Wells Fargo to Acquire Reilly Mortgage Group
Wells Fargo to Expand In Multi-Family, Real Estate Finance with Definitive Agreement to Acquire Reilly Mortgage Group
San Francisco — June 8, 2006
Wells Fargo & Company is a diversified financial services company with $492 billion in assets, providing banking, insurance, investments, mortgage and consumer finance to more than 23 million customers from more than 6,200 stores and the internet (wellsfargo.com) across North America and elsewhere internationally. Wells Fargo Bank, N.A. is the only bank in the United States to receive the highest possible credit rating, “Aaa,” from Moody’s Investors Service.
Wells Fargo & Company (NYSE:WFC) and Reilly Mortgage Group announced today the signing of a definitive agreement for Wells Fargo Bank, N.A. to acquire the assets of Reilly Mortgage Group, a privately-owned, national, multifamily real estate finance firm headquartered in McLean, Virginia.
Terms of the definitive agreement were not disclosed. Subject to regulatory approval, the acquisition is expected to close in the third quarter of 2006. The business will become part of Wells Fargo Wholesale Banking’s Specialized Financial Services Group. Established in 1976, Reilly Mortgage is one of the largest commercial mortgage finance companies in the United States. It provides financing to owners and operators of multifamily properties through the lending programs of Freddie Mac, Fannie Mae and FHA.
Reilly Mortgage originates over $1.5 billion in new loans a year and is also a leading servicer of multifamily loans, with a servicing portfolio of $10 billion. The company has regional offices in Philadelphia; Mt. Laurel, N.J.; Chicago; Knoxville, Tenn.; Dallas; Phoenix; San Francisco; and Vancouver, Wash. “Reilly Mortgage will significantly broaden Wells Fargo’s ability to serve the needs of multi-family housing properties, and give us a presence in a number of new markets across the country, ” said Ed Blakey, head of Wells Fargo’s Commercial Mortgage Group. “Wells Fargo, in turn, will be able to offer these customers a broader array of products and services to help satisfy all their financial needs and help them succeed financially.”
Reilly Mortgage was the first mortgage banker approved under Fannie Mae’s Delegated and Underwriting Servicing Program in 1988 and also one of the first companies approved as an FHA MAP (Multi-Family Accelerated Processing) lender.
It has received the Multi-Housing News Capital Choice Award for Freddie Mac program Plus® Loans and FHA Loans, the Apartment Finance Today Readers’ Choice Award for FHA Loans, and was named a top multifamily lender by National Real Estate Investor, Midwest Real Estate News and Multi-Housing News. Reilly Mortgage was sold by a group of investors led by Stonehurst Capital, LLC and was advised in the sale by Beekman Advisors, Inc.
“Reilly Mortgage’s success is due to its consistent focus on the multi-family sector,” said Tom Szydlowski, president and CEO of Reilly Mortgage. “Our expertise in originating, underwriting, structuring, selling, and servicing multifamily real estate loans reflects Reilly Mortgage’s employees specialized knowledge, and our strong relationships with FHA, Fannie Mae and Freddie Mac and our borrower clients. We look forward to bringing these strengths to Wells Fargo.”
Wells Fargo Wholesale Banking – with $88 billion in assets, and more than 600 locations coast-to-coast – includes middle market banking, corporate banking, commercial real estate, treasury management, asset-based lending, insurance brokerage, foreign exchange, trade services, specialized lending, equipment finance, capital markets activities, and asset management.
Its Commercial Electronic Office (CEO)® internet portal processes more than one million customer account log-ins a month. Wells Fargo is #1 in market share for middle market commercial customers in the western United States. Wholesale Banking accounts for about a quarter of the total earnings of Wells Fargo & Company.
San Francisco — June 8, 2006
Wells Fargo & Company is a diversified financial services company with $492 billion in assets, providing banking, insurance, investments, mortgage and consumer finance to more than 23 million customers from more than 6,200 stores and the internet (wellsfargo.com) across North America and elsewhere internationally. Wells Fargo Bank, N.A. is the only bank in the United States to receive the highest possible credit rating, “Aaa,” from Moody’s Investors Service.
Wells Fargo & Company (NYSE:WFC) and Reilly Mortgage Group announced today the signing of a definitive agreement for Wells Fargo Bank, N.A. to acquire the assets of Reilly Mortgage Group, a privately-owned, national, multifamily real estate finance firm headquartered in McLean, Virginia.
Terms of the definitive agreement were not disclosed. Subject to regulatory approval, the acquisition is expected to close in the third quarter of 2006. The business will become part of Wells Fargo Wholesale Banking’s Specialized Financial Services Group. Established in 1976, Reilly Mortgage is one of the largest commercial mortgage finance companies in the United States. It provides financing to owners and operators of multifamily properties through the lending programs of Freddie Mac, Fannie Mae and FHA.
Reilly Mortgage originates over $1.5 billion in new loans a year and is also a leading servicer of multifamily loans, with a servicing portfolio of $10 billion. The company has regional offices in Philadelphia; Mt. Laurel, N.J.; Chicago; Knoxville, Tenn.; Dallas; Phoenix; San Francisco; and Vancouver, Wash. “Reilly Mortgage will significantly broaden Wells Fargo’s ability to serve the needs of multi-family housing properties, and give us a presence in a number of new markets across the country, ” said Ed Blakey, head of Wells Fargo’s Commercial Mortgage Group. “Wells Fargo, in turn, will be able to offer these customers a broader array of products and services to help satisfy all their financial needs and help them succeed financially.”
Reilly Mortgage was the first mortgage banker approved under Fannie Mae’s Delegated and Underwriting Servicing Program in 1988 and also one of the first companies approved as an FHA MAP (Multi-Family Accelerated Processing) lender.
It has received the Multi-Housing News Capital Choice Award for Freddie Mac program Plus® Loans and FHA Loans, the Apartment Finance Today Readers’ Choice Award for FHA Loans, and was named a top multifamily lender by National Real Estate Investor, Midwest Real Estate News and Multi-Housing News. Reilly Mortgage was sold by a group of investors led by Stonehurst Capital, LLC and was advised in the sale by Beekman Advisors, Inc.
“Reilly Mortgage’s success is due to its consistent focus on the multi-family sector,” said Tom Szydlowski, president and CEO of Reilly Mortgage. “Our expertise in originating, underwriting, structuring, selling, and servicing multifamily real estate loans reflects Reilly Mortgage’s employees specialized knowledge, and our strong relationships with FHA, Fannie Mae and Freddie Mac and our borrower clients. We look forward to bringing these strengths to Wells Fargo.”
Wells Fargo Wholesale Banking – with $88 billion in assets, and more than 600 locations coast-to-coast – includes middle market banking, corporate banking, commercial real estate, treasury management, asset-based lending, insurance brokerage, foreign exchange, trade services, specialized lending, equipment finance, capital markets activities, and asset management.
Its Commercial Electronic Office (CEO)® internet portal processes more than one million customer account log-ins a month. Wells Fargo is #1 in market share for middle market commercial customers in the western United States. Wholesale Banking accounts for about a quarter of the total earnings of Wells Fargo & Company.
posted by Kirby P at 7:50 PM
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