REAL DEALS

As Seen in Long Island Business News December 21, 2007 By David Winzelberg

Condemnation may clear final obstacle in Riverhead

After long and fruitless negotiations, Apollo Real Estate Advisors has asked the Town of Riverhead to condemn the property needed to complete its downtown revitalization plan.

According to Don Secunda, an attorney with the Weber Law Group in Melville, which represents Apollo, a letter was sent to Supervisor Phil Cardinale and the Riverhead Town Board asking for help to acquire the parcels on the south side of Main Street. Apollo sent the letter after they were unable to reach a deal for the land.

The property on the south side has been appraised by the town at $9.5 million, but the owner of most of it, Riverhead Enterprises, has been asking twice that amount, according to Cardinale.

Apollo went as far as to offer a share of the profits of future development to the reluctant owner, according to Secunda.

“We’re at our wits end,” the attorney said.

Regardless of what happens with the south side properties, Apollo is going ahead with plans on the north side of Main Street. Secunda said that a draft environmental impact statement on the north-side work would be prepared by the town next month.

The entire plan calls for over $500 million in mixed-use development for the downtown area, including offices, stores and apartments. Apollo’s master developer status allows the company to seek relief through town condemnation if the property can’t be acquired through negotiations with the owners.

Downtowns are tight

Speaking to me at the Damianos holiday soiree, John Finn discussed a space problem shared by many Long Island business districts.

The company’s head of leasing and acquisitions said that the space to hold small businesses along the Main Streets of Nassau and Suffolk have reached “critical mass.”

“These structures met the demand from 30 and 40 years ago,” Finn said. As a result, shopping centers with roomier stores that “meet today’s business model” are attracting more quality retail tenants than the cramped, older buildings downtown.

The fix? Creative planning, Finn said.

Or loosen up zoning, like Cliff Sondack, president of the Land Use Institute, wants to do.

“Creative planning may best be achieved by simply broadening the permitted uses and density to allow the free market to work its creativity,” Sondack said. “Once downtowns are able to improve infrastructure and to grow in density, Main Street retail will improve.”

Kings Park help wanted

The New York State Office of Parks, Recreation and Historic Preservation is looking for a professional environmental engineering firm to submit a plan and cost estimate to clean up 320 acres of the former Kings Park Psychiatric Center.

The parks department has issued a request for qualifications for the site remediation on the New York State Contract Reporter Web site.

The property has more than 50 abandoned buildings that will require cleanup of asbestos and lead paint, demolition and treatment of buried construction material and more.

Any plans for the park will have to wait until the property can be cleaned up, according to Parks Commissioner Carol Ash.

Arbor days

Who says money is tight? Not Arbor Commercial Mortgage.

The Uniondale-based real estate lender has closed on over $28 million in loans in the last week. The funding goes towards apartment complexes in Michigan, Ohio and Georgia, as well as a 10-unit building across from Washington Park in Manhattan.

All in all, the properties funded contain more than 1,000 apartments. Michael Jehle, Arbor’s Midwest regional director, originated most of the loans.

Real Deals

· Bearings Ltd. was represented by Richard Cohen of Ashlind Properties in Hauppauge when the company bought a 140,000-square-foot building on 7.1 acres at 2,100 Pacific St. in Hauppauge. The seller, H & A Realty, was represented by Sutton & Edwards.

· IVCI, a videoconferencing technology company, bought a 26,571-square-foot building on 3.10 acres at 601 Old Willets Path in Hauppauge. Richard J. Cohen of Ashlind Properties in Hauppauge represented the buyer, IVCI, and the seller, 601 WP Realty.

· Cohen also handled both sides of the sale of 245 Marcus Ave. in Hauppauge. The 37,275-square-foot manufacturing facility was sold by Premier Store Fixtures, and bought by Josh Packaging.

· Cohen also represented Unlimited Screw Products in its purchase of a 15,300-square-foot building located at 87 East Jefryn Blvd. in Deer Park. The seller, Garbus Properties, was represented by Sutton & Edwards.

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