Loans (Tables)

9 Months Ended

Sep. 30, 2020

Loans [Abstract]

Schedule of Loans

	At		At
	September 30,		December 31,
(In thousands)	2020		2019
Commercial real estate	$	426,184	$	418,356
Commercial (1)		582,763		451,791
Residential real estate		36,920		45,695
Construction and land development		35,768		46,763
Consumer		7,024		12,737
Mortgage warehouse		275,763		—
		1,364,422		975,342
Allowance for loan losses		(17,788)		(13,844)
Deferred loan fees, net		(5,293)		(2,212)
Net loans	$	1,341,341	$	959,286

(1) Includes $78.0 million in PPP loans at September 30, 2020. There were no PPP loans at December 31, 2019.

Schedule of Allowance for Loan Losses by Portfolio Segment

	For the three months ended September 30,
(In thousands)	Commercial Real Estate		Commercial		Residential ‎Real ‎Estate		Construction and Land Development		Consumer		Mortgage Warehouse		Unallocated		Total
Allowance for loan losses:
Balance at June 30, 2020	$	6,758	$	7,925	$	207	$	955	$	851	$	462	$	—	$	17,158
Charge-offs		—		(78)		—		—		(96)		—		—		(174)
Recoveries		—		—		—		—		44		—		—		44
Provision (credit)		106		869		(11)		(376)		(55)		227		—		760
Balance at September 30, 2020	$	6,864	$	8,716	$	196	$	579	$	744	$	689	$	—	$	17,788
Balance at June 30, 2019	$	4,579	$	5,289	$	231	$	649	$	928	$	—	$	114	$	11,790
Charge-offs		—		—		—		—		(240)		—		—		(240)
Recoveries		—		20		3		—		31		—		—		54
Provision (credit)		366		339		(6)		15		63		—		56		833
Balance at September 30, 2019	$	4,945	$	5,648	$	228	$	664	$	782	$	—	$	170	$	12,437

	For the nine months ended September 30,
(In thousands)	Commercial Real Estate		Commercial		Residential ‎Real ‎Estate		Construction and Land Development		Consumer		Mortgage Warehouse		Unallocated		Total
Allowance for loan losses:
Balance at December 31, 2019	$	6,104	$	6,086	$	254	$	749	$	650	$	—	$	1	$	13,844
Charge-offs		(118)		(175)		—		(24)		(609)		—		—		(926)
Recoveries		—		7		4		—		128		—		—		139
Provision (credit)		878		2,798		(62)		(146)		575		689		(1)		4,731
Balance at September 30, 2020	$	6,864	$	8,716	$	196	$	579	$	744	$	689	$	—	$	17,788
Balance at December 31, 2018	$	4,152	$	5,742	$	251	$	738	$	710	$	—	$	87	$	11,680
Charge-offs		—		(2,223)		—		—		(787)		—		—		(3,010)
Recoveries		—		35		7		—		76		—		—		118
Provision (credit)		793		2,094		(30)		(74)		783		—		83		3,649
Balance at September 30, 2019	$	4,945	$	5,648	$	228	$	664	$	782	$	—	$	170	$	12,437

Schedule of Loan Balances by Segment

(In thousands)	Commercial Real Estate		Commercial		Residential Real Estate		Construction and Land Development		Consumer		Mortgage Warehouse		Unallocated		Total
September 30, 2020
Allowance for loan losses:
Ending balance:
Individually evaluated
for impairment	$	1,160	$	351	$	—	$	—	$	—	$	—	$	—	$	1,511
Ending balance:
Collectively evaluated
for impairment		5,704		8,365		196		579		744		689		—		16,277
Total allowance for loan
losses ending balance	$	6,864	$	8,716	$	196	$	579	$	744	$	689	$	—	$	17,788
Loans:
Ending balance:
Individually evaluated
for impairment	$	21,205	$	4,447	$	163	$	—	$	—	$	—			$	25,815
Ending balance:
Collectively evaluated
for impairment		404,979		578,316		36,757		35,768		7,024		275,763				1,338,607
Total loans ending balance	$	426,184	$	582,763	$	36,920	$	35,768	$	7,024	$	275,763			$	1,364,422

(In thousands)	Commercial Real Estate		Commercial		Residential Real Estate		Construction and Land Development		Consumer		Mortgage Warehouse		Unallocated		Total
December 31, 2019
Allowance for loan losses:
Ending balance:
Individually evaluated
for impairment	$	1,508	$	174	$	—	$	—	$	—	$	—	$	—	$	1,682
Ending balance:
Collectively evaluated
for impairment		4,596		5,912		254		749		650		—		1		12,162
Total allowance for loan
losses ending balance	$	6,104	$	6,086	$	254	$	749	$	650	$	—	$	1	$	13,844
Loans:
Ending balance:
Individually evaluated
for impairment	$	20,990	$	3,326	$	182	$	165	$	—	$	—			$	24,663
Ending balance:
Collectively evaluated
for impairment		397,366		448,465		45,513		46,598		12,737		—				950,679
Total loans ending balance	$	418,356	$	451,791	$	45,695	$	46,763	$	12,737	$	—			$	975,342

Schedule of Non-Accrual Loans and Loan Delinquencies by Portfolio Segment

													90 Days
					90 Days		Total						or More
	30 - 59		60 - 89		or More		Past		Total		Total		Past Due		Non-accrual
(In thousands)	Days		Days		Past Due		Due		Current		Loans		and Accruing		Loans
September 30, 2020
Commercial real estate	$	—	$	205	$	—	$	205	$	425,979	$	426,184	$	—	$	19,834
Commercial		172		—		291		463		582,300		582,763		—		4,155
Residential real estate		327		176		1,033		1,536		35,384		36,920		—		1,166
Construction and
land development		—		—		—		—		35,768		35,768		—		—
Consumer		77		44		51		172		6,852		7,024		—		51
Mortgage warehouse		—		—		—		—		275,763		275,763		—		—
Total	$	576	$	425	$	1,375	$	2,376	$	1,362,046	$	1,364,422	$	—	$	25,206
December 31, 2019
Commercial real estate	$	473	$	18,256	$	1,368	$	20,097	$	398,259	$	418,356	$	—	$	1,701
Commercial		529		85		484		1,098		450,693		451,791		—		2,955
Residential real estate		715		154		832		1,701		43,994		45,695		—		969
Construction and
land development		—		—		165		165		46,598		46,763		—		165
Consumer		111		58		38		207		12,530		12,737		—		37
Mortgage warehouse		—		—		—		—		—		—		—		—
Total	$	1,828	$	18,553	$	2,887	$	23,268	$	952,074	$	975,342	$	—	$	5,827

Schedule of Impaired Loans

	September 30, 2020						December 31, 2019
			Unpaid						Unpaid
	Recorded		Principal		Related		Recorded		Principal		Related
(In thousands)	Investment		Balance		Allowance		Investment		Balance		Allowance
With no related allowance recorded:
Commercial real estate	$	1,209	$	1,209	$	—	$	2,070	$	2,082	$	—
Commercial		345		353		—		1,348		1,745		—
Residential real estate		163		163		—		182		182		—
Construction and land development		—		—		—		165		165		—
Consumer		—		—		—		—		—		—
Mortgage warehouse		—		—		—		—		—		—
Total impaired with no related allowance		1,717		1,725		—		3,765		4,174		—
With an allowance recorded:
Commercial real estate		19,996		20,190		1,160		18,920		18,921		1,508
Commercial		4,102		4,644		351		1,978		2,085		174
Residential real estate		—		—		—		—		—		—
Construction and land development		—		—		—		—		—		—
Consumer		—		—		—		—		—		—
Mortgage warehouse		—		—		—		—		—		—
Total impaired with an allowance recorded		24,098		24,834		1,511		20,898		21,006		1,682
Total
Commercial real estate		21,205		21,399		1,160		20,990		21,003		1,508
Commercial		4,447		4,997		351		3,326		3,830		174
Residential real estate		163		163		—		182		182		—
Construction and land development		—		—		—		165		165		—
Consumer		—		—		—		—		—		—
Mortgage warehouse		—		—		—		—		—		—
Total impaired loans	$	25,815	$	26,559	$	1,511	$	24,663	$	25,180	$	1,682

	Three Months Ended September 30,
	2020				2019
	Average		Interest		Average		Interest
	Recorded		Income		Recorded		Income
(In thousands)	Investment		Recognized		Investment		Recognized
With no related allowance recorded:
Commercial real estate	$	1,383	$	28	$	2,420	$	15
Commercial		354		4		2,119		7
Residential real estate		163		1		282		7
Construction and land development		—		—		216		—
Consumer		—		—		—		—
Mortgage warehouse		—		—		—		—
Total impaired with no related allowance		1,900		33		5,037		29
With an allowance recorded:
Commercial real estate		20,354		1		—		—
Commercial		4,178		—		1,927		—
Residential real estate		—		—		—		—
Construction and land development		—		—		—		—
Consumer		—		—		—		—
Mortgage warehouse		—		—		—		—
Total impaired with an allowance recorded		24,532		1		1,927		—
Total
Commercial real estate		21,737		29		2,420		15
Commercial		4,532		4		4,046		7
Residential real estate		163		1		282		7
Construction and land development		—		—		216		—
Consumer		—		—		—		—
Mortgage warehouse		—		—		—		—
Total impaired loans	$	26,432	$	34	$	6,964	$	29

	Nine Months Ended September 30,
	2020				2019
	Average		Interest		Average		Interest
	Recorded		Income		Recorded		Income
(In thousands)	Investment		Recognized		Investment		Recognized
With no related allowance recorded:
Commercial real estate	$	1,455	$	56	$	2,442	$	45
Commercial		373		14		2,397		20
Residential real estate		164		6		334		15
Construction and land development		83		—		216		—
Consumer		—		—		—		—
Mortgage warehouse		—		—		—		—
Total impaired with no related allowance		2,075		76		5,389		80
With an allowance recorded:
Commercial real estate		20,695		253		—		—
Commercial		4,454		1		3,133		—
Residential real estate		—		—		—		—
Construction and land development		—		—		—		—
Consumer		—		—		—		—
Mortgage warehouse		—		—		—		—
Total impaired with an allowance recorded		25,149		254		3,133		—
Total
Commercial real estate		22,150		309		2,442		45
Commercial		4,827		15		5,530		20
Residential real estate		164		6		334		15
Construction and land development		83		—		216		—
Consumer		—		—		—		—
Mortgage warehouse		—		—		—		—
Total impaired loans	$	27,224	$	330	$	8,522	$	80

Schedule of Troubled Debt Restructurings

	Nine Months Ended September 30,
	2020					2019
(Dollars in thousands)	Number of Contracts	Pre- ‎Modification ‎Outstanding ‎Recorded ‎Investment		Post-Modification ‎Outstanding ‎Recorded ‎Investment		Number of Contracts	Pre- ‎Modification ‎Outstanding ‎Recorded ‎Investment		Post-Modification ‎Outstanding ‎Recorded ‎Investment
Troubled debt restructurings:
Commercial real estate	9	$	18,811	$	20,311	—	$	—	$	—
Commercial	1		81		81	1		1,963		1,963
	10	$	18,892	$	20,392	1	$	1,963	$	1,963

Schedule of Loans by Risk Rating and Portfolio Segment

(In thousands)	Commercial Real Estate		Commercial		Residential Real Estate			Construction ‎and Land ‎Development	Consumer		Mortgage Warehouse		Total
September 30, 2020
Grade:
Pass	$	393,589	$	555,693	$	—	$	35,768	$	—	$	275,763	$	1,260,813
Special mention		12,761		19,064		—		—		—		—		31,825
Substandard		19,834		8,006		1,462		—		—		—		29,302
Not formally rated		—		—		35,458		—		7,024		—		42,482
Total	$	426,184	$	582,763	$	36,920	$	35,768	$	7,024	$	275,763	$	1,364,422
December 31, 2019
Grade:
Pass	$	396,217	$	433,076	$	—	$	46,598	$	—	$	—	$	875,891
Special mention		1,936		14,044		—		—		—		—		15,980
Substandard		20,203		4,671		1,379		165		—		—		26,418
Not formally rated		—		—		44,316		—		12,737		—		57,053
Total	$	418,356	$	451,791	$	45,695	$	46,763	$	12,737	$	—	$	975,342