Building owners looking to step toward New York’s LL97 compliance laws can save money on their projects. The city has launched a tax exemption and abatement process for rent-stabilized buildings to offset upgrade costs. The J-51 R tax plan can help you and your management team save money on taxes to help recoup upgrade costs. Below, we will discuss how you can apply for this tax offset for Local Law 97.

What is J-51 R?

When Local Law 97 was put in place, the Department of Finance for the city created J-51 to help rent-regulated apartment owners offset upgrade costs to comply with the law. While that tax abatement ended in 2022, the newly reformed tax incentive J-51 R follows much of the same principle. This can help building owners save on their property taxes to recoup some of the upgrade costs. The abatement shaves off up to 8.3% of the total certified reasonable cost of the work for up to 20 years. In some cases, this can reimburse up to 70% of upgrade costs overall. For more information, read the Reform tax incentive page.

What Projects are Covered?

Building upgrades to comply with Local Law 97 can be covered under J-51 R if they are for an eligible rent-regulated, co-op, or condominium building. Projects with a completion date of December 31, 2024, or earlier must apply by April 30th, 2025 to receive the abatement. For projects completed from January 1, 2025 forward, you must apply within 4 months of the completion date.

LL97 Greenhouse Gas Emissions Reduction Compliance

Local Law 97 mandates that buildings exceeding 25,000 square feet reduce their emissions by 40% by 2030 and 80% by 2050. Making progress in upgrades before 20230 is encouraged through tax exemption and abatement programs such as J-51 R. Overall, LL97 seeks to help reduce greenhouse gas output from larger buildings in the city to improve air quality and energy efficiency. Champion Combustion specializes in Compliance Service upgrades to help you align your building operations with local laws.

2025 Deadlines and J-51 R

LL97 has a series of compliance steps to help building owners scale back their greenhouse emissions over time. This includes compliance deadlines for 2025. Champion Combustion is ready to help get your building within the target emissions goal. We can also help guide you through the application process for your J-51 R application.

Since 1988, Champion Combustion has worked with local property owners to meet all of their heating and boiler needs. From 24/7 emergency services to compliance-driven upgrades, we are here to help. Contact us or call 718-815-8800 to see how Champion Combustion can help your properties today.