NY A00592

Allows rental companies and mutual companies aided by loans after May 1, 1959 to voluntarily dissolve, sell, or reconstitute 20 or more years after occupancy without commissioner consent.

Imposes a transfer fee equal to 75 percent of fair market value upon dissolution or first sale of a rental project, or 75 percent of sales price on each first sale thereafter by a selling shareholder of a mutual company.

Directs transfer fee proceeds to a fund administered by the New York City Housing Development Corporation and New York State Housing Finance Agency for subsidies, land purchases, zero-interest repair loans, and affordable housing development.

Authorizes annual forgiveness of one-thirtieth of principal on repair loans for companies remaining in the Mitchell-Lama program, and permits conversion of projects to limited-profit mutual companies with 99-year leases.

Takes effect 60 days after becoming law.