(a) Holding period for OREO. A national bank shall dispose of OREO at the earliest time that prudent judgment dictates, but not later than the end of the holding period (or an extension thereof) permitted by 12 U.S.C. 29.
(b) Commencement of holding period. The holding period begins on the date that:
(1) Ownership of the property is originally transferred to a national bank;
(2) A bank completes relocation from former banking premises to new banking premises or ceases to use the former banking premises without relocating; or
(3) A bank decides not to use real estate acquired for future bank expansion.
(c) Effect of statutory redemption period. For DPC real estate that is subject to a redemption period imposed under State law, the holding period begins at the expiration of that redemption period.