Pursuant to § 581 of the Real Property Tax Law, residential condominium units are assessed at values that are significantly lower than the assessments of single-family homes of comparable value. There is a real possibility that properties, including two-family homes, may be converted into condominium ownership to avail themselves of this favorable tax treatment. If that occurs, the tax burden will be shifted to the other taxpayers of the Town. Section 581(1)(c) of the Real Property Tax Law allows municipal corporations to adopt a local law that prevents properties that are not condominiums from being converted to condominium ownership and receiving the benefit of the favorable assessment treatment provided by Real Property Tax Law § 581. By this law, the Town is availing itself of the power given to it by § 581(1)(c) of the Real Property Tax Law to prevent converted condominium units (defined in §
195-46, below) from being assessed in accordance with the provisions of § 581(1)(a) of the Real Property Tax Law or § 339-y of the Real Property Law.
As used in this article, the following terms shall have the
meanings indicated:
CONVERTED CONDOMINIUM UNIT
A dwelling unit in condominium form of ownership that prior
to May 1, 2019, was assessed as a dwelling unit in other than condominium
form of ownership and has not been previously subject to the provisions
of § 581(1)(a) of the Real Property Tax Law or § 339-y
of the Real Property Law.
A converted condominium unit shall not be assessed in accordance
with the provisions of § 581(1)(a) of the Real Property
Tax Law or § 339-y of the Real Property Law, but shall be
assessed in accordance with the provisions of Article 3 of the Real
Property Tax Law.