QUESTION
What are the characteristics of buildings that received J-51 tax incentives?
0:35:26
·
146 sec
The deputy commissioner explains the typical characteristics of buildings that received J-51 tax incentives.
- The buildings tend to be older, with a median year built of 1929 for recipients in the last 15 years.
- The median size is 42 units, though many smaller 6-story buildings also used the program.
- It is not an affordability program, but helps stabilize rents by passing renovation costs to current rather than future residents.
- In the past, rental buildings had to be rent-stabilized or otherwise regulated to qualify, while co-ops/condos needed to be below an assessed value cap or regulated.
- Some recipients were regulated affordable housing like Mitchell-Lamas that used J-51 for additional renovation work after an initial loan closed.
Pierina Ana Sanchez
0:35:26
And just getting back to the question was just seeking a breakdown of what kinds of what are the characteristics of buildings that received the incentives.
0:35:34
So age of properties, regulatory status, whether they were regulation or not, or they received other government assistance.
0:35:42
And what whatever we might know about building size and and AMI of building residents.
Kim Darga
0:35:49
Okay.
0:35:50
So I think I have some of that information.
0:35:55
J51 applicants the buildings tend to be older.
0:36:02
This is some of our oldest housing stock, often times that's applying for the program.
0:36:08
The medium year builds for applicants, the 96100 buildings that were assisted in the last 15 years, The median year built was 19 29.
0:36:21
The median size was 42 units.
0:36:24
The average was below that.
0:36:25
We do tend to see a a lot of smaller buildings that are using the program, and it was typically like a six story building.
0:36:36
We This is not an affordability program.
0:36:38
It's a stabilization program.
0:36:40
And there's there's certainly our benefits from an affordability perspective for the residents because because the cost of the work is now passed on to them, not passed on to future residents.
0:36:51
But the primary requirement in the past for rental buildings has been rent stabilization or that they are otherwise regulated by the city.
0:37:04
And the primary requirement for condos co ops was that they had an assessed value under the cap or were otherwise regulated by the city.
0:37:11
I do think I don't think I have a breakdown of how many of the properties in the past were regulated affordable housing, but we do know Mittalamas, for example, have been main users, big users of j51.
0:37:29
And there are some other regulated housing projects that use J51 in the past or may have had a partial benefit and then had additional work they needed to do, you know, after we closed down a loan, 10 years in, and would apply for J51.
0:37:49
Yes.
0:37:49
I think that's what I know.
Pierina Ana Sanchez
0:37:51
Okay.