What type of properties does Tax Class 1 (TC 1) cover?

Tax Class 1 in New York City specifically pertains to one to three unit residential properties. This classification is designed to protect smaller residential properties, such as single-family homes, duplexes, and triplexes, by subjecting them to a different tax rate and assessment method compared to larger residential or commercial properties. The aim is to maintain affordability and stability for these types of housing, which are vital to the community and often represent the primary residence for their owners.

The other categories mentioned do not fit within Tax Class 1. Condos and co-ops are categorized differently as they often involve multiple units and can have more complex ownership structures. Utility company equipment falls under a specific classification tailored to address the unique taxation needs of utility infrastructures. Office buildings and hotels are classified as commercial properties, which face different tax rates and regulations. By focusing on one to three unit residential properties, Tax Class 1 serves a distinct purpose in the broader framework of property taxation in New York City.