Orange County's housing market is in a slump

Hot home market By Micahel Levensohn Times Herald-Record mlevensohn@th-record.com
Related stories• Home prices aren't falling, but real estate sales are• Home-buying lessons from a happy family Orange County's housing market is in a slump. Or maybe it's a correction, or a flattening out. Call it what you will. The days of sellers naming their prices are over. "We're having an adjustment period, which is typical after a sustained growth period like we've had," said Chris Scibelli, chief executive of Keller Williams Realty's Orange County operations. "We definitely see a flattening. At some price points, they're actually coming down." It's taking longer for houses to sell, particularly in the higher end of the market. In the past couple of months, "Just Reduced" signs have been popping up all over the place, although sometimes another euphemism is employed: "Price Improved," for instance. "There are more price reductions than new listings coming on the market every day," said Scibelli, who recently knocked $30,000 off the price of a Cornwall colonial, and landed a buyer almost immediately. Realtors say houses are still selling, and the numbers back them up. But more and more buyers are balking at price tags that were unimaginable even to sellers just a year or two ago. "I think there's some shell shock at the price of houses," said Robin White, an associate broker with Prudential Rand Realty. "I think some Realtors were a little more ambitious … in their pricing, and the buyers are saying no. They don't want to be house-poor. They still want to be able to buy furniture." It appears that buyers, on the whole, have reached the outer limits of their budgets, even with the benefit of historically low interest rates and liberal lending practices. "We're doing a lot of 100 percent financing programs. It's 100 percent financing, plus you can build in a 3 percent seller concession," said Jack Fanning, a mortgage consultant for Ulster Savings Bank. "I'm throwing around mortgage payments today of $2,000 like they're nothing." For years, local real estate prices have benefited from a perfect storm of conditions, notably cheap debt and relatively low prices compared to New York City and its suburbs. The median price of Orange County housing nearly doubled from 1999 to 2004, according to the Orange County Association of Realtors. Year-over-year, prices are still up more than 10 percent, but that increase reflects a big jump between the second and third quarters of 2004. In the three quarters since, Orange County's median price – the price at which half the sales are for more and half for less – has risen by an average of just 1 percent per quarter. "I think it's just a correction, just like the stock market has to correct itself every once in a while," White said. "It's a correction, not a crash." "Crash" might as well be a four-letter word in local real-estate circles, where folks who have been around a while recall the late 1980s, when the bottom fell out of the market. Some parts of the county didn't recover from that collapse for a decade. So, is this just a hiccup in a market headed for continued growth, or has the market topped out? Only time will tell. Industry insiders say they expect a return to more normal returns – maybe 5 percent annual price increases instead of 25 percent. "I don't see a 1987 in our near future … but I definitely would see some pressure on prices," said Ann Garti, chief executive of OCAR. "I would be a little cautious right now."

And Woodbury gets ?

07-29-05 Orange County Executive Diana To Announce $2.5 Million In Open Space Projects
Orange County Executive Edward A. Diana will hold a news conference 2 P.M., Tuesday, August 2, 2005 at The Brady Farm, Brady Road, Warwick, to announce projects that will receive $2.5 million in Open Space funding.
“Based on the recommendations of the Open Space Fund Review Committee and the Commissioner of Planning, I am pleased to announce the eight projects that have been selected to receive funding. Preserving valuable Open Space is of vital importance in making sure that Orange County’s great quality of life remains strong for future generations to enjoy,” said County Executive Diana.
For more information regarding this press release, please call Ann Marie Maglione, Staff Assistant to the County Executive at 845.291.2705.
The question I keep asking my self is why Woodbury is always left off the map? I mean our little town makes up about a 1/3 of all the taxes the county gets from the commons and the county does so little for us. We need our county Legislators to step up and get our fair share. Belive it or not as a town we carry three votes and cant understand why Warwick gets so much and we get so little?

At the outlet centers, occupancy rose 120 basis points to 99.2 percent, sales increased 7.3 percent to $426 per square foot, and average rent was up 7

NEW YORK, July 28 (Reuters) - Simon Property Group Inc. (SPG.N: Quote, Profile, Research) on Thursday said second-quarter funds from operations, a key profit measure, rose 30 percent, boosted by higher rents, sales and occupancy at its malls and outlet centers.
The No. 1 U.S. mall owner also raised its outlook for the year, and its shares reached a record high.
Funds from operations rose to $349.4 million, or $1.18 per share, from $268.5 million, or $1.01 per share, a year earlier. Analysts on average were expecting $1.12 per share, according to Reuters Estimates.
Revenue rose 28 percent to $756.3 million.
"The quarter was very strong, supporting our view that regional malls are the most attractive sector for investment," Bear Stearns analyst Ross Smotrich wrote in a research note.
Last year, Simon entered the high-end outlet business by purchasing Chelsea Property, which has centers in Japan and is expanding in Asia.
Since then, Simon has moved further into Asia. In April, the company said it would team up with Seoul-based Shinsegae Co Ltd. (004170.K: Quote, Profile, Research) and Shinsegae International Co. Ltd. to develop Premium Outlet centers in South Korea.
In May, Simon opened a regional office in Hong Kong. More recently, it teamed up with Morgan Stanley Real Estate Funds and a unit of Chinese state-owned Shenzhen International Trust & Investment Co. Ltd. to develop retail shopping center projects anchored by Wal-Mart Stores Inc. (WMT.N: Quote, Profile, Research) in China.
Funds from operation measure the operating cash a company generates by removing the profit-reducing effect depreciation -- a noncash accounting item -- has on earnings. The figure, which usually excludes debt restructuring and gains and losses from the sale of depreciable property, is accepted as a more accurate measure of performance for real estate investment trusts than net income.
Simon reported net income of $154.8 million, or 70 cents per share, available to common shareholders, up from $70.7 million, or 34 cents per share, a year earlier.
For the full year, the Indianapolis-based company said it expected funds from operations of $4.80 to $4.85 per share, up from its prior forecast of $4.75 to $4.82. Analysts on average forecast $4.84, according to Reuters Estimates.
Simon expects full-year net income of $1.67 to $1.72 per share.
During the second quarter, Simon saw occupancy at its regional malls rise 90 basis points to 92.2 percent, with sales up 5.5 percent to $442 per square foot and average rent up 3.8 percent to $34.16 per square foot.
At the outlet centers, occupancy rose 120 basis points to 99.2 percent, sales increased 7.3 percent to $426 per square foot, and average rent was up 7.9 percent at $22.83.
Occupancy at Simon's smaller shopping centers was unchanged at 91.5 percent. Sales rose 2.3 percent to $218 per square foot, and average rent increased 3.3 percent to $11.13 per square foot.
Shares of Simon hit a record high of $79.55, up 86 cents, or 1.1 percent, in morning

Who's fooling whom on Woodbury housing projects?

By Ralph Caruso In an article printed June 19, two large proposed housing developments for the Town of Woodbury are discussed. The developer, Bill Brodsky, believes the town should ensure that he turns a profit for his private business venture of developing property and building homes. He also wants a zoning change to high density housing to make his property more valuable, so it will command a higher selling price. Just think, he purchased the 178 acres for $3.5 million, or almost $20,000 per acre, and has a contract for an additional 220 acres to be added to the 178 to make up the entire parcel to be built on. Based on the purchase price of the 178 acres, if the 220 acres sells for $20,000 per acre then the 220 acres would cost $4.3 million dollars. The total cost of both properties would be about $7.8 million. If the zoning change is approved, it would add 276 homes to be built on the combined properties across from the Monroe Woodbury High School. It seems easy enough to estimate the increased value of this property, based on the increased number of proposed home sites, from 175 to 451, which relates to at least a 157 percent increase above the purchase price of about $7.8 million and about a $12.3 million profit. Add the profit to the purchase price and the property would be worth at least $20.1 million. Not a bad profit for what Mr. Brodsky calls a simple zoning change. Mr. Brodsky is responsible to make his own business profitable, but the Town of Woodbury should not be assuring Mr. Brodsky and his business a larger profit. If so, they would be called promoters and/or business agents and it would be wrong. Elected officials are representatives of the residents of our community first and must not blur the line that separates private enterprise from government. Mr. Brodsky says he wants to develop the property, and at the same time threatens us with consequences if this project is derailed, followed by an insult to our intelligence by saying, "This is not blackmailing." There are no guarantees Mr. Brodsky will follow through with his proposals. Keep in mind, after the property is rezoned to high-density housing, Mr. Brodsky would realize at the least a $12.3 million profit by selling. Keep in mind Ace Farm, 140 acres, which abuts the property Mr. Brodsky has proposed for a zoning change, sold last year for $12.7 million, or about $90,700 per acre. The numbers point to potentially a great deal of money to be made by Mr. Brodsky if he gets the zoning change he is demanding. No one can predict the actual selling price at this time; however, it's clear it would be significant. Mr. Brodsky purchased this property knowing that it is only zoned to build, at the most, 175 homes. It takes a lot of nerve for this developer to attempt to intimidate the officials and residents of our community because he wants to build more homes than are permitted. Mr. Brodsky must not be allowed to tell our town officials and residents how our town should grow so that he can make a bigger profit. Ralph Caruso lives in Highland Mills.

KJ gets 2M , woodbury none Thanks Hillary!

July 29, 2005Highway bill includes $11M for Rte. 17 By Paul Ertelt Ottaway News Service Peottaway@aol.com An $11 million allocation for improvements to Route 17 – the major artery through Orange and Sullivan counties – is among some $16.5 billion in federal highway and transit dollars slotted for New York over the next six years. The funding was approved yesterday by a House-Senate conference committee on which Sen. Hillary Rodham Clinton, D-N.Y., served. The House was expected to vote late yesterday on the $286.4 billion highway and mass transit bill, designed to create construction jobs in every state, with the Senate likely to follow today. The bill includes $10 million for upgrades to Route 17 in seven counties. There is also an additional $1 million for planning and design work for a project to widen Route 17 from four to six lanes from Harriman to Monticello. The highway is frequently congested in the summer and the situation is expected to get worse if plans for Catskill casinos come to fruition. The bill also earmarks $3 million for the City of Newburgh, including $1.5 million to build noise suppression barriers along Interstate 84 in the Meadow Hill area. There is also $1.5 million for upgrading traffic signals and paving. The bill also includes: - $2 million for improvements in the Village of Kiryas Joel, including road paving and new sidewalks. - $1.1 million for road rehabilitation at Sullivan County Community College, including rehabilitation of College Road from Route 52 to the Loop Road. - $1.04 million for improvements to the Kingston waterfront and $1.04 million for streetscape improvements in uptown Kingston. - $960,000 for beautification projects in the Village of Saugerties historic district. - $400,000 to build a visitor's center and other improvements at Sam's Point Preserve in Ellenville. The $16.5 billion figure for New York projects is roughly 19 percent more than the previous six-year package. That previous six-year package boosted New York transportation dollars by 43 percent. The deal finalized Wednesday would, near the end of the six-year program, guarantee each state receives at least 92 cents in federal grants for every dollar contributed to the Highway Trust Fund through gas taxes. The highly anticipated bill has foundered for two years because of disagreements between the House and Senate and a threat of presidential veto if the bill's total cost exceeded limits imposed by the White House. The Associated Press contributed to this report. Two million for sidewalks and roads has she ever driven on our town roads or rt 32 on a weekend when its shopping season. Its always about votes and roads are like blocks fix them she gets all them.

I wish

Chief county planner wants Stewart to be inter-modal hub
The Stewart Airport master plan update that is under review calls for bus and rail service to the Newburgh airport.
Orange County Planning Commissioner David Church, who will submit written comments about the master plan, said he would like to see the airport become an inter-modal transportation center.
“Our planning is looking to build links between the transportation system, be it plane, bus, train, cars and trucks, and we’re excited about the prospects of Stewart Airport serving as one of those inter-modal hubs,” he said.
Church is particularly enthused about the possibility of commuter rail service to Stewart, which he said could take some of the pressure off the overburdened Beacon Train Station, which has a waiting list for commuters who want to rent parking spaces.

Woodbury native gets part in 'The Sopranos'

By Germain Lussier Times Herald-Record glussier@th-record.com The next season of HBO's "The Sopranos," rumored to be the last of the series, doesn't start until March but a new cast member has already made a bold statement. "It's going to be the ultimate season in everybody's eyes, the culmination of the entire show," said Louis Gross, a 23-year-old Woodbury native who has been cast as Tony's new bodyguard. "Basically, Tony kind of takes me on, and I get to drive him and look out for him and stuff like that. That's about as much as I can say," he said. "There's a lot of dialogue and quite a few scenes, so it's going pretty well." Growing up on the Woodbury-Cornwall line right off Route 32, Gross went to Cornwall schools before transferring to Newburgh Free Academy his senior year. After graduating in 2000, he pursued a career as a fitness model until he decided he wanted to be an actor. "The acting side of the business is where the longevity is," Gross said. "I didn't want to just be another flash in the pan, in and out type of model." So he studied acting in New York and Cambridge, Mass. It paid off because after doing a couple of commercials, it only took three auditions to land the role on "The Sopranos." His good fortune is "a complete 180," from how this year began. Gross' older brother, Anthony, died of respiratory failure, and he himself was in a near fatal motorcycle accident. "Before that I didn't quite appreciate things as much," Gross said. "It's given me the incentive to go after my dreams." Gross is going to be in at least one episode of the show, directed by Steve Buscemi, with the promise of more. He's also auditioned for a role in "Fast and the Furious 3."

Every town has one

'You have learned well; now go forth and develop' By James Newton I've been wondering lately what the special requirements are for becoming a "developer." I've been introduced to a couple lately and even though they look perfectly normal, I've got a suspicion that there is some special difference between them and a person like myself. For example, apart from the obvious difference in our assets. I keep thinking that there must have been some special school or at least an extra course or seminar that I've missed. So I have begun a research project on my own to see how I can catch up and have all the correct phrases to use the next time I encounter a "developer." After searching the Web and contacting all sorts of schools of higher learning I really come up with … not much that will help me. I have, therefore, concluded that some higher power has visited selected folks with heavy pockets to be appointed to this level and they, therefore, are able to assume the title of "Developer." I believe that there is a questionnaire they are given and only the correct answers will allow one to qualify. On this questionnaire are some of the following questions: - Does the sight of a tree-covered mountaintop with little or no human footprints cause you sleepless nights? - Does the sight of a grass-covered valley with perhaps an old farm make you head for the latrine with great urgency? - Do you drive miles to avoid the sight of a pretty lake nestled on the edge of one of these mountain roads and dream that same night of McMansions placed strategically all around the shoreline? - Do you have uncontrolled Patagonian/LL Bean visions that you are the answer to right all that's wrong with "open space"? If you have answered "yes" to all of the above then in the dead of the night, when you least expect it, a great booming voice will say to you: "Go forth, my son, (don't forget your checkbook) and suggest change for all you see, for yours is the touch of a Developer. You have my blessings, for you have passed this questionnaire with flying colors. Tell those whom you encounter that you have a vision, that changing the landscape is what the people need and have wanted and were waiting for you to come along (now show them the questionnaire with all the correct answers). "Pave the way by giving charitably to all the 'locals,' offer to provide housing for their elderly and, of course, don't forget to provide 'workforce' housing for those who might not get it (your plan, that is). In your greatest spa/resort vision, be certain that your plan contains the correct plans for 'wetlands,' 'trail heads,' and man-made ponds (everyone knows that those are better; we can put them where we want them). "When you pose for the photograph on the mountaintop with your right hand outstretched over all you survey, be certain to strike a biblical-like pose. You know, like the one I tutored Moses to have. I'm sorry I can't give you a shepherd's crook and a long robe. Maybe next time." "Keep looking out across that valley and remember, you are a Developer." James Newton lives in Livingston Manor, the site of a proposed development.

Check out Monroe

Planned Development Projects - Monroe NY
Henry Farms..........Lakes Road 116 lots/units
Bald Hill.....County Road 105 112 lots/units
Smith Farm*......Gilbert Street 121 duplex & single family homes
Shea Meadows/Polak Farms/Alex Smith III*/ Eagle Ridge/Leva Subdivision........Rye Hill Road Area 349 lots/units
Hidden Creek*..........Freeland Ave 156 lots/units
Chester Golf Club....Laroe Road 400 lots/units
Orchard Estates...Harriman Hts Rd 44 lots/units
Dutch Hollow Estates..Carol Drive 170 lots/units
Ace Farms - 140 acres recently purchased, to be developed by Kiryas Joel unknown # of lots/units *=Village of MonroeNote: Partial list and subject to change based on approvals/revisions Total Homes to be built: 1,057Total People: 4,700Total Children: 2,700
A Public Hearing - Hidden Creek Proposal took place on Wednesday December 10th 2003. The proposal is for 149 multifamily residential units in the Village of Monroe. We are wondering where the Creek will be "hidden" after they remove the proposed 14 acres of trees, and various wetlands? They claim these 149 units will only result in TWENTY TWO new children in the schools. Click here for the Draft Environmental Impact Statement for the proposed project

A great link

Has your evening or weekend been disrupted by a call from a telemarketer? If so, you’re not alone. The Federal Communications Commission (FCC) has been receiving complaints in increasing numbers from consumers throughout the nation about unwanted and uninvited calls to their homes from telemarketers.
Pursuant to its authority under the Telephone Consumer Protection Act (TCPA), the FCC established, together with the Federal Trade Commission (FTC), a national Do-Not-Call Registry. The registry is nationwide in scope, applies to all telemarketers (with the exception of certain non-profit organizations), and covers both interstate and intrastate telemarketing calls. Commercial telemarketers are not allowed to call you if your number is on the registry, subject to certain exceptions. As a result, consumers can, if they choose, reduce the number of unwanted phone calls to their homes. www.fcc.gov/cgb/donotcall

Trouble ahead?

Simon Property Tax Management
Our Mission- Our team's comprehensive knowledge of real estate and personal property issues enables us to represent the interest of potential clients throughout the United States. Simon Property Tax Management Has a Proven Record- Proven in the World's Largest Retail Real Estate Portfolio. As the property tax consulting arm of Simon Property Group, we were able to save $50 million in property taxes over the past two years for Simon and its merchants. We did it by devising effective tax management strategies . At times we teamed up with Simon Property Tax Management partners and experts who specialize in real and personal property valuation, and, when necessary, provide litigation support.
The Goal Is Simple: Increasing Revenue and Saving Money by reducing Property Taxes.
Whether it's real property taxes on malls, community (strip) centers, multi-unit residential, office buildings, warehouses, hospitality properties, manufacturing facilities, or vacant land, we provide the expertise to ensure fair and equitablereal estate valuation . And our experience doesn't stop there. We can also assist with personal property valuation, with valuation of high-tech machinery and equipment, store fixtures, and business furniture, and with sales and use tax audits.
Who We are and What We've Learned.
For forty years, the Simon™ name has been synonymous with retail real estate. Simon is the nation's largest developer of shopping malls as well as the nation's largest manager of retail real estate. In these capacities, we understand the impact of property taxes on profitability . We deal with it daily as we manage a network of assets totaling more than 175 million square feet of retail real estate in 37 states. Let Our Experience and Expertise Work for You.
In the U.S. alone, more than $200 billion in property taxes is collected each year. For many companies, soaring property taxes now impact company profits morethan income taxes do. And there appears to be no relief in sight, with more local and state governments turning to property taxes to increase funds to provide community services. The question is: Do you know if you're paying too much in property taxes? Our experience in more that 5,000 local and state tax jurisdictions, combined with our relationships with some of the most knowledgeable property tax expertsin the nation, is now available to you. Simon Property Tax Management Has Over 25 Years of Experience in Tax Management.

Property tax appeals
Personal property audits
Tax projections for budget preparation
Intangible property analysis for proposed sales or acquisitions
Tax document preparation
Litigation support and assistance
Court document preparation
Expert witness testimony
Sales and use tax audits

FYI

On October 14, 2004, Simon completed its $5.2 billion (including the assumption of debt) acquisition of Chelsea Property Group, Inc. Chelsea common shareholders received merger consideration of $36.00 in cash; 0.2936 of a share of Simon common stock; and 0.3000 of a share of Simon 6% Series I convertible perpetual preferred stock for each share of Chelsea common stock. In connection with the merger transaction, holders of limited partnership common units of CPG Partners, L.P., the operating partnership subsidiary of Chelsea, exchanged their units for common and convertible preferred units of the Simon operating partnership, Simon Property Group, L.P.
At closing, shares and units were issued as follows:
12,978,795 shares of Simon Property Group, Inc. Common Stock
4,652,232 Simon Property Group, L.P. common units
13,261,712 shares of Simon Property Group, Inc. 6% Series I Convertible Perpetual Preferred Stock (liquidation value of $50 per share)
4,753,794 Simon Property Group, L.P. 6% Convertible Perpetual Preferred Units (liquidation value of $50 per unit)
This was a taxable transaction to Chelsea common shareholders.
Chelsea operates as a division of SPG from its current headquarters in Roseland, New Jersey, with David Bloom, chief executive officer of Chelsea Property Group, and the Chelsea management team continuing their leadership roles. David Bloom has been appointed an Advisory Director of the Simon Property Group Board of Directors.
Chelsea Property Group is the leading owner, developer and manager of Premium Outlet® centers in the U.S. and Asia. Its portfolio includes 37 Premium Outlet centers (31 in the U.S., 5 in Japan and 1 in Mexico) located in major metropolitan markets such as New York, Los Angeles and Boston, and tourist destinations such as Orlando, Las Vegas and Palm Springs. As of December 31, 2004, the 31 domestic Premium Outlet centers were over 99% occupied and generated sales per square foot of $412. The portfolio also includes five Premium Outlet centers in Japan. The four centers that were open in 2004 are fully leased and generated sales per square foot of $821. Chelsea opened the fifth center, Toki Premium Outlets, in March, 2005, which is fully leased. The five centers are located near Tokyo, Osaka, Nagoya and Fukuoka.
Additional information on Chelsea properties may be found at www.cpgi.com
Click here for Information on Chelsea Property Group's Taxability of Dividends.

Another one

Developers' deception It's interesting to watch what concerns and biases can do to a community when used by a developer to try to sway politicians to get what they want. A property, once donated to a group that is thought to protect the community, then sold and currently held by a developer that implies that if he doesn't get the zoning changes he wishes dire consequences may happen. It's like your neighbor threatening that if you don't approve of his plans, he may turn his property over to others that may build _______. You fill in the blank, gas station, animal hospital, church, synagogue, mosque, firehouse, group home, chicken farm or whatever may be distasteful to you. There is no guarantee that if the change is approved, the property would not be transferred or annexed and those dire consequences would still happen. The developer should be ashamed of himself. Those in the community that support the developer should reconsider. Bob Mahran Monroe

No impropriety

Letters to the editor for July 15, 2005 No impropriety I am writing in response to a letter published July 1 by Donald Siebold of Highland Mills titled "Who's in charge?" where he asks if the supervisor or a builder is in charge of the Town of Woodbury. Would Siebold be asking these questions if the current supervisor was male? After all, how could a poor, female supervisor possibly stand up to a big, bad male builder? And add to that the fact the current Town Board has four women in total. Siebold's letter also indicates that there is some impropriety when he states, "It's all about the money." Hey, Don, if you have proof, bring it on! But let me assure the people of Woodbury that there is no impropriety. This merely is misinformation, repeated often, that certain individuals hope the public will believe. Siebold is a member of the Woodbury Republican Committee, whose chairman is Ralph Caruso. This committee did not endorse Sheila Conroy, the incumbent supervisor. They have endorsed no one for the office. Why? That is a question the public should be asking. Siebold's questions have been answered on numerous occasions at public, televised Town Board meetings. So, folks, it's on the record. What are you going to believe, suppositions presented by a political party committee member or the documented public record? Lorraine McNeill Council member, Town of Woodbury

Google Moon

Google Moon launches, literallyIntegrating and modifying Google mapping is one of the hottest trends in real estate these days, judging by all the folks who are doing it. Examples: Prudential Chicago, ApartmentRatings and - this just in - CondoBuzz.com, which is launching Google mapping technology with searching for condo buildings sometime this week. That's all very impressive, but here's a Google map that's literally out of this world: Google Moon. To commemorate the first moon landing, our pals at the search engine giant mapped the spots where the Apollo astronauts made their landings. "On July 20, 1969, man first landed on the Moon. A few decades later, we're pleased to cut you in on the action," they tell us.Janis Mara, Inman News

Woodbury should get a bigger share of the pot!

Orange County has a $43 million surplus in the bank


Orange County’s unappropriated fund balance carried over from last year is $43 million and that is not excessive, County Executive Edward Diana said yesterday. The county’s outside accounting firm, Bennett and Kielson provided a report to county legislators yesterday.

Diana, a Republican, said despite what Democratic county lawmakers are saying the surplus is not too big; however, he wants to use it to the county’s advantage. “Putting my budget together starting next week for 2006 we are certainly going to look at another property tax cut to give the property tax residents here another reduction,” he said. “I am sure we can do something.”

Democratic county legislator Jeffrey Berkman said his party has been calling for the cut all along. “We urge a property tax to be considered right now,” he said.

Legislator Thomas Pahucki, a Democrat, said the surplus is too great. “ Orange County government is a not-for-profit; we are not a profitable entity,” he said. “Unlike other businesses, we only tax what we need to run our programs, run our system.”

Democrat Wayne Decker said the trouble is the county’s whole system of budget analysis needs to be changed.

IF CHESTER COULD DO IT WHY CAN’T WOODBURY?

Broad View Estate Housing Proposal (Kings Highway, Across from Cold Springs Farm, Chester, NY)
Chester Town Board agreed to review the fair market value of the land once part of the Cold Springs Farm (known as Broad View Estates) as concerns raised about the proposal for new homes to be built on this particular hillside.
There has been discussions about protecting this scenic and historic hillside from the development for over a decade and by many new and long term residents from all sides of town. Many claim that this land has great resource value to the community including watershed protection, recreation opportunities, town landmark and biological diversity. In addition, it is centrally located in the Town of Chester, near the Municipal buildings including the Town Hall, Senior Center, Police Station and Library. It is highly visible for safety and convenience. The adjacent farm (Fury Brook) is on the State Registry of Historic Places and the Cold Springs Farm has applied for nomination. There is a great opportunity to link hiking trails to the land as well as walking/bike path from Sugar Loaf Hamlet, pass the municipal center then to the Village of Chester, which adds value and use of the land by the whole community.
The Preservation Collective was asked to assist in the discussion with the Town by the residents in the area. We first asked the town to consider alternatives to the current development plan including re-zoning, transfer/purchase of development rights, or state/federal preservation assistance.
See . http://thepreservationcollective.com/PDF/SaveChester.pdf
We also presented the town with ideas for alternative uses for the land in comparison to development. Our group put a great deal of time and effort into research and gathering public input in order to create a concept plan. We made a preliminary presentation/map of this proposal to the Board. In addition, we have made inquires into sponsorships and fundraising, all of which, we feel would benefit the board’s future discussions on this topic. Our proposals respect the open space, history, visual significance and scenic integrity of the site, as well as offer recreation for the community while preserving the view shed for us all to enjoy - unlike a residential subdivision of houses would have on this hillside.
Based on large public vote to save the land as Open Space for Public Use - the Town of Chester agreed to purchase the Broad View Estate land (formerly part of the Bairdlea Farm) for $4.4 million. The purchase preserved an easement to a groundwater well across the street in addition to gaining the wells already made at the site. In December, the owner is required to clean up dump material near the stream on the site. The town closed on the land in January 2005 with a 3.5% interest rate on the bond over 15 years.
The scenic view of this land from passerbies of Kings Highway has touched generations. Now the public will soon experience the beautiful panoramic views across the County when on the land.
Despite the fact that the impact to Chester taxpayers was not made clear to the public by town officials prior to the vote, it passed overwhelmingly. There was confusion as to the average cost per homeowner because it depends on their assessed value of their home (approx. 60% of market value) and then on the interest rate and the length of the bond plus the cost gets absorbed in the whole budget and will be offset by other revenue (i.e. sales tax). These numbers were not made final prior to the vote and an estimate was used in the budget. In addition, the town did not provide an analysis for those residents in the Warwick school district to show the alternative housing costs (school tax increases) vs. purchase. In the end, the town residents did not experience a significant tax increase as a result of this purchase as some anticipated.
For more information or if you have any questions, please call us at 469-1608 or email us at info@thepreservationcollective.com
The Chester Comprehensive Plan states that the town is under-serviced by between 43-230 acres of active and passive recreational needs. Based on build-out analysis, over 300 acres of additional recreational land should be acquired.
The town will conduct a master plan for Parks & Open Space over the next year to review current and future opportunities. The Preservation Collective supports this effort.
To add to the town’s future needs, it was announced recently that the Camp Monroe property (southern part of Chester) could be acquired as a condition of the subdivision approval process for a project titled Bellevale. More details to come at a later date.
Go to "What we're working on" to read more about The Preservation Collective's efforts to echo the concerns of local residents.

Transfer tax will preserve open space, Warwick officials say

WARWICK-There are two schools of thought on the proposed real estate transfer tax that is likely to be presented to Warwick voters this November.

One is that this money will improve the quality of life in Warwick by preserving more open space and enhancing the value of houses. The other is that homebuyers will look elsewhere — Goshen, Chester, Cornwall, Monroe, Vernon — to avoid yet another cost associated with buying a house.

The housing market could suffer. Residents may find themselves waiting longer to sell their properties because of the additional cost to live here. Warwick has been trying to preserve its natural beauty for years now. It has used federal and state money to buy the development rights to some local farms, leaving the land forever green.

Five years ago voters passed a purchase of development rights (PDR) law, allocating $9.5 million to supplement the funding. Two years ago, the town began its campaign to get the state to allow town residents to decide whether to impose a transfer tax on most properties sold in the town. Three weeks ago, the Legislature said yes, and last week legislators sent the bill to Governor George E. Pataki. Pataki has come out in favor of a transfer tax in the past, so Warwick officials doubt he will veto it.

This version of the transfer tax would allow the town to impose a .75 percent tax on all real estate transactions, with the proceeds going into the town's open space preservation fund. There are exemptions. The first $100,000 of the selling price of a home would not be subject to the tax. The first $50,000 of the price of land would be exempt as well. Someone buying a home for $400,000 would pay $2,250 in the transfer tax: .75 percent of $300,000, which includes the $100,000 exemption.

There are other exemptions as well. The tax would not apply to land sold to the government or transactions with agricultural, conservation, scenic, or open- space easements. It would not be applicable to purchases that modify a previously recorded deed nor to land sold at a tax sale. Bona fide gifts would also be exempt.


Many of the town's officials are in favor of the tax, including the town supervisor, Michael Sweeton, and the village mayor, Michael Newhard. They believe giving voters the choice is the way to go.

As with the PDR program already in place, Warwick town officials have said protected land will only make living in Warwick more desirable, as it has in other areas.

The town is in for a battle, though. For the most part, realtors oppose the tax. Marie Pennings, who runs the Prudential Rand real estate on Railroad Ave., said the voters of Warwick will reject it.

"At first I wasn't really calculating how much this will cost buyers," said Pennings. "But with the cost of houses in Warwick, it will be a substantial amount."

Pennings said Warwick has enough open space. And with the town zoning code calling for cluster houses, open space is part of every development.

"Every subdivision before the board will be deed-restricted, with acres of open space in the future," said Pennings. "We have plenty of PDR land already. We don't need to keep anymore open space in Warwick."

Sweeton is realistic. He knows this fee has met opposition from real estate professionals and builders before. He looks at it simply as a way for newcomers to contribute to what the town has worked to put in place.

For now, the town awaits the governor's signature on the bill. It will then draw up a proposition for voters to consider in November.n/Sharon/Kristen Ihde

D.E.C Public Hearing

The issues we are hearing today are very important and these laws will change Woodbury forever. I have always said that change is good along as it is change for the better. I live in Woodbury because it’s a great place to live and raise a family which is the same reason we all live here. We all came today because most of us all love where we live; we have two great parks, one of the best school district in the county, great neighborhoods, low crime which all adds up to a better quality of life.
A year ago this board came to you like today and asked for your input on us spending $140,000.00 on a new comprehensive plan. We told you the people that we needed to hire experts in planning to help shape the look of our town for years to come. As of today the plan is not done and we sit here now proposing five new laws which will make this town grow almost 25%. According to the times herald record Woodbury is the 4th fastest growing town in Orange County now with an increase of 13.70% since 2000. This new growth may jump us to first place still without our experts that we hired with your money telling us if we are making the right decision. There has been much talk about our master plan telling us we can do this now but that plan was done in the 1980’s and we all know life in Woodbury in the 80’s was very different then life in Woodbury today.
I would like to make this very clear that I respect all my fellow board members; they work very hard this town and spend many hours away from their families conducting town business. It’s not easy sitting up here but we do this because we all believe we can make a difference and better our community. But we also represent the people of Woodbury and I believe the residents on these five laws should be allowed to make their own decision. All of us up here ran on the platform that we are for open government well lets keep our word and allow the people to vote on these issues with a pubic referendum!

"As one of our founding fathers, Andrew Jackson, said, the people are the government. By enacting Initiative and Referendum, we will be ensuring that the people of this state play a more integral role in the decision-making process. Ensuring that the power is in the hands of the people is the best way to preserve the democracy that is a cornerstone of our country."
Initiative and referendum represents the very core of democracy – ensuring that all people have a voice in the democratic process. It is an idea grounded in the belief that power ultimately rests in the hands of the people.
For more than 100 years, Americans have used the Initiative and Referendum process to make changes in state and local laws. The guiding principle behind initiative and referendum is simple: when a Legislature fails to act on issues important to the citizenry, the people have the ability and the means to act on those issues.
Right now there are six property’s that fit into these new laws which means we could be looking at over 2500 new homes just on the passing of these new laws.
In closing I ask my fellow board members to let the people of Woodbury decide these five new laws! I leave with a quote from FDR
Let us never forget that government is ourselves and not an alien power over us. The ultimate rulers of our democracy are not a President and senators and congressmen and government officials, but the voters of this country.
Franklin D. Roosevelt

Who's in charge?

Who's in charge?
It's all about the money! After reading last week's article in the TH-R re: Home developer needs 450 homes, the residents of Woodbury should be asking, who runs Woodbury – Brodsky the developer or Conroy the town supervisor? Brodsky states that he can't make money with the current zoning, which allows approximately 175 homes and needs 450 units to make a profit. What was left out of the article was the fact that the Town Board put $150,000 in the 2005 budget (which the taxpayers paid for in their January tax bill).
This money is designated to pay for a consultant that the board hired to update the current master plan, which hasn't been done since it was adopted in 1988. Ask – why didn't the supervisor reject the developer's request? The fact is that the experts that were hired by the town have not yet finished collecting the data that is needed to make a recommendation.
Woodbury's future is at stake! What's the rush? Is it because Brodsky runs Woodbury and not Conroy?
Donald Siebold
Highland Mils

Get residents' input

Get residents' input
The following is in response to The Times Herald article of June 19, "For home developer, 450 is the magic number."
The developer, Bill Brodsky, has obviously put the Town Board in great fear and is trying the same fear tactics on our town residents.
This article is an attempt by the developer to push through a windfall for himself. Throughout the process, the Town Board has fallen for this shell game and has prevented our residents from asking their representatives any questions or having any meaningful public informational meetings for an exchange of dialogue on the proposed projects.
Sheila Conroy, the town supervisor says, "I happen to believe that this has merits worth looking at." I say to Conroy, if the development is worth looking at, why not go to the residents and ask for their input? Why not answer the question that has been asked since November: Why the rush to push this development project?
I know the feelings of the public, and they want dialogue. How do you know what our residents want unless you listen to them? Give them the opportunity of public input now, before it's too late.
Henry (Hank) Sullivan
Central Valley
(Republican Endorsed Candidate Councilman, Town of Woodbury)

For home developer, 450 is the magic

By Chris McKenna
Times Herald-Record
cmkenna@th-record.com


Bill Brodsky wants the people of Woodbury to understand his position.
He's trying to do right by their town with the gated community he's planning. At a time when citizens are fighting development and clamoring to save open space, he has offered to preserve large swaths of woods and fields off Dunderberg Road where he hopes to build 450 homes.
A tree buffer around the perimeter would maintain a rural veneer for neighbors and passersby. A chunk of "pristine" land in the middle would become a town park.
What's more, he and another developer are planning costly water and sewer improvements that would benefit the town.
All he asks in return is a simple zoning change, one that would let him build enough homes to cover the exorbitant land cost and make a profit.
But the Rockland County developer also wishes to make known that there will be consequences if his project is derailed by the chorus of criticism that's been rising to a crescendo since his plans were unveiled in November.
In short, the 398 acres he hopes to develop will be sold. And the new buyers, he says, will likely have much denser housing in mind, of the type seen nearby in the Hasidic community of Kiryas Joel.
"If it's not successful, and I can't work with the Town of Woodbury, what option does that leave me?" Brodsky asks during an interview in his Pearl River office. "I'm not going to be there. I'm going to sell out."
The fear of an expanding Kiryas Joel has become an abiding passion in Woodbury, especially since Hasidic developers bought a 140-acre farm just outside Kiryas Joel last year. Since that watershed event, many worry the land around Kiryas Joel will one day give way to the densely packed condominium buildings typical of the 1.1-square-mile village.
Now, for the first time, that anxiety animates a different type of development conflict, one in which Kiryas Joel plays no direct role but is invoked as an alternative opponents might object to even more.
"This is not blackmailing," Brodsky says, recognizing how his pitch might come across. "I'm here to do business with the Town of Woodbury to give the best possible product I can give."
Critics have murmured about the implicit threat they perceived as soon as Brodsky's Carteret Group and BNE Associates of Livingston, N.J. – which hopes to develop a site called Legacy Ridge – jointly filed requests last year for zoning changes that would allow 731 combined homes in the two gated communities they're planning.
But with opposition to the requests consuming politics in Woodbury, and candidates from both major parties gunning to unseat incumbents in the Town Board election in November, Brodsky is now defining the stakes in more explicit terms.
"We really don't have active conversations right now with the Hasidic community about selling, but we've been approached, and we were approached again recently," he says. Later, he adds: "There are only so many times that I can tell the other side I don't want to do business with them."
He and another Rockland developer bought 178 acres of his project site in 2003 for $3.5 million. He won't say how much the remaining property, roughly 220 acres, would cost. He is under contract to buy that land.
The problem, Brodsky says, is that "the other side" has bid up the price of land. That means he won't recoup the cost of his property and make a profit if he adheres to the current 2-acre zoning. He has asked the Town Board to drop the minimum lot size to 1 acre, which would enable him to build 450 homes instead of 175.
Sheila Conroy, the town supervisor, agrees the land is too expensive for 2-acre zoning. She says she's willing to consider smaller lots because the town master plan recommends them if central water and sewer service become available – which is what Brodsky is proposing.
But opponents scoff at Brodsky's explanation.
"He says he's not going to make a profit," says John Burke, who's challenging Conroy for supervisor in November. "The question is, when you go from 175 to 450 homes, what kind of profit do you want to make?"
What would seem to give Brodsky's threat to sell his land some potency is its proximity to ACE Farm, the 140-acre property that Hasidic developers bought for $12.7 million through a frontman in 2004. His site abuts the farm – and land owned by another Kiryas Joel group.
But opponents of his project are unmoved, ostensibly because the full scenario – concluding with the construction of condominium buildings – relies on a sequence of suppositions:
1. Hasidic developers buy Brodsky's property after he gives up.
2. Kiryas Joel then seeks control of its zoning – along with that of surrounding properties – through annexation or the creation of a new village.
3. Kiryas Joel fights Woodbury for the property in court and wins, opening the way for high-density development.
Burke, stopping the scenario at step one, says, "If you sell it to the Hasidics, or you sell it to anybody, you can still only build 175 homes."
Even if it goes further, he doesn't accept that the land would necessarily become part of Kiryas Joel.
"Whoever's going to try to do it," he says, "they're going to have one heck of a dogfight on their hands."
His side worries that changing zoning for Brodsky and the New Jersey developer will set a precedent that will help Kiryas Joel.
"ACE Farm is then going to be developed in an urban, high-density fashion," says Darleen Reveille, who's running for Town Board on Burke's ticket. "I don't care if Brodsky sells it to K.J. What do I care, as long as they build at the current zoning"
Conroy replies that the town's lawyers say granting the zoning requests "doesn't weaken our position" with regard to Kiryas Joel.
For now, four of five board members support continuing environmental reviews to evaluate the potential impacts of the zoning changes Brodksy and the New Jersey developer have requested.
But those requests will likely still be pending in November when three board seats are up for election, enough to shift the consensus. In the meantime, opponents from both parties are calling for greater citizen input before the process advances. Burke recently submitted petitions, signed by 480 people, demanding public information sessions.
Conroy, weathering a storm of criticism, insists the two proposals have merits and deserve the board's careful consideration. She is particularly interested in the offer of roughly 400 acres of dedicated open space, land she says the town could never afford to buy at today's inflated prices.
A former Planning Board chairwoman well-versed in environmental reviews, Conroy believes the process will yield the detailed answers critics are demanding – clarifying for all if the two projects are indeed in the town's best interests.
"All I can do is just be as open as I can," she says. "I happen to believe that this has merits worth looking at. We can't have reactionary, knee-jerk reactions to things."
She acknowledges the proximity of Brodsky's land to ACE Farm is a factor the Town Board must weigh. But she won't speculate about whether the board would be considering the zoning requests if the farm hadn't been sold last year.
"Things have kind of changed," she says. "You can't go back now and say, 'What if?' That's the new reality."

Chris McKenna is a reporter for the Times Herald-Record. He can be reached at cmckenna@th-record.com