Rhode Island General Laws Title 45. Towns and Cities § 45-33.3-2. Terms and conditions of loans

Loans made by a housing authority or redevelopment agency pursuant to this chapter may be secured or unsecured, and may be in an amount, payable on a date or dates, bear interest at a rate or rates, and otherwise have terms and conditions relating to the loans, and to the lower income housing project financed by the loans, as the housing authority or redevelopment agency determines or as may be required by the housing development grant for the project. The proceeds of the loan shall be applied to costs of the lower income housing project not funded by the housing development grant, and to other costs of the project, the making of the loan, the issuance of bonds, as provided in this chapter, and the funding and maintenance of reserves to secure the loan or bonds as the housing authority or redevelopment agency determines. Any housing authority and any redevelopment agency is authorized to accept security interests and mortgages in personal property and real estate to secure loans made or bonds issued under this chapter, and is empowered to exercise all of the rights of a secured party or mortgagee with respect to the security.