2023 District of Columbia Code › Title 47 - Taxation, Licensing, Permits, Assessments, and Fees. [Enacted title] › Chapter 8 - Real Property Assessment and Tax › Subchapter II - Authority and Procedure to Establish Real Property Tax Rates › § 47–857.04. Tax abatements for new residential developments — Tax abatement for all new housing projects in Housing Priority Area

§ 47–857.04. Tax abatements for new residential developments — Tax abatement for all new housing projects in Housing Priority Area.
(a) With respect to any project for which the owner or its designee satisfies § 47-857.02(a)(1) and (2) on or before September 30, 2004, and subject to § 47-857.02, there shall be allowed as an abatement of the real property tax imposed by § 47-811 on an eligible real property in eligible area #2 an amount computed as follows: $1.10 per residential FAR square foot, multiplied by the building’s total residential FAR square footage as certified by the project architect and the Mayor; provided, that:
(1) If a project does not use concrete construction throughout the building or does not include underground parking, the per residential FAR square foot tax abatement shall be determined by the Mayor and shall be determined so that the total tax abatement is estimated to be equal to 60% of the difference between the residential real property tax imposed on the project by § 47-811 before and after development.
(2) The tax abatement for an eligible real property allowed by this section shall expire at the end of the 10th tax year after the tax year in which a certificate of occupancy is issued for the property.
(3) If, during a tax year for which the tax abatement is authorized by this section, the property for which the abatement was granted contains fewer than 10 dwelling units, the abatement shall not be allowed.
(b)(1) For the purposes of this subsection, the term “downtown area” means:
(A) The area described in section 199 of title 10 of the District of Columbia Municipal Regulations (10 DCMR § 199) and designated on the District of Columbia Generalized Land Use Policies Map; and
(B) Eligible area #2.
(2) If a project eligible for the real property tax abatement under this section breaks ground on or after January 1, 2005 (as certified by the project architect and the Mayor), the tax abatement may be applied, assigned, conveyed, or otherwise transferred (“transferred”) by the owner of the real property or project (or by the owner’s designee) and the time period at which the tax abatement commences may be delayed until the transfer and shall continue for 10 years after the date of transfer; provided, that:
(A) The tax abatement shall be $0.89 per rentable, or usable, residential FAR square foot of the eligible real property; provided, that if the project known as Quincy Court, located at 1117 10th Street, N.W., requests participation under § 47-857.04(b) by a letter to the Deputy Mayor for Planning and Economic Development, or his or her successor, prior to December 31, 2005, the tax abatement shall be $0.905 per rentable, or usable, residential FAR square foot of the eligible real property;
(B) The tax abatement may be transferred by the owner:
(i) To reduce real property taxes imposed upon any residential project in the downtown area or eligible area #2; or
(ii) To reduce real property taxes imposed upon any commercial project in the downtown area or eligible area #2; and
(3) The tax abatement may be transferred within:
(A) Five years after receipt by the eligible project of a final certificate of occupancy issued for the entirety of the project; or
(B) Within one year after the final certificate of occupancy is issued for the project to which the abatement is transferred.
(c) The Mayor shall be deemed to have certified the groundbreaking if the Deputy Mayor for Planning and Economic Development, or his or her successor, issues a letter certifying the groundbreaking or 20 business days pass after the date of the receipt of a request for the certification by the Deputy Mayor for Planning and Economic Development, or his or her successor, from the project developer; provided, that the request includes a certification by the project architect of the groundbreaking date of the residential project and the Deputy Mayor for Planning and Economic Development, or his or her successor, does not reject the request or request further information.
(Apr. 19, 2002, D.C. Law 14-114, § 601(b), 49 DCR 1468; Apr. 12, 2005, D.C. Law 15-329, § 2(a), 52 DCR 1975; Apr. 7, 2006, D.C. Law 16-91, § 103(a), 52 DCR 10637; Mar. 2, 2007, D.C. Law 16-191, § 109(a), 53 DCR 6794.)
Section References
This section is referenced in § 47-857.02, § 47-857.06, and § 47-857.09.
Effect of Amendments
D.C. Law 15-329 designated the existing text as subsec. (a); in subsec. (a), substituted “With respect to any project for which the owner or its designee satisfies § 47-857.02(a)(1) and (2) on or before December 31, 2004, and subject to” for “Subject to”; and added subsec. (b).
D.C. Law 16-91, in subsec. (a), substituted “September 30, 2004” for “December 31, 2004”; added subsec. (c); and rewrote subsec. (b).
D.C. Law 16-191 rewrote subsec. (b)(3)(A) which read as follows: “(A) Five years after receipt by the eligible project of a final certificate of occupancy is issued for the entirety of the project;”
Emergency Legislation
For temporary (90 day) amendment of section, see § 2(a) of Finance and Revenue Technical Corrections Emergency Amendment Act of 2005 (D.C. Act 16-51, March 17, 2005, 52 DCR 3164).
For temporary (90 day) amendment of section, see § 2(b) of Finance and Revenue Technical Amendments Emergency Amendment Act of 2006 (D.C. Act 16-260, January 26, 2006, 53 DCR 780).
For temporary (90 day) amendment of section, see § 2(b) of Finance and Revenue Technical Amendments Congressional Review Emergency Amendment Act of 2006 (D.C. Act 16-361, April 26, 2006, 53 DCR 3619).
For temporary (90 day) amendment of section, see § 25(a) of Finance and Revenue Technical Amendments Second Emergency Amendment Act of 2006 (D.C. Act 16-585, December 28, 2006, 54 DCR 340).
Temporary Legislation
Section 2(a) of D.C. Law 16-7, in subsec. (a), substituted “September 30, 2004” for “December 31, 2004”; and rewrote subsec. (b) and added subsec. (c) to read as follows:
“(A) The area described in section 199 of Title 10 of the District of Columbia Municipal Regulations ( 10 DCMR § 199) and designated on the District of Columbia Generalized Land Use Policies Map; and
“(A) Five years after receipt by the eligible project of a final certificate of occupancy is issued for the entirety of the project;
“(B) Within one year after the final certificate of occupancy is issued for the project to which the abatement is transferred.”.
Section 6(b) of D.C. Law 16-7 provided that the act shall expire after 225 days of its having taken effect.
Section 2(b) of D.C. Law 16-102, in subsec. (a), substituted “September 30, 2004” for “December 31, 2004”; and rewrote subsec. (b) and added subsec. (c) to read as follows:
“(b)(1) For the purposes of this subsection, the term ”downtown area“ means:
“(A) The area described in section 199 of title 10 of the District of Columbia Municipal Regulations ( 10 DCMR § 199) and designated on the District of Columbia Generalized Land Use Policies Map; and
“(B) Eligible area #2.
“(2) If a project eligible for the real property tax abatement under this section breaks ground on or after January 1, 2005 (as certified by the project architect and the Mayor), the tax abatement may be applied, assigned, conveyed, or otherwise transferred (”transferred“) by the owner of the real property or project (or by the owner’s designee) and the time period at which the tax abatement commences may be delayed until the transfer and shall continue for 10 years after the date of transfer; provided, that:
“(A) The tax abatement shall be $0.89 per rentable, or usable, residential FAR square foot of the eligible real property; provided, that if the project known as Quincy Court, located at 1117 10th Street, N.W., requests participation under § 47-857.04(b) by a letter to the Deputy Mayor for Planning and Economic Development, or his or her successor, prior to December 31, 2005, the tax abatement shall be $0.905 per rentable, or usable, residential FAR square foot of the eligible real property;
“(B) The tax abatement may be transferred by the owner:
“(i) To reduce real property taxes imposed upon any residential project in the downtown area or eligible area #2; or
“(ii) To reduce real property taxes imposed upon any commercial project in the downtown area or eligible area #2; and
“(3) The tax abatement may be transferred within:
“(A) Five years after receipt by the eligible project of a final certificate of occupancy issued for the entirety of the project; or”.
“(B) Within one year after the final certificate of occupancy is issued for the project to which the abatement is transferred.
“(c) The Mayor shall be deemed to have certified the groundbreaking if the Deputy Mayor for Planning and Economic Development, or his or her successor, issues a letter certifying the groundbreaking or 20 business days pass after the date of the receipt of a request for the certification by the Deputy Mayor for Planning and Economic Development, or his or her successor, from the project developer; provided, that the request includes a certification by the project architect of the groundbreaking date of the residential project and the Deputy Mayor for Planning and Economic Development, or his or her successor, does not reject the request or request further information.”
Section 11(b) of D.C. Law 16-102 provided that the act shall expire after 225 days of its having taken effect.