Tree.com Gets $50m Warehouse Line Extension from PNC Bank
Tree.com received an extension on its $50m warehouse mortgage line of credit from PNC Bank, according to a company statement. Tree.com is the parent of several businesses in the financial services and real estate industries, and will extend the line to its LendingTree Loans operation in Irvine, Calif. However, a spokesperson at PNC Bank told HousingWire that the bank plans on eventually exiting the warehouse business. According to Tree.com, the existing warehouse lines would expire at the end of their current terms. In this case, while PNC is exiting its warehouse business, meaning it will no longer extend warehouse lines of credit, the firm is honoring its existing warehouse lines. Tree.com’s line was set to run through Dec. 29, 2009 and is now available for funding newly originated agency and Federal Housing Administration (FHA) loans through March 31, 2010. "This brief extension, coupled with our two other warehouse lines, enables us to maintain flexibility as we evaluate our longer-term needs and options with respect to our warehouse capacity requirements,” said Matt Packey, Tree.com’s CFO. Write to Jon Prior. Disclosure: the author holds no relevant investments.