13:18A-38 - Approval by board - New Jersey Statutes

13:18A-38.   Approval by board     a.   The board may extend a pinelands development credit guarantee with respect to any loan secured pursuant to the provisions of this act if:

   (1)  Adequate funds are available in reserve to fulfill the guarantee in the event of a default; and

   (2)  The applicant can demonstrate that he holds marketable title to the property and that the property has been certified by the commission as eligible for issuance of pinelands development credit certificates pursuant to the provisions of this act, that the owner is legally empowered to restrict the use of the property in conformance with the comprehensive management plan, that this credit has not been otherwise encumbered, transferred or redeemed, and that the credit shall be pledged as security for the guarantee.

   b.   If the application is denied, the board shall return it to the applicant with a written statement of the reasons for denial.

   c.   If the application is approved, the board shall retain the original and transmit copies of the application to the applicant and the lender.  The applicant and the lender may then complete the transaction for the loan. Nothing herein contained shall be construed to require a lender to approve or deny any loan applied for pursuant to this act, regardless of the approval or disapproval by the board of any application for a pinelands development credit guarantee.

   L. 1985, c. 310, s. 9, eff. Aug. 28, 1985.