Regulatory Alerts2010-05-14 | I-10-03I-10-03 — Investment in Real Estate
The Washington Department of Financial Institutions issued this interpretive letter to deny a credit union's request to lease unused real estate for commercial income generation. The regulator determined that such speculative leasing violates RCW 31.12.438, which restricts credit union real estate investments to properties primarily used for their own operations. Consequently, the Division of Credit Unions will not grant a waiver, requiring the credit union to either sell the excess land within three years or retain the entire parcel for operational use.
Share