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LOANS AND CREDIT QUALITY - (Tables)
12 Months Ended
Dec. 31, 2021
Receivables [Abstract]  
Loans Held for Investment LHFI consists of the following:
At December 31,
(in thousands)20212020
CRE
Non-owner occupied CRE$705,359 $829,538 
Multifamily2,415,359 1,428,092 
Construction/land development496,144 553,695 
Total3,616,862 2,811,325 
Commercial and industrial loans
Owner occupied CRE457,706 467,256 
Commercial business401,872 645,723 
Total
859,578 1,112,979 
Consumer loans
Single family (1)
763,331 915,123 
Home equity and other303,078 404,753 
Total (1)
1,066,409 1,319,876 
                  Total LHFI5,542,849 5,244,180 
ACL
(47,123)(64,294)
Total LHFI less ACL
$5,495,726 $5,179,886 
(1)    Includes $7.3 million and $7.1 million at December 31, 2021 and 2020, respectively, of loans where a fair value option election was made at the time of origination and, therefore, are carried at fair value with changes recognized in the consolidated income statements.
Schedule of Related Party Transactions The following is a
summary of activity during the year ended December 2021 with respect to such aggregate loans to these related parties and their associates:

(in thousands)Year Ended December 31, 2021
Beginning balance$73 
New loans and advances, net of principal repayments1,475 
Ending balance$1,548 
Activity in the allowance for credit losses
Activity in the ACL for LHFI and the allowance for unfunded commitments was as follows:
 Years Ended December 31,
(in thousands)202120202019
ACL for LHFI
Beginning balance$64,294 $41,772 $41,470 
Provision for credit losses(15,816)21,843 (122)
Net (charge-offs) recoveries(1,355)(1,164)424 
Impact of ASC 326 adoption
— 1,843 — 
Ending balance$47,123 $64,294 $41,772 
Allowance for unfunded commitments
Beginning balance$1,588 $1,065 $1,443 
Provision for credit losses816 (1,374)(378)
Impact of ASC 326 adoption
— 1,897 — 
Ending balance$2,404 $1,588 $1,065 
Provision for credit losses:
Allowance for credit losses-loans$(15,816)$21,843 $(122)
Allowance for unfunded commitments816 (1,374)(378)
Total$(15,000)$20,469 $(500)


Activity in the ACL by loan portfolio and loan sub-class was as follows.

Year Ended December 31, 2021
(in thousands)Beginning
balance
Charge-offsRecoveriesProvisionEnding
balance
CRE
Non-owner occupied CRE$8,845 $— $— $(1,336)$7,509 
Multifamily6,072 — — (218)5,854 
Construction/land development— 
Multifamily construction4,903 — — (4,396)507 
CRE construction1,670 — — (1,520)150 
Single family construction5,130 — — 1,281 6,411 
Single family construction to permanent1,315 — — (260)1,055 
Total27,935 — — (6,449)21,486 
Commercial and industrial loans
Owner occupied CRE4,994 — 12 5,006 
Commercial business17,043 (1,739)146 (3,177)12,273 
Total22,037 (1,739)146 (3,165)17,279 
Consumer loans
Single family6,906 (127)291 (2,676)4,394 
Home equity and other7,416 (483)557 (3,526)3,964 
Total14,322 (610)848 (6,202)8,358 
Total ACL$64,294 $(2,349)$994 $(15,816)$47,123 
Year Ended December 31, 2020
(in thousands)Prior to adoption of ASC 326Impact of ASC 326 adoptionCharge-offsRecoveriesProvisionEnding
balance
CRE
Non-owner occupied CRE$7,245 $(3,392)$— $— $4,992 $8,845 
Multifamily7,015 (2,977)— — 2,034 6,072 
Construction/land development
Multifamily construction2,848 693 — — 1,362 4,903 
CRE construction624 (115)— — 1,161 1,670 
Single family construction3,800 4,280 — 163 (3,113)5,130 
Single family construction to permanent1,003 200 — — 112 1,315 
Total22,535 (1,311)— 163 6,548 27,935 
Commercial and industrial loans
Owner occupied CRE3,639 (2,459)(896)— 4,710 4,994 
Commercial business2,915 510 (640)110 14,148 17,043 
Total6,554 (1,949)(1,536)110 18,858 22,037 
Consumer loans
Single family6,450 468 (17)187 (182)6,906 
Home equity and other6,233 4,635 (456)385 (3,381)7,416 
Total12,683 5,103 (473)572 (3,563)14,322 
Total ACL$41,772 $1,843 $(2,009)$845 $21,843 $64,294 

Year Ended December 31, 2019
(in thousands)Beginning
balance
Charge-offsRecoveriesProvisionEnding
balance
CRE
Non-owner occupied CRE$5,495 $— $— $1,750 $7,245 
Multifamily5,754 — — 1,261 7,015 
Construction/land development9,001 215 (941)8,275 
Total20,250 — 215 2,070 22,535 
Commercial and industrial loans
Owner occupied CRE3,278 — 361 3,639 
Commercial business2,875 (315)147 208 2,915 
Total6,153 (315)147 569 6,554 
Consumer loans
Single family8,217 — 145 (1,912)6,450 
Home equity and other6,850 (272)504 (849)6,233 
Total15,067 (272)649 (2,761)12,683 
Total ACL$41,470 $(587)$1,011 $(122)$41,772 
Designated loan grades by loan portfolio segment and loan class The following table presents a vintage analysis of the commercial portfolio segment by loan sub-class, risk rating and delinquency status.
At December 31, 2021
(in thousands)202120202019201820172016 and priorRevolvingRevolving-termTotal
COMMERCIAL PORTFOLIO
Non-owner occupied CRE
1-6 Pass
$68,647 $50,571 $169,711 $130,877 $100,674 $183,024 $963 $892 $705,359 
7- Special Mention
— — — — — — — — — 
8 - Substandard
— — — — — — — — — 
Total 68,647 50,571 169,711 130,877 100,674 183,024 963 892 705,359 
Multifamily
1-6 Pass
1,315,204 561,666 286,826 60,372 26,065 165,225 — 2,415,359 
7- Special Mention
— — — — — — — — — 
8 - Substandard
— — — — — — — — — 
Total1,315,204 561,666 286,826 60,372 26,065 165,225 — 2,415,359 
Multifamily construction
1-6 Pass
7,825 22,863 7,173 — — — — — 37,861 
7- Special Mention
— — — — — — — — — 
8 - Substandard
— — — — — — — — — 
Total7,825 22,863 7,173 — — — — — 37,861 
CRE construction
1-6 Pass
7,694 3,960 — 1,962 — 556 — — 14,172 
7- Special Mention
— — — — — — — — — 
8 - Substandard
— — — — — — — — — 
Total 7,694 3,960 — 1,962 — 556 — — 14,172 
Single family construction
1-6 Pass
146,595 35,640 14,509 — — 77 99,206 — 296,027 
7- Special Mention
— — — — — — — — — 
8 - Substandard
— — — — — — — — — 
Total 146,595 35,640 14,509 — — 77 99,206 — 296,027 
Single family construction to permanent
Current
90,311 42,636 13,362 1,775 — — — — 148,084 
Past due:
30-59 days
— — — — — — — — — 
60-89 days
— — — — — — — — — 
90+ days
— — — — — — — — — 
Total 90,311 42,636 13,362 1,775 — — — — 148,084 
Owner occupied CRE
1-6 Pass
70,902 47,536 57,423 47,716 67,042 106,659 798 2,839 400,915 
7- Special Mention
— — — 2,196 6,019 145 — 60 8,420 
8 - Substandard
— — 18,665 1,111 10,151 18,444 — — 48,371 
Total 70,902 47,536 76,088 51,023 83,212 125,248 798 2,899 457,706 
Commercial business
1-6 Pass
88,139 51,453 44,882 24,711 11,859 21,258 112,759 2,104 357,165 
7- Special Mention
— — 7,396 — 4,396 — 5,613 134 17,539 
8 - Substandard
9,716 3,399 1,667 5,928 1,096 1,328 3,932 102 27,168 
Total 97,855 54,852 53,945 30,639 17,351 22,586 122,304 2,340 401,872 
Total commercial portfolio$1,805,033 $819,724 $621,614 $276,648 $227,302 $496,716 $223,272 $6,131 $4,476,440 
The following table presents a vintage analysis of the consumer portfolio segment by loan sub-class and delinquency status:

At December 31, 2021
(in thousands)202120202019201820172016 and priorRevolvingRevolving-termTotal
CONSUMER PORTFOLIO
Single family
Current
$176,110 $156,360 $62,369 $66,063 $95,988 $204,229 $— $— $761,119 
Past due:
30-59 days
— — 291 — — — — — 291 
60-89 days
— — — — 314 471 — — 785 
90+ days
— — 561 452 — 123 — — 1,136 
Total (1)
176,110 156,360 63,221 66,515 96,302 204,823 — — 763,331 
Home equity and other
Current
2,005 474 393 532 516 2,609 290,512 5,273 302,314 
Past due:
30-59 days
— — — — 94 40 — 137 
60-89 days
— — — — — — 12 62 74 
90+ days
— — — — 544 — 553 
Total2,008 477 393 532 516 2,709 291,108 5,335 303,078 
Total consumer portfolio$178,118 $156,837 $63,614 $67,047 $96,818 $207,532 $291,108 $5,335 $1,066,409 
Total LHFI$1,983,151 $976,561 $685,228 $343,695 $324,120 $704,248 $514,380 $11,466 $5,542,849 

(1)    Includes $7.3 million of loans where a fair value option election was made at the time of origination and, therefore, are carried at fair value with changes recognized in the consolidated income statements.


The following table presents a vintage analysis of the commercial portfolio segment by loan sub-class, risk rating and delinquency status:
At December 31, 2020
(in thousands)202020192018201720162015 and priorRevolvingRevolving-termTotal
COMMERCIAL PORTFOLIO
Non-owner occupied CRE
1-6 Pass
$53,782 $176,556 $165,268 $147,719 $150,221 $131,935 $796 $1,031 $827,308 
7- Special Mention
— — — — — 2,230 — — 2,230 
8 - Substandard
— — — — — — — — — 
Total53,782 176,556 165,268 147,719 150,221 134,165 796 1,031 829,538 
Multifamily
1-6 Pass
711,009 324,246 100,572 32,693 166,937 92,255 380 — 1,428,092 
7- Special Mention
— — — — — — — — — 
8 - Substandard
— — — — — — — — — 
Total711,009 324,246 100,572 32,693 166,937 92,255 380 — 1,428,092 
Multifamily construction
1-6 Pass
12,182 21,366 45,256 11,823 — — — — 90,627 
7- Special Mention
— — — — 24,702 — — — 24,702 
8 - Substandard
— — — — — — — — — 
Total12,182 21,366 45,256 11,823 24,702 — — — 115,329 
CRE construction
1-6 Pass
3,963 — 2,104 14,721 — 614 5,883 — 27,285 
7- Special Mention
— — — — — — — — — 
8 - Substandard
— — — — — — — — — 
Total3,963 — 2,104 14,721 — 614 5,883 — 27,285 
Single family construction
1-6 Pass
121,233 47,539 14,055 — — 600 75,743 — 259,170 
7- Special Mention
— — — — — — — — — 
8 - Substandard
— — — — — — — — — 
Total121,233 47,539 14,055 — — 600 75,743 — 259,170 
Single family construction to permanent
Current
62,955 72,825 15,443 688 — — — — 151,911 
Past due:
30-59 days
— — — — — — — — — 
60-89 days
— — — — — — — — — 
90+ days
— — — — — — — — — 
Total62,955 72,825 15,443 688 — — — — 151,911 
Owner occupied CRE
1-6 Pass
48,647 60,872 58,582 85,275 98,046 50,596 — 4,354 406,372 
7- Special Mention
— — 5,977 3,529 — — — 69 9,575 
8 - Substandard
— 19,407 1,111 10,750 17,122 2,919 — — 51,309 
Total48,647 80,279 65,670 99,554 115,168 53,515 — 4,423 467,256 
Commercial business
1-6 Pass
345,540 63,020 47,710 22,556 18,411 14,972 76,218 2,577 591,004 
7- Special Mention
— 10,837 2,058 6,653 — — 3,975 166 23,689 
8 - Substandard
— 5,923 11,327 2,338 1,891 1,001 8,438 112 31,030 
Total345,540 79,780 61,095 31,547 20,302 15,973 88,631 2,855 645,723 
Total commercial portfolio$1,359,311 $802,591 $469,463 $338,745 $477,330 $297,122 $171,433 $8,309 $3,924,304 
The following table presents a vintage analysis of the consumer portfolio segment by loan sub-class and delinquency status:

At December 31, 2020
(in thousands)202020192018201720162015 and priorRevolvingRevolving-termTotal
CONSUMER PORTFOLIO
Single family
Current
$174,994 $111,143 $154,757 $168,412 $59,161 $242,444 $— $— $910,911 
Past due:
30-59 days
— 570 — 318 — 390 — — 1,278 
60-89 days
— — — — — — — — — 
90+ days
824 335 405 386 — 984 — — 2,934 
Total (1)
175,818 112,048 155,162 169,116 59,161 243,818 — — 915,123 
Home equity and other
Current
1,878 1,230 1,311 1,363 431 5,126 384,005 8,147 403,491 
Past due:
30-59 days
98 22 — — — 11 66 31 228 
60-89 days
— 13 — — — — 129 — 142 
90+ days
— — — 275 24 584 — 892 
Total1,976 1,274 1,311 1,363 706 5,161 384,784 8,178 404,753 
Total consumer portfolio$177,794 $113,322 $156,473 $170,479 $59,867 $248,979 $384,784 $8,178 $1,319,876 
Total LHFI$1,537,105 $915,913 $625,936 $509,224 $537,197 $546,101 $556,217 $16,487 $5,244,180 

(1)    Includes $7.1 million of loans where a fair value option election was made at the time of origination and, therefore, are carried at fair value with changes recognized in the consolidated income statements.
Schedule of collateral dependent loans
The following table presents the amortized cost basis of collateral-dependent loans by loan sub-class and collateral type:
At December 31, 2021
(in thousands)Land1-4 FamilyNon-residential real estateOther non-real estateTotal
Commercial and industrial loans
Owner occupied CRE$1,111 $— $2,456 $— $3,567 
Commercial business
362 27 562 286 1,237 
   Total
1,473 27 3,018 286 4,804 
Consumer loans
Single family
— 1,598 — — 1,598 
Home equity loans and other
— 19 — — 19 
   Total
— 1,617 — — 1,617 
 Total collateral-dependent loans$1,473 $1,644 $3,018 $286 $6,421 

At December 31, 2020
(in thousands)Land1-4 FamilyNon-residential real estateOther non-real estateTotal
Commercial and industrial loans
Owner occupied CRE$1,789 $— $3,133 $— $4,922 
Commercial business1,787 545 — 2,882 5,214 
   Total 3,576 545 3,133 2,882 10,136 
Consumer loans
Single family
— 2,457 — — 2,457 
   Total— 2,457 — — 2,457 
 Total collateral-dependent loans$3,576 $3,002 $3,133 $2,882 $12,593 
Schedule of loans on nonaccrual with no related allowance for credit loss
The following table presents nonaccrual status for loans:
At December 31, 2021At December 31, 2020
(in thousands)Nonaccrual with no related ACLTotal NonaccrualNonaccrual with no related ACLTotal Nonaccrual
Commercial and industrial loans
 Owner occupied CRE$3,568 $3,568 $4,922 $4,922 
 Commercial business1,210 5,023 3,100 9,183 
Total
4,778 8,591 8,022 14,105 
Consumer loans
Single family1,324 2,802 2,173 4,883 
Home equity and other23 808 1,734 
Total1,347 3,610 2,175 6,617 
Total nonaccrual loans$6,125 $12,201 $10,197 $20,722 
Past due loans by loan portfolio segment and loan class The following tables present an aging analysis of past due loans by loan portfolio segment and loan sub-class:
At December 31, 2021
Past Due and Still Accruing
(in thousands)
30-59 days

60-89 days

90 days or more
Nonaccrual
Total past
due and nonaccrual (3)
CurrentTotal
loans
CRE
Non-owner occupied CRE$— $— $— $— $— $705,359 $705,359 
Multifamily— — — — — 2,415,359 2,415,359 
Construction/land development
Multifamily construction— — — — — 37,861 37,861 
CRE construction— — — — — 14,172 14,172 
Single family construction— — — — — 296,027 296,027 
Single family construction to permanent— — — — — 148,084 148,084 
Total
— — — — — 3,616,862 3,616,862 
Commercial and industrial loans
Owner occupied CRE— — — 3,568 3,568 454,138 457,706 
Commercial business198 — — 5,023 5,221 396,651 401,872 
Total198 — — 8,591 8,789 850,789 859,578 
Consumer loans
Single family
892 820 6,717 (2)2,802 11,231 752,100 763,331 (1)
Home equity and other118 74 — 808 1,000 302,078 303,078 
Total1,010 894 6,717 3,610 12,231 1,054,178 1,066,409 
Total loans$1,208 $894 $6,717 $12,201 $21,020 $5,521,829 $5,542,849 
%0.02 %0.02 %0.12 %0.22 %0.38 %99.62 %100.00 %

At December 31, 2020
Past Due and Still Accruing
(in thousands)30-59 days60-89 days90 days or moreNonaccrual
Total past
due and nonaccrual (3)
CurrentTotal
loans
CRE
Non-owner occupied CRE$— $— $— $— $— $829,538 $829,538 
Multifamily— — — — — 1,428,092 1,428,092 
Construction and land development
Multifamily construction— — — — — 115,329 115,329 
CRE construction— — — — — 27,285 27,285 
Single family construction— — — — — 259,170 259,170 
Single family construction to permanent— — — — — 151,911 151,911 
Total
— — — — — 2,811,325 2,811,325 
Commercial and industrial loans
Owner occupied CRE— — — 4,922 4,922 462,334 467,256 
Commercial business— — 9,183 9,183 636,540 645,723 
Total
— — — 14,105 14,105 1,098,874 1,112,979 
Consumer loans
Single family
2,161 418 11,476 (2)4,883 18,938 896,185 915,123 (1)
Home equity and other228 135 — 1,734 2,097 402,656 404,753 
Total2,389 553 11,476 6,617 21,035 1,298,841 1,319,876 
Total loans$2,389 $553 $11,476 $20,722 $35,140 $5,209,040 $5,244,180 
%0.05 %0.01 %0.22 %0.40 %0.67 %99.33 %100.00 %
(1)Includes $7.3 million and $7.1 million of loans at December 31, 2021 and 2020, respectively, where a fair value option election was made at the time of origination and, therefore, are carried at fair value with changes recognized in our consolidated income statements.
(2)FHA-insured and VA-guaranteed single family loans that are 90 days or more past due are maintained on accrual status if they are determined to have little to no risk of loss.
(3)Includes loans whose repayments are insured by the FHA or guaranteed by the VA or SBA of $8.4 million and $14.7 million at December 31, 2021 and 2020, respectively.
TDR activity by loan portfolio segment and loan class
The following tables present information about troubled debt restructuring ("TDR") activity for the periods indicated:
Year Ended December 31, 2021
(dollars in thousands)Number of loan
modifications
Recorded
investment
Related charge-
offs
Consumer loans
Single family
Interest rate reduction
20 $5,482 $— 
Payment restructure
2,815 — 
Total
27 8,297 — 
Total loans
Interest rate reduction
20 5,482 — 
Payment restructure
2,815 — 
Total27$8,297 $— 

Year Ended December 31, 2020
(dollars in thousands)Number of loan
modifications
Recorded
investment
Related charge-
offs
Commercial and industrial loans
Owner occupied CRE
Payment restructure
$678 $— 
Commercial business
Payment restructure
1,125 — 
Total commercial and industrial
Payment restructure
1,803 — 
Total
1,803 — 
Consumer loans
Single family
Interest rate reduction
27 5,979 — 
Payment restructure
14 2,695 — 
Total
41 8,674 — 
Total loans
Interest rate reduction
27 5,979 — 
Payment restructure
16 4,498 — 
Total
43 $10,477 $— 
Year Ended December 31, 2019
(dollars in thousands)Number of loan
modifications
Recorded
investment
Related charge-
offs
CRE
Construction and land development
Payment restructure
$4,675 $— 
Total
4,675 — 
Commercial and industrial loans
Owner occupied CRE
Payment restructure
5,840 — 
Commercial business
Payment restructure
259 — 
Total commercial and industrial
Payment restructure
6,099 — 
Total
6,099 — 
Consumer loans
Single family
Interest rate reduction
21 3,925 — 
Payment restructure
118 25,795 — 
Home equity and other
Payment restructure
116 — 
Total consumer
Interest rate reduction
21 3,925 — 
Payment restructure
119 25,911 — 
Total
140 29,836 — 
Total loans
Interest rate reduction
21 3,925 — 
Payment restructure
122 36,685 — 
Total
143 $40,610 $— 
TDR balances that subsequently re-defaulted
A TDR loan is considered re-defaulted when it becomes doubtful that the objectives of the modifications will be met, generally when a consumer loan TDR becomes 60 days or more past due on principal or interest payments or when a commercial loan TDR becomes 90 days or more past due on principal or interest payments. The following table presents loans that were modified as TDRs within the previous 12 months and subsequently re-defaulted during 2021 and 2020, respectively:

Years Ended December 31,
20212020
(dollars in thousands)Number of loan relationships that re-defaultedRecorded
investment
Number of loan relationships that re-defaultedRecorded
investment
Commercial and industrial loans-owner occupied CRE$678 — $— 
Consumer loans-single family11 3,040 20 3,809 
Total
12 $3,718 20 $3,809