviraPhone: 888‑�0�‑��2

Email: [email protected] www.informany.com

F.P. Business Center, Inc.4915 BroadwayNew York, NY 10034Tel: (212) 567-7113Fax: (212) 567-5368

Luxor Homes & Investment Realty, LLC.129 West 72nd Street, Ste. 2FNew York, NY 10023Tel: (212) 362-7557Fax: (212) 362-7533

Neighborhood Housing Services307 West 36th StreetNew York, NY 10018Tel: (212) 519-2548Fax: (646) 383-9308

MLBKaye International Realty641 Lexington Avenue, 6th floorNew York, NY 10022Tel: (212) 259-0406 Fax: (212) 489-4048

WW Realty Services, Inc.2527 A 8th AveNew York, NY 10030Tel: (212) 283-7966Fax: (917) 507-2028 Zaleski Properties, LLC207 E. 74 StreetNew York, NY 10021Tel: (212) 861-7510

Realtors were first with VOW and IDX. Realtor.com is a global web-site and has grown to a family of 1.3 million Realtors. Go global as a VOW Realtor member of the National Association of Realtors (NAR) and earn more income in 2010 through BMAR. For information on membership or MLS, contact Grace Rivera at (212) 242-4343; (718) 892-3000 or email: [email protected].

Members News Corner

Members Corner

maNHattaN ComPaNiEs JoiN mLs rEaLtors


Vow and iDX solutions are available through bmar mLs

Listings are featured FREE and automatically on premium websites including:

F REALTOR.COM

F GOOGLE BASE

F TRULIA

F ZILLOW

F MYSPACE CLASSIFIED

F LYCOS.COM

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F OVERSTOCK.COM

F HOTPADS

F PROPERAZZI

F OODLE

F VAST

F HOMESCAPE.COM

F BACKPAGE.COM

F LISTPIC.COM

F MILITARY.COM

F LOCAL.COM

F FRONTDOOR (HGTV).

Participating in this Realtor MLS provides your company with VOW and IDX Solutions for a valuable competitive edge. For information on membership or MLS, contact Grace Rivera at (212) 242-4343; (718) 892-3000 or email: [email protected].

The National Association of Realtors® has acquired technology to create a database of all properties in the U.S. so Realtors® can better assist consumers in a high-tech, fast-paced business world.

The technology acquisition includes licensed data and secured data aggregation services from LPS Real Estate Group, a wholly owned subsidiary of Lender Processing Services Inc. (NYSE:LPS), a leader in real estate technology. NAR will use the assets to develop the Realtors® Property ResourceTM, a parcel-centric information database covering all of the more than 147 million property parcels in the country as a resource for NAR members. NAR is planning to launch RPRTM in the second quarter 2010.

“Realtors® are the first, best source for real estate information, and the RPR™ is another emphatic feature to that resource. RPR™ will give Realtors® nationwide data on all properties at their fingertips so they can respond quickly to consumers interested in residential and commercial real estate. This is exciting news and a terrific NAR member benefit. NAR is committed to keep Realtors® central to the transaction and to the buying and selling experience with their clients and customers,” said NAR President Charles McMillan, broker with Coldwell Banker Residential Real Estate in Dallas-Fort Worth.

NAR CEO Dale Stinton said, “These acquisitions will allow Realtor® interests to control the program and the content. Realtors® need to respond quickly to today’s tech-savvy consumers, and the RPR™ provides a means for multiple listing services (MLS), commercial information exchanges (ClEs) and real estate brokerage business models to support the Realtor® community, rather than requiring Realtors to purchase data aggregated by third parties.”

RPR™ is not a national MLS, and will carry no offers of cooperation and compensation, Stinton added. “It is a private, NAR members-only benefit. The assets acquired by NAR will be directed through a wholly owned subsidiary corporation, Realtors® Property Resource, LLC,” Stinton said.

The management team of RPR™ includes CEO Dale Ross, co-founder of the Metropolitan Regional Information System, the country’s largest regional MLS; President Marty Frame, former General Manager of Cyberhomes; Senior Vice President of Industry Relations Mona Steen, former SVP with Cyberhomes; and Jeff Young, NAR director of the Realtors® Property Resource™ and 2008 president of the Michigan Association of Realtors®.

RPR™ will provide nationwide access to public record information such as tax and assessment data, liens, zoning, permits, environmental information, and information on neighborhoods, school district and community demographics, along with advanced search features for property searchers, as well as market-to-market comparisons and referral opportunities not currently available.

“We’re honored to have been selected by the National Association of Realtors® to provide technology, data and other services for the RPR™,” said Jay Gaskill, president, LPS Real Estate Group. “Being involved with such a transformational industry initiative serves as an endorsement for our company and the premier products and services we provide to MLSs and associations, brokers, franchisors and sales associates.”

RPR™ will develop business strategies to make it affordable and feasible for NAR members, and will complement, not compete with, MLSs and ClEs. While many MLS and CIE systems provide a range of services, no two are alike. Brokers are looking for tools that support their agents across multiple markets with similar service levels and access to robust and valuable data. RPR™ is designed to support local MLS and CIE models to create a common experience for agents and brokerages.

RPR™ will have many partners, including the California Association of Realtors® and the Florida Association of Realtors®, offering a number of technology applications which will be incorporated within the RPR™.

“The California Association of Realtors® believes the RPR™ project provides the significant opportunities of scale and reach necessary to serve our members future

Nar Creates National Property Database for realtor members

continued on page 11


Nar Creates National Property ....continued from page 10

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needs for many years to come. We are already working closely with the RPR™ team to incorporate additional functionality directly into the RPR™ system using Realtor®-owned zipLogix electronic forms as well as Relay transaction management and risk reduction software for members nationwide,” said Joel Singer, CAR CEO.

“The Florida Association of Realtors® and its 122,000 members are excited about the launch of Realtors® Property Resource™, which we believe will be a valuable addition to the toolkit for Realtor® business success. The Florida association and its business subsidiary also look forward to discussing potential partnerships to further enhance the value of RPR™ to Realtors® nationwide,” said John Fridlington, FAR EVP.

For more information on the Realtors® Property Resource™, visit www.realtor.org/about nar/realtors property resource.

about Lender Processing services

LPS is a leading provider of integrated technology and services to the mortgage and real estate industries. LPS offers solutions that span the mortgage continuum, including lead generation, origination, servicing, workflow automation (Desktop), portfolio retention and default, augmented by the company’s award-winning customer support and professional services. Approximately 50 percent of all U.S. mortgages by volume are serviced using LPS’ Mortgage Servicing Package. In fact, many of the nation’s top servicers rely on MSP, including eight of the top 10 and 14 of the top 20. LPS also offers proprietary mortgage and real estate data and analytics for the mortgage and capital markets industries. For more information about LPS, please visit www.lpsvcs.com. LPS Real Estate Group provides market-leading MLS Systems, broker and agent technology and software service solutions, public record data, data aggregation services, and content relevant to real estate professional services. Through relationships with hundreds of MLSs, associations and broker organizations, LPS Real Estate Group’s tools are used by over 350,000 real estate agents in the United States. For more information about LPS Real Estate Group, please visit www.lpsreg.com.

The National Association of Realtors®, “The Voice for Real Estate,” is America’s largest trade association, representing 1.2 million members involved in all aspects of the residential and commercial real estate industries.


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— Printer of This Newsletter —

Special Discount to BMAR members

Bill Jebaily or Jim slattery at 718.836.9222

Visit www.bmar.org • rEaLtor ProFEssioNaL EDgE • JaNUarY 2010 • PagE 1�

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REALTOR®

The Real Estate Institute of the Bronx-Manhattan North Association of Realtors is expanding its Education program and is interested in hiring qualified instructors to teach real estate courses.

Resumes should be forwarded with a cover letter to Nunzio Del Greco, Chief Executive Officer at the Board Office.In addition to an hourly rate of compensation, instructors are also eligible for 2 hours of continuing education credit for license renewal for each hour of instruction.

INSTRUCTORS WANTED

Housing Tax Credit Working, So Keep Momentum Going, NAR Urges Congress

The second Fed option, the draining of excess bank reserves, will serve to limit the pool of capital available to be deployed in the form of mortgages. Any of these actions will have a negative impact on commercial real estate values; therefore, waiting to sell assets would appear to have a negative impact, at least in the short-term.

This growing trend is positive for our marketplace as the sooner natural bottoms are allowed to be achieved, the sooner a sustainable rebound can grow. While the huge wave of distressed assets we were all anticipating has not resulted, it does appear that a slow and steady flow of these assets has begun which should continue over an extended period of time.

This will not only create steady opportunities for buyers and brokers but, importantly, will lead to a more fundamentally sound market.

that Distressed assets wave? ......continued from page 8

PagE 1� • JaNUarY 2010 • rEaLtor ProFEssioNaL EDgE • Visit www.bmar.org

aDDitioNaL mLs

ListiNg oPPortUNitiEs

Non-member MLS Realtors can submit listings into the system. This is an outstanding opportunity if you are not a member of the MLS but want to get your listings on Realtor.com and additional premium search engines. A processing of $250 per listing charge is required.

Appraisers are extended a special introductory membership of $1,200 for the first year. Affiliate membership dues $350 plus a one time $50 application fee is required for processing. For more information call (212) 242-4343, (718) 892-3000 or email: [email protected].

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Promote your company to the real estate industry and business community throughout the New York metropolitan region. You do not need an office in Manhattan or the Bronx to be an active member of the association.

for more information contact: Nunzio Del Greco, RCE, Chief Executive Officer

(718) 892-3000 • (212) 242-4343 or Email: [email protected] Visit us at www.bmar.org


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Benefits of participating in the BMAR Multiple Listing Service:1. FREE agent MLS access for up to 15 member agents.

2. FREE unlimited exclusive listings can be entered by members.

3. Upload up to 40 photographs for each listing or video tours.

4. FREE Worldwide advertising of your exclusive MLS listings on premium internet search engines.

5. BMAR MLS listings are automatically featured on: REALTOR.COM <http://REALTOR.COM> , GOOGLE BASE; TRULIA; ZILLOW; MYSPACE CLASSIFIED; LYCOS.COM <http://LYCOS.COM> ; YAHOO REAL ESTATE; AOL.COM <http://AOL.COM> ; CYBERHOMES; OVERSTOCK.COM <http://OVERSTOCK.COM> ; HOTPADS; PROPERAZZI; OODLE; VAST; HOMESCAPE.COM <http://HOMESCAPE.COM> ; BACKPAGE.COM <http://BACKPAGE.COM> ; LISTPIC.COM <http://LISTPIC.COM> ; MILITARY.COM <http://MILITARY.COM> ; LOCAL.COM <http://LOCAL.COM> ; FRONTDOOR (HGTV).

6. Consumers and buyers around the world can view your listings and contact you directly.

7. Close more deals by having thousands of agents worldwide working to sell your listings.

8. Unlimited access to the BMAR MLS: 24 hours per day / 7 days per week.

9. Companies do not need an office in Manhattan or the Bronx to be BMAR members.

10. Provide your buyers and sellers with maximum professional services.

11. Realtor Associate dues are the lowest in the New York metropolitan region.

12. $200 per month for the entire office or $2,200 annually if paid in full.For more information email: [email protected]

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the realtor Professional Edge

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throughout the New York region.To reserve space in

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PagE 1� • JaNUarY 2010 • rEaLtor ProFEssioNaL EDgE • Visit www.bmar.org

REALTOR®

An Official Publication Of TheBronx-Manhattan N.

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Bronx, NY 10461-6298718.892.3000212.242.4343

Nunzio Del Greco RCE ...Editor & Chief Executive Officer

Visit us at www.bmar.org

Providing on-site and on-linelaundry solutions

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REALTOR - BMARVisit • rEaLtor ProFEssioNaL EDgE • JaNUarY 2010 • PagE 2010 Represents A Major Opportunity For Realtors Each year our legislatures in City Hall, Albany and Washington

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