SunTrust Bank has closed on the acquisition of Pillar Financial, which includes receiving Fannie Mae, Freddie Mac, and Federal Housing Administration license transfer approvals.
The acquisition was first announced in late October.
The acquired assets include Pillar’s multifamily lending business, which is comprised of multifamily affordable housing, health-care properties, senior housing, and manufactured housing specialty teams. Additionally, the transaction includes Chicago-based Cohen Financial’s commercial real estate investor services business, offering loan administration and advisory services, as well as their mortgage brokerage business.
“This acquisition strategically expands the commercial real estate capabilities of SunTrust, making the bank one of a select number of agency lenders. It also provides Pillar and Cohen clients access to expanded products and capabilities including: bridge loans, equity for affordable housing developments, and a full suite of capital markets capabilities through SunTrust Robinson Humphrey,” said Kathy Farrell, SunTrust Commercial Real Estate (CRE) executive, in a statement.
Terms of the deal were not disclosed.
Going forward, the Pillar Financial and Cohen Financial businesses will operate within SunTrust Bank as a component of the CRE line of business, which is a part of the wholesale banking segment of SunTrust.
Anand Gajjar, previously CEO and senior managing director of Pillar Financial now reports directly to Farrell as head of the Pillar Division, which includes Cohen Financial. The Pillar and Cohen leadership teams have also joined SunTrust.
SunTrust Robinson Humphrey served as financial advisor to SunTrust for this transaction. Beekman Advisors acted as the strategic advisor for Pillar.