Profile: Towne Bank (TOWN.OQ)
7 Mar 2014
TowneBank, incorporated on September 1, 1998, is a Virginia-chartered bank. The Company offers retail and commercial banking services to the Greater Hampton Roads region in Southeastern Virginia. The Company is focused on serving the financial needs of individuals and small- and, medium-size businesses. It offers a range of financial services through its banking and non-banking subsidiaries. The Company operates in three segments: Banking, Realty, and Insurance. The Company has two controlled divisions: Towne Investment Group, which provides investment and asset management services, and TowneBank Mortgage, which originates mortgage loans and sells them to investors on the national secondary market. On January 3, 2008, TowneBank acquired Corolla Classic Vacations, LLC, a resort property management company, and Corolla Real Estate, LLC, a realty company. In January 2009, the Company announced the merger of GSH Real Estate, a wholly owned subsidiary, with Virginia Beach-based Prudential Decker Realty and Prudential McCardle Realty of Williamsburg. On December 3, 2010, the Company completed the acquisition of the six banking offices of The Bank of Currituck. TowneBank announced that Stanton Taylor Agency, Inc., insurance agency will affiliate with Towne Insurance Agency, a wholly owned subsidiary of TowneBank.
The Company’s Banking segment provides loan and deposit services to retail and commercial customers. It also provides commercial mortgage brokerage services, and a variety of investment and asset management services. The Banking segment includes the operations of TowneBank Investment Corporation, Towne Investments, LLC, TowneBank Commercial Mortgage, LLC, Towne 1031Exchange and Towne Investment Group. The Realty segment provides residential real estate services, originations of a variety of mortgage loans, resort property management and commercial residential title insurance. It includes TowneBank Mortgage; GSH; Towne Mortgage, LLC; NewTowne Mortgage, LLC; CCV; CRE; LET, and Prudential Towne Realty. The Insurance segment provides property and casualty insurance, as well as employee and group benefits through Towne Insurance and TFA Benefits. Through Towne Insurance, it offers a line of commercial and consumer insurance products, and financial services.
Banking and Other Financial Services
Through the Company’s Banking segment, it offers a range of deposit products, including checking accounts, negotiable order of withdrawal (NOW) accounts, savings accounts and various types of time deposit services, which range from daily money market accounts to long-term certificates of deposit. In addition, it offers retirement account services, such as individual retirement accounts (IRA). It also offers a range of short- to, medium-term personal and commercial loans. Personal loans include secured and unsecured loans for financing automobiles, home improvements, education and personal investments. Commercial loans include secured and unsecured loans for working capital (including inventory and receivables), business expansion (including acquisition of real estate and improvements), and equipment and machinery purchases. In addition, it originates fixed and floating rate mortgage loans, as well as real estate construction and acquisition loans. Through Towne Commercial Mortgage, LLC, it provides brokerage to commercial loans that are not intended to remain in its portfolio.
Other services offered include safe deposit boxes, cash management services, traveller’s checks, direct deposit of payroll and social security checks, and automatic drafts for various accounts. In addition, services to facilitate access to banking information, such as Internet banking and on-call banking are offered. Through, Tovrae 1031 Exchange, it offers the ability to serve as a qualified intermediary. Through Towne Investment Group, it offers other financial services, such as financial, retirement and estate planning. It also offers assistance on a variety of investment options, including alternative investments, annuities, margin accounts, convertible bonds, and pension and profit sharing plans. Towne Investment Group is a full-service brokerage division that is supported by an affiliation with Raymond James Financial, Inc.
The Company assists customers with the process of buying or selling a home. In addition, it also provides other realty-related services, including relocation services for individuals, families, including those in the military and property management services for single-family homes, condominiums, townhomes, apartments, offices and retail establishments. In addition to relocation and property management services, it offers title and settlement services, perform real estate closings for residential properties and issue title insurance policies for both residential and commercial transactions.
The Insurance segment provides individual and business members with an array of insurance products, including life, property, casualty and vehicle insurance. Through, Red Sky, it offers travel, medical, and baggage protection insurance for travelers to the coastal region of the Outer Banks of North Carolina through vacation property management companies. Through, TFA Benefits, it also offers employee benefit programs, including medical, dental, vision, life and disability insurance tailored to the members needs using carriers. It also serves as an administrator for healthcare and dependent care flexible benefit plans.
5716 High Street
PORTSMOUTH VA 23703