OCC Releases Updated CRE Lending Booklet
The Office of the Comptroller of the Currency recently announced the release of the “Commercial Real Estate Lending” booklet (available here) of the Comptroller’s Handbook to replace its dated “Commercial Real Estate and Construction Lending” booklet, which was issued in 1995. As CRE lending regains traction across the county, the new booklet provides a useful resource for lenders, with cumulative guidance from the last 20 years including topics like: prudent loan workouts, management of concentrations, stress testing, interagency appraisal guidelines and environmental risk management.
The booklet also addresses statutes and regulations governing federal savings associations, which were brought under OCC supervision pursuant to the Dodd-Frank Act, which eliminated the Office of Thrift Supervision. The booklet replaces sections 210, “Income Property Lending,” and 213, “Construction Lending,” of the former OTS Examination Handbook.