§ 1609 — Disposition of property

§ 1609. Disposition of property.\n (a) The land bank shall hold in its own name, or in the name of a\nlawfully organized subsidiary, all real property acquired by the land\nbank irrespective of the identity of the transferor of such property.\n (a-1) This section governing the disposition of property by land banks\nshall supersede section twenty-eight hundred ninety-seven of the public\nauthorities law in the governance of property dispositions by land banks\nand, as such, notwithstanding any other general, special or local law to\nthe contrary, section twenty-eight hundred ninety-seven of the public\nauthorities law shall not apply to land banks.\n (b) The land bank shall maintain and make available for public review\nand inspection a complete inventory of all real property dispositions by\nthe land bank. Such inventory shall include a complete copy of the sales\ncontract including all terms and conditions including, but not limited\nto, any form of compensation received by the land bank or any other\nparty which is not included within the sale price.\n (c) The land bank shall determine and set forth in policies and\nprocedures of the board of directors the general terms and conditions\nfor consideration to be received by the land bank for the transfer of\nreal property and interests in real property, which consideration may\ntake the form of monetary payments and secured financial obligations,\ncovenants and conditions related to the present and future use of the\nproperty, contractual commitments of the transferee, and such other\nforms of consideration as are consistent with state and local law.\n (d) The land bank may convey, exchange, sell, transfer, lease as\nlessor, grant, release and demise, pledge any and all interests in, upon\nor to real property of the land bank.\n (e) A foreclosing governmental unit may, in its local law, resolution\nor ordinance creating a land bank, or, in the case of multiple\nforeclosing governmental units creating a single land bank in the\napplicable intergovernmental cooperation agreement, establish a\nhierarchical ranking of priorities for the use of real property conveyed\nby a land bank including but not limited to:\n (1) use for purely public spaces and places, including community\ngardens;\n (2) use for affordable housing;\n (3) use for retail, commercial and industrial activities;\n (4) use as wildlife conservation areas; and\n (5) such other uses and in such hierarchical order as determined by\nthe foreclosing governmental unit or units.\n (f) A foreclosing governmental unit may, in its local law, resolution\nor ordinance creating a land bank, or, in the case of multiple\nforeclosing governmental units creating a single land bank in the\napplicable intergovernmental cooperation agreement, require that any\nparticular form of disposition of real property, or any disposition of\nreal property located within specified jurisdictions, be subject to\nspecified voting and approval requirements of the board of directors.\nExcept and unless restricted or constrained in this manner, the board of\ndirectors may delegate to officers and employees the authority to enter\ninto and execute agreements, instruments of conveyance and all other\nrelated documents pertaining to the conveyance of real property by the\nland bank.\n (g) All property dispositions shall be listed on the property\ndisposition inventory established pursuant to paragraph (b) of this\nsection within one week of disposition. Such records shall remain\navailable for public inspection in the property disposition inventory\nindefinitely.\n (h) Failure to comply with the requirements in paragraph (g) of this\nsection shall subject the land bank to a civil penalty of one hundred\ndollars per violation up to a maximum of ten thousand dollars for each\nparcel, recoverable in an action brought by the attorney general or\ndistrict attorney. The attorney general or district attorney may also\nseek rescission of the real property transaction.\n