Section 499-AA. Definitions

When used in this title, the following terms
  shall mean or include:
    1. "Abatement base." The lesser of (i) two dollars and fifty cents  of
  the  tax  liability  per square foot or (ii) fifty per centum of the tax
  liability per square foot; provided, however, that  with  respect  to  a
  lease commencing on or after April first, nineteen hundred ninety-seven,
  the abatement base shall equal the tax liability per square foot subject
  to a maximum of two dollars and fifty cents per square foot.
    2. "Abatement zone." (a) Any area of a city having a population of one
  million  or  more,  provided  that in the city of New York the abatement
  zone shall be any district that is zoned C4, C5 or C6 in accordance with
  the zoning resolution of such city in the borough of Manhattan north  of
  the  center  line  of  96th  Street  or  in  the  boroughs of the Bronx,
  Brooklyn, Queens or Staten Island.
    (b) In addition to the abatement zone set forth in  paragraph  (a)  of
  this  subdivision,  in  the city of New York the abatement zone shall be
  any district that is zoned C4, C5, C6, M1, M2 or M3 in  accordance  with
  the  zoning  resolution of such city in any area of such city except the
  area lying south of the center line of 96th Street  in  the  borough  of
  Manhattan.
    (c)   Notwithstanding   the   provisions  of  paragraph  (b)  of  this
  subdivision, the abatement zone shall also include the  special  garment
  center  district  as  defined  by chapter 1 of article XII of the zoning
  resolution of the city of New York.
    (d) Any tax lot that is partly located inside an abatement zone  shall
  be deemed to be entirely located inside such zone.
    3.  "Aggregate  floor area." The sum of the gross areas of the several
  floors of a building, measured from the exterior faces of exterior walls
  or from the center lines of walls separating two buildings.
    4. "Applicant." The landlord and the tenant.
    5. "Benefit period." The period commencing with the first day  of  the
  month  immediately  following the rent commencement date and terminating
  no later than sixty months  thereafter,  provided,  however,  that  with
  respect  to a lease commencing on or after April first, nineteen hundred
  ninety-seven with an initial lease term of less than five years, but not
  less than three years, the period commencing with the first day  of  the
  month  immediately  following the rent commencement date and terminating
  no later than  thirty-six  months  thereafter,  and  provided,  further,
  however, that with respect to a lease commencing on or after July first,
  two  thousand five for eligible premises defined in subparagraph (ii) of
  paragraph (b) or paragraph (c) of subdivision ten of this  section  with
  an  initial  lease  term  of  not  less  than  three  years,  the period
  commencing with the first day of the  month  immediately  following  the
  rent  commencement date and terminating no later than one hundred twenty
  months thereafter. Notwithstanding the  foregoing  sentence,  a  benefit
  period  shall  expire  no  later  than  March thirty-first, two thousand
  seven, provided, however, that with respect to a lease commencing on  or
  after  July  first,  two  thousand  for  eligible  premises  defined  in
  subparagraph (i) of paragraph (b) of subdivision ten of this section,  a
  benefit  period  shall expire no later than June thirtieth, two thousand
  sixteen, provided,  further,  however  that  with  respect  to  a  lease
  commencing  on  or  after  July  first,  two  thousand five for eligible
  premises defined in subparagraph (ii) of paragraph (b) or paragraph  (c)
  of  subdivision  ten  of  this section, a benefit period shall expire no
  later than June thirtieth, two thousand twenty.
    6. "Billable assessed value." The lesser of the  taxable  transitional
  or  the  taxable  actual assessed value of the eligible building and the
  land on which the eligible building is located for the  fiscal  year  in

  which  the benefit period commences, as computed pursuant to subdivision
  three of section one thousand eight hundred five of this chapter.
    7.  "Department  of  finance."  The  department of finance of any city
  having a population of one million or more.
    8. "Eligible building." (a) With respect to the abatement zone defined
  in paragraph (a) of subdivision two of this section,  a  non-residential
  or  mixed-use  building  that has an aggregate floor area of twenty-five
  thousand square feet or more and that received its  initial  certificate
  of  occupancy  or  initial  temporary  certificate of occupancy prior to
  January first,  nineteen  hundred  seventy-five;  provided  that  if  no
  certificate  of  occupancy  was  required  at  the time the building was
  constructed, other proof acceptable to  the  department  of  finance  is
  submitted  that  demonstrates that the building was constructed prior to
  January first, nineteen hundred seventy-five; and provided further  that
  eligible building shall not include any building owned by a governmental
  agency.  Each condominium unit in a building that meets the requirements
  of this subdivision shall be considered a separate eligible building.
    (b) With respect to the abatement zone defined  in  paragraph  (b)  of
  subdivision  two  of  this  section  for  eligible  premises  defined in
  subparagraph (i) of paragraph (b) of subdivision ten of this section,  a
  non-residential  or  mixed-use building that has an aggregate floor area
  of twenty-five thousand square  feet  or  more  and  that  received  its
  initial  certificate  of  occupancy  or initial temporary certificate of
  occupancy prior to January first, nineteen hundred ninety-nine; provided
  that if no certificate  of  occupancy  was  required  at  the  time  the
  building  was  constructed,  other proof acceptable to the department of
  finance is submitted that demonstrates that the building was constructed
  prior to January  first,  nineteen  hundred  ninety-nine;  and  provided
  further that eligible building shall not include any building owned by a
  governmental  agency. Each condominium unit in a building that meets the
  requirements of this subdivision shall be considered a separate eligible
  building.
    (c) With respect to the abatement zone defined  in  paragraph  (b)  of
  subdivision  two  of  this  section  for  eligible  premises  defined in
  subparagraph (ii) of paragraph (b) of subdivision ten  of  this  section
  and  the  abatement  zone defined in paragraph (c) of subdivision two of
  this  section,  a  non-residential  building;  provided  that   eligible
  building  shall not include any building owned by a governmental agency.
  Each condominium unit in a building that meets the requirements of  this
  subdivision shall be considered a separate eligible building.
    9.  "Eligibility  period." The period commencing April first, nineteen
  hundred ninety-five and terminating  March  thirty-first,  two  thousand
  one,  provided,  however, that with respect to eligible premises defined
  in subparagraph (i) of paragraph (b) of subdivision ten of this section,
  the period commencing July first,  two  thousand  and  terminating  June
  thirtieth,  two  thousand ten, and provided, further, however, that with
  respect to eligible premises defined in subparagraph (ii)  of  paragraph
  (b)  or  paragraph  (c)  of  subdivision ten of this section, the period
  commencing July first, two thousand five and terminating June thirtieth,
  two thousand ten.
    10. "Eligible premises."  (a)  With  respect  to  the  abatement  zone
  defined  in  paragraph  (a) of subdivision two of this section, premises
  located in an eligible building that (a) are occupied or used as offices
  (including ancillary uses) or are occupied or used as retail  space  and
  (b)  are  occupied  or  used  by  a  tenant under a lease that meets the
  eligibility requirements of section four hundred ninety-nine-cc of  this
  title, provided, however, that premises occupied or used as retail space
  shall  not  be  eligible premises unless located in an eligible building

  the premises  of  which  are  occupied  or  used  primarily  as  offices
  (including ancillary uses);
    (b)  With  respect  to  the abatement zone defined in paragraph (b) of
  subdivision two  of  this  section,  premises  located  in  an  eligible
  building  that  are (i) occupied or used as offices (including ancillary
  uses) or are occupied or  used  for  other  lawful  commercial  business
  activities,  but  not  premises  occupied or used as retail space or for
  hotel or residential purposes; or (ii) occupied or used  for  industrial
  and   manufacturing  activities  (including  ancillary  uses),  but  not
  premises occupied or used for hotel or residential purposes; and
    (c) With respect to the abatement zone defined  in  paragraph  (c)  of
  subdivision  two  of  this  section,  premises  located  in  an eligible
  building that are occupied or  used  for  industrial  and  manufacturing
  activities (including ancillary uses), but not premises occupied or used
  for hotel or residential purposes.
    (d)  Notwithstanding  the provisions of subparagraph (ii) of paragraph
  (b) or paragraph  (c)  of  this  subdivision,  premises  located  in  an
  eligible  building  shall  not be eligible for the tax abatement granted
  pursuant to subdivision one-b of section four hundred ninety-nine-bb  of
  this  title unless at least fifty percent of the aggregate floor area of
  such premises is occupied  or  used  for  industrial  and  manufacturing
  activities  (exclusive  of  ancillary  uses)  as  defined in subdivision
  fourteen-a of this section.
    (e) For eligible premises defined in subparagraph  (ii)  of  paragraph
  (b)  or  paragraph  (c)  of  this subdivision, retail space shall be (i)
  occupied solely by the tenant of such eligible premises who has  applied
  for  and  receives  a tax abatement pursuant to this title and (ii) used
  for the purpose of selling or servicing the  products  of  such  tenant.
  Such  retail  space  shall  not  be  deemed  to  be occupied or used for
  industrial and manufacturing activities for purposes of paragraph (d) of
  this subdivision.
    11. "Expansion premises." Eligible premises  leased  by  an  expansion
  tenant to accommodate additional employees.
    12.  "Expansion  tenant."  A  person  who  (a) occupies premises in an
  eligible building under  a  lease  which  does  not  expire  during  the
  eligibility  period  and  (b) executes a lease for expansion premises in
  such eligible building or in another eligible building which lease meets
  the eligibility requirements of section four hundred  ninety-nine-cc  of
  this  title.  For purposes of determining whether expansion premises are
  located in the same or in another eligible building, the  last  sentence
  of subdivision eight of this section shall not be applicable.
    13.  "Fiscal year." The fiscal year of any city having a population of
  one million or more.
    14. "Governmental agency." The United States of America or any  agency
  or instrumentality thereof, the state of New York, the city of New York,
  any  public  corporation (including a body corporate and politic created
  pursuant to agreement or compact between the state of New York  and  any
  other  state),  public  benefit  corporation,  public authority or other
  political subdivision of the state.
    14-a. "Industrial and manufacturing activities." Activities  involving
  the  assembly of goods to create a different article, or the processing,
  fabrication,  or  packaging  of  goods.  Industrial  and   manufacturing
  activities shall not include waste management or utility services.
    15.  "Landlord."  Any  person  who  (a)  controls  all non-residential
  portions of an eligible building,  including,  without  limitation,  the
  record  owner,  the  lessee  under  a  ground  lease,  any  mortgagee in
  possession or any receiver, and (b) who  grants  the  right  to  use  or
  occupy eligible premises to any tenant, provided that landlord shall not

  include  any  lessee  who  at any time during the lease term occupied or
  used or occupies or uses any part of  the  non-residential  portions  of
  such  eligible  building,  other  than premises occupied or used by such
  lessee to provide rental or management services to such building.
    16.  "Lease  commencement  date."  The  date set forth in the lease on
  which the term of the lease commences.
    17. "Mixed-use building." A building used  for  both  residential  and
  commercial  purposes,  provided that more than twenty-five per centum of
  the aggregate floor area of such building is used or held out for use as
  commercial, community facility or accessory use space.
    18. "New tenant." A person who (a) (i) is relocating or expanding from
  premises in a relocation area to eligible  premises,  or  (ii)  occupies
  premises  in an eligible building under a lease which expires during the
  eligibility period and is relocating or expanding to eligible  premises,
  or  (iii) occupies premises in the abatement zone in a building which is
  not an eligible building and is  relocating  or  expanding  to  eligible
  premises,  or  (iv)  does  not  occupy any premises immediately prior to
  executing a lease for eligible  premises,  or  (v)  is  an  owner  of  a
  building  in  the  abatement  zone  who  is  relocating  or expanding to
  eligible premises, and (b) executes a lease which meets the  eligibility
  requirements of section four hundred ninety-nine-cc of this title.
    19.  "Person."  An individual, corporation, limited liability company,
  partnership, association, agency, trust,  estate,  foreign  or  domestic
  government or subdivision thereof, or other entity.
    20.  "Relocation  area." Any area except the abatement zone as defined
  in subdivision two of this section.
    21. "Renewal tenant."  A  person  who  (a)  occupies  premises  in  an
  eligible  building  under  a  lease which expires during the eligibility
  period and (b) executes a lease for the continued occupancy  of  all  or
  part  of  such  premises  or all or part of such premises and additional
  premises in such eligible building, provided such premises are  eligible
  premises  and  such  lease meets the eligibility requirements of section
  four hundred ninety-nine-cc of this title.
    22. "Rent commencement date." The date set forth in the lease on which
  the obligation to pay basic fixed rent shall commence.
    23. "Subtenant." A person whose right to occupy and use  the  eligible
  premises is not derived from a lease with the landlord.
    24.  "Tax  commission."  The  tax  commission  in  any  city  having a
  population of one million or more.
    25. "Tax liability." The product obtained by multiplying the  billable
  assessed value for the fiscal year in which the benefit period commences
  by the tax rate applicable to the eligible building for such fiscal year
  as  set by the local legislative body of any city having a population of
  one million or more.
    26. "Tax liability per square foot." The tax liability divided by  the
  total  number  of square feet in the eligible building, as listed on the
  records of the department of finance.
    27. "Tenant." A person (including  any  successors  in  interest)  who
  executes  a  lease  with the landlord for the right to occupy or use the
  eligible premises  and  who  occupies  or  uses  the  eligible  premises
  pursuant  to  such  lease.  Tenant shall not include any subtenant. When
  used in this title, "tenant" includes "expansion tenant",  "new  tenant"
  and "renewal tenant."
    28.  "Tenant's percentage share." (a) For eligible premises defined in
  paragraph (a) or subparagraph (i) of paragraph (b) of subdivision ten of
  this section, the percentage of the eligible building's aggregate  floor
  area  allocated  to the eligible premises, which shall be presumed to be
  such percentage as set forth in the lease  for  the  eligible  premises;

  provided  that  where the eligible premises includes expansion premises,
  the "tenant's percentage share" shall be calculated on the basis of  the
  percentage  of  the  eligible  building's aggregate floor area allocated
  solely to the expansion premises.
    (b)  For  eligible  premises defined in subparagraph (ii) of paragraph
  (b) or paragraph (c) of subdivision ten of this section, the  percentage
  of  the  eligible  building's  aggregate  floor  area  allocated  to the
  eligible  premises  to  be  occupied  or   used   for   industrial   and
  manufacturing  activities,  as defined in subdivision fourteen-a of this
  section; provided that where the eligible  premises  includes  expansion
  premises,  the  "tenant's  percentage  share" shall be calculated on the
  basis of the eligible building's aggregate floor area  allocated  solely
  to  expansion  premises  to  be  occupied  or  used  for  industrial and
  manufacturing activities.