By the way in most cases today banks do not own the buildings from which they operate .
They lease them . They find a developer who will build the branch bank or office building to their specifications and lease the building for 30 years . They usually build in a " lease buy-out option " for the 10th and 20th anniversaries in case the nature of the local market changes .
Reason being given the " commodity " nature of banking no finical institution today wants all of the brick and mortar capital tying up their balance sheets .
Today more and more banks are leasing everything of a capital nature including all office furniture , office equipment , phone systems and computers . If they could get away with it they would " lease " their employees .
Believe it or not there are many small to medium size companies today which do lease their employees . However the fiduciary , regulatory and legal construct of the banking business does not give rise to such an arrangement except for some technology divisions .
|