Tax Incentives: 421-g

421-g

Tax exemption and abatement for conversion of COMMERCIAL BUILDINGS TO MULTIPLE DWELLINGS (Downtown Manhattan)

ELIGIBLE PROJECTS

Conversions of commercial buildings or portions of buildings to MULTIPLE DWELLINGS with an Alteration Type 1 permit dated on or before June 30, 2006, in most of the areas in Manhattan south of Murray Street/City Hall/the Brooklyn Bridge.

BENEFITS GRANTED

Construction period exemption of 1 year. 12-year (8 full years + 4 years phase out) exemption from the increase in real estate taxes resulting from the work and a 14-year (10 years full + 4 years phase out) abatement based on the existing real estate taxes in year one of the benefit term. New York City landmarked projects get one additional year of full benefits. All rental units become subject to rent stabilization for the duration of the benefits.

NOTICE

Notice of Opportunity to Comment on Proposed Rules Governing Tax Exemption under §420-c, 421-a, 421-b, 421-g and 489 of the Real Property Tax Law

PROCEDURAL REQUIREMENTS

Thedeveloper applies to Tax Incentive Programs (TIP) and receives a Certificate of Eligibility. The Department of Finance implements the benefits.

HOW TO APPLY

Obtain additional information and request an application by calling (212) 863-6603. You may also download the documents.

Submit completed application to: 421-g Program, Tax Incentive Programs, HPD, 100 Gold Street, Room 8-D07, New York, NY 10038.
There is an application fee of $1,500 + $250 per dwelling unit on application (maximum of $25,000), payable to "NYC Department of Finance."