The 5,100-square-foot space at 300 32nd St., on the corner of Pacific Avenue. (Google Maps)
A local bank has gone back to the drawing board in its bid to stake further claim in Virginia Beach.
Richmond-based Union Bank & Trust has scrapped its plan to open a branch at 300 32nd St. in a former Monarch Bank branch in Virginia Beach.
Union spokesman Bill Cimino said it has ended negotiations with the owner of the property and will withdraw its previously filed application for permission to open a branch at the site, adding that the bank plans to continue to pursue a new outpost in that part of Hampton Roads.
“The negotiations with the landlord broke down at the last minute,” Cimino said. “We’re disappointed, but we’re going to continue to look for locations in that market.”
Monarch Bank had operated in the 5,100-square-foot space until closing it as part of its deal to be acquired by Hampton Roads competitor TowneBank, which took over the lease and now has mortgage and other operations there.
The building is owned by developer Gold Key | PHR.
The move would have given Union a prime presence in TowneBank’s home territory. The two are neck-and-neck competitors in the race to be the largest community bank headquartered in Virginia. Union had $8.1 billion in total assets at the end of the second quarter, compared to Towne’s $7.94 billion.
Union has said it sees an opening in Hampton Roads given a recent wave of consolidation that’s shrunk the list of community banks doing business in that market. In addition to the Towne/Monarch deal, other acquisitions have swept up longtime players there, such as Heritage Bank and Bank of Hampton Roads.
Union has five branches in Hampton Roads – four on the Peninsula and one on the Southside. It controls about $158 million in deposits in that market, according to FDIC figures.
TowneBank, headquartered in Suffolk, moved into Richmond last year by acquiring Franklin Federal Savings Bank. Towne recently unveiled its Richmond headquarters in the new Gateway Plaza tower downtown.
The 5,100-square-foot space at 300 32nd St., on the corner of Pacific Avenue. (Google Maps)
A local bank has gone back to the drawing board in its bid to stake further claim in Virginia Beach.
Richmond-based Union Bank & Trust has scrapped its plan to open a branch at 300 32nd St. in a former Monarch Bank branch in Virginia Beach.
Union spokesman Bill Cimino said it has ended negotiations with the owner of the property and will withdraw its previously filed application for permission to open a branch at the site, adding that the bank plans to continue to pursue a new outpost in that part of Hampton Roads.
“The negotiations with the landlord broke down at the last minute,” Cimino said. “We’re disappointed, but we’re going to continue to look for locations in that market.”
Monarch Bank had operated in the 5,100-square-foot space until closing it as part of its deal to be acquired by Hampton Roads competitor TowneBank, which took over the lease and now has mortgage and other operations there.
The building is owned by developer Gold Key | PHR.
The move would have given Union a prime presence in TowneBank’s home territory. The two are neck-and-neck competitors in the race to be the largest community bank headquartered in Virginia. Union had $8.1 billion in total assets at the end of the second quarter, compared to Towne’s $7.94 billion.
Union has said it sees an opening in Hampton Roads given a recent wave of consolidation that’s shrunk the list of community banks doing business in that market. In addition to the Towne/Monarch deal, other acquisitions have swept up longtime players there, such as Heritage Bank and Bank of Hampton Roads.
Union has five branches in Hampton Roads – four on the Peninsula and one on the Southside. It controls about $158 million in deposits in that market, according to FDIC figures.
TowneBank, headquartered in Suffolk, moved into Richmond last year by acquiring Franklin Federal Savings Bank. Towne recently unveiled its Richmond headquarters in the new Gateway Plaza tower downtown.
The smart move would be a Towne/Union merger. To me, Towne Bank continues to shine as a up and coming regional player, while Union continues to lag in getting up with the times.