§ 1151. Definitions. 1. "Eligible site" shall mean any real property in the city of New York which the agency determines to be located in an area which is blighted or deteriorated or has a blighting influence on the surrounding area or is in danger of becoming a slum or blighted area because of neighborhood conditions indicating an inability or unwillingness of the private sector to invest in housing in such area.

2. "Eligible project" shall mean a project intended to construct new housing accommodations on an eligible site by new construction or substantial rehabilitation. An eligible project shall serve the needs of persons of low income, including privately-owned one to four family dwellings, condominiums and cooperatives, and rental projects.

3. "Development costs" shall mean the reasonable and necessary costs for planning, financing, acquisition of land or buildings and construction of new buildings or the reconstruction, rehabilitation, repair or remodeling of existing buildings and the costs of necessary site improvements.

4. "Persons of low income" for purposes of this article shall mean those persons defined as low income pursuant to section two of this chapter.

5. "Sponsor" shall mean any not-for-profit corporation, any public benefit corporation or any individual, corporation or partnership which receives a loan pursuant to this article for the construction of an eligible project, or which receives an advance pursuant to this article to defray the pre-development costs of any eligible project. A sponsor who is not a not-for-profit corporation shall agree to limit its profit in accordance with a formula satisfactory to the agency.

6. "Loan" shall mean a first mortgage loan made by a private lender in participation with the city of New York to a sponsor for the purpose of construction of an eligible project including a loan in which the portion of the loan funded by the agency is represented by a separate note and mortgage.

7. "Private lender" shall mean one or more banking organizations, foundations, labor unions, credit unions, employees' associations, veterans' organizations, colleges, universities, educational institutions, child care institutions, hospitals, medical research institutes, insurance companies, trustees or fiduciaries, trustees of pensions and retirement funds and systems, corporations, partnerships, individuals or other entities or any combinations of the foregoing, and shall include any public benefit corporations and the United States of America and any of its agencies and departments. As used in this definition, the terms "trustees" and "fiduciaries" shall include any fiduciary or fiduciaries holding funds for investment and the term "banking organizations" shall have the same meaning as in subdivision eleven of section two of the banking law.

8. "Rental project" shall mean any project consisting of five or more dwelling units occupied as a residential rental project.

9. "Agency" shall mean the department of housing preservation and development of the city of New York or any successor thereto.