Industrial & Commercial Abatement Program (ICAP)

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.

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

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.

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

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

The 2025-2026 renewal period has begun. 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)

• Preliminary ICAP Application and Instructions
• Final ICAP Application