§ 5-d. Financing non-profit housing and health facilities. 1. Subject
to the provisions of any contract with noteholders and bondholders (a)
to make and contract for the making of loans for the acquisition,
refinancing, construction or rehabilitation of non-profit housing and
health facilities and (b) to make and to contract for the making of
loans to or to purchase loans from lending institutions for the purposes
of financing loans for such acquisition, construction or rehabilitation.

2. The powers granted by this section may be exercised only if: (a)
the commissioner has approved any health, or health related facilities
which are in addition to the residential unit and housing portion of the
facility, pursuant to section twenty-eight hundred two of the public
health law in any case where the facility is subject to the provisions
of such section or has approved the facility according to the guidelines
prescribed in any other case; and (b) (i) obligations of the agency have
been issued to fund the loan made or purchased by the agency and such
obligations have received an investment grade rating from a recognized
rating agency, or (ii) the loan made or purchased by the agency is fully
secured as to principal and interest by insurance or a commitment to
insure issued by the state of New York mortgage agency or by the general
credit of the bank, national bank, trust company, savings bank, savings
and loan association, insurance company, the college construction loan
insurance association, the student loan marketing association, or a
governmental agency of the United States.