Allowance for Loan Losses (Tables)

The following is a roll forward of the Bank’s allowance for loan losses for the quarters ended March 31:

(dollars in thousands)	Beginning Balance		Provision for Loan Losses			Charge-offs		Recoveries		Ending Balance
2017:
Real estate loans:
Residential properties	$	6,669	$	1,748		$	—	$	—	$	8,417
Commercial properties		2,983		339			—		—		3,322
Land and construction		233		30			—		—		263
Commercial and industrial loans		5,227		(2,057	)		—		231		3,401
Consumer loans		288		9			—		—		297
Total	$	15,400	$	69		$	—	$	231	$	15,700

2016:
Real estate loans:
Residential properties	$	6,799	$	(370	)	$	—	$	—	$	6,429
Commercial properties		1,813		464			—		—		2,277
Land and construction		103		23			—		—		126
Commercial and industrial loans		1,649		140			—		—		1,789
Consumer loans		236		143			—		—		379
Total	$	10,600	$	400		$	—	$	—	$	11,000

The following table presents the balance in the allowance for loan losses and the recorded investment in loans by impairment method as of:

(dollars in thousands)	Allowance for Loan Losses								Unaccreted Credit
	Evaluated for Impairment				Purchased				Component
	Individually		Collectively		Impaired		Total		Other Loans
March 31, 2017:
Allowance for loan losses:
Real estate loans:
Residential properties	$	—	$	8,417	$	—	$	8,417	$	120
Commercial properties		—		3,322		—		3,322		116
Land and construction		—		263		—		263		2
Commercial and industrial loans		—		3,401		—		3,401		134
Consumer loans		—		297		—		297		18
Total	$	—	$	15,700	$	—	$	15,700	$	390
Loans:
Real estate loans:
Residential properties	$	5,992	$	2,077,909	$	—	$	2,083,901	$	12,190
Commercial properties		2,109		477,844		176		480,129		19,736
Land and construction		—		25,057		—		25,057		435
Commercial and industrial loans		2,959		237,204		3,142		243,305		19,626
Consumer loans		—		29,064		—		29,064		1,204
Total	$	11,060	$	2,847,078	$	3,318	$	2,861,456	$	53,191

December 31, 2016:
Allowance for loan losses:
Real estate loans:
Residential properties	$	—	$	6,669	$	—	$	6,669	$	128
Commercial properties		—		2,983		—		2,983		136
Land and construction		—		233		—		233		2
Commercial and industrial loans		—		5,227		—		5,227		147
Consumer loans		—		288		—		288		19
Total	$	—	$	15,400	$	—	$	15,400	$	432
Loans:
Real estate loans:
Residential properties	$	6,093	$	1,774,796	$	—	$	1,780,889	$	12,373
Commercial properties		2,148		474,634		177		476,959		24,796
Land and construction		—		24,100		—		24,100		437
Commercial and industrial loans		753		233,992		3,196		237,941		20,165
Consumer loans		—		32,127		—		32,127		1,266
Total	$	8,994	$	2,539,649	$	3,373	$	2,552,016	$	59,037

Based on the most recent analysis performed, the risk category of loans by class of loans is as follows as of:

(dollars in thousands)	Pass		Special Mention		Substandard		Impaired		Total
March 31, 2017:
Real estate loans:
Residential properties	$	2,076,409	$	1,500	$	—	$	5,992	$	2,083,901
Commercial properties		473,724		1,903		2,393		2,109		480,129
Land and construction		25,057		—		—		—		25,057
Commercial and industrial loans		228,680		5,984		5,682		2,959		243,305
Consumer loans		29,064		—		—		—		29,064
Total	$	2,832,934	$	9,387	$	8,075	$	11,060	$	2,861,456

December 31, 2016:
Real estate loans:
Residential properties	$	1,773,296	$	1,500	$	—	$	6,093	$	1,780,889
Commercial properties		470,484		1,913		2,414		2,148		476,959
Land and construction		24,100		—		—		—		24,100
Commercial and industrial loans		219,676		3,625		13,887		753		237,941
Consumer loans		32,127		—		—		—		32,127
Total	$	2,519,683	$	7,038	$	16,301	$	8,994	$	2,552,016

Impaired loans evaluated individually and any related allowance are as follows as of:

	With No Allowance Recorded				With an Allowance Recorded
(dollars in thousands)	Unpaid Principal Balance		Recorded Investment		Unpaid Principal Balance		Recorded Investment		Related Allowance
March 31, 2017:
Real estate loans:
Residential properties	$	5,992	$	5,992	$	—	$	—	$	—
Commercial properties		2,109		2,109		—		—		—
Commercial and industrial loans		2,959		2,959		—		—		—
Consumer loans		—		—		—		—		—
Total	$	11,060	$	11,060	$	—	$	—	$	—

December 31, 2016:
Real estate loans:
Residential properties	$	6,093	$	6,093	$	—	$	—	$	—
Commercial properties		2,148		2,148		—		—		—
Commercial and industrial loans		753		753		—		—		—
Consumer loans		—		—		—		—		—
Total	$	8,994	$	8,994	$	—	$	—	$	—

The weighted average annualized average balance of the recorded investment for impaired loans, beginning from when the loan became impaired, and any interest income recorded on impaired loans after they became impaired is as follows for the:

	Three months Ended March 31, 2017				Year Ended December 31, 2016
(dollars in thousands)	Average Recorded Investment		Interest Income after Impairment		Average Recorded Investment		Interest Income after Impairment
Real estate loans:
Residential properties	$	6,041	$	20	$	1,970	$	14
Commercial properties		2,130		11		2,252		17
Commercial and industrial loans		2,983		1		1,673		20
Consumer loans		—		—		4		—
Total	$	11,154	$	32	$	5,899	$	51