IRVINE, Calif.--(EON: Enhanced Online News)--Opus Bank (“Opus”) (NASDAQ: OPB) announced today that it completed on December 23, 2016 the securitization of approximately $509 million of its multifamily loans through a Freddie Mac sponsored “Q-deal” securitization. One class of Freddie Mac guaranteed Structured Pass-Through Certificates was issued through the securitization. The Structured Pass-Through Certificate that was issued was purchased by Opus. Opus will act as the subservicer of the loans.
“I am proud of the team here at Opus who completed a novel transaction that reduces Opus’ commercial real estate concentration, lowers its risk weighted assets, increases its total risk-based capital ratio, lowers its loan-to-deposit ratio and improves its liquidity.”
Stephen H. Gordon, Chairman, CEO & President of Opus Bank, stated, “I am proud of the team here at Opus who completed a novel transaction that reduces Opus’ commercial real estate concentration, lowers its risk weighted assets, increases its total risk-based capital ratio, lowers its loan-to-deposit ratio and improves its liquidity.” Gordon added, “We believe the execution of this securitization strategy enhances our flexibility and optionality as Opus continues its focus on providing financing for low-to-moderate income, affordable, workforce housing in the major metropolitan markets up and down the West Coast.” Gordon concluded, “We’re pleased that, as subservicer, Opus will continue to provide great service to its important multifamily client relationships who rely on Opus for their financing solutions.”
Jason Raefski, SVP, Head of Balance Sheet Strategies and Execution, commented, “I am extremely excited about our relationship with Freddie Mac. The design and development of this securitization strategy was a result of great teamwork and tremendous effort by all parties involved. We are pleased to have, together, created a new unique product for the market.”
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About Opus Bank
Opus Bank is an FDIC-insured California-chartered commercial bank with $7.7 billion of total assets, $6.3 billion of total loans and $6.5 billion in total deposits as of September 30, 2016. Opus Bank provides superior ideas and solutions, and banking products to its clients through its Retail Bank, Commercial Bank, Merchant Bank and Correspondent Bank. Opus Bank offers a suite of treasury and cash management and depository solutions and a wide range of loan products, including commercial, healthcare, media and entertainment, corporate finance, multifamily residential, commercial real estate and structured finance, and is an SBA preferred lender. Opus Bank offers commercial escrow services and facilitates 1031 Exchange transactions through its Escrow and Exchange divisions. Opus Bank provides clients with financial and advisory services related to raising equity capital, targeted acquisition and divestiture strategies, general mergers and acquisitions, debt and equity financing, balance sheet restructuring, valuation, strategy and performance improvement through its Merchant Banking Division and its broker-dealer subsidiary, Opus Financial Partners, LLC. Opus Bank’s subsidiary, PENSCO Trust Company, is a leading tech-enabled alternative asset IRA custodian with over $12 billion of custodial assets and over 48,000 client accounts, which are comprised of self-directed investors, financial institutions, capital raisers and financial advisors. Opus Bank operates 56 banking offices, including 32 in California, 21 in the Seattle/Puget Sound region in Washington, two in the Phoenix metropolitan area of Arizona and one in Portland, Oregon. Opus Bank is an Equal Housing Lender. For additional information about Opus Bank, please visit our website: www.opusbank.com.
This release may include forward-looking statements related to Opus’ plans, beliefs and goals, which involve certain risks, and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. The forward-looking information presented in this press release is not a guarantee of future events, and actual events may differ materially from those made in or suggested by the forward-looking information contained in this press release. Forward-looking statements generally can be identified by the use of forward-looking terminology such as “intend” or “expect” or variations thereon or similar terminology. All such statements speak only as of the date made, and Opus undertakes no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise.