2006 New York Code - Eligibility Requirements.

 
    §  499-cc.  Eligibility requirements. 1. No abatement shall be granted
  pursuant to this title unless:
    (a) the landlord enters into a lease for eligible premises with a  new
  tenant or a renewal tenant and:
    (1) the lease commencement date is within the eligibility period;
    (2)  (i) if, by the sixtieth day following the rent commencement date,
  such new or renewal tenant employs  one  hundred  twenty-five  or  fewer
  employees  in  the  eligible  premises,  the initial lease term is for a
  period of at least five years or, with respect to a lease commencing  on
  or  after  April first, nineteen hundred ninety-seven, the initial lease
  term is for a period of at  least  three  years;  or  (ii)  if,  by  the
  sixtieth  day  following the rent commencement date, such new or renewal
  tenant employs more  than  one  hundred  twenty-five  employees  in  the
  eligible  premises,  the  initial lease term is for a period of at least
  ten years; or (iii) with respect to a lease  for  eligible  premises  as
  defined  in  paragraph  (c)  of  subdivision ten of section four hundred
  ninety-nine-aa of this title commencing on  or  after  July  first,  two
  thousand  five, the initial lease term is for a period of at least three
  years; and
    (3) (i) if the lease is with a new tenant required  to  sign  a  lease
  with  an  initial  lease  term  of  at least five years, expenditures on
  improvements to the eligible  premises  and  the  common  areas  of  the
  eligible  building  are  in an amount at least equal to five dollars per
  square foot, provided, however, that with respect to a lease  commencing
  on  or  after  April  first,  nineteen  hundred ninety-seven, if, by the
  sixtieth day following  the  rent  commencement  date,  the  new  tenant
  employs  one  hundred  twenty-five  or  fewer  employees in the eligible
  premises, expenditures on improvements to the eligible premises and  the
  common areas of the eligible building are in an amount at least equal to
  two  dollars  and  fifty  cents per square foot; or (ii) if the lease is
  with a new tenant required to sign a lease with an initial lease term of
  at least  ten  years,  expenditures  on  improvements  to  the  eligible
  premises  and the common areas of the eligible building are in an amount
  at least equal to twenty-five dollars per square foot; or (iii)  if  the
  lease  is  with  a  renewal  tenant, expenditures on improvements to the
  eligible premises and the common areas of the eligible building  are  in
  an  amount  at  least  equal  to  five  dollars  per square foot for any
  premises previously occupied by such renewal tenant, provided,  however,
  that  with  respect  to  a  lease  commencing  on  or after April first,
  nineteen hundred ninety-seven, if, by the  sixtieth  day  following  the
  rent   commencement   date,  the  renewal  tenant  employs  one  hundred
  twenty-five or fewer  employees  in  the  eligible  premises  previously
  occupied  by  such  renewal  tenant, expenditures on improvements to the
  eligible premises and the common areas of the eligible building  are  in
  an amount at least equal to two dollars and fifty cents per square foot;
  and in an amount at least equal to the amount specified in clause (i) or
  (ii)  of  this  subparagraph,  depending upon the required initial lease
  term, for any premises not previously occupied by such  renewal  tenant;
  or  (iv)  if  the  lease  is  with a new tenant for eligible premises as
  defined in paragraph (c) of subdivision  ten  of  section  four  hundred
  ninety-nine-aa  of  this  title,  expenditures  on  improvements  to the
  eligible premises and the common areas of the eligible building  are  in
  an amount at least equal to two dollars and fifty cents per square foot;
  or  (v)  if  the lease is with a renewal tenant for eligible premises as
  defined in paragraph (c) of subdivision  ten  of  section  four  hundred
  ninety-nine-aa  of  this  title,  expenditures on improvements are in an
  amount at least equal to five dollars per square foot for  any  premises
  previously  occupied  by  such renewal tenant, and in an amount at least
  equal to two dollars and fifty cents per square foot  for  any  premises
  not previously occupied by such renewal tenant; or
    (b)  the  landlord  enters  into  a lease with an expansion tenant for
  expansion premises and:
    (1) the lease commencement date is within the eligibility period;
    (2) (i) if, by the sixtieth day following the rent commencement  date,
  such expansion tenant employs one hundred twenty-five or fewer employees
  in  the  expansion  premises,  the  initial lease term for the expansion
  premises is for a period of at least five years or, with  respect  to  a
  lease commencing on or after April first, nineteen hundred ninety-seven,
  the  initial lease term is for a period of at least three years; or (ii)
  if, by the sixtieth day  following  the  rent  commencement  date,  such
  expansion  tenant employs more than one hundred twenty-five employees in
  such expansion premises,  the  initial  lease  term  for  the  expansion
  premises is for a period of at least ten years; or (iii) with respect to
  a  lease  commencing  on  or  after  July  first,  two thousand five for
  eligible premises as defined in paragraph  (c)  of  subdivision  ten  of
  section  four  hundred  ninety-nine-aa  of this title, the initial lease
  term is for a period of at least three years; and
    (3) (i) if the lease is with an expansion tenant required  to  sign  a
  lease with an initial lease term of at least five years, expenditures on
  improvements  to  the  expansion  premises  and  the common areas of the
  eligible building are in an amount at least equal to  five  dollars  per
  square  foot, provided, however, that with respect to a lease commencing
  on or after April first,  nineteen  hundred  ninety-seven,  if,  by  the
  sixtieth  day following the rent commencement date, the expansion tenant
  employs one hundred twenty-five or  fewer  employees  in  the  expansion
  premises, expenditures on improvements to the expansion premises and the
  common areas of the eligible building are in an amount at least equal to
  two  dollars  and  fifty  cents per square foot; or (ii) if the lease is
  with an expansion tenant required to sign a lease with an initial  lease
  term  of  at  least  ten  years,  expenditures  on  improvements  to the
  expansion premises and the common areas of the eligible building are  in
  an  amount  at least equal to twenty-five dollars per square foot; or if
  the lease is with an expansion tenant for eligible premises  as  defined
  in   paragraph   (c)   of   subdivision  ten  of  section  four  hundred
  ninety-nine-aa of  this  title,  expenditures  on  improvements  to  the
  expansion  premises and the common areas of the eligible building are in
  an amount at least equal to two dollars and fifty cents per square foot.
    2. No abatement  shall  be  granted  pursuant  to  this  title  if  an
  applicant  shall  fail  to  meet  any  of the requirements of this title
  within sixty days of the rent commencement date;  provided  that  for  a
  lease  with  a renewal tenant, the expenditures on improvements required
  by subdivision one of this section shall be made within one year of  the
  lease commencement date.
    3. (a) (i) With respect to the abatement zone defined in paragraph (a)
  of  subdivision two of section four hundred ninety-nine-aa of this title
  and for purposes of  determining  whether  the  amount  of  expenditures
  required  by  subdivision  one  of  this  section  have  been satisfied,
  expenditures on improvements to the common areas of an eligible building
  shall be included only if work on such improvements  commenced  and  the
  expenditures  are  made  on  or  after  April  first,  nineteen  hundred
  ninety-five and on or before  September  thirtieth,  two  thousand  one;
  provided, however, that expenditures on improvements to the common areas
  of  an  eligible  building  made  prior  to three years before the lease
  commencement date shall not be included.
    (ii) With respect to the abatement zone defined in  paragraph  (b)  of
  subdivision two of section four hundred ninety-nine-aa of this title and
  for  purposes of determining whether the amount of expenditures required
  by subdivision one of this section have been satisfied, expenditures  on
  improvements  to  the  common  areas  of  an  eligible building shall be
  included   only   if   work  on  such  improvements  commenced  and  the
  expenditures are made on or after July first, two  thousand  and  on  or
  before  December  thirty-first,  two  thousand seven; provided, however,
  that expenditures on improvements to the common  areas  of  an  eligible
  building  made  prior  to three years before the lease commencement date
  shall not be included.
    (iii) With respect to the abatement zone defined in paragraph  (c)  of
  subdivision two of section four hundred ninety-nine-aa of this title and
  for  purposes of determining whether the amount of expenditures required
  by subdivision one of this section have been satisfied, expenditures  on
  improvements  to  the  common  areas  of  an  eligible building shall be
  included  only  if  work  on  such  improvements   commenced   and   the
  expenditures  are  made on or after July first, two thousand five and on
  or before December thirty-first two  thousand  ten;  provided,  however,
  that  expenditures  on  improvements  to the common areas of an eligible
  building made prior to three years before the  lease  commencement  date
  shall not be included.
    (b)  The  landlord  may  allocate  expenditures on improvements to the
  common areas of an eligible building to eligible tenants in such  manner
  as reasonably relates to such eligible tenants.
    4. For purposes of this title, the expiration date of a lease shall be
  determined  by  the  expiration  date  set  forth in such lease, without
  giving effect to any rights of the landlord or the tenant  to  terminate
  such lease prior to the expiration date set forth therein.
    5.  The  lease  for  the eligible premises shall contain the following
  provisions:
    (a) a statement of the tenant's percentage share;
    (b) a statement informing the tenant in  at  least  twelve-point  type
  that:
    (1)  an  application  for abatement of real property taxes pursuant to
  this title will be made for the premises;
    (2) the rent,  including  amounts  payable  by  the  tenant  for  real
  property  taxes,  will accurately reflect any abatement of real property
  taxes granted pursuant to this title for the premises;
    (3) at least five dollars per square foot or twenty-five  dollars  per
  square foot must be spent on improvements to the premises and the common
  areas,  the  amount  being  dependent  upon  the length of the lease and
  whether it is a new or a renewal lease,  provided,  however,  that  with
  respect  to a lease commencing on or after April first, nineteen hundred
  ninety-seven, if, by the sixtieth day following  the  rent  commencement
  date,  the  tenant employs one hundred twenty-five or fewer employees in
  the relevant premises, at least two dollars and fifty cents  per  square
  foot must be spent on improvements to the premises and the common areas;
  and
    (4) all abatements granted with respect to a building pursuant to this
  title  will  be revoked if, during the benefit period, real estate taxes
  or water or sewer charges or other lienable charges are unpaid for  more
  than  one  year,  unless such delinquent amounts are paid as provided in
  subdivision four of section four hundred ninety-nine-ff of this title.
    6. No abatement shall be granted pursuant to this title if:
    (a) the lease for the  eligible  premises  provides  that  during  the
  initial  lease  term  required by subdivision one of this section either
  the landlord or the  tenant  may  terminate  such  lease  prior  to  the
  expiration  date of such required initial lease term; provided that such
  lease may provide that either the landlord or the tenant  may  terminate
  such  lease  if (1) the other party is in default of any of such party's
  obligations under the lease, (2) the eligible premises  are  damaged  or
  destroyed  by  fire  or  other  casualty,  (3) the eligible premises are
  rendered  unusable for any reason not attributable to any act or failure
  to act of either tenant or landlord, or (4) the  eligible  premises  are
  acquired by eminent domain; and
    (b)  there  are  real  property taxes, water or sewer charges or other
  lienable charges currently due and owing on the eligible building  which
  is  the  subject of an application for abatement pursuant to this title,
  unless such real property taxes or charges are currently being  paid  in
  timely  installments pursuant to a written agreement with the department
  of finance or other appropriate agency.
    7. No abatement shall be granted pursuant to  this  title  unless  the
  applicant  shall  file,  together  with  the  application,  an affidavit
  setting forth the following information:
    (a) a statement that within the seven years immediately preceding  the
  date  of  application  for  a  certificate  of  abatement,  neither  the
  applicant nor any person owning a substantial interest in  the  eligible
  building  as  defined  in  paragraph  (c)  of  this subdivision, nor any
  officer, director or general partner of the applicant or such person was
  finally adjudicated  by  a  court  of  competent  jurisdiction  to  have
  violated section two hundred thirty-five of the real property law or any
  section  of  article  one  hundred fifty of the penal law or any similar
  arson law of another jurisdiction with respect to any building,  or  was
  an  officer,  director  or  general partner of a person at the time such
  person was finally adjudicated to have violated such law; and
    (b) a statement setting forth any pending charges  alleging  violation
  of  section  two  hundred  thirty-five  of  the real property law or any
  section of article one hundred fifty of the penal  law  or  any  similar
  arson  law  of  another jurisdiction with respect to any building by the
  applicant or any person owning a substantial interest  in  the  eligible
  building  as  defined  in  paragraph  (c)  of  this  subdivision, or any
  officer, director or general partner of the applicant or such person, or
  any person for  whom  the  applicant  or  person  owning  a  substantial
  interest  in  the  eligible  building is an officer, director or general
  partner.
    (c) for purposes of this subdivision and subdivision seven of  section
  four  hundred ninety-nine-ff of this title, "substantial interest" shall
  mean ownership and control of an interest of ten per centum or  more  in
  the eligible building or in any person owning the eligible building.