Surprise! The vast majority of residential buildings that get the city’s lavish 421a property tax breaks are located in the wealthiest districts.
So says a map provided by the Independent Budget Office. Per the IBO, in all, the tax breaks cost the city $1 billion a year in uncollected revenue. More than 150,000 units of housing get the break.
The 421a law exempts certain residential buildings for terms of 10 to 25 years. The payoff is that the developer often has to build affordable housing, either into the development or elsewhere.