New York Community Bank
Encyclopedia
New York Community Bank (NYCB) is the savings bank subsidiary of the publicly traded company New York Community Bancorp. New York Community Bancorp is the fourth largest thrift in the United States and the largest in New York State. It is also the leading producer of multi-family loans for portfolio in New York City
.
NYCB was founded in 1859 in Flushing, Queens
as Queens County Savings Bank, and changed their name on December 15, 2000 to New York Community Bank to better reflect their market area beyond Queens.
NYCB serves New York City
, Long Island
, and Westchester County through its Queens County Savings Bank, Richmond County Savings Bank, Roosevelt Savings Bank, Roslyn Savings Bank, and New York Community branded branches. It serves northern New Jersey
through its newly formed Garden State Community Bank division, which consolidated four divisions: First Savings Bank of New Jersey, Ironbound Bank, Penn Federal Savings Bank, and Synergy Bank. Customers of NYCB can make transactions at any branch regardless of division.
Additionally, New York Community Bancorp has a second, commercial banking subsidiary, New York Commercial Bank (formerly Long Island Commercial Bank), which operates two divisions, New York Commercial Bank and Atlantic Bank of New York
.
Most of the loans produced by the Bank are secured by low- to moderate-income buildings that are subject to rent control and rent stabilization laws. In fact, of the $32 billion of multi-family loans produced by the Bank from January 1, 1993 through March 31, 2011, approximately $24 billion--or 75%--were secured by such properties.
Although New York Community Bank claims that it has distinguished itself as a "multi-family lender with a record of asset quality", this is far from true. Over New York Community Bank's entire portfolio, there are 328 buildings with more than three B and C violations per unit serving a total of 6469 families. Additionally, 118 multifamily buildings in their portfolio have five or more code violations per unit, which is New York City's Department of Housing Preservation and Development's (HPD) statutory definition of distressed housing. That represents housing for nearly 1700 families.
New York Community bank also claims that it has "a long-held practice of retaining the multi-family loans it originates", which is also untrue. NYCB just sold the mortgages on 8 severely distressed buildings in foreclosure in the Bronx to an unnamed buyer at an unnamed price. NYCB refused to say who the buyer is despite repeated requests from the New York City's Department of Housing Preservation and Development and the City Council. The 309 apartments have more than 1600 outstanding code violations.
NYCB currently has 34 additional buildings in foreclosure across NYC, with just over 800 apartments. Combined they have just under 5,000 code violations (more than 6 violations per unit). 16 of those buildings are located in the Bronx which accounts for 450 apartments. Combined they have a 2635 outstanding code violations.
In March of 2006, New York Community Bank entered into an agreement with Housing Here and Now to improve oversight and code violation compliance of loans in their portfolio. NYCB agreed to improve oversight of buildings in their portfolio and work more closely with tenants and community organizations to address repair concerns. As part of the agreement, NYCB also made a commitment to perform pre-loan inspections of buildings with three or more “B” and “C” violations per unit would receive special attention and require additional repair commitments from landlords. Since March 2006, NYCB has issued close to 1748 loans for multifamily buildings in New York City. Of those, 159 buildings, or 9.1% of the total, currently have more than three “B” and “C” violations per unit, for a total of 3354 units of housing.
Currently, community groups and tenants are trying to convince the bank to consider asset quality when buying and selling buildings and to encourage the bank to deleverage many of their multi-family assets. This is one significant way that the bank could improve building conditions and help maintain affordability in its regulated buildings. Tenants and advocates have protested the bank on numerous occasions in 2011, but at present, the bank has been unresponsive to their demands.
took control of AmTrust, a bank headquartered in Cleveland, OH with 66 branches in Ohio
, Florida
and Arizona
. New York Community Bank acquired AmTrust, worth $12 billion, from the FDIC in a deal. As part of the deal, the FDIC is shielding New York Community Bank from the $9 billion debt. The branches in Florida and Arizona retained the AmTrust name, but branches in Ohio were reverted back to Ohio Savings in spring 2010. This also expanded NYCB's branch footprint outside of Greater New York
for the first time.
On March 26, 2010, Desert Hills Bank in Phoenix, Arizona was also seized by the FDIC. Due to the smaller size of Desert Hills, and the recent acquisition of AmTrust, Desert Hills was absorbed into the AmTrust division.
New York City
New York is the most populous city in the United States and the center of the New York Metropolitan Area, one of the most populous metropolitan areas in the world. New York exerts a significant impact upon global commerce, finance, media, art, fashion, research, technology, education, and...
.
NYCB was founded in 1859 in Flushing, Queens
Flushing, Queens
Flushing, founded in 1645, is a neighborhood in the north central part of the City of New York borough of Queens, east of Manhattan.Flushing was one of the first Dutch settlements on Long Island. Today, it is one of the largest and most diverse neighborhoods in New York City...
as Queens County Savings Bank, and changed their name on December 15, 2000 to New York Community Bank to better reflect their market area beyond Queens.
NYCB serves New York City
New York City
New York is the most populous city in the United States and the center of the New York Metropolitan Area, one of the most populous metropolitan areas in the world. New York exerts a significant impact upon global commerce, finance, media, art, fashion, research, technology, education, and...
, Long Island
Long Island
Long Island is an island located in the southeast part of the U.S. state of New York, just east of Manhattan. Stretching northeast into the Atlantic Ocean, Long Island contains four counties, two of which are boroughs of New York City , and two of which are mainly suburban...
, and Westchester County through its Queens County Savings Bank, Richmond County Savings Bank, Roosevelt Savings Bank, Roslyn Savings Bank, and New York Community branded branches. It serves northern New Jersey
New Jersey
New Jersey is a state in the Northeastern and Middle Atlantic regions of the United States. , its population was 8,791,894. It is bordered on the north and east by the state of New York, on the southeast and south by the Atlantic Ocean, on the west by Pennsylvania and on the southwest by Delaware...
through its newly formed Garden State Community Bank division, which consolidated four divisions: First Savings Bank of New Jersey, Ironbound Bank, Penn Federal Savings Bank, and Synergy Bank. Customers of NYCB can make transactions at any branch regardless of division.
Additionally, New York Community Bancorp has a second, commercial banking subsidiary, New York Commercial Bank (formerly Long Island Commercial Bank), which operates two divisions, New York Commercial Bank and Atlantic Bank of New York
Atlantic Bank of New York
Since 2006, Atlantic Bank of New York has been a division of New York Commercial Bank, itself a subsidiary of New York Community Bank.-History:*1926 New York State chartered Bank of Athens Trust Company, a subsidiary of Bank of Athens....
.
Multi Family Lending
In New York City--where the majority of the housing stock consists of rental units in multi-family buildings--New York Community Bank has been producing multi-family loans for more than 40 years. As the only lender to consistently provide funds to finance the City’s multi-family buildings--even in times of economic crisis--New York Community Bank has established itself as a leader in this lending niche.Most of the loans produced by the Bank are secured by low- to moderate-income buildings that are subject to rent control and rent stabilization laws. In fact, of the $32 billion of multi-family loans produced by the Bank from January 1, 1993 through March 31, 2011, approximately $24 billion--or 75%--were secured by such properties.
Although New York Community Bank claims that it has distinguished itself as a "multi-family lender with a record of asset quality", this is far from true. Over New York Community Bank's entire portfolio, there are 328 buildings with more than three B and C violations per unit serving a total of 6469 families. Additionally, 118 multifamily buildings in their portfolio have five or more code violations per unit, which is New York City's Department of Housing Preservation and Development's (HPD) statutory definition of distressed housing. That represents housing for nearly 1700 families.
New York Community bank also claims that it has "a long-held practice of retaining the multi-family loans it originates", which is also untrue. NYCB just sold the mortgages on 8 severely distressed buildings in foreclosure in the Bronx to an unnamed buyer at an unnamed price. NYCB refused to say who the buyer is despite repeated requests from the New York City's Department of Housing Preservation and Development and the City Council. The 309 apartments have more than 1600 outstanding code violations.
NYCB currently has 34 additional buildings in foreclosure across NYC, with just over 800 apartments. Combined they have just under 5,000 code violations (more than 6 violations per unit). 16 of those buildings are located in the Bronx which accounts for 450 apartments. Combined they have a 2635 outstanding code violations.
In March of 2006, New York Community Bank entered into an agreement with Housing Here and Now to improve oversight and code violation compliance of loans in their portfolio. NYCB agreed to improve oversight of buildings in their portfolio and work more closely with tenants and community organizations to address repair concerns. As part of the agreement, NYCB also made a commitment to perform pre-loan inspections of buildings with three or more “B” and “C” violations per unit would receive special attention and require additional repair commitments from landlords. Since March 2006, NYCB has issued close to 1748 loans for multifamily buildings in New York City. Of those, 159 buildings, or 9.1% of the total, currently have more than three “B” and “C” violations per unit, for a total of 3354 units of housing.
Currently, community groups and tenants are trying to convince the bank to consider asset quality when buying and selling buildings and to encourage the bank to deleverage many of their multi-family assets. This is one significant way that the bank could improve building conditions and help maintain affordability in its regulated buildings. Tenants and advocates have protested the bank on numerous occasions in 2011, but at present, the bank has been unresponsive to their demands.
AmTrust Failure
On December 4, 2009, the FDICFederal Deposit Insurance Corporation
The Federal Deposit Insurance Corporation is a United States government corporation created by the Glass–Steagall Act of 1933. It provides deposit insurance, which guarantees the safety of deposits in member banks, currently up to $250,000 per depositor per bank. , the FDIC insures deposits at...
took control of AmTrust, a bank headquartered in Cleveland, OH with 66 branches in Ohio
Ohio
Ohio is a Midwestern state in the United States. The 34th largest state by area in the U.S.,it is the 7th‑most populous with over 11.5 million residents, containing several major American cities and seven metropolitan areas with populations of 500,000 or more.The state's capital is Columbus...
, Florida
Florida
Florida is a state in the southeastern United States, located on the nation's Atlantic and Gulf coasts. It is bordered to the west by the Gulf of Mexico, to the north by Alabama and Georgia and to the east by the Atlantic Ocean. With a population of 18,801,310 as measured by the 2010 census, it...
and Arizona
Arizona
Arizona ; is a state located in the southwestern region of the United States. It is also part of the western United States and the mountain west. The capital and largest city is Phoenix...
. New York Community Bank acquired AmTrust, worth $12 billion, from the FDIC in a deal. As part of the deal, the FDIC is shielding New York Community Bank from the $9 billion debt. The branches in Florida and Arizona retained the AmTrust name, but branches in Ohio were reverted back to Ohio Savings in spring 2010. This also expanded NYCB's branch footprint outside of Greater New York
New York metropolitan area
The New York metropolitan area, also known as Greater New York, or the Tri-State area, is the region that composes of New York City and the surrounding region...
for the first time.
On March 26, 2010, Desert Hills Bank in Phoenix, Arizona was also seized by the FDIC. Due to the smaller size of Desert Hills, and the recent acquisition of AmTrust, Desert Hills was absorbed into the AmTrust division.
Divisions
New York Community Bank operates branches under the following divisional brands. Not included here are the former AmTrust operations.  |
Queens County Savings Bank, founded April 14, 1859, is the oldest and original part of NYCB. It was also the first bank in Queens. QSCB has 34 branches throughout Queens. |
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Roosevelt Savings Bank, established in 1895 as "Eastern District Savings Bank", changed its name in 1920 in honor of President Theodore Roosevelt Theodore Roosevelt Theodore "Teddy" Roosevelt was the 26th President of the United States . He is noted for his exuberant personality, range of interests and achievements, and his leadership of the Progressive Movement, as well as his "cowboy" persona and robust masculinity... . It eight branches serve Brooklyn Brooklyn Brooklyn is the most populous of New York City's five boroughs, with nearly 2.6 million residents, and the second-largest in area. Since 1896, Brooklyn has had the same boundaries as Kings County, which is now the most populous county in New York State and the second-most densely populated... . |
 |
Roslyn Savings Bank, established in 1875, was the first bank in Nassau County. It currently serves Nassau Nassau County, New York Nassau County is a suburban county on Long Island, east of New York City in the U.S. state of New York, within the New York Metropolitan Area. As of the 2010 census, the population was 1,339,532... and Suffolk Suffolk County, New York Suffolk County is a county located in the U.S. state of New York on the eastern portion of Long Island. As of the 2010 census, the population was 1,493,350. It was named for the county of Suffolk in England, from which its earliest settlers came... Counties through its 57 branches. |
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CFS Bank, founded on August 14, 1889, as "Columbia Savings and Loan Association, later changed its name to "Columbia Federal Savings Bank". In 1997 it shortened its name to the current "CFS Bank", which could be an acronym for its former name, or also "Convenient Financial Services", and currently "Complete Financial Services". Of its 6 branches, 4 are in Westchester County Westchester County, New York Westchester County is a county located in the U.S. state of New York. Westchester covers an area of and has a population of 949,113 according to the 2010 Census, residing in 45 municipalities... , one is in the Bronx and one is in Manhattan Manhattan Manhattan is the oldest and the most densely populated of the five boroughs of New York City. Located primarily on the island of Manhattan at the mouth of the Hudson River, the boundaries of the borough are identical to those of New York County, an original county of the state of New York... . These branches are now branded as New York Community Bank as the CFS Bank moniker was retired. The Manhattan branch, was located in a Pathmark Pathmark Pathmark is a supermarket chain headquartered in Montvale, New Jersey. It was founded in 1968 when its then parent, Supermarkets General Corporation, pulled out of the ShopRite retailers' cooperative... store in Lower Manhattan, and was NYCB's only Manhattan branch until it was closed. New York Commercial Bank's acquisition of Atlantic Bank of New York Atlantic Bank of New York Since 2006, Atlantic Bank of New York has been a division of New York Commercial Bank, itself a subsidiary of New York Community Bank.-History:*1926 New York State chartered Bank of Athens Trust Company, a subsidiary of Bank of Athens.... added 5 branches, which despite operating under the Commercial Bank's charter, are accessible to the Community Bank's customers. |
 |
Richmond County Savings Bank was founded on October 20, 1886 in the Odd Fellows Building on the corner of Richmond Terrace and Broadway, and joined NYCB in July 2001. They serve Staten Island Staten Island Staten Island is a borough of New York City, New York, United States, located in the southwest part of the city. Staten Island is separated from New Jersey by the Arthur Kill and the Kill Van Kull, and from the rest of New York by New York Bay... with 23 branches throughout Staten Island. |
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In December 2007, NYCB created its Garden State Community Bank division to consolidate its four New Jersey divisions - First Savings Bank of New Jersey, Ironbound Bank, Penn Federal Savings Bank, and Synergy Bank - into one division. First Savings Bank of NJ had four branches exclusively in the City of Bayonne, NJ. It was founded in 1889 and joined NYCB in July 2001. Ironbound Bank served Essex Essex County, New Jersey Essex County is a county located in the northeastern part of the U.S. state of New Jersey. As of the United States 2010 Census, the population was 783,969, ranking it third in the state after Bergen County and Middlesex County; Essex County's population has declined from 786,147 as of the bureau's... and Union Union County, New Jersey Union County is a county located in the U.S. state of New Jersey. As of the 2010 Census, the population was 536,499. It is part of the New York Metropolitan Area. Its county seat is Elizabeth. Union County ranks 93rd among the highest-income counties in the United States. It also ranks 74th in... Counties in New Jersey through four branches. It was named for the section of Newark, NJ Newark, New Jersey Newark is the largest city in the American state of New Jersey, and the seat of Essex County. As of the 2010 United States Census, Newark had a population of 277,140, maintaining its status as the largest municipality in New Jersey. It is the 68th largest city in the U.S... in which it was founded, in 1988. It joined NYCB in 2001. On April 2, 2007, NYCB acquired Penn Federal Savings Bank, adding branches in East Central and North East New Jersey. In 1941, 11 building and loan associations in the Ironbound section of Newark consolidated under the name of Penn Federal Savings and Loan Association. The S&L later changed its name to Penn Federal Savings Bank, to associate the bank with the community's centerpiece, Penn Station. On October 1, 2007, NYCB acquired Synergy Bank of Cranford, New Jersey Cranford, New Jersey Cranford is a township in Union County, New Jersey, United States. As of the United States 2010 Census, the township population was 22,625.Cranford was incorporated as a township by an Act of the New Jersey Legislature on March 14, 1871, from portions of the Townships of Clark, Linden,... , which had branches throughout northern and central New Jersey. Synergy Bank began in the early 1950s, when employees of one of New Jersey’s major pharmaceutical firms formed a federal credit union. In 1998, the credit union’s members voted to convert to a savings institution. In September 2009, NYCB will rebrand the Synergy branches to Garden State Community Bank. All Synergy customers' accounts will then be transferred to the NYCB system and will be accessible at any Garden State Community bank branch. |