Secrets don’t stay secrets for long, at least where the Hispanic banking niche is concerned. A year ago, the greater San Fernando Valley area had no banks designed to serve the Hispanic business market. Now, it looks like the region will soon get its second Hispanic business bank. First Latino Holding Co. is proposing to open El Camino Bank in Chatsworth. The bank, which has yet to file its application with the California Department of Financial Institutions, has leased a site for its operations and is currently working on pulling together the executive team that will lead the new venture. Greyton Becker, who most recently started up Pinehurst Bank in St. Paul, Minn., and served as its CEO, will be CEO of El Camino Bank. Becker is also a director of First Farm Bank, a startup that opened for business earlier this year in Greeley, Colo. Armita Colmenares Stafford, who sources said is a former business development officer with Bank of America, will serve as its president. Becker and Stafford declined to discuss any details of their plans. Independent banks have been sprouting regularly in the greater San Fernando Valley area over the past several years as consolidations among larger banks have created an opportunity for smaller institutions to service the middle market of the business community. At the same time, most banks have lately been moving to attract Hispanic business customers, reflecting the demographic shifts that have taken place in the area and nationwide. Late last year, Americas United Bank, said to be the first Latino bank to organize in the state in 30 years, opened in Glendale after raising more than $20 million from investors. As of the first quarter of 2007, after less than six months in operation, the bank’s assets had grown to $45.6 million and it had more than $18.7 million on deposit. Many other banks seem to have turned their attention to the Hispanic business community, by hiring Spanish-speaking loan officers and marketing to the sector. But if the proposal for El Camino goes through as planned, it would only be the second bank in the Valley dedicated to a Hispanic focus. The approval process for new banks requires the proposed bank to have a site for its operations and establish an executive team, including a CEO, a CFO and a chief lending officer before an application can be filed. The executives cannot begin to raise funds for the bank until those steps are completed, which means it will likely be at least several months before El Camino Bank can issue a prospectus for its offering.
