2013 New York Consolidated Laws
PVH - Private Housing Finance
Article 8 - (400 - 408) LOANS TO OWNERS OF EXISTING MULTIPLE DWELLINGS
407 - Participation by certain corporations and individuals.

 
    §  407.  Participation by certain corporations and individuals. 1. One
  or more banking  institutions,  foundations,  labor  unions,  employers'
  associations,  veterans'  organizations,  insurance companies, trustees,
  fiduciaries or any combination of the foregoing, shall have the power to
  participate and invest, singly or jointly, with a  municipality  or  the
  New  York  city  housing  development  corporation in a bond or note and
  single participating  mortgage,  or  in  separate  bonds  or  notes  and
  mortgages  pursuant  to  and  in  accordance with the provisions of this
  article. As used in this section, the terms "trustees" and "fiduciaries"
  shall include any fiduciary or fiduciaries holding funds for investment.
    2. Banking institutions and  insurance  companies  may  exercise  such
  power  on  such  conditions  as  may  be prescribed or authorized by the
  superintendent of financial services.
    3. Where one or more banking institutions, foundations, labor  unions,
  employers'  associations,  veterans' organizations, insurance companies,
  trustees or fiduciaries participates and invests with a municipality  or
  the  New  York  city  housing  development  corporation  as  provided in
  subdivision one, the interest of each need not be equal as  to  priority
  of lien, interest rate, time or rate of amortization or otherwise.
    4.   Where   a  municipality  joins  with  one  or  more  corporations
  organizations or individuals of the kind hereinabove mentioned in making
  a loan secured  by  a  single  participating  mortgage  or  by  separate
  mortgages,  the  municipality may make provision, either in the mortgage
  or mortgages or by separate  agreement,  for  the  performance  of  such
  services  as  are  generally  performed  by  a  banking  institution  or
  insurance company which itself owns and holds a mortgage or by a trustee
  under a trust mortgage. The  agency  is  hereby  authorized  to  act  as
  trustee or to consent to the appointment of a banking institution to act
  in such capacity.