One of downtown Traverse City’s most iconic buildings is losing its flagship tenant.

In a letter sent to local customers earlier this month, Fifth Third Bank announced plans to close its downtown Traverse City branch, located at 102 West Front Street (pictured). That branch has long occupied space in the iconic “clocktower building” at the corner of Front and Union streets – a historic landmark built by Perry Hannah, “the father of Traverse City,” in the early 1900s. Fifth Third plans to vacate the building in October.

“At 4pm on October 19, 2026, our Grand Traverse branch will close,” Fifth Third shared in the letter. “All accounts currently maintained at this branch will be transferred automatically to the Traverse City main branch, located at 3535 South Airport Road West.”

102 West Front is not the first local Fifth Third Bank branch to close in recent years. The Cincinnati-based banking giant shut down its location on East Eighth Street several years ago; the building was later converted into a private residence. Then, last fall, Fifth Third demolished its branch at 3535 South Airport, with plans to build a new “financial center” in its place.

Fifth Third also announced last months that it would be shutting down 75 branch locations throughout the state of Michigan, following the company’s acquisition of Comerica Bank. The downtown Traverse City branch was not listed among the initially announced batch of closures.

Asked whether the closure of the key downtown branch signals a pullback from the Traverse City market for Fifth Third, Shawn Niehaus, the company’s head of consumer banking, insists the opposite is true.

“Our new Traverse City financial center is a significant investment in the region and a reflection of our long-term commitment to this community,” Niehaus tells The Ticker. “By bringing our teams and clients together in a modern, purpose-built space, we're delivering the convenience and experience customers expect today while continuing to grow right here alongside them.”

According to a Fifth Third spokesperson, the new 4,800-square-foot, $6 million financial center is “one of the largest branch prototypes currently being built by the bank” anywhere in the country. Fifth Third is currently serving customers from the South Airport location at a temporary branch located at 3500 Marketplace Circle, near the Buffalo Ridge Shopping Center.

While the Front Street closure will mark the end of Fifth Third consumer banking in downtown TC, the spokesperson says the bank is “actively evaluating options to support our commercial and wealth management clients with offices in the downtown area.”

The consolidation will leave just two proper Fifth Third Bank branches in Traverse City. The other, located at the base of Holiday Hills, will “remain unchanged,” per Fifth Third’s spokesperson.

Amidst changing financial trends, including the rise in digital banking and a decreased reliance on cash, the United States has lost an average of 1,646 bank branches annually since 2018, according to a 2024 study by Self Financial. That report theorized that in-person bank branches “could be extinct by 2041.” Per its website, Fifth Third still operates nearly 3,500 branches across 15 states, including 251 in Michigan.

Fifth Third’s exit from 102 West Front Street means the end of an era for the building, which has always been occupied by a bank. Adam Miller, managing partner for the Traverse City-based Miller Investment Company – which bought the building in 2018 – says he’s excited to explore new frontiers for the iconic spot, noting that “this transition opens the door for us to pursue some of our more ambitious plans for restoring and reimagining the property.”

“The iconic clocktower property was built in 1904 by Perry Hannah as the home of Traverse City State Bank, and designed by his son Julius,” Miller says. “For its almost 120 years, it was owned by the banks that occupied it. While it's too early to share specifics, we're excited about what comes next, and we're committed to a future for the clocktower building that honors its history and adds to the vitality of Front Street. We look forward to sharing more in the months ahead.”