Preconsidered Res. No. 376
Resolution amending the prior resolution approving an exemption from real property taxes for property located at Block 1812, Lot 42, Brooklyn, pursuant to Section 577 of the Private Housing Finance Law (Preconsidered L.U. No. 44).
By Council Member Lee
WHEREAS, The New York City Department of Housing Preservation and Development (“HPD”) submitted to the Council its request dated February 13, 2026, that the Council take the following action regarding a housing project located at Block 1812, Lot 42, Brooklyn (“Exemption Area”):
Amend Resolution No. 626 (“Prior Resolution”), which authorized a partial tax exemption pursuant to Section 577 of the Private Housing Finance Law for the Exemption Area, by replacing paragraphs 1.c, 1.d and 3 thereof;
WHEREAS, The project description that HPD provided to the Council states that the purchaser of the Project (the “Owner”) is a duly organized housing development fund company under Article XI of the Private Housing Finance Law;
WHEREAS, On May 11, 2023, the Council approved the Prior Resolution;
WHEREAS, Since the approval of the Prior Resolution, HPD ascertained that the rent structure at the project had changed;
WHEREAS, The Prior Resolution must be amended to update the definitions and the partial tax payments provisions;
WHEREAS, The Council has considered the financial implications relating to the Tax Exemption; now, therefore, be it
RESOLVED:
That the Prior Resolution is amended by replacing paragraphs 1.c, 1.d and 3 thereof in their entirety with the following:
1.c. “Contract Rent Differential” shall mean the amount by which the total contract rents applicable to the Exemption Area for such tax year (as adjusted and established pursuant to Section 8 of the United States Housing Act of 1937, as amended) exceed the total contract rents which are authorized as of November 1, 2025.
1.d. “Contract Rent Differential Tax” shall mean the sum of (i) $1,109,838, plus (ii) twenty-five percent (25%) of the Contract Rent Differential; provided, however, the total annual real property tax payment by the Owner shall not at any time exceed the lesser of (A) seventeen percent (17%) of the contract rents in the applicable tax year, or (B) the amount of real property taxes that would otherwise be due in the absence of any form of exemption from or abatement of real property taxation provided by an existing or future local, state, or federal law, rule, or regulation. Notwithstanding the foregoing, if the Owner fails to provide the contract rents on or before the Contract Rent Deadline, Contract Rent Differential Tax shall mean an amount equal to real property taxes that would otherwise be due in such tax year in the absence of any form of exemption from or abatement of real property taxation.
3. Commencing upon the Effective Date, the Owner shall make real property tax payments in the following sums: (i) $536,693 for the period beginning on the Effective Date and ending on June 30, 2024, (ii) $595,621 for the period beginning on July 1, 2024, and ending on June 30, 2025, and (iii) the Contract Rent Differential Tax for the period beginning on July 1, 2025, and for each year thereafter until the Expiration Date.
Office of the City Clerk, }
The City of New York } ss.:
I hereby certify that the foregoing is a true copy of a Resolution passed by The Council of the City of New York on March 10, 2026, on file in this office.
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City Clerk, Clerk of Council