New York National Bank (NYNB) expects to open at the Island location the day after Chase leaves, scheduled for July.  The bank would be open Tuesdays, Wednesdays, and Saturdays.  The Saturday hours would be intended to encourage residents who normally do their banking during working hours at Chase branches in the City to keep their accounts at the Island branch.

The institution's president, Serafin Mariel, appeared Wednesday night at a meeting of Community Board 8 (CB8) held in the Chapel of the Good Shepherd, and received the Board's endorsement of the concept of a "banking development district" on Roosevelt Island.  That status, which is expected to be granted by the New York State Banking Department, required the endorsement of the Manhattan Borough Board, which was expected to be given on Thursday.  The status will allow the State Comptroller to deposit State funds in the branch at a lower rate of interest than the funds might otherwise earn.  That arrangement would provide a two-year jump-start for the branch.

Mariel told the members of CB8 that the Roosevelt Island opportunity was first brought to his attention by State Senator Olga Mendez when she learned that Chase planned to close its branch here.  Chase also contacted NYNB.  Mariel said his institution is in negotiations with Chase for a ten-year lease for the bank quarters.  The lease would include two five-year options to extend, for a total of 20 years.

"We've done our analysis," Mariel told CB8.  "We look at communities that need a bank.  This community is a very good community from an economic point of view.  If people really want the bank and they support it and the bank extends itself to give services, we can have a viable operation here."

He continued, "If all the [Chase] deposits were to stay, a $20 million branch would be fine.  Cutting that in half makes it more marginal."  The figures refer to total deposits.  Mariel said that because many of Chase's Island customers probably do their banking at Chase branches in the City, he expects only about half the business to remain at the Island branch when NYNB takes over.

In a telephone interview Thursday, Mariel said NYNB will probably have a representative at the Island's Chase branch starting next month to talk with customers and familiarize them with NYNB in an effort to make the transition as smooth as possible.  He said Chase has been very cooperative in planning for the change.

"In each of the areas we serve, we consider those 'our' communities," Mariel said.  "Roosevelt Island is a unique community, and for our philosophy, it really fits.  Since we're a community bank, we want to participate in its development."

NYNB's history is rooted in the South Bronx where, in 1982, it bought a branch about to close.  It has since sought to serve areas that constitute "underbanked or unbanked communities," according to Mariel.  He said the bank will offer all commercial bank services at competitive rates, "in some cases better than Chase."  Kids' accounts can be opened for as little as $5, "if they can sign their name," with immediate interest; the minimum for adults is $25.  The bank offers commercial loans, mortgages, and holiday savings clubs.  Mariel described the last as "not very profitable," but said that because they were in demand at NYNB's other branches, they were made available.