THE COUNCIL OF THE CITY OF NEW YORK

RESOLUTION NO. 943

Resolution approving an exemption from real property taxes for property located at (Block 2106, Lot 1002) Brooklyn, pursuant to Section 577 of the Private Housing Finance Law (Preconsidered L.U. No. 310).

By Council Member Ferreras-Copeland

WHEREAS, the New York City Department of Housing Preservation and Development (“HPD”) submitted to the Council its request dated September 21, 2015 that the Council take the following action regarding a housing project located at (Block 2106, Lot 1002) Brooklyn (“Exemption Area”):

Approve an exemption of the Project from real property taxes pursuant to Section 577 of the Private Housing Finance Law (the “Tax Exemption”);

WHEREAS, the project description that HPD provided to the Council states that the purchaser of the Project (the “Sponsor”) is a duly organized housing development fund company under Article XI of the Private Housing Finance Law;

WHEREAS, the Council has considered the financial implications relating to the Tax Exemption;

RESOLVED:

The Council hereby grants an exemption from real property taxes as follows:

1.                     For the purposes hereof, the following terms shall have the following meanings:

(a)                     “Effective Date” shall mean April 15, 2011.

(b)                     “Exemption” shall mean the exemption from real property taxation provided hereunder with respect to the Exemption Area.

(c)                     “Exemption Area” shall mean the real property located in the Borough of Brooklyn, City and State of New York, identified as Block 2106, Lot 1002 on the Tax Map of the City of New York.

(d)                     “Expiration Date” shall mean the earlier to occur of (i) a date which is forty (40) years from the Effective Date, (ii) the date of the expiration or termination of the Regulatory Agreement, or (iii) the date upon which the Exemption Area ceases to be owned by either a housing development fund company or an entity wholly controlled by a housing development fund company.

(e)                     “HDFC” shall mean Community Access Housing Development Fund Company, Inc.

(f)                     “HPD” shall mean the Department of Housing Preservation and Development of the City of New York.

(g)                     “J-51 Benefits” shall mean any tax benefits pursuant to Section 489 of the Real Property Tax Law which are in effect on the Effective Date.

(h)                     “Regulatory Agreement” shall mean the Lower Income Housing Plan Written Agreement, dated November 17, 2006, between HPD and 96 Rockwell LLC.

2.                     All of the value of the property in the Exemption Area, including both the land and any improvements (excluding those portions, if any devoted to business or commercial use) shall be exempt from real property taxation, other than assessments for local improvements, for a period commencing upon the Effective Date and terminating upon Expiration Date.

3.                     Notwithstanding any provision hereof to the contrary:

(a)                     The Exemption shall terminate if HPD determines at any time that (i) the Exemption Area is not being operated in accordance with the requirements of Article XI of the Private Housing Finance Law, (ii) the Exemption Area is not being operated in accordance with the requirements of the Regulatory Agreement, (iii) the Exemption Area is not being operated in accordance with the requirements of any other agreement with, or for the benefit of, the City of New York,  (iv)  the Exemption Area is conveyed to a new owner without the prior written approval of HPD, or (v) the demolition of any private or multiple dwelling on the Exemption Area has commenced without the prior written consent of HPD.  HPD shall deliver written notice of any such determination to Owner and all mortgagees of record, which notice shall provide for an opportunity to cure of not less than sixty (60) days.  If the noncompliance specified in such notice is not cured within the time period specified therein, the Exemption shall prospectively terminate.

(b)  Nothing herein shall entitle the HDFC to a refund of any real property taxes which accrued and were paid by or on behalf of the HDFC or any other owner of the Exemption Area prior to the Effective Date.

4.                     In consideration of the Exemption, the HDFC, for so long as the Exemption shall remain in effect, shall waive the benefits of any additional or concurrent exemption from or abatement of real property taxation which may be authorized under any existing or future local, state, or federal law, rule, or regulation.  Notwithstanding the preceding sentence, the J-51 Benefits shall remain in effect, but the Exemption shall be reduced by the amount of such J-51 Benefits as provided herein.

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 December 16, 2015, on file in this office.

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City Clerk, Clerk of Council