| Loans |
NOTE 4: LOANS
The following is a summary of our loans as of:
|
(dollars in thousands) |
March 31,
2017 |
|
|
December 31,
2016 |
|
|
Outstanding principal balance: |
|
|
|
|
|
|
|
|
Loans secured by real estate: |
|
|
|
|
|
|
|
|
Residential properties: |
|
|
|
|
|
|
|
|
Multifamily |
$ |
1,470,306 |
|
|
$ |
1,178,003 |
|
|
Single family |
|
613,595 |
|
|
|
602,886 |
|
|
Total real estate loans secured by residential properties |
|
2,083,901 |
|
|
|
1,780,889 |
|
|
Commercial properties |
|
480,129 |
|
|
|
476,959 |
|
|
Land and construction |
|
25,057 |
|
|
|
24,100 |
|
|
Total real estate loans |
|
2,589,087 |
|
|
|
2,281,948 |
|
|
Commercial and industrial loans |
|
243,305 |
|
|
|
237,941 |
|
|
Consumer loans |
|
29,064 |
|
|
|
32,127 |
|
|
Total loans |
|
2,861,456 |
|
|
|
2,552,016 |
|
|
Premiums, discounts and deferred fees and expenses |
|
4,254 |
|
|
|
3,693 |
|
|
Total |
$ |
2,865,710 |
|
|
$ |
2,555,709 |
|
As of March 31, 2017 and December 31, 2016, the principal balances shown above are net of unaccreted discount related to loans acquired in an acquisition of $1.5 million and $1.6 million, respectively.
In 2015 the Company purchased loans for which there was, at acquisition, evidence of deterioration of credit quality since origination and it was probable, at acquisition, that all contractually required payments would not be collected. The carrying amount of these purchased credit impaired loans is as follows for the periods indicated:
|
(dollars in thousands) |
March 31,
2017 |
|
|
December 31,
2016 |
|
|
Outstanding principal balance: |
|
|
|
|
|
|
|
|
Total real estate loans |
$ |
293 |
|
|
$ |
295 |
|
|
Commercial and industrial loans |
|
4,189 |
|
|
|
4,258 |
|
|
Consumer loans |
|
— |
|
|
|
17 |
|
|
Total loans |
|
4,482 |
|
|
|
4,570 |
|
|
Unaccreted discount on purchased credit impaired loans |
|
(1,164 |
) |
|
|
(1,198 |
) |
|
Total |
$ |
3,318 |
|
|
$ |
3,373 |
|
Accretable yield, or income expected to be collected on purchased credit impaired loans, is as follows as of:
|
(dollars in thousands) |
March 31,
2017 |
|
|
December 31,
2016 |
|
|
|
|
|
|
|
|
|
|
|
Beginning balance |
$ |
289 |
|
|
$ |
582 |
|
|
Accretion of income |
|
(27 |
) |
|
|
(185 |
) |
|
Reclassifications from nonaccretable difference |
|
— |
|
|
|
— |
|
|
Acquisition |
|
— |
|
|
|
— |
|
|
Disposals |
|
— |
|
|
|
(108 |
) |
|
Ending balance |
$ |
262 |
|
|
$ |
289 |
|
The following table summarizes our delinquent and nonaccrual loans as of:
|
|
|
Past Due and Still Accruing |
|
|
|
|
|
Total Past |
|
|
|
|
|
|
|
|
(dollars in thousands) |
|
30–59 Days |
|
|
60-89 Days |
|
|
90 Days
or More |
|
|
Nonaccrual |
|
|
Due and
Nonaccrual |
|
|
Current |
|
|
Total |
|
|
March 31, 2017: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Real estate loans: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Residential properties |
|
$ |
— |
|
|
$ |
499 |
|
|
$ |
— |
|
|
$ |
3,674 |
|
|
$ |
4,173 |
|
|
$ |
2,079,728 |
|
|
$ |
2,083,901 |
|
|
Commercial properties |
|
|
— |
|
|
|
— |
|
|
|
2,118 |
|
|
|
1,100 |
|
|
|
3,218 |
|
|
|
476,911 |
|
|
|
480,129 |
|
|
Land and construction |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
25,057 |
|
|
|
25,057 |
|
|
Commercial and industrial loans |
|
|
12,975 |
|
|
|
1,322 |
|
|
|
3,778 |
|
|
|
2,927 |
|
|
|
21,002 |
|
|
|
222,303 |
|
|
|
243,305 |
|
|
Consumer loans |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
29,064 |
|
|
|
29,064 |
|
|
Total |
|
$ |
12,975 |
|
|
$ |
1,821 |
|
|
$ |
5,896 |
|
|
$ |
7,701 |
|
|
$ |
28,393 |
|
|
$ |
2,833,063 |
|
|
$ |
2,861,456 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Percentage of total loans |
|
|
0.45 |
% |
|
|
0.06 |
% |
|
|
0.21 |
% |
|
|
0.27 |
% |
|
|
0.99 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
December 31, 2016: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Real estate loans: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Residential properties |
|
$ |
— |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
3,759 |
|
|
$ |
3,759 |
|
|
$ |
1,777,130 |
|
|
$ |
1,780,889 |
|
|
Commercial properties |
|
|
— |
|
|
|
— |
|
|
|
2,128 |
|
|
|
1,120 |
|
|
|
3,248 |
|
|
|
473,711 |
|
|
|
476,959 |
|
|
Land and construction |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
24,100 |
|
|
|
24,100 |
|
|
Commercial and industrial loans |
|
|
— |
|
|
|
2 |
|
|
|
3,800 |
|
|
|
3,359 |
|
|
|
7,161 |
|
|
|
230,780 |
|
|
|
237,941 |
|
|
Consumer loans |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
32,127 |
|
|
|
32,127 |
|
|
Total |
|
$ |
— |
|
|
$ |
2 |
|
|
$ |
5,928 |
|
|
$ |
8,238 |
|
|
$ |
14,168 |
|
|
$ |
2,537,848 |
|
|
$ |
2,552,016 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Percentage of total loans |
|
|
— |
% |
|
|
0.00 |
% |
|
|
0.23 |
% |
|
|
0.32 |
% |
|
|
0.56 |
% |
|
|
|
|
|
|
|
|
The level of delinquent loans and nonaccrual loans have been adversely impacted by the loans acquired in an acquisition. As of March 31, 2017, of the $13.6 million in loans over 90 days past due, including loans on nonaccrual, $3.7 million, or 28% were loans acquired in an acquisition.
During the first quarter ending March 31, 2017, the Company did not have additional loans classified as troubled debt restructurings (“TDR”). As of December 31, 2016, the Company had five loans with a balance of $3.1 million classified as TDR which are included as nonaccrual in the table above. These loans have been paying in accordance with the terms of their restructure.
The following table presents the composition of TDRs by accrual and nonaccrual status as of:
|
|
|
March 31, 2017 |
|
|
|
December 31, 2016 |
|
|
(dollars in thousands) |
|
Accrual |
|
|
|
Nonaccrual |
|
|
Total |
|
|
|
Accrual |
|
|
Nonaccrual |
|
|
Total |
|
|
Commercial and industrial |
|
$ |
272 |
|
|
$ |
2,677 |
|
|
$ |
2,949 |
|
|
$ |
317 |
|
|
$ |
3,109 |
|
|
$ |
3,426 |
|
These loans were classified as a TDR as a result of a reduction in required principal payments and/or an extension of the maturity date of the loans.
|