Thanks to Governor Hochul’s newly signed executive order, 421-a projects in the Gowanus rezoning area at risk of missing the June 15, 2026 completion of construction deadline may how have another option. Projects that began construction on or before June 15, 2022 may be eligible for the Governor’s proposed Payment in Lieu of Taxes (PILOT) program, which would allow building owners to pay the reduced taxes they would have owed had their project received 421-a benefits. Although this program must still be approved by the Empire State Development Board of Directors and the Public Authorities Control Board, the Governor’s proposal brings hope that there is a path forward to enable tax exemptions for privately financed residential development in New York City. Seiden & Schein, P.C. will continue to provide updates as we learn more about this exciting possibility.
For more information, please contact:
Alvin Schein aschein@seidenschein.com
Jay Seiden jseiden@seidenschein.com
Jason Hershkowitz jhershkowitz@seidenschein.com
David Shamshovich dshamshovich@seidenschein.com
Seiden & Schein, P.C.
570 Lexington Avenue, 14th Floor
New York, New York 10022
Tel.: (212) 935-1400
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