§ 404. Conditions precedent to making such loans. 1. No such loan
shall be made by a municipality to an owner of an existing multiple
dwelling unless the owner of such multiple dwelling shall covenant in
writing that so long as any part of such loan remains unpaid, any
exemption and abatement from taxation on the property resulting from the
installations, alterations or improvements made with such loan remains
in effect or for a period of at least ten years from the occupancy date,
whichever is the later:

(a) Each dwelling unit in such multiple dwelling shall be available
solely for persons or families of low income;

(b) Preference shall be given to persons who shall have lived in such
multiple dwelling at the time the contract for the loan was entered into
and were required to move because of such installation, rehabilitation
or improvement;

(c) No charge or rental for housing accommodations in such multiple
dwelling shall be made or charged in excess of the rentals prescribed
pursuant to this article;

(d) The agency may order such repairs as will preserve the health and
safety of the occupants of such multiple dwelling;

(e) All persons operating or managing such multiple dwelling will
comply with the provisions of this article and the rules and regulations
adopted by the agency pertaining to multiple dwellings aided hereunder
and will refrain from doing any acts in violation thereof;

(f) All such persons will permit the duly authorized officers,
employees, agents or inspectors of the agency to enter in or upon and
inspect such multiple dwelling at all reasonable hours;

(g) The agency shall have full power to investigate into and order the
owner of said multiple dwelling to furnish such reports and information
as the agency may require concerning the planning and construction of
the installation, rehabilitation or improvement and the management and
operation of said multiple dwelling. The agency shall also have full
power to audit the books of such owner with respect to such matters;

(h) The foregoing covenants shall run with the land.

2. The local legislative body of the municipality or the agency shall
have power to impose additional terms and conditions precedent to making
such loans.