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UDAAP
UDAAP
The UDAAP Tax Incentive is a tax exemption for rehabilitation or new construction of housing in Urban Development Action Area Project (UDAAP) areas.
UDAAP Tax Incentive
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Eligible Projects
Eligible projects include rehabilitation or new construction of housing on formerly city-owned land, including properties that were transferred to a third party through Local Law 37, in an area which the City Council determines to be in need of urban renewal.
Benefits Granted
Up to a 20-year (10 years full + 10 years phase out) exemption from real estate taxes on the assessed value of the building. The exemption does not, however, affect taxes on land value.
Procedural Requirements
The City Council must pass a resolution designating the project a UDAAP and authorizing exemption. HPD usually requests the resolution. HPD then issues a Certificate of Eligibility and the Department of Finance (DOF) implements the benefits.
How to Apply
Contact ArtXI_420c_UDAAP@hpd.nyc.gov for information.