For Wachovia, the deal beefs up its commercial risk management services division, which has been growing since its November 2000 acquisition of Tampa, FL-based DavisBaldwin Inc. Community development finance is among the bank's mix of commercial services.

For HDA, the alliance with Wachovia opens a new revenue growth avenue, giving the firm access to the bank's roster of affluent commercial and individual clients.

"Wachovia brings additional resources to help us achieve the next level of growth," HDA president/CEO John C. Hamilton says in a prepared statement.

In addition to his current duties, Hamilton will serve as managing director of the acquired firm. HDA will remain based in Atlanta and plans to grow its 115 person staff, according to the company's statement.

D. Gary Thompson, CEO of Georgia and Florida banking for Wachovia, calls the merger, in the statement, "another step in Wachovia's strategy to provide high-value insurance services to businesses, as well as risk management and wealth transfer insurance products for individuals."

HDA was formed in 1972 through the merger of two of Atlanta's oldest firms, Hamilton Insurance Agency, founded in 1964 by Joe Hamilton Jr., and Dorsey Alston Co., opened in 1952 by Roy Dorsey and Bob Alston.