Neighbourhood Holdings Acquires Fisgard Asset Management
A national alt-lending powerhouse
Creating one of the largest non-bank lenders in Canada, is Neighborhood Holdings acquisition of Fisgard Asset Management, in an $800 million deal.
“It’s a much bigger beast, and we’re excited to see how it’s going to work,” says Neighbourhood CEO Taylor Little. Leadership engaged in preliminary conversations earlier this year and quickly identified the potential value in joining forces.
While Neighbourhood lends up to 65% loan-to-value ratio, Fisgard goes up to 75%. Neighbourhood also previously didn’t offer second mortgages, construction loans, renovation financing, or multifamily property loans, but will now do so under the Fisgard Capital Fund.
“We have a very strong ground game in terms of the broker presence, whereas Neighborhood is probably more tech savvy in terms of marketing,” says Fisgard CEO Rafer Strandlund. “Merging our business development teams and their marketing teams together is going to make a very, very strong company.”
After a few sit-down meetings last winter, followed by a few months of negotiation through the summer months, the deal ultimately closed on October 17.
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