California Code of Regulations
Title 10 - Investment
Chapter 3 - Commissioner of Financial Protection and Innovation
Subchapter 2 - Corporate Securities
Article 4 - Standards for the Exercise of the Commissioner's Authority
Subarticle 10 - Real Estate Programs
Miscellaneous Provisions
Section 260.140.118.2 - Reserves
The program agreement shall provide that adequate reserves for normal repairs, replacements and contingencies be maintained by retention of a reasonable percentage of proceeds from the offering and regular receipts. Normally, not less than 3% of the proceeds of the offering will be considered adequate as an initial reserve fund.
1.
Renumbering and amendment of former section
260.140.118.2 to section
260.140.118.1; and renumbering and
amendment of former section
260.140.118.3 to section
260.140.118.2 filed 1-27-84;
effective thirtieth day thereafter (Register 84, No. 4).
2.
Amendment filed 5-18-92; operative 6-17-92 (Register 92, No.
22).
Note: Authority cited: Section 25610, Corporations Code. Reference: Section 25140, Corporations Code.
