N.Y. PVH Law § 803

§ 803. Conditions precedent to making such loans. A municipality shall\nnot participate in a loan pursuant to this article unless the agency\nfinds that the area in which the existing multiple dwelling,\nnon-residential property or vacant land is situated is a blighted,\ndeteriorated or deteriorating area, or has a blighting influence on the\nsurrounding area, or is in danger of becoming a slum or a blighted area\nbecause of the existence of substandard, insanitary, deteriorating or\ndeteriorated conditions, an aged housing stock, or under-utilized\nnon-residential property, or other factors indicating an inability of\nthe private sector unaided to cause such rehabilitation, conversion or\nconstruction to be made and unless the agency has notified occupants of\nthe existing multiple dwelling of the contemplated rehabilitation and\nhas advised them of the expected rental increase to result therefrom and\na representative of the agency has met or has offered to meet at least\nonce with the occupants.\n