New York 2025-2026 Regular Session

New York Assembly Bill A08125

Introduced
5/1/25  
Refer
5/1/25  

Caption

Prohibits real property that has converted from a limited-profit housing company to a housing development fund company from being eligible for a shelter rent tax abatement.

Impact

The proposed changes in A08125 will notably impact the financial structures of Mitchell-Lama co-ops and similar housing projects that are converting to different ownership models. By eliminating access to tax abatements for these properties, the bill aims to preserve tax benefits for properties that continue to serve their intended purpose of providing affordable housing. As such, it could lead to increased operating costs for those affected properties, potentially impacting their affordability and availability within the increasingly competitive housing market of New York State.

Summary

A08125 is a legislative proposal which aims to modify the private housing finance laws in the state of New York, specifically targeting real properties that have undergone a conversion from a limited-profit housing company to a housing development fund company. The central tenet of the bill is to prohibit these converted properties from being eligible for shelter rent tax abatements that are currently extended under certain conditions. This amendment seeks to ensure that properties transitioning to a housing development fund company do not benefit from tax exemptions that were originally intended to assist lower-income housing projects.

Contention

Discussions surrounding A08125 may highlight a points of contention regarding the preservation of affordable housing versus the need for financial sustainability for housing development fund companies. Proponents of the bill tend to argue that the conversion from limited-profit entities diminishes the original intent of providing affordable housing, warranting the restriction on tax benefits. Conversely, opponents may raise concerns that this bill could hinder the viability of newly converted housing entities, possibly leading to rent increases that would affect the tenants relying on affordable housing in the state.

Companion Bills

No companion bills found.

Previously Filed As

NY S00595

Establishes the small rental housing development initiative to provide funding to eligible applicants to construct small rental housing developments in eligible areas.

NY A00489

Establishes the small rental housing development initiative to provide funding to eligible applicants to construct small rental housing developments in eligible areas.

NY A09066

Prohibits certain public funds from being invested in companies owned by elected officials.

NY A10768

Relates to elections involving board members, by-law amendments, or dissolution, reconstitution or conversion of mutual housing companies; provides that ballots shall be cast electronically to a neutral third party; provides that by-laws approved by shareholders and the commissioner of housing or supervising agency may limit eligibility for being a candidate for board of directors of a mutual housing company; relates to quorum for purposes of an election of board members in certain mutual housing companies.

NY S09576

Relates to elections involving board members, by-law amendments, or dissolution, reconstitution or conversion of mutual housing companies; provides that ballots shall be cast electronically to a neutral third party; provides that by-laws approved by shareholders and the commissioner of housing or supervising agency may limit eligibility for being a candidate for board of directors of a mutual housing company; relates to quorum for purposes of an election of board members in certain mutual housing companies.

NY S07586

Prohibits any increase in the average monthly rental of a property by a limited-profit housing company unless the appropriate local housing agency certifies that there exists no recorded violations against such property or that all recorded violations have been cleared, corrected or abated, and that such company is maintaining all essential services required to be furnished.

NY S00880

Enacts the housing development fund company fairness, preservation, and affordability act to clarify certain provisions relating to the dissolution and reincorporation of housing development fund companies; provides for tax exemptions and abatements for housing development fund companies.

NY A02707

Enacts the housing development fund company fairness, preservation, and affordability act to clarify certain provisions relating to the dissolution and reincorporation of housing development fund companies; provides for tax exemptions and abatements for housing development fund companies.

NY A05381

Expands documentation requirements for limited-profit housing companies when providing information to the commissioner of housing of the state of New York and any relevant supervising agency.

NY A10513

Prohibits mobile sports wagering operators, including parent companies or subsidiaries thereof, from being eligible to receive the excelsior jobs program credit.

Similar Bills

No similar bills found.