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BRANFORD HOUSE v. MICHETTI

81 N.Y.2d 681 (1993)

623 N.E.2d 11

603 N.Y.S.2d 290

In the Matter of Branford House, Inc., et al., Appellants, v. Felice Michetti, as Commissioner of Housing Preservation and Development of the City of New York, et al., Respondents.

Court of Appeals of the State of New York.

Decided October 12, 1993.

Attorney(s) appearing for the Case

Szold & Brandwen, P. C., New York City (Alan G. Blumberg, Eric J. Weisberg and Robert I. Goodman of counsel), for appellants.

O. Peter Sherwood, Corporation Counsel of New York City (Timothy J. O'Shaughnessy and Kristin M. Helmers of counsel), for respondents.

Chief Judge KAYE and Judges SIMONS, TITONE, BELLACOSA and LEVINE concur; Judge SMITH taking no part.

HANCOCK, JR., J.

This proceeding involves a limited-profit (or Mitchell-Lama) housing company, which voluntarily dissolved by prepaying its subsidized mortgage in order to remove the housing project from City regulation and "go private". The parties dispute the application and interpretation of Private Housing Finance Law § 35. Section 35 provides that, except for projects aided by a State loan, upon dissolution...

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