FDIC Sells Signature Bank Assets for $2.7B to Flagstar Bank Owner
TL;DR
New York Community Bancorp is acquiring more than $34 billion in deposits and $13 billion in loans from Signature Bank, but leaving behind $11 billion in loans against rent-stabilized apartments in New York City, which have seen their values decline in recent years. The loans are considered "toxic waste" and have higher debt-to-value ratios than comparable portfolios owned by other banks. The FDIC, which brokered the deal, is left with the commercial real estate debt portfolio.
Topics:businessfinance#fdic#finance#multifamily-buildings#new-york-community-bancorp#signature-bank#toxic-loans
- After Signature Bank Deal, FDIC Is Left With $11 Billion in ‘Toxic Waste’ Loans Yahoo Finance
- Opinion | Barney Frank Was Right About Signature Bank The Wall Street Journal
- Signature Bank operations have buyer, FDIC says ABC News
- Flagstar Bank owner to buy failed Signature Bank assets for $2.7B Detroit Free Press
- A refresher on what the FDIC is and does Houston Public Media
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