Loans and Leases (Tables)

9 Months Ended

Sep. 30, 2019

The following table sets forth the composition of the loan and lease portfolio at the dates indicated:


	September 30, 2019						December 31, 2018
(dollars in thousands)	Amount			Percent of Loans Held for Investment			Amount			Percent of Loans Held for Investment
Loans and Leases Held for Investment:
Mortgage Loans:
Multi-family	$	30,269,409			74.19	%	$	29,883,919			74.46	%
Commercial real estate		6,985,568			17.12			6,998,834			17.44
One-to-four family		395,044			0.97			446,094			1.11
Acquisition, development, and construction		297,526			0.73			407,870			1.02

Total mortgage loans held for investment		37,947,547			93.01			37,736,717			94.03

Other Loans:
Commercial and industrial		1,784,081			4.37			1,705,308			4.25
Lease financing, net of unearned income of $88,329 and $53,891, respectively		1,058,071			2.60			683,112			1.70

Total commercial and industrial loans (1)		2,842,152			6.97			2,388,420			5.95
Other		8,741			0.02			8,724			0.02

Total other loans held for investment		2,850,893			6.99			2,397,144			5.97

Total loans and leases held for investment	$	40,798,440			100.00	%	$	40,133,861			100.00	%

Net deferred loan origination costs		45,780						32,047
Allowance for losses		(149,433	)					(159,820	)

Total loans and leases, net	$	40,694,787					$	40,006,088

(1)	Includes specialty finance loans and leases of $2.4 billion and $1.9 billion, respectively, at September 30, 2019 and December 31, 2018. Other C&I loans of $447.1 million and $469.9 million, respectively, at September 30, 2019 and December 31, 2018.

Asset Quality

The following table presents information regarding the quality of the Company’s loans held for investment at September 30, 2019:


(in thousands)	Loans 30-89 Days Past Due		Non- Accrual Loans		Loans 90 Days or More Delinquent and Still Accruing Interest		Total Past Due Loans		Current Loans		Total Loans Receivable
Multi-family	$	—	$	5,793	$	—	$	5,793	$	30,263,616	$	30,269,409
Commercial real estate		9,750		5,563		—		15,313		6,970,255		6,985,568
One-to-four family		—		2,040		—		2,040		393,004		395,044
Acquisition, development, and construction		—		—		—		—		297,526		297,526
Commercial and industrial (1) (2)		483		42,544		—		43,027		2,799,125		2,842,152
Other		6		253		—		259		8,482		8,741

Total	$	10,239	$	56,193	$	—	$	66,432	$	40,732,008	$	40,798,440

(1)	Includes $483,000 and $33.6 million of taxi medallion-related loans that were 30 to 89 days past due and 90 days or more past due, respectively.

(2)	Includes lease financing receivables, all of which were current.

The following table presents information regarding the quality of the Company’s loans held for investment at December 31, 2018:


(in thousands)	Loans 30-89 Days Past Due		Non- Accrual Loans		Loans 90 Days or More Delinquent and Still Accruing Interest		Total Past Due Loans		Current Loans		Total Loans Receivable
Multi-family	$	—	$	4,220	$	—	$	4,220	$	29,879,699	$	29,883,919
Commercial real estate		—		3,021		—		3,021		6,995,813		6,998,834
One-to-four family		9		1,651		—		1,660		444,434		446,094
Acquisition, development, and construction		—		—		—		—		407,870		407,870
Commercial and industrial (1) (2)		530		36,608		—		37,138		2,351,282		2,388,420
Other		25		6		—		31		8,693		8,724

Total	$	564	$	45,506	$	—	$	46,070	$	40,087,791	$	40,133,861

(1)	Includes $530,000 and $35.5 million of taxi medallion-related loans that were 30 to 89 days past due and 90 days or more past due, respectively.

(2)	Includes lease financing receivables, all of which were current.

The following table summarizes the Company’s portfolio of loans held for investment by credit quality indicator at September 30, 2019:


	Mortgage Loans										Other Loans
(in thousands)	Multi- Family		Commercial Real Estate		One-to- Four Family		Acquisition, Development, and Construction		Total Mortgage Loans		Commercial and Industrial (1)		Other		Total Other Loans
Credit Quality Indicator:
Pass	$	29,958,415	$	6,849,317	$	392,251	$	249,543	$	37,449,526	$	2,772,244	$	8,488	$	2,780,732
Special mention		269,615		52,023		753		45,634		368,025		3,424		—		3,424
Substandard		41,379		84,228		2,040		2,349		129,996		66,484		253		66,737
Doubtful		—		—		—		—		—		—		—		—

Total	$	30,269,409	$	6,985,568	$	395,044	$	297,526	$	37,947,547	$	2,842,152	$	8,741	$	2,850,893

(1)	Includes lease financing receivables, all of which were classified as Pass.

The following table summarizes the Company’s portfolio of loans held for investment by credit quality indicator at December 31, 2018:


	Mortgage Loans										Other Loans
(in thousands)	Multi- Family		Commercial Real Estate		One-to- Four Family		Acquisition, Development, and Construction		Total Mortgage Loans		Commercial and Industrial (1)		Other		Total Other Loans
Credit Quality Indicator:
Pass	$	29,548,242	$	6,880,105	$	444,443	$	319,001	$	37,191,791	$	2,306,563	$	8,469	$	2,315,032
Special mention		312,025		90,653		—		73,964		476,642		19,751		—		19,751
Substandard		23,652		28,076		1,651		14,905		68,284		62,106		255		62,361
Doubtful		—		—		—		—		—		—		—		—

Total	$	29,883,919	$	6,998,834	$	446,094	$	407,870	$	37,736,717	$	2,388,420	$	8,724	$	2,397,144

(1)	Includes lease financing receivables, all of which were classified as Pass.

The following table presents information regarding the Company’s TDRs as of September 30, 2019 and December 31, 2018:


	September 30, 2019						December 31, 2018
(in thousands)	Accruing		Non-Accrual		Total		Accruing		Non-Accrual		Total
Loan Category:
Multi-family	$	—	$	3,741	$	3,741	$	—	$	4,220	$	4,220
Commercial real estate		—		—		—		—		—		—
One-to-four family		—		891		891		—		1,022		1,022
Acquisition, development, and construction		2,349		—		2,349		8,297		—		8,297
Commercial and industrial (1)		865		35,487		36,352		865		20,477		21,342

Total	$	3,214	$	40,119	$	43,333	$	9,162	$	25,719	$	34,881

(1)	Includes $27.4 million and $20.4 million of taxi medallion-related loans at September 30, 2019 and December 31, 2018, respectively.

The financial effects of the Company’s TDRs for the three months ended September 30, 2019 and 2018 are summarized as follows:


	For the Three Months Ended September 30, 2019
							Weighted Average Interest Rate
(dollars in thousands)	Number of Loans		Pre-Modification Recorded Investment		Post-Modification Recorded Investment		Pre- Modification			Post- Modification			Charge-off Amount		Capitalized Interest
Loan Category:
Commercial and industrial		28	$	7,366	$	7,086		2.99	%		2.82	%	$	280	$	3


	For the Three Months Ended September 30, 2018
							Weighted Average Interest Rate
(dollars in thousands)	Number of Loans		Pre-Modification Recorded Investment		Post-Modification Recorded Investment		Pre- Modification			Post- Modification			Charge-off Amount		Capitalized Interest
Loan Category:
Commercial and industrial		6	$	1,848	$	1,212		3.36	%		3.28	%	$	545	$	—

The financial effects of the Company’s TDRs for the nine months ended September 30, 2019 and 2018 are summarized as follows:


	For the Nine Months Ended September 30, 2019
							Weighted Average Interest Rate
(dollars in thousands)	Number of Loans		Pre-Modification Recorded Investment		Post-Modification Recorded Investment		Pre- Modification			Post- Modification			Charge-off Amount		Capitalized Interest
Loan Category:
Commercial and industrial		58	$	30,910	$	28,179		4.48	%		4.52	%	$	2,731	$	3


	For the Nine Months Ended September 30, 2018
							Weighted Average Interest Rate
(dollars in thousands)	Number of Loans		Pre-Modification Recorded Investment		Post-Modification Recorded Investment		Pre- Modification			Post- Modification			Charge-off Amount		Capitalized Interest
Loan Category:
Acquisition, development, and construction		1	$	900	$	900		4.50	%		4.50	%	$	—	$	—
Commercial and industrial		18		6,914		4,386		3.30			3.18			2,308		—

Total		19	$	7,814	$	5,286							$	2,308	$	—