Tech CU Continues Reach into Bay Area’s CRE Market
With the recent closing of a $3 million residential construction loan, Technology Credit Union said it is continuing to become active in the Bay Area’s commercial real estate market.
The $1.7 billion credit union in San Jose, Calif., said its latest loan was provided to an entity owned by private investment firm Menlo Capital Group to fund the construction of a four-unit townhouse development in Menlo Park.
“We worked with Tech CU on a complementary piece of business last year and were impressed with their service and the way they structured our deal,” said Menlo Capital Group Principal Sunil Suri.
He added, “They were flexible and expedient, which are both key to us being able to move forward on projects. When it came time to finance the Menlo Park townhouse units, it just made sense to work with their team again.”
Robert Sherrard, Tech CU's senior vice president of commercial real estate, said this latest deal showed how the credit union is becoming more active in the Bay Area's real estate market for commercial and residential construction, especially infill development projects.
Tech CU said it ended the second quarter of 2013 with strong loan growth in residential mortgages underwriting a total of 274 single-family loans for its members totaling nearly $105 million from January through June of this year.
In March, the credit union said it closed on a $9.5 million loan to support the refinancing of a multi-tenant property that is located in downtown Mountain View, Calif., and counts Google Inc. as one of its tenants and approved a $5.14 million loan to support the purchase of an historic South of Market office building in San Francisco.
In addition to be one of the largest credit union mortgage lenders in the country, Tech CU said it also focusing on diversifying its real estate loan portfolio to enhance its ability to serve its members in all aspects of their lives.
Tech CU said its real estate loans can be used for real estate acquisition, refinancing and construction, including owner-occupied and investor-owned commercial properties, mixed-used properties, warehouse, light industrial, retail, residential and multi-family properties.