Relates to the tax exemption of a mutual redevelopment company

Extra tax break for New York City redevelopment co-ops

The law lets the local legislature in a city of 1,000,000+ people (New York City) grant an extra property tax exemption of up to 50 years to a mutual redevelopment company. It takes effect after the prior maximum exemption period ends and only if the city already granted that earlier maximum. During the added period, the residential portion of the project owes a minimum tax equal to the lesser of: 5% of annual rent or carrying charges after subtracting utilities, or the tax paid for that residential portion in the July 1, 2000–June 30, 2001 tax year. This applies only to the residential part of the project and takes effect immediately.