SD, we're here in Puerto Vallarta where is been a bit on the cool at about 74 - 76F daytime. Nevertheless, the doors are open most of the time. In the long past we spend time on the Baja before the road was built, but not in San Felipe. During those days there was only one resort south of La Paz that I recall and it was near the tip of the peninsula.
I agree that TMCV must have a load of real estate mortgages, but management has so far proved that they understand this business well and,hopefully, they are well protected. As I compare investment opportunities, I have not seen anything in the community banking arena that looks superior to TMCV. If interests rates continue upward, and I believe they will, I imagine there will be a serious consolidation of the newer, less seasoned banks, or some may face dissolution by the office of Thift Supervision.
Yes, I agree with you that the employed Founders of the bank may retire in a few years. If that is the executive attitude , it could happen at any time an attractive offer is floated to TMCV. One of my Montana favorites is expected to consolidate this month with US Bank. I'm disappointed b/c it's a great dividend producer, but the share ratio is not too bad and US Bank is far stronger financially...so what do I know? While I have a full position at TMCV, I'm tempted.
I believe TMCV has a strong community bank competitor. Do you have any insight about their operations, SD?
I will assume that you are sitting on the veranda overlooking the ocean, with a cool drink melting in your hand.
If you are referring to Mission Oaks Nat'l Bank in Temecula, I wouldn't consider them true competition for TMCV. Mission Oaks is a much more conservative institution that dosen't venture much outside their branch footprint(SW Riverside County) or comfort zone. Good bank however, and I hold a position in their stock as well. Outside of some local construction deals, I don't think that TMCV runs into them all that much.
The major consolidation with First Community - tieing in all of their LA/Riverside/San Diego bank acquisitions under the Pacific Western Bank name - will actually help banks like TMCV as some borrower's and depositors will likely not be favorable to the new management structure and change in people, operations, proceedure, etc. Typical for the banking industry. It's hard to pin-point a true peer bank with TMCV as they are so diverse in their operations.