Coastal Bank was not regulated by the Florida Office of Financial Regulation, and the FDIC published only a brief analysis of its failure.
Launched in 1999, the bank grew to have four offices — in Cocoa Beach, Palm Bay, Port St. John and Merritt Island — and $160 million in assets at its peak.
Like most other failed Florida banks, Coastal's focus on making loans to commercial developers and land speculators did it in.
The FDIC said the bank failed to measure, monitor and control the inherent risk of its loans, while its board of directors "did not sufficiently challenge or alter the strategies of the thrift's president."