John Caravella

Long Island Construction Law did not create this content. This content was created by David Winzelberg, and was published to the Long Island Business News on December 16, 2020. Long Island business and labor groups are praising Gov. Andrew Cuomo’s put the kibosh on a bill that would have essentially outlawed sand mining. Industry leaders say the New York Anti-Sand Mining Bill would have severely restricted mining, halted construction and put union jobs on hold, damaging an already ailing economy and hurting the construction industry. Instead of authorizing the bill, Cuomo is creating a two-year study to analyze the scientific effects of sand mining. “By calling for a scientific study to be performed by the professionals within the Departments of Environmental Conservation and Health, Governor Cuomo rightly is removing politics from a decision that has serious effects for real people,” Marc Herbst, executive director of the Long Island Contractors Association, said in a written statement. “Right now, the need for infrastructure improvement is greater than ever, in these times we need a way to streamline the process, not hurt the industry.” Sand, one of Long Island’s most valuable resources, is big business here. Perfect for making cement, concrete and asphalt, sand mined on Long Island and shipped by barge helped build Manhattan’s skyscrapers, roads, bridges and tunnels, including landmarks like the Empire State Building and the World Trade Center. Once the most prolific sand mine in the country, the Port Washington pits on the banks of Hempstead Harbor yielded nearly 200 million tons of sand before it dried up in the early 1990s. Eventually sand mining moved east, where land is cheaper and underground sand deposits are plentiful. Every day, hundreds of trucks roll down the Long Island Expressway carrying thousands of tons of sand to construction sites and asphalt plants in and around New York City. And because sand supplies are dwindling, prices have skyrocketed in recent years. Sold for about $10 a cubic foot just a decade ago, Long Island sand now sells for more than double that. “The governor took another step towards protecting small businesses during these uncertain times,” said James Barker, president of Roanoke Sand & Gravel Corp., one of the few remaining legal sand mining operations on Long Island. “For that, we thank him. To survive today, businesses need the flexibility to work openly, not be stifled.” Over the years, the growing demand for Long Island sand has prompted several illegal mining operations, which local towns and the state Department of Environmental Conservation have acted to shut down. Local developers have also used sand sales from project excavations to offset their construction costs. Gary LaBarbera, president of the New York State Building and Construction Trades Council and Building and Construction Trades Council of Greater New York said Cuomo was right to put working people and union jobs front and center in his decision making. “Now is not the time to halt construction and put people out of work,” LaBarbera said in the statement. “Long Island will be stronger, safer, and better because of this compromise.” Matthew Aracich, president of the Building and Construction Trades Council of Nassau and Suffolk Counties, also praised the action. “Putting power in the hands of towns and villages to control the direction of sand mining based on political pressure versus science can decimate a region,” Aracich told LIBN.

The amount of New York-area construction starts rose in November from the previous month though the value of starts remains behind last year. There were more than $3.455 billion in construction starts in the New York area in Nov. 2020, about 21 percent less than the $4.386 billion in construction starts recorded in Nov. 2019, according to the latest report from Dodge Data & Analytics. Residential construction took the biggest hit with starts falling by 46 percent in November as compared with a year ago, dropping from $2.198 billion in Nov. 2019 to $1.193 billion in Nov. 2020. The nonresidential sector bucked the trend with a slight year-over-year increase. There was about $2.26 billion in nonresidential building starts in Nov. 2020, a rise of 3 percent from the $2.187 billion in starts recorded in Nov. 2019. In the first 11 months of this year, construction starts are down 23 percent from the first 11 months of 2019, falling from $40.85 billion last year to $31.274 billion this year. Nonresidential construction covers office, retail, hotels, warehouses, manufacturing, schools, healthcare, religious, government, recreational, and other buildings. Nonresidential construction also includes streets and highways, bridges, dams and reservoirs, river and harbor developments, sewage and water supply systems, missile and space facilities, power utilities and communication systems. Single-family and multifamily housing are considered residential buildings. The Dodge report covers New York City, northern New Jersey, Hudson, Putnam, Rockland, Nassau, Suffolk, and Westchester counties and parts of Pennsylvania. Long Island Construction Law does not own this content. This content was created by David Winzelberg, and was published to the Long Island Business News on December, 23rd.

f you’re an entrepreneur and work out of your home, you’re in good company. Forbes reports that billionaires like Jeff Bezos (Amazon), Markus Persson (Minecraft), Sara Blakely (Spanx), and Frank Wang (DJI Technologies) all started their businesses out of their homes. But did these now Billionaires have standard home offices? Or, did they construct them from scratch to fulfill the needs of their business? While working from home can be convenient, it also has drawbacks. It is easy to get distracted by piles of laundry, dishes, or similar day-to-day tasks. Having a separate office away from your general living space will make it easier to concentrate. Designing your dream office. The right home office design will foster focus. For example, you want to ensure your workspace is well-lit. Research suggests that this improves productivity. Even small aesthetic touches, like office plants, can make a difference. According to Psych Central, studies suggest that having plants in the work environment reduces stress. You’ll also need to buy equipment for your home office. Create an ergonomic workspace, as described by The Mayo Clinic. Among other things, they recommend getting a chair that protects the natural curve of your spine. To make it easier to write-off such business expenses, establish your company as an LLC. It requires less complicated paperwork than a corporation while still protecting your personal liability. You can set up your New York LLC quickly and easily using business formation services. Buying a new home if your current one is too small. If your current house simply doesn’t have the space to accommodate a home office, you can consider moving. This is a more costly option and should be carefully planned. Start by getting your finances in order. Figure out how much you can reasonably afford to pay, keeping in mind that you will need to make a down payment on a new property. If you make a lump-sum payment of at least 20%, you can avoid paying private mortgage insurance. If you own your current house or apartment, the money you make from selling it may be enough to cover this investment. Get an idea of how much your place will sell for by looking at similar properties online. Zillow allows you to search according to factors like neighborhood and square footage. This is also a great way to look up properties to buy. Making renovations to the home you own now. If you want to stay in your current home and have some extra space, you can simply renovate the structure to accommodate an office. You could convert a basement or attic into a usable room, for example, or even construct an addition to the house. If you’re undertaking larger renovations, make sure to check local building regulations before proceeding. Use the Buildings Guide database to find your state’s laws. If you are hiring a contractor to do the job, they will be familiar with your area’s legislation. Your contractor can make or break the success of your project, so do your research before hiring. You want a reputable professional who is licensed, registered, and insured. U.S. News & World Report further recommends checking potential contractors’ credentials and disciplinary history. This helps to avoid potentially pricey legal construction disputes. A well-designed home office will allow you to concentrate on your work and support your business success. With the above guide, you have three options to create the perfect space to suit your needs. For more resources, the website Angie’s List is perfect for finding your dream contractor and designer, that can make your home office dreams a reality.

Long Island Construction Law does not own this content. This article snippet was written by Shayne Benowitz and was published to the New York Post on December 17, 2020. Talk to anyone who lives on Central Park North in South Harlem and they’ll crow about their views, unattainable from any other vantage point in the city. Residents of the boulevard (also known as West 110th St.) enjoy sweeping panoramas of the park and the Manhattan skyline. “You don’t get that iconic view from Central Park South or Fifth Avenue,” said broker and star of Bravo’s “Million Dollar Listing” Ryan Serhant, who is marketing the street’s newest luxury condominium at 145 Central Park North, which launched sales last month. “It’s something you need to see to believe.” Joining only a handful of other luxury buildings on the park’s three-block northern perimeter, 145 Central Park North was developed by GRID Group on the former site of a shuttered one-story church. Taking advantage of a uniquely wide and shallow lot — 70 feet deep with 100 feet of Central Park frontage — the team created a 13-story, bronze-clad, glass curtain wall façade that gives every residence a park view via floor-to-ceiling windows. or nearly a century, Central Park North was ignored by NYC’s biggest developers, dismissed as being “too far north” to attract truly wealthy buyers. Today, the thoroughfares to its east, west and south are home to the tallest and many of the most expensive developments in the US. The best sky palaces and white-glove co-ops on Fifth Avenue, Central Park West and Central Park South command prices exceeding $10,000 per square foot. Just across the park, 220 Central Park South set a national sales record when Citadel’s Ken Griffin dropped $238 million on a single residence. But even the top luxury developments along Central Park North garner between just $1,500 and $2,200 per-square-foot, according to StreetEasy data. Yiannes Einhorn, principal at GRID Group, the developer of 145 Central Park North — where one- to four-bedroom units start at $1.25 million and top out at $4.75 million for a four-bedroom, three-bath penthouse with a private rooftop and hot tub — hopes to raise the status of the last affordable Central Park-facing street in the city. “We could feel more activity coming to Harlem,” said Einhorn. “There’s a pulse.” But this isn’t the first time a real estate player has tried to signal change here. The area is also transportation spoiled with the 2, 3 subway lines at the foot of 111 Central Park North and the A, B, C lines at Frederick Douglass Boulevard. As such, it’s become a magnet for families who enjoy close proximity to the prestigious private schools along the Upper East and Upper West sides. The ingredients for a truly upscale street are all there, but Central Park North’s unique and enduring challenges mean that developers won’t be building supertowers here anytime soon. Even with a few glittering new buildings, it’s still a buyer’s market on the north side of the park. “Society moves and mixes,” said Tilley. “Harlem is a great repository of open-minded individuals. That’s what makes it special, this unique blend of people.”

ARBITRATION IN THE TIME OF COVID: THE SURPRISING BENEFITS OF VIRTUAL ARBITRATION COVID-19 has not only created a public health crisis but thrown the legal profession into chaos. Some proceedings and legal remedies have been put on hold indefinitely. On the other hand, COVID-19 has compelled government and private organizations, attorneys, and litigants to innovate new ways of doing business to minimize COVID-related disruptions. One such innovation has been the advent of conducting busines virtually, a process I experienced first-hand in a recent virtual arbitration hearing. Some parties might mistrust virtual arbitration, and in fact one party opposed my recent arbitration being conducted virtually. The fear was that questioning of witnesses would be difficult if witnesses and questioning attorneys were not together in person. In practice, however, counsel were able to interact successfully with witnesses via virtual means without a noticeable disconnect. As arbitrator, I was able to gauge the witnesses’ demeanors and credibility as easily via screen sharing as I would have been in person. Ultimately, even the party that originally opposed virtual arbitration conceded in short order that the virtual arbitration process worked surprisingly well. In addition to being a suitable alternative, I found that virtual arbitration was in fact superior to in-person arbitration in some ways. As in-person arbitrator at the head of a table with parties shuffling exhibits and binders, it can sometimes be challenging for me to clearly note all the fine points under discussion. When the arbitration was conducted virtually and used screen sharing for exhibits, I could easily track evidence and documents as they were discussed and focus on the testimony. Finally, virtual arbitration affords parties a larger pool of resources without increased costs. Because arbitrators and experts can participate virtually, parties can select arbitrators and experts nationwide rather than in one particular geographic area. Initially, this ability to select from a wider field of candidates should eliminate any concerns with selecting from among local arbitrators with business dealings or contractual ties that could create conflicts of interest; an impartial arbitrator is all but guaranteed. Additionally, parties can select arbitrators and experts for their qualifications regardless of geographic location, allowing them to select the most qualified candidates. The latter should prove especially beneficial in the context of larger commercial or complex construction disputes for which experienced arbitrators and experts may not be available in some jurisdictions. While utilizing such out-of-jurisdiction resources might normally impose prohibitive travel and arbitration costs on some claimants, the use of virtual technology all but eliminates such costs. Considering the particular benefits of virtual arbitration, both arbitrators and parties should consider this means of prosecuting disputes. The practical reality of arbitrating virtually should quickly allay any misgivings, and the benefits can be realized through the use of technology that is easily accessible to most parties. In a time when COVID-19 is resurging in the United States and in-person legal proceedings may again be delayed, the usage of virtual arbitration could potentially turn crisis into opportunity.

Long Island Construction Law does not own this content. This content was created by David Winzelberg and was published to the Long Island Business News on December 14th, 2020. Commercial real estate, particularly sectors requiring in-person contact, will see a strong recovery in the second half of 2021, according to a new report. The report from the National Association of Real Estate Investment Trusts also predicts a more complete recovery in 2022, as COVID-19 vaccines become more widely available. While some real estate sectors, such as industrial and multifamily, have been less impacted by the pandemic, others have suffered this year. Real estate that houses businesses that require in-person contact, like lodging, restaurants, retail, skilled nursing and senior living, have experienced more significant weakening during the pandemic and face a longer, slower recovery in the months ahead, according to the NAREIT report. Other property segments that don’t require face-to-face interaction, like data centers, cell towers and logistics facilities, recovered quickly from the initial shock of the pandemic last spring and have benefited from a socially distanced, work-and-shop-from-home economy that has created strong demand for digital communications and e-commerce services. “The U.S. economy, including commercial real estate, is on a two-track path made up of businesses that require in-person interaction with customers and businesses that don’t,” NAREIT Senior Economist Calvin Schnure, who authored the report, said in an association statement. One key source of resiliency unique to REITs is that nearly two-thirds of the REIT industry is comprised of sectors with little direct impact from social distancing. REITs, which make up about 20 percent of the value of the broader investment-grade commercial real estate market, also entered the downturn with strong financial positions, defined by low leverage, long debt maturities, and high levels of liquidity on balance sheets. As the industry entered the recession, the slowing of construction has helped limit the supply of new commercial space and buffer the rise of vacancies. The most important factor for REITs and commercial real estate will be broad distribution of a COVID-19 vaccine and progress against the pandemic. Barring further setbacks in this fight, the report expects that conditions will gradually return to normal as the year progresses. Those sectors that were most directly affected by reduced travel, business closures, and social distancing, including lodging/resorts, retail, and healthcare REITs, may have a more robust recovery in 2021, according to the report. While there are some indications that economic activity tends to return to more normal conditions in countries where new cases of COVID-19 have fallen, the report projects longer lasting changes to how commercial real estate is used. For example, teleconferencing and work-from-home may have long-lasting effects on office markets, as well as hotels, apartments, and single-family home rentals. REITs collectively own more than $3.5 trillion in gross assets across the U.S., with stock-exchange listed REITs owning over $2.5 trillion in assets, according to NAREIT. U.S. listed REITs have an equity market capitalization of more than $1 trillion and more than 145 million Americans live in households with REIT investment through their 401(k) and other investment funds.

Long Island Construction Law did not create this content. This content was created by David Winzelberg and was published to the Long Island Business News on December 9th, 2020. Nassau County has filed a bill aimed at speeding up the process of approving building and curb-cut permits. Prompted by complaints from residents and developers about the often lengthy approvals process, the bill would set a 30-day time limit for the county’s Department of Public Works to report to the county Planning Commission and applicable municipality with approval, disapproval or approval subject to stated conditions. Under the proposed legislation, sponsored by Deputy Presiding Officer Howard Kopel, county fees associated with the building permit application will be reduced by 25 percent and a further 25 percent every 10 business days thereafter that the report is late. If fees were collected previously, they will be refunded, according to the bill. If the reductions result in no fees, the application shall be “deemed approved” so long as, at the time of filing, a New York State licensed professional engineer or architect certified that the proposed project plans comply with all applicable rules and regulations. If the commissioner requests additional information or clarification from the applicant, the initial time period will be extended for the number of business days during which the commissioner is awaiting the additional information. “Red tape and governmental delays have cost those doing business in the county, jobs and money, and that is unacceptable especially as many residents struggle with the financial impacts brought on by the pandemic,” Kopel said in a written statement. “The changes we are proposing will streamline the finalization of building and curb cut permits and make it easier to get work done in the county. This will cut through the unnecessary red tape that has plagued residents and businesses.” Known as 239f, the application review by the public works department is mandated by the state to ensure stakeholders are protected from adverse impacts of construction and development. “For years, the 239f process has been a cumbersome hurdle in spurring economic development in Nassau County,” says Kyle Strober, executive director of the Association for a Better Long Island. Strober also serves as co-chair of the county’s 239f Blue Ribbon Panel that’s been created to examine ways to improve the approvals process. “County Executive Curran wisely convened a blue ribbon panel to explore how best to make the process quicker and more efficient,” Strober said. “Legislator Kopel’s bill continues to underscore the need for reform and the panel enthusiastically welcomes suggestions and insight to better the process. In the next few days, the panel will announce its six-month progress report and will reach out to Legislator Kopel regarding his proposal.”

The Holidays – Beautiful, but dangerous? Holiday Safety Tips When it comes to the holidays, we think of food, family and decorations, not necessarily holiday safety tips. Did it ever occur to you that decorations such as lights and candles could become dangerous? According to the ESFI, Electrical Safety Foundation International, damages from the holidays happen more than expected. Though holiday lights are traditional and festive, they should always be under close watch. Though the holiday season represents happiness and channeling positive energy for the New Year, unfortunate events can happen without expecting they will. Below are the most important statistics reported by the ESFi, Electrical Safety Foundation International, as holiday safety tips, a helpful tool of what you should look out for. The National Fire Protection Association indicates that 30% of all home fires and 38% of home fire deaths occur during the holiday months of December, January and February. Around 5,800 individuals are treated annually for injuries sustained from falls involving holiday decorations. Such as, extension cords. These injuries include but are not limited to, fractures, lacerations, contusions and sprains. An average of 260 home fires are started each year by Christmas trees. Another 150 home fires per year were caused by decorative lights. Candles started 45% of home decoration fires. 13% of injuries caused by decorations involved children less than five years old due to electrical burns to the mouth. According to Insuramatch.com, a leading website that covers all types of insurance questions, whatever the culprit, if your Christmas tree or other holiday decorations causes a fire in your home, your standard home insurance will cover the loss if you home is damaged or destroyed. Home insurance also covers smoke damage or any other property damage. Always check with your property insurance provider, as all companies are different. As an example of holiday hazards, in a 2016 New York Court Case, Tenant brought personal injury action against landlord, which was NYC housing authority, for injuries he sustained when he attempted to extinguish a fire from his Christmas tree in his apartment by grabbing the burning tree with his arms. The plaintiff’s argument that defendant breached a duty to the building by negligently performing its annual inspection of his apartment and failing to note that the smoke detector was no longer operational. The landlord, NYC Housing Authority, was not liable for the tenant’s injuries from the burning Christmas tree and the landlord’s negligence, if any, was found not to be the proximate cause of tenant’s injuries. As expected, just like every other forms of electricity, holiday lights can be just as dangerous and can lead to significant structural damage to you home as well as physical harm. If damage to your home occurs any time of the year, it is always best to reach out to your insurance company immediately for next steps. Contacting your local Construction Industry attorney is also a smart recommendation to put you on the track to restoration.