96. Voluntary dissolution. 1. Notwithstanding any provisions in this article to the contrary, a housing company organized pursuant to this article after April first, nineteen hundred sixty-two, may voluntarily be dissolved, or in the case of a housing company which is a trust, be terminated, without the consent of the commissioner, not less than twenty years after the occupancy date upon the payment in full of the remaining balance of principal and interest due and unpaid upon the mortgage or mortgages and of any and all expenses incurred in effectuating such voluntary dissolution or termination.
2. Upon such dissolution or termination, title to the project may be conveyed in fee to the owner or owners of its capital or to any corporation, partnership or trust designated by it or them for the purpose, or the company may be reconstituted pursuant to appropriate laws relating to the formation and conduct of corporations, partnerships or trusts, provided, however, that prior to any such dissolution or termination and conveyance or reconstitution payment shall be made of all current operating expenses, taxes, indebtedness and all accrued interest thereon and the par value of the shares or amount of the capital of such company and accrued distributions in respect thereof. If after making such payments and after conveyance of the project, a surplus remains in the treasury of the housing company, such surplus shall, upon dissolution or termination be distributed to the shareholders, partners or beneficiaries, as their interests may appear. After such dissolution or termination and conveyance, or such reconstitution, the provisions of this article shall become and be inapplicable to any such project and its owner or owners, and any tax exemption granted with respect to such project pursuant to section ninety-three hereof shall cease and terminate.
Last modified: February 3, 2019