Businesses at the Brooklyn Navy Yard are eligible for compelling economic development incentives. An overview of these is listed below, as well as links to further information.
Recent changes in the tax code created Qualified Opportunity Zones to encourage tax-favored investment in certain communities. Investors may be able to defer tax on almost all capital gains from certain investments made after December 31, 2017, through December 31, 2026. This can, for example, provide substantial tax benefits related to capital improvements. The Brooklyn Navy Yard is a Qualified Opportunity Zone. For more information, click here.
Exemption from Real Estate Taxes
As the Brooklyn Navy Yard is a City-owned property, tenants pay no real estate taxes.
The Relocation and Employment Assistance Program (REAP) offer businesses income tax credits for relocating jobs from either outside of New York City, or below 96th Street in Manhattan, to designated locations above 96th Street in Manhattan or in one of the other four boroughs (such as the Brooklyn Navy Yard). To be eligible, a business must have conducted substantial business operations either outside New York City or below 96th Street in Manhattan for at least 24 consecutive months immediately before relocating. For more information, click here.
The Energy Cost Savings Program (ECSP) can reduce regulated energy costs up to 45 percent and regulated natural gas costs up to 35 percent for eligible businesses. Regulated costs are the transmission and distribution costs charged by the regulated utility. The benefits associated with ECSP last for twelve years. For more information, including detailed eligibility requirements, click here.