Section 8-218c-22 - Prepayment(a) The developer shall, no later than one year prior to prepayment, provide written notice to the Commissioner, chief executive officer of the municipality in which such housing is located and to all tenants residing in such housing of its intent to prepay the state's financial assistance.(b) A loan shall not be prepaid for a period of twenty years without the express written consent of the Commissioner. The Commissioner may grant such consent if he finds that: (1) the prepayment of the loan will not result in a material escalation of rents charged to occupants of the housing development;(2) the developer intends to provide relocation benefits, as required;(3) liens on the property will remain in full force and effect for the remainder of the original mortgage provided by the state; and(4) on sale or prepayment of the mortgage, whichever is sooner, the eligible borrower may be required to repay the difference between the interest rate paid by the state to borrow the funds and the rate paid by the eligible borrower.Conn. Agencies Regs. § 8-218c-22
Effective November 30, 1990