N.Y. Private Housing Finance Law § 651: Statement of legislative findings and purpose

§ 651. Statement of legislative findings and purpose. 1. There

continues to exist in the city of New York a seriously inadequate supply

of safe and sanitary dwelling accommodations within the financial reach

of families and persons of low income. The ordinary operations of

private enterprise cannot provide an adequate supply of such

accommodations at rentals and carrying charges which families and

persons of low income can afford. In order to encourage the investment

of private capital and provide such dwelling accommodations, provision

should be made for mortgage loans at low interest rates to housing

companies which, subject to regulation as to rents, profits, dividends

and disposition of their property, supply multiple dwelling

accommodations, and other facilities incidental or appurtenant thereto,

to such families and persons. For that purpose there should be created a

corporate governmental agency, to be known as the "New York city housing

development corporation," which, through the issuance of its bonds,

notes or other obligations to the private investing public, may attract

a broad base of investment by the greatest number of the general public

and obtain the funds necessary to make or finance the making of such

mortgage loans.

2. There also exists in the city of New York a large number of

multiple dwellings which are inadequate, unsafe or insanitary and which

can be made adequate, safe and sanitary by rehabilitation or other

improvement. Such rehabilitation or improvement cannot readily be

provided by the ordinary operations of private enterprise without public

aid in the form of low interest loans to the owners of such multiple

dwellings. In order to encourage the investment of private capital in

such rehabilitation and improvement, the agency should also be

empowered, through the issuance of its bonds, notes or other obligations

to the private investing public, to obtain the funds necessary to make

or finance the making of such low interest loans.

The necessity in the public interest for the provisions hereinafter

enacted is hereby declared as a matter of legislative determination.