Dime Community Bancshares has launched a new Equipment & Franchise Finance Group, led by Keith Smith, former President and Partner at Star Hill Financial, who built a platform that originated more than $2 billion in assets. The group will focus on middle‑market companies and experienced franchise operators, expanding the bank’s commercial lending portfolio beyond its traditional real‑estate and multi‑family focus.
The move is part of Dime’s broader strategy to grow organically through specialty groups and talent acquisition. In April 2026 the bank hired 22 bankers, including senior leaders from Flagstar and Signature Bank, to strengthen its commercial and industrial lending capabilities. The new vertical is expected to attract significant low‑cost deposits from equipment and franchise clients, helping the bank improve its net‑interest margin.
Dime’s Q1 2026 results showed net income of $32.8 million and diluted EPS of $0.75, with a net‑interest margin of 3.21 %. Management raised its full‑year 2026 guidance for core cash operating expenses to approximately $260 million, up from a prior range of $255–$257 million, reflecting the investment in the new group and other hiring initiatives. The bank also reiterated its goal of achieving a net‑interest margin above 3.50 % by Q4 2027.
"Keith’s track record of building and scaling platforms and his familiarity with our existing team and operations makes him the ideal leader for this new vertical," said President and CEO Stuart H. Lubow. "We are excited to add several talented individuals as we continue to execute on our growth plan. The hires align with our focus of building a diversified commercial loan portfolio." Senior Executive Vice President of Commercial Lending Thomas X. Geisel added that the new professionals will strengthen capabilities across core areas, including mid‑corporate and specialty lending, and will help scale the platform and deliver value to clients through customized credit solutions.
The launch also aligns with Dime’s planned rebrand to Dime Commercial Bank, signaling a shift toward a more commercial‑focused identity. By adding the equipment and franchise finance vertical, the bank positions itself to capture a growing market segment that offers both revenue growth and low‑cost funding, supporting its long‑term profitability and competitive positioning.
The expansion into equipment and franchise finance diversifies Dime’s revenue streams and enhances its ability to attract core deposits, which are critical for sustaining a healthy net‑interest margin. The appointment of an experienced leader and the hiring of a high‑quality team underscore the bank’s commitment to building a robust commercial lending platform.
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