NYC’s ICAP Tax Abatement Extended Until 2029
September 24, 2024The New York City Industrial and Commercial Abatement Program ("ICAP") has been extended to remain in effect through early 2029. New York Governor Kathy Hochul signed a bill extending the ICAP program which was scheduled to sunset for new applications on March 1, 2025.
The ICAP program is a tax abatement available for properties located within New York City with the exception of 59th to 96th Street in Manhattan. To be eligible, industrial and commercial buildings must be built, modernized, expanded or otherwise physically improved. The tax benefit is equal to 115% of the increase on the building portion of the tax accumulated during a construction period, for a benefit term of upwards of twenty-five years, depending upon the property’s location.
Applicants must apply for ICAP benefits prior to the issuance of the first construction permit and must spend a minimum of 30% of the property’s assessed value as set forth in the year in which construction commenced.
Please click here for Herrick’s ICAP Highlights.
For more information on real estate or real estate tax incentive matters, please contact:
Brett J. Gottlieb at 212 592 1455 or [email protected]
© 2024 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.