Bank Premises And Equipment

12 Months Ended

Dec. 31, 2019

Bank Premises And Equipment [Abstract]

Bank Premises And Equipment

6.BANK PREMISES AND EQUIPMENT

Components of bank premises and equipment are summarized as follows:

		As of December 31,
(dollars in thousands)	2019		2018
Land	$	2,865	$	2,865
Bank premises		14,123		13,902
Furniture, fixtures and equipment		12,523		11,075
Leasehold improvements		9,372		7,263
Construction in process		559		631
Total		39,442		35,736
Less accumulated depreciation and amortization		(17,885)		(16,816)
Bank premises and equipment, net	$	21,557	$	18,920

Depreciation expense, which includes amortization of leasehold improvements, was $1.5 million, $1.3 million and $1.3 million for the years ended December 31, 2019, 2018 and 2017.  The estimated useful life was 40 years for bank premises, 3 to 7 years for furniture and fixtures and for leasehold improvements was the term of the lease.

During the first quarter of 2014, the Company received through foreclosure the deed that secured the collateral for a non-owner occupied commercial real estate loan that was on non-accrual status.  The loan, in the amount $1.0 million, was transferred from loans to foreclosed assets held-for-sale and then to bank premises.  Currently the building has a tenant under a lease agreement expiring in 2021, but the Company expects to use the property for future facility expansion.