New York Times: Luxe Builders Chase Dreams of Property Tax Exemptions

Sen. Krueger spoke with New York Times columnist Michael Powell for this piece on abuses in the 421-a tax credit program:

State Senator Liz Krueger watches such unneeded tax subsidies — for energy, insurance, tobacco and luxury development — slip like barges down a darkened canal. She notes that the housing bill “was held hostage so a few well-connected developers could rob taxpayers to the tune of millions.”

Perhaps we should admire the gumption of our developers. They often argue that without tax breaks, the city would be a desert.

But in this case, the property tax exemption arrives as the Extell tower, a dull sheath of blue glass that spirals above the skyline like an exercise in ego architecture, is near completion. Mr. Barnett has been blessed with a retroactive tax break. “A tax incentive given retroactively is the stupidest thing in the world,” notes Senator Krueger, with a tone suggesting that she’s becoming expert in the stupidest things.