§ 421-J — Exemption of capital investment in multiple dwelling buildings within certain cities

* § 421-j. Exemption of capital investment in multiple dwelling\nbuildings within certain cities. 1. New construction of a multiple\ndwelling building, reconstruction, alteration, or improvement of a\npre-existing multiple dwelling building or structure which is to be\noccupied or is occupied as a residence or home and consists of no less\nthan four units, whether such dwelling is rented or owned as a\ncooperative or condominium, and is located in any city having a\npopulation of more than fifty-five thousand but less than fifty-six\nthousand as determined by the latest federal decennial census, where\nsuch construction or renovation is initiated subsequent to the effective\ndate of a local law pursuant to this section shall be exempt from\ntaxation and special ad valorem levies to the extent provided in this\nsection. After a public hearing, the governing board of such city may\nadopt a local law to grant the exemption authorized pursuant to this\nsection. A copy of such local law shall be filed with the commissioner\nand the assessor of such city who prepares the assessment roll on which\nthe taxes of such city are levied.\n 2. (a) Such buildings within such city shall be exempt for a period of\none year to the extent of one hundred percent of the increase in\nassessed value attributable to such new construction, reconstruction,\nalteration or improvement and for an additional period of seven years as\nillustrated in the following table:\n Year Exemption: percentage of increase in assessed value\n 2 87.5\n 3 75\n 4 62.5\n 5 50\n 6 37.5\n 7 25\n 8 12.5\n (b) No such exemption shall be granted for construction,\nreconstruction, alteration or improvements unless:\n (i) such reconstruction, alteration or improvement was commenced\nsubsequent to the effective date of the local law adopted pursuant to\nsubdivision one of this section by such city; and\n (ii) the value of such new construction, reconstruction, alteration or\nimprovement exceeds fifteen thousand dollars per unit; and\n (iii) a valid building permit shall have been issued.\n (c) For purposes of this section the terms construction,\nreconstruction, alteration and improvement shall not include ordinary\nmaintenance and repairs.\n 3. Such exemption shall be granted only upon application by the owner\nof such building on a form prescribed by the commissioner. The\napplication shall be filed with the assessor of such city on or before\nthe appropriate taxable status date of such city.\n 4. If satisfied that the applicant is entitled to an exemption\npursuant to this section, the assessor shall approve the application and\nsuch building shall thereafter be exempt from taxation and special ad\nvalorem levies as provided in this section commencing with the\nassessment roll prepared on the basis of the taxable status date\nreferred to in subdivision three of this section. The assessed value of\nany exemption granted pursuant to this section shall be entered by the\nassessor on the assessment roll with the taxable property, with the\namount of the exemption shown in a separate column.\n 5. In the event that a building granted an exemption pursuant to this\nsection ceases to be used primarily for residential purposes or title\nthereto is transferred to other than the heirs or distributees of the\nowner, the exemption granted pursuant to this section shall cease.\n 6. (a) The enactment of a local law in such city may:\n (i) reduce the percent of exemption otherwise allowed pursuant to this\nsection;\n (ii) limit eligibility for the exemption to those forms of new\nconstruction, reconstruction, alteration or improvement as are\nprescribed in such local law or resolution;\n (iii) provide that the exemption shall be applicable only to those\nimprovements which would otherwise result in an increase in the assessed\nvaluation of the real property but which consist of an addition,\nremodeling or modernization to an existing multiple residence structure\nto prevent physical deterioration of the structure or to comply with\napplicable building, sanitary, health and/or fire codes.\n (b) No such local law shall reduce or repeal an exemption granted\npursuant to this section until the expiration of the period for which\nsuch exemption was granted.\n 7. No additional exemptions shall apply.\n * NB There are 2 § 421-j's\n