§ 2875 — Conditions and security for loans

§ 2875. Conditions and security for loans. No loan shall be made by\nthe agency to an eligible borrower until the commissioner has approved\nthe project and finds that:\n 1. The eligible borrower has complied with all of the provisions of\narticle twenty-eight of this chapter and this article;\n 2. The plans and specifications conform to the requirements of all\nlaws and regulations applicable thereto and assure adequate light, air,\nsanitation and fire protection and are satisfactory to him;\n 3. The estimated revenue of the project or from other funds of the\neligible borrower pledged, assigned or otherwise to be made available to\nthe agency will be sufficient to cover all probable costs of operation\nand maintenance, of fixed charges and such reserves as may be authorized\nby the commissioner or required by the agency;\n 4. Provision has been made for the purpose of providing for the\npayment of the difference between the estimated project cost and the\nloan; and in the event the final project cost shall exceed the estimated\nproject cost, the difference between such final project cost and the\nloan;\n 5. The eligible borrower has entered into a regulatory agreement\npursuant to section twenty-eight hundred seventy-three of this article.\n