A significant portion of National City's former wholesale lending unit has been acquired and launched as part a new California-based company.
Fortes Residential Mortgage Co. has been launched as a national mortgage banker, parent Fortes Financial Inc. announced Tuesday.
The unit was created when Fortes acquired a significant portion of National City Bank's wholesale mortgage unit and a retail mortgage banking platform earlier this year, the statement said.
National City Mortgage shut down its entire wholesale lending division in August. The move resulted in approximately 900 layoffs.
The integrated Fortes operation, based in San Diego, includes five regional wholesale operations centers, three retail banking offices and eight reverse mortgage branches that operate as Security One Lending, according to the press release. Its offerings include conventional, government and reverse mortgages.
Parent Fortes Financial, which is headquartered in Laguna Hills, Calif., said it currently employs more than 400 people. The company was founded in August 2007 by President and Chief Executive Officer Peter J. Levasseur and Chief Operating Officer Janice M. Ibey.
"I believe we are in a market that is significantly oversold which has, and will continue for a period of time, to provide Fortes the opportunity to acquire mortgage origination assets at little or no premium," Levasseur said in the statement.
Fortes said it has agreed to merge with Vision Global Solutions Inc., which is publicly traded on the Pink Sheets. That deal is expected to close next month.