Relocation and Employment Assistance Program



Finance, Department of City
The Relocation and Employment Assistance Program (REAP) offers business income tax credits for relocating jobs from outside of New York City or below 96th Street in Manhattan to designated locations above 96th Street in Manhattan or in one of the other four boroughs.

To apply, the eligible business has to move at least one employee from outside the REAP area to a qualified location.

  • An annual credit of $3,000 for twelve years per eligible employee, or per "eligible aggregate employment share" for relocating to a designated location. Qualified locations are revitalization areas and are zoned by the City as C4C5C6M1M2, or M3; or
  • An annual credit of $1,000 per share for relocating to parts of the eligible area that are not revitalization areas.
    • The credit may be taken against the following:
      • NYC General Corporation Tax (GCT)
      • Banking Corporation Tax (BCT)
      • Unincorporated Business Tax (UBT), and/or
      • Utility Tax

Credits are refundable for the year of relocation and the next four years. Unused credits from subsequent years may be carried forward for five years.

Eligible Businesses

  • Must have conducted substantial business operations either outside New York City or below 96th Street in Manhattan for at least 24 consecutive months immediately before relocating.
  • Most retail activities and hotel services do not qualify; however, internet sales and sales by mail or telephone may qualify.

Eligible Premises

  • Must be nonresidential.
  • Must have been improved by construction or renovation.
  • Expenditures for improvements to the property must be more than 50% of the assessed value for commercial property or 25% of the assessed value for industrial property.
  • For relocations on or after July 1, 2003, the new location must meet either the Property or Premises Criteria detailed below. For relocations before July 1, 2003, the new location must meet the Property Criteria.
    • Property Criteria - Eligible premises must be located in property that is one of the following:
      • Eligible for the Industrial and Commercial Incentive Program (ICIP) (Please note that the Industrial and Commercial Abatement Program (ICAP), which replaced ICIP, does not provide for REAP eligibility.);
      • Leased from the New York City Industrial Development Agency;
      • Owned by the City; or
      • Leased from the Port Authority or New York State Urban Development Corporation.
    • Premises Criteria
      • If leased, the lease term must be at least three years after the lease start date or the date of relocation, whichever is later.
      • Expenditures for improvements to the premises of more than $25 per square foot must be made on or after July 1, 2003.

Mayoral Discretion
Although relocations from lower Manhattan to the eligible area qualify for REAP, the Mayor has discretion to limit REAP benefits for businesses that reduce their number of employees in lower Manhattan to relocate elsewhere. For relocations from lower Manhattan before July 1, 2005, the Mayor may only limit REAP benefits to businesses that reduce staff in lower Manhattan by more than 100 employees. For relocations on or after July 1, 2005 any reduction of staff in Lower Manhattan may result in a reduction of benefits.

Deadlines - The application deadline was extended to June 30, 2025.  You must file for annual re-certification for each eligible year. 

Next: Apply

NYC Department of Finance (DOF)
A&E REAP Group
59 Maiden Lane, 19th Floor
New York, NY 10038
For further assistance, please call 311 and ask for: Relocation and Employment Assistance Program

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