• Agency: NYC Department of Housing Preservation and Development (NYC HPD)
• Status: Currently Available

The 421-b Tax Incentive program was a partial property tax exemption for new construction, conversion, or rehabilitation of owner-occupied, single- and two-family homes. To receive the tax benefit, the reconstruction had to be at least 40 percent of the pre-reconstruction assessed valuation and the construction must have commenced prior to July 1, 2006. For private dwellings that commenced on or after July 1, 2002, construction must have been completed no later than July 1, 2011. Eligible projects received a construction period exemption from taxes upon any increase in assessed valuation over the prior assessed valuation (other than assessments for local improvements) for up to two years, as well as a post-construction eight-year tax exemption.