§ 2875. Conditions and security for loans. No loan shall be made by
the agency to an eligible borrower until the commissioner has approved
the project and finds that:

1. The eligible borrower has complied with all of the provisions of
article twenty-eight of this chapter and this article;

2. The plans and specifications conform to the requirements of all
laws and regulations applicable thereto and assure adequate light, air,
sanitation and fire protection and are satisfactory to him;

3. The estimated revenue of the project or from other funds of the
eligible borrower pledged, assigned or otherwise to be made available to
the agency will be sufficient to cover all probable costs of operation
and maintenance, of fixed charges and such reserves as may be authorized
by the commissioner or required by the agency;

4. Provision has been made for the purpose of providing for the
payment of the difference between the estimated project cost and the
loan; and in the event the final project cost shall exceed the estimated
project cost, the difference between such final project cost and the
loan;

5. The eligible borrower has entered into a regulatory agreement
pursuant to section twenty-eight hundred seventy-three of this article.