LibertyPointe Bank, an institution co-founded four years ago by developer Shaya Boymelgreen, has been ordered by federal regulators to cease and desist from excessively risky lending.
The bank, which is headquartered in lower Manhattan, was deemed to operating with excessive levels of delinquent loans, setting aside inadequate allowances for loan losses, and overly concentrating its portfolio in commercial real estate lending, according to the order dated July 16 but posted Friday on the Federal Deposit Insurance Corp.’s Web site.
LibertyPointe, which operates one branch in Manhattan and two in Brooklyn, caters largely to the Orthodox Jewish community. It had $222 million in assets, $207 million in deposits, and $11.8 million in capital as of the quarter ending June 30. Its total risk-based capital ratio of 8.3% puts it below the FDIC’s definition of a well-capitalized bank, as such it could be forced to raise fresh funds.
In addition, LibertyPointe’s $182 million portfolio seems to have a high amount of troubled assets.
So that's why the RKO Keith's is for sale. But the price has gone down considerably. It's now listed at $24M, down from $31.5M a year ago.