One Manhattan Square Tax Abatement: The Return & Demise of the 20 Year Tax Abatement in Manhattan's Market

For an investor determined to maximize yield when investing in real estate in Manhattan, buying in one of these buildings is a no brainer. For instance, for a $2.7 million two-bedroom apartment at The Kent in the Upper East Side, over the first 12 years the tax savings would be approximately $300,000 alone, not including the tax savings over the following 8 years (the phase out period). By significantly reducing carrying costs, the tax abatement can increase net operating income, thereby enhancing the overall profitability of the investment.

Introduction to Tax Abatement

Tax abatement is a powerful incentive program in New York City that helps reduce the financial burden of property taxes for real estate owners, especially in luxury developments. For both developers and buyers, tax abatement programs can make a significant difference in the overall cost of ownership and investment returns. One Manhattan Square, perfectly situated on the Lower East Side waterfront, is a standout example of how these programs work in practice. With its 20-year tax abatement, buyers at One Manhattan Square can enjoy substantial savings, making luxury living more attainable and investment more attractive. The program not only benefits buyers by lowering annual taxes, but also supports developers in creating high-quality buildings with exceptional amenities. One Manhattan Square offers over 100,000 square feet of indoor and outdoor amenities, from state-of-the-art fitness centers to tranquil gardens, all set against breathtaking skyline views of New York City. This combination of tax savings, prime location, and world-class amenities makes One Manhattan Square a premier choice for those seeking the best of Manhattan living.

One Manhattan Square

One Manhattan Square is an 80-story modern glass tower that stands as an icon of luxury living on the Lower East Side. The site is strategically located on the eastern edge of the neighborhood, along the East River just north of the Manhattan Bridge, offering residents unparalleled access to the best of downtown Manhattan.

Meyer Davis, the award-winning team behind world-class hotels, elite private homes, and Oscar de la Renta’s flagship retail boutiques, has designed each residence to rival five-star resorts. The luxurious interiors combine style, quality, and function, with the use of light-colored materials such as pale marble and light wood, and floor-to-ceiling windows that maximize natural light to create a serene, airy atmosphere. Each residence is thoughtfully crafted by the expert team to provide a premium living experience.

The building’s 100,000 sq. ft. of amenities will include a basketball court, Turkish baths, bowling alley, golf simulator room, squash court, sauna, sunken tranquility garden, 75-foot swimming pool, billiards room, cigar room, private theater, Pilates studio, yoga studio, and a covered dog run for pet owners. Outdoor gardens, playgrounds, and dining areas further enhance the resort-like environment. Residents enjoy a vibrant lifestyle with activities and events available throughout the week, making every day dynamic and engaging.

Residences at One Manhattan Square feature epic river views, with panoramic vistas of the East River and city skyline from every direction.

The Lower East Side, once a shunned neighborhood, is in a period of flux, with a lot of development going on in this trendy gentrifying neighborhood.

• One bedroom units from $2,038,000: Each unit offers spacious layouts and premium finishes.

• Two bedroom units from $2,038,000: Each unit is designed for comfort and style, with impressive views.

• Three bedroom condominium residences from $3,527,000: These expansive units feature generous layouts, spectacular river and city views, and high-end finishes, perfect for families seeking luxury and space.

For more information or to schedule a visit, contact the sales center today and experience One Manhattan Square in person.

Tax Abatement Buildings and Property Taxes

Tax abatement buildings like One Manhattan Square provide a unique advantage for property owners by significantly reducing real estate taxes over an extended period. The 20-year tax abatement program at One Manhattan Square allows buyers to maximize their investment while enjoying a lifestyle enhanced by an impressive array of amenities. Residents have access to a bowling alley, golf simulator, and private outdoor amenities, all designed to create a sense of community and luxury. The building’s location on the Lower East Side waterfront offers stunning views of the Manhattan Bridge and easy access to the East River Esplanade, providing a peaceful retreat within the vibrant city. With a focus on quality, excellence, and distinction, One Manhattan Square reflects the work of world-class talent in both design and services. The combination of reduced real estate taxes, exceptional amenities, and a prime Lower East Side location makes this building a model for tax abatement developments in New York City, offering buyers a truly elevated lifestyle.

Waterline Square

A trio of starchitect-designed luxury towers comprise the 5-acre master plan development developed by GID, now named Waterline Square. Each building has its own architect. The Richard Meier building will feature interiors by Champalimaud, the Rafael Vinoly building will feature interiors by Groves & Co., and the KPF building will feature interiors Yabu Pushelberg

The project sits on the last of the undeveloped land in the Upper West Side, along the Hudson River between 59th and 63rdStreets. Each of the buildings will host condominiums up top with rentals in their bases, with one- through five-bedrooms sprinkled throughout. Across the three buildings, the project will have 263 condo units. Waterline Square will feature shared a huge amount of amenity space at over 90,000 sq. ft, as well as Waterline Square Park which will cover 3 acres of the property.

Waterline Square Park

Encompassing nearly three acres, the park at the center of Waterline Square celebrates regeneration and beauty, creating a living, natural connection between the buildings. It is at once a backyard and an oasis, accessible from each of the three towers, graced with sculptural fountains, manicured lawns, meandering paths, cascading water features, and a fully equipped children’s playground.

15 Hudson Yards 

15 Hudson Yards will be the first residential building coming to Hudson Yards, the new epicenter of Manhattan. The 28-acre mixed-use redevelopment project due west of Penn Station on the Hudson River has drawn some of the largest companies in the world (away from Midtown), including KKR, Loreal, Coach, SAP, to name a few, to this new neighborhood. The 70-story super luxury building launched sales in September 2016.

The building takes the form of what looks like two double barrel shotguns fused together, its multi-cylindrical appearance is a standout in a city full of right angles. At 910-feet tall, 15 Hudson Yards is being developed by The Related Group and Oxford Properties, and designed by Diller Scofidio + Renfro, with David Rockwell in collaboration with Ismael Leyva architects. 

This spectacular building will feature amazing Hudson River and New York City views. The building and the adjoining mall, anchored by Neiman Marcus and with restaurants curated by Thomas Keller, will both open by the end of 2018. 

35 Hudson Yards

35 Hudson Yards will be the tallest residential tower in Hudson Yards, at 1,009 feet tall, located at West 33rd Street and 11th Avenue. Clad in limestone and glass, 35 Hudson Yards will rise at West 34th Street and 11th Avenue at West 33rd Street. 

Also known as Equinox Tower, the 900-ft tower will house a flagship Equinox Hotel on the lower floors, first-class offices, and 137 private residences on the highest floors. Yabu Pushelberg, known for their designs at St. Regis, Four Seasons, and other luxury hotel projects worldwide, has added this Equinox Hotel to their impressive list of achievements. Fitness-minded residents will adore the 60,000 square foot gym. Residences should go on sale in 2019.

The Kent

Art Deco-inspired ground up new construction, The Kent, is located at 200 East 95th Street, one avenue from the new 96th St. Second Avenue subway stop which opened this past January and close to all the elite private schools in the neighborhood, like Dalton, Sacred Heart, Nightingale-Bramford, Spence, Brearly, and Chapin.

It’s an Extell project, so we know the building developer is top notch (they also did projects like One57, The Carlton House, Aldyn and One Manhattan Square). The quality, design, and amenities that distinguish Extell properties from others in New York City are clearly evident here. The architect is Beyer Blinder and Belle and interiors were done by Champalimaud.

The richness of the materials really stand out here, with a choice of high end Ivory or Onyx custom kitchen cabinetry, ebonized or brushed oak wood flooring, and Alexis Azul marble baths. In addition, the residences have gracious proportions (the 6th floor has 14-foot ceilings). This 30-story building has only 83 units, so each of them is very spacious. 

Conclusion and Future Outlook

In summary, tax abatement programs like the one at One Manhattan Square have a profound impact on the New York City real estate market, making luxury condominium ownership more accessible and appealing. The 20-year tax abatement not only attracts buyers seeking to maximize their investment but also enables developers to create buildings that set new standards for quality and lifestyle. One Manhattan Square stands out with its perfectly situated location, extensive amenities—including a pet spa, teen arcade, and demonstration kitchen—and commitment to excellence. As the market continues to evolve, such programs are likely to remain a key factor in the success of new developments, shaping the future of luxury living in Manhattan. For buyers, developers, and anyone searching for a new home in New York, One Manhattan Square offers additional information and features that make it a top contender among the city’s most desirable residences. With its focus on quality, lifestyle, and distinction, One Manhattan Square exemplifies the best of what Manhattan has to offer.

Additional resources regarding the 421a Tax Abatement.

Manhattan Miami Real Estate News 

"How Capital Gains Can Be Reduced or Deferred When Selling Property"

"US Tax Reform Effects On Real Estate Investors And Home Owners"

"NYC's Tech Sector is on Fire and Heating Up Hudson Yards"

"UWS Apartments for Sale Guide"