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Loans and Allowance for Loan Losses (Tables)
 6 Months Ended
Jun. 30, 2021
Receivables [Abstract]  
Components of Loans in the Consolidated Balance Sheet The following table presents the components of loans as of the periods indicated:
(Dollars in thousands)June 30, 2021December 31, 2020
Commercial and non-residential real estate$1,385,849 $1,141,114 
Residential real estate255,935 240,264 
Home equity24,833 30,828 
Consumer10,112 3,156 
Total1,676,729 1,415,362 
Purchased credit impaired loans:
Commercial and non-residential real estate13,860 21,008 
Residential real estate8,851 16,943 
Consumer431 1,488 
Total purchased credit impaired loans23,142 39,439 
Total Loans$1,699,871 $1,454,801 
Deferred loan origination costs and (fees), net(2,545)(1,057)
Loans receivable$1,697,326 $1,453,744 
Impaired Loans by Class
The following table presents impaired loans by class, excluding PCI loans, segregated by those for which a specific allowance was required and those for which a specific allowance was not necessary as of the periods indicated:
 Impaired Loans with Specific AllowanceImpaired Loans with No Specific AllowanceTotal Impaired Loans
(Dollars in thousands)Recorded InvestmentRelated AllowanceRecorded InvestmentRecorded InvestmentUnpaid Principal Balance
June 30, 2021
Commercial
     Commercial business$4,938 $841 $2,226 $7,164 $8,711 
     Commercial real estate683 243 581 1,264 1,418 
     Acquisition and development— — 1,526 1,526 2,937 
          Total commercial5,621 1,084 4,333 9,954 13,066 
Residential— — 6,966 6,966 7,210 
Home equity69 69 26 95 95 
Consumer— — 3 3 3 
          Total impaired loans$5,690 $1,153 $11,328 $17,018 $20,374 
December 31, 2020
Commercial
     Commercial business$3,431 $1,032 $5,653 $9,084 $10,440 
     Commercial real estate772 264 944 1,716 1,864 
     Acquisition and development— — 2,534 2,534 3,939 
          Total commercial4,203 1,296 9,131 13,334 16,243 
Residential— — 1,960 1,960 2,232 
Home equity— — 95 95 95 
Consumer— — 5 5 5 
          Total impaired loans$4,203 $1,296 $11,191 $15,394 $18,575 
The following table presents the carrying amount of the PCI loan portfolio as of the periods indicated:
(Dollars in thousands)June 30, 2021December 31, 2020
Commercial$13,860 $21,008 
Residential8,851 16,943 
Consumer431 1,488 
Outstanding balance$23,142 $39,439 
Carrying amount, net of allowance$23,142 $39,355 
Average Recorded Investment in Impaired Loans and Related Interest Income Recognized The following table presents the average recorded investment in impaired loans, excluding PCI loans, and related interest income recognized for the periods indicated:
Three Months Ended June 30,
20212020
(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
  Commercial business$6,361 $— $— $4,681 $1 $— 
  Commercial real estate2,154 11 12 3,211 26 29 
  Acquisition and development347 — — 2,038 29 — 
    Total commercial8,862 11 12 9,930 56 29 
Residential7,282 3 3 2,712 6 4 
Home equity69 — — 120 — — 
Consumer3 — — — — — 
Total$16,216 $14 $15 $12,762 $62 $33 
Six Months Ended June 30,
20212020
(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
  Commercial business$6,641 $— $— $3,972 $1 $— 
  Commercial real estate2,216 22 21 3,054 52 52 
  Acquisition and development352 — — 2,043 57 19 
    Total commercial9,209 22 21 9,069 110 71 
Residential4,613 8 7 2,547 11 9 
Home equity69 — — 110 — — 
Consumer3 — — 10 — — 
Total$13,894 $30 $28 $11,736 $121 $80 
Classes of the Loan Portfolio Summarized by the Aggregate Pass and the Criticized Categories The following table represents the classes of the loan portfolio, excluding PCI loans, 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 indicated:
(Dollars in thousands)PassSpecial MentionSubstandardDoubtfulTotal
June 30, 2021
Commercial
     Commercial business$558,052 $18,893 $13,679 $937 $591,561 
     Commercial real estate428,548 24,495 33,781 156 486,980 
     Acquisition and development86,891 7,615 4,315 1,184 100,005 
     SBA PPP207,303 — — — 207,303 
          Total commercial1,280,794 51,003 51,775 2,277 1,385,849 
Residential245,794 920 8,666 555 255,935 
Home equity24,289 379 70 95 24,833 
Consumer10,088 21 3 — 10,112 
          Total Loans$1,560,965 $52,323 $60,514 $2,927 $1,676,729 
December 31, 2020
Commercial
     Commercial business$496,222 $9,529 $17,045 $1,095 $523,891 
     Commercial real estate356,544 32,044 34,001 533 423,122 
     Acquisition and development80,771 25,001 4,184 2,170 112,126 
     SBA PPP81,975 — — — 81,975 
          Total commercial1,015,512 66,574 55,230 3,798 1,141,114 
Residential236,250 948 2,896 170 240,264 
Home equity30,277 381 144 26 30,828 
Consumer3,124 32 — — 3,156 
          Total Loans$1,285,163 $67,935 $58,270 $3,994 $1,415,362 
The following table presents the classes of the PCI 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 indicated:
(Dollars in thousands)PassSpecial MentionSubstandardDoubtfulTotal
June 30, 2021
Commercial
     Commercial business$6,828 $614 $426 $3,358 $11,226 
     Commercial real estate594 2 — 1,663 2,259 
     Acquisition and development140 — — 235 375 
          Total commercial7,562 616 426 5,256 13,860 
Residential6,659 87 1,130 975 8,851 
Consumer429 — — 2 431 
          Total Loans$14,650 $703 $1,556 $6,233 $23,142 
December 31, 2020
Commercial
Commercial business$12,263 $136 $345 $4,860 $17,604 
Commercial real estate982 3 263 21 1,269 
Acquisition and development1,900 — — 235 2,135 
Total commercial15,145 139 608 5,116 21,008 
Residential15,157 — 1,665 121 16,943 
Consumer1,256 — — 232 1,488 
Total Loans$31,558 $139 $2,273 $5,469 $39,439 
Classes of the Loan Portfolio Summarized by Aging Categories
The following table presents the classes of the loan portfolio, excluding PCI loans, summarized by aging categories of performing loans and non-accrual loans as of the periods indicated:
(Dollars in thousands)Current30-59 Days Past Due60-89 Days Past Due90+ Days Past DueTotal Past DueTotal LoansNon-Accrual90+ Days Still Accruing
June 30, 2021
Commercial
     Commercial business$590,008 $626 $— $927 $1,553 $591,561 $6,778 $— 
     Commercial real estate486,692 132 — 156 288 486,980 506 — 
     Acquisition and development98,562 — — 1,443 1,443 100,005 1,527 — 
     SBA PPP207,303 — — — — 207,303 — — 
          Total commercial1,382,565 758 — 2,526 3,284 1,385,849 8,811 — 
Residential248,736 829 236 6,134 7,199 255,935 6,592 — 
Home equity24,660 48 30 95 173 24,833 95 — 
Consumer10,109 3 — — 3 10,112 3 — 
          Total Loans$1,666,070 $1,638 $266 $8,755 $10,659 $1,676,729 $15,501 $— 
December 31, 2020
Commercial
     Commercial business$521,799 $1,040 $33 $1,019 $2,092 $523,891 $8,601 $— 
     Commercial real estate422,343 34 212 533 779 423,122 944 — 
     Acquisition and development109,686 — — 2,440 2,440 112,126 2,534 — 
     SBA PPP81,975 — — — — 81,975 — — 
          Total commercial1,135,803 1,074 245 3,992 5,311 1,141,114 12,079 — 
Residential235,420 2,058 1,969 817 4,844 240,264 1,534 — 
Home equity30,369 289 75 95 459 30,828 95 — 
Consumer3,156 — — — — 3,156 5 — 
          Total Loans$1,404,748 $3,421 $2,289 $4,904 $10,614 $1,415,362 $13,713 $— 
The following table presents the classes of the PCI loan portfolio summarized by aging categories of performing loans and non-accrual loans as of the periods indicated:
(Dollars in thousands)Current30-59 Days Past Due60-89 Days Past Due90+ Days Past DueTotal Past DueTotal Loans
June 30, 2021
Commercial
     Commercial business$6,400 $373 $284 $4,169 $4,826 $11,226 
     Commercial real estate551 — — 1,708 1,708 2,259 
     Acquisition and development— — — 375 375 375 
          Total commercial6,951 373 284 6,252 6,909 13,860 
Residential6,272 212 71 2,296 2,579 8,851 
Consumer429 — — 2 2 431 
          Total Loans$13,652 $585 $355 $8,550 $9,490 $23,142 
December 31, 2020
Commercial
     Commercial business$16,264 $71 $65 $1,204 $1,340 $17,604 
     Commercial real estate1,157 — — 112 112 1,269 
     Acquisition and development2,135 — — — — 2,135 
          Total commercial19,556 71 65 1,316 1,452 21,008 
Residential13,714 710 145 2,374 3,229 16,943 
Consumer1,245 3 1 239 243 1,488 
          Total Loans$34,515 $784 $211 $3,929 $4,924 $39,439 
Allowance Activity
The following table presents the primary segments of the ALL, excluding PCI loans, segregated into the amount required for loans individually evaluated for impairment and the amount required for loans collectively evaluated for impairment as of the periods indicated:
(Dollars in thousands)CommercialResidentialHome EquityConsumerTotal
ALL balance at March 31, 2021$24,279 $1,513 $283 $49 $26,124 
     Charge-offs— — — — — 
     Recoveries204 — 4 — 208 
     Provision (release)(1,824)(150)(3)527 (1,450)
ALL balance at June 30, 2021$22,659 $1,363 $284 $576 $24,882 

(Dollars in thousands)CommercialResidentialHome EquityConsumerTotal
ALL balance at December 31, 2020$24,033 $1,378 $298 $51 $25,760 
     Charge-offs(265)— — — (265)
     Recoveries214 — 8 3 225 
     Provision (release)(1,323)(15)(22)522 (838)
ALL balance at June 30, 2021$22,659 $1,363 $284 $576 $24,882 
Individually evaluated for impairment$1,084 $— $69 $— $1,153 
Collectively evaluated for impairment$21,575 $1,363 $215 $576 $23,729 

The following table presents the primary segments of the Company's loan portfolio, excluding PCI loans, as of the period indicated:
(Dollars in thousands)CommercialResidentialHome EquityConsumerTotal
June 30, 2021
     Individually evaluated for impairment$9,954 $6,966 $95 $3 $17,018 
     Collectively evaluated for impairment1,375,895 248,969 24,738 10,109 1,659,711 
Total Loans$1,385,849 $255,935 $24,833 $10,112 $1,676,729 
The following table presents the primary segments of the ALL, excluding PCI loans, segregated into the amount required for loans individually evaluated for impairment and the amount required for loans collectively evaluated for impairment as of the periods indicated:
(Dollars in thousands)CommercialResidentialHome EquityConsumerTotal
ALL balance at March 31, 2020$9,597 $1,272 $236 $56 $11,161 
     Charge-offs— — (23)— (23)
     Recoveries6 — 2 — 8 
     Provision5,798 574 49 2 6,423 
ALL balance at June 30, 2020$15,401 $1,846 $264 $58 $17,569 

(Dollars in thousands)CommercialResidentialHome EquityConsumerTotal
ALL balance at December 31, 2019$10,098 $1,272 $327 $78 $11,775 
     Charge-offs(1,756)— (23)— (1,779)
     Recoveries6 — 4 2 12 
     Provision (release)7,053 574 (44)(22)7,561 
ALL balance at June 30, 2020$15,401 $1,846 $264 $58 $17,569 
Individually evaluated for impairment$1,547 $— $— $— $1,547 
Collectively evaluated for impairment$13,854 $1,846 $264 $58 $16,022 

The following table presents the primary segments of the Company's loan portfolio, excluding PCI loans, as of the period indicated:
(Dollars in thousands)CommercialResidentialHome EquityConsumerTotal
June 30, 2020
     Individually evaluated for impairment$14,372 $3,082 $102 $— $17,556 
     Collectively evaluated for impairment1,113,420 276,544 37,281 3,525 1,430,770 
Total Loans$1,127,792 $279,626 $37,383 $3,525 $1,448,326 
The following tables summarize the primary segments of the ALL, segregated into the amount required for loans individually evaluated for impairment and the amount required for loans collectively evaluated for impairment for the PCI loan portfolio as of the periods indicated:
(Dollars in thousands)CommercialResidentialTotal
ALL balance at March 31, 2021$90 $— $90 
     Release(90)— (90)
ALL balance at June 30, 2021$— $— $— 

(Dollars in thousands)CommercialResidentialTotal
ALL balance at December 31, 2020$— $84 $84 
     Release— (84)(84)
ALL balance at June 30, 2021$— $— $— 
Collectively evaluated for impairment$— $— $— 

(Dollars in thousands)CommercialResidentialTotal
ALL balance at March 31, 2020$— $— $— 
     Provision121 52 173 
ALL balance at June 30, 2020$121 $52 $173 

(Dollars in thousands)CommercialResidentialTotal
ALL balance at December 31, 2019$— $— $— 
     Provision121 52 173 
ALL balance at June 30, 2020$121 $52 $173 
Collectively evaluated for impairment$121 $52 $173 
Troubled Debt Restructurings on Financing Receivables For the three and six months ended June 30, 2020, the following tables present the new TDRs as of the period indicated:
Three Months Ended June 30,
2020
(Dollars in thousands)Number of ContractsPre-Modification Outstanding Recorded InvestmentPost-Modification Outstanding Recorded Investment
Commercial
     Commercial business3 $6,083 $6,083 
          Total commercial3 6,083 6,083 
Residential1 87 87 
          Total4 $6,170 $6,170 

Six Months Ended June 30,
2020
(Dollars in thousands)Number of ContractsPre-Modification Outstanding Recorded InvestmentPost-Modification Outstanding Recorded Investment
Commercial
     Commercial business5 $6,237 $6,232 
     Commercial real estate2 159 159 
          Total commercial7 6,396 6,391 
Residential1 87 87 
          Total8 $6,483 $6,478 

The pre-modification and post-modification balances represent the balances outstanding immediately before and after modification of the loan.
Schedule of Accretable Yield
The following table presents the accretable yield, or income expected to be collected, as of the periods indicated:
(Dollars in thousands)June 30, 2021December 31, 2020
Beginning balance$8,313 $— 
New loans purchased— 11,746 
Accretion of income(1,960)(2,945)
Other changes in expected cash flows922 (488)
Ending balance$7,275 $8,313