2006 Utah Code - 7-7-31 — Investment in real estate for sale or income production -- Purchase of real estate securing loan.

     7-7-31.   Investment in real estate for sale or income production -- Purchase of real estate securing loan.
     An association may invest an amount not exceeding the lesser of (1) the equity capital or (2) 10% of its assets in real estate or in partnership, joint venture, or participation interests in real estate for the purpose of producing income or for inventory and sale or for improvement including the erection of buildings on the real estate, for sale or rental purposes, and may hold, sell, lease, operate, and otherwise exercise the rights of an owner of any such property. Notwithstanding any other provision of this section, an association may purchase, without limitation as a percentage of assets, at any sale, public or private, any real property upon which it has a mortgage, judgment, lien or other claim, and lease, sell, convey, exchange, or mortgage that property or hold it as an investment. The commissioner may, by rule, allow investments in excess of those permitted under this section, if he finds that the investments are necessary to promote the viability and stability of the associations of this state.

Amended by Chapter 200, 1994 General Session