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Treasury Services Could Be Catalyst for CRE Innovation

Carrie Rossenfeld Finance & Capital Markets

Treasury-services teams could be the next group of professionals to lead innovation in the commercial real estate financing realm. According to a representative of the firm, JPMorgan Chase recently created a Commercial Real Estate Treasury Services (CRE TS) team, which it defines as “a specialized team of treasury professionals to provide real estate property owners, operators, developers and investors with cash management and payment solutions that are designed to meet their specific industry needs.”

The source says the team will be led by Winston Fant and includes Ed Dagnino, Steve Johnson, and Dave Thomas, who will provide “customized treasury solutions to commercial real estate clients, including payables, receivables and liquidity management, to help reduce costs and risks while increasing efficiencies.” Additionally, the firm has hired and appointed five treasury-management officers in key markets for delivering its TS solutions and serving local real estate investors.

Johnson was hired as west group manager for real estate banking (REB) and community-development banking (CDB) treasury services. According to the representative, he is a certified treasury professional with over two decades of experience in TS; he joins the firm from U.S. Bank, where he served as California region manager in its commercial real estate deposit and payment-solutions group.

Steve Johnson | Courtesy a representative of JPMorgan Chase

SoCal Real Estate caught up with Johnson to discuss his new role, the importance of treasury-services teams to CRE, and other services that he sees coming down the pike.

SoCal Real Estate: What are you most looking forward to accomplishing in your new role with JPMC?
Johnson:
I’m proud to be a part of JPMorgan Chase’s new CRE TS team, which will be a catalyst for innovation in the CRE space. We’re enhancing the overall treasury-service experience to help real estate property owners, operators, developers, and investors realize their maximum potential. I’ll be working closely with our REB and CDB clients in the west region and I’m looking forward to bringing tailored solutions to our clients that will have a lasting impact on the way they manage their cash flow. I’m also excited to help bring the next generation of CRE TS leaders to the level needed to best serve our clients in the long term.

Please explain the importance of the treasury services team to the CRE industry.
We’re operating in an environment that’s been fused with technology across almost every industry, and as a result businesses and customers have come to expect a quick and seamless client experience. The CRE industry has long been behind the innovation curve, and developers, property managers, and funds and asset managers have needed new ideas to make their cash-management processes more efficient and contribute to their bottom-line profitability. Our team can demonstrate significant value to our clients, offering them customized treasury solutions, such as payables, receivables, and liquidity management, to help them save money and improve efficiencies.

What other new services do you see coming to the CRE industry?
I believe we’ll see a continued evolution toward more integrated virtual data-flow and storage, with cloud-based systems and the use of new revolutionary technologies, such as blockchain. Companies are becoming increasingly comfortable with automation and looking at systems and electronics beyond the hardware that sits in their offices. I’m excited to be working with a group of future-thinking individuals, while keeping our focus on the near-term results needed to get to that next level of service.

What else should our readers know about JPMC and the CRE finance sector?
We have the commitment, strong leadership, and experienced talent base to help our CRE clients reach their financial goals, providing certainty of execution in any cycle. Our head of CRE, Al Brooks, is focused on bringing the next generation of CRE innovation to the market by hiring key leaders with the skills, background, and passion needed, developing revolutionary ideas and technology, and making process improvements. With the firm’s extensive network, we’re also able to collaborate across other businesses, including investment banking and asset-and-wealth management, to offer our clients a full-suite of financial solution — whether it’s digital banking solutions, investment advice, international banking, or other services.