Updated 421-a Guidance from HPD

April 28, 2022

The Department of Housing Preservation and Development (HPD) has amended their commencement of construction guidance with regards to the 421-a Affordable New York Program. The guidance now implies that when commencing construction via an Alteration Permit filed in conjunction with a New Building Application, a single commencement date shall be used for the purpose of vesting under the law and establishing a base year for the benefit calculation. Previous guidance utilized two different commencement dates under this option which we considered problematic. We actively advocated for the current guidance and are very pleased with this update. Click here to see the Guidance Memo.

Due to the limited time remaining before the June 15, 2022 construction commencement deadline, we recommend that you contact either Brett Gottlieb or Mitchell Korbey immediately to discuss your 421-a vesting options.

Brett J. Gottlieb at +1 212 592 1455 or [email protected]
Mitchell A. Korbey at +1 212 592 1483 or [email protected]

© 2022 Herrick, Feinstein LLP. This alert is provided by Herrick, Feinstein LLP to keep its clients and other interested parties informed of current legal developments that may affect or otherwise be of interest to them. The information is not intended as legal advice or legal opinion and should not be construed as such.