City taking hard look at 421a tax abatement program

HPD Commissioner Vicki Been said officials eager to make the program more efficient

New York /
Jan.January 30, 2015 09:40 AM

It remains unclear what the future holds for the 421a tax abatement program.

The program, which provides a tax break for developers but sometimes requires the addition of affordable units in their buildings, is set to expire in June. The only thing Housing Preservation and Development commissioner Vicki Been has said about the 421a abatement is that the administration is analyzing the program.

That analysis includes looking for ways to make the tax break more efficient, according to Capital New York

While real estate players back the measure, tenant advocates are lobbying for an end to the program, claiming it benefits big developers, according to the website.

At a recent oversight hearing by the City Council’s housing and budget committee, Been said that the city is looking at how to make the benefit from the tax break no more than is absolutely necessary and how to align it with the department’s other programs, according to the website. [Capital NY] — Claire Moses


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