Industrial & Commercial Abatement Program (ICAP)

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Industrial & Commercial Abatement Program (ICAP)

We are accepting late renewal filings until March 15.

ICAP offers property tax abatements for up to 25 years for eligible industrial and commercial buildings that are built, modernized, expanded, or otherwise improved.

Eligibility

I. Location

Eligibility varies based on the location in New York City, with specific areas in Manhattan being excluded.

New commercial construction: Anywhere in the city except for the area south of 96th Street (including the south side 96th Street) and north of Murray, Frankfort, and Dover streets.

Commercial renovations: Anywhere in the city except for between 59th Street and 96th Street, including the north side of 59th Street and south side of 96th Street. Additional benefits may be provided in the Garment District and in Lower Manhattan in the area between Murray Street, Battery Place, South Street, and West Street.

Additional benefits are available in specific parts of the city: City View, Brooklyn, Bronx, Manhattan, Queens, Staten Island. (View the list of properties in these areas.)

II. Improvements

You must spend at least 30% of the property's taxable assessed value no later than four years from the date the building permit was issued or, if no permit is required, from the start of construction. Industrial construction projects that spend 40% of the taxable assessed value receive additional benefits. The project must be completed no later than five years from the date of the first permit in order to receive ICAP inflation protection benefits.

III. Limitations

Utilities: Benefits are available for electricity-generating units defined as “peaking units.” Benefits are not available for other utility properties.

Retail: A property may be subject to different abatement schedules based on the percentage used for retail.

Residential: No more than 20% of the total rentable square footage can be dedicated to residential purposes. If so, apportionment is required.

How to apply

To apply for ICAP, you must submit the ICAP Preliminary Application prior to obtaining a building permit. You must complete the steps described in the application.

After you have completed the steps described in the ICAP Preliminary Application, you must submit the ICAP Final Application.

When construction is complete, you must notify the Department of Finance. If you have questions about the documents that must be submitted with the “notice of completion,” you can contact us.

Fees:

If you filed your preliminary application on or after April 1, 2017, the following fees apply:

Preliminary Application: $150

Final Application: $500

Notice of Completion: $1,000

Mail your certified check or money order payable to "NYC Department of Finance" to:

NYC Department of Finance
Attn: Commercial Exemptions - ICAP Unit
59 Maiden Lane, 22nd Floor
New York, NY 10038

Deadlines

Preliminary applications are accepted until March 1, 2029. Final applications must be filed within specific timeframes based on the preliminary application date:

If the preliminary application was filed before March 10, 2017, the final application must be filed within one year from the building permit issuance date (or when construction started, if no permit was required).

If the preliminary application was filed after March 10, 2017, you may file the final application after you have completed the steps described in the ICAP Preliminary Application.

Benefit term and amount

For estimated benefit lengths and amounts, refer to the ICAP Benefit Schedule.

You can view your benefits at www.nyc.gov/nycproperty.

Renewing your abatement

We are accepting late renewal filings until March 15. Information you may find helpful in filing your renewal:

File your renewal, www.nyc.gov/fileicap

How to Create an NYC.ID

A User Guide to the ICAP (Online Renewals)

Forms

Preliminary ICAP Application and Instructions

Final ICAP Application

Frequently Asked Questions

Download All NYC Property Data

The Department of Finance has made the data for all NYC properties available on the NYC Open Data portal for download. Visit the Open Data page for more information.

Need Help? Contact 311 or Email Us.