Brooklyn office tenants are exempt from the NYC Commercial Rent Tax, which imposes a tax of 3.9% on tenants paying more than $250,000 rent per year, in most office districts in Manhattan.
EXAMPLE: A tenant in Midtown Manhattan and a tenant in Williamsburg, Brooklyn both pay a $300,000 annual rent payment. The Midtown tenant is required to pay the Commercial Rent Tax of $11,700 ($300,000 x .039%) while the Brooklyn tenant is exempt from this payment.