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

7-7-31. Investment in real estate for sale or income production -- Purchase of realestate 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 realestate for the purpose of producing income or for inventory and sale or for improvementincluding 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, withoutlimitation as a percentage of assets, at any sale, public or private, any real property upon which ithas a mortgage, judgment, lien or other claim, and lease, sell, convey, exchange, or mortgage thatproperty or hold it as an investment. The commissioner may, by rule, allow investments inexcess of those permitted under this section, if he finds that the investments are necessary topromote the viability and stability of the associations of this state.

Amended by Chapter 200, 1994 General Session