Building for What's Next: NBT Bank's Regional Growth

Summary

Podcast Summary: Talk CNY – Building for What's Next: NBT Bank's Regional Growth

Host: Katie Ziolkoski (Director of Communications, CenterState CEO)
Guest: Dave Cavney (President, Central New York, Southern Tier & Pennsylvania, NBT Bank)
Date: August 12, 2026
Episode Duration: ~16 minutes

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Episode Overview

This episode of Talk CNY focuses on NBT Bank’s recent strategic growth, particularly after its expansion into the Western New York market through a merger. Dave Cavney, President of the region for NBT Bank, shares insights on the merger's impact, the evolving economic ecosystem across New York, opportunities and challenges in real estate and housing, and NBT Bank’s community involvement and collaboration. The conversation also highlights how banking needs are shifting in Central New York’s growing marketplace and the region’s collaborative efforts to address housing shortages.

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Key Discussion Points & Insights

1. NBT Bank’s Expansion into Western New York

Timestamp: 00:55 – 02:23

• Merger Impact:
  Dave explains that the merger enabled NBT Bank to establish a strong presence in Rochester and Buffalo, previously untapped markets for their retail and commercial banking:

  "Being able to enter the Rochester and Buffalo markets with very meaningful branch systems has been fantastic. … It's worked out really well for us." (01:22 – Dave Cavney)

• Cultural & Geographic Fit:
  Both the company culture with new colleagues and the physical geographic expansion have been highly positive.

2. Ecosystem & Corridor Connectivity

Timestamp: 02:23 – 03:19

• Three-Way & Route 81 Corridors:
  The bank’s growth tracks the economic activity along key transportation corridors:

  "I think I started paying attention to this as part of the technology evolution across the three way corridor… There’s certainly a connective corridor right there." (02:45 – Dave Cavney)

• Regional Integration:
  Many NBT Bank customers operate across multiple cities, heightening the importance of a broad regional presence.

3. Housing and Real Estate Market

Timestamp: 03:19 – 06:59

• Rising Demand:
  Dave notes an uptick in demand for both commercial and residential real estate lending, partially tied to large corporate announcements (e.g., Micron):

  "We’ve always been a large real estate lender... But I've started to see an increase in the need for that." (03:44 – Dave Cavney)

• Central New York Housing Fund:
  Collaboration around housing is intensifying:

  "To have Center State... coordinate that fund and bring all the community banks together... to have everyone work collaboratively for that common goal, really important." (04:26 – Dave Cavney)

• Unprecedented Collaboration:

  "We've had collaborative, we partner up with banks quite a bit, but not to this level. This is something that has been really neat to be part of." (05:07 – Dave Cavney)

4. Community Banking Initiatives

Timestamp: 06:36 – 07:14

• NBT Bank remains active in all segments of real estate financing: market rate, multifamily, affordable, and workforce housing.

5. Challenges: Fraud and Client Needs

Timestamp: 07:14 – 08:49

• Fraud Prevention:
  Fraud is a persistent and growing threat for NBT and its customers:

  "It can really impact a business. If you get hit with fraud, it can shut you down... So that's one of the things that... we're well positioned to do." (07:22 – Dave Cavney)

• Product & Service Evolution:
  Customer requests for an "escalated retail experience" led to the launch of NBT Private Bank, a more personalized suite of services for business owners and individuals.

6. NBT Private Banking Initiative

Timestamp: 08:18 – 09:29

• Holistic Service Model:

  "A business owner that's looking for one point of contact for their daily banking needs... it's more holistic than that. It's their entire banking profile." (08:55 – Dave Cavney)

7. Regional Optimism and Growth

Timestamp: 09:29 – 10:14

• Regional Transformation:
  Dave highlights the excitement and optimism surrounding several economic developments, including major expansions (Turning Stone Resort, Chobani, industrial projects in Binghamton):

  "It's a very exciting time. There's a lot of optimism out there and we're feeling that we're actually seeing it from a customer standpoint." (09:56 – Dave Cavney)

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Collaboration with CenterState CEO

Timestamp: 11:08 – 12:09

• Strategic Value:
  NBT Bank’s close involvement with CenterState CEO provides access to consistent collaboration and communication—key for regional growth:

  "Consistent collaboration among competitors, business associates, business partners, and also ongoing communication... has been really important for us organizationally." (11:42 – Dave Cavney)

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Community Impact & Partnerships

Timestamp: 12:18 – 13:59

• Philanthropy and Engagement:
  The bank prioritizes lending for regional economic vitality as well as community investments, grants, and support:

  "A rising tide lifts all of our boats. And as a community bank, yes, we succeed when our communities succeed..." (12:36 – Dave Cavney)

• On Point for College:
  NBT supports educational initiatives and job placement through direct involvement and funding for On Point for College:

  "We've spent a lot of energy... It's very meaningful to make sure that the residents of Central New York are going to be well represented as we go forward." (12:58 – Dave Cavney)

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Looking Ahead: 2026-2027 Goals

Timestamp: 13:59 – 15:49

• Purposeful Growth:

  "It needs to be the right type of growth, meaningful for our customers... As they grow, we grow." (14:24 – Dave Cavney)

• Forward-Thinking Solutions:
  NBT Bank seeks to anticipate client needs (e.g., fraud insurance, dynamic product offerings) and tailor solutions accordingly. Dave reiterates the importance of evolving with customers and providing value beyond pure banking transactions.

• Continuous Engagement:

  "...working more closely with our customers than we ever have before." (15:41 – Dave Cavney)

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Notable Quotes & Memorable Moments

• On Regional Ecosystem:
  "There’s certainly a connective corridor right there. So it keeps us all very well positioned to think a little bit larger scale than maybe we have in the past."
  — Dave Cavney (02:45)

• On Unprecedented Collaboration:
  "Not to this level. This is something that has been really neat to be part of... beneficial for the entire community, regardless of what bank's name is on the branch."
  — Dave Cavney (05:07)

• On Community Purpose:
  "A rising tide lifts all of our boats. And as a community bank, yes, we succeed when our communities succeed."
  — Dave Cavney (12:36)

• On Optimism:
  "I keep feeling this optimism across our geography that really seems to be coming to fruition..."
  — Dave Cavney (14:34)

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Timestamps for Important Segments

• Expansion Recap & Lessons Learned: 00:55 – 02:23
• Ecosystem & Corridors: 02:23 – 03:19
• Housing Fund Collaboration: 04:02 – 05:36
• Fraud Challenges: 07:14 – 08:03
• NBT Private Bank Launch: 08:18 – 09:29
• Regional Economic Developments: 09:29 – 10:14
• Community Partnerships & On Point for College: 12:18 – 13:59
• Goals for Remainder of 2026/Looking Ahead: 13:59 – 15:49

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Episode Tone

The conversation is positive, forward-looking, and collaborative, reflecting the optimism and sense of unity among business and community leaders in Central New York as they actively shape the region’s future. Dave Cavney consistently emphasizes partnership, the value of community banks, and the collective effort required for sustainable economic growth.

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Transcript

[Katie Ziolkoski]

This is Talk cny, a semi monthly podcast by Center State CEO. Recording in the production studio at Center State's Inspire Innovation Hub. Center State CEO is Central New York's premier leadership and economic development organization. Join us as we meet the people and explore the projects driving the regional economy forward. This is Talk CNY presented by NBT Bank. I'm Katie Ziolkoski, Director of Communications at

Center State CEO and your host for.

For Talk cny. On this episode we welcome a very

special guest, Dave Cavney, NBT Bank's President of Central New York, the Southern tier and Pennsylvania.

NBT bank is our presenting sponsor for this podcast and we are so grateful to them and all of their support. On this episode we discuss NBT Bank's recent growth and how they're playing an

active role in our community's development. Dave, thanks so much for being here. Always great to have you on.

[Dave Cavney]

Thank you, Katie. A pleasure to be here again.

[Katie Ziolkoski]

So last year when you joined the podcast, NBT bank had recently just went through a merger expanding into western New York. So it's been about a year now since that. Can you tell us a little bit about how it's been going, what it's like expanding into that market?

[Dave Cavney]

Katie, it's been great. When we look to merge with partners banking partners, we look at culture and geographical fit. So the culture has been fantastic. The folks that have joined our as our teammates at mbt, it's been, it's been a very high level experience. I think from both standpoints. Geographically, our farthest point west in upstate New York was Camillus. So being able to enter the Rochester and Buffalo markets with very meaningful branch systems has been fantastic. Two very large cities, we weren't there in a, from a retail and commercial banking standpoint. So it's worked out really well for us.

[Katie Ziolkoski]

What have you learned? I mean, like you said, two large cities, two new cities in the last year. I mean, what's been some of the greatest lessons that you've had through this process?

[Dave Cavney]

I would tell you that there's a lot going on in the western part of the state. You know, we think about, you know, our individual cities, you know, central New York, Syracuse area, Mohawk Valley, Binghamton. But when you start to think about the larger ecosystem, the economic system across the state, there's a lot involved there. There's a lot of companies here in Central New York that actually have locations out in western New York and eastern New York and vice versa. So it's been great to work with our customers as they've you know, moved some, some of their business out to the western part of the state. We're right there well positioned. So it's fantastic.

[Katie Ziolkoski]

I mean you are one of our partners, one of the businesses members that are strategically moving across the three way corridor. I mean that strategic growth is something that Center State has definitely paid attention to and is trying to strategically move around. What has it been like as you've helped other companies who are also growing out that way and seeing the connections across the three way?

[Dave Cavney]

No, it's great. And I would tell you, I think I started paying attention to this as part of the technology evolution across the three way corridor. You know, we saw it out in Albany and now Central New York, Mohawk Valley and you think about Batavia with Edwards vacuum. There's certainly a connective corridor right there. So it keeps us all very well positioned to think a little bit larger scale than maybe we have in the past. And I would even argue that the Route 81 corridor up north and Binghamton and down in Scranton, same situation. There's a lot of business that has played back and forth in various cities.

[Katie Ziolkoski]

So growth is definitely a big theme here. How else has your landscape changed in the last year? What are some of the opportunities you're looking at now that maybe you weren't looking at last year?

[Dave Cavney]

You know, I would tell you that we're pretty stable as far as how we operate as a bank. We're very heavy into commercial and industrial banking, a lot of retail banking wealth and insurance. Private banking now is a new offering. I think I've seen an increase in real estate. We've always been a large real estate lender, commercial real estate, residential real estate. But I've started to see an increase in the need for that. We've talked a lot about that at various Center State functions, but we're actually seeing that across both Central New York and some of the other cities we operate in. So we're trying to be a major player in that arena and we have been for years.

[Katie Ziolkoski]

I mean you definitely are. And you've been a huge partner in Center State CEOs strategic housing work, including the Central New York Housing Fund. So why was it important for you, NBT bank and a lot of the other financial institutions across the Central New York region to get involved in the housing fund and really put dedicated funding into creating the housing that we need right now?

[Dave Cavney]

You know, we've talked about it since the Micron announcement that there's a need for housing. There was before the announcement and there certainly is after. Haven't Quite seen from my standpoint, the increase in housing. So to have Center State, you know, coordinate that fund and bring all the community banks together and, and some other banks, some larger banks are involved obviously, and Micron and others. But to have everyone work collaboratively for that common goal, really important. It's a, it's a layer of capital. A lot of the developers need to really scale up some of the projects they're looking at. So it's going to be very important as we move forward.

[Katie Ziolkoski]

You've been in the banking industry for a long time. Have you ever done something at this level of collaboration before?

[Dave Cavney]

A long time. Meaning 37 years. Is that what you're getting at, Katie? No, I, we have had collaborative, we partner up with banks quite a bit, but not to this level. This is something that has been really neat to be part of. I think as we look forward and to be able to put a fund together that's going to be collectively beneficial for the entire community, regardless of what bank's name is on the first of the branch. I, I think it's really important for us as we roll forward now, lending

[Katie Ziolkoski]

individually to folks, whether it be commercial or individual homeowners. What are you seeing that market look like right now? How is, how are your clients kind of coming in and saying, I need this loan for this piece of real estate?

[Dave Cavney]

We, we're seeing a large increase in demand for both real estate as well as other commercial purposes, acquisitions, machinery, equipment, a lot of different avenues. But on the real estate side, I would say starting this year, I think it kind of coincided with the groundbreaking up north, actually, I think there's been kind of this wait and see attitude of let's make sure we're skeptical Central New Yorkers. Let's make sure everything's rolling. But once that happened, we've started to get a lot more inquiries as to our appetite for financing. And you know, that's one of the things we do very well. So we're well positioned for that.

[Katie Ziolkoski]

Now, what are some of the other ways that NBT bank is involved in helping to create more housing in the community? I know that the Central New York Housing Fund is not your only initiative and project to help increase housing supply.

[Dave Cavney]

No, we, we have separate commercial real estate lenders in, in all of our markets in which we operate. So we have a, we have two or three here in Central New York and we, so we, we've been doing it right, right along, but we focus on, you know, residential real estate market rate, multifamily affordable housing, workforce housing you know, we run the whole gamut as far as financing for those opportunities, and we'll continue to do so going forward for sure.

[Katie Ziolkoski]

Now, not just in real estate, but I'm sure that you're facing some bottlenecks, some challenges along the way. How are you finding solutions to these challenges and what have been some of the creative ways that you've kind of been able to reach answers?

[Dave Cavney]

Yeah, I would say maybe not on the bottleneck side, but on the challenges. One thing that continues to plague our, and therefore us as their financial partner is fraud. You know, we are seeing that. I think I've talked about it in the past with you. It's unfortunate, but the fraudsters are out there and we're working very hard as an industry and as a bank. NBT has a lot of protection as far as services and products to offer our clients. So we're holding hands, trying to work very closely with our customers because it can really impact a business. If you get hit with fraud, it can shut you down. It can, you know, it could be a large financial loss, could be reputational. There's a lot of things that can happen. So that's one of the things that, I guess it's unfortunate, but fortunately for us, we're well positioned to do that, and we've got a great team in place to work with our customers and try to get that solved before it happens.

[Katie Ziolkoski]

Now, what are you hearing from clients that they need? Obviously, fraud protection, but are there other things that the community is coming to you saying, we would like more of this. We would love this service. Is there something that you're kind of eyeing not only in geographic growth, but in service growth?

[Dave Cavney]

We, I would say 18 months or so ago, we initiated the, the NBT private bank offering. We had a lot of business owners that were looking for an escalated retail experience. So we started that about 18 months ago, and that's gone exceedingly well. We've got a team right here in central New York in our. In our headquarters here in Syracuse that. That covers a larger Central New York region. And that's something that our customers had asked us for. And we, we, we set that up, we scaled it up, and we're having a lot of success with that right now.

[Katie Ziolkoski]

Can you tell me more about that? What is an escalated retail experience? Private banking? What is the benefit of that? Who's looking for that?

[Dave Cavney]

Yeah, so in this case, maybe just as an example, a business owner that's looking for one point of contact for their daily banking needs. They're opening new accounts Maybe some family needs some, some borrowing needs some wealth management so we can marry that all together and have a one or two points of contact that are ready to go. They don't have a wide expanse list of customers so they can really focus on taking care of their customers. So it's an elevated, you know, I call it a retail experience, but it's more holistic than that. It's their entire banking profile.

[Katie Ziolkoski]

That's great. Yeah, I mean, we've mentioned it a few times. The growth that MBT bank is seeing. What are just some of your reactions as a leader of the, the Central New York, the Southern tier and the Pennsylvania region to seeing this growth across the region?

[Dave Cavney]

It's awesome. I mean, I've lived here and as you pointed out, I've been doing this a long time. But you know, we're starting to see, and we have been seeing it, but when you start to think about looking at the Route 81 project, it's really coming to fruition and you see the groundbreaking. You hear about a turning stone expansion, Chobani expanding over in the Rome area. I was in Binghamton last week and there's, there's an awful lot of projects going on there. So there's, I think it's a very exciting time. There's a, there's a lot of optimism out there and we're feeling that we're actually seeing it from a customer standpoint.

[Katie Ziolkoski]

Well, Dave, we will have more to talk about in just a moment but first we are going to take a quick break with a word from our presenting sponsor, NBT Bank.

[NBT Bank Announcer]

Next level success calls for next level banking. That's why we created NBT Private Bank. An elevated banking experience of member exclusive products and services curated with the help of a single dedicated point of contact with our competitive suite of specialty deposit lending, wealth management and insurance solutions. We're here to help take your personal and business goals to the next level. Visit www.nbtbank.com private bank to get started.

[Katie Ziolkoski]

Welcome back to Talk CNY presented by NBT Bank. I'm Katie Siolkoski, Director of communications at Center State CEO and your host for TalkCNY.

On this episode we are joined by

NBT Bank's Dave Cavney. Dave, thank you for being here.

[Dave Cavney]

Thanks Katie. Great to be here.

[Katie Ziolkoski]

We've talked a lot about NBT Bank's growth, some of your strategic priorities, but you are a close partner to Center State CEO. You're involved in a lot of our work. You help inform a lot of our work as a board member and as a longtime member, what do you get out of being a Center State CEO member? Why is it important to you to be involved in this network?

[Dave Cavney]

You know, I think we're seeing the strength of being involved with Center State and the existence of this organization now more than ever. If you think about. We just talked about the housing fund that was really orchestrated by some. A lot of discussions at the Center State level, in my opinion. So I think being part of this group where you can have consistent collaboration among competitors, business associates, business partners, and also ongoing communication, there's a lot going on across the state. There's a lot going on in Central New York. And to have that consistency of messaging and collaboration amongst the stakeholders has been really important for us organizationally. It's been great for me to experience personally as well.

[Katie Ziolkoski]

What does it mean to you to be actively involved in the community's growth? What are some of the projects you take on in order to help see the whole region grow and thrive?

[Dave Cavney]

You know, we spend a lot of time focusing on banking initiatives, so I would argue that a lot of our lending helps the community economically thrive. But we also pay an awful lot of attention to our community's existence as far as sponsorships, grants, donations, some capital projects. And part of that is to make. Making sure that. I've said it before, a rising tide lifts all of our boats. And as a community bank, yes, we succeed when our communities succeed, so that's great. But we also want to make sure we're giving back in those communities. So we spend a lot of time working with various organizations. I think we talked about in the past our affiliation with On Point for college.

[Katie Ziolkoski]

Yes, we have.

[Dave Cavney]

We spent a lot of energy. We've got a few board members involved with On Point where there's been a large financial commitment. And it's very meaningful to make sure that the residents of Central New York are going to be well represented as we go forward. And there's a lot of job creation and the economy thrives here.

[Katie Ziolkoski]

How has that collaboration with On Point been going?

[Dave Cavney]

It's been great. It's been great. The. The. On Point scaling up our. One of our board members and past CEO John Watts, heavily involved, as well as one of our teammates in Syracuse. So we're very close to it. And I think as we move along, there's an On Point office here in Syracuse, which is where they're really based, and then over in Utica. So it's a nice geographical match for us. And to see the. The projects we just spoke about with Chobani wolfspeed, Micron, as well as a lot of other private investment, private companies. There's a lot going on. So to try to position our residents for those opportunities, wherever that may be and whatever that may mean, we want to be part of that now.

[Katie Ziolkoski]

It's hard to believe, but we are more than halfway through 2026, and it's very clear that you all have been busy over at MBT Bank. I think a lot people in this region have been busy throughout this year. But what are your goals for the end of the year and into 2027? What are you hoping to see accomplished by the end of the year? What are some of your goals even farther out?

[Dave Cavney]

That's a great question. And I would maybe argue it's a little bit of a moving target. But we've, you know, we've experienced a lot of growth. We've talked about growth, and it's. That's great. But it needs to be the right type of growth, meaningful for our customers. We, We've, you know, we've acquired a lot of new customers, which has been fantastic. So we have been busy, but as we think about the rest of 2026, you know, I keep feeling this, this optimism across our geography that really seems to be coming to fruition as far as, you know, needs as a bank for our customers to grow. So as they grow, we grow. So it's really going to be thinking about our customer base. What products, what services do they need, how do we fit within that, that scheme, if you will, to make sure we're supporting them both financially and from a standpoint of making their life a little more efficient, you know, both as retail customers, as consumers and on the commercial side. You know, we work a lot with our insurance group and we talked a little bit about fraud. We're partnering up with our insurance team to make sure a lot of our customers are protected with, you know, fraud insurance and things like that. So it's really thinking beyond what's in front of you today and trying to get past that and focus on what, what might this company need, Thinking about the industry. Where have we seen some changing dynamics in that industry with other customers maybe getting out, getting out ahead of it. Excuse me, with, with that particular customer. So it's, it's working more closely with our customers than we ever have before.

[Katie Ziolkoski]

A challenging project, but an exciting one at the same time.

[Dave Cavney]

Absolutely fun.

[Katie Ziolkoski]

But, Dave, it's always great to have you on. Thank you so much for being here today. It was great talking with you.

[Dave Cavney]

Been great.

[Katie Ziolkoski]

Thank you Katie Talk cny, presented by NBT bank, is recorded in the production Studio at Center State's Inspire Innovation Hub. Talk CNY is available on all major podcast platforms or centerstate CEO.com Additional content and clips can be seen across Center State CEOs social media channels. For new episode reminders, be sure to subscribe in your favorite podcast listening app and don't forget to leave a quick review or 5 star rating. Thanks for listening to Talk CNY, presented by NBT Bank.