OAR 813-010-0029: Transfer of Ownership

(1) A Borrower who has received a loan or Commitment from the Department shall not transfer ownership, lease, or otherwise encumber any property which serves or will serve as security for a loan from the Department without prior written approval from the Department. (2) A transfer of ownership means a sale, conveyance or other transfer of: (a) Any interest of a general partner; (b) Any interest in a joint venture; (c) More than 25 percent of the limited partner's interest; (d) More than 10 percent of a corporate or limited liability company owner's interest; (e) Any individual interest when the ownership is not a limited partnership, general partnership, joint venture, limited liability company or corporation, or (f) Any lease of the property (except tenant leases done in the normal operation of the property). (3) The Department may require a transfer application charge from owners of Projects that receive loans through the Department, who request the Department’s approval of a change in Project ownership. The Department may require a transfer review charge to Project owners and transferees who effect a change in Project ownership without prior written approval by the Department.