New Jersey § 40a:20-5

§ 40a:20-5.

Any duly formed corporation, partnership, limited partnership, limited partnership

association, or other unincorporated entity may qualify as an urban renewal entity

under P.L.1991, c. 431 ( C.40A:20-1 et seq. ) , if its certificate of incorporation, or other similar certificate or statement as

may be required by law, shall contain the following provisions: a. The name of the entity shall include the words “Urban Renewal.” b. The purpose for which it is formed shall be to operate under P.L.1991, c. 431 ( C.40A:20-1 et seq. ) and to initiate and conduct projects for the redevelopment of a redevelopment area

pursuant to a redevelopment plan, or projects necessary, useful, or convenient for

the relocation of residents displaced or to be displaced by the redevelopment of all

or part of one or more redevelopment areas, or low and moderate income housing projects,

and, when authorized by financial agreement with the municipality, to acquire, plan,

develop, construct, alter, maintain or operate housing, senior citizen housing, business,

industrial, commercial, administrative, community, health, recreational, educational

or welfare projects, or any combination of two or more of these types of improvement

in a single project, under such conditions as to use, ownership, management and control

as regulated pursuant to P.L.1991, c. 431 ( C.40A:20-1 et seq. ) . c. A provision that so long as the entity is obligated under financial agreement with

a municipality made pursuant to P.L.1991, c. 431 ( C.40A:20-1 et seq. ) , it shall engage in no business other than the ownership, operation and management

of the project. d. A declaration that the entity has been organized to serve a public purpose, that

its operations shall be directed toward: (1) the redevelopment of redevelopment areas,

the facilitation of the relocation of residents displaced or to be displaced by redevelopment,

or the conduct of low and moderate income housing projects; (2) the acquisition,

management and operation of a project, redevelopment relocation housing project, or

low and moderate income housing project under P.L.1991, c. 431 ( C. 40A:20-1 et seq. ) ; and (3) that it shall be subject to regulation by the municipality in which its

project is situated, and to a limitation or prohibition, as appropriate, on profits

or dividends for so long as it remains the owner of a project subject to P.L.1991, c. 431 ( C. 40A:20-1 et seq. ) . e. A provision that the entity shall not voluntarily transfer more than 10% of the

ownership of the project or any portion thereof undertaken by it under P.L.1991, c. 431 ( C.40A:20-1 et seq. ) , until it has first removed both itself and the project from all restrictions of P.L.1991, c. 431 ( C.40A:20-1 et seq. ) in the manner required by P.L.1991, c. 431 ( C.40A:20-1 et seq. ) and, if the project includes housing units, has obtained the consent of the Commissioner

of Community Affairs to such transfer; with the exception of transfer to another

urban renewal entity, as approved by the municipality in which the project is situated,

which other urban renewal entity shall assume all contractual obligations of the transferor

entity under the financial agreement with the municipality. The entity shall file annually with the municipal governing body a disclosure of

the persons having an ownership interest in the project, and of the extent of the

ownership interest of each. Nothing herein shall prohibit any transfer of the ownership interest in the urban

renewal entity itself provided that the transfer, if greater than 10 percent, is disclosed

to the municipal governing body in the annual disclosure statement or in correspondence

sent to the municipality in advance of the annual disclosure statement referred to

above. f. A provision stating that the entity is subject to the provisions of section 18

of P.L.1991, c. 431 ( C.40A:20-18 ) respecting the powers of the municipality to alleviate financial difficulties of

the urban renewal entity or to perform actions on behalf of the entity upon a determination

of financial emergency. g. A provision stating that any housing units constructed or acquired by the entity

shall be managed subject to the supervision of, and rules adopted by, the Commissioner

of Community Affairs. If the entity shall not by reason of any other law be required to file a statement

or certificate with the Secretary of State, then the entity shall file a certificate

in the office of the clerk of the county in which its principal place of business

is located setting forth, in addition to the matters listed above, its full name,

the name under which it shall do business, its duration, the location of its principal

offices, the name of a person or persons upon whom service may be effected, and the

name and address and extent of each person having any ownership or proprietary interest

therein. A certificate of incorporation, or similar certificate or statement, shall not be

accepted for filing with the Secretary of State or office of the county clerk until

the certificate or statement has been reviewed and approved by the Commissioner of

the Department of Community Affairs.