Five-Year Exemption and Abatement
A state law that lets a town, by ordinance, give a five-year property tax exemption, abatement or both for new construction, improvements or conversions in areas it has declared in need of rehabilitation. Without a town ordinance, it is not available.
New Jersey example
Made-up example: a city declares its downtown in need of rehabilitation and adopts an ordinance. A shop owner there finishes renovating her store. She must file Form E/A-1 with the tax assessor within 30 days of completion, counting Saturdays and Sundays. Late applications are denied.
Official source
Form E/A-1, Application for Five-Year Exemption and/or Abatement (NJ Division of Taxation)
This is a plain-English summary. Rules and dollar amounts change, so check the official source or a professional before you file or sign anything.