Valley National cuts CRE exposure amid charge-offs and loan sales

Exposures fall to 362% of total capital, but portfolio keeps deteriorating

Valley National Bank has reduced its commercial real estate loan concentration to its lowest level in nearly nine years, at the cost of severe write-offs and loan sales.

In the last quarter of 2024, non-owner-occupied CRE exposures, as defined by US regulators, fell 8.9% to $23.8 billion – the steepest decline in four quarters.

The balance equated to 362% of the bank’s total capital, down from 421% at end-September, marking the lowest ratio since Q1 2016. Including owner-occupied CRE loans –

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact info@risk.net or view our subscription options here: http://subscriptions.risk.net/subscribe

You are currently unable to copy this content. Please contact info@risk.net to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to Risk.net? View our subscription options

Want to know what’s included in our free membership? Click here

Most read articles loading...

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here