Thornburg sets eyes on future.

Byline: Wendy Brown

Sep. 8--The Chinese character for crisis is the same as the one for opportunity, he said, so when the dust settles in the mortgage industry, Thornburg Mortgage will have a lot less competition, and a lot more people will know about the companyand its excellent mortgage portfolio.

Thornburg Mortgage will share the 102,000square-foot campus on North Ridgetop Road near N.M. 599 with two other firms Thornburg founded: Thornburg Cos., of which he is chairman and chief executive officer, and Thornburg Investment Management.

The groundbreaking was a positive note in a tough spate of weeks for Thornburg Mortgage, which saw its stock slide from $18.06 to $7.61 a share from Aug. 10 to Aug. 14. And the decline

occurred after several analysts downgraded the stock because they were concerned the company would not be able to borrow money in the tumultuous mortgage industry.

That surprised many people because Thornburg specializes in adjustable-rate mortgages of more than $417,000 to wealthy people with excellent credit.

The company's originated loans had a default rate of less than 0.2 percent in the first quarter of this year, well below the industry average for prime ARM loans, according to Thornburg.

In recent weeks, the company has sold stock and securities to raise money, and was able to borrow $1.4 billion this week, according to the company. Its stock was up 56 cents Friday to $12.62.

The Thornburg Cos. employ a total of 358 people, many of whom were at the groundbreaking. Blake Gordon, who has worked in Thornburg Mortgage's marketing department for two years, said she thinks the building's design is great, and she and other employees look forward to working there.

Thornburg Mortgage has grown exponentially in recent years, Gordon said, and its current quarters are getting crowded.

Mayor David Coss, New Mexico First Lady Barbara Richardson, City Councilor Patti Bushee, several local bank executives and other members of Santa Fe's business community also attended. The crowd gave Thornburg a standing ovation, clapping continuously for about 30 seconds.

Coss said he supported putting the city's name on $45 million in industrial revenue bonds for the companies in part because they provide a lot of high-paying jobs in Santa Fe.

But the companies aren't just a contributor of money to the community, the mayor said.

They also are good community partners that are involved in more than 70 nonprofit organizations in Santa Fe, he said.

Coss said he also was impressed because no one from Thornburg ever threatened to leave Santa Fe if the city did not approve the industrial revenue bonds, which give the company a significant property-tax benefit.

Richardson and Coss praised the company for planning to build a Leadership in Energy and Environmental Design -- or LEED -- gold-certified building. Thornburg said the building would use half the water of most contemporary office buildings of its size as well as 40 percent less energy.

Don Padgett, president of Century Bank in Santa Fe, said the groundbreaking is a sign of progress. "It's good for Santa Fe because Thornburg is a clean, green and prosperous company,"he said. Ron Chavez, president of First Community Bank in Santa Fe, said the construction is a big capital investment and shows the Thornburg Cos. have a strong commitment to Santa Fe. He said the companies are known throughout the country and will bring the city more national attention.

In his talk, Thornburg deviated significantly from the copy of his prepared speech the Thornburg Cos. had given to the press.

As one example, he told how he had started the companies 30 years ago in a tiny, two-person office at 444 Galisteo St.

At that time, Federal Express had just begun, and there were only 300,000 fax machines in the country, he said. Operating from Santa Fe is much easier now with the Internet and other technological advances, Thornburg said.

He also noted that back when he started doing financial business in Santa Fe, he had to be careful about how he presented himself in New York City financial circles, though now he might be able to be a little more casual. "When I went toNewYork, I always made a point of wearing a three-piece suit, because I think there was an expectation that I would be wearing a poncho and have pottery in my hands," Thornburgsaid.

Contact Wendy Brown at 986-3072 or wbrown@sfnewmexican.com.

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