The Company adopted ASU 2016-13 on January 1, 2023. All disclosures as of March 31, 2023 are presented in accordance with ASU 2016-13. The Company did not reclassify comparative financial periods and has presented those disclosures under previously-applied U.S. GAAP.


	March 31, 2023
	(In thousands)
Residential one-to-four family	$	592,809
Multifamily	695,207
Non-residential	239,844
Construction	28,141
Junior liens	19,644
Commercial and industrial (including PPP) (1)	10,357
Consumer and other	58
Total loans	1,586,060


Allowance for credit losses on loans (2)	(14,153)
Loans receivable, net	$	1,571,907


	December 31, 2022
	(In thousands)
Residential one-to-four family	$	594,521
Multifamily	690,278
Non-residential	216,394
Construction	17,990
Junior liens	18,477
Commercial and industrial (including PPP) (1)	4,682
Consumer and other	38
Total gross loans	1,542,380
Deferred fees, costs and premiums and discounts, net	2,747
Total loans	1,545,127
Allowance for loan losses	(13,400)
Loans receivable, net	$	1,531,727

Loans are recorded at amortized cost, which includes principal balance, net deferred fees or costs, premiums and discounts. The Company elected to exclude accrued interest receivable from amortized cost. Accrued interest receivable is reported separately in the consolidated balance sheets and totaled $5.6 million and $5.3 million at March 31, 2023 and December 31, 2022, respectively. Loan origination fees and certain direct loan origination costs are deferred and the net fee or cost is recognized in interest income as an adjustment of yield. At March 31, 2023, net deferred loan fees are included in loans by respective segment and totaled $2.6 million.

The Company had $2.6 million of loans held-for-sale at March 31, 2023 and no loans held-for-sale at December 31, 2022. Loans held-for-sale are carried at the lower of aggregate cost or estimated fair value. Gains and losses on sales of loans are specifically identified and accounted for in accordance with U.S. GAAP.

•Payment on multifamily and non-residential mortgages is driven principally by operating results of the managed properties or underlying business and secondarily by the sale or refinance of such properties. Both primary and secondary sources of repayment and the value of the properties in liquidation, may be affected to a greater extent by adverse conditions in the real estate market or the economy in general.

•Properties underlying construction loans often do not generate sufficient cash flows to service debt and thus repayment is subject to the ability of the borrower and, if applicable, guarantors, to complete development or construction of the property and carry the project, often for extended periods of time. As a result, the performance of these loans is contingent upon future events whose probability at the time of origination is uncertain.

•Commercial and industrial (“C&I”) loans include C&I revolving lines of credit, term loans, SBA 7a loans and to a lesser extent, PPP loans. Payments on C&I loans are driven principally by the cash flows of the businesses and secondarily by the sale or refinance of any collateral securing the loans. Both the cash flow and value of the collateral in liquidation may be affected by adverse general economic conditions.

•The ability of borrowers to service debt in the residential one-to-four family, junior liens and consumer loan portfolios is generally subject to personal income which may be impacted by general economic conditions, such as increased unemployment levels. These loans are predominately collateralized by first and second liens on single family properties. If a borrower cannot maintain the loan, the Company’s ability to recover against the collateral in sufficient amount and in a timely manner may be significantly influenced by market, legal and regulatory conditions.

The Company categorizes loans into risk categories based on relevant information about the quality and realizable value of collateral, if any, and the ability of borrowers to service their debts such as: current financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. The Company analyzes loans individually by classifying the loans by credit risk. This analysis is performed whenever a credit is extended, renewed, or modified, or when an observable event occurs indicating a potential decline in credit quality, and no less than annually for large balance loans. The Company used the following definitions for risk ratings for loan classification:

Special Mention – Loans classified as special mention have a potential weakness that deserves management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or the Company’s credit position at some future date.

Substandard – Loans classified as substandard are inadequately protected by the current sound worth and paying capacity of the obligor, or of the collateral pledged, if any. Loans so classified have a well-defined weakness or weaknesses that jeopardize the repayment and liquidation of the debt. They are characterized by a distinct possibility that the Company will sustain some loss if the deficiencies are not corrected.

Doubtful – Loans classified as doubtful have all the weaknesses inherent in those classified as Substandard, with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently known facts, conditions, and values, highly questionable and improbable.

Loss – Assets classified as loss are considered uncollectible and of such little value that their continuance as bankable assets is not warranted. This classification does not mean that the asset has absolutely no recovery or salvage value, but rather that it is not practical or desirable to defer writing off the asset even though partial recovery may be effected in the future.


	Term Loans by Origination Year
	2023		2022		2021		2020		2019		Pre-2019		Revolving Loans		Total
Residential one-to-four family
Pass	$	6,646	$	101,708	$	121,744	$	16,046	$	19,409	$	319,827	$	—	$	585,380

Substandard	—		—		—		—		—		7,429		—		7,429


Total	6,646		101,708		121,744		16,046		19,409		327,256		—		592,809
Multifamily
Pass	10,279		283,488		161,788		36,050		60,244		142,859		—		694,708

Substandard	—		—		—		—		—		499		—		499


Total	10,279		283,488		161,788		36,050		60,244		143,358		—		695,207
Non-residential
Pass	25,819		121,004		14,953		15,426		5,531		56,053		—		238,786
Special mention	—		—		—		—		—		1,058		—		1,058



Total	25,819		121,004		14,953		15,426		5,531		57,111		—		239,844
Construction
Pass	4,937		11,279		11,809		—		—		116		—		28,141




Total	4,937		11,279		11,809		—		—		116		—		28,141
Junior liens
Pass	1,403		5,199		1,387		396		2,163		9,044		—		19,592

Substandard	—		—		—		—		—		52		—		52


Total	1,403		5,199		1,387		396		2,163		9,096		—		19,644
Commercial and industrial (including PPP)
Pass	6,557		112		3,407		216		—		—		—		10,292

Substandard (1)	—		—		65		—		—		—		—		65


Total	6,557		112		3,472		216		—		—		—		10,357
Consumer and other
Pass	41		—		—		—		—		—		17		58




Total	41		—		—		—		—		—		17		58
Total gross loans	$	55,682	$	522,790	$	315,153	$	68,134	$	87,347	$	536,937	$	17	$	1,586,060


	Pass		Special Mention		Substandard		Doubtful / Loss		Total
	(In thousands)
Residential one-to-four family	$	589,137	$	247	$	7,870	$	—	$	597,254
Multifamily	689,277		897		516		—		690,690
Non-residential	214,981		1,080		—		—		216,061
Construction	17,799		—		—		—		17,799
Junior liens	18,579		—		52		—		18,631
Commercial and Industrial (including PPP)	4,653		—		—		—		4,653
Consumer and other	8		—		31		—		39
Total	$	1,534,434	$	2,224	$	8,469	$	—	$	1,545,127


	30-59 Days Past Due		60-89 Days Past Due		90 Days and Greater Past Due		Total Past Due		Current		Total Loans Receivable
	(In thousands)
March 31, 2023
Residential one-to-four family	$	1,718	$	65	$	6,309	$	8,092	$	584,717	$	592,809
Multifamily	—		—		—		—		695,207		695,207
Non-residential	159		—		—		159		239,685		239,844
Construction	—		—		—		—		28,141		28,141
Junior liens	—		—		52		52		19,592		19,644
Commercial and Industrial (including PPP)	—		—		65		65		10,292		10,357
Consumer and other	—		—		—		—		58		58
Total	$	1,877	$	65	$	6,426	$	8,368	$	1,577,692	$	1,586,060

December 31, 2022
Residential one-to-four family	$	—	$	845	$	6,738	$	7,583	$	589,671	$	597,254
Multifamily	—		—		182		182		690,508		690,690
Non-residential	—		—		—		—		216,061		216,061
Construction	—		—		—		—		17,799		17,799
Junior liens	—		—		52		52		18,579		18,631
Commercial and Industrial (including PPP)	—		—		96		96		4,557		4,653
Consumer and other	—		—		—		—		39		39
Total	$	—	$	845	$	7,068	$	7,913	$	1,537,214	$	1,545,127


	Non-accrual		Interest Income Recognized on Non-accrual Loans		Amortized Cost Basis of Loans >= 90 Day Past Due and Still Accruing		Amortized Cost Basis of Non-accrual Loans Without Related Allowance
	(In thousands)
Residential one-to-four family	$	7,572	$	—	$	—	$	7,572
Multifamily	168		—		—		168
Non-residential	—		—		—		—
Construction	—		—		—		—
Commercial and industrial (including PPP)	65		—		—		65
Junior liens	52		—		—		52
Total	$	7,857	$	—	$	—	$	7,857


	Non-accrual		Loans Past Due 90 Days and Still Accruing

	(In thousands)
Residential one-to-four family	$	7,498	$	—
Multifamily	182		—
Non-residential	—		—
Construction	—		—
Commercial and industrial (including PPP) (1)	35		61
Junior liens	52		—
Total	$	7,767	$	61


	March 31, 2022						Three Months Ended March 31, 2022
	Unpaid Principal Balance		Recorded Investment		Allowance for Loan Losses Allocated		Average Recorded Investment		Interest Income Recognized		Cash Basis Interest Recognized
	(In thousands)
With no related allowance recorded:
Residential one-to-four family	$	7,426	$	7,714	$	—	$	8,769	$	111	$	111
Multifamily	672		671		—		678		6		4
Non-residential	4,672		4,510		—		4,548		54		49


Junior liens	54		54		—		55		1		1
	12,824		12,949		—		14,050		172		165
With an allowance recorded:
Residential one-to-four family	1,055		1,054		28		1,057		12		8





	1,055		1,054		28		1,057		12		8
Total	$	13,879	$	14,003	$	28	$	15,107	$	184	$	173


	December 31, 2022
	Unpaid Principal Balance		Recorded Investment		Allowance for Loan Losses Allocated
	(In thousands)
With no related allowance recorded:
Residential one-to-four family	$	7,368	$	7,669	$	—
Multifamily	516		516		—
Non-residential	2,834		2,671		—


Junior liens	52		52		—
	10,770		10,908		—
With an allowance recorded:
Residential one-to-four family	743		749		27





	743		749		27
Total	$	11,513	$	11,657	$	27

The Company adopted ASU 2022-02 on January 1, 2023. During the three months ended March 31, 2023, there were no loan modifications that met the definition of a modification to a borrower experiencing financial difficulty in accordance with ASU 2022-02. The Company did not reclassify comparative financial periods and has presented those disclosures under previously-applied U.S. GAAP.

The total recorded investment of loans whose terms were modified in TDRs was $5.4 million as of December 31, 2022. The Company allocated $68 thousand of specific reserves to TDR loans as of December 31, 2022. The modification of the terms of TDR loans may have included one or a combination of the following: a reduction of the stated interest rate of the loan, short-term deferral of payment, or an extension of the maturity date.

A TDR loan was considered to be in payment default once it is 90 days contractually past due under the modified terms. There were no TDRs for which there was a payment default within twelve months following the modification during the period ended March 31, 2022. There were no TDRs during the three months ended March 31, 2022. The Company implemented modification programs to provide its borrowers relief from the economic impacts of COVID-19. In accordance with the CARES Act, the Company elected to not apply TDR classification to COVID-19 related loan modifications. Accordingly, these modifications are exempt from TDR classification under U.S. GAAP and were not classified as TDRs. At December 31, 2022, there were no deferrals related to the CARES Act.