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FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables) | 3 Months Ended
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Mar. 31, 2024
Fair Value Disclosures [Abstract] |
Schedule of Fair Value of Financial Instruments, by Balance Sheet Grouping | The following table presents estimated fair values of the Company’s financial instruments as of March 31, 2024 and December 31, 2023, whether or not recognized or recorded in the Consolidated Statements of Financial Condition (dollars in thousands):
|  |  | March 31, 2024 |  | December 31, 2023
| Level |  | Carrying Value |  | Estimated Fair Value |  | Carrying Value |  | Estimated Fair Value
Assets: |  |  |  |  |  |  |  |  |
Cash and cash equivalents | 1 |  | $ | 209,276 |  |  | $ | 209,276 |  |  | $ | 254,464 |  |  | $ | 254,464 |
Securities—available-for-sale | 2 |  | 2,219,582 |  |  | 2,219,582 |  |  | 2,348,479 |  |  | 2,348,479 |
Securities—available-for-sale | 3 |  | 25,357 |  |  | 25,357 |  |  | 25,304 |  |  | 25,304 |
Securities—held-to-maturity | 2 |  | 1,031,324 |  |  | 862,143 |  |  | 1,052,028 |  |  | 900,522 |
Securities—held-to-maturity | 3 |  | 6,988 |  |  | 6,954 |  |  | 7,027 |  |  | 6,992 |
Loans held for sale | 2 |  | 9,357 |  |  | 9,441 |  |  | 11,170 |  |  | 11,219 |
Loans receivable, net | 3 |  | 10,717,956 |  |  | 10,296,927 |  |  | 10,660,812 |  |  | 10,250,271 |
Equity securities | 1 |  | 387 |  |  | 387 |  |  | 449 |  |  | 449 |
FHLB stock | 3 |  | 11,741 |  |  | 11,741 |  |  | 24,028 |  |  | 24,028 |
Bank-owned life insurance | 1 |  | 306,600 |  |  | 306,600 |  |  | 304,366 |  |  | 304,366 |
Mortgage servicing rights | 3 |  | 13,444 |  |  | 36,755 |  |  | 13,909 |  |  | 35,794 |
SBA servicing rights | 3 |  | 849 |  |  | 849 |  |  | 740 |  |  | 740 |
Investments in limited partnerships | 3 |  | 12,975 |  |  | 12,975 |  |  | 13,475 |  |  | 13,475 |
Derivatives: |  |  |  |  |  |  |  |  |
Interest rate swaps | 2 |  | 22,848 |  |  | 22,848 |  |  | 15,129 |  |  | 15,129 |
Interest rate lock and forward sales commitments | 2,3 |  | 285 |  |  | 285 |  |  | 275 |  |  | 275 |
Liabilities: |  |  |  |  |  |  |  |  |
Demand, interest checking and money market accounts | 2 |  | 8,500,958 |  |  | 8,500,958 |  |  | 8,571,500 |  |  | 8,571,500 |
Regular savings | 2 |  | 3,171,933 |  |  | 3,171,933 |  |  | 2,980,530 |  |  | 2,980,530 |
Certificates of deposit | 2 |  | 1,485,880 |  |  | 1,473,413 |  |  | 1,477,467 |  |  | 1,465,612 |
FHLB advances | 2 |  | 52,000 |  |  | 52,000 |  |  | 323,000 |  |  | 323,000 |
Other borrowings | 2 |  | 183,341 |  |  | 183,341 |  |  | 182,877 |  |  | 182,877 |
Subordinated notes, net | 2 |  | 89,456 |  |  | 86,598 |  |  | 92,851 |  |  | 85,536 |
Junior subordinated debentures | 3 |  | 66,586 |  |  | 66,586 |  |  | 66,413 |  |  | 66,413 |
Derivatives: |  |  |  |  |  |  |  |  |
Interest rate swaps | 2 |  | 40,099 |  |  | 40,099 |  |  | 29,809 |  |  | 29,809 |
Interest rate lock and forward sales commitments | 2,3 |  | 110 |  |  | 110 |  |  | 185 |  |  | 185 |
Risk participation agreement | 2 |  | 18 |  |  | 18 |  |  | 42 |  |  | 42 |
Schedule of Assets and Liabilities Measured at Fair Value on a Recurring Basis | The following tables present financial assets and liabilities measured at fair value on a recurring basis and the level within the fair value hierarchy of the fair value measurements for those assets and liabilities as of March 31, 2024 and December 31, 2023 (in thousands):
| March 31, 2024
| Level 1 |  | Level 2 |  | Level 3 |  | Total
Assets: |  |  |  |  |  |  |
Securities—available-for-sale |  |  |  |  |  |  |
U.S. Government and agency obligations | $ | — |  |  | $ | 8,893 |  |  | $ | — |  |  | $ | 8,893 |
Municipal bonds | — |  |  | 127,009 |  |  | — |  |  | 127,009 |
Corporate bonds | — |  |  | 94,084 |  |  | 25,357 |  |  | 119,441 |
Mortgage-backed or related securities | — |  |  | 1,776,385 |  |  | — |  |  | 1,776,385 |
Asset-backed securities | — |  |  | 213,211 |  |  | — |  |  | 213,211 |
| — |  |  | 2,219,582 |  |  | 25,357 |  |  | 2,244,939 |
Loans held for sale(1) | — |  |  | 7,208 |  |  | — |  |  | 7,208 |
Equity securities | 387 |  |  | — |  |  | — |  |  | 387 |
SBA servicing rights | — |  |  | — |  |  | 849 |  |  | 849 |
Investment in limited partnerships | — |  |  | — |  |  | 12,975 |  |  | 12,975 |
Derivatives |  |  |  |  |  |  |
Interest rate swaps | — |  |  | 22,848 |  |  | — |  |  | 22,848 |
Interest rate lock and forward sales commitments | — |  |  | — |  |  | 285 |  |  | 285 |
| $ | 387 |  |  | $ | 2,249,638 |  |  | $ | 39,466 |  |  | $ | 2,289,491 |
Liabilities: |  |  |  |  |  |  |
Junior subordinated debentures | $ | — |  |  | $ | — |  |  | $ | 66,586 |  |  | $ | 66,586 |
Derivatives |  |  |  |  |  |  |
Interest rate swaps | — |  |  | 40,099 |  |  | — |  |  | 40,099 |
Interest rate lock and forward sales commitments | — |  |  | 43 |  |  | 67 |  |  | 110 |
Risk participation agreement | — |  |  | 18 |  |  | — |  |  | 18 |
| $ | — |  |  | $ | 40,160 |  |  | $ | 66,653 |  |  | $ | 106,813 |
| December 31, 2023
| Level 1 |  | Level 2 |  | Level 3 |  | Total
Assets: |  |  |  |  |  |  |
Securities—available-for-sale |  |  |  |  |  |  |
U.S. Government and agency obligations | $ | — |  |  | $ | 34,189 |  |  | $ | — |  |  | $ | 34,189 |
Municipal bonds | — |  |  | 132,905 |  |  | — |  |  | 132,905 |
Corporate bonds | — |  |  | 93,819 |  |  | 25,304 |  |  | 119,123 |
Mortgage-backed or related securities | — |  |  | 1,866,714 |  |  | — |  |  | 1,866,714 |
Asset-backed securities | — |  |  | 220,852 |  |  | — |  |  | 220,852 |
| — |  |  | 2,348,479 |  |  | 25,304 |  |  | 2,373,783 |
Loans held for sale(1) | — |  |  | 9,105 |  |  | — |  |  | 9,105 |
Equity securities | 449 |  |  | — |  |  | — |  |  | 449 |
SBA servicing rights | — |  |  | — |  |  | 740 |  |  | 740 |
Investment in limited partnerships | — |  |  | — |  |  | 13,475 |  |  | 13,475 |
Derivatives |  |  |  |  |  |  |
Interest rate swaps | — |  |  | 15,129 |  |  | — |  |  | 15,129 |
Interest rate lock and forward sales commitments | — |  |  | — |  |  | 275 |  |  | 275 |
| $ | 449 |  |  | $ | 2,372,713 |  |  | $ | 39,794 |  |  | $ | 2,412,956 |
Liabilities: |  |  |  |  |  |  |
Junior subordinated debentures | $ | — |  |  | $ | — |  |  | $ | 66,413 |  |  | $ | 66,413 |
Derivatives |  |  |  |  |  |  |
Interest rate swaps | — |  |  | 29,809 |  |  | — |  |  | 29,809 |
Interest rate lock and forward sales commitments | — |  |  | 161 |  |  | 24 |  |  | 185 |
Risk participation agreement | — |  |  | 42 |  |  | — |  |  | 42 |
| $ | — |  |  | $ | 30,012 |  |  | $ | 66,437 |  |  | $ | 96,449 |
Schedule of Valuation Technique, Unobservable Input, and Qualitative Information for Unobservable Inputs | The following table provides a description of the valuation technique, unobservable inputs, and quantitative and qualitative information about the unobservable inputs for the Company’s assets and liabilities classified as Level 3 and measured at fair value on a recurring and non-recurring basis at March 31, 2024 and December 31, 2023:
|  |  |  |  |  | Weighted Average Rate or Range
Financial Instruments |  | Valuation Technique |  | Unobservable Inputs |  | March 31, 2024 |  | December 31, 2023
Corporate bonds (TPS) |  | Discounted cash flows |  | Discount rate |  | 10.81 | % |  | 10.84 | %
Junior subordinated debentures |  | Discounted cash flows |  | Discount rate |  | 10.81 | % |  | 10.84 | %
Loans individually evaluated |  | Collateral valuations |  | Discount to appraised value |  | 0% to 80% |  | 8.75% to 25%
Interest rate lock commitments |  | Pricing model |  | Pull-through rate |  | 91.41 | % |  | 88.24 | %
SBA servicing rights |  | Discounted cash flows |  | Constant prepayment rate |  | 17.92 | % |  | 16.92 | %
Schedule of Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation | The following tables provide a reconciliation of the assets and liabilities measured at fair value using significant unobservable inputs (Level 3) on a recurring basis during the three months ended March 31, 2024 and 2023 (in thousands):
| Three Months Ended
| March 31, 2024
| Level 3 Fair Value Inputs
| TPS Securities |  | Borrowings—Junior Subordinated Debentures |  | Interest Rate Lock and Forward Sales Commitments |  | Investments in Limited Partnerships |  | SBA Servicing Asset
Beginning balance | $ | 25,304 |  |  | $ | 66,413 |  |  | $ | 251 |  |  | $ | 13,475 |  |  | $ | 740 |
Net change recognized in earnings | 64 |  |  | — |  |  | (33) |  |  | (930) |  |  | 109 |
Net change recognized in accumulated other comprehensive income (AOCI) | (11) |  |  | 173 |  |  | — |  |  | — |  |  | — |
Purchases, issuances and settlements | — |  |  | — |  |  | — |  |  | 430 |  |  | — |
Ending balance at March 31, 2024 | $ | 25,357 |  |  | $ | 66,586 |  |  | $ | 218 |  |  | $ | 12,975 |  |  | $ | 849 |
| Three Months Ended
| March 31, 2023
| Level 3 Fair Value Inputs
| TPS Securities |  | Borrowings—Junior Subordinated Debentures |  | Interest Rate Lock and Forward Sales Commitments |  | Investments in Limited Partnerships |  | SBA Servicing Asset
Beginning balance | $ | 28,694 |  |  | $ | 74,857 |  |  | $ | 39 |  |  | $ | 12,427 |  |  | $ | 835 |
Net change recognized in earnings | (103) |  |  | — |  |  | 441 |  |  | (520) |  |  | 119 |
Net change recognized in AOCI | — |  |  | (154) |  |  | — |  |  | — |  |  | — |
Purchases, issuances and settlements | — |  |  | — |  |  | — |  |  | 487 |  |  | — |
Ending balance at March 31, 2023 | $ | 28,591 |  |  | $ | 74,703 |  |  | $ | 480 |  |  | $ | 12,394 |  |  | $ | 954 |
Schedule of Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis | The following tables present financial assets and liabilities measured at fair value on a non-recurring basis and the level within the fair value hierarchy of the fair value measurements for those assets as of March 31, 2024 and December 31, 2023 (in thousands):
| March 31, 2024
| Level 1 |  | Level 2 |  | Level 3 |  | Total
Loans individually evaluated | $ | — |  |  | $ | — |  |  | $ | 4,484 |  |  | $ | 4,484 |
Real Estate Owned (REO) | $ | — |  |  | $ | — |  |  | $ | 448 |  |  | $ | 448 |
| December 31, 2023
| Level 1 |  | Level 2 |  | Level 3 |  | Total
Loans individually evaluated | $ | — |  |  | $ | — |  |  | $ | 8,308 |  |  | $ | 8,308 |
REO | — |  |  | — |  |  | 526 |  |  | 526 |

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