One of Dayton's oldest credit unions will embark on its first expansion in almost two decades

Dayton Business Journal - by Katie Maurer DBJ Staff Reporter

Dayton Firefighters Federal Credit Union is adding 1,500 square feet to its existing 3,000-square-foot branch on Patterson Boulevard near the Oregon District.

Dayton Firefighters is sinking money into the expansion because of growth in members, assets and the services it offers its customers. It has grown from offering only savings and checking accounts to credit cards, mortgage loans, electronic services and a car buying program.
Offering a wide range of products means the credit union needs more space for back office functions and additional offices, said Charlie Plassenthal, president and chief executive officer of the credit union.
The $440,000 project, built and designed by Cincinnati-based K4 Architecture LLC, includes the addition as well as renovations of the current building and furnishings. Construction began earlier this month and is set to be completed in four to six months, Plassenthal said.

Plassenthal said the addition to its sole branch is larger than the credit union's first location on Third Street, which was built in 1984 and was only about 1,300 square feet.
The credit union is looking to add about three employees to its current 12 by the end of the year as it is expanding its product lines and has plans to grows its asset and member base during the next five years.
Current assets for Dayton Firefighters Federal are at $36.73 million, but Plassenthal said by 2013 the financial institution would like to hit the $50 million mark.

Dayton Firefighters Federal was established in 1935 and was originally only open to Dayton firefighters, their families and retired firefighters.
To continue growing in the market and remain competitive, the credit union received its Montgomery County charter in October 2003 and opened membership to all 30 fire departments in the county and to anyone who lives, works, worships or goes to school in the county.
From 2003 to 2007, membership increased 10 percent, jumping from 3,031 members to 3,357 members. It also managed to increase its membership from 2006 to 2007 by almost 50 members.
Assets notched up almost 40 percent to $36.73 million from $26.38 million from 2003 to 2007 and increased almost 4 percent from $35.33 million in 2006 to $36.73 million in 2007, according to data from the National Credit Union Administration.

Plassenthal said the credit union plans to tap into the Oregon District and downtown businesses through marketing to gain them as members and grow its assets. It also wants to increase penetration with its current members by getting them to use Dayton Firefighters Federal for all of their financial needs through new marketing campaigns.
Plassenthal said no additional branches are in the works until the credit union reaches the $50 million mark in assets.
" Once we reach that goal we would feel comfortable putting another branch out there," he said. "We think we are in good shape with the addition."

Scott Rutherford, president and chief executive officer of Dayton-based CODE Credit Union Inc., said he understands Plassenthal's decision to only invest in an addition to the existing branch, as his credit union dealt with the same situation about 10 years ago.
CODE built its office on Monument Avenue in the mid 1990s and began expanding there until two years ago when it started to add other branches in the market.

" It helped us bridge the gap," Rutherford said. "It was a great idea for us but at some point this location did not support anymore growth which is why we expanded outward."

E-mail kmaurer@bizjournals.com. Call (937) 528-4427.

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James E. Mahan

Charlie Plassenthal, chief executive officer and manager of the Dayton Firefighters Federal Credit Union, stands outside its offices, which are undergoing a 1,500-square-foot expansion.