Spokane-based Sterling Savings Bank says it plans to open next week its first full-service bank branch in the Boise market and will consider opening additional branches there.


The new branch, Sterlings 12th in Idaho, will be located in about 5,900 square feet of leased space in the Veltex Building in downtown Boise, says Sterling President Dave Bobbitt. He says Sterling could open two more branches in the Boise market within the next two years.


Sterlings wholly-owned Action Mortgage Co. subsidiary has operated an office in Boise for 10 years and employs 15 people at a site located about two miles away, says Bobbitt. Action Mortgage will keep that office open, but also will have an office in the new bank branch that it will share with two other Sterling subsidiaries, Intervest Mortgage Investment Co., of Lake Oswego, Ore., and Harbor Financial Services, of Spokane.


Moving into Boise is a great opportunity for us, Bobbitt says. Action Mortgage has already established a customer base for us. There is a customer group that we need to supply as their depositor. Actually, we should have been there sooner.


Bobbitt says that Sterling moved three bankers into Actions Boise office in June, including Sterling Vice President Andy Phillips who, led the Sterling banking effort there. Those three since have recorded $3 million in loans and have attracted $14 million in deposits for Sterling Savings Bank, says Bobbitt.


Boise provides us with a great market and a natural loop of our branch offices, says Bobbitt. The Pacific Northwest is our market, but where well end up (expanding eventually) we dont know.


Initially, Sterling will employ five people at the new bank branch, which could accommodate as many as 15 employees in the future, Bobbitt says. Action Mortgage will add three additional employees to work out of the bank branch. Harbor, which specializes in investments such as annuities and mutual funds, will employ one person at the new bank branch, but its not clear yet how many people Intervest will employ at the new location, he says. Intervest specializes in income property loans, says Bobbitt.


Remodeling work at the new location was begun in January to create ground-floor space for Sterling. The building has condominiums on its upper floors, says Bobbitt.


Sterling, with about $3.8 billion in deposits and nearly $7 billion in assets, has 136 branches in Washington, Oregon, Idaho, and Montana.