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New York · Through 2026-09-11

N.Y. Urban development research corporation act 173/68 § 10: Acquisition of real property

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  1. Urban development research corporation act 173/68

§ 10. Acquisition of real property. (1) Real property may be acquired

by the corporation or by a subsidiary, or by a municipality for the

corporation or a subsidiary, by gift, grant, devise, purchase,

condemnation or otherwise.

(2) The corporation or a subsidiary, electing to acquire real property

through acquisition, may petition the municipality to institute

proceedings pursuant to the provisions of the eminent domain procedure

law, to acquire property described in the petition for a project. The

resolution granting the petition shall set forth the amount to be paid

by the corporation or subsidiary to the municipality for such property

or, in lieu thereof, that the corporation or subsidiary shall pay to the

municipality all sums expended or required to be expended by the

municipality in the acquisition thereof, and the time of payment and

manner of securing payment thereof, and may require that the

municipality shall receive, before proceeding with the acquisition of

such property, such assurances as to payment or reimbursement by the

corporation or subsidiary or otherwise as the municipality may deem

advisable. Upon the passage of a resolution by the local governing body

of the municipality granting the petition, the corporation or subsidiary

shall cause two copies of surveys or maps of the property described in

the petition to be made, one of which shall be filed in the office of

the corporation or subsidiary, one in the office of the corporation

counsel or chief law officer of the municipality. The filing of such

copies of surveys or maps shall be conclusive evidence of the acceptance

by the corporation or subsidiary of the terms and conditions of such

resolution. When title to the property shall have vested in the

municipality, it shall convey the same to the corporation or subsidiary

upon payment by the corporation or subsidiary of the sums or the giving

of the security required by the resolution granting the petition. As

soon as title shall have vested in the municipality, the corporation or

subsidiary may, upon the authorization of the chief executive officer,

enter upon the property taken, take over and dispose of existing

improvements, and carry out the terms of the project with respect

thereto. Whenever in connection with such proceedings, requirement is

made in any applicable general, special or local law for the performance

of an act by a department or officer of the municipality, it shall be

regarded for the purposes of this section as compliance therewith if

with the approval of the chief executive officer such act is performed

by the corporation or subsidiary or by persons specially designated by

it.

(3) In any proceedings for the assessment of compensation and damages

for property taken or to be taken by condemnation by or for the

corporation or subsidiary, the following provisions shall be applicable:

(a) Evidence of the price and other terms upon any sale or the rent

received or reserved, whichever is less, and other terms upon any

option, lease or tenancy relating to any of the property taken or to be

taken or to any similar property in the vicinity when the option, sale

or lease was given, occurred or the tenancy existed, within a reasonable

time of the trial, shall be admissible on direct examination. At any

stage of the proceedings, the court or tribunal may require such prior

notice to be given of an intention to introduce evidence as to the sale,

option, leasing or tenancy of property other than the property directly

involved in the proceeding and of particulars relating thereto as it may

deem necessary to prevent surprise.

(b) The deposition of any person, whether or not a party, may be taken

in the manner provided by article thirty-one of the civil practice law

and rules, and the provisions of this section. Such deposition may be

taken upon any question or issue in the proceeding, including the facts

as to any sale, option, lease or tenancy admissible in evidence pursuant

to this subdivision. The deposition may be taken at the instance of the

corporation or subsidiary, the municipality or of any owner or at the

direction of the court, at any time during the pendency of the action or

proceeding. At least five days' notice shall be given of the taking of

the testimony, if on the part of an owner, to the corporation or

subsidiary and to all other owners who have appeared in the proceeding;

if by the corporation or subsidiary or a municipality, to all owners who

have appeared in the proceeding.

(c) Any time during pendency of such action or proceedings the

corporation or subsidiary, municipality or an owner may apply to the

court for an order directing an owner or the corporation or subsidiary

or the municipality as the case may be, to show cause why further

proceedings should not be expedited, and the court may upon such

application make an order requiring that hearings proceed and that any

other steps be taken with all possible expedition.

(d) For the purposes of this act, the award of compensation shall not

be increased by reason of any increase in the value of the property

caused by the clearance, reconstruction or proposed clearance or

reconstruction of the property or of the area in which the property is

situated. No allowance shall be made for improvements begun on property

after notice to the owner of such property of the institution of the

proceedings to condemn such property.

(e) Evidence shall be admissible bearing upon the insanitary, unsafe

or substandard condition of the premises, or the illegal use thereof, or

the enhancement of rentals from such illegal use, and such evidence may

be considered in fixing the compensation to be paid, notwithstanding

that no steps to remedy or abate such conditions have been taken by the

department or officers having jurisdiction. If a violation order is on

file against the premises in any such department, it shall constitute

prima facie evidence of the existence of the condition specified in such

order.

(f) If any of the property included within the project is devoted to a

public use, it may nevertheless be acquired provided that no property

belonging to the municipality or to any government may be acquired

without its consent, and no property belonging to a public utility

corporation may be acquired without the approval of the commission or

other officer or tribunal having regulatory power over such corporation.

(g) Upon the trial, evidence of the price and other terms upon a sale

or assignment or of a contract for the sale or assignment of a mortgage,

award, proposed award, transfer of a tax lien or lien of a judgment

relating to property taken, shall be relevant, material and competent,

upon the issue of value or damage and shall be admissible on direct

examination.

(h) Upon the trial a statement, affidavit, deposition, report,

transcript of testimony in an action or proceeding, or appraisal made or

given by any owner or prior owner of the premises taken, or by any

person on his behalf, to any court, governmental bureau, department or

agency respecting the value of the property for tax purposes, shall be

relevant, material and competent upon the issue of value or damage and

shall be admissible on direct examination.

(4) A municipality may take private property for the corporation or

subsidiary for the purposes provided by this act and for recreational

and other facilities incidental or appurtenant thereto, but in excess of

that required for public use after such purposes have been accomplished.

A municipality or the corporation or subsidiary may improve and utilize

such excess property or may leave or sell such excess property with

restrictions to preserve and protect the project or projects.

Proceedings to acquire such excess property may be brought by the

municipality for the corporation or subsidiary in the same manner as for

real property required for the project and may be included in the

proceedings for the acquisition of real property required for the

project.

(5) (a) The local governing body of a municipality, by resolution, may

determine that real property of the municipality, specified and

described in such resolution is not required for use by the municipality

and may authorize the municipality to sell or lease such real property

to the corporation or subsidiary.

(b) Notwithstanding the provisions of any general, special or local

law or ordinance, such sale or lease may be made without appraisal,

public notice or public bidding for such price or rental and upon such

terms (and, in case of a lease, for such term not exceeding fifty years

with a right to one renewal term of thirty years) as may be agreed upon

between the municipality and the corporation or subsidiary.

(c) Before any sale or lease to the corporation or subsidiary shall be

authorized, a public hearing shall be held by the local governing body

to consider the proposed sale or lease.

(d) Notice of such hearing shall be published at least ten days before

the date set for the hearing in such publication and in such manner as

may be designated by the local governing body.

(e) The deed or lease of such property shall be executed in the same

manner as a deed or lease by the municipality for other real property

and shall contain appropriate conditions and provisions to enable the

municipality to re-enter the property in the event of a violation by the

corporation or subsidiary of any of the provisions of this act relating

to the corporation or subsidiary or of the conditions or provisions of

such deed or lease.

(f) The corporation or subsidiary purchasing or leasing land from a

municipality shall not, without the written approval of the

municipality, use such land for any purpose except in connection with a

project approved under this act. The deed shall contain a condition that

the corporation or subsidiary will devote the land granted only for the

purposes of a project, subject to the restrictions of this act for

breach of which the municipality shall have the right to re-enter and

repossess itself of the land.

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