§ 803. Conditions precedent to making such loans. A municipality shall not participate in a loan pursuant to this article unless the agency finds that the area in which the existing multiple dwelling, non-residential property or vacant land is situated is a blighted, deteriorated or deteriorating area, or has a blighting influence on the surrounding area, or is in danger of becoming a slum or a blighted area because of the existence of substandard, insanitary, deteriorating or deteriorated conditions, an aged housing stock, or under-utilized non-residential property, or other factors indicating an inability of the private sector unaided to cause such rehabilitation, conversion or construction to be made and unless the agency has notified occupants of the existing multiple dwelling of the contemplated rehabilitation and has advised them of the expected rental increase to result therefrom and a representative of the agency has met or has offered to meet at least once with the occupants.