2023 New York Laws › PVH - Private Housing Finance › Article 4 - Limited Dividend Housing Companies › 85-B - Resale Price of Shares.

§ 85-b. Resale price of shares. Notwithstanding any other provision of
this  article  and  subject to any regulation not inconsistent with this
section which may be promulgated by the commissioner:
(a) The resale price of shares in a mutual company shall be  fixed  by
the  mutual  company,  subject  to the approval of the commissioner, and
shall be equal to (1) the consideration  the  selling  tenant-cooperator
paid  for  such  shares  and  (2)  any capital assessments and voluntary
capital contributions approved by  the  commissioner  and  paid  by  the
selling  tenant-cooperator  to  the  mutual  company,  to the extent not
already included in the consideration paid  for  such  shares,  and,  if
established  by  the  mutual  company,  (3) a proportionate share of the
actual aggregate amortization paid on all existing and  prior  mortgages
on  the project in reduction of total outstanding principal indebtedness
during such period as shall be fixed by the board of  directors  of  the
mutual  company, to the extent not already included in the consideration
paid for such shares, and (4) reasonable administrative charges.
(b) The aggregate amount to be paid to the  selling  tenant-cooperator
with respect to the sale of the selling tenant-cooperator's shares shall
be fixed by the board of directors of the mutual company, subject to the
approval   of   the   commissioner,  and  shall  be  equal  to  (1)  the
consideration the selling tenant-cooperator paid for  such  shares,  (2)
any  capital assessments and voluntary capital contributions approved by
the commissioner and paid by the selling tenant-cooperator to the mutual
company, to the extent not already included in  the  consideration  paid
for  such  shares, and (3) a proportionate share of the actual aggregate
amortization paid by the selling tenant-cooperator on all  existing  and
prior  mortgages  on  the  project  in  reduction  of  total outstanding
principal indebtedness during such period as shall be fixed by the board
of directors pursuant to subdivision (a) of this section, to the  extent
not  already  included in the consideration paid for such shares. To the
extent that a selling tenant-cooperator may be  entitled  to  an  amount
less  than  the  resale  price  of  his  shares, the difference shall be
retained by the mutual company.
(c) The board of  directors  may,  subject  to  the  approval  of  the
commissioner,  establish  a  general  policy pursuant to which a selling
tenant-cooperator who had occupied more than one dwelling unit  is  paid
an  amount  measured  by his proportionate share of the actual aggregate
amortization paid during his period of  occupancy  on  all  existing  or
prior   mortgages   on  the  project.  To  the  extent  that  a  selling
tenant-cooperator may be entitled to an amount greater than  the  resale
price   of   shares,   the   difference  may  be  paid  to  the  selling
tenant-cooperator by the mutual company.
(d) The "proportionate share of the actual aggregate amortization paid
on all existing and prior mortgages  on  the  project"  referred  to  in
subdivision  (a)  of  this  section  shall  be in the same ratio to such
actual aggregate amortization as  the  number  of  shares  held  by  the
selling  tenant-cooperator at the time of sale bears to the total number
of shares of issued and outstanding capital stock of the mutual  company
during such period.
(e) Nothing contained in this section shall prohibit the continued use
of  any  method  of calculating resale price adopted by a mutual company
and approved by the commissioner prior to the  effective  date  of  this
section.