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Leases
12 Months Ended
Dec. 31, 2023
Leases [Abstract]  
Leases

(20) LEASES

Lessee

 

The Company has operating leases, which primarily consist of office space in buildings, ATM locations, storage facilities, parking lots, equipment and land on which it owns certain buildings.

 

Rental expense on all operating leases, including those rented on a monthly or temporary basis were as follows (Dollars in thousands):

 

Year Ending December 31:

 

 

 

2023

 

$

2,066

 

2022

 

 

1,865

 

2021

 

 

1,560

 

 

 

A right of use lease asset included in accrued interest receivable and other assets on the consolidated balance sheet totaled $5.9 million at December 31, 2023 compared to $5.6 million at December 31, 2022, and a related lease liability included in accrued interest payable and other liabilities on the consolidated balance sheet totaled $5.8 million at December 31, 2023 compared to $5.4 million at December 31, 2022. As of December 31, 2023, our operating leases have a weighted-average remaining lease term of 3.2 years and a weighted-average discount rate of 2.6 percent.

 

Maturity of Operating Lease Liabilities

 

The following table presents minimum future commitments by year for the Company’s operating leases. Such commitments are reflected as undiscounted values and are reconciled to the discounted present value recognized on the consolidated balance sheet.

 

 

 

December 31, 2023

 

 

 

(Dollars in thousands)

 

2024

 

$

2,022

 

2025

 

 

1,653

 

2026

 

 

1,085

 

2027

 

 

731

 

2028

 

 

409

 

Thereafter

 

 

312

 

Total lease payments

 

 

6,212

 

Less imputed interest

 

 

(375

)

Operating lease liability

 

$

5,837

 

 

Lessor

 

The Company is a lessor of operating leases, which primarily consist of office space in buildings and parking lots. These assets are classified on the consolidated balance sheet as premises and equipment. The Company had operating lease revenue of $5.9 million,

$5.4 million and $4.9 million for the years ended December 31, 2023, 2022 and 2021, respectively. Lease revenue is included in occupancy, net on the consolidated statements of comprehensive income.

 

Future Minimum Lease Payments to be received

The Company does not have operating leases that extend beyond 2031. The following table presents the scheduled minimum future contractual rent to be received under the remaining non-cancelable term of the operating leases:

 

 

 

December 31, 2023

 

 

 

(Dollars in thousands)

 

2024

 

$

3,555

 

2025

 

 

2,796

 

2026

 

 

2,535

 

2027

 

 

2,181

 

2028

 

 

1,951

 

2029-2031

 

 

4,269

 

Total future minimum lease payments

 

$

17,287