New York Laws
Title 4 - Tax Abatement for Certain Commercial Properties in a City of One Million or More Persons
499-C - Eligibility Requirements.

(a) the landlord enters into a lease for eligible premises with a new
tenant or a renewal tenant and:
(1) the lease commencement date is within the eligibility period;
(2) (i) if, by the sixtieth day following the rent commencement date,
such new or renewal tenant employs one hundred twenty-five or fewer
employees in the eligible premises, the initial lease term is for a
period of at least five years or, with respect to a lease commencing on
or after April first, nineteen hundred ninety-seven, the initial lease
term is for a period of at least three years; or (ii) if, by the
sixtieth day following the rent commencement date, such new or renewal
tenant employs more than one hundred twenty-five employees in the
eligible premises, the initial lease term is for a period of at least
ten years; and
(3) (i) if the lease is with a new tenant required to sign a lease
with an initial lease term of at least five years, expenditures on
improvements to the eligible premises and the common areas of the
eligible building are in an amount at least equal to ten dollars per
square foot, provided, however, that with respect to a lease commencing
on or after April first, nineteen hundred ninety-seven, if, by the
sixtieth day following the rent commencement date, the new tenant
employs one hundred twenty-five or fewer employees in the eligible
premises, expenditures on improvements to the eligible premises and the
common areas of the eligible building are in an amount at least equal to
five dollars per square foot; or (ii) if the lease is with a new tenant
required to sign a lease with an initial lease term of at least ten
years, expenditures on improvements to the eligible premises and the
common areas of the eligible building are in an amount at least equal to
thirty-five dollars per square foot; or (iii) if the lease is with a
renewal tenant, expenditures on improvements to the eligible premises
and the common areas of the eligible building are in an amount at least
equal to ten dollars per square foot for any premises previously
occupied by such renewal tenant, provided, however, that with respect to
a lease commencing on or after April first, nineteen hundred
ninety-seven, if, by the sixtieth day following the rent commencement
date, the renewal tenant employs one hundred twenty-five or fewer
employees in the eligible premises previously occupied by such renewal
tenant, expenditures on improvements to the eligible premises and the
common areas of the eligible building are in an amount at least equal to
five dollars per square foot; and in an amount at least equal to the
amount specified in clause (i) or (ii) of this subparagraph, depending
upon the required initial lease term, for any premises not previously
occupied by such renewal tenant; or
(b) the landlord enters into a lease with an expansion tenant for
expansion premises and:
(1) the lease commencement date is within the eligibility period;
(2) (i) if, by the sixtieth day following the rent commencement date,
such expansion tenant employs one hundred twenty-five or fewer employees
in the expansion premises, the initial lease term for the expansion
premises is for a period of at least five years or, with respect to a
lease commencing on or after April first, nineteen hundred ninety-seven,
the initial lease term is for a period of at least three years; or (ii)
if, by the sixtieth day following the rent commencement date, such
expansion tenant employs more than one hundred twenty-five employees in
such expansion premises, the initial lease term for the expansion
premises is for a period of at least ten years; and
(3) (i) if the lease is with an expansion tenant required to sign a
lease with an initial lease term of at least five years, expenditures on
improvements to the expansion premises and the common areas of the
eligible building are in an amount at least equal to ten dollars per
square foot, provided, however, that with respect to a lease commencing
on or after April first, nineteen hundred ninety-seven, if, by the
sixtieth day following the rent commencement date, the expansion tenant
employs one hundred twenty-five or fewer employees in the expansion
premises, expenditures on improvements to the expansion premises and the
common areas of the eligible building are in an amount at least equal to
five dollars per square foot; or (ii) if the lease is with an expansion
tenant required to sign a lease with an initial lease term of at least
ten years, expenditures on improvements to the expansion premises and
the common areas of the eligible building are in an amount at least
equal to thirty-five dollars per square foot.
2. No abatement shall be granted pursuant to this title if an
applicant shall fail to meet any of the requirements of this title
within sixty days of the rent commencement date; provided that for a
lease with a renewal tenant, the expenditures on improvements required
by subdivision one of this section shall be made within one year of the
lease commencement date.
3. (a) For purposes of determining whether the amount of expenditures
required by subdivision one of this section have been satisfied,
expenditures on improvements to the common areas of an eligible building
shall be included only if work on such improvements commenced and the
expenditures are made on or after April first, nineteen hundred
ninety-five and on or before September thirtieth, two thousand
twenty-eight; provided, however, that expenditures on improvements to
the common areas of an eligible building made prior to three years
before the lease commencement date shall not be included.
(b) The landlord may allocate expenditures on improvements to the
common areas of an eligible building to eligible tenants in such manner
as reasonably relates to such eligible tenants.
4. For purposes of this title, the expiration date of a lease shall be
determined by the expiration date set forth in such lease, without
giving effect to any rights of the landlord or the tenant to terminate
such lease prior to the expiration date set forth therein.
5. The lease for the eligible premises shall contain the following
provisions:
(a) a statement of the tenant's percentage share;
(b) a statement informing the tenant in at least twelve-point type
that:
(1) an application for abatement of real property taxes pursuant to
this title will be made for the premises;
(2) the rent, including amounts payable by the tenant for real
property taxes, will accurately reflect any abatement of real property
taxes granted pursuant to this title for the premises;
(3) at least ten dollars per square foot or thirty-five dollars per
square foot must be spent on improvements to the premises and the common
areas, the amount being dependent upon the length of the lease and
whether it is a new or a renewal lease, provided, however, that with
respect to a lease commencing on or after April first, nineteen hundred
ninety-seven, if, by the sixtieth day following the rent commencement
date, the tenant employs one hundred twenty-five or fewer employees in
the relevant premises, at least five dollars per square foot must be
spent on improvements to the premises and the common areas; and
(4) all abatements granted with respect to a building pursuant to this
title will be revoked if, during the benefit period, real estate taxes

or water or sewer charges or other lienable charges are unpaid for more
than one year, unless such delinquent amounts are paid as provided in
subdivision four of section four hundred ninety-nine-f of this title.
6. No abatement shall be granted pursuant to this title if:
(a) a tenant has relocated from any area of the borough of Manhattan
north of the center line of 96th Street or from any portion of the
boroughs of the Bronx, Brooklyn, Queens, or Staten Island;
(b) the lease for the eligible premises provides that during the
initial lease term required by subdivision one of this section either
the landlord or the tenant may terminate such lease prior to the
expiration date of such required initial lease term; provided that such
lease may provide that either the landlord or the tenant may terminate
such lease if (1) the other party is in default of any of such party's
obligations under the lease, (2) the eligible premises are damaged or
destroyed by fire or other casualty, (3) the eligible premises are
rendered unusable for any reason not attributable to any act or failure
to act of either tenant or landlord, or (4) the eligible premises are
acquired by eminent domain; and
(c) there are real property taxes, water or sewer charges or other
lienable charges currently due and owing on the eligible building which
is the subject of an application for abatement pursuant to this title,
unless such real property taxes or charges are currently being paid in
timely installments pursuant to a written agreement with the department
of finance or other appropriate agency.
7. No abatement shall be granted pursuant to this title unless the
applicant shall file, together with the application, an affidavit
setting forth the following information:
(a) a statement that within the seven years immediately preceding the
date of application for a certificate of abatement, neither the
applicant nor any person owning a substantial interest in the eligible
building as defined in paragraph (c) of this subdivision, nor any
officer, director or general partner of the applicant or such person was
finally adjudicated by a court of competent jurisdiction to have
violated section two hundred thirty-five of the real property law or any
section of article one hundred fifty of the penal law or any similar
arson law of another jurisdiction with respect to any building, or was
an officer, director or general partner of a person at the time such
person was finally adjudicated to have violated such law; and
(b) a statement setting forth any pending charges alleging violation
of section two hundred thirty-five of the real property law or any
section of article one hundred fifty of the penal law or any similar
arson law of another jurisdiction with respect to any building by the
applicant or any person owning a substantial interest in the eligible
building as defined in paragraph (c) of this subdivision, or any
officer, director or general partner of the applicant or such person, or
any person for whom the applicant or person owning a substantial
interest in the eligible building is an officer, director or general
partner.
(c) for purposes of this subdivision and subdivision seven of section
four hundred ninety-nine-f of this title, "substantial interest" shall
mean ownership and control of an interest of ten per centum or more in
the eligible building or in any person owning the eligible building.