Adam Maier advised Deerwood Bancshares, Inc. and its subsidiary bank, Deerwood Bank, in the sale of its Apple Valley, Minnesota, branch location to Royal Credit Union based in Eau Claire, Wisconsin. The branch sale, which closed in November 2016, involved the unique process of converting the location into a credit union in accordance with Bank Merger Act and National Credit Union Administration (NCUA) statutes and regulations. Assistance with this transaction came from Ernie Panasci, Lindsey Harden and Mike Lochmann. Deerwood Bank had previously acquired the Apple Valley location as part of the American Bank of Saint Paul acquisition in 2015. Adam also advised Deerwood as the stalking horse bidder for that purchase under Section 363 of the U.S. Bankruptcy Code.
Banking and Financial Services
We represented Model Cities of Saint Paul in connection with its development and financing of a mixed-use condominium building in Saint Paul including both multifamily rental and commercial facilities. The housing was financed with proceeds of tax-exempt bonds, proceeds of the syndication of low-income housing tax credits and loans from Minnesota Housing and the City of Saint Paul. The commercial space was financed with a bank loan and various grants and multiple loans and grants made by the City.
In 2016, we began advising Wells Fargo Bank, National Association in loans made to construct affordable multifamily housing projects. These projects use federal low-income housing tax credits, which allow private investors to provide the equity funds that make the projects feasible. Many projects also use tax-exempt bonds or layers of subordinate debt, all with the goal of making the projects financially viable while keeping rents affordable. With the addition of Wells, we now represent three of the five largest banks in the U.S. in affordable housing loan transactions. We also represent financial institutions and corporations when they purchase tax credits for their own accounts or for syndication.
A large part of Barkley Clark‘s practice is to provide expert testimony on banking issues under the Uniform Commercial Code, in state and federal courts and before arbitration panels. He has testified as an expert in cases involving both secured loans and payment systems. During the last year, for example, he wrote an expert report in a multimillion dollar case involving a large regional bank and its handling of a “blocked” deposit account; the defendant bank prevailed on summary judgment. Barkley also consults with law firms around the country that are involved in commercial law/banking litigation. Last year, he consulted with two large secured lenders on special UCC filing projects.
We advised California Bank of Commerce, of Lafayette, California, in the acquisition of Pan Pacific Bank, of Fremont, California. The strategic partnership formed a business bank with over $650 million in total assets as of the closing and CABC is dedicated to serving businesses in the San Francisco Bay Area. The transaction accelerated California Bank Commerce’s growth strategy by capitalizing on the two institutions shared commitment to quality customer service as well as robust banking platforms and production capabilities. The bank has established low cost-deposit bases with significant focus on commercial and industrial lending.