Developers are in a hurry to break ground on their projects before a tax abatement program expires in June.
It’s unclear what will happen to the 421-a tax abatement program, which allows developers of rental units to reduce their real estate taxes on new projects for up to 25 years, according to Crain’s. Assembly Speaker Sheldon Silver’s arrest and resignation have only added to the uncertainty.
While the program will likely be renewed, the website reported, changes that will make the measure less generous to developers are likely. All of this has caused developers to act swiftly and start building.
Toby Moskovits will soon start construction on two apartment buildings that she is planning to build in Long Island City and Crown Heights. Madison Realty Capital co-founder Joshua Zegen is working to start building an eight-story residential development at the former location of a bagel factory in Clinton Hill. [Crain’s] — Claire Moses