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POLITICO New York Playbook: TRUMP TOWER protections -- DAILY NEWS downsize warning -- SYRACUSE as local-government lab

11/11/2016 07:16 AM EDT

By Jimmy Vielkind in Albany and Azi Paybarah in Manhattan, with Addy Baird and Daniel Lippman

PROTECTING TRUMP TOWER -- NYT's David Dunlap and J. David Goodman: "Fifth Avenue and 56th Street in Manhattan, the intersection in front of Trump Tower, where President-elect Donald J. Trump lives, is now restricted by portable roadblocks, concrete barriers, metal barricades and a lot of police officers, some in formidable tactical gear. Even the skies above Trump Tower are restricted, having been declared 'national defense airspace' on Wednesday by the Federal Aviation Administration. 'The United States government may use deadly force against the airborne aircraft, if it is determined that the aircraft poses an imminent threat,' the agency warned in its notice to pilots.

"That restriction is to be lifted on Jan. 21, the day after Mr. Trump moves from 725 Fifth Avenue to 1600 Pennsylvania Avenue NW. Since the government is just now calibrating its response to the unexpected emergence of a 58-story White House in Midtown Manhattan - should we call it the Brass House? - there is no way of telling exactly how long the current street-level restrictions will be in place, though it is safe to generalize that even temporary barriers have a way of becoming permanent." http://nyti.ms/2eYlgTf

DE BLASIO TAKES COMFORT IN TRUMP'S UNKNOWABILITY -- POLITICO New York's Dana Rubinstein: In the era of President-elect Donald Trump, Mayor Bill de Blasio is "sleeping fine." That's in part, he explained to reporters on Thursday afternoon, because he's taking comfort in Trump's fundamental unknowability. "I don't know which Donald Trump I'm going to get," said de Blasio, echoing the comments of, among others, German Foreign Minister Frank-Walter Steinmeier, who on Thursday said, "We don't know what we're in for." "Donald Trump may plan on doing exactly everything he said out loud," said de Blasio, sitting at a desk beneath a portrait of Alexander Hamilton in the Blue Room at City Hall. "The problem, of course, with that statement is often times he said multiple versions of the same policy platform."

-- RETHINKING CLINTON?: De Blasio said he has yet to determine what his new role should be on the national stage. And he didn't answer when asked if Clinton was the best candidate to defeat Trump. "I will be very happy to tell you what I'm thinking when I'm finished thinking," he said. De Blasio also has sought comfort in the very structure of American governance. "We're part of a nation that was founded on a federalist approach, where a lot of power devolves from state level and then down to the local level," he said. "So, for example ... no one can order us to reinstate stop and frisk. That is a local decision." http://politi.co/2enOWwB

IT'S FRIDAY! -- Got a tip? Feedback? News to share? Let us know. By email: JVielkind@politico.com, APaybarah@politico.com, ABaird@politico.com, and daniel@politico.com, or on Twitter: @JimmyVielkind , @Azi, @addysue, and @dlippman.

TABS -- Daily News: "OPEN HOUSE: After years of animosity, Trump holds civil chat with Obama in new digs" -- Post: "COMING TO GRIPS: Democracy in an awkward handshake" -- Newsday: "Trump, Obama, Vow to Work Together" -- SEE THEM: http://bit.ly/2enOYob

BROADSHEETS -- NYT, banner: "TRUMP AND OBAMA MEET TO BREAK THE ICE" -- WSJ, banner: "Presidential Handover Begins" -- SEE THEM: http://bit.ly/2enMg2f

QUOTE OF THE DAY: "I will be very happy to tell you what I'm thinking when I'm finished thinking." -- Mayor Bill de Blasio, via POLITICO New York: http://politi.co/2enOWwB

BONUS QUOTE: "A lot of those people that voted for Trump is because they have no retirement. They're making between $50,000 and $100,000, they're 50 years old and they have no retirement and the people that took their retirements that corporations used to provide for them were Republicans and Reagan. And the Democratic Party has done nothing about it." -- Bill Samuels, via POLITICO New York: http://politico.pro/2fB28Mb

ON THIS DAY

A DEAL TO REVIVE 421-A - POLITICO New York's Sally Goldenberg: A deal has been struck to revive a property tax break that expired in January amid a dispute between real estate developers and unions over whether to require a minimum wage for construction workers. The 421-a tax exemption, which cost New York City more than $1.2 billion in foregone revenue in the last fiscal year, would be reinstated if legislation is passed in Albany to codify the agreement between real estate developers and union leaders. The deal, announced late Thursday afternoon, would require developers who receive the exemption to pay construction workers an average hourly wage of $60, including benefits, for buildings with 300 or more rental units in Manhattan south of 96th Street. Some of the details emerged last week as the two sides neared an agreement. In Community Boards 1 and 2 of Brooklyn and Queens, which include Williamsburg, Greenpoint, Brooklyn Heights, Fort Greene, Astoria and Long Island City, the agreement calls for an hourly wage of $45. It would apply only to construction within one mile of the waterfront and also would include benefits. Any 421-a eligible project that commits to reserve at least half of a building's apartments for below-market-rate tenants would be exempt from the wage requirements.

Cuomo said he "urge(s) the Legislature to come back to Albany to pass desperately needed affordable housing and to sign the Memorandum of Understanding" that would release $2 billion in funds for his own plan to build more low- and middle-income housing throughout the state. http://politi.co/2eGmTny

MORNING MEDIA, with POLITICO's Joe Pompeo:

-- DEPRESSING DAILY NEWS : Downsizing has been an all too familiar exercise at the New York tabloid over the past five years, and as I reported first yesterday (on Twitter), editor-in-chief Arthur Browne broke it to the newsroom yesterday that the latest culling is at hand: "I am deeply pained to write this letter but nowhere near as pained as you will be to read it. ...I am obligated to let you know that staff reductions are inevitable in the near future. Hoping to ease sudden and difficult life changes, however slightly, I am instituting a voluntary departure program whose severance benefits exceed the company's norms and that will provide a window of time during which to find new employment. Because I have no idea how many applicants will step forward, I am sadly compelled to state that involuntary dismissals could well become necessary before the year's end."

You can read the full Morning Media column and sign up to receive it in your inbox by clicking here: http://politi.co/1PdFrwQ

SECRET POLICE? -- Daily News' Kerry Burke, Cameron Joseph, Denis Slattery and Leonard Greene: "After the Daily News reported some cops hid their faces and nameplates while arresting protesters Wednesday night, lawyer Norman Siegel, the former executive director of the New York Civil Liberties Union, called on City Hall and the Police Department to nip the problem in the bud. 'Police officers should not, and we believe cannot remove their nameplates, let alone disguise their identity by wearing balaclavas on the job,' Siegel said in a letter he signed along with his law partner, Herbert Teitelbaum, to Mayor de Blasio and Police Commissioner James O'Neill. During the protests, where thousands of demonstrators were chanting 'F--k Trump' and 'Not my President,' several officers were observed wearing masks and jackets that covered their nameplates." http://nydn.us/2eYq7DH

IMAGINE THAT -- Chelsea Clinton for congress -- Page Six's Emily Smith: "Chelsea Clinton is being groomed for the New York seat held by Rep. Nita Lowey. Chelsea could run for the seat in NYC's 17th Congressional District once Lowey, a 79-year-old respected career politician with nearly 30 years in office, decides to retire, we have exclusively learned. Lowey's district includes parts of Rockland and Westchester counties and, conveniently, Chappaqua, the Clinton family home base. ... [A] source ... 'There has been a lot of speculation within New York Democratic circles about Lowey's retirement and Chelsea running for the seat. There is a belief that Chappaqua is a logical place for Chelsea to run, because it would be straightforward for her to raise money and build a powerful base.'" http://nyp.st/2eYnmCm

INTRODUCING NEW JERSEY HEALTH CARE PRO: Written by POLITICO New Jersey's Katie Jennings and POLITICO New York's Dan Goldberg, New Jersey Health Care is an early morning briefing full of the scoops and storylines driving the conversation among New Jersey's health industry. It is now exclusively for New Jersey Pro readers. If you are not a current Pro, contact us today for continued access to New Jersey Health Care and to learn more about our premium coverage of New Jersey politics and policy.

PALADINO PONDERS ANOTHER RUN - Newsday's Mike Gormley : "Maverick Republican nominee for governor in 2010 Carl Paladino, just off a two-year stint as one of the President-elect Donald Trump's longest and closest surrogates, said Thursday that Trump would "absolutely" endorse him if he runs for governor in 2017. "We did talk about it at one point," Paladino told Newsday. The Buffalo developer declined to discuss the private conversation with Trump. Paladino, who has continued to regularly criticize Democratic Gov. Andrew M. Cuomo, said Thursday that he hasn't yet decided whether to seek the Republican nomination again, although he said Trump's success fuels the fire. "The frustration is up in upstate, in Nassau and Suffolk and in the Hudson Valley," Paladino said in an interview. "The frustration of the people is huge. They are tired of a governor who won't give us fracking, but gives us five casinos to soak the last nickel out of poor people. It's sickening."" http://nwsdy.li/2eGbkN9

GIULIANI on being attorney general: Nobody knows the DOJ better than me -- POLITICO's Louis Nelson: Former New York Mayor Rudy Giuliani made his case to be the next attorney general Thursday morning, telling CNN's "New Day" that "there's probably nobody that knows the Justice Department better than me." Along with New Jersey Gov. Chris Christie, Giuliani has been rumored to be at or near the top of any list of potential replacements for current Attorney General Loretta Lynch. The former mayor refused to say outright that he would accept the job, telling CNN anchor Chris Cuomo that he would take it only "if it really was just me and I couldn't point to three others that would be just as good or better."

-- Giuliani for Secretary of State? -- Flashback, July 2016: Ravi Batra, a Manhattan-based lawyer known for his colorful language and friendships with New York's major political figures, said he ran into the former mayor at a private club in Manhattan this past weekend and said the two briefly chatted. "I said you'll make a great Homeland Secretary. He said I'd rather be Secretary of State," Batra recalled. Was Giuliani serious, or just getting a laugh out of an acquaintance? "No, no, no, deadly serious. Deadly serious," said Batra, who is a Democrat. POLITICO New York's Azi Paybarh: http://politi.co/2fCO5EE

RATS! -- "McSorley's Closed Due to Rats - as Owner Blames Cooper Square Construction," by DNA Info's Allegra Hobbs: "Historic bar McSorley's Old Ale House was shuttered on Wednesday by the city's Department of Health and Mental Hygiene largely due to a rat infestation, which the pub's owner blames on the years-long reconstruction of the nearby Cooper Square. The basement of the 162-year-old Irish tavern was invaded by vermin when the reconstruction of Cooper Square wrapped up in recent weeks, according to bar owner Matthew Maher, who has run the neighborhood mainstay at East Seventh Street and Third Avenue since 1964... When a health inspector came by unannounced on Wednesday afternoon, rat droppings were found throughout the basement, said Maher, who suspected the vermin got in when workers installing a new heating system weeks prior failed to shut the basement door on the sidewalk. But rats are just a part of city living, said Maher - unpleasant, but not uncommon, especially near construction sites... The city's Department of Health confirmed the tavern had been shuttered due to 'evidence of rat activity' and 'conditions conducive to vermin and pest activity,' but also noted the business was found guilty of storing food at the wrong temperature. Maher has a hearing at the Office of Administrative Trials and Hearings on Monday, he said, where he will plead his case." http://dnain.fo/2fGXM8y

WHO'S NASTY NOW? -- "A 'Nasty Woman' of Contemporary Art Fearlessly Renders the Body," by NYT's Roberta Smith: "After a presidential campaign that underscored various women's rights issues, what better art exhibition to review than one devoted to provocative images of female independence at its most intimate, centering explicitly on the body. 'Marilyn Minter: Pretty/Dirty' is part of 'A Year of Yes,' a series of exhibitions on trailblazing female artists at the Brooklyn Museum. Ms. Minter, 68, has been exhibiting in New York since the early 1980s, and is increasingly admired by younger generations for her fearless renderings of both the mechanisms of beauty and its dark underbelly. Over the last three decades, Ms. Minter has operated in the gap defined by feminism, painting and popular culture, carving out a place as one of contemporary art's bad girls. There aren't many, and she is one of the few who are primarily painters. Along with Joan Semmel and Betty Tompkins, she appropriated for painting the provocative use of the female body that is usually limited to performance artists, including Carolee Schneemann and Valie Export in the late 1960s, and Vanessa Beecroft in more recent times...

"This is not a conventional, step-by-step retrospective, so it is a little hard to see how Ms. Minter progressed from her rawer, pornographic paintings to those of this century, which trade on suggestion more than on sex and are more imposing in terms of size and color. By the late 1990s, she had a studio of assistants trained in her technique, which included finishing her enamel surfaces with soft pats of the fingers, not the brush... In the show's final gallery, a complex blur descends. Ms. Minter paints sheets of glass between her subject and us. Sometimes the glass is cracked, dripping with steam or liquid or scrawled with graffiti. These layers further complicate the reading of the images while visually punning on painting. The glass becomes a sarcastic evocation of the cherished 'picture plane' of formalist abstraction, while the watery drips refer to the painting process of an artist whose technique is all but invisible. It is as if we were seeing how advertisements fare out in the city, vulnerable to taggers. Welcome to the real world, they say. Don't let it stop you." http://nyti.ms/2fCe8gl

DOW UP -- "Trump bets blast Dow to new high, bank sector hits 2008 levels," by Reuters' Noel Randewich: "U.S. banking sector shares on Thursday surged to levels not seen since the midst of the 2008 financial crisis, pushing the Dow to an all-time high, while technology shares sank as Wall Street rearranged its bets to benefit from Donald Trump's presidency. The S&P 500 financial sector .SPSY surged 3.70 percent to its highest since the 2008 financial crisis, bringing its gain since Trump's surprise victory in Tuesday's election to 7.9 percent, its biggest two-day gain since 2011. Shares of Wells Fargo & Co (WFC.N) jumped 7.58 percent to their highest since January, and have now erased all of the losses incurred in the wake of a scandal over fake accounts opened by its employees. Bank of America (BAC.N) surged 4.40 percent and JPMorgan Chase (JPM.N) rallied 4.64 percent to a record high. Trump has sided with leading conservatives in calling for the repeal of the 2010 Dodd-Frank Financial Reform Act largely opposed by banks. 'The Trump campaign did say it would repeal Dodd-Frank. Rates are higher and the yield curve is steeper. Those are all good things for the banks,' said Warren West, principal at Greentree Brokerage Services in Philadelphia." http://reut.rs/2eXY1Zg

THE GREAT(ER) SYRACUSE EXPERIMENT - "Will a large-scale municipal consolidation fall victim to politics?" by POLITICO's Jimmy Vielkind: "If approved, it would be the first large-scale consolidation in the Empire State since greater New York City was formed from communities within its five boroughs in 1898. It could provide a model for other communities, and would be a major boost for Gov. Andrew Cuomo's ongoing push to streamline local government. ... But the thing about consolidation plans - pretty on paper, beloved by the wonk class, technocratic masterpieces standing out amid pools of political muck - is that they usually fail." http://politi.co/2fH9RdU

REAL ESTATE, with POLITICO New York's Sally Goldenberg:

-"Some of NYC's antiquated office towers are getting $2B upgrades," by New York Post's Steve Cuozzo: "At least 11 Manhattan office towers of a certain age are putting on pretty new faces, thanks to more than $2 billion in transformative capital upgrades, according to CBRE. It's probably the most ever spent on such projects at one time, and necessary to save from oblivion obsolescent structures built from the 1950s to 1990s. Some of the planned redesigns will make long-familiar properties - such as Rockefeller Group's 1271 Sixth Ave. - look almost new. 'In the past, it was not uncommon to upgrade a lobby. But this is a relatively new phenomenon where buildings that are not that old are being completely rebuilt,' developer Douglas Durst said. Technology and engineering have accelerated so swiftly that office towers built as recently as Durst's Four Times Square, which opened in 1998, lag far behind those that came on line in the past 10 years." http://nyp.st/2fE1Ma6

-"Manhattan air rights fall from grace," by The Real Deal's Rich Bockmann: "It's getting lonely at the top. As the market for land sales in Manhattan has cooled amid a real estate slowdown, air rights trades have plummeted, an analysis by The Real Deal shows. The dollar volume spent on Manhattan air rights through the end of September totaled $70.69 million, according to a TRD review of public records. That sum was down nearly 74 percent from the $269.78 million spent on deals that closed through the first nine months of 2015. That decline went along with a big drop in Manhattan land trades, which fell to $2.3 billion in the third quarter, a 55 percent year-over-year drop from about $5.2 billion,according to Cushman & Wakefield data. The decrease in activity comes amid a luxury condo glut and a much tighter environment for financing new projects." http://bit.ly/2fhU2tu

You can find the free version of Sally's real estate newsletter here: http://politi.co/2a1DgJk

HAPPY BIRTHDAY -- Friday: Assemblywoman Nicole Malliotakis ... lobbyist Diana Ehrlich ... Reggie Thomas, a former first deputy director for legislative affairs in the mayor's office ... Zev Brenner, radio host on Talk Communication Network ... actor and environmental activist Leonardo DiCaprio ... Peekskill-born actor Stanley Tucci ... WWII veteran and icon military figure, the late General George S. Patton, Jr. -- Saturday: Assemblywoman Linda Rosenthal ... former NY Secretary of State Cesar Perales ... Jay Strell, Democratic communication consultant ... famed sculptor and artist, the late Auguste Rodin -- Sunday: IBM's Neysa Pranger ... NY1 reporter Michael Scotto ... Katie Hinds, reporter at WNYC ... Michael Scotto, reporter at NY1 ... Bobby Cuza, reporter at NY1 ... and Mark Botnick, former aide in the Bloomberg administration ... Brooklyn-born late-night talk show host Jimmy Kimmel ... Oscar, Grammy and Tony-award winning actress Whoopi Goldberg, who grew up in public housing in Manhattan ... and Queens-native and NBA player Metta World Peace.

THE HOME TEAMS -- POLITICO New York's Howard Megdal: The day ahead: the Knicks are in Boston. And college basketball begins! Notable local games for the women include Syracuse, who reached the NCAA final last year, hosting Rhode Island and Marist traveling to Hofstra. For the men, Stony Brook hosts Columbia and Chris Mullin's St. John's opens by hosting Bethune-Cookman. But there are lots of fun games all over the country all day.

#UpstateAmerica: Warwick man sues Trump over "severe emotional distress" http://bit.ly/2eG6jEn

**DOWNLOAD POLITICO'S TRANSITION TRACKER: POLITICO will deliver breaking news notifications on the incoming administration -- directly to your iPhone's lock screen. Using the unique capabilities and speed of Apple Wallet, Transition Tracker alerts users to all the key personnel and policy decisions as they're made by the president-elect. This is currently available only for iPhone users via Apple Wallet. Download the pass, available for readers using iPhones, here.

FOR MORE political and policy news from New York, check out Politico New York's home page: http://politi.co/1MkLGXV

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