Mercantile Bancorp Inc. of Quincy, Ill., plans to spend $12.4 million to build a new headquarters in its hometown for its largest subsidiary, Mercantile Trust and Savings Bank.
The $1.5 billion-asset Mercantile said Tuesday that it needed more space to serve its customers and because of its $44.4 million deal announced in June to buy Royal Palm Bancorp Inc. of Naples, Fla. That deal is expected to close this year.
Mercantile expects to begin construction next month and to open the headquarters a year later. It will have a more spacious lobby, additional drive-through lanes, and a larger parking lot than the current one, as well as space for brokerage services off the main lobby.
The company said that it would pay for the building out of operating income, and that the new headquarters will allow it to bring together lenders who are now in three separate buildings.
