ST. CROIX — Banco Popular de Puerto Rico will close its Sunshine Mall branch on St. Croix at the end of the year, citing declining transaction volumes and profitability, increased security risks, and limitations involving the branch property.
The branch will close Monday, December 28, according to information provided by Mariela Casellas Méndez, senior corporate communications officer for Popular Inc.
“The decision was made due to sustained declines in transaction volumes and profitability, as well as increased security risks associated with the location,” Casellas Méndez wrote in an email response to WTJX.
Additionally, she said changes in customer behavior and demographic shifts have reduced in-branch demand. She also noted the physical condition and configuration of the premises present limitations in delivering the bank’s current service model and brand standards.
Customer notification letters were issued September 25, according to Casellas Méndez. The letter indicated that customers who use the Sunshine Mall branch will be directed to Banco Popular’s newly constructed Sunny Isle branch, which will become the bank’s primary branch. Customers also can use the bank’s Orange Grove branch.
Popular opened the new Sunny Isle branch in December 2025. The 6,500-square-foot facility offers personal and business banking, loans and investment services, along with teller stations, drive-through service, and ATMs.
No employees will lose their jobs as a result of the closure, according to Casellas Méndez.
“Employees will not be laid off and will instead be reassigned to other branches or business units on St. Croix,” she said.
Popular also has leased space for a Smart ATM within two miles of the Sunshine Mall branch, according to Casellas Méndez.
During a Virgin Islands Banking Board meeting in September, Popular officials said the Sunshine Mall branch had approximately $35 million in deposits, compared with about $125 million at an average branch. The branch handled approximately 37% of the transactions of an average Popular branch, according to information presented during the meeting.
Bank officials also said customers increasingly prefer the Sunny Isle location. They reported concerns about safety at the Sunshine Mall property, including vagrancy and interactions with customers around the branch. Officials also cited water intrusion issues and other property needs that would require substantial investment.
Popular officials said relocating the branch to another nearby site would cost millions of dollars and would not provide a sufficient return.
Casellas Méndez said the bank’s decision to consolidate operations at Sunny Isle is part of a broader strategy focused on providing excellent service at spaces that are “modern, comfortable, and strategically located.”
“Moving services over to the Sunny Isles branch allows Popular to preserve operational effectiveness, enhance customer experience, and mitigate ongoing financial, operational, and security-related risks,” she wrote.
In addition to the two remaining branches on St. Croix, the bank will continue operating four branches on St. Thomas: the Main Office in Altona, Fort Mylner in Charlotte Amalie, Sugar Estate in Lockhart Gardens, and Red Hook. Casellas Méndez said Popular does not anticipate any other branch closures in the Virgin Islands.
Banco Popular de Puerto Rico was founded in 1893 and is the principal subsidiary of Popular Inc., according to the bank’s website. The bank is a major financial institution in Puerto Rico by assets and deposits and provides retail, mortgage, and commercial banking services in Puerto Rico and the U.S. Virgin Islands. Popular also serves customers on the U.S. mainland through Popular Bank, a New York-chartered bank with branches in New York, New Jersey, and Florida.