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Loans and Allowance for Credit Losses (Tables)
12 Months Ended
Dec. 31, 2023
Receivables [Abstract]  
Schedule of Components of Loans in Consolidated Balance Sheet
The components of loans in the Consolidated Balance Sheet at December 31, were as follows:
(Dollars in thousands)20232022
Commercial:
Business$797,100 $851,072 
Real estate670,584 632,839 
Acquisition, development and construction134,004 126,999 
Total commercial$1,601,688 $1,610,910 
Residential real estate672,547 606,970 
Home equity lines of credit14,531 18,734 
Consumer27,408 131,566 
Total loans, excluding PCI2,316,174 2,368,180 
Purchased credit impaired loans:
Residential real estate— 2,482 
Total purchased credit impaired loans$— $2,482 
Total loans2,316,174 2,370,662 
Deferred loan origination costs, net of fees1,420 1,983 
Loans receivable$2,317,594 $2,372,645 
Schedule of Impaired Loans by Class
The following table presents impaired loans by class segregated by those for which a specific allowance was required and those for which a specific allowance was not necessary as of the periods shown:
 Impaired Loans with Specific AllowanceImpaired Loans with No Specific AllowanceTotal Impaired Loans
(Dollars in thousands)Recorded InvestmentRelated AllowanceRecorded InvestmentRecorded InvestmentUnpaid Principal Balance
December 31, 2022
Commercial:
Business$3,436 $1,253 $8,486 $11,922 $16,795 
Real estate1,240 222 546 1,786 1,891 
Acquisition, development and construction— — — — 1,415 
          Total commercial4,676 1,475 9,032 13,708 20,101 
Residential— — 3,098 3,098 3,166 
Home equity lines of credit— — 90 90 94 
Consumer1,347 268 1,351 1,351 
          Total impaired loans$6,023 $1,743 $12,224 $18,247 $24,712 
Schedule of Average Recorded Investment in Impaired Loans and Related Interest Income Recognized
The following table presents the average recorded investment in impaired loans and related interest income recognized for the years ended:
December 31, 2022December 31, 2021
(Dollars in thousands)Average Investment in Impaired LoansInterest Income Recognized on Accrual BasisInterest Income Recognized on Cash BasisAverage Investment in Impaired LoansInterest Income Recognized on Accrual BasisInterest Income Recognized on Cash Basis
Commercial:
Business$12,781 $$$7,701 $— $— 
Real estate1,479 57 59 2,051 60 43 
Acquisition, development and construction273 — — 344 — — 
    Total commercial14,533 65 65 10,096 60 43 
Residential6,952 15 15 5,992 15 14 
Home equity lines of credit149 — — 81 — — 
Consumer915 — — 41 — — 
Total$22,549 $80 $80 $16,210 $75 $57 
Schedule of Classes of the Loan Portfolio Summarized by the Aggregate Pass and the Criticized Categories
The following table presents the amortized cost of loans summarized by the aggregate Pass and the criticized categories of Special Mention, Substandard and Doubtful within the internal risk rating system by vintage year as of the period shown:

Term Loans Amortized Cost Basis by Origination Year
(Dollars in thousands)20232022202120202019PriorRevolving Loans Amortized Cost BasisRevolving Loans Converted to TermTotal
December 31, 2023
Commercial business:
Risk rating:
Pass$176,309 $251,265 $92,307 $64,964 $50,765 $90,355 $20,315 $— $746,280 
Special Mention990 32,342 72 830 339 3,767 — — 38,340 
Substandard368 988 521 — 4,640 1,436 — — 7,953 
Doubtful— 2,022 839 264 — 1,402 — — 4,527 
Total commercial business loans$177,667 $286,617 $93,739 $66,058 $55,744 $96,960 $20,315 $— $797,100 
Gross charge-offs$— $228 $1,250 $141 $— $2,953 $— $— $4,572 
Commercial real estate:
Risk rating:
Pass$80,553 $149,189 $205,651 $11,952 $26,438 $101,322 $51,239 $— $626,344 
Special Mention— — 7,961 — 6,079 11,201 — — 25,241 
Substandard— — — — — 18,999 — — 18,999 
Doubtful— — — — — — — — — 
Total commercial real estate loans$80,553 $149,189 $213,612 $11,952 $32,517 $131,522 $51,239 $— $670,584 
Gross charge-offs$— $— $— $— $— $— $— $— $— 
Commercial acquisition, development and construction:
Risk rating:
Pass$6,546 $54,170 $29,535 $22,041 $— $1,483 $4,823 $— $118,598 
Special Mention— — 14,652 — — — — — 14,652 
Substandard— — — — — 754 — — 754 
Doubtful— — — — — — — — — 
Total commercial acquisition, development and construction loans$6,546 $54,170 $44,187 $22,041 $— $2,237 $4,823 $— $134,004 
Gross charge-offs$— $— $— $— $— $— $— $— $— 
Term Loans Amortized Cost Basis by Origination Year
(Dollars in thousands)20232022202120202019PriorRevolving Loans Amortized Cost BasisRevolving Loans Converted to TermTotal
December 31, 2023
Residential Real Estate:
Risk rating:
Pass$33,867 $413,466 $96,413 $38,169 $7,306 $21,313 $50,815 $— $661,349 
Special Mention— — — 4,224 414 708 — — 5,346 
Substandard— 988 3,764 82 146 777 — — 5,757 
Doubtful— — — — — 95 — — 95 
Total residential real estate loans$33,867 $414,454 $100,177 $42,475 $7,866 $22,893 $50,815 $— $672,547 
Gross charge-offs$— $— $— $— $19 $381 $— $— $400 
Home equity lines of credit:
Risk rating:
Pass$638 $3,798 $1,779 $1,192 $501 $3,084 $3,154 $— $14,146 
Special Mention— 61 — 36 — 41 86 — 224 
Substandard— 83 — 78 — — — — 161 
Doubtful— — — — — — — — — 
Total home equity lines of credit loans$638 $3,942 $1,779 $1,306 $501 $3,125 $3,240 $— $14,531 
Gross charge-offs$— $— $— $— $— $— $— $— $— 
Consumer:
Risk rating:
Pass$2,275 $18,926 $5,753 $$28 $53 $20 $— $27,064 
Special Mention— — — — — — — — — 
Substandard20 266 58 — — — — — 344 
Doubtful— — — — — — — — — 
Total consumer loans$2,295 $19,192 $5,811 $$28 $53 $20 $— $27,408 
Gross charge-offs$1,144 $10,608 $1,753 $— $— $$— $— $13,507 
Total:
Risk rating:
Pass$300,188 $890,814 $431,438 $138,327 $85,038 $217,610 $130,366 $— $2,193,781 
Special Mention990 32,403 22,685 5,090 6,832 15,717 86 — 83,803 
Substandard388 2,325 4,343 160 4,786 21,966 — — 33,968 
Doubtful— 2,022 839 264 — 1,497 — — 4,622 
Total loans$301,566 $927,564 $459,305 $143,841 $96,656 $256,790 $130,452 $— $2,316,174 
Gross charge-offs$1,144 $10,836 $3,003 $141 $19 $3,336 $— $— $18,479 
The following table represents the classes of the loan portfolio summarized by the aggregate Pass and the criticized categories of Special Mention, Substandard and Doubtful within the internal risk rating system as of the periods shown:
(Dollars in thousands)PassSpecial MentionSubstandardDoubtfulTotal
December 31, 2022
Commercial:
Business$830,319 $5,963 $12,103 $2,687 $851,072 
Real estate592,997 18,883 20,600 359 632,839 
Acquisition, development and construction120,788 5,277 934 — 126,999 
          Total commercial1,544,104 30,123 33,637 3,046 1,610,910 
Residential605,513 760 1,556 1,623 609,452 
Home equity lines of credit18,269 375 90 — 18,734 
Consumer131,562 — — 131,566 
          Total loans$2,299,448 $31,258 $35,287 $4,669 $2,370,662 
Schedule of Classes of the Loan Portfolio Summarized by Aging Categories
The following table presents the amortized cost basis in loans by aging category and accrual status as of the periods shown:
(Dollars in thousands)Current30-59 Days Past Due60-89 Days Past Due90+ Days Past DueTotal Past DueTotal LoansNon-Accrual90+ Days Still AccruingNon Accrual with No Credit LossInterest Income Recognized
December 31, 2023
Commercial:
Business$788,430 $4,728 $448 $3,494 $8,670 $797,100 $6,926 $— $1,825 $— 
Real estate670,170 — 414 — 414 670,584 — — — — 
Acquisition, development and construction134,004 — — — — 134,004 754 — 754 — 
          Total commercial1,592,604 4,728 862 3,494 9,084 1,601,688 7,680 — 2,579 — 
Residential670,539 1,671 337 — 2,008 672,547 82 — — — 
Home equity lines of credit14,522 — — 14,531 161 — — — 
Consumer24,494 1,792 778 344 2,914 27,408 344 — — — 
          Total loans$2,302,159 $8,200 $1,977 $3,838 $14,015 $2,316,174 $8,267 $— $2,579 $— 

The following table presents the aging of recorded investment in loans, including accruing and nonaccrual loans, as of the period shown:
(Dollars in thousands)Current30-59 Days Past Due60-89 Days Past Due90+ Days Past DueTotal Past DueTotal LoansNon-Accrual90+ Days Still Accruing
December 31, 2022
Commercial:
Business$850,112 $— $960 $— $960 $851,072 $7,528 $— 
Real estate632,839 — — — — 632,839 — — 
Acquisition, development and construction126,999 — — — — 126,999 — — 
          Total commercial1,609,950 — 960 — 960 1,610,910 7,528 — 
Residential606,554 1,820 1,078 — 2,898 609,452 2,196 — 
Home equity lines of credit18,131 603 — — 603 18,734 90 — 
Consumer120,504 6,848 2,867 1,347 11,062 131,566 1,351 — 
          Total loans$2,355,139 $9,271 $4,905 $1,347 $15,523 $2,370,662 $11,165 $— 
Schedule Of Collateral Dependent Loans At Amortized Cost
The following table presents the amortized cost basis of collateral-dependent loans by class of loans as of the periods shown:
(Dollars in thousands)Real EstateVehicles and EquipmentAssignment of Cash FlowAccounts ReceivableOtherTotalsAllowance for Credit Losses
December 31, 2023
Commercial
Business$424 $2,277 $— $452 $1,037 $4,190 $1,583 
Real estate— — — — — — — 
Acquisition, development and construction— — — — — — — 
Total commercial$424 $2,277 $— $452 $1,037 $4,190 $1,583 
Residential— — — — — — — 
Home equity lines of credit— — — — — — — 
Consumer— 344 — — — 344 60 
Total$424 $2,621 $— $452 $1,037 $4,534 $1,643 
Collateral value$301 $2,040 $— $906 $320 $3,567 
Schedule of Allowance Activity
The following table presents the balance and activity for the primary segments of the ACL as of the periods shown:
Commercial
(Dollars in thousands)BusinessReal EstateAcquisition, development and constructionTotal CommercialResidentialHome Equity Lines of CreditConsumerTotal
ALL, prior to adoption of ASC 326, at December 31, 2022$8,771 $5,704 $1,064 $15,539 $2,880 $131 $5,287 $23,837 
Impact of adopting ASC 326(126)(2,846)288 (2,684)3,889 (5)6,482 7,682 
Provision (release of allowance) for credit losses2,954 71 322 3,347 (541)(33)(4,091)(1,318)
Initial allowance on loans purchased with credit deterioration710 — — 710 507 — — 1,217 
Charge-offs(4,572)— — (4,572)(400)— (13,507)(18,479)
Recoveries194 — 196 77 8,908 9,185 
ACL balance at December 31, 2023$7,931 $2,931 $1,674 $12,536 $6,412 $97 $3,079 $22,124 
Commercial
(Dollars in thousands)BusinessReal EstateAcquisition, development and constructionTotal CommercialResidentialHome Equity Lines of CreditConsumerTotal
ALL, prior to adoption of ASC 326, at December 31, 2021$8,027 $5,091 $982 $14,100 $1,492 $128 $2,546 $18,266 
Provision (release of allowance) for credit losses3,546 486 82 4,114 1,472 (4)8,612 14,194 
Charge-offs(2,858)— — (2,858)(84)— (12,241)(15,183)
Recoveries56 127 — 183 — 6,370 6,560 
ALL, prior to adoption of ASC 326, at December 31, 2022$8,771 $5,704 $1,064 $15,539 $2,880 $131 $5,287 $23,837 
Individually evaluated for impairment$1,253 $222 $— $1,475 $— $— $268 $1,743 
Collectively evaluated for impairment$7,518 $5,482 $1,064 $14,064 $2,880 $131 $5,019 $22,094 
Commercial
(Dollars in thousands)BusinessReal EstateAcquisition, development and constructionTotal CommercialResidentialHome Equity Lines of CreditConsumerTotal
ALL, prior to adoption of ASC 326, at December 31, 2020$12,193 $9,079 $2,761 $24,033 $1,462 $298 $51 $25,844 
Provision (release of allowance) for credit losses(3,113)(3,905)(1,779)(8,797)35 (194)2,681 (6,275)
Charge-offs(1,284)(83)— (1,367)(5)— (247)(1,619)
Recoveries231 — — 231 — 24 61 316 
ALL, prior to adoption of ASC 326, at December 31, 2021$8,027 $5,091 $982 $14,100 $1,492 $128 $2,546 $18,266 
Individually evaluated for impairment$232 $243 $— $475 $— $— $— $475 
Collectively evaluated for impairment$7,795 $4,848 $982 $13,625 $1,492 $128 $2,546 $17,791 
The following table summarizes the primary segments of the loan portfolio as of the period shown:
Commercial
(Dollars in thousands)BusinessReal EstateAcquisition, development and constructionTotal CommercialResidentialHome Equity Lines of CreditConsumerTotal
December 31, 2022
Individually evaluated for impairment$10,451 $1,365 $— $11,816 $2,603 $90 $1,351 $15,860 
Collectively evaluated for impairment840,621 631,474 126,999 1,599,094 606,849 18,644 130,215 2,354,802 
Total loans$851,072 $632,839 $126,999 $1,610,910 $609,452 $18,734 $131,566 $2,370,662 
Schedule of Loans Modified
The following tables summarize the amortized cost basis of loans that were modified during the twelve months ended December 31, 2023:
(Dollars in thousands)Principal ForgivenessPayment DelayTerm ExtensionInterest Rate ReductionTotalTotal Class of Financing Receivable
December 31, 2023
Commercial
Business$— $8,535 $— $— $8,535 %
Real estate— 11,201 1,702 — 12,903 %
Acquisition, development and construction— — 754 — 754 %
Total commercial— 19,736 2,456 — 22,192 %
Residential— — — — — — %
Home equity lines of credit— — — — — — %
Consumer— — — — — — %
Total$— $19,736 $2,456 $— $22,192 %
The following table presents the performance of such loans that have been modified as of the period shown:
(Dollars in thousands)30-59 Days
Past Due
60-89 Days
Past Due
Greater Than
89 Days
Past Due
Total Past Due
December 31, 2023
Commercial
Business$1,702 $418 $3,370 $5,490 
Real estate— — — — 
Acquisition, development and construction— — — — 
Total commercial1,702 418 3,370 5,490 
Residential— — — — 
Home equity lines of credit— — — — 
Consumer— — — — 
Total$1,702 $418 $3,370 $5,490 
Schedule of Modified Loans with Subsequent Default
The following table presents the amortized cost basis of loans that had a payment default and were modified prior to that default to borrowers experiencing financial difficulty as of the period shown:
(Dollars in thousands)Principal ForgivenessPayment DelayTerm ExtensionInterest Rate ReductionTotal
December 31, 2023
Commercial
Business$— $2,634 $— $— $2,634 
Real estate— — — — — 
Total commercial— 2,634 — — 2,634 
Residential— — — — — 
Home equity lines of credit— — — — — 
Consumer— — — — — 
Total$— $2,634 $— $— $2,634