§ 581. Assessment of residential cooperative, condominium and rental
property. 1. (a) Notwithstanding any other provision of law, real
property owned or leased by a cooperative corporation or on a
condominium basis shall be assessed for purposes of this chapter at a
sum not exceeding the assessment which would be placed upon such parcel
were the parcel not owned or leased by a cooperative corporation or on a
condominium basis.

(b) The provisions of paragraph (a) of this subdivision shall not
apply to such real property classified within:

(i) on and after January first, nineteen hundred eighty-six, class one
of section one thousand eight hundred two of this chapter; or

(ii) on and after January first, nineteen hundred eighty-four, the
homestead class of an approved assessing unit which has adopted the
provisions of section one thousand nine hundred three of this chapter,
or the homestead class of the portion outside an approved assessing unit
of an eligible split school district which has adopted the provisions of
section nineteen hundred three-a of this chapter; provided, however,
that, in an approved assessing unit which adopted the provisions of
section one thousand nine hundred three of this chapter prior to the
effective date of this subdivision, paragraph (a) of this subdivision
shall apply to all such real property (i) which is classified within the
homestead class pursuant to paragraph one of subdivision (e) of section
one thousand nine hundred one of this chapter and (ii) which, regardless
of classification, was on the assessment roll prior to the effective
date of this subdivision unless the governing body of such approved
assessing unit provides by local law adopted after a public hearing,
prior to the taxable status date of such assessing unit next occurring
after December thirty-first, nineteen hundred eighty-three, that such
paragraph (a) shall not apply to such real property to which this clause
applies.

(c) The provisions of paragraph (a) of this subdivision shall not
apply to a converted condominium unit in a municipal corporation, other
than a special assessing unit, which has adopted, prior to the taxable
status date of the assessment roll upon which its taxes will be levied,
a local law or, for a school district, a resolution providing that the
provisions of paragraph (a) of this subdivision shall not apply to
converted condominium units within that municipal corporation. A
converted condominium unit for purposes of this paragraph shall mean a
dwelling unit held in condominium form of ownership that has previously
been on an assessment roll as a dwelling unit in other than condominium
form of ownership, and has not been previously subject to the provisions
of paragraph (a) of this subdivision.

(d) The provisions of paragraph (a) of this subdivision shall not
apply to real property owned or leased by a cooperative corporation or
on a condominium basis in the Town of Greenburgh, in Westchester County,
which has adopted, prior to the taxable status date of the assessment
roll upon which its taxes will be levied, a local law providing that the
provisions of paragraph (a) of this subdivision shall not apply to such
real property within such town; provided, however, the provisions of
this paragraph shall not apply to real property owned or leased by a
cooperative corporation or on a condominium basis that had been
previously subject to the provisions of paragraph (a) of this
subdivision prior to January first, two thousand twenty-three; provided
further, however, the provisions of this paragraph shall not apply to
real property owned or leased by a cooperative corporation or on a
condominium basis that is participating in an affordable housing tax
credit program or has a regulatory agreement with a federal, state, or
local agency related to affordable housing requirements.

2. Real property owned or leased by a cooperative corporation or on a
condominium basis which is located in an approved assessing unit, or
which is not located in an approved assessing unit but which is located
in an eligible split school district which has adopted the provisions of
section nineteen hundred three-a of this chapter, and is not subject to
the provisions of paragraph (a) of subdivision one of this section,
shall be assessed pursuant to the provisions of this subdivision.

(a) The assessor of an assessing unit in which such real property is
located shall compute an assessment which would be placed on such parcel
were the parcel not owned or leased by a cooperative corporation or on a
condominium basis, which value shall be known as the restricted assessed
valuation.

(b) The assessor of such assessing unit in which such real property is
located shall compute an assessment which would be placed on such parcel
without regard to the restrictions found in paragraph (a) of this
subdivision or section three hundred thirty-nine-y of the real property
law, which value shall be known as the assessed valuation.

(c) The assessor of such assessing unit shall enter the assessed
valuation on the assessment roll of such assessing unit and the
restricted assessed valuation in a separate column of the assessment
roll of such assessing unit.

(d) A municipal corporation which levies taxes pursuant to article
nineteen of this chapter shall levy such taxes against the assessed
valuation of such parcels for taxes imposed by or on behalf of such
municipal corporation.

(e) A municipal corporation which does not levy taxes pursuant to
article nineteen of this chapter shall levy such taxes against the
restricted assessed valuation of such parcels for taxes levied by or on
behalf of such municipal corporation.

3. Notwithstanding any other provision of law, real property occupied
for residential purposes on a rental basis (as distinct from a
cooperative or condominium basis) shall be assessed without regard to
the value the property might have if converted to a cooperative or
condominium basis or if sold or owned for the purpose of such a
conversion.

4. For the purposes of this section, the term "cooperative
corporation" shall include any corporation organized under any special
or general law of this state, including, but not limited to, the
business corporation law, the cooperative corporations law, the
not-for-profit corporation law, and the private housing finance law, or
the predecessor statutes thereof, primarily for providing housing
accommodations to its stockholders or members and which is, or is to be,
operated for the benefit of the persons or families who are entitled to
occupancy by reason of ownership of stock or membership in the
corporation.