Stephen P. Polivy, an attorney with Stadtmauer Bailkin LLP of New York City, represented New York Life before the Westchester County IDA. At the morning session, Polivy said that the company has "a very short time schedule" to select a property. The relocation is part of a decentralization program the firm is undertaking in response to an "extensive study" it had performed on its vulnerability to disaster after the terrorist attacks of Sept. 11. The company employs approximately 3,500 workers at its headquarters building at 51 Madison and at 63 Madison Ave. located nearby.

Polivy told IDA members that the Fortune 100 company is considering acquiring the Mount Pleasant Executive Center, a former IBM property located on Rockwood Road in Sleepy Hollow. The complex, which sits on 76 acres, was vacated in the 1990s and is owned by Gale & Wentworth of New Jersey. Polivy said that if the company were to move forward on the purchase, it would like to close on the transaction in the next 60 days.

New York Life's other option under consideration is relocating the 1,000 workers to a company-owned building at 260 Cherry Hill Road in Parsippany, N.J. The company already houses its New York Life Investment Management LLC subsidiary there and would have to expand the 120,000-sf building to facilitate the move.

According to papers filed with the Westchester County Industrial Development Agency, New York Life would acquire the Mount Pleasant Executive Center for approximately $38 million. Frank Tomasulo, senior vice president of CB Richard Ellis, who is representing Gale & Wentworth in the deal, said that negotiations on a purchase price have not been finalized. Cushman & Wakefield is the broker for New York Life Insurance. New York Life stated in its application to the IDA that the firm had also considered properties in Connecticut. However, Polivy told the IDA that the requirement has been narrowed down to the Sleepy Hollow and Parsippany, N.J. locations.

The Westchester County IDA issued a preliminary inducement, which, if finalized, would grant New York Life approximately $1.7 million in sales tax exemptions.

William Werfelman, vice president of New York Life Insurance, while expressing the firm's gratitude for Westchester County's assistance, said, "The company is still exploring its options and that includes the property in New Jersey." He added that the company hopes to make a decision and "conclude a transaction" on the relocation program by the end of March of this year.

Company representatives said that the firm has filed an application with the New Jersey Economic Development Authority for possible incentives it might receive if it were to choose the Parsippany location.

New York Life Insurance currently employs approximately 2,300 workers and occupies approximately 1.1 million sf of office space at its landmark 40-story 51 Madison Ave. headquarters building that was built in 1928. Nearby at 63 Madison Ave., the firm, which was founded in New York City in 1845, leases approximately 400,000 sf where it houses about 1,200 workers. The lease at that property expires in 2010. The company employs approximately 500 additional workers in other leased space in New York City.

Westchester County Executive Andrew Spano commented on New York Life's possible relocation to the county by saying, "We would like to see New York Life make a major long term commitment to Westchester and we'll do everything we can to make it happen. Our Office of Economic Development has taken an active role in this project, as it did with Morgan Stanley and Fuji Film USA, both of which recently announced similar expansions."