EverBank Financial Corp. (EVER) said its EverBank subsidiary will buy GE Capital Real Estate‘s (GE) Business Property Lending unit for $2.51 billion in cash.

Business Property Lending originates and services commercial real estate loans for properties that are owned or leased by small to medium-sized businesses.

The transaction allows EverBank to speed up its growth initiatives by pulling in $2.44 billion of performing commercial loans as part of the deal. The transaction also includes all of Business Property Lending’s origination and servicing platforms in addition to servicing rights on $3.1 billion loans securitized by GE Capital Real Estate, North America.

“Today’s announcement represents a compelling strategic expansion into business property lending in key metropolitan areas where EverBank currently has significant lending, leasing and deposit customers,” said Robert Clements, chairman of the board and CEO of EverBank. “We believe this fully integrated, high-quality franchise will accelerate EverBank’s strategic growth plans and will further enhance and diversify our robust, nationwide asset generation capabilities.”

The transaction is expected to add to the firm’s earnings-per-share, with EverBank suggesting the deal will lead to “immediate low double-digit earnings-per-share accretion” and a pro forma tier common ratio of 11.8%.

Business Property owns 14 offices that are part of the deal. Those offices are located in Washington state, parts of California, Chicago, St. Louis, Austin,Texas; Houston, Georgia, Connecticut, Pennsylvania and Florida.

Most Popular Articles

NAR bans “pocket listings”

The National Association of Realtors board of directors voted 729-70 on Monday to ban the controversial practice of “pocket listings.”

Nov 12, 2019 By

Latest Articles

Guild Mortgage promotes 3 employees to top positions

Guild Mortgage, an independent mortgage lender, announced late last week that it has promoted three senior members of its leadership team as it continues to grow.

Nov 19, 2019 By
3d rendering of a row of luxury townhouses along a street

Log In

Forgot Password?

Don't have an account? Please