Industrial and Commercial Abatement Program (ICAP)

To be eligible for benefits for commercial new construction, applicant may build anywhere in New York City except in Manhattan, south of the centerline of 96th Street and north of Murray, Frankfort, and Dover Streets.

To be eligible for benefits for commercial renovation, applicant may be expanding, modernizing, or otherwise improving an existing structure anywhere in the City except in Manhattan south of the centerline of 96th Street and north of Murray, Frankfort, and Dover Streets. Specific benefits are available for renovation in three areas, although the benefits available depend on the area in which the project is located: the Garment Center District; an area in lower Manhattan bounded generally by Murray Street, South Street, Battery Place and West Street; and the remainder of Manhattan below 59th Street.

Applicants must make a minimum required expenditure (MRE) equal to at least 30 percent of the taxable assessed value of the project in the year of the issuance of the building permit or, if no permit is required, the start of construction. The MRE must be made no later than four years from the date of the issuance of the first building permit for the project, or, if no permit is required, the start of construction. ICAP also provides an additional tax abatement benefit for industrial construction projects that meet a higher MRE (40 percent).