4th Quarter 2006
ECONOMIC & BUSINESS
Fast Ferry – Euroferries Ltd., the British company that agreed to purchase the ferry, has yet to secure the funds needed to close the $29.8 million deal, and storage of the boat has amassed a $1.5 million bill this year. The city is still open to other potential buyers with the funds to make a deal.(9/21) Mayor Duffy announced that the city may have to continue housing the ferry through the winter, due to bidders not coming up with the necessary financing to close a deal. (11/14)
Housing Rental Rates – The average rental rates downtown rose more than 20 percent from $655 to $802 in 2006, even as the vacancy rate is rising. The average rent for Monroe County fell 6 percent from $594 last year to $560 this year. Downtown market-rate rental units make up approximately 4 percent of the total in Monroe County. Nationally, the vacancy rates for the rental housing market are falling, but in downtown Rochester they have risen from 5.2 percent in 2005 to 5.7 in 2006. (9/22)
Paychex – First quarter earnings for Paychex grew 17% to $135.1 million as compared to the $115 million reported for the same time last year. Total revenue was $459.4 million, up from the 2006 1st fiscal quarter revenue of $403.7 million. Paychex employs 12,000 nationally, and around 3,000 locally. (9/27)
Home Properties – Home Properties Inc. has reached an agreement to sell its apartment holdings in upstate New York, including more than 4,500 apartments in 18 buildings. The unidentified buyers are a team of three unaffiliated regional property owners and developers. Home Properties is making a move to purchase apartment complexes in high-growth areas along the East Coast, but will keep it’s headquarters in Rochester. (10/3) Home Properties Inc. has closed on the sale of 18 properties in upstate NY, for the amount of $252 million. The regional property management companies involved in the purchase were Dawn Homes Management, and Tri-City Rentals (based in Albany), and Morgan Management in Rochester. After paying off mortgage and other fees, Home Properties will net $171 million from the deal. (12/14)
Constellation – Constellation Brands Inc. showed second quarter profits had dropped 18 percent, although net sales had a 19 percent gain from a year ago. The decline in income from 82.4 million to 68.4 million is attributed to the restructuring costs associated with the recent acquisition of Vincor and other joint ventures. The Perinton based company is the world’s largest winemaker, employing around 600 in the Rochester area and 10,000 worldwide. (10/6)
RenSquare – A collaboration of the county, city, Rochester Genesee Regional Transportation Authority and MCC, Renaissance Square is a $230 million project intended to reinvigorate downtown Rochester, and trigger other redevelopment. The current plan is for construction on East Main St. between North Clinton Ave. and St. Paul to begin next summer and be completed in 2010. (10/12)
Xerox – Xerox Corp. shares closed at 16.47, a 52-week high, beating Wall Street expectations for the second straight quarter. Even though the financial news is good, with third quarter revenue up 2 percent to $3.84 billion, the company continues to cut jobs. (10/24)
Port of Rochester – Plans for the future of the Port of Rochester in Charlotte have raised various objections from area residents including, skepticism of it’s success, concerns with how it will be funded, and interference with the view of the lake. (10/27)
Eastman Kodak – Rochester’s second-largest employer, Kodak, reported a third quarter adjusted earnings of $127 million, or 44 cents a share, topping Wall Street’s estimates and last year’s results by 25 cents a share. They also reflected the eighth consecutive net loss of $37 million, or 13 cents a share. Revenue just over $3.2 billion, was down 10 percent from the third quarter of 2005. Kodak’s restructuring has reduced their Rochester work force by one-third, to 14,000, with about 5,000 more cuts expected by the end of 2007. (11/1)
Strong Memorial Hospital – Posting record finances in the 2006 fiscal year, Strong’s operating margin was up 22 percent form the year before, to $44.4 million. Expenses rose 8.6 percent, while operating revenue was up about 9 percent. Net income, which included non-operating revenue and expenses, was $35.7 million. These results show a continuing trend of Rochester hospitals being among the strongest in the state. (11/3)
Tops – The Netherlands based company, Ahold NV, is selling its entire chain of Tops stores. The local markets are hoping for a buyer to retain the supermarket leases, as well as approximately 2,600 employees. (11/7) The parent company of the Price Chopper supermarket chain, Schenectady-based Golub Corp., is researching the possible purchase of the Tops store chain. (11/12)
Midtown Plaza – Mayor Robert Duffy and his administration announced that they are exploring the option of purchasing Midtown for $6 million. The 6-building complex on 8.6 acres of East Main Street has experienced a steady decline over the past decade, and is considered to be a critical piece in the revitalization of downtown Rochester. The Duffy administration states that they are not interested in long-term ownership of the property, but to leverage financial support and guide Midtown’s redevelopment by the private sector. (11/10) Many local developers are expressing interest in participating in the redevelopment of Midtown, including Laurence Glazer of Buckingham Properties LLC, Wayne LeChase of LeChase Construction Services LLC, and Anthony DiMarzo of Mark IV Construction Co. Inc. One of the main topics under consideration is how much of the property, if any, should be demolished. A study by the Urban Land Institute last spring suggested tearing down most of Midtown Plaza, but leaving the nearby Euclid Building and underground parking garage, which the city already owns. Full demolition would cost an estimated $25 to $28 million, and while it may be the easiest way to revamp the area, is not considered the best or in any way the cheapest option. City Council voted to approve the $250,000 option to purchase, which gives the city sole purchase rights to the property through February. This time will be used to conduct a condition analysis of the property and look at possible development alternatives. Should the city decide to move forward with a purchase, the price is set at $6 million, which is substantially below the assessed value of $13.69 million. (11/17)
Housing Prices – Residential real estate sales last month were down from a year ago, but the median prices have risen. Sales for existing homes in our region fell 6.2 percent in October from a year ago. The residential market is seeing price increases mainly due to rising construction costs. (11/17)
City Demolition – 160 properties have been town down since Mayor Duffy’s announcement in April that the city would spend $5.8 million to demolish at least 342 vacant and deteriorated structures. (12/5)
Home Sales – The Greater Rochester Association
of Realtors reports home sales in the Rochester region fell 5.6 percent
in November, the second month with a sizable decline. Sales in the
region were down 2.9 percent for the first 11 months of 2006, compared
with the same period of 2005. (12/12)
OFFICE
Perinton – Merrill Lynch & Co. Inc., the largest brokerage in the Rochester market, will be consolidating into a 45,000 square foot building at 1241 Pittsford-Victor Road. COMIDA has approved the $5.3 million construction project for exemptions on sales and mortgage taxes, and property tax abatements over 10 years. Merrill Lynch, employing over 117, is the third major employer within the last two years to vacate Chase Tower downtown. (9/22)
Pittsford – The Pittsford Flour Mill on Schoen Place is being renovated for lease to Biophan Technologies. Offices of the biotechnology firm will claim the majority of the building space, becoming the single largest office tenant in the village, as well as the only of its kind. (10/18) In relocating from the Lennox Tech Center in Henrietta to 15 Schoen place, Biophan Technologies is receiving 90,000 in tax incentives between the cost of the move and purchasing new equipment. The company, that currently employs 19, should be in its new home along the Erie Canal by the first month of 2007, and expects to create 6 new jobs over the next 5 years. (11/24)
Bushnell’s Basin – RYCO Management LLC purchased Basin Park, for an undisclosed amount, doubling its office real estate holdings in Bushnell’s Basin to 300,000 square feet. The company now has a total of 85 tenants among 3 properties, also including Powder Mill Office Park and Fishers Place. (10/20)
Victor – Construction has begun on RainBros
Associates LLC’s new High Point Business Park, on Route 96.
The centerpiece of the project will be the office space, with retail
and residential components. (10/20)
RETAIL
Victor – Benderson Development may be reconsidering the 95 acres on a busy stretch of Route 96 for a proposed Wal-Mart superstore. The Planning Board’s 40-page finding statement included various issues including the store building being more the twice the size limit set by the board, and that a business in that area should not be open throughout the night. Benderson may possibly submit a revised proposal, or consider moving the project to another area. (9/27)
Wal-Mart – There are varying reactions to the construction of new Wal-Mart stores in different neighborhoods of the greater Rochester area. In Macedon, there has been very little opposition to a 205,000 square foot super center on Route 31 near Wayneport Road. It is expected to open in early May. In Lima, however, Wal-Mart withdrew it’s rezoning application due to the campaign of a citizens group against a proposed store on Route 15A. In Victor, a proposed 211,699 square foot store is in question, because the town Planning Board has determined that no building will be larger than 100,000 square feet. In Greece, the plans for a 204,000 square foot super center in Northgate Plaza is in limbo because of a moratorium declared by the town to allow completion of a revitalization plan for Dewey Ave. (10/3)
Chili – In August this year, Target Corp. stated that they were not going to pursue a store location in the Chili area. After further discussion with North American Properties, however, they have decided to move forward, pending town approval. (10/6)
Canandaigua – All About Books, LLC, has purchased the large Route 21 warehouse, once occupied by Hanna Junction, for $415,000. (10/17)
Victor – The plans for a new Route 96 retail complex have changed from four large buildings to nine smaller structures, and the name has been changed from Commerce Park to Victor Crossing. The question of whether of not the project will include Wal-Mart is unanswered. (10/17)
Perinton – Perinton’s oldest home, the 200-year-old Ranney Farm, is finally being restored after years of delays. Receipt of a building permit put the project, for use by Northern Nurseries as a retail showcase, on track with completion hopeful for Spring 2007. (10/26)
Henrietta – The economy of the town of Henrietta is seeing an upsurge in business development with the addition of Applebee’s on W. Henrietta Rd, Ashley Furniture HomeStore on Hylan Dr., Bed, Bath & Beyond and Marshall’s in Marketplace Square, and Carrabba’s Italian Grill on W. Henrietta Rd. (10/31)
Gates – A new location of Panera Bread has opened at 1501 Howard Road. This is the fifth Panera location in the Rochester area. (10/31)
Hopewell – There has been no opposition to the opening of a new Wal-Mart supercenter on Recreation Drive, just east of the Canandaigua border in Ontario County. The 204,762 square foot store will replace one nearby that was half its size, and have more than 500 employees. (11/7) When the new Hopewell Wal-Mart was announced, the property of the old one on Recreation Drive and Routes 5 and 20 was put up for sale. The 92,000 square foot structure has been sold for $4.4 million to West Coast developer Moshe Silagi of Silagi Development & Management. (11/26)
Chili – Walgreens has offered to donate $50,000 toward renovations of the Stagecoach Inn to save it from demolition, and build its 14,820 square foot store behind it. The offer is in reply to a citizens group suing over the threat of demolishing the 192 year old building, but no decision was reached at this time. (11/10)
Brighton – Twelve Corners Plaza has undergone renovations that are expected to be completed in February 2007. The plaza at the twelve corners area, where South Winton Road and Elmwood and Monroe avenues intersect at the heart of Brighton, has taken out some store square footage to make room for outdoor improvements. The addition of a Panera Bread, a mutual fund store, FedEx Kinko’s, and an undetermined addition, are expected to draw an increase in business to the plaza. (11/13)
Greece – The owners of Northgate Plaza, Scuderi Family Limited Partnership, Bel-Mont Gardens Management Company, are suing the town of Greece due to a ban on new commercial development, that prevents their plan to open a Wal-Mart. Town Board members set the moratorium last March, that could be lifted at any time or last up to a year. (11/23)
Pittsford – Wilmorite Management Group is in negotiations for new tenants to move into Pittsford Plaza on Monroe Ave. The first candidate is the California-based Cheesecake Factory restaurant, which would leave an additional five to six spaces in the old Chase-Pitkin wing of the plaza. Cohoes is set to close in January. (11/30)
ESL Federal Credit Union – The region’s largest locally owned financial institution opened it’s first city location at 215 Merchants Road. This is the 17th branch of ESL. (12/6)
Rochester – The city is reviewing a proposal that would demolish the nearly 80-year-old Monroe Theater that currently houses Show World, to make way for the parking lot of a new 15,458 square-foot Rite Aid store. The Rite Aid would be relocating from around the corner on Goodman Ave., and construction of the new store is estimated at a time-frame of 1 year and cost of $6 million. The approval process will take three to six months. (12/6)
East End – Milestones was the anchor of the
East End Entertainment District for 15 years with live music five
or six nights a week, before recently changing hands. The previous
owner, Michael O’Leary, will be getting out of the music business,
but opening another bar just up the street at the old Eastman Lounge.
The new Temple Bar & Grille should open in January. The new owner
of the Milestones location, Joe Gizzie, will close for a 2 ½
week makeover, and re-open as High Fidelity, also in January. (12/12)
INDUSTRIAL
Geneva – The state food safety lab will be relocating from Albany to a yet-to-be-built $40 million facility at the Cornell Agriculture & Food Technology Park in Geneva. Construction on the new lab could begin next summer, and take between 18 and 24 months to complete. (9/25)
Newark – Wayne County based Ultralife Batteries Inc. has won its second largest military contract, valued at just under $11 million. The contract is for the UBI-2590 lithium-ion battery that can detect explosives, and the CH003 battery charger. Ultralife employs 600 in Newark, 100 in Texas, 60 in the United Kingdom, and 300 in China. (10/10)
Fairport – LiDestri Foods will invest $2.6 million in equipment upgrades and retain 379 jobs. The company received $250 thousand through a state Manufacturing Assistance Program administered by Empire State Development. (11/7)
Webster – Public hearings will be held to
discuss the question of a $128 million water plant. The plant would
draw from Lake Ontario and produce 50 million gallons of water a day,
with the potential for expansion later. The water authority had hoped
to break ground on the Webster facility in early 2007, but was unable
to get the permits in time due to concerns from Rochester City Officials,
the Rochester Business Alliance, and the local Sierra Club. (11/20)
Any construction plans on a new water-treatment plant have been put
on hold for at least 18 months. The Monroe County Water Authority
and Rochester’s environment services will begin negotiations
on a new city-authority pact to amend the 1978 agreement that expires
in April 2008. (12/1)
RESIDENTIAL
Pittsford – Ted Spall, of Canterfield Development Corp. and Bridleridge Farms LLC, recently proposed a housing development geared toward horse owners on a 19 acre lot just north of Mendon Ponds Park. The second phase calls for 62 homes on 79 acres of land, and work isn’t expected to begin for another six to eight years. (10/25)
Henrietta – The Urban League of Rochester has received a $2.2 million grant from the federal Department of Housing and Urban Development that it will use to build a 20-unit housing complex for middle and low-income seniors. The proposed site is located on East River Road, and the one-bedroom apartments are expected to be available by late 2007 or early 2008. (11/2)
Home Properties – Rochester based Home Properties Inc. has paid $67.1 million for a 469 unit apartment complex in Glen Burnie, MD. (11/30)
Honeoye Falls – Maggie Brooks announced the first affordable housing complex to be built in the village of Honeoye Falls, which will also be the first in the area designed with the visually impaired in mind. The 40-unit complex, Seneca Place, will be made available through a partnership among county and village officials, owners Conifer Realty LLC, and the Association for the Blind and Visually Impaired-Goodwill Industries, on a five-acre site on Pine Trail off West Main Street. Construction on the $5.3 million project is set to begin in the spring and should be completed in a year. Funds are being provided from various sources including the state Division of Housing and Community Renewal, the county’s HOME program, a federal Community Development Block Grant, and the Federal Home Loan Bank of NY. (12/7)
OTHER
Henrietta – RIT will put under one roof numerous academic programs that had been scattered across campus with the $8.5 million addition of the new College of Applied Science and Technology Engineering Technology Building. The 33,600 square-foot building will be built in parking lot J and is scheduled to be finished by December 2007. (9/20)
Pittsford – St. John Fisher College has opened the Wegmans School of Pharmacy, Monroe County’s first pharmacy school with it’s first class of 55 students. (9/20)
Penfield – Penfield Central School District is working on the approval of renovation projects ranging between $63 and $66 million. (9/21) Penfield Central School District voted to approve $66 million in improvements that will include new classrooms, updated science labs, renovated kitchens and auditorium, and new bleachers. Construction could take over 18 months to begin. (11/15)
Irondequoit – The Irondequoit Public Works Department has begun work on a $2.4 million multi-use trail that will run from the north side of Culver Road in Sea Breeze to Pattonwood Drive to the Col. Patrick O’Rourke Bridge. The trail is a joint project of Irondequoit and Monroe County and completion is set for September 2007. (9/26)
Fingerlakes – Rochester based Aquatic Resorts & Entertainment LLC is developing a $65 million project, Glacier Lakes Resort, to be located on 40 acres off of Routes 332 and 41 in the Canandaigua/Farmington area. The project, featuring an indoor water park, hotels, and community events center, is proposed to better position the Finger Lakes region as a tourist destination by drawing visitors from within a 200-mile radius, adding up to $36 million in potential revenue and creating up to 400 full-time jobs. Developers are going through the state environmental review, design approvals would follow, and would like construction to begin late next spring to early summer, with completion in early 2008. (9/29)
Rochester – One of Rochester’s oldest Roman Catholic churches, Sts. Peter & Paul on W. Main St., closed it’s doors after 163 years of service, due to a shortage of priests and declining attendance. (10/2)
Aquinas – A plan was announced to build a 55,000 square foot field house and fitness center at the Dewey Avenue campus of the Aquinas Institute. The $4.5 million for the project was secured through a capital campaign, and construction is expected to begin in March with completion by December 2007. (10/3)
Greece – First Bible Baptist Church is building a 79,000 square foot church complex on 96 acres at 990 Manitou Road, to accommodate its growing congregation. The project began in July, and they are hoping to hold their first services there by summer 2007. (10/5)
Fairport – The First Baptist Church of Fairport has been officially listed on the National Registry of Historic Places, making it eligible for preservation grants. The 130 year old building is currently awaiting the preparation of a building condition report to determine what needs to be done to preserve it. (10/13)
Perinton – The town of Perinton received a $550,000 state grant for an improvement project in Bushnell’s Basin that will include a fueling station, public dock, restrooms, picnic area, street lighting, crosswalks, signs, and anchor cleats for boats on the canal. Work on the project should begin in 2007 and be completed in three years, with funds also being contributed by the town, and Richard Steamer, owner of Hess Gas Station in Bushnell’s Basin. (10/26) The Town of Perinton is expected to match the $551,000 in state grant money for a new docking station. The project in Bushnell’s Basin should begin next winter and be completed in 2008. This grant is one of seven different grants that were announced for waterfront revitalization in the Rochester area. (12/5)
Pittsford – St. John Fisher College has broken ground on its forthcoming Wegmans School of Nursing. (10/31)
Seneca Falls – Executive Realty Group of Seneca Falls has completed the following real estate transactions; Sale of the 102-unit Tudor Village complex for $1.8 million, an office/retail building at 2171 Monroe Ave. sold for $1.07 million, and the $625,000 sale of Sweden Lane Apartments in Brockport. (10/31)
Greece – Unity Hospital and Lifetime Care broke ground for a 9,600 square foot hospice center at Unity Park Ridge Campus on Ridgeway Avenue. A conference launched the public phase to raise $1.5 million needed to complete the project, in addition to the nearly $1.2 million that has already been raised. The 11 bed hospice care center is expected to open in 2007. (11/2)
Greece – Aldersgate United Methodist has completed a 17,000 square foot addition to the 1950 Dewey Avenue church. The congregation raised $2.6 million for the project that more than doubled it’s space. (11/3)
Ontario – Ontario Golf Club will be auctioned off, due to financial problems attributed to a decline in membership. Ranked fourth on RBJ’s most recent list of toughest golf courses, the club that once had as many as 300 members, recently dropped close to 100. Financial stress at clubs throughout the state is taking a toll on New York golf association’s search for tournament sites. (11/3) HSBC Bank USA is owed some $1.3 million on the foreclosed Ontario Golf Club, which opened in 1928 as a nine-hole facility. In 1968, nine holes were added on the 164 acre complex, and in 1994, a 15,000 square foot clubhouse was built. The foreclosure auction will sell the real property and equipment separately to the highest bidders. (12/8)
Brighton – Faith Temple and the town of Brighton have settled a two year land dispute with an agreement that the town will purchase 71 acres from the church for $2.9 million, leaving 72.5 acres at Westfall and South Winton roads for the church to expand its facilities. (11/10)
Southwedge – DePaul Community Services Inc. is building a new facility on Mount Hope Ave. to merge five sites into one. The $4.2 million, 50,000 square foot center is expected to be complete by 2007, and have 50 employees. (11/17)
Greece – School upgrades have been approved costing $86.6 million, which is 13 million less than the original proposal from a few weeks earlier. The improvement projects would include health and safety needs, such as roofs, security, fire alarms and emergency lighting, handicapped access, technology upgrades, and installing new fields. The plans would mostly be eligible for state aid and be paid over 15 years. Construction should begin around June 2008. (11/30)
Rochester – Rochester’s largest non-hospital health care campus, Clinton Crossings Medical Center, is adding a ninth building to it’s campus that now totaled 680,000 square feet before the new 30,000 square foot building. Construction on the latest updates should be complete by spring, and the developer, Costello & Son has an additional 140 acres available adjacent to the campus for future buildouts. (12/1)
Dansville – The Dansville library is preparing for construction of a 10,000 to 11,000 square foot addition to be built on the site of the Wilcox building that was just demolished next to their Main Street location. Public fundraising for the project is expected to begin within the year. (12/4)
Rochester – Joy Community Church has purchased the property surrounding it on the corner of North Goodman and Bay Streets with the intent of adding a clinic, ice cream parlor, coffee house, ministry center and outdoor café. (12/4)
Farmington – The Farmington Town board voted to extend its order of demolition on the 190 year old Quaker meetinghouse on County Road 8 near Sheldon Road. Local residents and preservationists have until the end of May to raise enough funds to restore the historical structure. The cost of a complete restoration is estimated between $1 million and $1.5 million. (12/6)
Brighton – Under the 2006 Erie Canal Greenway grant program, from the state Canal Corporation, the town of Brighton will receive $225,000 to begin it’s vision for canal front development. The city of Rochester received $224,100 for similar work, along 1,000 feet of canal front. The money received will be matched by developers Anthony J. Costello & Son, who are involved in the CityGate project that mixes retail, office space, residential space and civic uses along East Henrietta and Westfall Roads. (12/6)
Pittsford – The village of Pittsford will receive a state grant for half of the amount it needs to complete the final stages in the development of Schoen Place. The Erie Canal Greenway Grant, from the New York State Canal Corporation, in the amount of $225,000, will have to be matched by the village to complete improvements along the Erie Canal. The project will take about a year of design, and the next step is hiring a landscape architect and engineer. (12/13)
Bushnell’s Basin – Despite opposition from neighbors, the Perinton Planning Board approved a project on Route 96 to combine seven lots into two, demolish three dilapidated homes, put in two new restaurants, and a professional office building, as well as renovate an old church that is currently occupied by a dry cleaning business. (12/14)
GENERAL
Hotel Renaissance – At least four new hotels are in the works in Monroe County, and there have been at least a dozen renovations. Some of the projects include, The Hilton Garden Inn under construction on Panorama Trail in Penfield, construction on Brooks Landing near U of R, Holiday Inn Express under construction in Webster and being renovated in Greece, major renovation to Marriott Airport, and renovation of Best Western Marketplace in Henrietta. (9/19)
Park Ridge Hospital – The Cleverley & Associates Community Value Index study (CVI) ranked Park Ridge Hospital as one of the nation’s top 100 hospitals. (9/26)
Genesee Riverway Trail – A boardwalk section making it possible to go from Lower Falls Park south of Driving Park Blvd. to the beach, is the latest to near completion on 15 miles of trail that has been under construction since about 1980. When completed, the trail will stretch from Ontario Beach to Genesee Valley Park. In May 2006, the trail received National Recreation Trail status from the National Park Service’s Rivers, Trails and Conservation Assistance Program and the U.S. Forest Service. (10/6)
Brighton/Pittsford – The State Department of Transportation has announced a $4.3 million project to reconstruct a stretch of Clover Street from Tobey Road in Pittsford to Warren Ave in Brighton. (10/25)
Rochester General Hospital – For the seventh year, RGH has been named to a list of Top 100 cardiovascular hospitals in the US. The list is generated by an IL company called Solucient, using data from Medicare. (11/10)
Corning – The glass factory, Fall Brook, of
Corning Inc. is being demolished, having closed back in 2002. Corning
Inc. still has important environmental and life sciences units, remaining
one of the state’s leading companies with 26,000 employees worldwide
and $4.6 billion in annual sales. (11/16)
