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 9 - Real Estate Investment Trusts
Section 260.140.103 - Limitation on Borrowing

The declaration of trust shall provide that, unless at least 80% of the trust's tangible assets are comprised of first mortgage loans, the trust may not incur any indebtedness which would result in an aggregate amount of indebtedness in excess of 300% of the adjusted net worth, as defined in Section 260.140.91 of these rules.

1. Renumbering and amendment of Section 260.140.103 to Section 260.140.100, and new Section 260.140.103 filed 1-28-82; effective thirtieth day thereafter (Register 82, No. 5).

Note: Authority cited: Section 25610, Corporations Code. Reference: Section 25140, Corporations Code.