Section 1027.11. Authority review

(a) Notice of sale will be published in the Pennsylvania Bulletin.

(b) The SA-1 will be reviewed as provided in § 1003.51 (relating to applications generally).

(c) The SA-1 will be denied if the proposed buyer or any person with a controlling interest in the proposed buyer or a key employee of the proposed buyer is in violation of any provision of this part or if the Authority determines that the sale is not in the public interest. The SA-1 may be denied if the owner is in violation of any provision of this part.

(d) The Authority will review the terms of any loan associated with an SA-1 and deny the application in the circumstances in this subsection. The terms of any loan associated with an SA-1 are likely to lead to a condition of default by the proposed buyer. The Authority will specifically review the following provisions of any loan agreement to assure it does not conflict with the public interest:

(1) The term.

(2) The interest rate or rates, including any adjustable rate or balloon provisions.

(3) Late payment grace periods.

(4) Conditions of default.

(5) Periods in which defaults may be cured.

(6) The qualifications, experience and history of the lender related to commercial loans and loans to public utilities.