Opportunity knocks: HarVest Bank to open Frederick branch

Monday, June 9, 2008

Opportunity knocks: HarVest Bank to open Frederick branch

Rockville bank gains its fourth location

by Steve Monroe | Staff Writer

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Jack Hollerbach, president and CEO of HarVest Bank of Maryland in Rockville, has had his eye on expanding to Frederick for a long time, but was waiting for the right opportunity, the right location.

It all came together recently when he decided to take over the branch office of a Pennsylvania bank that recently entered the Frederick area but has now decided to exit the market. HarVest Bank announced Monday it has reached a definitive agreement to acquire the loans, deposits, staff and premises of the Frederick branch of Graystone Bank.

Graystone, a subsidiary of Graystone Financial Corp. of Harrisburg, Pa., whose other locations are in Pennsylvania, opened in Frederick in October. At the time, Graystone officials expressed hopes of successfully expanding beyond its home area. Graystone officials could not be reached for comment by Monday’s newsletter deadline.

The deal, which is expected to close by mid-August after regulatory approvals, would give HarVest Bank its fourth branch, and would add roughly $11 million in loan and deposit balances, according to HarVest information. Terms were not disclosed.

‘‘We are very excited about the opportunity to expand into Frederick, a move that has been in our strategic plans since the formation of the bank,” Hollerbach said in a statement. HarVest’s other branches are in North Rockville, Bethesda and Germantown.

‘‘We feel that our community-focused approach to commercial banking, coupled with the knowledge of the market that our highly qualified Frederick colleagues will add to our efforts, will bring a new excitement to downtown Frederick,” he said. ‘‘We plan to be active and committed in Frederick as we introduce our successful philosophy of ‘Bringing Maryland Banking Back Home.’”

HarVest Bank opened for business in November 2004, and has grown to more than $200 million in assets, according to bank information. HarVest Bank was recognized as the 2006 Maryland Small Business of the Year by the Maryland Chamber of Commerce.