XML 38 R26.htm IDEA: XBRL DOCUMENT

Loans and Allowance for Credit Losses (Tables)

3 Months Ended

Mar. 31, 2026

Loans

Summary of components of loans

The following table presents the components of the loan portfolio at March 31, 2026 and December 31, 2025:


		March 31,			December 31,
(dollars in thousands)		2026			2025
Commercial		$	593,406		$	547,245
Leases			41,791			43,407
Construction and Land Development			209,421			216,163
1-4 Family Construction			50,629			45,152
Real Estate Mortgage:
1-4 Family Mortgage			488,029			496,142
Multifamily			1,590,091			1,587,338
CRE Owner Occupied			188,588			189,754
CRE Nonowner Occupied			1,185,371			1,165,104
Total Real Estate Mortgage Loans			3,452,079			3,438,338
Consumer and Other			20,716			19,212
Total Loans, Gross			4,368,042			4,309,517
Allowance for Credit Losses			(57,277)			(56,443)
Net Deferred Loan Fees			(8,633)			(8,966)
Total Loans, Net		$	4,302,132		$	4,244,108

Summary of aging in past due loans and nonaccrual status, with and without an ACL, by loan segment

The following tables present the aging in past due loans and loans on nonaccrual status, with and without an ACL by loan segment, as of March 31, 2026 and December 31, 2025:


		Accruing Interest
					30-89 Days			90 Days or			Nonaccrual			Nonaccrual
(dollars in thousands)		Current			Past Due			More Past Due			with ACL			without ACL			Total
March 31, 2026
Commercial		$	593,406		$	—		$	—		$	—		$	—		$	593,406
Leases			41,791			—			—			—			—			41,791
Construction and Land Development			209,393			—			—			—			28			209,421
1-4 Family Construction			50,629			—			—			—			—			50,629
Real Estate Mortgage:
1-4 Family Mortgage			487,540			433			—			—			56			488,029
Multifamily			1,587,908			—			—			2,183			—			1,590,091
CRE Owner Occupied			188,588			—			—			—			—			188,588
CRE Nonowner Occupied			1,176,671			51			—			8,649			—			1,185,371
Total Real Estate Mortgage Loans			3,440,707			484			—			10,832			56			3,452,079
Consumer and Other			19,907			10			—			799			—			20,716
Totals		$	4,355,833		$	494		$	—		$	11,631		$	84		$	4,368,042


		Accruing Interest
					30-89 Days			90 Days or			Nonaccrual			Nonaccrual
(dollars in thousands)		Current			Past Due			More Past Due			with ACL			without ACL			Total
December 31, 2025
Commercial		$	546,499		$	746		$	—		$	—		$	—		$	547,245
Leases			43,407			—			—			—			—			43,407
Construction and Land Development			216,129			—			—			—			34			216,163
1-4 Family Construction			45,152			—			—			—			—			45,152
Real Estate Mortgage:
1-4 Family Mortgage			495,922			164			—			—			56			496,142
Multifamily			1,574,043			—			—			13,295			—			1,587,338
CRE Owner Occupied			189,754			—			—			—			—			189,754
CRE Nonowner Occupied			1,156,397			58			—			8,649			—			1,165,104
Total Real Estate Mortgage Loans			3,416,116			222			—			21,944			56			3,438,338
Consumer and Other			19,212			—			—			—			—			19,212
Totals		$	4,286,515		$	968		$	—		$	21,944		$	90		$	4,309,517

Summary of loan balances classified by credit quality indicators by year of origination

The following tables present loan balances classified by credit quality indicator by year of origination as of March 31, 2026 and December 31, 2025:


		March 31, 2026
(dollars in thousands)		2026			2025			2024			2023			2022			Prior			Revolving			Total
Commercial
Pass	$	118,640		$	126,129		$	76,226		$	15,779		$	27,209		$	36,813		$	177,779		$	578,575
Watch/Special Mention		495			—			1,951			—			—			1,262			750			4,458
Substandard		—			—			129			—			10,244			—			—			10,373
Total Commercial		119,135			126,129			78,306			15,779			37,453			38,075			178,529			593,406
Current Period Gross Write-offs		—			639			—			—			—			—			—			639

Leases
Pass		3,493			14,485			9,419			7,428			4,666			2,300			—			41,791
Total Leases		3,493			14,485			9,419			7,428			4,666			2,300			—			41,791
Current Period Gross Write-offs		—			—			—			—			—			—			—			—

Construction and Land Development
Pass		23,319			128,227			43,750			99			212			363			13,064			209,034
Substandard		—			359			28			—			—			—			—			387
Total Construction and Land Development		23,319			128,586			43,778			99			212			363			13,064			209,421
Current Period Gross Write-offs		—			—			—			—			—			—			—			—

1-4 Family Construction
Pass		2,020			26,713			871			—			—			185			20,840			50,629
Total 1-4 Family Construction		2,020			26,713			871			—			—			185			20,840			50,629
Current Period Gross Write-offs		—			—			—			—			—			—			—			—

Real Estate Mortgage:
1-4 Family Mortgage
Pass		20,969			89,824			65,731			41,942			81,905			103,651			82,541			486,563
Watch/Special Mention		200			—			—			—			—			—			—			200
Substandard		312			898			—			—			56			—			—			1,266
Total 1-4 Family Mortgage		21,481			90,722			65,731			41,942			81,961			103,651			82,541			488,029
Current Period Gross Write-offs		—			—			—			—			—			—			—			—

Multifamily
Pass		95,032			430,659			166,744			76,973			383,958			381,803			10,805			1,545,974
Watch/Special Mention		—			31,509			—			—			—			—			—			31,509
Substandard		2,183			—			—			—			10,425			—			—			12,608
Total Multifamily		97,215			462,168			166,744			76,973			394,383			381,803			10,805			1,590,091
Current Period Gross Write-offs		—			—			—			—			—			—			—			—

CRE Owner Occupied
Pass		7,539			21,988			20,565			22,166			52,371			51,391			1,929			177,949
Watch/Special Mention		—			—			—			1,495			5,762			1,675			—			8,932
Substandard		—			—			—			—			—			1,707			—			1,707
Total CRE Owner Occupied		7,539			21,988			20,565			23,661			58,133			54,773			1,929			188,588
Current Period Gross Write-offs		—			—			—			—			—			—			—			—

CRE Nonowner Occupied
Pass		90,098			352,260			233,374			70,023			200,688			215,045			5,377			1,166,865
Watch/Special Mention		—			—			—			—			—			2,582			—			2,582
Substandard		2,885			12,141			898			—			—			—			—			15,924
Total CRE Nonowner Occupied		92,983			364,401			234,272			70,023			200,688			217,627			5,377			1,185,371
Current Period Gross Write-offs		—			—			—			—			—			—			—			—

Total Real Estate Mortgage Loans		219,218			939,279			487,312			212,599			735,165			757,854			100,652			3,452,079

Consumer and Other
Pass		16			2,791			177			273			227			252			16,171			19,907
Substandard		—			—			—			—			—			799			10			809
Total Consumer and Other		16			2,791			177			273			227			1,051			16,181			20,716
Current Period Gross Write-offs		—			—			—			—			—			—			19			19

Total Period Gross Write-offs		—			639			—			—			—			—			19			658
Total Loans	$	367,201		$	1,237,983		$	619,863		$	236,178		$	777,723		$	799,828		$	329,266		$	4,368,042


		December 31, 2025
(dollars in thousands)		2025			2024			2023			2022			2021			Prior			Revolving			Total
Commercial
Pass	$	163,333		$	83,059		$	17,582		$	28,653		$	14,774		$	25,668		$	201,739		$	534,808
Watch/Special Mention		—			—			584			165			—			—			1,234			1,983
Substandard		—			135			—			10,313			6			—			—			10,454
Total Commercial		163,333			83,194			18,166			39,131			14,780			25,668			202,973			547,245
Current Period Gross Write-offs		21			—			1,239			58			186			—			—			1,504

Leases
Pass		15,721			11,057			8,412			5,390			1,749			1,078			—			43,407
Total Leases		15,721			11,057			8,412			5,390			1,749			1,078			—			43,407
Current Period Gross Write-offs		—			—			—			15			—			—			—			15

Construction and Land Development
Pass		158,592			42,019			1,598			222			412			—			13,286			216,129
Substandard		—			34			—			—			—			—			—			34
Total Construction and Land Development		158,592			42,053			1,598			222			412			—			13,286			216,163
Current Period Gross Write-offs		—			—			—			—			—			—			—			—

1-4 Family Construction
Pass		29,621			2,910			—			196			186			—			12,239			45,152
Total 1-4 Family Construction		29,621			2,910			—			196			186			—			12,239			45,152
Current Period Gross Write-offs		—			—			—			—			—			—			—			—

Real Estate Mortgage:
1-4 Family Mortgage
Pass		98,718			68,467			43,294			85,577			66,080			47,581			85,425			495,142
Substandard		944			—			—			56			—			—			—			1,000
Total 1-4 Family Mortgage		99,662			68,467			43,294			85,633			66,080			47,581			85,425			496,142
Current Period Gross Write-offs		—			—			—			—			—			—			—			—

Multifamily
Pass		440,012			166,790			77,979			405,405			304,191			124,609			10,647			1,529,633
Watch/Special Mention		31,728			—			2,201			—			—			—			—			33,929
Substandard		13,296			—			—			10,480			—			—			—			23,776
Total Multifamily		485,036			166,790			80,180			415,885			304,191			124,609			10,647			1,587,338
Current Period Gross Write-offs		—			—			—			—			—			—			—			—

CRE Owner Occupied
Pass		22,102			20,740			23,532			52,754			28,295			26,910			1,932			176,265
Watch/Special Mention		—			—			1,510			5,823			432			2,171			1,842			11,778
Substandard		—			—			—			—			1,711			—			—			1,711
Total CRE Owner Occupied		22,102			20,740			25,042			58,577			30,438			29,081			3,774			189,754
Current Period Gross Write-offs		—			—			—			—			—			—			—			—

CRE Nonowner Occupied
Pass		367,117			252,912			70,464			216,814			123,618			113,955			4,110			1,148,990
Watch/Special Mention		—			—			—			—			—			—			133			133
Substandard		15,080			901			—			—			—			—			—			15,981
Total CRE Nonowner Occupied		382,197			253,813			70,464			216,814			123,618			113,955			4,243			1,165,104
Current Period Gross Write-offs		—			—			—			—			—			—			—			—

Total Real Estate Mortgage Loans		988,997			509,810			218,980			776,909			524,327			315,226			104,089			3,438,338

Consumer and Other
Pass		3,046			198			306			269			44			1,074			14,275			19,212
Substandard		—			—			—			—			—			—			—			—
Total Consumer and Other		3,046			198			306			269			44			1,074			14,275			19,212
Current Period Gross Write-offs		—			—			4			—			—			—			30			34

Total Period Gross Write-offs		21			—			1,243			73			186			—			30			1,553
Total Loans	$	1,359,310		$	649,222		$	247,462		$	822,117		$	541,498		$	343,046		$	346,862		$	4,309,517

Summary of the activity in the allowance for loan losses by segment

The following tables present the activity in the ACL, by segment, for the three months ended March 31, 2026 and 2025:


					Provision for
					(Recovery of)
					Credit Losses			Loans and			Recoveries			Total Ending
		Beginning			for Loans			Leases			of Loans			Allowance
(dollars in thousands)		Balance			and Leases			Charged-off			and Leases			Balance
Three Months Ended March 31, 2026
Commercial		$	5,982		$	914		$	(639)		$	138		$	6,395
Leases			352			(47)			—			—			305
Construction and Land Development			1,687			9			—			—			1,696
1-4 Family Construction			316			39			—			—			355
Real Estate Mortgage:
1-4 Family Mortgage			2,475			(90)			—			—			2,385
Multifamily			23,775			365			—			—			24,140
CRE Owner Occupied			1,080			(15)			—			—			1,065
CRE Nonowner Occupied			20,595			82			—			—			20,677
Total Real Estate Mortgage Loans			47,925			342			—			—			48,267
Consumer and Other			181			93			(19)			4			259
Total		$	56,443		$	1,350		$	(658)		$	142		$	57,277


					Provision for
					(Recovery of)
					Credit Losses			Loans and			Recoveries			Total Ending
		Beginning			for Loans			Leases			of Loans			Allowance
(dollars in thousands)		Balance			and Leases			Charged-off			and Leases			Balance
Three Months Ended March 31, 2025
Commercial		$	5,630		$	217		$	—		$	—		$	5,847
Leases			368			(3)			—			—			365
Construction and Land Development			866			209			—			—			1,075
1-4 Family Construction			331			(39)			—			—			292
Real Estate Mortgage:
1-4 Family Mortgage			2,795			(210)			—			—			2,585
Multifamily			23,120			807			—			—			23,927
CRE Owner Occupied			1,290			(64)			—			—			1,226
CRE Nonowner Occupied			17,735			579			—			—			18,314
Total Real Estate Mortgage Loans			44,940			1,112			—			—			46,052
Consumer and Other			142			4			(12)			1			135
Total		$	52,277		$	1,500		$	(12)		$	1		$	53,766

The following tables present the balance in the ACL and the recorded investment in loans, by segment, as of March 31, 2026 and December 31, 2025:


		Individually			Collectively
		Evaluated for			Evaluated for
(dollars in thousands)		Credit Loss			Credit Loss			Total
ACL at March 31, 2026
Commercial		$	73		$	6,322		$	6,395
Leases			—			305			305
Construction and Land Development			85			1,611			1,696
1-4 Family Construction			—			355			355
Real Estate Mortgage:
1-4 Family Mortgage			—			2,385			2,385
Multifamily			909			23,231			24,140
CRE Owner Occupied			—			1,065			1,065
CRE Nonowner Occupied			2,889			17,788			20,677
Total Real Estate Mortgage Loans			3,798			44,469			48,267
Consumer and Other			80			179			259
Total		$	4,036		$	53,241		$	57,277


		Individually			Collectively
		Evaluated for			Evaluated for
(dollars in thousands)		Credit Loss			Credit Loss			Total
ACL at December 31, 2025
Commercial		$	134		$	5,848		$	5,982
Leases			—			352			352
Construction and Land Development			—			1,687			1,687
1-4 Family Construction			—			316			316
Real Estate Mortgage:
1-4 Family Mortgage			—			2,475			2,475
Multifamily			789			22,986			23,775
CRE Owner Occupied			—			1,080			1,080
CRE Nonowner Occupied			2,889			17,706			20,595
Total Real Estate Mortgage Loans			3,678			44,247			47,925
Consumer and Other			—			181			181
Total		$	3,812		$	52,631		$	56,443


		Individually			Collectively
		Evaluated for			Evaluated for
(dollars in thousands)		Credit Loss			Credit Loss			Total
Loans at March 31, 2026
Commercial		$	10,373		$	583,033		$	593,406
Leases			—			41,791			41,791
Construction and Land Development			387			209,034			209,421
1-4 Family Construction			—			50,629			50,629
Real Estate Mortgage:
1-4 Family Mortgage			1,266			486,763			488,029
Multifamily			12,608			1,577,483			1,590,091
CRE Owner Occupied			1,707			186,881			188,588
CRE Nonowner Occupied			16,808			1,168,563			1,185,371
Total Real Estate Mortgage Loans			32,389			3,419,690			3,452,079
Consumer and Other			809			19,907			20,716
Total		$	43,958		$	4,324,084		$	4,368,042


		Individually			Collectively
		Evaluated for			Evaluated for
(dollars in thousands)		Credit Loss			Credit Loss			Total
Loans at December 31, 2025
Commercial		$	10,527		$	536,718		$	547,245
Leases			—			43,407			43,407
Construction and Land Development			34			216,129			216,163
1-4 Family Construction			—			45,152			45,152
Real Estate Mortgage:
1-4 Family Mortgage			1,000			495,142			496,142
Multifamily			23,776			1,563,562			1,587,338
CRE Owner Occupied			3,553			186,201			189,754
CRE Nonowner Occupied			16,867			1,148,237			1,165,104
Total Real Estate Mortgage Loans			45,196			3,393,142			3,438,338
Consumer and Other			—			19,212			19,212
Total		$	55,757		$	4,253,760		$	4,309,517

Summary of amortized cost basis of collateral dependent loans, by the primary collateral type, which are individually evaluated to determine expected credit losses, and the related ACL allocated

The following tables present the amortized cost basis of collateral dependent loans by the primary collateral type, which are individually evaluated to determine expected credit losses, and the related ACL allocated to these loans, as of March 31, 2026 and December 31, 2025:


		Primary Type of Collateral
					Business									ACL
(dollars in thousands)		Real Estate			Assets			Other			Total			Allocation
March 31, 2026
Commercial		$	—		$	144		$	10,229		$	10,373		$	73
Leases			—			—			—			—			—
Construction and Land Development			387			—			—			387			85
1-4 Family Construction			—			—			—			—			—
Real Estate Mortgage:
1-4 Family Mortgage			1,266			—			—			1,266			—
Multifamily			12,608			—			—			12,608			909
CRE Owner Occupied			1,707			—			—			1,707			—
CRE Nonowner Occupied			16,808			—			—			16,808			2,889
Total Real Estate Mortgage Loans			32,389			—			—			32,389			3,798
Consumer and Other			—			—			809			809			80
Totals		$	32,776		$	144		$	11,038		$	43,958		$	4,036


		Primary Type of Collateral
					Business									ACL
(dollars in thousands)		Real Estate			Assets			Other			Total			Allocation
December 31, 2025
Commercial		$	72		$	159		$	10,296		$	10,527		$	134
Construction and Land Development			34			—			—			34			—
Real Estate Mortgage:
1-4 Family Mortgage			1,000			—			—			1,000			—
Multifamily			23,776			—			—			23,776			789
CRE Owner Occupied			3,553			—			—			3,553			—
CRE Nonowner Occupied			16,867			—			—			16,867			2,889
Total Real Estate Mortgage Loans			45,196			—			—			45,196			3,678
Totals		$	45,302		$	159		$	10,296		$	55,757		$	3,812