The company’s chief executive said the D-FW area reminds him of Southern California 30 years ago, where the company got its start.
California financial services holding company First Foundation Inc. is the latest California firm to move its headquarters to Texas, announcing Monday that it will establish its executive offices in Uptown Dallas’ The Crescent.
The First Foundation Inc. holding company includes both banking and wealth management services. Texas is the fourth state where the company has expanded its services, following Nevada, Hawaii and California. It plans to leverage its new centralized base of operations to further expand its footprint across the U.S.
The company has already seen an influx of Texas clients to its online savings account offering, it said.
Dallas’ landmark Crescent complex anchors the affluent Uptown neighborhood and has some of the highest office rents in the state of Texas. The property recently underwent a $30 million upgrade and set a record when it sold for $700 million last month.
First Foundation Inc. announced its intent to move earlier this year. Chief executive Scott F. Kavanaugh said in a statement Monday the Dallas-Fort Worth area reminds him of the Southern California of 30 years ago, where the company got its start.
“Texas has such a business-friendly environment, which gives us confidence in being able to serve the communities of Dallas with our high standard of exceptional client care. This also is a natural expansion for our company and marks a milestone as we enter our fourth state and truly become a regional bank,” Kavanaugh said in a statement. “We are excited about offering our services to more clients and building meaningful relationships with those who seek financial guidance from our team of dedicated professionals.”
The company will continue to maintain a presence in the markets it now serves, including its existing bank and wealth management headquarters in Irvine, Calif., according to First Foundation.
In Texas, First Foundation Bank will establish a lending production office and a full-service bank branch by the end of 2021, the company said. It currently has five employees in the state and plans to expand that number to 25 this year and then to double its staffing to 50 in 2022.
First Foundation and its subsidiaries reported $7 billion in assets and $251 million in annual revenue at the end of last year. It had 485 full-time employees at the start of 2020, according to a filing with the U.S. Securities and Exchange Commission.
The company has 20 bank and wealth management branch locations in California, Nevada and Hawaii. Its target clients are business owners, real estate investors, municipalities and high-net-worth people and families, according to a company investor presentation.