NY Budget Deal Revives 421a Credit in Housing Supply Push

Real Estate attorney Alexander Lycoyannis was quoted in a Law360 article about impending updates to the New York state tax code that aim to combat New York City's affordable housing crisis. The article examines an agreement between Gov. Kathy Hochul and state lawmakers that would reinstate and create new multifamily housing-related tax credits. The regulations encourage office-to-residential conversions and expand renter protections during eviction proceedings. Mr. Lycoyannis, who focuses his practice in real estate-related litigation, shared insight into the revival of the 421a tax credit and inclusion of "good cause" protection designed to help renters fight evictions after rent increases that outpace inflation.

"To a large degree, lawmakers recognized that Economics 101 applies to New York real estate," Mr. Lycoyannis said. "The question is just to what extent this version of good cause hampers that, if at all."

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