2013 New York Consolidated Laws
PVH - Private Housing Finance
Article 2 - (10 - 37) LIMITED-PROFIT HOUSING COMPANIES
20 - Mortgages, mortgage bonds and notes.

 
    §  20. Mortgages, mortgage bonds and notes. 1. Any company, subject to
  the approval of the commissioner or of the supervising  agency,  as  the
  case  may  be, may borrow funds and secure the repayment thereof by bond
  or note and mortgage or by an issue of bonds under a trust indenture.
    2. Each loan made to a company shall relate to one or  more  specified
  projects  and  shall  be  secured  by  a  mortgage  upon all of the real
  property of which the project or projects, to which  the  loan  relates,
  consists,  and  upon  all  fixtures  and  articles  of personal property
  attached to or used in connection with the operation of such project  or
  projects.  Such  mortgages may contain such other clauses and provisions
  as shall be approved by the commissioner, or the supervising agency,  as
  the  case  may  be, including the right to assignment of rents and entry
  into possession in case of default; but the operation of such project or
  projects, in the event of such entry by a mortgagee or receiver,  except
  in  the  case  of  a  mortgage  loan  insured  or  held  by  the federal
  government,  shall  be  subject  to  regulations  promulgated   by   the
  commissioner  or the supervising agency. Provisions for the amortization
  of the mortgage indebtedness  and  residual  indebtedness  of  companies
  formed  under  this  article  shall  be  subject  to the approval of the
  commissioner or the supervising agency, as the case may be. In the  case
  of  an instrument or instruments evidencing residual indebtedness issued
  pursuant to section  twenty-three-a  or  section  forty-four-b  of  this
  chapter,  the principal amount of such instrument or instruments and the
  interest thereon, if any, shall be repaid over  a  period  of  time  not
  exceeding  the  term over which the mortgage loan insured by the federal
  government is to be repaid, plus ten years, which period of  time  shall
  commence  at  such  time  as  the commissioner or the supervising agency
  shall approve, provided, however, that such period  of  time  shall  not
  expire  more  than  fifteen years after the mortgage loan insured by the
  federal government has been satisfied.