A real estate company in South Florida has agreed to buy Sunnyside Bancorp in Irvington, N.Y.
DLP Real Estate Capital said that DLP Bancshares, an affiliate based in St. Augustine, Fla., would pay about $12.3 million in cash for the parent of the $96.6 million-asset Sunnyside Federal Savings and Loan Association of Irvington. The deal is expected to close in the fourth quarter.
Under the terms of the agreement, shareholders of Sunnyside Bancorp will receive $15.55 in cash per share, subject to adjustment as provided in the merger agreement. This transaction is subject to regulatory approval and approval by the Westchester bank’s shareholders. Upon closing, Fred Reinhardt will take the reins as President and CEO of Sunnyside Federal.
Don Wenner, DLP Real Estate Capital Founder and CEO, commented, “Acquiring a bank is a natural segue to broadening and enhancing the offering of products and services to our current and future DLP family of investors, partners, and customers. Sunnyside’s focus on supporting the community with personal and business banking needs is a perfect fit with DLP’s mission to create prosperity. I could not be more excited about this opportunity.”
“This transaction provides excellent value to our shareholders, while still allowing Sunnyside Federal to continue to deliver the same level of superior service to our customers. We are very enthusiastic about this partnership with DLP, which we believe will benefit our employees, customers and communities,” said Timothy D. Sullivan, President and CEO of Sunnyside Bancorp and Sunnyside Federal.
Sunnyside Federal will continue to operate as a community bank serving the needs of its consumer and business customers and emphasizing personalized and efficient customer service. Sunnyside Federal also expects to offer commercial real estate financing to professional operators and warehouse loans to private lending originators on a national basis.
Fred Reinhardt commented: “We intend to offer private banking services to high net-worth investors and small business owners around the country but with an emphasis in the North- and Southeast. The bank is uniquely positioned to leverage DLP’s real estate and investment expertise to provide a competitive and rewarding customer experience.”
Keefe, Bruyette & Woods, a Stifel Company, acted as financial advisor to Sunnyside Bancorp, Inc. and rendered a fairness opinion to the Board of Directors of Sunnyside Bancorp, Inc. in conjunction with this transaction. The Kafafian Group advised DLP. Ballard Spahr LLP acted as legal advisor to DLP Bancshares and Luse Gorman, PC served as legal counsel to Sunnyside Bancorp and Sunnyside Federal.