1. (a) All loans for multi-family housing are subject to the following conditions:

   1. (1) the Corporation will not originate or purchase a loan for a property which:

      1. (A) is financed in a principal amount in excess of $2,500,000, unless approved by the board;

      2. (B) has a loan-to-value ratio in excess of

         1. (i) 80 percent for all dwellings which consist of three or more living units and non-owner occupied duplexes; or
         2. (ii) 90 percent for owner occupied duplexes;
      3. (C) violates any applicable law, regulation, ordinance, or building code;
   2. (2) the borrower must demonstrate the need for the project and its economic feasibility; and
   3. (3) in the absence of a municipal code which imposes water and sewer system standards for the project, the project must comply with applicable Department of Environmental Conservation regulations with respect to water and sewer systems; if the project is located within a municipality whose building code imposes water and sewer standards, the project must comply with the applicable municipal code.
2. (b) Assumptions of loans under this section may be permitted with the written approval of the Corporation.

(Eff. 5/7/93, Register 130; am 9/25/2002, Register 164; am 8/13/2004, Register 178)

Authority: AS 18.56.088, AS 18.56.400, AS 18.56.580