Peter D’Arcy and Matthew Petrula
Head of Commercial Real Estate and Senior Executive Vice President; Senior Group Manager of Commercial Real Estate and Executive Vice President at M&T Bank
M&T Bank’s commercial real estate operation originated $13.3 billion over the past year and is poised for even bigger growth following its merger with People’s United Bank.
The Buffalo-based regional bank’s merger with Bridgeport, Conn.-based People’s United took effect in early April 2022, a move that expanded M&T’s footprint into new markets throughout New England.
“From a size and scale standpoint it adds another $10 billion to what is already one of the largest real estate portfolios in the country,” Peter D’Arcy said. “It brings more breadth and scale to what was already a sizable platform.”
“It will absolutely have tremendous benefits for the real estate group, because both banks are very much invested in real estate and are very relationship-focused real estate banks,” Matthew Petrula added.
Some notable deal activity from the past year includes an $82 million office building refinance of 50 West 23rd Street on behalf of Two Trees Management. The bank also piloted a $122 million construction loan for PMC Property Group to build out phase 2 of its 31-story, 374-unit Riverwalk multifamily project in Philadelphia’s Center City.
On the acquisition side, M&T provided a $66 million loan for HUBB NYC Properties to purchase a 169-unit multifamily property at 247 North 7th Street in Williamsburg, Brooklyn.
Last year also saw M&T launch new institutional real estate teams in New York and Washington, D.C., in an effort to expand its reach working with real estate investment trusts, private equity firms and debt funds. D’Arcy said the move reflects a formalization of M&T’s recent efforts to conduct business with institutional players and to lay a foundation for more expansion with its off-balance sheet platform.
Also, in October 2021, M&T launched a $43 billion community growth initiative to support low- to moderate-income neighborhoods and people of color through loans and investments. The plan includes a further commitment to financing affordable housing, which D’Arcy said will only amplify M&T’s work in an area where it’s already one of the largest forces in the country. —A.C.
