Hal Fetner
CEO at Fetner Properties
Are you going to buy in `25? If so, what asset class?
We have every intention of buying in 2025 as we are continuously bullish about New York City. We’re currently working on several multifamily deals and hope they will come to fruition. We are currently looking at a possible repositioning of a partially completed project, as well as buying another project where Fetner Properties can provide some value add and, again, reposition it in the marketplace. We understand and love New York City and consider ground-up, semi-finished and older housing stock when we look forward to the new year.
Is there a single “good” sign you see in a distressed property that makes you want to buy it?
We look for opportunities where our multifamily skill set can assist in lifting a project up. For us, distressed might simply be a developer not as nuanced with city agencies, and we have been asked in the past and continue to be asked to help with those types of projects.
What real estate or tax policy would you like to see from a Trump administration?
SALT, SALT, SALT. Responsible tax policy that also encourages long-term investment, which could include tax credits, restoration of SALT and brownfield redevelopment.
Do you ever see yourself building normal, middle-class rentals again? What would stop you?
We haven’t stopped looking for opportunities to build housing in New York City and are currently building in Long Island City and Manhattan. We’ve been, and continue to be, very bullish about NYC across all income bands for the very simple reason that all the fundamentals are here — education, culture, transportation. There’s a reason young professionals want to live in New York City.
Which market (outside of NYC) do you like best?
We’re staying with what we know. Why leave the greatest, most dynamic multifamily market in the United States? It’s a market we know well. We know the governmental agencies, have figured out the financing, and we’ve been good at building here. Why would I want to work elsewhere?
What’s going to be your biggest expense in 2025: Capital, insurance, labor, land or supplies? Something else?
All of the above. The uncertainty in the insurance market continues to be a challenge, and debt is certainly a concern. We are proud of our investment in sustainable technology, and that is a considerable, but well worth it, expenditure.
How’s the financing climate for new development and redevelopment — hot, cold or just right?
Nothing is easy today, but with a good track record that has been built on a reputation for good projects and good investors, it certainly is easier than coming in without an established resume. We have a high conviction in New York City multifamily because of our expertise, and our capital partners appreciate our track record.
What are your predictions for the mayor’s City of Yes, especially given the controversies within the Adams administration?
Like cream, good ideas tend to rise to the top. I am putting my trust in the City Council to recognize that we need creative thinking to resolve this housing crisis. We are producing housing on a per capita basis below Indianapolis. City of Yes is innovative and creative, and can spur housing that we desperately need. If politics that has nothing to do with housing and everything to do with great sound bites play a factor here, the losers are going to be the residents of New York City.
We need more production of housing. It is not much more complicated than that. We need to put more supply into the marketplace.
Do you still like Eric Adams? (Did you ever like him?)
Yes, I do. I think he is a good business mayor. Whatever issues he is dealing with have nothing to do with the fact that he came up with City of Yes. Mayor Adams understands the importance of growth with the City of Yes, and, for that we should all be appreciative.
Lightning Round:
Social media of choice?
Instagram, but it’s a guilty pleasure. I want to know what my daughter in California is up to.
AI: Helpful in CRE or a fad?
I ddn’t know if it’s helpful, but it’s not a fad.
Last movie you saw in a theater?
“A Real Pain.” My daughter worked on it. Nina and I went in East Hampton with the actors, including Jennifer Grey and Kieran Culkin.
You’re going on a six-month expedition into the Amazon. What’s your last meal before you get on the plane?
Lox and bagels, or chicken parm from Pietros (RIP).
Tesla or BMW?
Lucid.
Will interest rates be below or above 4 percent on July 1, 2025?
Next question. Or, if I knew the answer, I would change my response on buying in 2025.
If you could partner with one person, who would it be?
My son Alex joined the firm two years ago. I have my dream partner.
What are you tired of talking about?
The election.
