Gov. Dannel P. Malloy Monday announced the state Department of Economic and Community Development (DECD) will provide Total Mortgage Services, LLC with a $3.5 million loan to help the company establish its new national headquarters at 185 Plains Road in Milford.
The company moved into the new building on Jan. 1, according to a company spokesman. The state money is for job creation, he says.
The incentive package, which was approved during a recent meeting of the State Bond Commission, will create at least 140 new jobs and retain 140 existing jobs for Connecticut residents.
“One of my economic development priorities is to build on our strengths as a state, including the established industries that are driving Connecticut’s economy,” said Malloy.
“By supporting companies like Total Mortgage Services, we are developing the industry infrastructure and workforce of our financial services, bolstering our standing as a national leader in this highly competitive sector and creating hundreds of good-paying jobs with good benefits in the process.”
Total Mortgage Services plans to double in size over the next five years and will invest over $5.2 million to purchase, improve and equip its national headquarters in Milford. The DECD funding will finance leasehold improvements and new equipment in support of Total Mortgage Services’ expansion project.
“The state's support has been indispensable to me at this crucial stage in Total Mortgage's nationwide growth,” said President and CEO John Walsh. “The funding has enabled us to consolidate our operations in a building here in Milford that was ready for new ownership, and do it the way it should be done.
"And this isn’t just a win for my company our employees and their families. It shows that state government and small entrepreneurs can work together to compete and win in the national marketplace.”
DECD will provide the $3.5 million loan with no interest for the first 2 years and an interest rate of 2 percent for the remainder of the 10-year term. Total Mortgage Services will be eligible for $1.5 million in loan forgiveness if it meets its obligation of retaining 144 full-time positions at the company and creating 140 new jobs by 2018.
“This is great news for Milford,” said State Sen. Gayle S. Slossberg (D-Milford). “Having Total Mortgage headquartered here will provide jobs for our citizens and growth for our community at large. This is a superb example of a positive partnership between business and government.”
“I am very excited to see Total Mortgage continue to grow, and more importantly to do so here in Milford,” said State Rep. James Maroney (D-Orange, Milford). “They have been a great member of our community and I know they will continue to be so. The jobs that they add will be good jobs which will be good for both our community and the entire state.”
“I’m thrilled that Total Mortgage Services’ home for its National Headquarters is Milford,” said Milford Mayor Ben Blake. “With a vibrant business community and a streamlined permitting process, Milford is the ideal place to work, live and play.
"Total Mortgage will benefit from our exceptional workforce, as well as our easy access to railways, roadways and other major metropolitan areas. We look forward to supporting and partnering with Total Mortgage Services, LLC in its future growth and expansion.”
Founded in 1997, Total Mortgage Services is a direct-to-consumer and wholesale mortgage lender. In 2010, the company launched its wholesale lending platform TMS Funding. Total Mortgage Services has held a Better Business Bureau "A" ranking since 1997 and has made the Inc. 500 fastest-growing companies in the U.S. each of the last four years, including recognition in 2012 as one of the companies that are generating the most new jobs.
Today, Total Mortgage is licensed in 30 states as well as the District of Columbia and is one of the leading independent mortgage banks in the U.S.
“DECD is proud to support a local company like Total Mortgage Services, which has called Connecticut home since it began 15 years ago,” said DECD Commissioner Catherine Smith. “The company has been here for its customers and weathered the mortgage crisis of 2008 by originating only quality loans, providing top-level customer service, and building an excellent technology platform.
"Now that the company is ready to take the next step with its $8.75 million expansion plan, DECD is happy to be able to ensure the company stays and grows in the state.”