Geographic Requirements: Local Option in Adoption of Program:
Programs limited to designated geographic areas meeting specific criteria
Description of Local Option Regarding Adoption or Program Features :
Local government is unable to exercise an option
A developer must apply to the department of housing preservation and development for a certificate of eligibility. Once issued, the developer may receive the incentive.
Property under construction is exempt for 1 year.
Eligible multiple dwellings (except designated landmarks) are exempt for up to 100% of the increase in assessed value resulting from conversion for up to 8 years. Each year thereafter, the percentage will decrease by 20% up to year 12.
For eligible multiple dwellings (designated landmarks), the exemption will total 100% of the increase in assessed value resulting from conversion value for up to 9 years with a 20% decrease each year thereafter up to year 13.
Eligible multiple dwellings (except designated landmarks) are eligible for an abatement of 100% of the property's taxes in the first year of participation in the program for up to 10 years, with a decrease of 20% each year thereafter up to year 14.
Eligible multiple dwellings (designated as landmarks) are eligible for an abatement of 100% of the property's taxes in the first year of participation in the program for up to 11 years, with a 20% decrease for each year thereafter up to year 15.
Description of Eligibility Criteria:
Incentives Restricted to Certain Industries or Uses
Description of Eligible Property Type:
Depending on the property type, eligibility criteria vary. Please see the statute for further detail.
Geographic Area Type:
Eligible properties are residential multiple dwellings converted from a non-residential building.
Non-residential portions of the building may account for no more than 25% of the total aggregate floor area of the multiple dwelling.
Property used as a hotel is not eligible.
Description of Geographic Area Criteria:
Business and Industry Specific Districts
Source State Statutes:
Must be located in most of the areas in Manhattan south of Murray Street/City Hall/the Brooklyn Bridge.
Data Collection Notes:
N.Y. R.P.T Law § 421-g (in effect for 2019)
12/20/2014 PA vets 2013 record
Link to index of exemption administration manual: http://www.orps.state.ny.us/assessor/manuals/vol4/part1/section2/sec2.01.htm
1) Type of incentive was removed and replaced with what is currently in text box. This was what was removed: "Class A multiple dwellings which are converted from non-residential use and which are located in designated areas of lower Manhattan, are certified by the New York City Department of Housing and Preservation Development, and meet the minimum spatial requirements for conversion are partially exempt from taxation, but liable for special assessments. Such eligible projects also receive tax abatement benefits on the tax lots containing the eligible multiple dwelling (equal to a percentage of the tax that would have been due in the first year of the benefit period except for the abatement). Owners of multiple dwellings whose conversions meet reduced minimum spatial requirements for conversion may apply for partial exemption and abatement benefits. Extended exemption and abatement benefits are available for those buildings which were designated as historical landmarks before issuance of a permanent or temporary certificate of occupancy for the portion of the building converted to an eligible multiple dwelling." 2) Also removed what was in eligibility criteria as this was only a portion of one of the incentives. This is what was deleted: "The aggregate floor area (the sum of the gross areas of the floors of the building) of commercial, community facility, and accessory use space within the multiple dwelling does not exceed 25% of the total aggregate floor area of the multiple dwelling. The non-residential building, or portion of, which is being converted to a multiple dwelling must have a certificate of occupancy for commercial, manufacturing or other non-residential use for not less than 90% of the aggregate floor area of such building, or the portion of, which is being converted to a multiple dwelling." 3) Added as well as non-residential properties to eligible property types box. CS
12/21/20 MT verified
3/19/20 AG updated
12/16/19 YP verified
11/14/19 LA reviewed and completed
5/15/19 cc created 2018 record Needs to carefully reviewed
6/26/18 GM: completed record
9/19/17 nr: no new changes
12/2/16 nr: no new changes
3/24/15 ND: no new updates
5/7/14 GIR: copied 2012 record
6/24/14 GIR: checked, marked as complete
12/20/2014 PA vets 2013 record