The Richmond market is home to yet another $1 billion bank.
Virginia Commonwealth Bank, which is headquartered in the West End, recently passed the 10-figure total asset threshold, according to its third quarter earnings report.
It hit $1.02 billion in total assets as of Sept. 30, up from $800 million in spring 2017, when the bank combined with the former Bank of Lancaster. The two sides each brought over around $400 million in total assets.
The $1 billion milepost is more than just ceremonial, said Randy Greene, VCB chief executive.
“It has a lot of meaning,” he said. “Number one is having a larger base to spread our expenses. And with our size and capital base, we have more flexibility to work with larger borrowers.
“We have the infrastructure now to continue this growth,” he said.
VCB joins Union Bank & Trust, Essex Bank, C&F Bank and Sonabank in the club of $1 billion-and-up institutions legally headquartered in the Richmond market. That’s in addition to the many larger regional and national banks that do business in the market but aren’t technically based here. That includes regional players with a large presence in the market such as TowneBank and South State Bank, as well as national brands with significant local branch counts such as Bank of America, Wells Fargo and the like.
Green said while VCB is getting bigger, it still sees its niche in being a so-called community bank.
“We’re not focused on the big bank competition,” Greene said. “We’re focused on what we can do as a billion-dollar bank and we’re just in a great position.”
Frank Scott, chairman of VCB, said the continued consolidation in the industry, which particularly has chipped away at the number of smaller banks in Richmond and Hampton Roads, leaves an opening for VCB.
“All the combinations have helped us to grow more opportunities,” Scott said. “We see a spot where the larger banks have so much going on with the more regional- and national-type accounts that we’re able to respond more quickly to the local needs.”