Eligible Construction means alterations or improvements to an eligible building that:

• are specifically identified on the certified reasonable cost schedule*;
• meet the minimum scope of work threshold of $1500 per dwelling unit;
• have a completion date that is after 6/29/2022 and prior to 6/30/2026 and that is not more than thirty months after their commencement date; and
• are not attributable to any increased cubic content in such eligible building.

Eligible Rental Building:

• Class A multiple dwelling in which all of the dwelling units are operated as rental housing;
• Not operating in whole or in part as a hotel; and
• Satisfies one of the following conditions:
• not less than fifty percent of the dwelling units in such building are qualifying rental units with maximum rents at or below 30% of 80% AMI and registered with DHCR; or
• owned and operated by a Mitchell Lama limited profit housing company or redevelopment company; or
• receives substantial governmental assistance.

Certain rental units must remain subject to rent stabilization for at least the duration of the J-51 R Restriction Period and the landlord must permanently waive the MCI rent increase for any Eligible Construction receiving J-51 R benefits.

Eligible Homeownership Building:

• Class A multiple dwelling operated as condominium or cooperative housing;
• Not operating in whole or in part as a hotel; and
• Has an average assessed valuation no greater than forty-five thousand dollars per dwelling unit as of Commencement Date. 

Eligible Regulated Homeownership Building:

• Class A multiple dwelling owned and operated by a Mitchell Lama mutual housing company organized under Article II of the Private Housing Finance Law (“PHFL”), or
• Class A multiple dwelling owned and operated by a mutual redevelopment company organized under Article V of the PHFL. 

Benefits granted include:

Abatement of existing real property taxes by up to 8 1/3 percent of the total certified reasonable cost of the work each year for up to 20 years, up to a total of 70 percent of such approved certified reasonable costs.

The J-51 R Program is governed by Real Property Tax Law §489(21) and Administrative Code §11-243.2 (collectively, Statutes) as well as Chapter 62 of Title 28 of the Rules of the City of New York (Rules). In the case of any inconsistency between the Statutes and the Rules, the Statutes always govern.

J-51 R FAQs (updated 4/23/2025)

Timing Requirements 

Applications for J-51 R benefits must be filed on or before April 30, 2025 for projects that completed construction on or before December 30, 2024 and within four (4) months of the Completion Date for projects that completed construction after December 30, 2024.

Applicants must submit the completed J-51 R application and all required forms via email to J51_customer_service@hpd.nyc.gov and all affidavits must also be printed, signed and notarized, and mailed to HPD at:

Attn: Division of Housing Incentives
Re: J-51 Reform Application
Department of Housing Preservation and Development
100 Gold Street, Room 8C-09
New York, NY 10038 

Pre-Commencement of Eligible Construction Requirements

These items must be submitted to HPD prior to the commencement of applicable Eligible Construction.

• D4a - Notice of Intent
• D4b - Affidavit Confirming Notice to Tenants
• D4c - Notice to Tenants

Application

These items should be submitted after completion of applicable Eligible Construction.

• Pay a fee in the amount of $1,000 plus $75 for each additional dwelling unit in excess of six. The fee must be sent by wire or automatic clearinghouse (ACH) transfer to the City of New York. In order to properly credit your wire or ACH payment, include the property address indicated in the "comments" or "remarks" field of the transfer. Additional wire details are provided in the application.

• Submit a completed application with the below supporting documentation, as applicable. You may not need to complete every form. Consult the Documents Guide below for reference.
  
• Documents for All Applications
  • B1 - Application (must submit in “live” PDF electronic format)
    
    • B1a – Building Addendum (submit only if block and lot has more than 4 buildings)
  • B2 - J-51 R Workbook (Must submit excel workbook, not in pdf)
  • C4 - Affidavit of Non-Duplication
  • D3a - Affidavit of Ownership and Energy Star Compliance
  • D3b - Affidavit of No Harassment
  • E3 - Architect’s/Engineer’s Affidavit concerning Commencement and Completion Dates (if applicable)*
  • Proof of Eligible Construction Costs CPA Letter 
  • Applicable Permits (if applicable)*
  • Certificate of Occupancy (if applicable)*
  • DOB approved Plans (if applicable)*
  • Affidavit of Lead-Based Paint Hazard Abatement (if applicable)*
  • DHCR Rent Registration (Required for Rental Buildings Only)   
  • D7a - Owner’s Declaration of Waiver of MCI Rent Adjustment (Required for Rental Buildings Only)
    
  • Opinion of counsel (Required for Homeownership Buildings Only) 
  • Copy of the cooperative or condominium’s offering plan, or copy of the offering plan which has been accepted for filing by the AG, or documentation demonstrating that the building is not subject to the requirements of § 352-e of the General Business Law (Required for Homeownership Buildings Only) 
  • Proof of Average Assessed Valuation at commencement of Eligible Construction (Required for Homeownership Buildings Only)
  • Applicable Regulatory Agreement(s) (Required for all Regulated Homeownership Buildings or Substantial Governmental Assistance projects) 
    
• These documents may be submitted after initial application submission. An application will not be approved until these documents are completed.  
  • Housing Maintenance Code Search Report 
  • D5a - Affidavit of Violation Clearance for Owner
  • D5b - Affidavit of Violation Clearance for Architect and Engineer
  • E2 - Certificate of Compliance with DOB Regulations

• Required for Rental Buildings Only

• • DHCR Rent Registration
  • D7a - Owner’s Declaration of Waiver of MCI Rent Adjustment

• Required for Homeownership Buildings Only
  
  
• Opinion of counsel
• Copy of the cooperative or condominium’s offering plan or documentation demonstrating that the building is not subject to the requirements of § 352(e) of the General Business Law
• Proof of Average Assessed Valuation at commencement of Eligible Construction
  
  
• Required for all Regulated Homeownership Buildings or Substantial Governmental Assistance projects
  
  
• Applicable Regulatory Agreement(s)

The J-51 R Program is governed by Real Property Tax Law §489(21) and Administrative Code §11-243.2 (collectively, Statutes) as well as Chapter 62 of Title 28 of the Rules of the City of New York (Rules). In the case of any inconsistency between the Statutes and the Rules, the Statutes always govern.

J-51 R PRE-COMMENCEMENT OF ELIGIBLE CONSTRUCTION REQUIREMENTS**

1.  Form D4a. The Notice of Intent to File for J-51 R Tax Abatement, must be filed with the J-51 Unit not less than fifteen (15) days before the start of rehabilitation. Failure to do so will result in a penalty equal to the larger of $500 or 10% of the application fee.  If there is a material change in the scope or cost of the construction, the applicant must submit a revised form.  
   

The penalty for late filing of the NOI may be waived in instances of emergency work as further defined in the Rules and for projects that commenced construction on or after December 30, 2024 and before February 6, 2025. Such projects must submit the NOI no later than the filing date of the application; failure to do so will result in a penalty equal to the larger of $500 or 10% of the application fee.

2. Form D4b and D4c. Affidavit Confirming Notice to Tenants (D4b) and Notice to Tenants (D4c)– An applicant must provide and post Notice to Tenants at least 30 days and no more than 180 days prior to commencement of Eligible Construction, and the Affidavit Confirming Notice to Tenants must be filed with the Notice of Intent. Notice to Tenants may be provided and posted less than 30 days in instances of emergency work as further defined in the Rules. Notice to Tenants must be posted conspicuously in prominent public places in the buildings(s) and deliver a copy thereof to tenants. Any project that commenced on or after December 30, 2024 that failed to give tenants, prior to the Commencement Date, notice of the proposed work, the identity and contact information of the eligible building's representative, and the tenants' rights under applicable law with respect to such work, are ineligible for J-51 R benefits.

** These pre-commencement of Eligible Construction requirements do not apply to projects with a Commencement Date on or before December 29, 2024.

J-51 R APPLICATION FORMS 

1. Form B1. J-51 Application. Answer all questions completely, inserting the notation “N/A” or “none” for any items or questions that do not pertain to your particular application. Form B1 must be submitted as electronic fillable PDF “live” form.

2. Form B2. J-51 R Workbook. This is an Excel worksheet for applicants to provide itemized claimed costs for rehabilitation work, rent information for all units in the building, and homeownership unit information, at the time of application. To ensure proper benefits, record all claimed costs and rent information accurately and legibly. Must be submitted as electronic Excel form.

3. Form C4. Affidavit of Non-Duplication. This affidavit must be filed for any building that has received any form of J-51 or J-51 R benefits in the past certifying that work submitted in this application is not duplicative of work receiving benefits under previous applications. This affidavit must be signed by the owner(s). We cannot accept affidavits signed by a managing agent or attorney. If the building is a cooperative or condominium, the affidavit must be signed by an officer of the Board of Directors.

4. Form D3a. Affidavit of Ownership and Energy Star Compliance. This affidavit is required of all projects and must be signed by the owner(s). We cannot accept affidavits signed by a managing agent or attorney. If the building is a cooperative or condominium, the affidavit must be signed by an officer of the Board of Directors.

5. Form D3b. Affidavit of No Harassment. Any owner (including general partners and corporate officers) with an interest of ten percent (10%) or more in the premises must be listed on Page 2 of the Form D3b; one owner must also sign Page 2 in the space provided. Cooperative or condominium buildings must have an authorized member of the Board of Directors sign. Shareholders owning more than ten percent (10%) of the shares must also be listed.

6. Forms D5a and D5b. Affidavit of Violation Clearance. Applicant must submit a Violation Search Report issued by HPD’s Division of Code Enforcement dated no more than forty-five (45) days before the filing date of your J-51 R application. If the search report indicates B or C code violations, provide written proof of correction or clearance from HPD Code Enforcement. For the violations, acceptable proof includes:

• • Certification from the HPD Code Enforcement Division that the building is free of B and C violations; or
  • Submit Form D5a Affidavit of Violation Clearance for Owner or Form D5b - Affidavit of Violation Clearance for Architects and Engineers, stating that all previously cited violations have been cleared. The affidavits should include the most recent date from the upper right-hand corner of the first page of the search report as the date of the search.

7. Form E2. Certificate of Compliance with Department of Buildings Regulations. Complete Section 1 of the form. Depending upon the type of application, the following additional information may be required:

• • If the application includes items of work that require DOB permits, HPD will require Department of Building’s sign-off of each permit. Applicants may submit the E2 directly to DOB for certification and submit a certified E2 with the application. Applicant may also submit the uncertified E2 to HPD with the application and HPD will request the E-2certification from DOB; applicant will have 90 days from the date DOB issues comments on the E2 to clear the violations if DOB does not certify the E2.    
  • If the application requires no DOB permits, submit to HPD verification that there are no outstanding DOB violations in connection with the property. This can be provided in the form of a dated printout, which must be dated no less than thirty (30) days prior to the date of the initial application. If the printout lists outstanding violations, the applicant must ensure that these violations are cured and dismissed by the appropriate DOB inspection unit. Once the dismissal(s) is/are obtained, the applicant must submit them to the J-51-R Unit along with the certified index screen, which should be initialed next to each outstanding violation by a DOB official to confirm dismissal. Upon receipt of this information, HPD will approve the E2 form.

8. Form E3. Architect’s/Engineer’s Affidavit Concerning Commencement and Completion Date. Where Eligible Construction does not require a DOB permit, an affidavit from an architect or engineer is required to certify the commencement and completion date.

9. Proof of Eligible Construction costs. As proof of Eligible Construction costs for all work claimed on Form B2, submit a statement by a certified public accountant (CPA), in the form of the provided template (Form D8), attesting to the accuracy of the claimed costs information on Form B2. The CPA statement must be signed and dated by the CPA and provided on the CPA letterhead. Substantial Governmental Assistance projects may submit a Disposition of Funds or Final Requisition for Payment.

10. Housing Maintenance Code Search Report. The HPDOnline Report which includes MDR registration and Housing Maintenance Code violations can be obtained on the HPD website: HPDOnline - Home by selecting the Print Building Info. If the HPDOnline Report is not included with the initial application filing, the Report must be dated within 90 days of the initial application filing date and should not have any open B or C violations. J-51 R applications will not be approved if there are open B or C violations dated no earlier than 90 days from the date of the submission of the HPDOnline Report. The applicant must either clear the violations of record or submit affidavits from a registered architect, a licensed professional engineer, or the owner, certifying that the architect or engineer has inspected the premises and that work necessary to remove any hazardous or immediately hazardous violations has been completed. HPD will not require the curing of violations incurred after submission of the HPDOnline Report through the Certificate of Eligibility issuance date.

11. Applicable Permits. Submit Permit(s) and Sign Off(s) and copies of additional forms and schedules required by Department of Buildings and/or any required City clearance letters, permits or approvals. 

12. Certificate of Occupancy (CO).  The CO is required for Eligible Construction completed with an Alt 1 permit and must be issued within four (4) months of submission of the J-51 R Application.

13. DOB-approved Plans.  Eligible Construction with Alt-1 permits require submission of DOB-approved plans, or where work has been completed that cannot be visibly inspected (e.g., floor joists, structural steel), submit one full set of the approved plans for construction, mechanical systems, electrical systems, plumbing systems, etc. that the applicant or the applicant’s architect or engineer has obtained from DOB, and an architect or engineer’s statement regarding the nature and amount of work completed.

14. Affidavit for Lead-Based Paint Hazard Abatement must be provided by the Owner of the property attesting to work associated with lead-based paint abatement. 

Rentals Only:

1. A copy of the most recent DHCR Form RR-2S Rent Registration Summary, filed by the applicant with the New York State Division of Housing and Community Renewal (DHCR) office in the borough where the property is located.
2. Form D7a - Owner’s Declaration of Waiver of MCI Rent Adjustment, must be filed. These items should be listed in the appropriate space on the form. A copy of this form must be filed by the applicant simultaneously with DHCR. 

Cooperatives or Condominiums Only:

1. An opinion of counsel is needed which states the property is a legal co-op or condo and meets the requirements of Section 11-243.2 of the New York City Administrative Code, and the date on which the Offering Plan became effective.
2. A copy of the prospectus or offering plan filed with the Attorney General, and all subsequent amendments which become effective prior to the time HPD issues a Certificate of Eligibility and Reasonable Cost. Co-ops or condos that were formed prior to the date when a prospectus was required by law, or which are exempt for other reasons from the filing requirements, must submit a copy of the “no action” letter from the Attorney General or other documentation demonstrating that the building is not subject to the requirements of § 352(e) of the General Business Law.
3. Tax History from the Department of Finance showing assessed valuation as of the Commencement Date of Eligible Construction.

Regulated Homeownership Buildings or Substantial Governmental Assistance Projects Only:

1. Regulatory Agreement. A copy of the applicable regulatory agreement(s) must be submitted for projects receiving Substantial Governmental Assistance, and for those owned and operated by a Mitchell Lama company organized under PHFL Article II, and Redevelopment Company under PHFL Article V.