New Construction Encroaching on our Backyard

The property directly behind mine has been dug out in preparation for new construction. My question regards how far back from the street they can go. The hole now extends about 12′ past the rear line of all the neighboring homes. Is this common in construction? Is the builder illegally adding extra sq. footage? Could it possibly be only basement space with the rear of the bldg remaining in line with the others? I haven’t gotten help from the bldg dept or landmarks, so I thought maybe forum contributors had the right info. This street consists of 4 story brownstones. Thanks for your help, JC.

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