Flagstar Bancorp in Troy, Mich., has launched a national homebuilder lending platform.
The lending group will focus on providing financing to residential developers and homebuilders across the country. The new platform works to expand and diversify the $13.7 billion-asset bank's commercial lending business.
The group consists of a team of 10 builder finance lenders, many of whom joined the company from Texas Capital Bank. The lending team will operate from regional offices in Houston and Denver. Joe Hardy, who previously worked for Texas Capital Bank, will lead the team as managing director and report to Flagstar's managing director of lending, Andrew Ottaway.
"This group of veteran finance leaders from Texas Capital Bank have strong reputations and proven track records of building enduring relationships grounded in prudent credit management and outstanding customer service," Ottaway said in a news release Thursday. "I look forward to their contributions as we leverage our complementary capabilities in related lending platforms and establish Flagstar as a leader in the space."
In its fourth-quarter earnings conference call, Flagstar's management said the company was trying to be less reliant on third-party mortgage originations. That included expanding its retail production channel and opening this builder finance unit.