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<title>Manhattan Homes Inc. War Stories RSS Feed</title><link>http://www.manhattanhomesinc.com/index.html</link><description>New York City Real Estate</description><dc:language>en</dc:language><language>en</language><dc:creator>info@manhattanhomesinc.com</dc:creator><dc:rights>Copyright 2009 Manhattan Homes Inc.</dc:rights><dc:date>2009-05-12T07:52:32-07:00</dc:date><admin:generatorAgent rdf:resource="http://www.realmacsoftware.com/" />
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<lastBuildDate>Sat, 20 Aug 2011 14:24:16 -0700</lastBuildDate><itunes:explicit>clean</itunes:explicit><item><title>The Board Supremacy</title><dc:creator>info@manhattanhomesinc.com</dc:creator><dc:subject>&#x7c; War Stories - - True Tales &#x7c;</dc:subject><dc:date>2009-05-26T15:23:38-07:00</dc:date><link>http://www.manhattanhomesinc.com/page25/files/595bb8e9641a75bbbd402c071cfa92ab-10.html#unique-entry-id-10</link><guid isPermaLink="true">http://www.manhattanhomesinc.com/page25/files/595bb8e9641a75bbbd402c071cfa92ab-10.html#unique-entry-id-10</guid><content:encoded><![CDATA[Last night I attended another one of those great REBNY (The Real Estate Board of New York) Inside Secrets of Top Brokers seminars.   The panel consisted of four real estate attorneys (attorneys are brokers, too, you know), and the subject was "Deal Makers/Deal Breakers: Legal Titans Speak Out"...and speak out they did.   With all the anecdotes, questions, and answers, my own synapses began to fire.   (Yes, it was me who asked if we're required to make a disclosure when a property is haunted).


It has been said that when we face death (our own) we enter a series of five mental stages as defined in the K&uuml;bler-Ross Model.   When death is unexpected and very imminent there often occurs another stage called "the retrospective" or so-called "watching your life flash before your eyes".   Well, listening to these guys was like being pushed out of a plane without a parachute, and my many past adventures brokering real estate started to hit me pell mell.


When I began this website in 1998 our original navigation bar was the 5 W's, i.e.   "Who, What, Where, When, Why (and How)" compliments of Rudyard Kipling (or was it Doris Day in "Teacher's Pet"?).   Since then we've added a few more W's--just look to your left, folks--and yesterday's seminar inspired me to add yet one more which we will call "War Stories..." and here's its first entry:


This is an easy one to pass along since my client later told the story on The Late Show with David Letterman.   I had found a wonderful place for this well-known actor, but in a co-op, which meant dealing with an admissions committee.   It had been a tough deal from the start especially when another offer arrived from a different buyer, and for $400,000 more.   In this particular case I was the buyer's broker and successfully convinced the seller and his broker to go with my person even though it was for less money.   The details of how I did this will remain a trade secret, but I will say it was in large part a matter of understanding the seller's concerns and addressing them in the best way.   Anyway, we got the contract signed, the board package completed, and were only awaiting an interview.   Unfortunately, when the call came, my Oscar winning buyer was down in Georgia filming a movie directed by another Oscar winner--a heart throb in his own right.   When I called to tell him it was time to come to NY, he was conflicted.   Now understand, this guy was a real sweetheart, brought up right, super smart, selfless, (and a great impressionist, too--his "Mike Tyson" had us rolling on the beautiful hardwood floors).   The trouble was he was in the middle of shooting and didn't think he could leave.   I told him he really had little choice and urged him to try and make it happen.   The story goes (as later told to David Letterman) he had to go to the director to try and explain the situation.   He was apprehensive about what the response would be, but as soon as he mentioned it was regarding a board interview the boss said "hold it right there, say no more, we recently bought our own co-op and you absolutely MUST go; when a board calls, you answer...it won't be a problem, we'll shoot around you for a day or two".   So, with a nice jacket, a chartered jet, and a pre-interview broker-client briefing at The Mercer, we completed our deal a few days later.]]></content:encoded></item><item><title>Smile&#x2c; you&#x27;re on candid camera</title><dc:creator>info@manhattanhomesinc.com</dc:creator><dc:subject>&#x7c; War Stories - - True Tales &#x7c;</dc:subject><dc:date>2009-05-24T21:03:51-07:00</dc:date><link>http://www.manhattanhomesinc.com/page25/files/79e4286eacda04a6e2fab557ccb28208-12.html#unique-entry-id-12</link><guid isPermaLink="true">http://www.manhattanhomesinc.com/page25/files/79e4286eacda04a6e2fab557ccb28208-12.html#unique-entry-id-12</guid><content:encoded><![CDATA[Though I was originally licensed in 1966, I didn't start selling real estate in NYC until the early 80's.   Under the tutelage of Neil Binder (a smart guy) at Bellmarc Realty I thought I had learned my craft well and even carried a certain je sais tout and not the more appropriate je ne sais pas attitude.


On this particular day I was working on a new co-op deal when the attorney for the buyer requested seeing the minutes of co-op Board's meetings.   I know this is standard today, but in the early to mid 80's, and in my experience, it was unheard of.   I challenged the attorney on this request, saying I had never had such a request and what was he trying to pull.   He was a good attorney, calm and willing to set me straight.   "Well, Leigh", he said "that may have been the case up to now, but you'll see, you're going to get this request from now on, and it's because of me."   I asked why.   He then told me this story: He had recently been hired to represent another buyer on the purchase of a co-op on West 12th Street (some of you will remember this building).   He did his usual due diligence, the contract was signed, and the title eventually passed.   A few weeks after closing he received a certified letter from a new attorney for the buyer threatening to sue him for malpractice.   What was going on?   A few days earlier a big news story broke concerning this building.   Apparently there was a doctor on the first floor who was treating AIDs patients and the building was trying to evict him.   This was at the height of public paranoia when some things were known but many people still chose to believe their own set of truths--like the disease could be caught through the plumbing, from eating Chinese food, etc.--some really wild stuff--but anyway, the purchasers felt an attorney should have know this controversy was going on and informed them.   He asked how could he have known and they said the board had been trying to evict the doctor for months and it had been discussed ad nauseam during board meetings.   Very simply, he should have known by reading the minutes.   He confessed to me, "You know, Leigh, they were right".   I asked what happened next.   He told me he had to meet with the partners at his firm to tell them the bad news.   One of them mentioned he'd heard about the whole mess on the 6 o'clock news a few days earlier and reporters were interviewing tenants going in and out the building.   Well, there was a brief silence, they all looked at each other and he tore out of the room to head for the TV studios.   Apparently, this particular purchase had been made by parents for their daughter who had just moved to the Village.   Sure enough she had been interviewed on TV and the interview went something like this: "Oh, this is so ridiculous, what are these people complaining about, there's absolutely nothing to worry about, this is all so unfair, I just LOVE my new apartment, it's so wonderful, my neighbors are the BEST, I LOVE living here,"...and on and on.   "So, what did you do?".   "Well, I requested a video of the interview, I taped my business card to the cassette, and sent it to the other attorney, certified, no cover letter, just the cassette.   I never heard another word from them after that...  But, never again."   Sure enough, every deal I had after that day included a request to review the minutes of the Board, the word got around real fast.
]]></content:encoded></item><item><title>Ulcer City or &#x22;Contract? We don&#x27;t need no stinkin&#x27; contract&#x22;</title><dc:creator>info@manhattanhomesinc.com</dc:creator><dc:subject>&#x7c; War Stories - - True Tales &#x7c;</dc:subject><dc:date>2009-05-23T21:45:55-07:00</dc:date><link>http://www.manhattanhomesinc.com/page25/files/60cf20121493d7935e00578bdfd282b4-13.html#unique-entry-id-13</link><guid isPermaLink="true">http://www.manhattanhomesinc.com/page25/files/60cf20121493d7935e00578bdfd282b4-13.html#unique-entry-id-13</guid><content:encoded><![CDATA[When I first entered New York City real estate it was with a fledgling Bellmarc Realty.


There was one office and a motley crew of brokers best described as the magnificent seven +, or the wild bunch depending on your point of view.   Many of today's familiar names were there.   Gil Neary, owner of DG Neary was one (did you know his real name is Mark, but he had to "choose" a different first name to not conflict with Marc Broxmeyer, one of the partners).   Gil was a former designer, a very funny guy, and the best at helping buyers envision an apartment's potential.   We had a former tennis pro, Patrick Lilly, now a star with Coldwell Banker Hunt Kennedy.   There was Dan ("no problem") Levitan, today's Managing Director at Manhattan Mortgage.   Mary Ferraro from Halstead was there.   Others included a former funeral director/licensed embalmer, an actor (not so unusual these days), a horse syndicator, a disco owner who had been a millionaire and pauper many times over, a flaminco dancer, and my future business partners James Queally and John Gaw--James had owned a Charter Boat service in St.   Thomas and was a licensed captain, John was an attorney...and poor Marc Broxmeyer and Neil Binder having to manage the whole lot.


But to the ulcer part: I had just gotten a great new listing on Perry Street.   It was in the construction stage with the Sponsor working as owner, architect and developer (he still owns the Penthouse there).   I had started to work in Murray Hill and was required to work in tandem with one of the "Greenwich Village" people to do any deals below 14th street (office policy).   Alex, one of the new guys had a buyer who was interested, and when it came time to negotiate the deal we setup a buyer-seller sit-down at a local restaurant.   In the course of the meal the prospective buyer and Sponsor discovered they were both Yalies, and things got quite chummy after that.   They agreed on price and at the end of the meal stood up, shook hands and went their separate ways.   Great.   The next day we called the buyer to get his attorney's name to start generating a contract.   The buyer said "What contact?".   "Uh, you know, to purchase the apartment."   "Guys, Bill and I shook hands, we don't need a contract."   "Right" (in the Bill Cosby sense).   Freaked, we called the Sponsor to tell him what this nut was saying, but his reply was "Yes, that's right, we shook hands, we don't need a contract."   I tell you, as the brokers we just had to go ahead and accept this.   What was really tough was this was pretty much a pre-construction deal, we were not scheduled to close for another 5 months, and that represented a lot of stomach acid for me and Alex, and there was no Nexium in those days.   However, when the closing date finally arrived, both buyer and seller appeared, passed title to the apartment, and shook hands, again.]]></content:encoded></item><item><title>A blast from the past</title><dc:creator>info@manhattanhomesinc.com</dc:creator><dc:subject>&#x7c; War Stories - - True Tales &#x7c;</dc:subject><dc:date>2009-05-22T22:27:54-07:00</dc:date><link>http://www.manhattanhomesinc.com/page25/files/284135489fe248c5b276882129fe25b3-15.html#unique-entry-id-15</link><guid isPermaLink="true">http://www.manhattanhomesinc.com/page25/files/284135489fe248c5b276882129fe25b3-15.html#unique-entry-id-15</guid><content:encoded><![CDATA[The brokers downtown are a curious lot and prone to show unusual interfirm camaraderie.   One friend who is now a very successful broker in San Francisco used to have his own firm here in NYC.   At one point he decided to go corporate and took a job as manager of the recently acquired Chelsea office of one of the big uptown firms.   A few weeks into his tenure he gave me a call to pick my brain about a situation that had arisen with one of their deals.   They were already in contract on a loft on West 15th Street.   I knew the building well having sold there, and this particular apartment was very quiet, faced north, and had pleasant views over the gardens that belonged to the buildings across the way.   The loft owners had already moved out and the closing was a week away.   The incoming owners were anxious to move in and asked the sellers directly if they might have their floor guy come in right away and refinish the floors.   The sellers had agreed but my friend was thinking this might not be a good idea and wanted my partner's and my opinion.   Our response was "ABSOLUTELY NOT", the potential liability issues were pretty scary to say the least.   He agreed and decided to pressure the sellers to withdraw their offer, which they did.


But now (in the words of Paul Harvey) for the rest of the story.   A few weeks later we got a call from our friend to tell us what he'd just heard: The closing had taken place on a Thursday, that Friday the floor guy came in and did the floors.   On Sunday a woman who lived across the way did what she did every Sunday: picked up her Sunday Times, grabbed a cup of coffee, and came out to the garden patio to sit in her lounge chair and read the paper.   This Sunday her phone rang and she went inside to pick it up.   A couple of minutes into the conversation there was a loud bang followed by an incredible racket.   The woman put down the phone to see what had happened and when she returned to the patio her lounge chair was buried under a pile of glass and bricks.   Apparently, the floor guy had left the apartment windows closed, the fumes had built up over the weekend, and on Sunday morning the pilot light from the stove finally set them off, blowing out the back of the building sending debris onto the gardens below.


...  Can you say "consensus decision-making".
]]></content:encoded></item><item><title>And then there was none</title><dc:creator>info@manhattanhomesinc.com</dc:creator><dc:subject>&#x7c; War Stories - - True Tales &#x7c;</dc:subject><dc:date>2009-05-22T13:35:49-07:00</dc:date><link>http://www.manhattanhomesinc.com/page25/files/c644613464aea58c57b1fa33e3e10401-14.html#unique-entry-id-14</link><guid isPermaLink="true">http://www.manhattanhomesinc.com/page25/files/c644613464aea58c57b1fa33e3e10401-14.html#unique-entry-id-14</guid><content:encoded><![CDATA[This anecdote was the first "war story" published in the DBA Newsletter back in the early 90's.   The buyer's broker was Gil Neary of DG Neary and the seller's broker was my partner James Queally.


Our sellers were fun, and very cool, an entertainment manager/producer and his wife who also produced and was a prolific writer.   My kind of people--60's hippie folk--but also very "LA" (read: a curious blend of high energy and "manana" rolled into one).   Gil brought us a nice young woman who became our buyer, and everything proceeded without a hitch.   However, on the day of the closing we met for the walk-through ready to see the broom clean floors and test the appliances.   Instead, we were shocked to see the owners still sitting there with all their furniture, etc.   Were the movers due to arrive momentarily and complete the move while we were at the closing?   No, our buyers just figured we would close that day and they could take a week or so to move out.   Uh, no, that's not how it's done...so, we rescheduled.


At the next walk through, things were much better, the van was outside almost fully packed and the place empty enough to satisfy the buyer and for us to head for the closing.   The next day James got a call from Gil who asked him to come over to the apartment immediately.   James asked why, and Gil answered "Don't ask, just get over here, you have to see this".   The apartment was in a townhouse just down the street from Gil's offices and within a few blocks of ours.   When James arrived, Gil was there with the new owner who did not look happy.   On entering the apartment (this was a wonderful 1800's floor-thru with all the original details) James noticed all the owners' stuff had indeed been removed, unfortunately, so was all the apartment's hardware, door knobs, latches, the works, you couldn't even open some of the doors without a screw driver.   Now please understand there was no maliciousness here on the part of the sellers, they simply thought doing this was okay, and no one thought it was necessary to inform them otherwise.   What was even more unfortunate was they were in a U-haul somewhere between New York and California and we were unable to contact them for days (I think we finally got the call from outside Phoenix, nearly a week later).   They of course were surprised and very apologetic, and immediately sent all the stuff back via UPS, but what a hassle (to use our shared 60's jargon).
]]></content:encoded></item><item><title>May divorce be with you</title><dc:creator>info@manhattanhomesinc.com</dc:creator><dc:subject>&#x7c; War Stories - - True Tales &#x7c;</dc:subject><dc:date>2009-05-20T22:30:55-07:00</dc:date><link>http://www.manhattanhomesinc.com/page25/files/86c920fabd893423a824ed508bd93d52-16.html#unique-entry-id-16</link><guid isPermaLink="true">http://www.manhattanhomesinc.com/page25/files/86c920fabd893423a824ed508bd93d52-16.html#unique-entry-id-16</guid><content:encoded><![CDATA[Back in the late 80's I was called by a middle aged couple who had lived in rentals all their lives but were ready to take the plunge and finally buy.   The wife had been appointed to a high position in the city government and purchasing had become financially feasible.   It was a big deal for them and their looking style could best be described as ultra-meticulous.   As is often my method, I had them invite me to see their present home to get a sense of their personal aesthetic.   It really helps in the matchmaking process.   They had accumulated few possessions but did have two adorable, but elderly, dachshunds who were clearly "their children" and the most important things in their lives.


After establishing their parameters I found an apartment on West 10th Street which I thought would work well.   They made their usual thorough inspection--even looking inside the refrigerator.   After we left they turned to me and said "Leigh, it's wonderful.   We don't have to make any changes, it's perfect just the way it is."   I said that was terrific and they should make an offer.   They said yes but they didn't think I understood, they liked it just the way it was.   I said yes, I understood.   They said no they didn't think so, "We wanted it EXACTLY the way it is": they wanted all the furniture, they wanted all the art work, the curtains, the blinds, the wine rack, the wine in the wine rack, all the dishes, the silverware, everything, only the clothes in the closets were spared.   This, I figured, was going to be a big problem.   I'd been showing this apartment for a few weeks.   It was owned by a young couple.   Sometimes the husband would be there, and sometimes the wife, but never together.   This last time it was the husband and I returned to the apartment to give him the buyers' offer and their very unusual stipulations.   I was totally surprised when he said this was a good offer and probably not a problem--he would talk to his wife and get back to me.   The next day I heard from them and they had accepted the whole package.   Apparently, the sellers were in the midst of a very hostile divorce and neither was interested in keeping anything from their shared life together, so the deal was struck.   The sad conclusion to this story is that when the buyers went for their board interview, an obnoxious board member turned to them about 10 minutes into the interview and said "I see here that you have 2 dogs, well, you can keep one of them but you'll have to do away with the other."   The wife burst into tears and they walked out of the interview and, of course, were turned down.   Bad board behavior, I say; and not the last I'd see.
]]></content:encoded></item><item><title>Good-bye&#x2c; Mr. Chips</title><dc:creator>info@manhattanhomesinc.com</dc:creator><dc:subject>&#x7c; War Stories - - True Tales &#x7c;</dc:subject><dc:date>2009-05-20T13:43:54-07:00</dc:date><link>http://www.manhattanhomesinc.com/page25/files/70338ad944cd59135b580dc59bac3778-17.html#unique-entry-id-17</link><guid isPermaLink="true">http://www.manhattanhomesinc.com/page25/files/70338ad944cd59135b580dc59bac3778-17.html#unique-entry-id-17</guid><content:encoded><![CDATA[You must be willing to die in order to live.


--Amir Vahedi (professional poker player)


...or to paraphrase Huey Lewis (I knew him when he was Hugh Cregg and a freshman engineer at Cornell):  "The power of real estate is a curious thing, make a one man (or woman) weep, make another one sing".   For most people, purchasing a home represents the biggest investment they'll make in their lives (yeah, yeah, we've heard this all before).   When looking at properties the need for guarantees and perfection often becomes so intense that it thwarts any commitment to buy.   Cognitive biases run rampant in the decision making, and usually toward the negative, but the most glaring incongruity is when the anxiety of making a mistake causes one to make a mistake, which brings us to War Story #7 (others are viewable under "War stories--a sub-blog..." at left).


A few years back I had a well known academician and his wife looking to purchase a new home.   Their parameters as initially presented were simple, and we started to view some appropriate properties.   The wife seemed easy to please, but with each new place the husband introduced some new criterion to be added to the mix: more charm, please; higher ceilings, please; more light, please; make that south light, please; etc., and finally, can we get a nicer view, please.   Well, I believed I'd found the perfect place and told them so, and we set up an appointment.   They insisted on bringing a friend who was a "real estate expert" (and control freak of the highest order).   We HAD to go there in this friend's car, and he proceeded to regale me with his "expertise" intermingled with negative statements about brokers and how they were the scum of the earth, etc.   I don't know what this guy was thinking but...no problem.   The property I had chosen was incredible.   It was a loft with high ceilings (which they wanted), it was in Tribeca (which they wanted), it had exposed brick and wood beams (the kind of charm they had described); the fellow tenants were great (a couple of years later I remember showing Suzanne Vega's penthouse a few floors above to the remarkable composer/lyricist Marc Shaiman and director Scott Wittman along with their confidante Bette Midler--and her little Jack Russell, too); and there were three bright exposures through 10 windows and incredible views of the WTC and the Statue of Liberty (satisfying the most recent criterion submitted by the husband).   When we walked in the wife's jaw dropped, the "expert's" jaw dropped, and I thought I had a winner for sure.   I then turned to the husband, his face had turned red and he started to sweat profusely as he looked at what was before him.   Then, without saying a word, he walked over to one of the 4 huge windows facing the Statue of Liberty, opened it, stuck his head out and looked straight down at the ground and proclaimed, "But this space has no views"--honest to God.   The wife looked at me in apologetic horror, the expert rolled his eyes, and I realized what was going on, and declined to show them anything else after that.


I just don't feel comfortable selling to people whose anxieties are such a determining factor when choosing their path through life.   I do understand and respect anxiety and have had more than my share, but the bottom line is the people I've seen who make the best real estate decisions do so based on analyses free of bad heuristics and with little influence from their anxieties.   The couple above did eventually buy (not through me), but what they bought lacked most of the things they wanted (it was a smallish "dungeon" half underground, and one, which over the years, appreciate at about half the rate of the place I'd shown them).   I think what happened here was their final decision was probably made on a day where everything was going right:  great things were happening at work and at home, the weather was beautiful, a book or paper was accepted for publication, etc. i.e. minimal anxiety was present, and this ruled their decision and not the property's attributes.


--LZ  (any comments can be emailed to us at webitorials@manhattanhomesinc.com, thanks).]]></content:encoded></item><item><title>Elements of Style</title><dc:creator>info@manhattanhomesinc.com</dc:creator><dc:subject>&#x7c; War Stories - - True Tales &#x7c;</dc:subject><dc:date>2009-05-19T15:48:39-07:00</dc:date><link>http://www.manhattanhomesinc.com/page25/files/f381fc5953b693b7c19d586befe4771c-19.html#unique-entry-id-19</link><guid isPermaLink="true">http://www.manhattanhomesinc.com/page25/files/f381fc5953b693b7c19d586befe4771c-19.html#unique-entry-id-19</guid><content:encoded><![CDATA[I never struck a woman in my life, not even my own mother.


--W.   C.   Fields


Before coming into real estate, I seldom wore a jacket and tie and to my mind suits were for job interviews and funerals.   I was more of a tie dye kind of guy and managing rock bands had followed a different convention.   Now my new situation called for dressing up and I was willing but not ready, so I went to Barneys for a couple of jackets, some nice slacks, and my mother found me a tie--something she picked up at a thrift shop near Sarah Lawrence where she taught.   I had been wearing this tie for a few weeks and on many appointments when, on this particular day, I noticed my customer kept staring at my chest while I expounded on the stylistic elements of the apartment we were viewing.   When there was a pause, she looked at me and said, "Leigh, do you know you're wearing a McDonalds tie".   Peering down, I was mortified to see my tie's design, which I thought was just a design was in fact a repeating pattern showing the Golden Arches--obviously a tie used by management at the burger franchise.   What could I do?   I cursed my Mom, and revived my customer's desire to work with me when I quickly asked her if she wanted fries with her co-op.]]></content:encoded></item><item><title>Is that a fireplace or are you just glad to see me?</title><dc:creator>info@manhattanhomesinc.com</dc:creator><dc:subject>&#x7c; War Stories - - True Tales &#x7c;</dc:subject><dc:date>2009-05-18T16:19:47-07:00</dc:date><link>http://www.manhattanhomesinc.com/page25/files/23f624a88746296191ea1cc765861672-20.html#unique-entry-id-20</link><guid isPermaLink="true">http://www.manhattanhomesinc.com/page25/files/23f624a88746296191ea1cc765861672-20.html#unique-entry-id-20</guid><content:encoded><![CDATA[In late 1990 Manhattan Homes Inc. was contacted by an attorney for the estate of acclaimed artist Keith Haring who had died of AIDS related complications earlier that year.   As many of you know, Mr. Haring, who started as a "subway artist", had become and remains a prominent figure in the international art scene, and an advocate for social issues as expressed through his work and the Keith Haring Foundation.   His death was a great loss on many levels.   (You can find an in-depth look at his life and work here).


Part of Mr. Haring's estate included an extraordinary Penthouse he had purchased just north of SoHo.   It was a scissored duplex with a wonderful roof deck and a number of interesting upgrades made by the artist.   One of the first people to see the apartment was a lovely woman working with my partner, James.   She was an editor at Newsweek Magazine and no stranger to Mr. Haring's work, or for that matter, all things aesthetic (she would later go on to become Editor of Martha Stewart Living magazine).   The improvements made by the artist were tasteful and well-crafted but one "improvement" was particularly personal in nature: the fireplace.   The artist had decided to redo the mantel, legs and lintel of this fixture.   After applying a composite he etched in numerous representations of what could most delicately be described as the body part exclusive to the male of our species, with each example surrounded by Haring's characteristic sunbeams.   Our gal was unfazed and loved the apartment and a deal was struck.   When it came time for the condo to be appraised a special issue arose.   The unit had additional value because of its provenance, already a difficult factor to evaluate, but how could the appraiser incorporate the value of the fireplace?   Mr. Haring's works now often sell north of $100,000, and this "sculpture" already had great value back then.   The fireplace was part of the apartment and also part of the artist's body of work.   The real estate appraiser was at a loss so our next call was to Christie's Auction House to come and make an appraisal.   The final unit appraisal delivered to the bank contained 2 documents, the original appraiser's evaluation and stapled to that, the Christie's appraisal; and the loan was subsequently approved.


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]]></content:encoded></item><item><title>Occam&#x27;s Razor</title><dc:creator>info@manhattanhomesinc.com</dc:creator><dc:subject>&#x7c; War Stories - - True Tales &#x7c;</dc:subject><dc:date>2009-05-17T07:10:30-07:00</dc:date><link>http://www.manhattanhomesinc.com/page25/files/ac14660d672d10361d675a96acf414e1-22.html#unique-entry-id-22</link><guid isPermaLink="true">http://www.manhattanhomesinc.com/page25/files/ac14660d672d10361d675a96acf414e1-22.html#unique-entry-id-22</guid><content:encoded><![CDATA[As you travel on through life, Brother, whatever be your goal,


keep your eye upon the donut, not upon the hole!


&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;--Anonymous, and as seen at the Mayflower Coffee Shop, White Plains, NY


A few years back I got a listing above Barnes and Noble on Lower 5th Avenue.   The B&N building had always been a favorite of mine since childhood.   It was one of my stops when leaving my suburban sanctuary to visit NYC (along with the Museum of Natural History, F.A.O. Schwartz, and the Manhattan Chess Club where I remember getting trounced by Bobby Fischer, an intimidator of the first order who, just before the kill (actually about 6 moves before the kill) pointed to a piece and rhetorically ask "Why is this knight different from all other knights?"   [sic...in more ways than one]).   Also, my mother had worked for Mr. Barnes as a clerk and translator during World War II while pregnant with my sister.    Twenty years later my sister returned as a young adult to work there with some of the same employees who had last "seen" her in lump form.   Twenty-five years after that she returned again to see copies of her first book put on display.   Evidently this building held great Karma for my family and now I had a chance to do my fifth sale there.   Each unit is exceptional and my four previous sales there had gone off without a hitch--I was hoping number 5 would be no different.


A fellow broker who worked with her husband at the Corcoran Group had a son who was about to be married.   Mom and Dad loved the apartment and thought it would be a great first home for the newlyweds.   All went well until a couple of days before the contract signing.   Then the buyer's brother, knowing there was a large restaurant across the street, said he thought there had to be a loud racket every morning around 4:00 AM when the garbage was being picked up.   The buyer felt this would be unbearable and couldn't live there under such conditions.   I asked if his brother had actually ever been around to hear the noise he was talking about.   He said no, but they all assumed he was right.


When trying to move from theory to reality Occam's Razor states one should not make more assumptions than the minimum needed, and this was one assumption ready to be converted from conjecture to a known truth.   I asked the buyer and his fiancee what were their plans for 3:00 AM that coming morning, and they said to be asleep of course.   I invited them to have a picnic in the apartment instead--the owners were no longer living there--and they agreed.   So, that night we all returned to the apartment in the early hours (my wife brought lots of coffee, some donuts and other goodies) and the four of us sat there talking about marriage, information technology and doing renovations until the garbage trucks arrived.   The noise simply proved to be negligible, and it was also agreed the cinnamon apple spice donuts were the best with the raised sugar glazed coming in a close second.
]]></content:encoded></item><item><title>Take a Load Off Fanny</title><dc:creator>info@manhattanhomesinc.com</dc:creator><dc:subject>&#x7c; War Stories - - True Tales &#x7c;</dc:subject><dc:date>2009-05-15T21:00:50-07:00</dc:date><link>http://www.manhattanhomesinc.com/page25/files/2c8fdac188ecf797b42a93351f61f1f9-23.html#unique-entry-id-23</link><guid isPermaLink="true">http://www.manhattanhomesinc.com/page25/files/2c8fdac188ecf797b42a93351f61f1f9-23.html#unique-entry-id-23</guid><content:encoded><![CDATA[Once I was working with a couple who had a specific budget and a very clear idea of what they wanted.   Unfortunately, and as with so many, "what they wanted and what the market would bear were two different things" (a classic Neil Binderism).   It has always amazed me how often this maxim holds true and at all levels of the market.   The $400,000 studio buyer likes the studios that cost $550,000, the $1,200,000 two bedroom buyer is only satisfied with units that cost at least $1,500,000, and even the $7,000,000 townhouse buyer is only moved by places priced at $10,000,000 or more.   As such, the successful buyers are usually those who determine where they're willing to compromise and then adjust accordingly...but not always.


In this particular case I found a listing that was perfect for this couple.   As expected it was priced way out of their range.   The seller was a big gun in commercial real estate, a wealthy guy, and his apartment was a penthouse he had recently renovated.   Being in the biz he had the best construction people available, and seeing as how it was his own place the renovation was, as we say, museum quality.   Most recently, he had met and married a young stewardess who was now pregnant and they had purchased a house in Scarsdale.   My sense was he was eager to start a new chapter in his life and would probably be very flexible if someone actually made him an offer. 


I spoke with the prospective buyers and told them, despite the price, I really thought they should come and take a look.   If it had been in a neighborhood they didn't want, I couldn't change that, if it was too small, I couldn't change that, if it didn't have enough light, I couldn't change that, but this place was perfect and I told them the only thing that wasn't etched in stone was the price.   They refused.   I started to insist, explaining all it had to offer, and asked that they trust me--there was nothing to lose, but they were adamant and even threatened to go use other brokers if I didn't drop the subject.   People are strange sometimes, thinking they'll be tricked in some way rather than thinking about exploring the potential and allowing good things to happen, or not.   A very wise old man (that would be my old man) once told me a story about a guy at a party who sees a very attractive woman across the room.   He walks over to her and says "why don't we go to bed."   Taken aback the woman responds "My God, you must get slapped by a lot of women for saying that" to which he replies, "Yes I do, but I also get to sleep with many women."   You get the point...but apparently they didn't.


What did happen is a few weeks later we sold the apartment to a young attorney.   She was house counsel for one of the top magazine publishers in the country.   As you might expect she was aggressive in her approach and negotiated a deal that was nearly 30% below the asking price...and such a deal.   But that's not the end of the story.   A month or two later I got a call from the wife of my original couple.   She called to tell me they had recently visited a friend who had just purchased a wonderful apartment that would have been perfect for them, and this friend had only paid such and such for it.   Why hadn't I taken them to see it?   Well, it was the exact same penthouse and I reminded her of our conversations and how I wanted them to come and see it and how they absolutely refused.   There was a brief silence, and then she started screaming, cursing and ripping into me about how I should have shown it to them, and how they would have paid $30,000 more than what their friend paid, and on and on.   In thirty years of doing real estate this is the only time I've ever hung up on someone.
]]></content:encoded></item><item><title>Bad Beats:  When Boards Behave Badly</title><dc:creator>info@manhattanhomesinc.com</dc:creator><dc:subject>&#x7c; War Stories - - True Tales &#x7c;</dc:subject><dc:date>2009-05-15T11:55:22-07:00</dc:date><link>http://www.manhattanhomesinc.com/page25/files/0b689fadbe2a1d18562c089b47d993cb-25.html#unique-entry-id-25</link><guid isPermaLink="true">http://www.manhattanhomesinc.com/page25/files/0b689fadbe2a1d18562c089b47d993cb-25.html#unique-entry-id-25</guid><content:encoded><![CDATA["Few players recall big pots they have won -- strange as it seems -- but every player can remember with remarkable accuracy the outstanding tough beats of his career."--Jack King in Confessions of a Winning Poker Player


If you're a regular reader of this blog you already know I'm an avid tournament poker player.   I got interested in No-limit Hold'em after finding homes for both Ben Affleck and Matt Damon.   Ben is a great player who won the California State Poker Championship's Main Event (worth $356,400) a few years ago, and Matt played in the final event of the 1998 World Series Of Poker after honing his game while filming Rounders (IMHO, the best poker movie ever made).   I sold Matt his place a few years after he did the film and had a chance to talk with him about poker, and coincidentally, a couple of years later sold the Chelsea Commons Bar townhouse where some of the filming took place.   (BTW, the new owners of this townhouse have replaced the old bar with a new restaurant called Trestle on Tenth (it's at 10th Avenue and 24th Street) and I highly recommend it for a great eating experience...dining in the garden is a delight). ...  What you gain must come from someone else's loss, and in the end one person has all the chips.   What's nice about trading real estate is that it is not a zero sum game, and creating win-win situations for buyers and sellers is not uncommon.   However, in co-op sales there is a third party in each transaction: the co-op board whose approval is needed to complete the sale.   Unfortunately there are times (though infrequent) when a potential win-win-win situation is scuttled by poor judgement on the part of the board or an individual board member (see "May divorce be with you").   Don't get me wrong, the vast majority of boards know there business and do it well, but on occasion one or more members will act poorly. 

...I had sold many "loftments" in this building when it converted and some re-sales after that. ...  On this first deal we supplied an excellent admission package, a few days later our applicant got a call from the president telling him he needed to abide by their requirements and supply all his financial information. ...  "No, you haven't and if you don't it will result in an automatic rejection".   Our buyer said he didn't understand what was the problem and to please feel free to call his accountant who will "give you whatever you want".   The president called the accountant and again accused him and his client of withholding information. ...  When I heard about this from my agent on the deal, I asked him to get a copy of the package (vs. ours) from the board to see what they were talking about.   When I received the financials it was immediately clear what had happened.   They were a pro forma that had been done on accounting  paper. ...  The managing agent who had received the originals kept them and made "copies" for all the board members. ...  The error had been made by the building's managing agent but the damage was done, and the president in his rage and insecurity continued to be ruled by a set of heuristics and biases that led to unfair treatment of the buyer.   Anchoring, conservatism bias, focusing effect, irrational escalation and ultimately his bias blind spot made him unable to properly respond or adjust to what had taken place and our guy (who was eminently qualified) was the victim and rejected--a real tragedy.


Round two: our next deal in the same building (a different unit) was with another very nice guy.   I felt a little safer on this one because it was a co-broke with a broker who actually lived in the building.   The new buyer had a long time girlfriend who lived with him and this was noted on his application.   When his board interview came, he reminded them that he had a girlfriend living with him and although she was not going to be a shareholder--but would be a neighbor--would they like to meet her, or not--it was really their choice. ...  I know what transpired next, not only from the buyer, but because it was confirmed by my co-broker who was at the interview, but of course abstaining from voting.   The interview was going well, but there was one woman who continually stared at the girlfriend.   At one point the president asked if anyone else had any questions.   The staring woman said "Yes I have a question, but my question is for the girlfriend." ...  "I'd like to know, are you going to be contributing anything to the costs of this apartment OR are you just a kept woman?" ...and things went downhill from there.   Our buyer and his girlfriend did keep their cool, but I think the others were so embarrassed that rather than apologize or have to live with someone who had been treated in this manner it was easier to reject them and not have to think about it ever again--pretty irresponsible.   My buyer was okay with it because he didn't want to live with these people, and my fellow broker decided to move out of the building shortly thereafter.


...The buyer was a professional woman who was receiving some help from her parents who lived on Long Island.   This was not a problem for the building but they did want the parents to be co-owners and they had to submit all their information along with their daughter's for the board package.   About a week after the application was given to the managing agent the father heard a knock at his door in Glen Cove.   Standing there was a man with a clipboard who said he was with the managing agent and needed to ask him some more questions.   This visit was totally unannounced but our guy accommodated him, and let him into the house. ...  He looked around and found him wandering around upstairs going in and out of rooms taking notes on the artwork etc.   Our guy was a little freaked by this but stayed cool and they returned downstairs and had a seat.   Next the managing agent started to ask some additional questions, but they weren't "additional" questions, they were the same questions that had been asked on the original application.   About ten questions into this our buyer mentioned he had answered all this before and why did he need to do this again.   With a very stern face the interviewer said cryptically "Believe me, you have to answer these questions, again." ...  On reviewing the whole experience over the next few days, the buyer and his family became so incensed by the inappropriateness of this behavior that they did not interview well and were rejected.


The last board debacle I'll mention (at least in this post) occurred with this same building a few year earlier.   We had a deal; the buyer was wonderful; the interview went off without a hitch; and then, the buyer was rejected.   It was a complete mystery until a few weeks later when the buyer ran into the board president.   The president told him, "Just so you know, and I'll deny I ever told you this, but we thought you were great and would be a terrific neighbor.   The seller however, is a son of a bitch and we've all agreed to reject the first three buyers he brings in...sorry."   This was a bit too vindictive for me, and totally unfair to the buyers who were putting so much time and money into the process, and acting in good faith.
]]></content:encoded></item><item><title>If it walks like a duck and talks like a duck&#x2c; chances are...</title><dc:creator>info@manhattanhomesinc.com</dc:creator><dc:subject>&#x7c; War Stories - - True Tales &#x7c;</dc:subject><dc:date>2009-05-14T07:08:15-07:00</dc:date><link>http://www.manhattanhomesinc.com/page25/files/69b1cfb77e1f3f5bc904d8538ec2e268-26.html#unique-entry-id-26</link><guid isPermaLink="true">http://www.manhattanhomesinc.com/page25/files/69b1cfb77e1f3f5bc904d8538ec2e268-26.html#unique-entry-id-26</guid><content:encoded><![CDATA[I was working with a beautiful young actress who was engaged to an equally beautiful young man.   A nice loft had become available on 23rd Street that would suit their needs, so I made an appointment with the owner to show it to them.   The owner mentioned neither he nor his wife were home during the day but their nanny would be there with the baby, and would let me in.


My gal arrived without her fiance but with a girlfriend who was also a looker (in the non-real estate sense).   We were buzzed up and the nanny came to the door to let us in.   She was clearly bothered at having to do so and didn't even make eye contact but quickly returned to the living room as I started "the tour".   When we got to the living room there were five strollers lined up in a row with five babies in various states of repose.   Gathered around the TV were five nannies watching one of those daily daytime dramas.   As we passed by and around them it was as if we didn't exist so intense was their concentration on what was unfolding on screen.   I took a glance at the TV and immediately saw my client in bed with some studly guy.   I looked at her and she winked.   We walked into one of the other rooms and then back out to the living room.   At this point the owner's nanny looked up to see if we were done.   She looked at me and then my client, then the TV, then the client, then the TV again and then quickly rose and came over.   The client didn't say a word.   The nanny said "You know, you look just like [the character's name on the soap they were watching]".   Keeping a straight face, my gal said "You really think so?".   "Yes, and you know you're voice sounds just like her voice."   "It does?".   "And your hair, it's just like her hair".   "Your right, it does look like hers."   Finally, and now starting to hyperventilate the nanny asked "Are you [my buyer's real name]?"   With a big smile, she said "Why yes, yes I am".   As this was all happening the other nannies had each started to turn around and with this last answer they all sprang up and came running over.   It was clear they "lived' with these people on the TV and they were beside themselves, cooing and asking for autographs (and what was going to be happening next on the show--was she going to stay with her "boyfriend"?, had she really sleep with his brother?   and so on.   She was very accommodating, signing autographs and talking with them.   Then just as things started to calm down a little, her friend came out of one of the bedrooms and my client said "Oh, this is my friend you might recognize her, she plays...   "You sister!"   they all exclaimed, and they ran over to her, too, for an autograph.   It really was quite the scene.


Ultimately, my client didn't buy this the apartment, but from then on the nanny gave me the royal treatment every time I came over to show the place.
]]></content:encoded></item><item><title>Never judge a book by its cover</title><dc:creator>info@manhattanhomesinc.com</dc:creator><dc:subject>&#x7c; War Stories - - True Tales &#x7c;</dc:subject><dc:date>2009-05-13T10:53:03-07:00</dc:date><link>http://www.manhattanhomesinc.com/page25/files/193caa2ede4ea88d8a6204e80d5d8083-27.html#unique-entry-id-27</link><guid isPermaLink="true">http://www.manhattanhomesinc.com/page25/files/193caa2ede4ea88d8a6204e80d5d8083-27.html#unique-entry-id-27</guid><content:encoded><![CDATA[I believe this axiom was meant to imply if something appears to be wonderful on the outside it may in fact be otherwise upon deeper investigation, but what happens when the opposite is true?


I learned this early in my career when a young woman called in search of a studio.   The problem was her budget was so small that nothing was available in her price range, at least not in Manhattan.   Rather than dismissing her I remained on the phone and talked with her for nearly half an hour explaining the buying process, what she should expect, how to find a good broker who could help her, etc.   She was very appreciative and I wished her good luck.   About four months later, I got a call from a gentleman who told me his niece had spoken with me a few months earlier, and that I had been so nice and helpful.   I remembered her and asked him how she made out.   She had found an apartment and was all settled, but the reason he was calling was because he was looking himself and she had recommended me (even over the broker she eventually used to buy her place).   I said I'd be happy to help, what was his price range?...it was in the high seven digits.


Candace from our office had found a modest penthouse in the village for a nice unassuming gentleman ...no big deal.   A few months later she got a call from him to thank her again and to say his sister's daughter, an actress, had a boyfriend who was looking to buy, could we help.   Sure, send them on over.   The next day I escorted the tall handsome buyer and his blond girlfriend over to Candace's desk.   "Candace this is John and Daryl", ...you can fill in the blanks. 


In my early days at Bellmarc, I remember Dan Levitan was sitting in the office when a very young unshaven guy with a knapsack, long hair, torn jeans and sandals walked in.   Dan went over to tell him that we didn't do rentals, only sales.   The guy said "Oh, I'm interested in buying something."   Skeptical but polite, Dan took him to his desk and started to ask the usual questions.   When he got to price range the guy said around a quarter million.   This was in the early 1980's, and that was the price of a townhouse.   Dan was momentarily caught off guard and blurted out, "But can your really afford that?" ...the money was in the knapsack.


The next example, involved another very young man.   My partner James got a call from this buyer who claimed to want a penthouse downtown.   He looked fresh out of college and even had his college roommate come along to inspect the properties we were to show him.   His budget was huge and James was as skeptical as Dan had been, but this guy's name was so familiar that we investigated further.   Without revealing who he was, I can tell you we discovered he came from one of New York's wealthiest families and young as he was, already sat on the Board of Directors of one of the top privately held companies in the world.   To give you an idea of the respect held for this family, the loan he applied for was almost 50% higher than the actual price of the penthouse we sold him (he "wanted to do some work on it"), and the full commitment letter arrived within 3 days of application.   We later heard a fellow broker had thrown his name in the garbage after meeting him and "judging the book by its cover".


My favorite one of these stories involved yet another young guy fresh out of NYU who came to me looking for an apartment in a well established building.   He claimed to be a writer of children's books.   I had already learned my (don't judge a book) lesson, and took him to the Brevoort East just off of Fifth Avenue in the Village.   He loved the apartment which was being sold by an older couple retiring to Florida.   When I submitted his offer, the owners who had met him at the showing questioned whether he was really capable of buying--he was so young.   They actually put the fear in me so I decided to look into it further.   Hmmmm, a writer of children's books, I headed over to Barnes and Noble (see "Occam's Razor"), and asked to see one of those big red books that lists everything published.   When I found his name (thank God) it was not only there, it took up a whole page with dozens of books.   This guy was apparently a prodigy who had written his first book when he was 12, was already published when he was 14 years old (he's now published over 55 books to date) and had received 3 major book awards before I even met him.   I will spare you any puns or double entendres about judging this particular book by his cover.
]]></content:encoded></item><item><title>To Dream the Impossible Dream</title><dc:creator>info@manhattanhomesinc.com</dc:creator><dc:subject>&#x7c; War Stories - - True Tales &#x7c;</dc:subject><dc:date>2009-05-12T07:52:32-07:00</dc:date><link>http://www.manhattanhomesinc.com/page25/files/9e1989afaba7cc9aec6ff36c9f61251d-28.html#unique-entry-id-28</link><guid isPermaLink="true">http://www.manhattanhomesinc.com/page25/files/9e1989afaba7cc9aec6ff36c9f61251d-28.html#unique-entry-id-28</guid><content:encoded><![CDATA[John from our office had found what seemed to be the perfect buyer.   She had money, plenty of time on her hands, and was committed to finding a new home.   When he found a possible candidate and called, she'd be there in a flash.   They would see apartments a few times a week and she would take him out to lunch afterwards to discuss the pros and cons.   Sometimes he would reciprocate and take her to dinner after an evening showing and they would review what they'd seen.   They also talked of other things.   At one point she even encouraged him to consider dating her daughter.


This buyer always kept copious notes on everything she saw, and on the days John wasn't available she would have plans to meet with other brokers and view whatever they had to show her.   (This was not unusual or inappropriate in those days because there was no common database and customers would work with a few brokers at a time to cover the whole market, and we all knew and accepted that.)   All this activity was helpful and John felt he knew exactly what her apartment ideal would be.


This went on for a few months and then one day he saw the perfect place.   He quickly called her to say he'd found her dream home.   She was very excited and came over immediately.   Walking into the apartment her face lit up.   She walked from room to room, clearly in awe.   Finally she turned to John with a huge smile and said, "You're right, this is perfect, it's absolutely perfect."   John was so pleased and told her to put in an offer right away.   "But, I can't."   "Why not??"   And with pain in her voice she answered, "John, because...because, then the search would be over."


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