(5) Loans

The components of loans receivable as of March 31, 2017 and December 31, 2016 were as follows:

Loan Components

	March 31, 2017			December 31, 2016
Commercial:
Commercial and industrial	$	230,306		$	235,946
Commercial real estate owner occupied		261,971			231,348
Commercial real estate non-owner occupied		729,102			742,662
Land and development		67,336			67,165
Consumer:
Home equity lines of credit		105,885			110,377
Home equity term loans		8,405			9,104
Residential real estate		205,573			210,874
Other		1,897			2,442
Total gross loans held-for-investment		1,610,475			1,609,918
Allowance for loan losses		(15,716	)		(15,541	)
Net loans held-for-investment	$	1,594,759		$	1,594,377

The following table is a comparison of the Company’s non-accrual loans as of March 31, 2017 and December 31, 2016:

Loans on Non-Accrual Status

	March 31, 2017		December 31, 2016
Commercial:
Commercial & industrial	$	78	$	—
Commercial real estate owner occupied		216		213
Commercial real estate non-owner occupied		504		517
Consumer:
Home equity lines of credit		68		72
Home equity term loans		68
Residential real estate		1,748		810
Other		—		85
Total non-accrual loans	$	2,682	$	1,697
Troubled debt restructuring, non-accrual	$	1,395	$	1,404

Many of the Company’s commercial and industrial loans have a real estate component as part of the collateral securing the loan. Additionally, the Company makes commercial real estate loans for the acquisition, refinance, improvement and construction of real property. Loans secured by owner-occupied properties are dependent upon the successful operation of the borrower’s business. If the operating company experiences difficulties in terms of sales volume and/or profitability, the borrower’s ability to repay the loan may be impaired. Loans secured by properties where repayment is dependent upon payment of rent by third-party tenants or the sale of the property may be impacted by loss of tenants, lower lease rates needed to attract new tenants or the inability to sell a completed project in a timely fashion and at a profit.

As of March 31, 2017, the Company had $3.0 million outstanding on one commercial construction and land development relationship for which the agreement included interest reserves. As of December 31, 2016, the Company had $5.9 million outstanding on two commercial construction relationships for which the agreement included interest reserves. The total amount available in those reserves to fund interest payments was $130 thousand and $214 thousand at March 31, 2017 and December 31, 2016, respectively. There were no relationships with interest reserves which were on non-accrual status at March 31, 2017 and December 31, 2016. Construction projects are monitored throughout their lives by the Company through either internal resources or professional inspectors engaged by the Company. The budgets for loan advances and borrower equity injections are developed at the time of underwriting in conjunction with the review of the plans and specifications for the project being financed. Advances of the Company’s funds are based on the prepared budgets and will not be made unless the project has been inspected by the Company’s professional inspector who must certify that the work related to the advance is in place and properly complete. As it relates to construction project financing, the Company does not extend, renew or restructure terms unless its borrower posts cash collateral in an interest reserve.

Included in the Company’s loan portfolio are modified commercial loans. Per FASB ASC 310-40, Troubled Debt Restructurings, (“FASB ASC 310-40”), a modification is one in which the creditor, for economic or legal reasons related to the debtor’s financial difficulties, grants a concession to the debtor that it would not otherwise consider, such as providing a below market interest rate and/or forgiving principal or previously accrued interest; this modification may stem from an agreement or be imposed by law or a court, and may involve a multiple note structure. Generally, prior to the modification, the loans which are modified as a TDR are already classified as non-performing. These loans may only be returned to performing (i.e. accrual status) after considering the borrower’s sustained repayment performance for a reasonable amount of time, generally six months; this sustained repayment performance may include the period of time just prior to the restructuring.