Independent Banker - April 2024 - 15

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" We are certainly projecting
to do some new business in
2024 to replace what's going
to be rolling off, and we've
got our capital ratios back
right where we wanted. "
-PAUL PIROK, VERITEX COMMUNITY BANK
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that once it introduces those new
customers to its platform, it'll get
a share of a sponsor's deposits and
treasury and technology associated
with those deposits.
" Several well-known, high-volume
CRE bank origination shops are out
of the market, " Norton says. " That is
obviously an opportune time to get
in with folks and unstick them from
their relationship banks. "
Improving liquidity ahead
On the supply side, the banking
industry generally has pulled back on
CRE lending for a variety of reasons,
including ripple eff ects from the
high-profi le bank failures last year
and concerns about problem loans on
offi ce properties. Another challenge
for banks is that existing CRE loans
are lingering on their books longer
than expected, causing some banks to
hit their lending limits for a particular
developer or property type.
Veritex Community Bank in
Dallas is one CRE lender that saw
very little new commercial real
estate loan production in 2023.
The $12.5 billion-asset community
bank lends to commercial real estate
developers that are active in the
Dallas and Houston metros, as well
as homebuilders across Texas. " That
was partially due to the [real estate]
market but really had more to do with
our capital ratios, " notes Paul Pirok,
senior managing director.
Although it is diffi cult to predict
lending volumes in the coming year,
Pirok anticipates that the bank's
lending activity will increase in 2024
as market liquidity improves. The
community bank saw the pace of
its loan payoff s pick up at the end
of 2023 and had some signifi cant
payoff s scheduled to occur in the fi rst
quarter. Investment sales activity is
expected to rise from the very low
levels seen in 2023, which will help
spur more loan payoff s.
" We are certainly projecting to do
some new business in 2024 to replace
what's going to be rolling off , and
we've got our capital ratios back right
where we wanted, " Pirok says. " So, I
see us gearing up midyear, or maybe
a little earlier and [cautiously] being
back in the market. "
Opportunities to make good loans
Banks that have capacity on
their balance sheets to lend do
see opportunities ahead to put
good-quality loans on their books that
are backed by more borrower equity.
Five years ago, $27.2 billion-asset
United Community was originating
loans where the sponsor was typically
putting in 25% equity. In some cases,
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Independent Banker - April 2024

Table of Contents for the Digital Edition of Independent Banker - April 2024

Contents
Independent Banker - April 2024 - Cover1
Independent Banker - April 2024 - Cover2
Independent Banker - April 2024 - Contents
Independent Banker - April 2024 - 2
Independent Banker - April 2024 - 3
Independent Banker - April 2024 - 4
Independent Banker - April 2024 - 5
Independent Banker - April 2024 - 6
Independent Banker - April 2024 - 7
Independent Banker - April 2024 - 8
Independent Banker - April 2024 - 9
Independent Banker - April 2024 - 10
Independent Banker - April 2024 - 11
Independent Banker - April 2024 - 12
Independent Banker - April 2024 - 13
Independent Banker - April 2024 - 14
Independent Banker - April 2024 - 15
Independent Banker - April 2024 - 16
Independent Banker - April 2024 - 17
Independent Banker - April 2024 - 18
Independent Banker - April 2024 - 19
Independent Banker - April 2024 - 20
Independent Banker - April 2024 - 21
Independent Banker - April 2024 - 22
Independent Banker - April 2024 - 23
Independent Banker - April 2024 - 24
Independent Banker - April 2024 - 25
Independent Banker - April 2024 - 26
Independent Banker - April 2024 - 27
Independent Banker - April 2024 - 28
Independent Banker - April 2024 - 29
Independent Banker - April 2024 - 30
Independent Banker - April 2024 - 31
Independent Banker - April 2024 - 32
Independent Banker - April 2024 - 33
Independent Banker - April 2024 - 34
Independent Banker - April 2024 - 35
Independent Banker - April 2024 - 36
Independent Banker - April 2024 - 37
Independent Banker - April 2024 - 38
Independent Banker - April 2024 - 39
Independent Banker - April 2024 - 40
Independent Banker - April 2024 - 41
Independent Banker - April 2024 - 42
Independent Banker - April 2024 - 43
Independent Banker - April 2024 - 44
Independent Banker - April 2024 - 45
Independent Banker - April 2024 - 46
Independent Banker - April 2024 - 47
Independent Banker - April 2024 - 48
Independent Banker - April 2024 - 49
Independent Banker - April 2024 - 50
Independent Banker - April 2024 - 51
Independent Banker - April 2024 - 52
Independent Banker - April 2024 - 53
Independent Banker - April 2024 - 54
Independent Banker - April 2024 - 55
Independent Banker - April 2024 - 56
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Independent Banker - April 2024 - 60
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Independent Banker - April 2024 - 63
Independent Banker - April 2024 - 64
Independent Banker - April 2024 - 65
Independent Banker - April 2024 - 66
Independent Banker - April 2024 - 67
Independent Banker - April 2024 - 68
Independent Banker - April 2024 - 69
Independent Banker - April 2024 - 70
Independent Banker - April 2024 - 71
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Independent Banker - April 2024 - 73
Independent Banker - April 2024 - 74
Independent Banker - April 2024 - 75
Independent Banker - April 2024 - 76
Independent Banker - April 2024 - Cover3
Independent Banker - April 2024 - Cover4
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https://www.nxtbook.com/mspc/independentbanker/september2019
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https://www.nxtbook.com/mspc/independentbanker/july2019
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https://www.nxtbook.com/mspc/independentbanker/may2019
https://www.nxtbook.com/mspc/independentbanker/april2019
https://www.nxtbook.com/mspc/independentbanker/march2019
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https://www.nxtbook.com/mspc/independentbanker/january2019
https://www.nxtbook.com/mspc/independentbanker/december2018
https://www.nxtbook.com/mspc/independentbanker/november2018
https://www.nxtbook.com/mspc/independentbanker/october2018
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https://www.nxtbook.com/mspc/independentbanker/july2018
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https://www.nxtbook.com/mspc/independentbanker/april2018
https://www.nxtbook.com/mspc/independentbanker/march2018
https://www.nxtbook.com/mspc/independentbanker/february2018
https://www.nxtbook.com/mspc/independentbanker/january2018
https://www.nxtbook.com/mspc/independentbanker/december2017
https://www.nxtbook.com/mspc/independentbanker/november2017
https://www.nxtbook.com/mspc/independentbanker/october2017
https://www.nxtbook.com/mspc/independentbanker/september2017
https://www.nxtbook.com/mspc/independentbanker/august2017
https://www.nxtbook.com/mspc/independentbanker/july2017
https://www.nxtbook.com/mspc/independentbanker/june2017
https://www.nxtbook.com/mspc/independentbanker/may2017
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