Panel: Downtown Incentives Need to Stay in Place

NEW YORK CITY-The looming expiration of various incentive programs at the end of the year was a hot topic during CB Richard Ellis’ Second Annual Downtown Market Forecast Breakfast. “The expiration of incentive grants is premature,” said Mary Ann Tighe, CBRE’s CEO, New York Tri-State Region. William Rudin, president of Rudin Management and chair for the Association for a Better New York, echoed her sentiments. “It’s important to encourage continued incentives. It’s critical.”

One company taking advantage of those incentives is law firm McKee Nelson, which signed a long-term lease for 67,000 sf at 1 Battery Park Plaza. The firm is presently in 25,000 sf at 5 Times Square, expects to move into its larger quarters in the spring of 2005. The leasing transaction was signed before the end of the year to take advantage of two Downtown incentive programs, one of which is the Small Firm Attraction and Retention Grant, which provides grants up to $3,500 per employee to organizations with less than 200 employees and is set to expire at the end of the year.

Matthew Barlow, executive vice president, John Johnson, managing director and Nick Farmakis, assistant director of Studley represented McKee Nelson in the 15-year lease transaction. Tom Keating of Rudin Management represented the landlord.