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Loans (Tables)
 12 Months Ended
Dec. 31, 2024
Receivables [Abstract]  
Schedule of Loans
Loans consist of the following:
(Dollars in thousands)December 31, 2024December 31, 2023
Loans held for sale$10,494 $16,852 
LHFI:
Loans secured by real estate:
Commercial real estate(1)
$2,477,431 $2,442,734 
Construction/land/land development864,011 1,070,225 
Residential real estate1,857,589 1,734,935 
Total real estate5,199,031 5,247,894 
Commercial and industrial2,002,634 2,059,460 
Mortgage warehouse lines of credit349,081 329,966 
Consumer22,967 23,624 
Total LHFI(2)
7,573,713 7,660,944 
Less: Allowance for loan credit losses (“ALCL”)
91,060 96,868 
LHFI, net$7,482,653 $7,564,076 
____________________________
(1)Includes owner occupied commercial real estate of $975.9 million and $953.8 million at December 31, 2024 and 2023, respectively.
(2)Includes unamortized purchase accounting adjustment and net deferred loan fees of $9.8 million and $11.8 million at December 31, 2024 and 2023, respectively.
Schedule of Recorded Investment in Loans by Credit Quality Indicator
The following table reflects recorded investments in loans by credit quality indicator and origination year at December 31, 2024, and gross charge-offs for the year ended December 31, 2024, excluding loans held for sale. Loans acquired are shown in the table by origination year, not merger date. The Company had an immaterial amount of revolving loans converted to term loans at December 31, 2024.
Term Loans
Amortized Cost Basis by Origination Year
(Dollars in thousands)20242023202220212020PriorRevolving Loans Amortized Cost BasisTotal
Commercial real estate:
Pass$229,213 $355,744 $918,847 $407,666 $220,040 $277,379 $54,391 $2,463,280 
Special mention1,209 — — 23 907 1,252 238 3,629 
Classified949 1,151 1,155 2,503 1,539 2,968 257 10,522 
Total commercial real estate loans$231,371 $356,895 $920,002 $410,192 $222,486 $281,599 $54,886 $2,477,431 
Year-to-date gross charge-offs$— $36 $193 $— $251 $— $— $480 
Construction/land/land development:
Pass$153,847 $206,970 $290,035 $123,645 $14,903 $3,343 $47,982 $840,725 
Special mention— — 547 — — — 145 692 
Classified1,366 2,331 10,552 5,053 731 219 2,342 22,594 
Total construction/land/land development loans$155,213 $209,301 $301,134 $128,698 $15,634 $3,562 $50,469 $864,011 
Year-to-date gross charge-offs$— $— $— $— $— $— $— $— 
Residential real estate:
Pass$147,379 $319,186 $522,226 $305,893 $215,305 $179,503 $112,471 $1,801,963 
Special mention— — — 18,176 124 309 — 18,609 
Classified1,962 8,068 17,898 3,123 748 4,854 364 37,017 
Total residential real estate loans$149,341 $327,254 $540,124 $327,192 $216,177 $184,666 $112,835 $1,857,589 
Year-to-date gross charge-offs$— $— $— $— $— $11 $— $11 
Commercial and industrial:
Pass$280,152 $265,237 $171,157 $87,040 $20,938 $54,565 $1,066,600 $1,945,689 
Special mention— 70 5,652 39 — 545 2,172 8,478 
Classified4,312 6,706 13,578 1,022 691 375 21,783 48,467 
Total commercial and industrial loans$284,464 $272,013 $190,387 $88,101 $21,629 $55,485 $1,090,555 $2,002,634 
Year-to-date gross charge-offs$346 $1,171 $2,103 $4,477 $162 $595 $13,933 $22,787 
Mortgage Warehouse Lines of Credit:
Pass$— $— $— $— $— $— $349,081 $349,081 
Year-to-date gross charge-offs$— $— $— $— $— $— $— $— 
Consumer:
Pass$10,060 $4,290 $1,277 $271 $210 $32 $6,645 $22,785 
Classified23 64 79 — — — 16 182 
Total consumer loans$10,083 $4,354 $1,356 $271 $210 $32 $6,661 $22,967 
Year-to-date gross charge-offs$— $19 $47 $3 $— $5 $288 $362 
The following table reflects recorded investments in loans by credit quality indicator and origination year at December 31, 2023, and gross charge-offs for the year ended December 31, 2023, excluding loans held for sale. Loans acquired are shown in the table by origination year, not merger date. The Company had an immaterial amount of revolving loans converted to term loans at December 31, 2023.
Term Loans
Amortized Cost Basis by Origination Year
(Dollars in thousands)20232022202120202019PriorRevolving Loans Amortized Cost BasisTotal
Commercial real estate:
Pass$333,887 $885,234 $470,252 $253,700 $204,421 $188,532 $77,993 $2,414,019 
Special mention— — 308 — — 7,950 — 8,258 
Classified726 4,285 3,212 1,765 524 9,945 — 20,457 
Total commercial real estate loans$334,613 $889,519 $473,772 $255,465 $204,945 $206,427 $77,993 $2,442,734 
Year-to-date gross charge-offs$— $— $— $— $— $42 $— $42 
Construction/land/land development:
Pass$259,502 $461,373 $214,526 $21,309 $7,221 $25,460 $42,700 $1,032,091 
Special mention746 10,462 19,811 — — — — 31,019 
Classified191 3,132 41 240 662 560 2,289 7,115 
Total construction/land/land development loans$260,439 $474,967 $234,378 $21,549 $7,883 $26,020 $44,989 $1,070,225 
Year-to-date gross charge-offs$— $— $— $— $— $— $— $— 
Residential real estate:
Pass$332,874 $549,504 $289,289 $237,813 $79,499 $142,265 $91,972 $1,723,216 
Special mention250 — — 141 — — — 391 
Classified689 1,985 1,439 407 1,367 4,949 492 11,328 
Total residential real estate loans$333,813 $551,489 $290,728 $238,361 $80,866 $147,214 $92,464 $1,734,935 
Year-to-date gross charge-offs$— $— $— $5 $— $22 $— $27 
Commercial and industrial:
Pass$399,485 $272,152 $160,636 $36,995 $57,562 $48,523 $1,035,021 $2,010,374 
Special mention498 6,383 — — — — 650 7,531 
Classified3,583 1,676 12,908 371 470 222 22,325 41,555 
Total commercial and industrial loans$403,566 $280,211 $173,544 $37,366 $58,032 $48,745 $1,057,996 $2,059,460 
Year-to-date gross charge-offs$203 $328 $233 $141 $539 $679 $9,710 $11,833 
Mortgage Warehouse Lines of Credit:
Pass$— $— $— $— $— $— $329,966 $329,966 
Year-to-date gross charge-offs$— $— $— $— $— $— $— $— 
Consumer:
Pass$11,053 $3,567 $1,040 $399 $470 $17 $6,988 $23,534 
Classified35 42 10 — 2 — 1 90 
Total consumer loans$11,088 $3,609 $1,050 $399 $472 $17 $6,989 $23,624 
Year-to-date gross charge-offs$3 $102 $7 $— $— $2 $33 $147 
Schedule of Loan Portfolio Aging Analysis
The following tables present the Company’s loan portfolio aging analysis at the dates indicated:
December 31, 2024
(Dollars in thousands)30-59 Days Past Due60-89 Days Past DueLoans Past Due 90 Days or MoreTotal Past DueCurrent LoansTotal Loans ReceivableAccruing Loans 90 or More Days Past Due
Loans secured by real estate:
Commercial real estate
$3,576 $1,019 $957 $5,552 $2,471,879 $2,477,431 $— 
Construction/land/land development
441 33 4,876 5,350 858,661 864,011 — 
Residential real estate12,655 5,219 5,723 23,597 1,833,992 1,857,589 — 
Total real estate16,672 6,271 11,556 34,499 5,164,532 5,199,031 — 
Commercial and industrial3,873 2,206 1,596 7,675 1,994,959 2,002,634 — 
Mortgage warehouse lines of credit
— — — — 349,081 349,081 — 
Consumer199 7 57 263 22,704 22,967 — 
Total LHFI$20,744 $8,484 $13,209 $42,437 $7,531,276 $7,573,713 $— 
December 31, 2023
(Dollars in thousands)30-59 Days Past Due60-89 Days Past DueLoans Past Due 90 Days or MoreTotal Past DueCurrent LoansTotal Loans ReceivableAccruing Loans 90 or More Days Past Due
Loans secured by real estate:
Commercial real estate$2,264 $— $— $2,264 $2,440,470 $2,442,734 $— 
Construction/land/land development
834 27 13 874 1,069,351 1,070,225 — 
Residential real estate8,055 1,326 5,960 15,341 1,719,594 1,734,935 — 
Total real estate11,153 1,353 5,973 18,479 5,229,415 5,247,894 — 
Commercial and industrial1,221 713 5,417 7,351 2,052,109 2,059,460 — 
Mortgage warehouse lines of credit— — — — 329,966 329,966 — 
Consumer200 10 3 213 23,411 23,624 — 
Total LHFI$12,574 $2,076 $11,393 $26,043 $7,634,901 $7,660,944 $— 
Schedule of Allowance for Loan Losses by Portfolio Segment
The following tables detail activity in the ALCL by portfolio segment. Accrued interest of $32.6 million and $35.1 million was not included in the book value for the purposes of calculating the allowance at December 31, 2024 and 2023, respectively. Allocation of a portion of the allowance to one category of loans does not preclude its availability to absorb losses in other categories.
Year Ended December 31, 2024
Commercial Real EstateConstruction/ Land/ Land DevelopmentResidential Real EstateCommercial and IndustrialMortgage Warehouse Lines of CreditConsumerTotal
(Dollars in thousands)
Beginning balance$19,625 $9,990 $10,619 $55,330 $529 $775 $96,868 
Charge-offs480 — 11 22,787 — 362 23,640 
Recoveries530 — 16 8,583 — 23 9,152 
Provision(1)
(3,129)(2,592)1,830 12,323 (28)276 8,680 
Ending balance$16,546 $7,398 $12,454 $53,449 $501 $712 $91,060 
Average balance$2,485,800 $1,035,871 $1,799,963 $2,087,361 $420,665 $22,962 $7,852,622 
Net charge-offs to loan average balance
— %— %— %0.68 %— %1.48 %0.18 %
_________________________
(1)The $7.4 million provision for credit losses on the consolidated statement of income includes a $8.7 million provision for loan losses, and a $1.2 million and $13,000 net benefit provision for off-balance sheet commitments and held to maturity securities credit losses, respectively, for the year ended December 31, 2024.
Year Ended December 31, 2023
Commercial Real EstateConstruction/ Land/ Land DevelopmentResidential Real EstateCommercial and IndustrialMortgage Warehouse Lines of CreditConsumerTotal
(Dollars in thousands)
Beginning balance$19,772 $7,776 $8,230 $50,148 $379 $856 $87,161 
Charge-offs42 — 27 11,833 — 147 12,049 
Recoveries140 3 17 4,068 — 14 4,242 
Provision(1)
(245)2,211 2,399 12,947 150 52 17,514 
Ending balance$19,625 $9,990 $10,619 $55,330 $529 $775 $96,868 
Average balance$2,404,530 $1,015,178 $1,629,589 $2,054,081 $314,079 $24,627 $7,442,084 
Net charge-offs to loan average balance— %— %— %0.38 %— %0.54 %0.10 %
____________________________
(1)The $16.8 million provision for credit losses on the consolidated statements of income includes a $17.5 million provision for loan credit losses, a $75,000 provision for off-balance sheet commitments and a $836,000 net benefit provision for held to maturity securities credit losses for the year ended December 31, 2023.
Year Ended December 31, 2022
Commercial Real EstateConstruction/ Land/ Land DevelopmentResidential Real EstateCommercial and IndustrialMortgage Warehouse Lines of CreditConsumerTotal
(Dollars in thousands)
Beginning Balance$13,425 $4,011 $6,116 $40,146 $340 $548 $64,586 
Allowance for loan credit losses - BTH merger (1)
1 — — 5,525 — 1 5,527 
Charge-offs166 — 91 8,459 — 43 8,759 
Recoveries40 211 102 3,825 — 16 4,194 
Provision(2)
6,472 3,554 2,103 9,111 39 334 21,613 
Ending Balance$19,772 $7,776 $8,230 $50,148 $379 $856 $87,161 
Average Balance$1,951,246 $708,758 $1,143,190 $1,675,719 $420,639 $20,913 $5,920,465 
Net Charge-offs to Loan Average Balance0.01 %(0.03)%— %0.28 %— %0.13 %0.08 %
_________________________
(1)Excluded from the allowance is $10.8 million in PCD loans that were acquired in the merger with BTH that were added to the allowance and immediately written off.
(2)The $24.7 million provision for credit losses on the consolidated statement of income includes a $21.6 million provision for loan losses, a $2.3 million provision for off-balance sheet commitments and a $732,000 provision for held to maturity securities credit losses for the year ended December 31, 2022.
Schedule of Amortized Cost Basis of Collateral Dependent Loans
The following table presents the amortized cost basis of collateral dependent loans, which are individually evaluated to determine expected credit losses, and the related ALCL allocated to these loans.
December 31, 2024
(Dollars in thousands)Commercial Real EstateConstruction/ Land/ Land DevelopmentResidential Real EstateCommercial and IndustrialMortgage Warehouse Lines of CreditConsumerTotal
Real Estate $832 $— $16,804 $— $— $— $17,636 
Equipment — — — 42 — 46 88 
Total$832 $— $16,804 $42 $— $46 $17,724 
ALCL Allocation$— $— $121 $— $— $— $121 
December 31, 2023
(Dollars in thousands)Commercial Real EstateConstruction/ Land/ Land DevelopmentResidential Real EstateCommercial and IndustrialMortgage Warehouse Lines of CreditConsumerTotal
Real Estate $605 $— $4,029 $— $— $— $4,634 
Equipment— — — 119 — — 119 
Other— — — 258 — — 258 
Total$605 $— $4,029 $377 $— $— $5,011 
ALCL Allocation$— $— $— $— $— $— $— 
Schedule of Non-performing (Nonaccrual) Loans Held for Investment
Nonaccrual LHFI was as follows:
Nonaccrual With No
Allowance for Credit Loss		Total Nonaccrual
(Dollars in thousands)
Loans secured by real estate:
December 31, 2024December 31, 2023December 31, 2024December 31, 2023
Commercial real estate$832 $746 $4,974 $786 
Construction/land/land development
— 96 18,505 305 
Residential real estate16,048 5,695 36,221 13,037 
Total real estate16,880 6,537 59,700 14,128 
Commercial and industrial
42 4,706 15,120 15,897 
Consumer46 — 182 90 
Total nonaccrual loans$16,968 $11,243 $75,002 $30,115 
Schedule of Loans Classified as Troubled Debt Restructurings (TDRs)
The tables below summarize modifications made to borrowers experiencing financial difficulty by loan and modification type during the years ended December 31, 2024 and 2023.
Amortized Cost Basis at December 31, 2024
Term ExtensionCombination:
Term Extension and Interest Rate Reduction		Other-Than-Insignificant Payment Delay
(Dollars in thousands)Amortized Cost% of LoansAmortized Cost% of LoansAmortized Cost% of Loans
Loans secured by real estate:
Commercial real estate$2,552 0.10 %$— — %$— — %
Construction/land/land development340 0.04 — — — — 
Residential real estate644 0.03 128 0.01 449 0.02 
Total real estate3,536 0.07 128 — 449 0.01 
Commercial and industrial(1)
17,671 0.88 — — 34 — 
Consumer— — 3 0.01 — — 
Total$21,207 0.28 $131 — $483 0.01 
____________________________
(1)Does not include the loans impacted by the questioned activity as a result of not meeting the modification criteria as described in the Accounting Standards Codification 310-10-50-36, “Modifications”.
Amortized Cost Basis at December 31, 2023
Term ExtensionCombination:
Term Extension and Interest Rate Reduction		Other-Than-Insignificant Payment Delay
(Dollars in thousands)Amortized Cost% of LoansAmortized Cost% of LoansAmortized Cost% of Loans
Loans secured by real estate:
Commercial real estate$7,845 0.32 %$— — %$428 0.02 %
Construction/land/land development3,979 0.37 — — — — 
Residential real estate2,599 0.15 190 0.01 98 0.01 
Total real estate14,423 0.27 190 — 526 0.01 
Commercial and industrial21,093 1.02 1,072 0.05 53 — 
Total$35,516 0.46 $1,262 0.02 $579 0.01 
    The following tables describe the financial effects of the modifications made to borrowers experiencing financial difficulty during the years ended December 31, 2024 and 2023.
Year Ended December 31, 2024
Interest Rate ReductionTerm ExtensionOther-Than-Insignificant Payment Delay
Commercial real estateN/A
Added a weighted average 11.2 months to the life of the modified loans
N/A
Construction/land/land developmentN/A
Added a weighted average 7.5 months to the life of the modified loans
N/A
Residential real estate
Reduced weighted average contractual interest rate from 9.0% to 8.0%
Added a weighted average 10.4 months to the life of the modified loans
Delayed payment of weighted average 7 months
Commercial and industrial(1)
N/A
Added a weighted average 7.6 months to the life of the modified loans
Delayed payment of weighted average 2 months
Consumer
Reduced weighted average contractual interest rate from 9.5% to 6.0%
Added a weighted average 4.9 months to the life of the modified loans
N/A
____________________________
(1)Does not include the loans impacted by the questioned activity as a result of not meeting the modification criteria as described in the Accounting Standards Codification 310-10-50-36, “Modifications”.
Year Ended December 31, 2023
Interest Rate ReductionTerm ExtensionOther-Than-Insignificant Payment Delay
Commercial real estateN/A
Added a weighted average 10.7 months to the life of the modified loans
Delayed payment of weighted average 6 months
Construction/land/land developmentN/A
Added a weighted average 13.0 months to the life of the modified loans
N/A
Residential real estate
Reduced weighted average contractual interest rate from 8.8% to 6.0%
Added a weighted average 32.8 months to the life of the modified loans
Delayed payment of weighted average 2 months
Commercial and industrial
Reduced weighted average contractual interest rate from 9.9% to 8.9%
Added a weighted average 9.5 months to the life of the modified loans
Delayed payment of weighted average 6 months
The following table depicts the performance of loans that have been modified during the years ended December 31, 2024 and 2023.
Payment Status (Amortized Cost Basis)
December 31, 2024
(Dollars in thousands)Current30-89 Days Past Due90 Days or More Past Due
Loans secured by real estate:
Commercial real estate
$2,552 $— $— 
Construction/land/land development
340 — — 
Residential real estate1,086 100 35 
Total real estate3,978 100 35 
Commercial and industrial(1)
16,193 1,511 — 
Consumer— 3 — 
Total LHFI$20,171 $1,614 $35 
____________________________
(1)Does not include the loans impacted by the questioned activity as a result of not meeting the modification criteria as described in the Accounting Standards Codification 310-10-50-36, “Modifications”.
Payment Status (Amortized Cost Basis)
December 31, 2023
(Dollars in thousands)Current30-89 Days Past Due90 Days or More Past Due
Loans secured by real estate:
Commercial real estate
$8,272 $— $— 
Construction/land/land development
3,979 — — 
Residential real estate2,484 120 282 
Total real estate14,735 120 282 
Commercial and industrial22,219 — — 
Total LHFI$36,954 $120 $282 
Schedule of Amortized Cost of Loans with Payment Default
The table below provides the details of loans to borrowers experiencing financial difficulty that were modified within the last twelve months and defaulted during the years ended December 31, 2024 and 2023.
At or For The Year Ended December 31, 2024
Term Extension
(Dollars in thousands)Amortized Cost Default Amount
Residential real estate$35 $35 
Commercial and industrial(1)
819 7,364 
Total$854 $7,399 
____________________________
(1)Does not include the loans impacted by the questioned activity as a result of not meeting the modification criteria as described in the Accounting Standards Codification 310-10-50-36, “Modifications”.
At or For The Year Ended December 31, 2023
Term Extension
(Dollars in thousands)Amortized CostDefault Amount
Residential real estate$282 $282 
Commercial and industrial— 10 
Total$282 $292