Adding a floor to a mixed-use building

Q. I own a one-story building with mixed uses. I have adequate parking. There are two eating places, one that serves ices and a full restaurant. Over the years I’ve hired different firms to do plans for the tenants, or the tenants have hired them. I want to add a second floor and I don’t know if I can or whether the taxes will kill the idea. What kinds of problems can I expect in planning this, since I want either apartments or offices upstairs, and do I need to hire a large (possibly more expensive) architectural firm or can a small firm tackle the job?

A. Owning a building in Nassau County these days is a great challenge. The tenants see you as rich, and some play games in avoiding rent payment on time or at all. The county also sees you as a great money source to cover its expenses. Without going into detail about how lopsided taxes are, it’s sufficient to state that the county has become the partner of most property owners, and in many cases has taken over the income stream to the point where I have seen many building owners who just want out. Many buildings are selling at less that they were purchased for, and many owners are abandoning the possibility of further investing in the county, so I understand that you hope to create highest and best use by increasing the number of tenants on your footprint. Unfortunately, the county can’t wait to get its hands in your pockets, and probably will take your income in tax increases, reducing your ability to earn from your investment.

As for large architectural firms vs. small, it really matters more who works on the project. Just as with other things, ability is more important than size. Large firms do no better than small ones, since they assign the job to a small group within the firm. You’re really hiring a large firm’s name, with a small team doing the actual work.