In Hochul's proposed 421-a extension, a lifeline for B5 tower (and others with foundation starts). Gov. will work with Legislature on renewal of tax break.
In her proposed FY 2024 Executive Budget, Gov. Kathy Hochul, among her housing proposals , has offered real estate developers a significant benefit, with an extension of the construction deadline for projects fueled by the 421-a tax break for more than 4.5 years: In order to unlock thousands of units of housing currently under construction, the Executive Budget extends the 421-A construction deadline through 2030. The Budget also expands HCR’s Tenant Protection Unit as part of a multi-year investment to provide targeted support for tenants in upstate New York. Of course "currently under construction" is a bit of a dodge, since many developers simply did preliminary work on foundations by June 15, 2022 to qualify for the tax break--and may not have proceeded since then. There are many reasons for delay, but one, as the Real Deal has reported , is that the June 15, 2026 deadline for construction was getting tenuous, since lenders wanted the buildings completed a year early. If