COSTA MESA, Calif., June 25, 2015 (GLOBE NEWSWIRE) -- Pacific Mercantile Bank ("the Bank"), the wholly owned subsidiary of Pacific Mercantile Bancorp (Nasdaq:PMBC), today announced that it has recently extended a $3 million line of credit to Rich-Uncles, a real estate investment trust (REIT). In addition to the line of credit, Rich-Uncles will utilize Pacific Mercantile Bank's treasury management services.
Headquartered in Newport Beach, Rich-Uncles is a pioneer in crowdfunded online investment platforms. Utilizing a crowdfunding model for capital-raising, Rich-Uncles is a REIT focused on single-tenant, freestanding commercial real estate properties. Starting with an investment as small as $500, Rich-Uncles allows retail investors to participate in the benefits of commercial real estate ownership including quarterly cash dividends, tax advantages, and profit participation when properties are sold at a gain.
Rich-Uncles is managed by a team of accomplished real estate professionals including Harold Hofer (CEO), Howard Makler (President / CMO), and founding investor Ray Wirta (Chairman, CBRE Group, Inc.).
"We were very impressed with Pacific Mercantile Bank's ability to understand our unique business model and develop a creative solution to help meet our financing and cash management needs," said Mr. Hofer. "Rich-Uncles has nearly 10,000 members, and with the support of Pacific Mercantile, we will be able to continue growing the Company and creating value for our shareholders."
"Rich-Uncles is a powerful platform that combines the most innovative and efficient means of capital-raising with a proven approach to real estate investment," said Tom Vertin, President of Commercial Banking for Pacific Mercantile Bank. "We are excited to partner with a true innovator and we look forward to growing the relationship as Rich-Uncles continues to attract more investors to its fund."
About Pacific Mercantile Bank
Pacific Mercantile Bank opened for business March 1, 1999. The Bank, which is FDIC insured and a member of the Federal Reserve System, provides a wide range of commercial banking services to businesses, business owners and business professionals through its combination of traditional banking offices and comprehensive, sophisticated electronic banking services.
The Bank, headquartered in Orange County, operates a total of eight banking offices in Southern California, located in Orange, Los Angeles, San Diego, and San Bernardino counties. In addition, the Bank offers comprehensive online banking services accessible at www.pmbank.com. Pacific Mercantile Bancorp (Nasdaq:PMBC) is the parent holding company of Pacific Mercantile Bank.
Forward-Looking Information
This news release contains statements regarding our expectations, beliefs and views about our plans to continue to build our loan portfolio and supporting systems and processes. These statements, which constitute "forward-looking statements" within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995, can be identified by the fact that they do not relate strictly to historical or current facts. Often, they include words such as "believe," "expect," "anticipate," "intend," "plan," "estimate," "project," or words of similar meaning, or future or conditional verbs such as "will," "would," "should," "could," or "may." These forward-looking statements are subject to numerous risks and uncertainties. Actual results may differ materially from the results discussed in these forward-looking statements because such statements are inherently subject to significant assumptions, risks and uncertainties, many of which are difficult to predict and are generally beyond our control. These risks and uncertainties include, but are not limited to, the following: the impact of interest rates and other external economic factors and competition among financial services providers. We undertake no obligation (and expressly disclaim any such obligation) to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise. For additional information concerning factors that could cause actual conditions, events or results to materially differ from those described in the forward-looking statements, please refer to the factors set forth under the headings "Risk Factors" in our most recent Form 10-K and 10-Q reports and to our most recent Form 8-K reports, which are available online at www.sec.gov. No assurances can be given that any of the events anticipated by the forward-looking statements will transpire or occur, or if any of them do so, what impact they will have on our results of operations or financial condition.