New Jersey Statutes Appendix - Former Title 3A Administration of Estates Decedents and Others 3A § 15-4

Any fiduciary, now or hereafter authorized to invest in bonds and mortgages, or shares or parts of mortgages or mortgage participation certificates, or shares or parts of bond secured by mortgage, or bonds secured by trust mortgage, or participation certificates or coupon bonds entitling the holder to a proportionate share in a series or number of mortgages and bonds, or extensions or renewals thereof, hereinafter in this section and in sections 3A:15-5 and 3A:15-6 of this title referred to as “mortgages or interests in mortgages”, may invest in a primary or senior part or portion of such mortgages or interests in mortgages if the primary or senior parts or portions do not exceed that proportion of the estimated worth or appraised value of the mortgaged real estate which is applicable to mortgage investments authorized to be made by such fiduciary, notwithstanding that the mortgage or trust mortgage also secures a secondary or junior part or portion thereof exceeding the authorized proportion of the estimated worth or appraised value of the mortgaged real estate applicable to mortgage investments by such fiduciary. Such fiduciary may enter into an agreement with other holders of interests in mortgages which makes the interest in the mortgage lien held by such fiduciary a primary or senior part or portion thereof, as aforesaid, and hold the same.