2023 New York Laws › NPC - Not-For-Profit Corporation › Article 16 - Land Banks › 1609 - Disposition of Property.

§ 1609. Disposition of property.
(a)  The  land  bank  shall  hold in its own name, or in the name of a
lawfully organized subsidiary, all real property acquired  by  the  land
bank irrespective of the identity of the transferor of such property.
(a-1) This section governing the disposition of property by land banks
shall  supersede section twenty-eight hundred ninety-seven of the public
authorities law in the governance of property dispositions by land banks
and, as such, notwithstanding any other general, special or local law to
the contrary, section twenty-eight hundred ninety-seven  of  the  public
authorities law shall not apply to land banks.
(b)  The land bank shall maintain and make available for public review
and inspection a complete inventory of all real property dispositions by
the land bank. Such inventory shall include a complete copy of the sales
contract including all terms and conditions including, but  not  limited
to,  any  form  of  compensation  received by the land bank or any other
party which is not included within the sale price.
(c) The land bank shall  determine  and  set  forth  in  policies  and
procedures  of  the  board of directors the general terms and conditions
for consideration to be received by the land bank for  the  transfer  of
real  property  and  interests in real property, which consideration may
take the form of monetary payments and  secured  financial  obligations,
covenants  and  conditions  related to the present and future use of the
property, contractual commitments of  the  transferee,  and  such  other
forms of consideration as are consistent with state and local law.
(d)  The  land  bank  may  convey,  exchange, sell, transfer, lease as
lessor, grant, release and demise, pledge any and all interests in, upon
or to real property of the land bank.
(e) A foreclosing governmental unit may, in its local law,  resolution
or  ordinance  creating  a  land  bank,  or,  in  the  case  of multiple
foreclosing governmental units  creating  a  single  land  bank  in  the
applicable   intergovernmental   cooperation   agreement,   establish  a
hierarchical ranking of priorities for the use of real property conveyed
by a land bank including but not limited to:
(1) use for purely public spaces and places;
(2) use for affordable housing;
(3) use for retail, commercial and industrial activities;
(4) use as wildlife conservation areas; and
(5) such other uses and in such hierarchical order  as  determined  by
the foreclosing governmental unit or units.
(f)  A foreclosing governmental unit may, in its local law, resolution
or ordinance  creating  a  land  bank,  or,  in  the  case  of  multiple
foreclosing  governmental  units  creating  a  single  land  bank in the
applicable intergovernmental cooperation  agreement,  require  that  any
particular  form  of disposition of real property, or any disposition of
real property located within  specified  jurisdictions,  be  subject  to
specified  voting  and  approval requirements of the board of directors.
Except and unless restricted or constrained in this manner, the board of
directors may delegate to officers and employees the authority to  enter
into  and  execute  agreements,  instruments of conveyance and all other
related documents pertaining to the conveyance of real property  by  the
land bank.
(g)  All  property  dispositions  shall  be  listed  on  the  property
disposition inventory established pursuant  to  paragraph  (b)  of  this
section  within  one  week  of  disposition.  Such  records shall remain
available for public inspection in the  property  disposition  inventory
indefinitely.
(h)  Failure  to comply with the requirements in paragraph (g) of this
section shall subject the land bank to a civil penalty  of  one  hundred

dollars  per  violation up to a maximum of ten thousand dollars for each
parcel, recoverable in an action brought  by  the  attorney  general  or
district  attorney.  The  attorney general or district attorney may also
seek rescission of the real property transaction.