N.Y. Banking Law § 381: Power to take and hold real estate; restrictions

§ 381. Power to take and hold real estate; restrictions. 1. A savings

and loan association may take, hold and convey real property as follows:

(a) A plot whereon there is or may be erected a building suitable for

the convenient transaction of its business, from portions of which not

required for its own use a revenue may be derived, and a plot whereon

parking accommodations are, or are to be, provided, with or without

charge, primarily for its customers or employees or both; provided that

the aggregate of all investments of any savings and loan association in

such plots and buildings or in the bonds and mortgages upon such plots

or buildings shall not exceed five per centum of the assets of such

association except with the approval of the superintendent.

(b) Such as shall be conveyed to it in satisfaction of debts

previously contracted in the course of its business.

(c) Such as it shall purchase at sales under judgments, decrees or

mortgages held by it.

(d) A whole or part interest in a "project" as defined in the New York

state urban development corporation act, pursuant to sections six or

eight of such act. An investment by an association in a single project

shall not exceed one per centum of the assets or ten per centum of the

net worth of such association, whichever is less, and the aggregate of

all investments of an association in such projects and investments in

securities pursuant to subparagraph one-a of paragraph (a) of

subdivision twenty-one of section two hundred thirty-five of this

chapter shall not exceed five per centum of the assets or fifty per

centum of the net worth of such association, whichever is less. For the

purposes of this subdivision, "net worth" of an association shall mean

the excess of its assets at book value, less allocated reserves, over

known liabilities.

* (e) Improved or unimproved real property (either by purchase, lease,

exchange or otherwise), or any interest therein, to erect, construct,

rebuild, enlarge, alter, improve, maintain, manage and operate buildings

or other improvements of any description thereon, to sell, lease,

sublet, mortgage, exchange or otherwise dispose of same and execute,

perform and carry out contracts for construction, alteration,

improvement, maintenance, management or repair thereof, to make loans in

connection therewith, as owner, co-owner or otherwise, subject to such

specific or general approvals and limitations as shall be required by

regulations promulgated from time to time by the superintendent of

financial services pursuant to this paragraph; provided, however, that

no activity specified herein shall be undertaken pursuant to the

authority contained in this paragraph until the superintendent of

financial services shall have issued regulations specifying the

limitations and requirements which shall be imposed in connection with

the investments and activities referred to herein, including, without

limitation, the consideration of such savings and loan association's

record in meeting the credit needs of local communities within the

meaning of section twenty-eight-b of this chapter.

* NB Expired June 30, 1988

2. All real estate purchased by any such association or taken by it in

settlement of debts due it, shall be conveyed to it directly by name or,

subject to such regulations and restrictions as the superintendent of

financial services finds to be necessary and proper, may be taken in the

name of a duly authorized nominee, and the conveyance immediately

recorded or registered in the office of the proper recording officer of

the county in which such real estate is located.