§ 1106-f. Project operation and management; rent structure; tenant selection. The eligible owner shall enter into an agreement with the corporation which provides that the eligible owner of such project shall:

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1. operate and manage such project as a rental building which is used for other than transient occupancy;

2. structure rent levels in such project to be: (a) affordable to the tenants as specified in subdivision four of this section to the extent economically feasible and (b) when added to any other sources of funds available for the project's operation not in excess of the costs of operating and maintaining the project including a reserve fund;

3. not borrow any funds for the project without the prior approval of the corporation;

4. to the extent economically feasible, select tenants who move into such project and maintain a mix of tenants so that (a) at least thirty percent and no more than seventy percent of such tenants are receiving benefits pursuant to § 131-a of the social services law or could only afford rents no greater than those paid by persons receiving benefits pursuant to such section, provided, however, that of such tenants preference shall be given to persons who have been referred from hotels, motels or shelters operated by a social services district or receiving payment directly or indirectly from such district, or any other philanthropic or charitable facility providing such accommodations; and (b) the remaining tenants have incomes which do not exceed eighty percent of the median income for the metropolitan statistical area in which such project is located or if a project is located outside such area, those persons or families whose incomes do not exceed eighty percent of the median income for the county in which a project is located; and

5. provide such other information as may be necessary to carry out the provisions of this article.