AT&T Inc.

Tom DiNapoli is circulating a letter to colleagues outlining reasons why he should be the next state comptroller.

In keeping with prevailing theme of political independence, DiNapoli stresses a willingness to work with Republicans in the legislature.

"While I am certainly a proud Democrat, I have never hesitated to work with my Republican colleagues in the Assembly and Senate to support legislation in the public interest. I have always believed that partisanship must never get in the way of good government. My ability to be an effective, independent comptroller - to call it as I see it - is just a logical extension of that philosophy."

DiNapoli also touts the role he played in helping Nassau emerge from its fiscal crisis after years of GOP control.

Coincidentally, that fiscal turnaround was also a central theme of the gubernatorial campaign of Tom Suozzi, who defeated DiNapoli in a race for county executive.

The rest of the letter is after the jump.  read more »

-- Azi Paybarah

• City housing groups tweak tactics in changing market.
[NY Times]
• Luxury homes meet the projects in Rockaways.
[NY Times]
• Penthouses still popular with New York buyers.
[NY Times]
• Recrowning cornices on the Upper West Side.
[NY Times]
• Lawsuits may hit lenders of risky mortgages.
[NY Times]
• Losing--and replacing--co-op documents.
[NY Times]
• Newer foreign REITs offer investors opportunities.
[NY Times]
• When can residents attend condo board meetings?
[NY Times]
• A Brooklyn walk-up as conceptual art.
[NY Times]
• New York - Boston it ain't: a relocation story.
[NY Times]
• MTA decides on Fulton transit hub E connection.
[NY Times]
• Top-level staffing changes at MTA.
[Daily News]
• Landmark debate over former AT&T headquarters.
[Daily News]
• Refinancing an option for some ARM users.
[Daily News]
• Police shutter two West Chelsea nightclubs.
[NY Post]
• Battle on over future of Pier 40.
[NY Post]
• Suit: 5th Avenue co-op rejects owner over Parkinson's.
[NY Post]
• 2 Herald Square sells for $500 million.
[NY Post]
• Development dots Park Slope's Fourth Avenue.
[NY Sun]

Did we miss any New York City real estate news this morning? Please send along tips and links.

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Clear Channel Communications, the pubic turned private radio empire, is consolidating five local off  read more »

Radio empire Clear Channel Communications is consolidating five local offices and moving its nascent city headquarters to Tribeca next spring. The Texas-based company has signed a 15-year lease at the former AT&T building at 32 Avenue of the Americas.

Details on the deal -- plus the future of the toy industry in New York City -- in Wednesday's debut of Commercial Breaks, The Observer's new commercial real estate column.

- John Koblin

How do you get Eliot Spitzer's attention? The New York Civil Liberties Union wants to know.

The organization claims to have made several requests to the AG's office asking for an investigation into allegations that the telecom giants, AT&T and Verizon, have shared millions of New Yorkers' telephone records with the National Security Agency. They mailed letters (one on May 24th, one on June 26th), sent petitions (the first with 510 signatures, the second with 4033), and followed up on the phone.

So far, they say: no response.

"The one person who has the best record of not being intimidated by the federal government is Eliot Spitzer," said NYCLU staff attorney Corey Stoughton. "So it would be really great if he could step up."

The NYCLU says the Attorney General 's office has the authority to look into whether AT&T and Verizon violated New Yorkers' privacy and consumer rights, pointing out that the New Jersey Attorney General issued subpoenas to five telephone companies, including AT&T and Verizon, last month and that Vermont's Attorney General is assisting with an investigation by the state's Department of Public Service.

But a spokesperson for the Attorney General just told us that all requests are processed and evaluated, and promised to check into the status of the NYCLU's letters and petitions. No word yet, obviously, on an investigation.

-- Lizzy Ratner Update: Spitzer spokeswoman Juanita Scarlett called yesterday to say that the June 26th follow-up letter and petition from the NYCLU had not yet arrived, but that the NYCLU shouldn'th hold its breath for a positive reply. "Considering that Congress is looking into the matter and the ACLU has launched a lawsuit, it is not likely our office will open an investigation," she said.

The debate over anti-terrorism measures in the MTA is obviously hampered by the same circumstances that prompt it. How can you point out security flaws in the system without exposing them to would-be terrorists? That was the problem some Tribeca residents grappled with until they decided to go public about the telecom hotel at 60 Hudson Street. The building was issued a variance allowing it to store high levels of diesel fuel—more than would normally be permissible under city building codes. "I live a block and a half away from this building... and four years ago I started negotiations with Patricia Lancaster (Buildings Commissioner) and hoped this could be resolved without going public," said former Board 1 chair and LMDC board member Madelyn Wils at a rally in front of the building Sunday. New York Civil Liberties Union head Norm Siegel was there, too. "We don't want talk about it because we don't want to be part of a self-fulfilling prophecy," he said referring to fear of a possible terrorist attack on the building. "Now going public, people are going to say we're responsible if something happens, but we have no choice." Congressman Jerrold Nadler, Councilmember Alan Gerson and State Senator Martin Connor were also there. "A school is right across the street from this building... It's outrageous that the Department of Buildings would grant a variance," said Mr. Conner. "I'm surprised that with post 9/11 experience, we still have to fight in this mode over such an issue," said Tribeca resident Roland Gebhardt. "What does the Fire Department think of this?" Sixty Hudson is host to many communications companies such as FiberNet and Tel X. Tel X provides connection service to major businesses like AT&T, Cablevision and Verizon, according to its website. The oil is used for telecom back-up generators. According to attorneys for 60 Hudson, in the event of a blackout, the amount of diesel fuel permitted by city building codes would not be enough to uphold the telecommunication network infrastructure. Those codes have not been significantly updated since 1968, before telecom hotels were invented. Tim Lannan, head of Neighbors Against Noise, a group of local residents that pioneered an effort to force 60 Hudson to comply with city standards, called for the DOB to enforce recommendations based on the recently-released National Institute for Standards and Technology report on the Trade Center collapse. Building 7 is believed to have collapsed in part because of fuel stored in the building's base. —Sara Levin  read more »

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