ATLANTA — The Atlanta Hawks made a historic announcement on Thursday morning after revealing an exclusive multi-million dollar agreement with multiple Black-owned banks.
According to the press release, the franchise is refinancing its $35 million dollar construction loan for the Emory Sports Medicine Complex with a host of Black-owned banks.
This is the first time in history any professional sports franchise has had such a significant amount has been backed exclusively by Black-owned banks.
"The Atlanta Hawks are putting their money where their mouth is when it comes to being an ally of Black businesses, and Carver State Bank is proud to be the lead institution on this historic transaction. By selecting an all-Black bank syndicate to provide this financing, the Hawks are strengthening all of our banks,” Robert E. James, II, President, Carver Development & Chairman-Elect, National Bankers Association said.
James said this move shows the team and franchise are "real allies in the movement for racial equity."
“What we earn from this loan strengthens our collective ability to provide even more loans and financial services to Black small businesses and consumers, and we are able to show our ability to pull off a large, sophisticated loan transaction," James explained.
This momentous transaction came about through the National Black Bank Foundation. The press released said the foundation "organized a syndication team to structure the deal." It was led by the Georgia-based Carver State Bank (who served as the lead arranger).
"Today, only 18 Black-owned banks remain in the United States, according to the FDIC. And only one manages assets in excess of $1 billion. This undercapitalization has severely restricted Black banks’ ability to compete and underwrite credit," The Black Bank Fund detailed on its website.
"The Hawks are both demonstrating that Black banks can compete with money center banks for commercial loans as well as using the Club’s strong credit rating to bolster the capital cushion for Black banks so that they can better serve their traditional customer base," the released detailed.
“Today’s announcement reflects our commitment to putting our values into action--by choosing to work with Black banks and drawing attention to the need for Black banks to thrive as they work toward addressing the lack of access to capital in Black communities,” said Tony Ressler, Principal Owner of the Atlanta Hawks. “We always strive to ask ourselves how the Hawks can best help those in the community that are already helping others, and today’s announcement is another step in our commitment to use the Hawks as a positive agent of change. This is both good for the community and good business to empower new and existing Black businesses.”
"Because of the Hawks' leadership and commitment to financial inclusion, Black banks are finally playing in the major league," Ashley Bell, NBBF general counsel said.