After two long years since the “lapse” of New York’s 421-a Affordability Housing Program, real estate developers may finally be able to breathe a sigh of relief, as the newly implemented 485-x (Affordable Neighborhoods for New Yorkers [ANNY]) program will bring many of the same real property tax benefits for providing affordable housing as the prior 421-a program.

The good news for developers of rental properties is that the new ANNY program will provide 100% real property tax exemptions for eligible affordable housing projects created through new construction that commences on or before June 15, 2034, and are completed by June 15, 2038. The ANNY program will also extend construction deadlines for projects that were eligible for tax benefits under the 421-a program, but will not reach completion before the original deadline of June 15, 2026.