Section 489-DDD. Real property tax exemption

1.  A  real property tax
  exemption pursuant to this title shall be granted to an  applicant  who,
  within a period of thirty-six months, or following an extension pursuant
  to section four hundred eighty-nine-hhh of this title within a period of
  forty-eight  months,  from  the  date  of  issuance  of a certificate of
  eligibility  has  completed  reconstruction  or  construction  work   in
  accordance  with  the  plans approved by the board in the certificate of
  eligibility. The amount of the tax  exemption  shall  be  determined  as
  follows:
    (a)  In  the  case  of  an  applicant  who  has  completed  industrial
  construction or reconstruction work, or commercial  reconstruction  work
  designated  as of right pursuant to section four hundred eighty-nine-ccc
  of this title or as specially needed pursuant to  section  four  hundred
  eighty-nine-eee  of  this  title,  the  tax exemption shall continue for
  nineteen tax years in an amount decreasing by five per centum each  year
  from  an  exemption  of ninety-five per centum of the exemption base, as
  defined in paragraph (d) of this subdivision.
    (b) In the case of an applicant who  has  completed  other  commercial
  reconstruction  work,  or new commercial construction work designated as
  of right pursuant to section four hundred eighty-nine-ccc of this  title
  or  as specially needed pursuant to section four hundred eighty-nine-eee
  of this title, the tax exemption shall continue for ten tax years, in an
  amount decreasing by five per centum each  year  from  an  exemption  of
  fifty per centum of the exemption base.
    (c) In the case of an applicant who has completed other new commercial
  construction work, the exemption shall continue for five tax years in an
  amount decreasing by ten per centum each year from an exemption of fifty
  per centum of the exemption base.
    (d)  The  term  "exemption base" shall mean the difference between the
  final assessed value of the property as determined  upon  completion  of
  the  construction  or  reconstruction  work  and  the  lesser of (i) the
  assessed value of  the  property  at  the  time  an  application  for  a
  certificate  of  eligibility pursuant to this title is made, or (ii) the
  assessed value as may thereafter be reduced pursuant to  application  to
  the tax commission.
    The tax exemption shall be computed according to the following tables:
 
                CONSTRUCTION OR RECONSTRUCTION OF INDUSTRIAL
               STRUCTURES OR RECONSTRUCTION OF AS OF RIGHT OR
                   SPECIALLY NEEDED COMMERCIAL STRUCTURES
         Year following                             Percentage of
         completion of work                           exemption
                 1.                                      95
                 2.                                      90
                 3.                                      85
                 4.                                      80
                 5.                                      75
                 6.                                      70
                 7.                                      65
                 8.                                      60
                 9.                                      55
                10.                                      50
                11.                                      45
                12.                                      40
                13.                                      35
                14.                                      30
                15.                                      25
                16.                                      20

                17.                                      15
                18.                                      10
                19.                                       5
                RECONSTRUCTION OF OTHER COMMERCIAL STRUCTURES
                 OR CONSTRUCTION OF AS OF RIGHT OR SPECIALLY
                        NEEDED COMMERCIAL STRUCTURES
         Year following                             Percentage of
         completion of work                           exemption
                 1.                                      50
                 2.                                      45
                 3.                                      40
                 4.                                      35
                 5.                                      30
                 6.                                      25
                 7.                                      20
                 8.                                      15
                 9.                                      10
                10.                                       5
               CONSTRUCTION OF OTHER NEW COMMERCIAL STRUCTURES
         Year following                             Percentage of
         completion of work                           exemption
                 1.                                      50
                 2.                                      40
                 3.                                      30
                 4.                                      20
                 5.                                      10
 
    2.  The  taxes  payable  during  the  period  from  the  issuance of a
  certificate of eligibility to the approval of the tax exemption pursuant
  to section four hundred eighty-nine-fff of this title shall be  paid  on
  the lesser of:
    (a)  the assessed value of the property at the time an application for
  a certificate of eligibility pursuant to this title is made, or (b)  the
  assessed  value  as may thereafter be reduced pursuant to application to
  the  tax  commission,  provided,  however,  that  if  reconstruction  or
  construction  is  not completed in accordance with the plans approved in
  the certificate of eligibility including any amendments  thereto,  taxes
  shall be due and payable retroactively as otherwise required by law.
    3.  In  all  cases  where the board shall have issued a certificate of
  eligibility prior to January first,  nineteen  hundred  eighty-two,  the
  exemption  percentage  shall  apply  to  any  subsequent increase in the
  assessed valuation of the property during the tenure of  the  exemption.
  Where  the  board  has  issued  a certificate of eligibility on or after
  January first, nineteen hundred  eighty-two,  the  exemption  percentage
  shall  apply to any subsequent increase in the assessed valuation of the
  property during the first two years after approval of the tax  exemption
  pursuant   to  section  four  hundred  eighty-nine-fff  of  this  title.
  Commencing two years after approval of the  tax  exemption  pursuant  to
  section  four  hundred  eighty-nine-fff  of  this  title,  the exemption
  percentage shall apply to any subsequent increase in assessed  valuation
  of  the property only to the extent such increase is attributable to the
  construction or reconstruction  work  approved  in  the  certificate  of
  eligibility.
    4.  The  provisions  of  this title shall not apply to any increase in
  assessed value resulting from the construction or  reconstruction  of  a
  residential  structure  on any property receiving an exemption under the
  provisions of this title. The  provisions  of  this  title  shall  apply

  exclusively to those structures and the lands underlying them which were
  identified explicitly in the certificate of eligibility.
    5.  The  provisions  of  this  title  shall  not  apply  if any new or
  rehabilitated construction displaces or replaces a building or buildings
  containing more than twenty-five occupied dwelling units in existence on
  the date an application for certificate of eligibility is submitted  for
  preliminary approval pursuant to section four hundred eighty-nine-eee of
  this  title,  which  are  administered under the local emergency housing
  rent control  act,  the  rent  stabilization  law  of  nineteen  hundred
  sixty-nine   or   the   emergency  tenant  protection  act  of  nineteen
  seventy-four, unless a certificate of eviction has been issued  for  any
  of the displaced or replaced units pursuant to the powers granted by the
  city rent and rehabilitation law.
    6.  The  provisions  of this title shall not apply to an applicant who
  has commenced construction or reconstruction work prior to the  granting
  of  a certificate of eligibility except where applicant, having filed an
  application for a certificate of eligibility receives written permission
  to commence from the board or its designated representative prior to the
  granting  of  a  certificate  of  eligibility.  Demolition  of  existing
  structures, site preparation limited to grading, filling or clearing, or
  the  curing  of  a  safety  or sanitary hazard shall not be deemed to be
  commencement of construction or reconstruction work.
    7. Any property enjoying the benefits of a tax exemption  approved  by
  the  board  shall  be  ineligible  for  any subsequent or additional tax
  exemption pursuant to the provisions of this title until the  expiration
  of  the original exemption period or earlier termination of the existing
  exemption by action of the tax commission.