485-x is New York’s current tax abatement program that grants property tax exemptions to construction projects that adhere to affordable housing requirements. 485-x replaced 421-g, New York's previous tax abatement program that featured looser affordability commitments and construction wage standards. 485-x took effect in June 2024 as part of New York’s FY 2025 state budget legislation. 485-x applies to newly constructed multifamily residential buildings in NYC. 485-x affordability criteria require that at least 25% of units must be dedicated towards affordable housing, where affordability levels range from 40% to 80% AMI, depending on project size and option selected under the program. 485-x significantly improves project profitability and therefore feasibility by reducing future property tax expenses, but developers must take into account the costs of providing affordable units and include construction wage requirements when underwriting a site.