PDF - Forchelli, Curto, Deegan, Schwartz, Mineo

Vol. LIV
The
Fall 2010
COUNSELOR
P
IN THIS ISSUE
COVER
MULTI-DISCIPLINE APPROACH
TO HIGH COMMERCIAL REAL
ESTATE TAXES
PAGE 2
NEWS, APPEARANCES
& ARTICLES
PAGE 3
SUCCESSFUL LAWYERS
SUCCESSFUL CLIENTS
PAGE 3
FIRM AWARDS
BACK COVER
EVENTS AND ADDITIONS
FORCHELLI LAW FIRM
ACHIEVES LEED SILVER
CERTIFICATION FOR
“COMMERCIAL INTERIOR”
OFFICE SPACE AT THE
OMNI BUILDING
The Firm was featured
as the June Green
Leader in Newsday.
The Green Leaders program focuses
on those businesses that recognize
that the only way to really move Long
Island to a greener place is with the
help of business leaders.
R
E
S
E
N
MULTI-DISCIPLINE APPROACH
TO HIGH COMMERCIAL REAL
ESTATE TAXES
T
S
restrictions, inventory, classification or the calculation of its
taxable assessment are just a few examples. In layman’s
terms, there is more than one way to skim a tax bill.
IDA Benefits
Real estate taxes on Long Island, especially on commerIDA’s can offer substantial benefits to commercial real
cial properties, are among the highest in the nation and presestate projects, benefits that are often overlooked by the real
ent a challenge to owners and businesses trying to manage
estate and business communities. These benefits can often
their costs and remain competitive in their industries. Place
make or break a deal and IDA’s are looking to “make” deals
on top of that the historical arbitrariness of our local assessthat might otherwise not happen. Commercial brokers espement systems, and the region is at a real competitive disadcially should be aware of what an IDA can bring to the table.
vantage.
Any time a business considers moving or
Fortunately, there are ways to mitigate these
expanding (or even just renewing its lease), the
factors through a multiple-discipline approach
possibility of IDA assistance should be explored,
that ensures that the property is taxed at the
especially if it involves significant construction,
appropriate level and that it takes advantage of
tenant improvements or furniture, fixtures and
the various tax incentive programs available to
equipment purchases.
Long Island commercial taxpayers.
The potential benefits include: a sales tax
When a client indicates its intention to buy,
exemption on eligible equipment and construcbuild and/or expand a building, lease a significant
tion materials; a mortgage recording tax exempportion of a building, or otherwise wants to
tion; and, sometimes most valuable, a beneficial
Partner
ensure its tax burden is minimized and stabilized,
John V. Terrana
PILOT agreement with significant savings on real
heads the firm’s
this firm immediately engages in a unique collabproperty taxes. These benefits can be maximized
Tax Certiorari
orative process of addressing the real estate taxes
by coordination with the tax certiorari proceedings
Department
affecting the property.
pending on the site.
Not only does our Tax Certiorari Department
It is very important to approach the IDA as
analyze the current and projected assessments for
early as possible, before a contract, when the deal
the property, our IDA and Municipal Development
is being put together. IDA’s want to help incenIncentives Practice determines if there are other
tivize projects, not give benefits to something that
tax abatement programs or subsidies that may be
is happening anyway.
available, such as Industrial Development Agency
It is essential that qualified IDA counsel be
(“IDA”) PILOT programs, tax abatements through
brought into the picture as early as possible so the
Real Property Tax Law Section 485-b and other
right approach to the IDA can be made.
New York State programs to incentivize business
Partner
and economic development.
RPTL Section 485-b Abatements
Daniel P. Deegan,
The construction of a new building on vacant
heads the firm’s IDA
Tax Certiorari
and Municipal
property or an addition or improvement to existIncentives practices
An owner or tenant, should attempt to
ing property will increase its tax assessment. For
reduce its tax assessment by commencing a tax
certain types of business, the increase in assesscertiorari proceeding. This proceeding, can challenge an
ment may be partially exempt pursuant to Real Property Tax
assessment on many different grounds. The most common
Law Section 485-b. Under that section, real property conground for the challenge is that the property is over assessed,
structed, altered, installed or improved for the purpose of
i.e., the property is assessed at a fair market value greater than
commercial, business or industrial activity is exempt for one
its true fair market value. However, a tax certiorari attorney,
year to the extent of 50 percent of the increase in assessment
with the resources of a multi-discipline law firm, will analyze
attributable to such construction; and for an additional period
the different aspects of a property’s assessment that affect its
of nine years, provided, however, the exemption decreases by
real estate tax burden in an attempt to reduce it. Issues
five percent each year during the additional years.
regarding the property’s environmental conditions, zoning
Continued on page 2
The Omni • 333 Earle Ovington Boulevard • Suite 1010 • Uniondale, NY 11553 • Tel: (516) 248-1700 • Fax: (516) 248-1729
425 Broad Hollow Road • Suite 315 • Melville, New York 11747 • Tel: (631) 622-5400 • Fax: (631) 622-5456
Continued from page 1
In order to obtain the exemption, an application must
be filed within one year of the date of completion of the
improvements and before the appropriate taxable status
date. If the exemption is not filed within a year of completion of the improvements, it is lost forever.
Other Tax Incentive and Benefit Programs
Finally, for certain projects, real estate tax relief may
be available through Empire State Development, Local
Development Corporations (which many municipalities
on Long Island are now forming) and other grant and
subsidy programs through various local not-for-profits
set up to assist businesses and certain types of properties.
Conclusion
Opportunities for commercial real estate tax abatements and reductions on Long Island exist. All too often,
owners and businesses incorrectly assume that real estate
tax relief and benefits are not available to them. This Firm
has the expertise to provide a multi-faceted and comprehensive analysis to assure that real estate taxes are minimized and “right-sized.”
FIRM NEWS, APPEARANCES AND ARTICLES
The Firm has been recognized in several publications
recently. LI Pulse Magazine’s September issue recognized
the following attorneys and their practice areas: Anthony
B. Barton, Robert H. Groman (Business/Corporate Law),
Jeffrey D. Forchelli, Peter R. Mineo, Kathleen Deegan
Dickson, William S. Cohn (Land Use/Zoning), Donald
Jay Schwartz, Russell G. Tisman (Litigation), Daniel P.
Deegan, Peter Alpert, John V. Terrana (Real Estate) and
Terence E. Smolev (Tax, Trusts & Estates). The list was
compiled by Martindale-Hubbell of attorneys who have
been rated by their peers to be AV Preeminent – the highest peer review rating available.
Eight partners who have been selected as 2010 New York
Super Lawyers®: Jeffrey D. Forchelli (Land Use/Zoning),
John V. Terrana (Real Estate/Tax Certiorari), Terence E.
Smolev (Estates Planning/Tax), Barbara S. Alesi
(Business/Corporate), Daniel P. Deegan (Real Estate),
Donald Jay Schwartz (Business Litigation), James P.
O’Brien (Employment & Labor) and Christopher G.
Gegwich (Employment Litigation: Defense).
The Firm was highlighted in Long Island Business News’
2010 Corporate Profiles special section in June.
Anthony V. Curto was recognized in the Long Island
Business News 2010 edition of “Who’s Who in Corporate
Law.”
The Firm ranked #5 in the Long Island Business News'
listing of top Corporate Law firms on Long Island.
Brian R. Sahn, who oversees the Firm’s “green”initiatives
was interviewed about the Firm’s commitment to
sustainability and quest for Leadership in Energy and
Environmental Design, LEED-certification in Newsday. In
addition, Mr. Sahn served as moderator for the
Commercial Industrial Brokers Society’s fall panel discussion on “Corporations: How they are viewing their Real
Estate Holdings.”
Daniel P. Deegan outlined how Industrial Development
Agencies can offer substantial benefits to commercial real
estate projects in his recently published article in the New
York Real Estate Journal.
John V. Terrana has been appointed Co-Chair of The
Suffolk County Bar Association’s Condemnation & Tax
Certiorari Committee for the 2010-2011 term. His article,
“Assessing your property for business exemption,”was featured
in the summer issue of Building Long Island magazine,
which focuses on the people and policies shaping LI real
estate.
Judy L. Simoncic was quoted in Newsday for her representation of client Amber Court.
Aaron Gershonowitz prepared a chapter update as
author of Chapter 16 in West Publishing’s Environmental
Law and Regulation in New York, which deals with endangered species.
Michael Stromberg presented on the Firm’s Trusts and
Estates and Elder Care capabilities to the BNI, a global
professional networking organization.
Andrea Tsoukalas and the Firm were profiled by the
National Herald, the largest Greek newspaper published in
the United States.
James C. Ricca and Kate Sammon Burns’ article,“The
Slow Road to Economic Recovery,” was published in the
Banking/Bankruptcy Law special edition of the Nassau
Lawyer.
Thomas D. Glascock, board member of the Huntington
Township Chamber of Commerce, participated in the
Innovative Economic, Environmental and Educational
Expo. The program addressed important issues facing
Long Island’s business and industries.
The Firm hosted its sixth Long Island General Counsel
Network (LIGCN) seminar and first in-house sponsored
CLE accredited program on Social Media and the
Workplace: A Guide for Employers. Joseph Cuomo and
Russell G. Tisman, a board member of the Theodore
Roosevelt American Inn of Court, was program co-chair of
the 2010 Annual Dinner, which honored The Hon. Gerard
E. Lynch, U.S. Court of Appeals for the Second Circuit.
FORCHELLI LAW PARTNERS
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Barbara S. Alesi were the program’s moderators.
Speaker Christopher G. Gegwich guided a live discussion on social media and the issues that employees need
to consider.
CLIENT FOCUSED
SUCCESSFUL LAWYERS
SUCCESSFUL CLIENTS
BANKING AND FINANCE
James C. Ricca negotiated and closed a $16,750,000
commercial mortgage loan on behalf of New York
Community Bank for a prominent shopping center in
Whitestone, Queens.
James C. Ricca represented New York Community Bank
and successfully closed a $79,000,000 leasehold mortgage
transaction for the premises at 475 Park Avenue South,
New York, NY.
LITIGATION/BANKRUPTCY
Donald Jay Schwartz and Richard C. Goldberg successfully represented Cablevision in a hearing held before
the New York State Department of Transportation concerning Cablevision’s access over a private Long Island
Rail Road crossing leading to various Cablevision facilities. Initially, the Long Island Rail Road attempted to
close the crossing, which would have prevented
Cablevision from the only access route to its facilities. Mr.
Schwartz successfully argued against the immediate closing of the facility although an administrative law judge
directed that it be closed in ten years. Mr. Goldberg then
successfully argued in the Appellate Division Third
Department that the ten-year closure had no legal basis
and the ten-year period was then eliminated. In another
hearing, before the Department of Transportation, Mr.
Schwartz and Mr. Goldberg successfully argued against
the Department of Transportation’s claims that an active
railroad crossing gate costing over one million dollars was
required to be installed at the crossing. The administrative law judge instead made a finding that only whistle
posts had to be installed at the crossing and that the Long
Island Rail Road was responsible for the cost of that
installation.
REAL ESTATE/LAND USE & ZONING
Partners Brian R. Sahn, Peter Alpert and Aaron
Gershonowitz represented Northrop Grumman
Corporation in a lease with the Applied Center of
Innovation and Excellence in Homeland Security
Research Foundation Corporation (“COIE”) for office
space consisting of more than 20,000 plus square feet in
the newly re-constructed building in Bethpage. The
building is now known as the Morrelly Homeland
Security Center, a 90,000 square foot building. The
Center will be home to a number of homeland security
related businesses, many of which will work to develop
new projects for homeland security in cooperation with
the Long Island Forum for Technology.
Peter Alpert represented The Woodcrest Club in connection with its sale to a purchaser for $19.2 million for the
sale of its property at a bankruptcy court auction.
A zoning board denied an application to convert a house
into a church because there was insufficient parking and
the use was otherwise inappropriate in a residential community. Wiiliam S. Cohn and William F. Bonesso commenced a proceeding challenging the denial. Although
the Supreme Court sustained the board’s decision, the
appellate division reversed the lower court and directed
the board to grant the application.This decision is significant because municipalities have become more aggressive in applying zoning regulations to deter religious
institutions from establishing and expanding in the face
of community opposition and sustains their legal right to
do so as guaranteed under the Bill of Rights.
Robert Chicco represented the purchasers of 55 Arkay Drive
and 22 Arkay Drive, Hauppauge, NY, and also the leasing of
the two commercial properties to LNK International Inc.
Bank of America financed the transactions.
A North Shore village exercised its purported jurisdiction
of a subdivision outside its boundaries and voted to block
the subdivision after all other regulatory agencies, including the one in which the land is situated, approved the
subdivision. Jeffrey D. Forchelli and Kathleen Deegan
Dickson, assisted by Eli Elbaum, successfully challenged
the village’s disapproval in Supreme Court in an Article
78 Proceeding. The Court found that the village not only
acted in an arbitrary and capricious manner in denying
the subdivision, but also ruled that the village did not
have jurisdiction to impose its zoning regulations outside
of its boundaries. This was a significant victory for property owners as many municipalities have been attempting to exert more control in zoning matters outside their
community limits.
Judy L. Simoncic secured approval from the Town
Board of the Town of Oyster Bay for the expansion of the
Amber Court Assisted Living Facility in Westbury. The
approval permits the construction of a 30,000 square
foot two-story building to be used for its new
Alzheimers/dementia facility.
Kathleen Deegan Dickson obtained approvals in the
Town of North Hempstead to bring two new restaurants
to Carle Place. Red Robin and Anthony’s Coal Fired
Pizza will be the first of each national chain on Long
Island.
Judy L. Simoncic successfully challenged the Town of
Oyster Bay’s denial of variances necessary to subdivide
property in Locust Valley. In an Article 78 Proceeding
against the zoning board, she achieved a favorable
Supreme Court decision in which the Court annulled the
zoning board’s denial and directed the zoning board to
grant the applicants requested variances. Supreme
Court Judge Galasso found that the petitioners demonstrated that the zoning board’s actions were arbitrary and
unsupported by substantial evidence in the record. The
court also found that Ms. Simoncic demonstrated that the
zoning board had granted similar variances to other lots
in the surrounding area and that there were no distinguishing factors to justify the zoning board’s denial in this
case.
CORPORATE AND COMMERCIAL
Anthony B. Barton represented LNK International Inc.
in connection with its line of credit with Bank of America.
LNK International is one of the nation’s largest manufacturers of over-the-counter pharmaceuticals.
Peter Alpert and Anthony B. Barton represented a
client in connection with its $5,000,000 private placement
offering. The client designs and manufactures innovative products for solar power technology.
Peter Alpert and Anthony B. Barton represented Direct
Grid Technologies LLC in connection with its $5,000,000
private placement offering. Direct Grid Technologies
designs and manufacturers innovative, state-of-the-art
utility grade micro-inventor solutions .
Anthony B. Barton represented Meg Braff Designs, LLC
in connection with its asset acquisition from Waterhouse
Wallhangings, Inc. in New York. Meg Braff Interiors, Inc.
and Meg Braff Designs, LLC are premier design firms.
ENTERTAINMENT AND SPORTS
Joseph V. Cuomo, Anthony B. Barton and Robert H.
Groman represented Maverik Lacrosse LLC, a leading
designer, developer, manufacturer and marketer of
lacrosse equipment, apparel and accessories, when it was
acquired by Kohlberg Sports Group Inc., an affiliate of
Kohlberg & Company, L.L.C. Kohlberg Sports Group
also owns Bauer Hockey, the world's leading manufacturer of ice hockey equipment.
F I R M AWA R D S & E V E N T S
Terence E. Smolev was
honored by the Alzheimer’s
Foundation of America (AFA)
in July at the Care on the
Fairways event.
(Left to Right):
Roseann Meyers, Cora Pappas,
Mary E. Mongioi, Esq.,
Honoree Terence E. Smolev,
Esq., Stephanie M. Alberts, Esq.
and Gary M. Kushner, Esq.
R E S U LT S D R I V E N
The Firm sponsored EAC’s Annual Aloha Golf
Classic event. Left to Right: Hilary Hartung, EAC, Jeffrey
D. Forchelli, Managing Partner, Barbara S. Alesi, Honoree.
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FIRM NEWS CONTINUED & NEW ADDITIONS
FORCHELLI LAW FIRM ACHIEVES LEED
SILVER CERTIFICATION FOR
“COMMERCIAL INTERIOR” OFFICE SPACE –
FIRST LAW FIRM ON LONG ISLAND
Forchelli, Curto, Deegan, Schwartz, Mineo, Cohn & Terrana, LLP
has been awarded LEED® Silver established by the U.S. Green
Jack L. Libert has joined the Firm as Counsel in the Real Estate,
Land Use & Zoning department. He was formerly a named
partner in the Firm until he left in 1992. From 1993 through
2005, Mr. Libert served on the Town of Oyster Bay Board of
Zoning Appeals. In 1997, he became Chairman of that board
and served in that capacity until 2005. At that time Mr. Libert
left the Board of Zoning Appeals to become Commissioner of
Planning and Development of the Town of Oyster Bay (through
2008) and then Commissioner of the Town Department of
Public Works where he served until his recent retirement from
public service to return full time to law practice.
Building Council and verified by the Green Building Certification
Institute (GBCI) with regard to its new office headquarters. LEED
is the nation’s preeminent program for the design, construction
and operation of high performance green buildings. The Firm’s
office is the first LEED-certified interior in the substantial RXR
portfolio of office space in Nassau County, Long Island and the
Ethan D. Balsam has joined the Firm as an associate in the
Firm’s Employment and Labor department. His practice primarily involves counseling management clients on a variety of
employment and labor law subjects as well as defending them
in a wide array of litigation matters. Mr. Balsam has experience
representing school districts and municipalities before federal
and New York state courts and various administrative agencies.
first law firm on Long Island to achieve a LEED designation.
Kelene M. Kern has joined the Firm as a paralegal in the
Banking and Finance department. Prior to joining the Firm,
Ms. Kern worked as a paralegal with another Long Island law
firm for five years. She is a graduate of New York University and
received a post-baccalaureate certification in paralegal studies
at Hofstra University.
The Omni | 333 Earle Ovington Boulevard | Suite 1010 | Uniondale, NY 11553
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PARTNERS
JEFFREY D. FORCHELLI
ANTHONY V. CURTO, P.C.
DANIEL P. DEEGAN
DONALD JAY SCHWARTZ
PETER R. MINEO
JOHN V. TERRANA
TERENCE E. SMOLEV, P.C.
KATHLEEN DEEGAN DICKSON
PETER ALPERT
BRIAN R. SAHN
BARBARA SHAHEEN ALESI
ANTHONY B. BARTON
JAMES C. RICCA
GARY M. KUSHNER
ROBERT CHICCO
ROBERT H. GROMAN
RUSSELL G. TISMAN
WILLIAM F. BONESSO
ANDREW E. CURTO
STEVEN G. GAEBLER
JUDY LYNN SIMONCIC
JAMES P. O’BRIEN, JR.
WARREN S. ARTHUR
RICHARD A. BLUMBERG
JOSEPH V. CUOMO
FRANK DAVIS
CHRISTOPHER G. GEGWICH
AARON GERSHONOWITZ
COUNSEL
WILLIAM S. COHN
BARRY C. FELDMAN
HON. JOHN J. FLANAGAN
JANET GANIO
RICHARD C. GOLDBERG
JACK L. LIBERT
MARY E. MONGIOI
MICHAEL S. STROMBERG
ASSOCIATES
STEPHANIE M. ALBERTS
DOUGLAS W. ATKINS
ETHAN D. BALSAM
KATHRYN SAMMON BURNS
ELI ELBAUM
TOM GLASCOCK
BRIAN HUFNAGEL
DANIELLE B. NOTARO
ANDREA TSOUKALAS
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