§ 489-ddd. Real property tax exemption. 1. A real property tax
exemption pursuant to this title shall be granted to an applicant who,
within a period of thirty-six months, or following an extension pursuant
to section four hundred eighty-nine-hhh of this title within a period of
forty-eight months, from the date of issuance of a certificate of
eligibility has completed reconstruction or construction work in
accordance with the plans approved by the board in the certificate of
eligibility. The amount of the tax exemption shall be determined as
follows:

(a) In the case of an applicant who has completed industrial
construction or reconstruction work, or commercial reconstruction work
designated as of right pursuant to section four hundred eighty-nine-ccc
of this title or as specially needed pursuant to section four hundred
eighty-nine-eee of this title, the tax exemption shall continue for
nineteen tax years in an amount decreasing by five per centum each year
from an exemption of ninety-five per centum of the exemption base, as
defined in paragraph (d) of this subdivision.

(b) In the case of an applicant who has completed other commercial
reconstruction work, or new commercial construction work designated as
of right pursuant to section four hundred eighty-nine-ccc of this title
or as specially needed pursuant to section four hundred eighty-nine-eee
of this title, the tax exemption shall continue for ten tax years, in an
amount decreasing by five per centum each year from an exemption of
fifty per centum of the exemption base.

(c) In the case of an applicant who has completed other new commercial
construction work, the exemption shall continue for five tax years in an
amount decreasing by ten per centum each year from an exemption of fifty
per centum of the exemption base.

(d) The term "exemption base" shall mean the difference between the
final assessed value of the property as determined upon completion of
the construction or reconstruction work and the lesser of (i) the
assessed value of the property at the time an application for a
certificate of eligibility pursuant to this title is made, or (ii) the
assessed value as may thereafter be reduced pursuant to application to
the tax commission.

The tax exemption shall be computed according to the following tables:

CONSTRUCTION OR RECONSTRUCTION OF INDUSTRIAL

STRUCTURES OR RECONSTRUCTION OF AS OF RIGHT OR

SPECIALLY NEEDED COMMERCIAL STRUCTURES

Year following Percentage of

completion of work exemption

1. 95

2. 90

3. 85

4. 80

5. 75

6. 70

7. 65

8. 60

9. 55

10. 50

11. 45

12. 40

13. 35

14. 30

15. 25

16. 20

17. 15

18. 10

19. 5

RECONSTRUCTION OF OTHER COMMERCIAL STRUCTURES

OR CONSTRUCTION OF AS OF RIGHT OR SPECIALLY

NEEDED COMMERCIAL STRUCTURES

Year following Percentage of

completion of work exemption

1. 50

2. 45

3. 40

4. 35

5. 30

6. 25

7. 20

8. 15

9. 10

10. 5

CONSTRUCTION OF OTHER NEW COMMERCIAL STRUCTURES

Year following Percentage of

completion of work exemption

1. 50

2. 40

3. 30

4. 20

5. 10

2. The taxes payable during the period from the issuance of a
certificate of eligibility to the approval of the tax exemption pursuant
to section four hundred eighty-nine-fff of this title shall be paid on
the lesser of:

(a) the assessed value of the property at the time an application for
a certificate of eligibility pursuant to this title is made, or (b) the
assessed value as may thereafter be reduced pursuant to application to
the tax commission, provided, however, that if reconstruction or
construction is not completed in accordance with the plans approved in
the certificate of eligibility including any amendments thereto, taxes
shall be due and payable retroactively as otherwise required by law.

3. In all cases where the board shall have issued a certificate of
eligibility prior to January first, nineteen hundred eighty-two, the
exemption percentage shall apply to any subsequent increase in the
assessed valuation of the property during the tenure of the exemption.
Where the board has issued a certificate of eligibility on or after
January first, nineteen hundred eighty-two, the exemption percentage
shall apply to any subsequent increase in the assessed valuation of the
property during the first two years after approval of the tax exemption
pursuant to section four hundred eighty-nine-fff of this title.
Commencing two years after approval of the tax exemption pursuant to
section four hundred eighty-nine-fff of this title, the exemption
percentage shall apply to any subsequent increase in assessed valuation
of the property only to the extent such increase is attributable to the
construction or reconstruction work approved in the certificate of
eligibility.

4. The provisions of this title shall not apply to any increase in
assessed value resulting from the construction or reconstruction of a
residential structure on any property receiving an exemption under the
provisions of this title. The provisions of this title shall apply
exclusively to those structures and the lands underlying them which were
identified explicitly in the certificate of eligibility.

5. The provisions of this title shall not apply if any new or
rehabilitated construction displaces or replaces a building or buildings
containing more than twenty-five occupied dwelling units in existence on
the date an application for certificate of eligibility is submitted for
preliminary approval pursuant to section four hundred eighty-nine-eee of
this title, which are administered under the local emergency housing
rent control act, the rent stabilization law of nineteen hundred
sixty-nine or the emergency tenant protection act of nineteen
seventy-four, unless a certificate of eviction has been issued for any
of the displaced or replaced units pursuant to the powers granted by the
city rent and rehabilitation law.

6. The provisions of this title shall not apply to an applicant who
has commenced construction or reconstruction work prior to the granting
of a certificate of eligibility except where applicant, having filed an
application for a certificate of eligibility receives written permission
to commence from the board or its designated representative prior to the
granting of a certificate of eligibility. Demolition of existing
structures, site preparation limited to grading, filling or clearing, or
the curing of a safety or sanitary hazard shall not be deemed to be
commencement of construction or reconstruction work.

7. Any property enjoying the benefits of a tax exemption approved by
the board shall be ineligible for any subsequent or additional tax
exemption pursuant to the provisions of this title until the expiration
of the original exemption period or earlier termination of the existing
exemption by action of the tax commission.