AT A GLANCE
2465 Kuser Road
Hamilton, NJ 08690
Year founded: 2007
First Bank is a New Jersey state-chartered bank with 18 full-service branches in Cinnaminson, Cranbury, Delanco, Denville, Ewing, Flemington, Hamilton, Lawrence, Monroe, Pennington, Randolph, Somerset and Williamstown, New Jersey; and Doylestown, Trevose, Warminster and West Chester, Pennsylvania. With $2.63 billion in assets as of September 30, 2022, First Bank offers a full range of deposit and loan products to individuals and businesses throughout the New York City to Philadelphia corridor. First Bank’s common stock is listed on the Nasdaq Global Market under the symbol “FRBA”.
Marianne DeSimone
FSVP/Lending Group Manager
Michael B. Cook
SVP/NJ Investor Real Estate Manager
OUR CLIENTS
First Bank works with New Jersey real estate developers and investors on a variety of properties that include multifamily, office, retail, industrial, hotels and medical buildings. The community bank’s typical real estate loans are $3 million to $5 million up to $35 million.
The community bank operates with a long-term mindset. It recognizes that its reputation is its most valuable asset. To preserve its good name, First Bank keenly focuses on delivering the best long-term results. By providing great recommendations and following through on its promises, the community bank continues to provide unmatched service to help investors and businesses succeed.
OUR ADVANTAGE
First Bank has a specialized lending group for larger real estate deals to ensure that it is nimble and responsive. In addition, the bank has its own Construction Department to ensure that specialized team members with real-estate lending expertise can move the process forward efficiently. As a result, the bank can go from term sheet to close within 45 days.
Local decision-making plays a big role. Clients have access to the bank’s decision-makers; market executives have lending authority — and use it. First Bank’s CEO is often in contact with its larger clients and plays a pivotal role in fostering lasting business relationships.
First Bank’s loan committee reviews pending loans on a weekly or biweekly basis to continually advance deals without wasting time.
The bank’s tagline says it all: Personal bankers. Real relationships. Old-school relationships that begin with a conversation — that’s the secret behind First Bank’s success. The bank operates with a long-term approach, which centers on being a solution-provider and doing good work in the community. Employees listen intently and ask smart questions, so they can provide the best answer.
ON THE HORIZON
In 2023, the biggest growth areas for real estate lending will continue to be in the industrial sector. As consumers continue to support online retail, the demand for warehouses in New Jersey persists. The state has a dense population, situated between two large cities with major ports. The cost of industrial space has increased from $5 per square foot to mid-to-high teens in New Jersey within the last five years.
Multifamily structures should also grow in the new year. With the Federal Reserve hiking interest rates, there will be more renters in New Jersey. In contrast, home ownership flourished in 2020 and 2021 when the pandemic influenced work and living arrangements.
Hotels continue their rebound after the pandemic shut them down nearly three years ago. This trend began sharply in 2021 and will continue in 2023.
During the pandemic, First Bank helped save more than 750 small businesses with critical Paycheck Protection Program relief, totaling more than $150 million to save Main Street, during the darkest days of COVID-19.
TRANSACTION SPOTLIGHT
In 2023, the biggest growth areas for real estate lending will continue to be in the industrial sector. As consumers continue to support online retail, the demand for warehouses in New Jersey persists. The state has a dense population, situated between two large cities with major ports. The cost of industrial space has increased from $5 per square foot to mid-to-high teens in New Jersey within the last five years.
First Bank’s specialized lending group for real estate manages noteworthy deals on a daily basis.
For example, the community bank financed a large retail center right on US Route 1 in South Brunswick which is anchored by an investment-grade credit-rated tenant and another nationally recognized tenant. The total site is 28 acres with more than 174,000 square feet of net rentable space. More than 60,000 vehicles drive by this high-traffic site every day.
First Bank operates with a long-term mindset. To build meaningful relationships within the real estate community, First Bank keenly focuses on delivering the best long-term results. By providing great customer service and real estate expertise, the community bank continues to build its reputation and growing base of entrepreneurs, investors and developers.
CREATIVE SOLUTION
First Bank recently helped a real estate investor who renovated a 150-unit apartment complex. The entrepreneur wanted to take advantage of his existing agency loan, which offers a time period at the end of the year when an investor can refinance without penalty.
However, renovations were ongoing, so the entrepreneur didn’t have enough cash flow to support the full amount of refinancing from First Bank.
To help the investor succeed, First Bank extended a line of credit to fund the completion of the renovations, which allowed him to refinance and pay off the line of credit and agency loan. Three months later, once the renovations were complete and the units were rented, First Bank funded the remainder of the proceeds based on the stabilized property value.
First Bank’s nimble and responsive team listens intently to entrepreneurs and provides the best solutions based on their vast New Jersey real estate experience.
