Colorado brothers raise $6 million to open Aspen de novo

Northwestern Financial Review, Dec 1-Dec 14, 2004 by Dullum, Justin

Two Taets brothers, Michael and Jeff, have led a group of organizers through the creation of Timberline Bank. The group raised $6 million and opened for business in October. Timberline's charter is held in Grand Junction, Colo., but its first physical location will be in Aspen. Michael and Jeff are two of four Taets brothers who are bankers in the state. Although their father was an Iowa farmer, Michael Taets said banking was a natural extension for the brothers.

"The two things that influence a farmer's future are the banker and the grain operator," said Michael Taets, president of Timberline, who was formerly with Wells Fargo in Aspen. "Growing up as farmers, we all saw that. The banker was a part of our lives and going into it was easy for us."

Taets said he doesn't expect Timberline, however, to make ag loans in Aspen.

"I haven't done any ag lending since the late 1980s," said Taets. "We mainly do real estate and business banking. A lot of people associate Aspen with tourism, but real estate is much bigger."

Aspen has a permanent population of about 7,000 people. And while tourist-fueled population fluxes are a factor, Taets compared the economy of Aspen's famous ski slopes to a golf course.

"There are many more loans for construction on the land around courses than there are for the course itself," he said.

Deposits are a challenge, said Taets. "It's very affluent and the customers are sophisticated. Many homes here are second homes with residents who keep their money elsewhere," he said.

Getting the word out about the new bank, however, has been easy. "I've been here thirteen years," said Taets. "It's a small town. People know where I went."

Iowa bank strikes deal with financial services company

Goodenow Bancorp, Okoboji, Iowa, parent company of Bank Midwest, will engage in the sale of investment securities after acquiring some of the assets of Kunkel & Peyman, Fairmont, Minn.

Kunkel & Peyman's assets were exchanged for stock in Goodenow Bancorp. President Steve Goodenow said approval for the deal was originally being sought from the Federal Reserve, but that this application was eventually withdrawn.

"In my infinite wisdom, I thought the Fed was the only way to go," said Goodenow. "But as we proceeded, and through talking with the OCC, we found we could do it on the bank level without having prior approval. So we did it that way. It had nothing to do with how the Fed was handling things. I just prefer the path of least resistance."

Teaming with Kunkel & Peyman, which offers a broad range of financial planning and investment services, will help keep the $315 million bank holding company strong into future, said Goodenow. "We're trying to redefine how we address retail markets," he said. "As a bank, we've traditionally been an order taker. We felt we needed to be on the planning side as well."

Goodenow saw the potential of financial services after hosting related seminars at the bank. "The public reacted and we took note," he said. "We're acting on it." Proactive planning and investment companies that consumers can easily find on the Internet will force the community banker's hand, he continued. "Traditionally, the services offered by Kunkel and Peyman haven't been part of the standard community bank offerings, but the way things are going, the way the market is crowding in from all sides, we feel it's important to grow and to look outward and to the future," said Goodenow.

Minneapolis veteran spearheads downtown location

A circle was completed when Crown Bank named John Crinklaw president of its forthcoming branch in downtown Minneapolis. In September, Crinklaw resigned as president of Associated Bank's western market. He came into that post in 1999 when Associated purchased Windsor Bank, of which Crinklaw had been president. A number of Crinklaw's colleagues at Windsor created Crown Bank in Edina, Minn., after the acquisition.

"I think we'll have a lot of success downtown because we know the area well," said Crinklaw, a 35-year veteran of the market. "It's also an opportunity to reconnect with Windsor's downtown customers. For those customers who didn't leave Windsor, now that we're moving downtown we think we can gain their business back."

Many of Crown's existing customers work downtown, said Crinklaw, and the location, which is expected to open this month, will add convenience. The 5,000-square-foot office will be located at ground level on the corner of Sixth Street and Marquette - a place where a number of large bank buildings cast long shadows. But Crinklaw said enhanced service would keep the $135 million bank competitive.

"We're what I would call a niche bank," said Crinklaw. "We're a touchy-feely bank. Our ability to be hands-on will serve us well."