No housing project proposed by a limited dividend housing company incorporated under this chapter shall be undertaken and no building or other construction shall be placed under contract or started without the approval of the director. No housing project shall be approved by the director unless:
(1) it shall appear practicable to rent the housing accommodations to be created at rentals not exceeding those prescribed by the director;
(2) the project will not be in contravention of any zoning or building ordinance in effect in the locality in which the housing accommodations are to be located;
(3) there shall be submitted to the director a financial plan in such form and with such assurance as the director may prescribe to raise the actual cost of the lands and projected improvements by subscriptions to or the sale of the stock, income debentures and mortgage bonds of such corporation, which plan may provide for the raising of working capital in an amount to be approved by the director not to exceed three percent of the actual cost through the investment in stock and income debentures of the corporation;
(4) there shall be such plans of site development and buildings as show conformity to reasonable standards of health, sanitation, safety and provision for light and air, accompanied by proper specifications and estimates of cost, such plans and specifications in any case not falling below the requirements of the health, sanitation, safety and housing laws of the State and meeting superior requirements if prescribed by local laws and ordinances;
(5) the plans and specifications mentioned in item (4) shall have been submitted to the city council or other governing body of the city in which the housing project is located;
(6) if required by the director, the corporation shall deposit all moneys received by it as proceeds of its mortgage bonds, notes, income debentures or stock with a trustee which shall be a banking corporation authorized to do business in this State and to perform trust functions; and
(7) the acceptance of a designee of the director as a member of the board of directors of such corporation.
HISTORY: 1962 Code Section 36-31; 1952 Code Section 36-31; 1942 Code Section 5271-8; 1933 (38) 176; 1993 Act No. 181, Section 500.
Structure South Carolina Code of Laws
Title 31 - Housing and Redevelopment
Section 31-1-20. Declaration of legislative finding.
Section 31-1-30. General duties of Secretary of Commerce with respect to housing.
Section 31-1-40. Electrical power permits.
Section 31-1-50. Penalties for violating Section 31-1-40.
Section 31-1-110. Incorporation of limited dividend housing corporations.
Section 31-1-120. Purposes of limited dividend housing corporations.
Section 31-1-130. Par value shares.
Section 31-1-140. Declaration required in articles.
Section 31-1-150. Income debentures.
Section 31-1-160. Consideration for issuance of stocks, bonds, and income debentures.
Section 31-1-170. Limited return on stock.
Section 31-1-180. Limitations on actions by companies.
Section 31-1-190. Conveyances, leases, or subleases in violation of Section 31-1-180 shall be void.
Section 31-1-200. Regulation of limited dividend housing companies.
Section 31-1-210. Investigation of limited dividend housing companies.
Section 31-1-230. Provisions of general corporation law applicable.
Section 31-1-410. Approval of projects.
Section 31-1-420. Action by city council on plans, adoptions, or rejections by director.
Section 31-1-430. Charges included in term "cost".
Section 31-1-440. Receipt and disbursement of funds by trustee.
Section 31-1-450. Acquisition of required land.
Section 31-1-460. Prerequisites to condemnation.
Section 31-1-470. Sale or purchase of lands to or from municipality.
Section 31-1-480. Purchases by one limited dividend housing corporation of property of another.
Section 31-1-490. Consolidated and extended projects; operation of more than one project.
Section 31-1-610. Control of rentals.
Section 31-1-620. Payments covered by rentals.
Section 31-1-630. Reduction of rentals.
Section 31-1-640. Surplus; maximum payments on dissolution.
Section 31-1-660. Procedure in actions against limited dividend housing corporations.
Section 31-1-670. Mortgages and mortgage bonds.
Section 31-1-680. Foreclosure.
Section 31-1-690. Foreclosures free of restrictions of Section 31-1-680.
Section 31-1-700. Enforcement of judgments not relating to mortgage indebtedness.
Section 31-1-710. Reorganization of limited dividend housing corporations.
Section 31-1-810. Standards of Federal Department of Housing and Urban Development adopted.