Revitalization of Inner City Housing Through Property Tax Exemption: New York City’s J-51 to the Rescue

In early 1975 the New York State Urban Development Corporation, which had built a major share of governmentally assisted housing in the state, suffered a financial collapse. The city looked to the obvious. Any new housing program had to satisfy three criteria. First, the program needed to supply an immediate impetus to reverse the declining housing market. Second, any capital for reconstruction had to come from the private mortgage market because the city had lost its credit. Finally, the costs of any city housing program would have to be spread over many years