Principal at Charney Companies
Tell us about a deal that did NOT go through this year and why it didn’t happen?
There is a development site in Brooklyn that we went very hard for. We loved the location, basis and business plan. The seller had been negotiating with another buyer who had previously left them at the altar, but decided to continue with them even though our terms were better. You can lead a horse to water…
Have you refinanced anything in 2022? How diffiult/easy was it?
Refinanced quite a few deals in 2022. All refinances/recaps are complicated and difficult, but early 2022 was certainly easier than what we’re seeing right now. That being said, we locked in 2020 pricing on deals we are in the market on right now, so lenders are finding that quite attractive.
There’s a lot of Class B and C office in NYC. If you could lay your hands on them at a really great price, what would you do with them?
TEAR THEM DOWN. Most of these buildings are sadly obsolete at this point. They are too deep to convert, and ceiling heights aren’t the best. That being said, in a perfect world I would carve out courts and redistribute the FAR on top of the existing building.
What market outside of NYC do you like and why?
San Francisco. It has a lot of qualities that mimic the NYC economy and urban landscape, is a beautiful place to live, and has great food and wine!
There’s a midterm election this year. How closely are you following, and do you think the national political climate will have an effect in New York?
Sadly I do. We have become a polarized nation, a nation where people can’t even have a political conversation and proper discourse anymore. We need to start recognizing our similarities rather than our differences.
How many days per week are you in the office?
How many days per week are your tenants in the office?
Three to five.
NYC apartment rents have reached never seen levels. How much further can it go? How does the housing squeeze play out?
NYC is still the best place in the U.S. to live. If you are a young urbanite who wants to live in a walkable city with culture, diversity and the best of the best in terms of F&B and recreation, where else in the U.S. can compare? I think we are still underbuilt, and many who tried living elsewhere during the pandemic are coming back in droves.
ESG: fad or fixture?
Fixture, I hope. … We need to start focusing on saving the Earth before it’s too late.
“Please don’t make a building that looks like shit.”