Alterra Home Loans in Las Vegas has secured an expansion capital and equity investment commitment from private equity partnership Panorama Point Partners.
Alterra is fully minority-owned and primarily targets the Hispanic marketplace. The independent mortgage bank sought out a private equity partner so that it could have access to the capital and liquidity it needed to grow, particularly in light of the future growth latent in the Hispanic marketplace, said Jason Madiedo, Alterra's chief executive and co-founder, in a news release Wednesday.
"Hispanics are the fastest and largest growing household market in the U.S.," Madiedo said in the release. "The capital and liquidity required to sustainably grow in the housing market today, combined with the growth dynamics of our targeted borrower, convinced us to seek out compatible capital providers."
Madiedo said that 67% of Alterra's loan production last year was made to Hispanic borrowers, and 56% of all the bank's loans were to first-time homebuyers. The company generated roughly $1 billion in mortgage loan closings in 2015.
Panorama was attracted to Alterra because of the bank's "unique Hispanic focus in serving first-time homebuyers" and its corporate culture, Panorama managing partner and founder Stephen George said in the release.
"We wanted to find a financial services company with talented leaders that were focused on the Hispanic market," George said.
Alterra also said that John Robbins will join company co-founder Felix DeHerrera as co-chairman. Robbins has worked in the mortgage industry for more than four decades and served as the chairman of the Mortgage Bankers Association in 2007.
