Flagstar Bank is a regional bank headquartered in Hicksville, New York with roughly $87.5B in assets, operating approximately 340 branches across nine states, with concentrations in the New York/New Jersey metro area, the upper Midwest, Florida, and the West Coast. Flagstar earns net interest income on the spread between loan and investment yields versus deposit and borrowing costs, supplemented by fee income from mortgage banking and treasury management. The bank's commercial lending portfolio has historically been dominated by multifamily and CRE loans — particularly rent-regulated apartment buildings in NYC — but Flagstar is actively repositioning toward a roughly equal mix of CRE, C&I, and consumer loans. The C&I buildout, launched in mid-2024, targets middle-market companies through specialized industry verticals such as healthcare, oil & gas, sports & entertainment, and franchise finance. Deposit funding comes through its retail branch network and roughly 20 private bank branches serving high-net-worth clients. Flagstar is in turnaround mode following serious credit losses in its rent-regulated multifamily portfolio, driven by NYC's 2019 rent stabilization law, which compressed borrower cash flows and led to significant loan impairments. CEO Joseph Otting, a former U.S. Comptroller of the Currency, has been running off legacy CRE exposure, paying down high-cost wholesale funding, and building out the C&I platform — all aimed at expanding net interest margins and improving credit quality as the balance sheet repositioning progresses.