2nd Quarter 2006
ECONOMIC & BUSINESS
Monroe County – In 2005, the population of Monroe County dropped more than it had in 15 years. The only upstate NY County to lose more than our 6,620 residents was Erie County. Regardless of the drop for last year, the overall population has maintained since 1993 due to peaks and valleys. (3/17)
Paychex – Paychex Inc. missed Wall Street expectations by 1 cent in the 2006 fiscal third quarter, reporting record net income of $114.5 million. Total revenue of $430.6 million was up 15.2 percent from the same quarter 2005. Expectations for the close of the fiscal year at the end of May are growth of between 14 and 16 percent in revenue and growth of 24 to 26 percent in net income. (3/29)
RenSquare – One square block on East Main St. between North Clinton Ave. and St. Paul St. will become the largest and most expensive development initiative in Rochester history. Although construction won’t begin until late 2007, nearly all the public money needed to start has been secured. The facility could open in late 2009, and would include an MCC campus, a performing arts center for traveling Broadway shows, a separate theater for community groups, and a bus terminal. At the time of this article, the county was accepting proposals for a consultant to lead a private fundraising drive to add to the project’s current $193 million in funds, and had not yet laid out the details of who will run the facility or handle operating costs. (3/30)
Constellation – The Perinton-based company purchased Vincor International, Canada’s largest wine company, expecting to see sales growth both locally and internationally. Quarter total sales were up 1%, net wine sales were down 3%, and imported beer net sales were up 20%. (4/7)
Housing Sales – Although the first 2 months of the year showed signs of house sales slowing down, March numbers have Rochester moving ahead of 2005. Prices were up 3 percent in March over the same month last year. (4/14)
Port of Rochester – A plan is in the works to reuse the terminal building that once serviced the Fast Ferry, for the Lake Ontario Natural Resource Center. The proposal would include a research and educational center, aquarium, restaurant and retail tenants, as well as keeping accessibility for a future ferry or other passenger ships. Current estimates reflect a required investment of $175 million and approximately 15 years of development. (4/21) Plans for a 30-acre development surrounding the terminal building, show various structures such as townhouses, apartments, park space, restaurant, retail, office, and a parking garage. (4/27) One of the developers involved in the project, Mark IV Construction, estimates the total cost of developing the port area at $120 million, and is extremely optimistic about the possibilities. (4/28) Rochester Business Journal refers to a final master plan for development of the Charlotte port expected by the end of May. Everyone involved would like to find a way to make the most use of both water and land to draw people to the area. Commercial appraiser, Kevin Bruckner, stated that it is a great area, but currently underdeveloped. The refined master plan includes 545 residential units, 30,000 square feet of retail space and over 1,500 parking spaces. One challenge faced is the lease of the resource center building to Maplestar for 40 years at $1 per year. The city is looking for a way to change the lease and make it a better deal for the citizens. (5/19)
M&T Bank – Citibank’s 21 branches in upstate New York have been acquired by M&T Bank Corp., making them the market share leader in Rochester and Buffalo. (4/26)
Fast Ferry – The Spirit of Ontario was purchased by Euroferries Ltd. for $29.8 million. Money borrowed from city insurance reserves will be repaid in the amount of $7.5 million, debt of $40 million will be repaid to Australian lender EFIC, and the city will be left with a debt of just under $20 million. (5/4)
Housing Sales – Compared with last year, April housing sales were flat. Observers say that inventory is high and demand is strong regardless of rising interest rates. In March, the Rochester market still did better than the nation as a whole. (5/11)
Eastman Kodak – In the market for digital cameras, Kodak dropped to third in the U.S., for the first time since 2004. The drop was somewhat expected, since the company announced in Jan. that it would focus on digital imaging. Kodak chairman/CEO, Antonio Perez states that they are on track to complete the transition to digital photography next year. (5/11)
Housing Prices – The quarterly National Association of Home Builders/Wells Fargo Housing Opportunity Index has Rochester ranked 15th among the top 20 most affordable housing markets in the US. (5/18)
Nothnagle – The area’s largest residential real estate company, Nothnagle Realtors, has acquired Coachman Properties of Greece. (6/1)
Xerox – Xerox Corp. has won a contract to provide document management services to the nation’s largest manager of prescription drug benefit programs, Medco Health Solutions Inc. Financial terms of the seven year deal were not disclosed. (6/12)
OFFICE
Penfield – Zoning issues are being addressed regarding a proposed development on Route 250 across from Target. The current zoning of the property is business-nonretail, while developers are proposing office buildings with some retail along the front. They are not seeking rezoning, however, they are asking the Town Board for approval to allow retail uses consistent with a limited-business zoning. Also included in discussion were landscaping buffers, drainage, and traffic concerns. The next step will be a meeting between developers, Town Board, and neighbors to discuss details. (3/16)
Perinton – Syracuse-based management company, Widewaters Group, has sold the Woodcliff Office Park to, HRPT, a Massachusetts real estate investment trust. Widewaters, in an unrelated deal, purchased the nearby Lodge at Woodcliff. Widewaters is moving away from office parks and toward hospitality, owning hotels in several core areas of the Northeast. The Lodge at Woodcliff had been owned since its origin, 19 years ago, by Peter and Jon Heinrich, who are near retirement. (3/17)
Genesee Hospital Site – Buckingham Properties, the potential buyer of the old Genesee Hospital campus is working on a plan to demolish the hospital building and replace it with a new development that could potentially include office, retail space and housing. The 16-acre site missed a sale deadline in 2003, partially due to the fact that separate Genesee creditors had claim to different pieces of the property. ViaHealth has since taken control of the entire property on Alexander St., and is looking forward to the financial benefit from the deal with Buckingham. The new development is expected to do considerably well, given the recent development momentum of the area. (3/30) Buckingham Properties and ViaHealth have announced a deal to turn the old hospital site on Alexander Street into a new mix of upscale residential, retail and office construction. President of the Rochester Downtown Development Corp. is enthusiastic that the project will boost the city’s downtown redevelopment efforts. Costs are estimated at $5 to $7 million for demolition and tens of millions for new construction. (3/31) Buckingham Properties is set to acquire 15 acres of property from GRHS Foundation, Inc. the real estate affiliate of ViaHealth. ViaHealth will retain a minimum of 100,000 square feet of space for currently operating medical and health services. Buckingham could take possession of the site by early July. (5/30)
Bushnell’s Basin – Construction of a new office building at the corner of Pittsford-Victor Road and Fisher’s Road has been approved by the Perinton Planning Board. Attorneys for Christa Development were able to convince the board to move ahead without results from soil testing, although written results will need to be submitted before construction begins. (4/13)
Buckingham Commons – Syracuse firm, Avalon Copy Centers of America Inc., has signed to open its first Rochester location in Buckingham Commons. The 78,000 square foot, mixed-use property overlooks Frontier Field, is pre-leasing 36 loft apartments, as well as offices. Also slated to move into the new Buckingham Commons are Kafl Insurance Resources Inc., and Buckingham Properties own headquarters. (4/14)
Frontier Building – REIT Newkirk Realty Trust Inc. from Boston purchased the Frontier building on South Clinton Ave. for $26.4 million. The 226,000 square-foot office building is currently leased to Frontier Corp. through 2014, and is also known as Three City Centre. This transaction was the largest in the downtown area since 1986. REIT Newkirk states that their investment interest lies in economically stable and prosperous locations. Last years trend in out-of state investment shows no signs of slowing down so far in 2006. (5/5)
Fairport – The village Public Works Department is constructing a new space on Railroad St. The facility will cost $3.2 million and replace the building on the edge of the Erie Canal. The new 22,000 square foot project should be completed next spring. (5/25)
Perinton – A Baird Road office park plan was rejected by the town Planning Board due to problems such as lack of elevations, detail, lighting, and parking spaces. No indication was given as to when a new plan might be submitted. (6/1)
RETAIL
Henrietta – Harris Garden Center, One of Rochester’s oldest of its kind, is closing as of the end of March. The company VP sites competition from large chains as the reason that they have not been profitable for the past 3 to 4 years. Opening its first store in the 1950’s, Harris Garden Centers helped pave the way for the horticulture industry in the Monroe County area. (3/16)
Chili – The Chili Planning Board vote granted approval to build a 14,820 sq. ft. Walgreens at Buffalo and Union streets. Controversy over The Stagecoach Inn, a 185 year old historical building on the site, is a concern to local residents. The next step would be for Walgreens to get permits from the building department. (3/16) A law suit against the town’s planning board and a developer for Walgreens was brought by three Chili citizens hoping to preserve the historic Stagecoach Inn at Buffalo Road and Union Street. The 185 year old building is not protected as a historic site, and is in a serious state of deterioration. The citizens are not looking to stop the construction of the drugstore, but would like to see it done without destroying the historic building. The case will go to Monroe County Supreme Court in May. (4/18) It is looking like it may be too late to save the nearly 200-year-old Stagecoach Inn, because it can’t be registered as a Landmark without cooperation from the owner. A former owner who sold the Inn in 1979, states that not much renovation was done at that time due to lack of funds. The Inn, built in 1814, predates the town of Chili itself. (5/16) State Supreme Court Judge gave the Stagecoach Inn a two week stay, and ordered both sides to try to come to an agreement. A conference call among attorneys and judge is scheduled for the second week of June. (5/25) Decision on the Stagecoach Inn has been tabled for an additional two weeks until the end of June. The option of moving the building to another property is being considered. (6/13)
Canandaigua – East Lake Road venue, The Lincoln Hill Inn, has been sold by Bill and Cheryl Ward to David Genecco for $320,000. Genecco owns about eight acres of lakefront property and declines to discuss his future plans. (3/22)
Greece – Planning Board members had some problems with the site layout of a proposed BJ’s club in Canal Ponds Business Park. Developers now want to move the store further south to solve these problems, and are also making some changes to architecture and design based on comments given by the board. (3/30)
Victor – The Bonefish Grill is the fourth upscale restaurant recently added to Eastview Mall. Along with other changes to the mall will be the replacement of Kaufmann’s with Macy’s later this year. (4/5)
Henrietta – A new 14,000-square-foot Walgreen’s store will be added to the corner of East Henrietta and Calkins road in place of the current SYMS building. The addition will make a total of four drug stores at this intersection. (4/5)
Greece – Arkansas based retail store, Wal-Mart, has applied for approval to build an 184,212 foot super center in Northgate Plaza at the intersection of Dewey Ave. and English Rd. If approved, the existing structure would be torn down, and expanded by 40,000 square feet. A temporary development moratorium was enacted March 21, by the town of Greece, to prevent the new construction. The moratorium could take up to a year, but Wal-Mart is applying for an exemption. (4/6)
Lima – The Town Board conducted an informational session on the possible development of a “big box” retail store on a 50-acre site on Route 15A. The property is currently zoned as agricultural, and would have to be rezoned to highway/general business to allow for the new development. (4/6) The announcement was made that Wal-Mart is looking to build a 165,000 square-foot super center on Route 15A. Further discussion is underway. (5/1)
Macedon – The first Lowe’s in Wayne County will be on Route 31, west of Wayneport Road. Plans for the proposed 171,105 square-foot big-box home supply store will be reviewed at an April Planning Board meeting, and groundbreaking could take place this fall. Opening would be about 9 months later. (4/18)
Brighton – Construction of a Walgreen’s store at South and Elmwood Avenues was halted due to violation of an agreement to use 90 percent local labor. The Syracuse based company, HDL Properties LLC, was fined $2,000 on four occasions for violating the agreement. Representatives from Walgreen’s and its developer are meeting with the Town Board and citizens to work out an arrangement to regain trust and move forward. (4/19)
Greece – A new “village-like” Wegmans store is proposed for Mt. Read Blvd. The 105,000 square-foot design compares to the model being used in new markets such as Maryland and Virginia. The old buildings on the property would be demolished in phases, so as to keep the store open throughout the majority of the construction. (4/27) The Greece planning board approved the final plan for the new Mt. Read Wegmans. It will have a clock face on the north side and a false window on the east. The plan also includes heavy landscaping and a year-round pond instead of the dry drainage system initially proposed. (5/11)
Greece – Canal Ponds Business Park is expecting the construction of a new BJ’s Wholesale Club to begin in early May, and open by next year. Approval has been received from several boards such as, the Town Board, Greece Planning Board, and the Board of Zoning appeals. The new facility will include a sit-down restaurant, full service gas station and tire center. (4/27)
Greece – The building plans for Walgreens in Buckman’s Plaza on West Ridge Rd. have been stalled due to a lack of access to a neighboring now-vacant business. No resolution has been settled on as of yet. (5/11) The decision regarding whether to use cross access for a proposed 14,820 square foot Walgreens has been delayed for several weeks to allow the town to review a traffic study. Owner of the neighboring plaza wants cross access, as he has had difficulty renting out his location without it. The Greece Planning Board will reconsider in early June. (5/25)
Newark – Wal-Mart on State Route 31 will be adding over 117 thousand square-feet of retail space with a full grocery store. (5/19)
Brighton – Twelve Corners Plaza, located between Winton Road, Monroe and Elmwood Avenues, has been bought by SF Properties and will undergo a complete renovation. Between 600 and 700,000 square feet of the rear of the building will be demolished starting in mid-June. (6/7)
Macy’s – All 4 area Kaufmann’s stores will be transformed into Macy’s by September. (6/9)
Chili – North American Properties is looking to build a 53 acre shopping center on Paul Road, however, the property would need to be rezoned to accommodate the project. The developer will resubmit their request to the town board for approval. (6/12)
INDUSTRIAL
Infotonics – The Canandaigua based “micro-products” lab is beginning a $15 million project that will add a packing laboratory to, as well as upgrade, its current facilities. The packaging up to this point was being done at Eastman Kodak, but the new packaging lab should be installed by September. (4/25)
Bernzomatic – The Orleans County manufacturing plant will be closing by the end of 2007, and relocating to Shanghai, China. Founded by Otto Bernz in Newark, N.J., in 1876, Bernzomatic relocated to the Rochester area in 1940. Orleans County Economic Development agency is working with the company to see what parts of the operation might remain in the area. (5/12)
Barilla America Inc. – A unit of the world’s largest pasta maker has received final approval for a manufacturing and distribution facility in the village of Avon. Groundbreaking is set for June, and the $96.2 million facility is expected to create 121 jobs in Livingston County. (5/25)
RESIDENTIAL
Perinton – Housing developer, A & D, is proposing a rezone of five plus acres at the intersection of Turk Hill and Pittsford-Palmyra roads for a new development. The Planning Board supports building homes on this site, but not as many as A & D wants. The concern is due to the area containing wetlands that may be prone to flooding. A & D said that it needs to build 12 homes to make the project feasible, but the Planning Board states that there must be benefit to the town overall. Planning Board Chairman will discuss with the Town Board which will decide whether to rezone. (3/16)
Henrietta – Housing Opportunities Inc. is looking to build an 88-unit complex on Lehigh Station road. The project has been unfinished for over 2 years due to a previous developer backing out. Area residents are concerned over the possibility of the new development offering low-income housing, but the town supervisor states that it’s not up to the town to pass judgment based on subsidy issues. (3/22)
Rochester – Groundbreaking of Carlson Commons launches phase II of the largest revitalization housing project in the cities history, and will add 77 affordable homes to the Plymouth-Exchange St. area. The combined efforts of California-based equity investor, WNC & Associates Inc., and the Rochester Housing Authority will improve living conditions for approximately 600 people over a 3 phase project. The 3 phases total a cost of $28 million, of which Carlson Commons comprises $15.2 million. (3/31)
Natapow – In pursuit of new ventures, Natapow Realty Corp. is selling the majority of its residential properties. Morgan Management LLC will soon have purchased 1,628 rental units, formerly owned by Natapow. Continuing to hold a substantial commercial portfolio, Natapow currently retains a little over 400 residential units. It appears that the decision to downsize the residential side of the business is based on the family’s desire to simplify and allow the individual members more freedom. (3/31)
Perinton – Anco Development has received approval from the town Planning Board to add a private drive to an area that is now an empty lot on Emerald Hill Circle. The private drive leading to a newly proposed subdivision was opposed by residents of Emerald Hill Circle, but approved by the board. (4/13)
East Rochester – The last undeveloped site in East Rochester will see construction begin in June. Wells Landing will be a new residential development spread over 20 acres off of Route 31F, and will include 80 town homes and 13 homes. At the time of this article there were more than 150 potentially interested buyers that had to wait until June, when orders would be taken. East Rochester officials did not want to have rental units there, and the developer, Robert Nuccitelli, didn’t either. Everyone is taking extra precaution to ensure that no environmental contamination takes place in the construction. (4/14)
Victor – S&J Morrell Inc. is proposing a development that would include a 226 unit housing tract on 75 acres between Old Dutch and Wangum Roads, near Fishers Park. The property is zoned for light industrial and commercial use, but would need to be rezoned for planned development by the Town Board if this new housing plan is to go through. Concerns expressed at the Board Meeting included the density of the housing and the impact on a nearby intersection. The project, currently called Blue Stone Creek at Fishers Park, will be formally presented to the Victor Planning Department shortly, and includes 100 apartments, 115 patio homes and 11 single-family homes. (4/25)
South Bristol – Ketmar Development Corp. is proposing a 20 home project off of Seneca Point Road, including two possible variations. Ketmar had to revise the original plan due to a settlement with a group of residents. The updated plan has the 47-acre property divided into 20 lots, half of the original plan, 5 docks, each with four boat slips and space for 5 moorings. There is a lot of concern surrounding the steep cliff that the site is located on, the possibility of erosion, and ensuring the necessary drainage. There will be ongoing discussion on this project between the company and the DEC. (4/25)
Downtown Development – The city has chosen development companies for two projects in downtown/east end districts. Christa Development Corp. will be working on 1.25 acres of city-owned land on Charlotte St. behind the Little Theatre. The Charlotte property is slated for a townhouse project, but some environmental issues must be addressed before moving ahead. The second project has been assigned to Plan Architectural Studio P.C., involving the renovation of a three-story building on South Ave. near the former Brickyard bar. The development of the building would include commercial space on the first floor and residential second and third floors. Negotiations are in the works for other area properties. (5/5)
Canandaigua – Wegman Companies Inc. has pulled a proposal for 154 townhomes on Parrish St., temporarily until the town changes the zoning regulations on the property. At that point, the land would need to be rezoned to accommodate the proposed number of homes. (5/8)
Canandaigua – S&J Morrell Inc. will have to wait a bit longer for the zoning decision on the property for their proposed Middle Cheshire Road subdivision. The town board voted to change density from one-acre to two-acre minimum lots, indicating that S&J might have to revamp their plans altogether. (5/17)
East Bloomfield – Residents of the growing Kelly’s Landing subdivision sent a letter to the town board complaining that they have been left out of meetings regarding further development of their neighborhood. In response, Code Enforcement Office has stated that the referenced meeting is routine in any project, and not subject to the Open Meetings Law of the state. The developer, Fred Haeflien, is looking to build a 1,900 foot road connecting 10 new homes to Fish Brook Run. So far, this portion of the development had not yet been approved. (5/19)
OTHER
PAETEC Park – The Rochester Rhinos resumed work on a new downtown soccer stadium upon securing $4 million from the state Senate. The opening of PAETEC Park is set for June, and the team was seeking $15 million in aid from the Assembly, Senate and governor’s office. The Senate is currently committing the $4 million from undesignated capital funds in the current year’s budget. This funding will be toward a video scoreboard, press box and other amenities, such as a ribbon board. (3/17) The Brown Square neighborhood between downtown and northeast Rochester is hoping that the addition of a new soccer stadium will bring much needed revival to their neglected area. Documentation dating back to 1964, has reflected the area’s decline, but hopefully the new stadium will be an opportunity to turn that around. The state has designated $1 million for improvements to the neighborhood. (5/23)
Chili – PA company, Mantoan Associates, spent
$2 million to acquire the Days Inn on Chili Ave., which they will
rename Chili Hotel and invest another $1 million in renovations and
additional staff. (3/22)
Greece – The Greece NY Congregation of Jehovah’s Witnesses, Inc. is looking to build a church on Vintage Lane. They will, however, need to submit a new plan to the Planning Board as this property was initially slated for housing. (4/13)
Seabreeze – The Irondequoit amusement park is getting upgrades to water rides this year, as well as a new water purification system in compliance with new state regulations. (4/19)
Victor – Victor Historical Society members approved a sale contract tentatively for the High Point Business Park project. The sale contract still needs approval from Tom Golisano, who holds the mortgage on the property, and from state officials, due to a state grant that set guidelines on how the property can be used. The main purpose of the sale was to make a lump sum payment to Golisano toward the mortgage. (4/23)
Rochester Airport – The Days Hotel on Chili Ave. was recently sold to Optimum Hotel Brokerage for $2.9 million. The 153-unit hotel will be repositioned as a Quality Inn. (4/25)
Palmyra – A new park called, Canalside Nature Park, will be added on more than 15 acres between Division Street and Route 21 bridges in Palmyra. The village has hired Clough Harbour and Associates to create the plan, and the first phase of funding has been obtained through the State Senate. (4/26)
Penfield – The Planning Board has approved a 7,662 square foot child care center on Five Mile Line Road. The decision was being challenged by a local neighborhood association, but has been upheld in state Supreme Court. (5/25)
Brighton – Renovation plans for the Buckland Farmhouse on Westfall Road have been revised to fit within the budget of $385,000. Funding is being contributed to through the sale of commemorative bricks, which will be placed around the flag pole and along a walkway. (6/7)
Henrietta – Heritage Christian Services is building a 20,800 square foot community center in Henrietta. The Pieters Family Life Center will include an aquatic therapy pool, adaptive kitchen, café, a multi-purpose gymnasium, and chapel for use by HCS and also members of the community. (6/7)
Parma – Residents of Parma are concerned over the possibility that 121 acres of open property on Parma Center Road will be turned into a soccer complex for the Greece Cobras youth soccer club. The property was given to the club, and the proposal will be to build the largest soccer complex in Monroe County. (6/8)
Brooks Landing – Construction along Genesee River, across from the U of R campus will begin in the next few weeks, after 20 years of planning. The project consists of a four-story hotel, a restaurant, boat dock, office and retail complex and coffee shop/café. The operation will be handled by Sector 4 Community Development Corp. and the expectation is high that this new additional will revitalize the southwest Rochester area. (6/12)
GENERAL
Naples – Sentry Hospitality has made a proposal to the Town Board for a resort that would compare to four-star locations such as The Point in Saranac Lake, and The Mirror Lake Inn in Lake Placid. Project engineers anticipate the creation of 85 new jobs, 30 additional at the current golf club, and approximately 75 workers during the construction phase. Sentry Hospitality is currently managing several luxury resorts such as the Conference Center in Niagara Falls and Bald Head Island Resort in N. Carolina. (3/20)
Property Taxes – Reports released by the NY State Comptroller indicated that local property levies have gone up 42 percent over the past five years. The amount owed by property owners increased from $26 billion to $38 billion, and was 3 times the inflation rate. New York property taxes are nearly 50% over the national average. (4/27)
High School Recognition – Several of our area high schools were recognized in Newsweek magazine’s 2006 list of the top high schools in the nation. Out of more than 1,100, Victor High ranked 121, Wilson Magnet 24, Pittsford Mendon 58, Pittsford Sutherland 61, and Brighton at 92. (5/1)
Durand Eastman Beach – City Mayor Robert Duffy proposed opening the beach along Lake Ontario in Durand Eastman Park. The beach has been maintained by the county, and closed to the public for some time now. The county has estimated a cost up to $10 million to open the beach, while city representatives estimate less than $1 million. The city will apply for a $100,000 state grant toward opening the beach. (5/11)
Pittsford Park – The Town Board was voting to construct a veteran’s memorial at the Port of Pittsford Park. The town is expecting to spend around $140,000 on the project, and all 20 of Pittsford soldiers killed in the line of duty will be listed there. (5/17)
Cohocton Wind Farm – UPC Wind Management has proposed building 41 wind turbines over a 5,755 acre area off of Lyon, Pine Hill, Kirkwood-Lent Hill, Mattice, Rynders, Edmond, and Preston roads in Cohocton. A citizens group called Cohocton Wind Watch opposes the plan based on concerns regarding the water table, erosion, and communication signals, as well as the obvious concern with the view. The Cohocton Planning Board is having the proposal evaluated by an engineering firm, before a final statement will be submitted for approval. (5/17)
Strong Museum – The state Senate has granted
the Strong Museum $500,000 to help complete its expansion. The museum
will reopen in July at approximately double its size. (6/9)
