Real Estate Tax Incentives
Our attorneys have thorough knowledge and experience counseling clients to help navigate the complex world of real estate tax incentives and benefits in New York City, which include:
Affordable Housing Programs
Our firm has extensive experience ensuring compliance, drafting applications, and performing due diligence work related to the various 421-a programs. The 421-a program was introduced to encourage the development of new affordable housing, and in exchange, provides owners an exemption to real property taxes.
Our firm has expertise in the various 421-a iterations, which include (1) the old 421-a program (421-a(1-15)), which applies to projects which commenced construction before December 31, 2015 and completed construction prior to December 31, 2019 (2) Affordable Housing New York (421-a(16)), which is available for projects which commenced on or before June 15, 2022 and complete construction by June 15, 2026, and (3) the Extended Affordability Benefit Program (421-a(17)), which is available for projects which receive the 20-year or 25-year 421-a(1-15) benefit and began construction prior to July 1, 2008.
Additionally, the firm counsels clients for a wide-variety of real property tax incentive programs for residential development, including:
- J-51 Tax Incentive
- Article XI Tax Incentive
- 420-c Tax Incentive
- Inclusionary Housing
Commercial and Industrial Development Tax Abatements
Our firm has extensive experience drafting and submitting applications with the Department of Finance for the Industrial and Commercial Abatement Program (ICAP). ICAP, the successor to the Industrial Commercial Incentive Program (ICIP), offers a property tax abatement for a term of up to twenty-five (25) years. The benefit is only available to commercial or industrial properties, and subject to certain geographic and usage restrictions. Our firm also has experience with compliance requirements with Minority/Women-owned Business Enterprise (M/WBE) requirements with the New York City Department of Small Business Services (DSBS).
The firm also has experience guiding owners through burgeoning tax incentive programs in New York City and New York State.
Our firm provides due diligence reviews for prospective lenders and purchasers that are seeking tax incentives or are subject to regulatory agreements.
