Loans (Tables)

9 Months Ended

Sep. 30, 2024

Receivables [Abstract]

Schedule of Composition of Loan Portfolio

The following table shows the composition of the Company's loan portfolio by class of financing receivable as of September 30, 2024 and 2023 and at December 31, 2023:

	September 30, 2024				December 31, 2023				September 30, 2023
Commercial
Real estate owner occupied	$	348,287,000	15.1	%	$	314,819,000	14.8	%	$	299,943,000	14.4	%
Real estate non-owner occupied	408,361,000		17.7	%	390,167,000		18.3	%	393,531,000		18.9	%
Construction	87,992,000		3.8	%	88,673,000		4.2	%	72,424,000		3.5	%
C&I	368,415,000		16.0	%	315,026,000		14.8	%	306,583,000		14.7	%
Multifamily	110,472,000		4.8	%	93,476,000		4.4	%	91,041,000		4.4	%
Agriculture	51,274,000		2.2	%	45,230,000		2.1	%	47,506,000		2.3	%
Municipal	62,944,000		2.7	%	51,423,000		2.4	%	58,447,000		2.8	%
Residential
Term	698,068,000		30.2	%	674,855,000		31.7	%	660,049,000		31.8	%
Construction	34,628,000		1.5	%	32,358,000		1.5	%	28,986,000		1.4	%
Home Equity
Revolving and term	117,028,000		5.1	%	104,026,000		4.9	%	101,980,000		4.9	%
Consumer	19,784,000		0.9	%	19,401,000		0.9	%	19,370,000		0.9	%
Total	$	2,307,253,000	100.0	%	$	2,129,454,000	100.0	%	$	2,079,860,000	100.0	%

Schedule of Past Due Loans Aging

For all loan classes, loans over 30 days past due are considered delinquent. Information on the past-due status of loans by class of financing receivable as of September 30, 2024, is presented in the following table:

	30-59 Days Past Due		60-89 Days Past Due		90+ Days Past Due		All Past Due		Current		Total		90+ Days & Accruing
Commercial
Real estate owner occupied	$	—	$	64,000	$	98,000	$	162,000	$	348,125,000	$	348,287,000	$	—
Real estate non-owner occupied	—		—		—		—		408,361,000		408,361,000		—
Construction	—		—		—		—		87,992,000		87,992,000		—
C&I	318,000		708,000		44,000		1,070,000		367,345,000		368,415,000		—
Multifamily	—		—		—		—		110,472,000		110,472,000		—
Agriculture	210,000		—		—		210,000		51,064,000		51,274,000		—
Municipal	—		—		—		—		62,944,000		62,944,000		—
Residential
Term	70,000		166,000		500,000		736,000		697,332,000		698,068,000		144,000
Construction	—		—		—		—		34,628,000		34,628,000		—
Home equity
Revolving and term	508,000		—		4,000		512,000		116,516,000		117,028,000		—
Consumer	343,000		13,000		261,000		617,000		19,167,000		19,784,000		261,000
Total	$	1,449,000	$	951,000	$	907,000	$	3,307,000	$	2,303,946,000	$	2,307,253,000	$	405,000

Information on the past-due status of loans by class of financing receivable as of December 31, 2023, is presented in the following table:

	30-59 Days Past Due		60-89 Days Past Due		90+ Days Past Due		All Past Due		Current		Total		90+ Days & Accruing
Commercial
Real estate owner occupied	$	—	$	—	$	—	$	—	$	314,819,000	$	314,819,000	$	—
Real estate non-owner occupied	—		—		—		—		393,636,000		393,636,000		—
Construction	—		9,000		8,000		17,000		88,656,000		88,673,000		—
C&I	714,000		35,000		120,000		869,000		355,918,000		356,787,000		10,000
Multifamily	—		—		—		—		93,476,000		93,476,000		—
Municipal	31,000		—		—		31,000		51,392,000		51,423,000		—
Residential
Term	254,000		818,000		728,000		1,800,000		673,055,000		674,855,000		360,000
Construction	—		—		—		—		32,358,000		32,358,000		—
Home equity
Revolving and term	495,000		95,000		26,000		616,000		103,410,000		104,026,000		—
Consumer	475,000		22,000		58,000		555,000		18,846,000		19,401,000		59,000
Total	$	1,969,000	$	979,000	$	940,000	$	3,888,000	$	2,125,566,000	$	2,129,454,000	$	429,000

Information on the past-due status of loans by class of financing receivable as of September 30, 2023, is presented in the following table:

	30-59 Days Past Due		60-89 Days Past Due		90+ Days Past Due		All Past Due		Current		Total		90+ Days & Accruing
Commercial
Real estate owner occupied	$	—	$	—	$	—	$	—	$	299,943,000	$	299,943,000	$	—
Real estate non-owner occupied	—		—		—		—		397,024,000		397,024,000		—
Construction	—		7,000		8,000		15,000		72,409,000		72,424,000		—
C&I	349,000		100,000		221,000		670,000		349,926,000		350,596,000		—
Multifamily	—		—		—		—		91,041,000		91,041,000		—
Municipal	—		—		—		—		58,447,000		58,447,000		—
Residential
Term	39,000		106,000		578,000		723,000		659,326,000		660,049,000		—
Construction	—		62,000		—		62,000		28,924,000		28,986,000		—
Home equity
Revolving and term	79,000		—		179,000		258,000		101,722,000		101,980,000		—
Consumer	210,000		39,000		11,000		260,000		19,110,000		19,370,000		11,000
Total	$	677,000	$	314,000	$	997,000	$	1,988,000	$	2,077,872,000	$	2,079,860,000	$	11,000

Schedule of Nonaccrual Loans

The following table presents the amortized costs basis of loans on nonaccrual status as of September 30, 2024, December 31, 2023 and September 30, 2023:

	September 30, 2024						December 31, 2023						September 30, 2023
	Nonaccrual with Allowance for Credit Loss		Nonaccrual with no Allowance for Credit Loss		Total Nonaccrual		Nonaccrual with Allowance for Credit Loss		Nonaccrual with no Allowance for Credit Loss		Total Nonaccrual		Nonaccrual with Allowance for Credit Loss		Nonaccrual with no Allowance for Credit Loss		Total Nonaccrual
Commercial
Real estate owner occupied	$	—	$	367,000	$	367,000	$	—	$	—	$	—	$	—	$	—	$	—
Real estate non-owner occupied	—		—		—		—		—		—		—		—		—
Construction	—		19,000		19,000		—		29,000		29,000		—		29,000		29,000
C&I	—		129,000		129,000		354,000		184,000		538,000		363,000		351,000		714,000
Multifamily	—		—		—		—		—		—		—		—		—
Agriculture	—		31,000		31,000		—		—		—		—		—		—
Municipal	—		—		—		—		—		—		—		—		—
Residential
Term	—		1,686,000		1,686,000		304,000		1,011,000		1,315,000		304,000		1,016,000		1,320,000
Construction	—		—		—		—		—		—		—		—		—
Home equity
Revolving and term	—		265,000		265,000		—		296,000		296,000		—		490,000		490,000
Consumer	—		—		—		—		—		—		—		—		—
Total	$	—	$	2,497,000	$	2,497,000	$	658,000	$	1,520,000	$	2,178,000	$	667,000	$	1,886,000	$	2,553,000

Schedule of Individually Analyzed Loans by Class of Financing Receivable

The following table presents the amortized cost basis of collateral-dependent loans as of September 30, 2024, December 31, 2023 and September 30, 2023, by collateral type:

	September 30, 2024						December 31, 2023						September 30, 2023
	Collateral Type						Collateral Type						Collateral Type
Dollars in thousands	Commercial Real Estate		Residential Real Estate		Total		Commercial Real Estate		Residential Real Estate		Total		Commercial Real Estate		Residential Real Estate		Total
Commercial
Real estate owner occupied	$	270,000	$	—	$	270,000	$	—	$	—	$	—	$	—	$	—	$	—
Real estate non-owner occupied	—		—		—		—		—		—		—		—		—
Construction	—		—		—		—		—		—		—		—		—
C&I	—		—		—		—		—		—		—		—		—
Multifamily	—		—		—		—		—		—		—		—		—
Agriculture	—		—		—		—		—		—		—		—		—
Municipal	—		—		—		—		—		—		—		—		—
Residential
Term	—		566,000		566,000		—		685,000		685,000		—		687,000		687,000
Construction	—		—		—		—		—		—		—		—		—
Home equity
Revolving and term	—		—		—		—		—		—		—		—		—
Consumer	—		—		—		—		—		—		—		—		—
Total	$	270,000	$	566,000	$	836,000	$	—	$	685,000	$	685,000	$	—	$	687,000	$	687,000

Schedule of Troubled Debt Restructurings on Financing Receivables

The following table represents loan modifications made to borrowers experiencing financial difficulty by modification type and class of financing receivable, during the three months ended September 30, 2024:

Amortized Cost Basis
	Payment Deferral		Term Extension		Interest Rate Reduction		Principal Forgiveness		Combination Payment Deferral and Term Extension		% of Total Class of Financing Receivable
Commercial
Real estate owner occupied	$	—	$	—	$	—	$	—	$	—	—	%
Real estate non-owner occupied	—		—		—		—		—		—	%
Construction	—		—		—		—		—		—	%
C&I	—		—		—		—		55,000		0.01	%
Multifamily	—		—		—		—		—		—	%
Agriculture	—		—		—		—		—		—	%
Municipal	—		—		—		—		—		—	%
Residential
Term	—		—		—		—		—		—	%
Construction	—		—		—		—		—		—	%
Home Equity
Revolving and term	—		—		—		—		—		—	%
Consumer	—		—		—		—		—		—	%
Total	$	—	$	—	$	—	$	—	$	55,000	0.002	%

The following table describes the financial effect of the modifications made to borrowers experiencing financial difficulty for the three months ended September 30, 2024:

	Payment Deferral & Term Extension
	Financial Effect
Commercial
C&I	Temporary payment accommodation, extended term 90 days.

The following table represents loan modifications made to borrowers experiencing financial difficulty by modification type and class of financing receivable, during the nine months ended September 30, 2024:

Amortized Cost Basis
	Payment Deferral		Term Extension		Interest Rate Reduction		Principal Forgiveness		Combination Payment Deferral and Term Extension		% of Total Class of Financing Receivable
Commercial
Real estate owner occupied	$	635,000	$	—	$	—	$	—	$	—	0.18	%
Real estate non-owner occupied	—		—		—		—		—		—	%
Construction	69,000		—		—		—		—		0.08	%
C&I	175,000		—		—		—		225,000		0.11	%
Multifamily	1,932,000		—		—		—		—		1.75	%
Agriculture	—		—		—		—		—		—	%
Municipal	—		—		—		—		—		—	%
Residential
Term	1,020,000		—		—		—		—		0.15	%
Construction	—		—		—		—		—		—	%
Home Equity
Revolving and term	—		—		—		—		68,000		0.06	%
Consumer	—		—		—		—		—		—	%
Total	$	3,831,000	$	—	$	—	$	—	$	293,000	0.18	%

The following tables describe the financial effect of the modifications made to borrowers experiencing financial difficulty for the nine months ended September 30, 2024:

	Payment Deferral
	Financial Effect
Commercial
Real estate owner occupied	Temporary payment accommodation, payments deferred to end of loan.
Construction	Temporary payment accommodation, payments deferred to end of loan.
C&I	Temporary payment accommodation, payments deferred to end of loan.
Multifamily	Temporary payment accommodation, payments deferred to end of loan.
Residential
Term	Temporary payment accommodation, payments deferred to end of loan.

	Payment Deferral & Term Extension
	Financial Effect
Commercial
C&I	Temporary payment accommodation, extended term 90 days.
Home Equity
Revolving and term	Temporary payment accommodation, extended term 60 days.

The following table represents loan modifications made to borrowers experiencing financial difficulty by modification type and class of financing receivable, during the three months ended September 30, 2023:

Amortized Cost Basis
	Payment Deferral		Term Extension		Interest Rate Reduction		Principal Forgiveness		Combination Payment Deferral and Term Extension		% of Total Class of Financing Receivable
Commercial
Real estate owner occupied	$	504,000	$	—	$	—	$	—	$	—	0.17	%
Real estate non-owner occupied	—		—		—		—		—		—	%
Construction	—		—		—		—		—		—	%
C&I	19,000		—		—		—		—		0.01	%
Multifamily	—		—		—		—		—		—	%
Agriculture	—		—		—		—		—		—	%
Municipal	—		—		—		—		—		—	%
Residential
Term	—		—		—		—		—		—	%
Construction	—		—		—		—		—		—	%
Home Equity
Revolving and term	—		—		—		—		—		—	%
Consumer	—		—		—		—		—		—	%
Total	$	523,000	$	—	$	—	$	—	$	—	0.03	%

The following table describes the financial effect of the modifications made to borrowers experiencing financial difficulty for the three months ended September 30, 2023:

	Payment Deferral
	Financial Effect
Commercial
Real estate owner occupied	Temporary payment accommodation, payments deferred to end of loan.
C&I	Temporary payment accommodation, payments deferred to end of loan.

The following table represents loan modifications made to borrowers experiencing financial difficulty by modification type and class of financing receivable, during the nine months ended September 30, 2023:

Amortized Cost Basis
	Payment Deferral		Term Extension		Interest Rate Reduction		Principal Forgiveness		Combination Payment Deferral and Term Extension		% of Total Class of Financing Receivable
Commercial
Real estate owner occupied	$	504,000	$	—	$	—	$	—	$	—	0.17	%
Real estate non-owner occupied	—		—		—		—		—		—	%
Construction	—		—		—		—		—		—	%
C&I	239,000		20,000		—		—		—		0.08	%
Multifamily	—		—		—		—		—		—	%
Agriculture	—		—		—		—		—		—	%
Municipal	—		—		—		—		—		—	%
Residential
Term	—		—		—		—		—		—	%
Construction	—		—		—		—		—		—	%
Home Equity
Revolving and term	—		—		—		—		—		—	%
Consumer	—		—		—		—		—		—	%
Total	$	743,000	$	20,000	$	—	$	—	$	—	0.04	%

The following tables describe the financial effect of the modifications made to borrowers experiencing financial difficulty for the nine months ended September 30, 2023:

	Payment Deferral
	Financial Effect
Commercial
Real estate owner occupied	Temporary payment accommodation, payments deferred to end of loan.
C&I	Temporary payment accommodation, payments deferred to end of loan.

	Term Extension
	Financial Effect
Commercial
C&I	Extended Term 12 months

The Company monitors the performance of the loans that are modified to borrowers experiencing financial difficulty to understand the effectiveness of its modification efforts. The following table depicts the performance of loans that have been modified during the previous 12 months as of September 30, 2024:

	Payment Status (Amortized Cost Basis)
	Current		30-59 Days Past Due		60-89 Days Past Due		90+ Days Past Due
Commercial
Real estate owner occupied	$	903,000	$	—	$	—	$	—
Construction	69,000		—		—		—
C&I	230,000		—		205,000		—
Multifamily	1,932,000		—		—		—
Residential
Term	1,020,000		—		—		—
Home Equity
Revolving and term	68,000		—		—		—
Consumer	18,000		—		—		—
Total	$	4,240,000	$	—	$	205,000	$	—

The following table depicts the performance of loans that have been modified during the nine months ended September 30, 2023:

	Payment Status (Amortized Cost Basis)
	Current		30-59 Days Past Due		60-89 Days Past Due		90+ Days Past Due
Commercial
Real estate owner occupied	$	503,000	$	—	$	—	$	—
C&I	$	220,000	$	40,000	$	—	$	—
Total	$	723,000	$	40,000	$	—	$	—