Section 75.17. Mortgage loans

(a) Any company formed under this article may, subject to the approval
  of  the  commissioner,  borrow  funds  from  the  New York state housing
  finance agency and secure the repayment thereof  by  bond  or  note  and
  mortgage  which shall contain such terms and conditions as may be deemed
  necessary or desirable by the New York state housing finance  agency  or
  required  by  any  agreement  between the New York state housing finance
  agency and the holders of its notes  and  bonds  with  respect  to  such
  companies, including the right to assignment of rates and fees and entry
  into  possession  in case of default, but the operation of such project,
  in the event of such entry, shall be subject to regulations  promulgated
  by the commissioner.
    (b)  The  New York state housing finance agency may make a contract to
  make loans to companies not to exceed the total project cost.  Any  such
  loan  shall  be  secured  by  a  first  mortgage  lien upon all the real
  property and improvements of which the project  consists  and  upon  all
  fixtures  and  articles  of  personal  property  attached  to or used in
  connection   with   the   construction,   acquisition,   reconstruction,
  rehabilitation, improvement, or operation of the project.
    (c) Any inconsistent provision of law to the contrary notwithstanding,
  mortgages of a company shall be exempt from the mortgage recording taxes
  imposed by article eleven of the tax law.