2023 New York Laws › BNK - Banking › Article 3 - Banks and Trust Companies › 98 - Power to Take and Hold Real Estate; Restrictions.

§ 98.  Power  to take and hold real estate; restrictions. 1. A bank or
trust company may purchase, hold, lease  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, and a building
or a portion or portions thereof for use by the bank or trust company in
its business, provided that the aggregate of all investments of any bank
or trust company in such plots and buildings and in a leased building or
a  portion  or  portions  thereof  or  in the stock, debentures or other
obligations of any corporation holding such plots or  buildings  and  of
all  loans  to or upon the security of the stock of any such corporation
shall not exceed forty per centum of the aggregate of the capital stock,
surplus fund and undivided profits of such bank or trust company, except
with the approval of the  superintendent.  Any  bank  or  trust  company
having,  prior to April twenty-third, nineteen hundred thirty-four, made
loans and investments in excess of the limitations  prescribed  by  this
paragraph may retain any such loans and investments notwithstanding such
limitations.
(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)  Such  purchase, lease, conveyance or other acquisition or sale of
real  property  which  is  located  outside  the  United   States,   its
territories  and  possessions,  and  which  is  used  principally as the
residence of one or more directors, officers, or employees of  the  bank
or trust company as may be specifically approved by the superintendent.
(e)  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 a bank or trust company in a
single project shall not exceed one per centum of the assets or  fifteen
per  centum  of  the  combined capital stock, surplus fund and undivided
profits of such bank or  trust  company,  whichever  is  less,  and  the
aggregate of all investments of a bank or trust company in such projects
and  investments in securities of any "subsidiary" of the New York state
urban development corporation, as defined in the New  York  state  urban
development  corporation  act,  shall  not exceed five per centum of the
assets or seventy-five per centum of the combined capital stock, surplus
fund and undivided profits of such bank or trust company,  whichever  is
less.
2.  All real estate purchased by any bank or trust company or taken by
it in settlement of debts due it, shall be conveyed to it  in  its  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. All such conveyances shall be
immediately recorded or registered in the office of the proper recording
officer of the county in which such real estate is located.