PEAPACK GLADSTONE FINANCIAL CORP, 10-Q filed on 5/8/2026
Quarterly Report
v3.26.1
Document and Entity Information - shares
 3 Months Ended
Mar. 31, 2026
May 01, 2026
Cover [Abstract]    
Entity Registrant Name PEAPACK-GLADSTONE FINANCIAL CORPORATION  
Entity Central Index Key 0001050743  
Document Type 10-Q  
Document Period End Date Mar. 31, 2026  
Amendment Flag false  
Current Fiscal Year End Date --12-31  
Entity Filer Category Accelerated Filer  
Entity Small Business false  
Entity Emerging Growth Company false  
Entity Common Stock, Shares Outstanding   17,718,378
Document Fiscal Period Focus Q1  
Document Fiscal Year Focus 2026  
Trading Symbol PGC  
Entity Current Reporting Status Yes  
Entity Shell Company false  
Entity File Number 001-16197  
Entity Tax Identification Number 22-3537895  
Entity Address, Address Line One 500 Hills Drive  
Entity Address, Address Line Two Suite 300  
Entity Address, City or Town Bedminster  
Entity Address, State or Province NJ  
Entity Address, Postal Zip Code 07921-0700  
City Area Code 908  
Local Phone Number 234-0700  
Document Quarterly Report true  
Document Transition Report false  
Entity Incorporation, State or Country Code NJ  
Entity Interactive Data Current Yes  
Title of 12(b) Security Common Stock, no par value  
Security Exchange Name NASDAQ  
v3.26.1
CONSOLIDATED STATEMENTS OF CONDITION - USD ($)
$ in Thousands
Mar. 31, 2026
Dec. 31, 2025
ASSETS    
Cash and due from banks $ 9,220 $ 8,712
Interest-earning deposits 244,194 179,108
Total cash and cash equivalents 253,414 187,820
Securities available for sale 710,046 774,203
Securities held to maturity (fair value $70,837 at March 31, 2026 and $87,491 at December 31, 2025) 79,478 95,862
CRA equity security, at fair value 13,375 13,459
FHLB and FRB stock, at cost [1] 14,170 14,605
Loans held for sale, at fair value 0 450
Loans held for sale, at lower of cost or fair value 8,311 4,437
Loans 6,434,369 6,253,736
Less: allowance for credit losses 67,026 71,039
Net loans 6,367,343 6,182,697
Premises and equipment 39,322 39,164
Accrued interest receivable 33,115 31,971
Bank owned life insurance 47,896 47,761
Goodwill 36,212 36,212
Other intangible assets 7,383 7,627
Finance lease right-of-use assets 809 844
Operating lease right-of-use assets 38,079 39,886
Deferred tax assets, net 0 772
Other assets 50,012 48,639
TOTAL ASSETS 7,698,965 7,526,409
Deposits:    
Noninterest-bearing demand deposits 1,544,515 1,428,745
Interest-bearing deposits:    
Checking [2] 3,533,203 3,448,497
Savings 114,955 105,123
Money market accounts [3] 1,222,405 1,197,995
Certificates of deposit - retail 411,688 408,219
Certificates of deposit - listing service 0 400
Total deposits 6,826,766 6,588,979
Short-term borrowings 63,830 73,267
Finance lease liabilities 1,145 1,186
Operating lease liabilities 41,458 43,294
Subordinated debt, net 0 99,030
Deferred tax liabilities, net 6,091  
Accrued expenses and other liabilities 60,471 62,447
TOTAL LIABILITIES 6,999,761 6,868,203
SHAREHOLDERS’ EQUITY    
Preferred stock (no par value; authorized 500,000 shares; issued 30,000 shares; liquidation preference of $1,000 per share) 30,000 0
Common stock (no par value; stated value $0.83 per share; authorized 42,000,000 shares; issued shares, 21,857,567 at March 31, 2026 and 21,707,259 at December 31, 2025; outstanding shares, 17,708,32 at March 31, 2026 and 17,558,019 at December 31, 2025) 18,221 18,096
Surplus 352,934 353,267
Treasury stock at cost (4,149,240 shares at March 31, 2026 and 4,149,240 shares at December 31, 2025) (122,953) (122,953)
Retained earnings 470,631 457,357
Accumulated other comprehensive loss, net of income tax (49,629) (47,561)
TOTAL SHAREHOLDERS’ EQUITY 699,204 658,206
TOTAL LIABILITIES & SHAREHOLDERS’ EQUITY $ 7,698,965 $ 7,526,409
[1] FHLB means "Federal Home Loan Bank" and FRB means "Federal Reserve Bank."
[2] Interest-bearing checking included $2.18 billion at March 31, 2026 and $1.98 billion at December 31, 2025 of reciprocal balances in the Reich & Tang or Promontory Demand Deposit Marketplace program.
[3] Money market included $81.8 million at March 31, 2026 and $165.6 million at December 31, 2025 of reciprocal balances in the Promontory Demand Deposit Marketplace program.
v3.26.1
CONSOLIDATED STATEMENTS OF CONDITION (Parenthetical) - USD ($)
$ in Thousands
Mar. 31, 2026
Dec. 31, 2025
Statement of Financial Position [Abstract]    
Securities held to maturity fair value $ 70,837 $ 87,491
Preferred stock, par value $ 0 $ 0
Preferred stock, shares authorized 500,000 500,000
Preferred stock, shares issued 30,000 30,000
Preferred stock, liquidation preference per share $ 1,000 $ 1,000
Common stock, stated value $ 0.83 $ 0.83
Common stock, shares authorized 42,000,000 42,000,000
Common stock, shares issued 21,857,567 21,707,259
Common stock, shares outstanding 17,708,327 17,558,019
Treasury stock, shares 4,149,240 4,149,240
v3.26.1
CONSOLIDATED STATEMENTS OF INCOME (Unaudited) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
INTEREST INCOME    
Interest and fees on loans $ 86,590 $ 75,347
Interest on investments:    
Taxable 7,126 8,213
Interest on loans held for sale 8 9
Interest on interest-earning deposits 1,325 2,776
Total interest income 95,049 86,345
INTEREST EXPENSE    
Interest on savings and interest-bearing deposit accounts 30,403 34,913
Interest on certificates of deposit 3,099 4,363
Interest on borrowed funds 432 11
Interest on finance lease liability 12 14
Interest on subordinated debt 1,207 1,439
Subtotal - interest expense 35,153 40,740
Interest on interest-bearing demand - brokered   100
Total interest expense 35,153 40,840
NET INTEREST INCOME BEFORE PROVISION FOR CREDIT LOSSES 59,896 45,505
Provision for credit losses 7,327 4,471
NET INTEREST INCOME AFTER PROVISION FOR CREDIT LOSSES 52,569 41,034
OTHER INCOME    
Wealth management fee income 16,503 15,435
Service charges and fees 1,359 1,112
Bank owned life insurance 345 371
Gain on loans held for sale at fair value (mortgage banking) 72 63
Gain on sale of SBA loans 403 302
Corporate advisory fee income 69 90
Other income 4,011 1,286
Securities losses (81)  
Fair value adjustment for CRA equity security (84) 195
Total other income 22,597 18,854
OPERATING EXPENSES    
Compensation expense 29,782 26,315
Benefits Expense 9,583 9,564
Premises and equipment 6,858 6,154
FDIC insurance expense 1,388 855
Professional and legal fees 1,554 1,190
Trust department expense 1,180 1,043
Loan Expense 556 433
Advertising 267 154
Other expense 4,272 3,732
Total operating expenses 55,440 49,440
INCOME BEFORE INCOME TAX EXPENSE 19,726 10,448
Income tax expense 5,573 2,853
NET INCOME 14,153 7,595
NET INCOME AVAILABLE TO COMMON SHAREHOLDERS $ 14,153 $ 7,595
EARNINGS PER SHARE    
Basic $ 0.8 $ 0.43
Diluted $ 0.8 $ 0.43
WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING    
Basic 17,585,846 17,610,917
Diluted 17,760,678 17,812,222
v3.26.1
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Statement of Comprehensive Income [Abstract]    
Net income $ 14,153 $ 7,595
Unrealized gains/(losses) on available for sale securities:    
Unrealized holding gains/(losses) arising during the period (3,528) 15,411
Reclassification adjustment for amounts included in net income 81 0
Before tax (3,447) 15,411
Tax effect 920 (4,788)
Net of tax (2,527) 10,623
Unrealized gains/(losses) on cash flow hedges:    
Unrealized holding gains/(losses) arising during the period 634 (2,553)
Before tax 634 (2,553)
Tax effect (175) 624
Net of tax 459 (1,929)
Total other comprehensive income/(loss) (2,068) 8,694
Total comprehensive income/(loss) $ 12,085 $ 16,289
v3.26.1
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY - USD ($)
$ in Thousands
Total
Preferred Stock [Member]
Common Stock [Member]
Surplus [Member]
Treasury Stock, Common [Member]
Retained Earnings [Member]
Accumulated Other Comprehensive Loss [Member]
Balance at Dec. 31, 2024 $ 605,849   $ 17,953 $ 348,264 $ (117,509) $ 423,552 $ (66,411)
Net Income (Loss) 7,595         7,595  
Other comprehensive income 8,694           8,694
Restricted stock units issued shares     146 (146)      
Restricted stock units repurchased on vesting to pay taxes (1,241)   (35) (1,206)      
Amortization of restricted stock units 1,631     1,631      
Cash dividends declared on common stock (880)         (880)  
Issuance of shares for Employee Stock Purchase Plan 225   6 219      
Balance at Mar. 31, 2025 621,873   18,070 348,762 (117,509) 430,267 (57,717)
Balance at Dec. 31, 2025 658,206   18,096 353,267 (122,953) 457,357 (47,561)
Net Income (Loss) 14,153         14,153  
Other comprehensive income (2,068)           (2,068)
Restricted stock units issued shares     143 (143)      
Restricted stock units repurchased on vesting to pay taxes (1,074)   (27) (1,047)      
Amortization of restricted stock units 555     555      
Cash dividends declared on common stock (879)         (879)  
Preferred stock issuance 30,000 $ 30,000          
Issuance of shares for Employee Stock Purchase Plan 311   9 302      
Balance at Mar. 31, 2026 $ 699,204 $ 30,000 $ 18,221 $ 352,934 $ (122,953) $ 470,631 $ (49,629)
v3.26.1
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY (Parenthetical) - $ / shares
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Shares outstanding 17,558,019  
Preferred stock value per share $ 0  
Issuance of shares for Employee Stock Purchase Plan, shares 11,013 7,115
Shares outstanding 17,708,327  
O2025Q1 Dividends [Member]    
Cash dividends declared on common stock, per share   $ 0.05
O2026Q1 Dividends [Member]    
Cash dividends declared on common stock, per share $ 0.05  
Common Stock [Member]    
Shares outstanding 17,558,019 17,586,616
Restricted stock units issued, shares 171,663 174,519
Restricted stock units/awards repurchased on vesting to pay taxes, shares (32,368) (41,999)
Issuance of shares for Employee Stock Purchase Plan, shares 11,013 7,115
Shares outstanding 17,708,327 17,726,251
Preferred Stock [Member]    
Preferred stock, shares 30,000  
Preferred stock value per share $ 1,000  
v3.26.1
CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
OPERATING ACTIVITIES:    
Net income $ 14,153 $ 7,595
Adjustments to reconcile net income to net cash provided by operating activities:    
Depreciation 1,170 886
Amortization of premium and accretion of discount on securities, net (49) (24)
Amortization of restricted stock 555 1,631
Amortization of intangible assets 244 272
Write-off of subordinated debt costs 938 259
Amortization of subordinated debt costs 32 64
Provision for credit losses 7,327 4,471
Deferred tax expense 7,608 1,925
Stock-based compensation and employee stock purchase plan expense 56 39
Fair value adjustment for equity security 84 (195)
Loss on securities available for sale 81  
Loans originated for sale [1] (12,596) (7,316)
Proceeds from sales of loans held for sale [1] 9,647 7,589
Gain on loans held for sale [1] (475) (365)
Decrease in cash surrender value of life insurance, net (135) (129)
Increase in accrued interest receivable (1,144) (2,070)
Decrease in other assets 505 1,154
Decrease in accrued expenses and other liabilities (3,406) (23,660)
NET CASH PROVIDED BY/(USED IN) OPERATING ACTIVITIES 24,595 (7,874)
INVESTING ACTIVITIES:    
Principal repayments, maturities and calls of securities available for sale 178,179 166,933
Principal repayments, maturities and calls of securities held to maturity 16,364 1,331
Redemptions of FHLB and FRB stock 29,310 1,412
Proceeds from sales of securities available for sale 97,019  
Purchase of securities available for sale (214,500) (198,965)
Purchase of FHLB and FRB stock (28,875) (1,350)
Net increase in loans, net of participations sold (191,973) (237,973)
Purchase of premises and equipment (1,294) (3,602)
Disposal of premises and equipment 61  
NET CASH USED IN INVESTING ACTIVITIES (115,709) (272,214)
FINANCING ACTIVITIES:    
Net increase in deposits 237,787 157,534
Net decrease in short-term borrowings (9,437)  
Dividends paid on common stock (879) (880)
Restricted stock repurchased on vesting to pay taxes (1,074) (1,241)
Repayment of subordinated debt (100,000) (35,000)
Proceeds from issuance of Preferred Stock 30,000  
Issuance of shares for employee stock purchase plan 311 225
NET CASH PROVIDED BY FINANCING ACTIVITIES 156,708 120,638
Net increase/(decrease) in cash and cash equivalents 65,594 (159,450)
Cash and cash equivalents at beginning of period 187,820 391,367
Cash and cash equivalents at end of period 253,414 231,917
Cash paid during the period for:    
Interest 35,409 40,543
Income tax, net $ 2,138 698
Right-of-use asset obtained in exchange for operating lease liabilities   $ 365
[1] Includes mortgage loans originated with the intent to sell, which are carried at fair value. In addition, this includes the guaranteed portion of Small Business Administration (“SBA”) loans, which are carried at the lower of cost or fair value.
v3.26.1
Pay vs Performance Disclosure - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Pay vs Performance Disclosure    
Net Income (Loss) $ 14,153 $ 7,595
v3.26.1
Insider Trading Arrangements
 3 Months Ended
Mar. 31, 2026
Trading Arrangements, by Individual  
Rule 10b5-1 Arrangement Adopted false
Non-Rule 10b5-1 Arrangement Adopted false
Rule 10b5-1 Arrangement Terminated false
Non-Rule 10b5-1 Arrangement Terminated false
v3.26.1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
 3 Months Ended
Mar. 31, 2026
Accounting Policies [Abstract]  
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Certain information and footnote disclosure included in the audited consolidated financial statements prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) have been condensed or omitted pursuant to the rules and regulations of the Securities and Exchange Commission (the "SEC"). These unaudited consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Annual Report on Form 10-K for the year ended December 31, 2025 for Peapack-Gladstone Financial Corporation (the “Corporation” or the “Company”). In the opinion of Management of the Corporation, the accompanying unaudited consolidated interim financial statements contain all adjustments (consisting solely of normal and recurring accruals) necessary to present fairly the financial position as of March 31, 2026, and the results of operations, comprehensive income, changes in shareholders’ equity and cash flow statements for the three months ended March 31, 2026 and 2025. The results of operations for the three months ended March 31, 2026 are not necessarily indicative of the results that may be expected for the full year or for any future period.

Principles of Consolidation and Organization: The consolidated financial statements of the Company are prepared on the accrual basis and include the accounts of the Company and its wholly-owned subsidiary, Peapack Private Bank & Trust (the “Bank”). The consolidated financial statements also include the Bank’s wholly-owned subsidiaries:

•
Peapack Capital Corporation (“PCC”)
•
Peapack-Gladstone Mortgage Group, Inc., which owns 99 percent of Peapack Ventures, LLC and 79 percent of Peapack-Gladstone Realty, Inc., a New Jersey real estate investment company
•
PGB Trust & Investments of Delaware, which owns one percent of Peapack Ventures, LLC
•
Peapack Ventures, LLC, which owns 21 percent of Peapack-Gladstone Realty, Inc.
•
Peapack-Gladstone Realty, Inc.
•
PGB Securities, Inc.

While the following notes to the consolidated financial statements include the consolidated results of the Company, the Bank and their subsidiaries, these notes primarily reflect the Bank’s and its subsidiaries’ activities. All significant intercompany balances and transactions have been eliminated from the accompanying consolidated financial statements.

Basis of Financial Statement Presentation: The consolidated financial statements have been prepared in accordance with GAAP. In preparing the financial statements, Management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the statement of condition and revenues and expenses for the periods presented. Actual results could differ from those estimates.

Segment Information: The Company has two reportable segments as determined by the Chief Financial Officer, who is the designated Chief Operating Decision Maker (the "CODM"), based upon information provided about the Company's products and services offered, primarily distinguished between banking and wealth management services provided by the Bank's Wealth Management Division. They are also distinguished by the level of information provided to the CODM, who uses such information to review performance of various components of the business. The CODM evaluates the financial performance of the Company's business segments such as by evaluating revenue streams, significant expenses, and budget to actual results in assessing the performance of the Company's segments and in the determination of allocating resources. The CODM uses revenue streams to evaluate product pricing and significant expenses to assess performance of each segment to evaluate compensation of certain employees. Segment pretax profit or loss is used to assess the performance of the banking segment, which includes monitoring the spread between interest income and interest expense. Segment pretax profit or loss is used to assess the performance of the Wealth Management Division, which includes monitoring wealth management fee income and assets under management and/or administration ("AUM"). Loans and investments primarily provide the revenues in the banking operation and wealth management fee income provides the revenues for the Wealth Management Division. Interest expense, provision for credit losses, payroll and premises and equipment provide the significant expenses in the banking segment, while payroll, occupancy and trust expenses are the significant expenses in the Wealth Management Division. All operations are domestic.

The Banking segment includes: commercial (including commercial and industrial (“C&I”) and equipment financing), commercial real estate, multifamily, residential and consumer lending activities; treasury management services; C&I advisory services; escrow management; deposit generation; operation of ATMs; telephone and internet banking services; merchant credit card services; and customer support sales.

The Wealth Management Division includes: investment management services for individuals and institutions; personal trust services, including services as executor, trustee, administrator, custodian; and other financial planning and advisory services. This segment also includes the activity from the Delaware subsidiary, PGB Trust & Investments of Delaware. The majority of wealth management fees are collected on a monthly or quarterly basis and are calculated on a tiered fee schedule, based upon the market value of AUMs. Other non AUM-based revenues such as personal or fiduciary tax return preparation fees, executor fees, trust termination fees and/or financial planning and advisory fees are charged as services are rendered.

Cash and Cash Equivalents: For purposes of the statements of cash flows, cash and cash equivalents include cash and due from banks, interest-earning deposits and federal funds sold. Generally, federal funds are sold for one-day periods. Cash equivalents are of original maturities of 90 days or less. Net cash flows are reported for customer loan and deposit transactions and short-term borrowings with original maturities of 90 days or less.

Interest-Earning Deposits in Other Financial Institutions: Interest-earning deposits in other financial institutions mature within one year and are carried at cost.

Securities: Debt securities available-for-sale are measured at fair value and subject to impairment testing. When an available for sale debt security is considered impaired, the Company must determine if the decline in fair value has resulted from a credit-related loss or other factors and then, (1) recognize an allowance for credit losses ("ACL") by a charge to earnings for the credit-related component (if any) of the decline in fair value, and (2) recognize in other comprehensive income (loss) any non-credit related components of the fair value change. If the amount of the amortized cost basis expected to be recovered increases in a future period, the valuation reserve would be reduced, but not more than the amount of the current existing reserve for that security.

Debt securities are classified as held to maturity and carried at amortized cost when Management has the positive intent and ability to hold them to maturity. Under ASU 2016-13, held to maturity securities in a loss position are evaluated to determine if the decline in fair value has resulted from a credit-related loss or other factors, and then recognize a provision to the ACL through a charge to earnings for the decline in fair value. The Company also has an investment in a Community Reinvestment Act (“CRA”) investment fund, which is classified as an equity security.

Interest income includes amortization of purchase premiums and discounts. Premiums and discounts on securities are amortized on the level-yield method without anticipating prepayments, except for mortgage-backed securities where prepayments are anticipated, and premiums on callable debt securities, which are amortized to the earliest call date. Gains and losses on sales are recorded on the trade date and determined using the specific identification method.

Federal Home Loan Bank ("FHLB") and Federal Reserve Bank ("FRB") Stock: The Bank is a member of the FHLB system. Members are required to own a certain amount of FHLB stock, based on the level of borrowings and other factors. FHLB stock is carried at cost, classified as a restricted security and periodically evaluated for impairment based on ultimate recovery of par value. Cash and stock dividends are reported as income.

The Bank is also a member of the Federal Reserve Bank of New York and required to own a certain amount of FRB stock. FRB stock is carried at cost and classified as a restricted security. Cash and stock dividends are reported as income.

Loans Held for Sale: Mortgage loans originated with the intent to sell in the secondary market are carried at fair value, as determined by outstanding commitments from investors.

Mortgage loans held for sale are generally sold with servicing rights released; therefore, no servicing rights are recorded. Gains and losses on sales of mortgage loans, shown as gain on loans held for sale at fair value (mortgage loans) on the Statement of Income, are based on the difference between the selling price and the carrying value of the related loan sold.

SBA loans originated with the intent to sell in the secondary market are carried at the lower of cost or fair value. SBA loans are generally sold with the servicing rights retained. Gains and losses on the sale of SBA loans are based on the difference between the selling price and the carrying value of the related loan sold. Total SBA loans serviced totaled $130.4 million and $132.5 million as of March 31, 2026 and December 31, 2025, respectively. SBA loans held for sale totaled $9.2 million and $4.8 million at March 31, 2026 and December 31, 2025, respectively. The servicing asset recorded was not material.

Loans originated with the intent to hold and subsequently transferred to loans held for sale are carried at the lower of cost or fair value. These are loans that the Company no longer has the intent to hold for the foreseeable future.

Loans: Loans that Management has the intent and ability to hold for the foreseeable future or until maturity are stated at the principal amount outstanding. Interest on loans is recognized based upon the principal amount outstanding. Loans are stated at face value, less purchased premium and discounts and net deferred fees. Loan origination fees and certain direct loan origination costs are deferred and recognized on a level-yield method over the life of the loan as an adjustment to the loan’s yield. The definition of recorded investment in loans includes accrued interest receivable and deferred fees/costs, however, for the Company’s loan disclosures, accrued interest and deferred fees/costs were excluded as the impact was not material.

Loans are considered past due when they are not paid within 30 days in accordance with contractual terms. The accrual of income on loans, including individually evaluated loans, is discontinued if, in the opinion of Management, principal or interest is not likely to be paid in accordance with the terms of the loan agreement, or when principal or interest is past due 90 days unless the asset is both well secured and in the process of collection. All interest accrued but not received for loans placed on nonaccrual status are reversed against interest income. Payments received on nonaccrual loans are recorded as principal payments. A nonaccrual loan is returned to accrual status only when interest and principal payments are brought current and future payments are reasonably assured, generally when the Bank receives contractual payments for a minimum of six consecutive months. Commercial loans are generally charged off, in whole or in part, after an analysis is completed which indicates that collectability of the full principal balance is in doubt. Consumer closed-end loans are generally charged off after they become 120 days past due and open-end loans after 180 days. Subsequent payments are credited to income only if collection of principal is not in doubt. If principal and interest payments are brought contractually current and future collectability is reasonably assured, loans may be returned to accrual status. Nonaccrual mortgage loans are generally charged off to the extent that the value of the underlying collateral does not cover the outstanding principal balance. The majority of the Company’s loans are secured by real estate in New Jersey, metropolitan New York and, to a lesser extent, Pennsylvania.

Allowance for Credit Losses: Current expected credit losses ("CECL") requires the immediate recognition of estimated credit losses expected to occur over the estimated remaining life of the asset. The forward-looking concept of CECL requires loss estimates to consider historical experience, current conditions and reasonable and supportable economic forecasts.

The ACL on loans held for investment is the combination of the allowance for loan losses and the reserve for unfunded loan commitments. The ACL is reported as a reduction of the amortized cost basis of loans, while the reserve for unfunded loan commitments is included within "other liabilities" on the Consolidated Statements of Condition. The estimate of credit loss for unfunded commitments incorporates assumptions for both the likelihood and amount of funding over the estimated life of the commitments, including adjustments for current conditions and reasonable and supportable economic forecasts. Management periodically reviews and updates its assumptions for estimated funding rates. The amortized cost basis of loans does not include accrued interest receivable, which is included in "accrued interest receivable" on the Consolidated Statements of Condition. The "Provision for credit losses" on the Consolidated Statements of Income is a combination of the provision for credit losses and the provision for unfunded loan commitments.

ACL in accordance with CECL methodology

With respect to pools of similar loans that are collectively evaluated, an appropriate level of general allowance is determined by portfolio segment using a non-linear discounted cash flow (“DCF”) model. The DCF model captures losses over the historical charge-off and prepayment cycle and applies those losses at a loan level over the remaining maturity of the loan. The model then calculates a historical loss rate using the average losses over the reporting period, which is then applied to each segment utilizing a standard reversion rate. This loss rate is then supplemented with adjustments for reasonable and supportable forecasts of relevant economic indicators, including, but not limited to unemployment rates and national consumer price and confidence indices. Expected credit losses are estimated over the contractual term of the loans, adjusted for expected prepayments when appropriate. Also included in the ACL are qualitative factors based on the risks present for each portfolio segment. These qualitative factors include: levels of and trends in delinquencies and impaired loans; effects of any changes in risk selection and underwriting standards; other changes in lending policies, procedures and practices; experience, ability and depth of lending management and other relevant staffing and experience; industry conditions; and effects of changes in credit concentrations. It is also possible that these factors could include social, political, economic, and terrorist events or activities. All of these factors are susceptible to change, which may be significant. The ACL includes two forms of allocations, specific and general. These two components represent the total ACL deemed adequate to cover current expected credit losses in the loan portfolio.

When management identifies loans that do not share common risk characteristics (i.e., are not similar to other loans within a pool) they are evaluated on an individual basis. These loans are not included in the collective evaluation. For loans identified as having a likelihood of foreclosure or that the borrower is experiencing financial difficulty, a collateral dependent approach is used. These are loans for which the repayment is expected to be provided substantially through the operation or sale of the collateral. Under CECL, for collateral dependent loans, the Company has adopted the practical expedient method to measure the ACL based on the fair value of collateral. The ACL is calculated on an individual loan basis based on the shortfall between the fair value of the loan's

collateral, which is adjusted for liquidation costs/discounts, and amortized cost. If the fair value of the collateral exceeds the amortized cost, no allowance is required.

The CECL methodology requires a significant amount of management judgment in determining the appropriate ACL. Several of the steps in the methodology are subjective, including, among other things: segmenting the loan portfolio; determining the amount of loss history to consider; selecting predictive econometric regression models that use appropriate macroeconomic variables; determining the methodology to forecast prepayments; selecting the most appropriate economic forecast scenario; determining the length of the reasonable and supportable forecast and reversion periods; estimating expected utilization rates on unfunded loan commitments; and assessing relevant and appropriate qualitative factors. In addition, the CECL methodology is dependent on economic forecasts, which are inherently imprecise and may change from period to period. Although the ACL is considered appropriate, there can be no assurance that it will be sufficient to absorb future losses.

In determining an appropriate amount for the allowance, the Bank segments and aggregates the loan portfolio based on common characteristics. The following segments have been identified:

Primary Residential Mortgages. The Bank originates one-to four-family residential mortgage loans in the Tri-State area (New York, New Jersey and Connecticut), Pennsylvania and Florida. Loans are secured by first liens on the primary residence or investment property. Primary risk characteristics associated with residential mortgage loans typically involve: major living or lifestyle changes to the borrower, including unemployment or other loss of income; unexpected significant expenses, such as for major medical issues or catastrophic events; and divorce or death. In addition, residential mortgage loans that have adjustable rates could expose the borrower to higher debt service requirements in a rising interest rate environment. Further, real estate values could drop significantly and cause the value of the property to fall below the loan amount, creating additional potential loss exposure for the Bank.

Junior Lien Loan on Residence (which include home equity lines of credit). The Bank provides junior lien loans (“JLL”) and revolving home equity lines of credit ("HELOC") secured by one-to four-family properties in the Tri-State area. These loans are subordinate to a first mortgage, which may be from another lending institution. Primary risk characteristics associated with JLLs and HELOCs typically involve major living or lifestyle changes to the borrower, including unemployment or other loss of income; unexpected significant expenses, such as for major medical issues or catastrophic events; and divorce or death. In addition, HELOCs typically are made with variable or floating interest rates, which could expose the borrower to higher debt service requirements in a rising interest rate environment. Further, real estate values could drop significantly and cause the value of the property to fall below the loan amount, creating additional potential loss exposure for the Bank.

Multifamily. The Bank provides mortgage loans for multifamily properties (i.e., buildings which have five or more residential units). Multifamily loans are expected to be repaid from the cash flows of the underlying property so the collective amount of rents must be sufficient to cover all operating expenses, property management and maintenance, taxes and debt service. Increases in vacancy rates, interest rates, other changes in general economic conditions or changes in rent regulation can have an impact on the borrower and its ability to repay the loan.

Owner-Occupied Commercial Real Estate Loans. The Bank provides mortgage loans for owner-occupied commercial real estate properties in the Tri-State area and Pennsylvania. Commercial real estate properties primarily include retail buildings/shopping centers, hotels, office/medical buildings and industrial/warehouse space. Some properties are mixed use as they are a combination of building types, such as a building with retail space on the ground floor and either residential apartments or office suites on the upper floors. Commercial real estate loans are generally considered to have a higher degree of credit risk as they may be dependent on the ongoing success and operating viability of a fewer number of tenants who are occupying the property and who may have a greater degree of exposure to economic conditions.

Investment Commercial Real Estate Loans. The Bank provides mortgage loans for properties managed as an investment property (non-owner-occupied) in the Tri-State area and Pennsylvania. Non-owner-occupied properties primarily include retail buildings/shopping centers, hotels, office/medical buildings and industrial/warehouse space. Some properties are considered mixed use. Commercial real estate loans are generally considered to have a higher degree of credit risk as they may be dependent on the ongoing success and operating viability of a fewer number of tenants who are occupying the property and who may have a greater degree of exposure to economic conditions.

Commercial and Industrial Loans. The Bank provides lines of credit and term loans to operating companies for business purposes. The loans are generally secured by business assets such as accounts receivable, inventory, business vehicles and equipment as well as the stock of a company, if privately held. Commercial and industrial loans are typically repaid first by the cash flows generated by the borrower’s business operations. The primary risk

characteristics are specific to the underlying business and its ability to generate sustainable profitability and resulting positive cash flows. Factors that may influence a business’ profitability include, but are not limited to, demand for its products or services, quality and depth of management, competition, regulatory changes, and general economic conditions. To mitigate the risk characteristics of commercial and industrial loans, these loans often include commercial real estate as collateral and the Bank will often require more frequent reporting requirements from the borrower in order to better monitor its business performance. The ability of the Bank to foreclose and realize sufficient value from the assets is often highly uncertain.

Equipment Finance and Leasing. PCC offers a wide range of equipment finance solutions nationally and goes to market through capital markets, intermediary, vendor and direct platforms. PCC provides term loans and leases secured by assets financed for U.S. based companies and governments. Payment terms are typically payable in monthly or quarterly installments under fixed-rate terms. Lease transactions may contain renewal or purchase options that allow the lessee options at the end of the lease term. PCC estimates the expected residual value of the leased property at lease inception by considering both internal and third party valuations and may obtain partial or full residual value guarantees to reduce its residual asset risk. PCC serves a broad range of industries including transportation, manufacturing, medical, construction and utilities.

Credit risk in PCC’s portfolio generally results from the potential default of borrowers or lessees, which may be driven by customer specific or broader industry-related conditions. Credit losses can impact multiple parts of the income statement including loss of interest/lease/rental income and/or higher costs and expenses related to the repossession, refurbishment, re-marketing and or re-leasing of assets.

PCC's ongoing risk management strategy for residual assets includes regular reviews of estimated residual value, which may result in an impairment of the asset carrying value at any time during the life of the asset.

Construction. The Bank provides commercial construction loans for properties located in the Tri-state area. Risks common to commercial construction loans are cost overruns, inaccurate estimates of the period of construction, changes in market demand for property, inadequate long-term financing arrangements and declines in real estate values. Changes in market demand for property could lead to longer marketing times resulting in higher carrying costs, declining values, and higher interest rates.

Consumer and Other. These are loans to individuals for household, family and other personal expenditures as well as obligations of states and political subdivisions in the U.S. This also represents all other loans that cannot be categorized in any of the previous mentioned loan segments. Consumer loans generally have higher interest rates and shorter terms than residential loans but tend to have higher credit risk due to the type of collateral securing the loan or in some cases the absence of collateral.

Loan Modifications: The Company will provide loan modifications, at its discretion, to assist borrowers that may be experiencing financial difficulty. Examples of changes provided in a loan modification may include payment deferrals that are more than insignificant, an extension of the note term, or a reduction in the interest on a note. In certain instances, the Company may grant more than one type of modification. Loan modifications are disclosed in accordance with ASU 2022-02, "Financial Instruments-Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures".

 

Leases: At inception, contracts are evaluated to determine whether the contract constitutes a lease agreement. For contracts that are determined to be an operating lease, a corresponding right-of-use (“ROU”) asset and operating lease liability are recorded as separate line items on the Statement of Condition. An ROU asset represents the Company’s right to use an underlying asset during the lease term and a lease liability represents the Company’s commitment to make contractually obligated lease payments. Operating lease ROU assets and liabilities are recognized at the commencement date of the lease and are based on the present value of lease payments over the lease term. The measurement of the operating lease ROU asset includes any lease payments made.

 

If the rate implicit in the lease is not readily determinable, the incremental collateralized borrowing rate is used to determine the present value of lease payments. This rate gives consideration to the applicable FHLB collateralized borrowing rates and is based on the information available at the commencement date. The Company has elected to apply the short-term lease measurement and recognition exemption to leases with an initial term of 12 months or less; therefore, these leases are not recorded on the Company’s statement of condition, but rather, lease expense is recognized over the lease term on a straight-line basis. The Company’s lease agreements may include options to extend or terminate the lease. The Company’s decision to exercise renewal options is based on an assessment of its current business needs and market factors at the time of the renewal. The Company maintains certain property and equipment under direct financing and operating leases. Substantially all of the leases in which the Company is the lessee are comprised of real estate property for branches, wealth management offices and office space and are classified as operating leases.

 

The ROU asset is measured at the amount of the lease liability adjusted for lease incentives received, any cumulative prepaid or accrued rent if the lease payments are uneven throughout the lease term, any unamortized initial direct costs, and any impairment of the ROU asset. Operating lease expense consists of a single lease cost allocated over the remaining lease term on a straight-line basis, variable lease payments not included in the lease liability, and any impairment of the ROU asset.

 

There are no terms or conditions related to residual value guarantees and no restrictions or covenants that would impact the Company’s ability to pay dividends or to incur additional financial obligations.

Derivatives: At the inception of a derivative contract, the Company designates the derivative as one of three types based on the Company’s intentions and belief as to likely effectiveness as a hedge. These three types are: (1) a hedge of the fair value of a recognized asset or liability or of an unrecognized firm commitment (“fair value hedge”); (2) a hedge of a forecasted transaction or the variability of cash flows to be received or paid related to a recognized asset or liability (“cash flow hedge”); or (3) an instrument with no hedging designation. For a fair value hedge, the gain or loss on the derivative, as well as the offsetting loss or gain on the hedged item, are recognized in current earnings as fair values change. For a cash flow hedge, the gain or loss on the derivative is reported in other comprehensive income and is reclassified into earnings in the same periods during which the hedged transaction affects earnings. For cash flow hedges, changes in the fair value of derivatives that are not highly effective in hedging the changes in fair value or expected cash flows of the hedged item are recognized immediately in current earnings. Changes in the fair value of derivatives that do not qualify for hedge accounting are reported currently in earnings, as non-interest income. When hedge accounting is discontinued on a fair value hedge that no longer qualifies as an effective hedge, the derivative continues to be reported at fair value in the statement of condition, but the carrying amount of the hedged item is no longer adjusted for future changes in fair value. The adjustment to the carrying amount of the hedged item that existed at the date hedge accounting is discontinued is amortized over the remaining life of the hedged item into earnings.

Net cash settlements on derivatives that qualify for hedge accounting are recorded in interest income or interest expense, based on the item being hedged. Net cash settlements on derivatives that do not qualify for hedge accounting are reported in non-interest income. Cash flows on hedges are classified in the cash flows statement the same as the cash flows of the items being hedged.

The Company formally documents the relationship between derivatives and hedged items, as well as the risk-management objective and the strategy for undertaking hedge transactions at the inception of the hedging relationship. This documentation includes linking fair value or cash flow hedges to specific assets and liabilities on the statement of condition or to specific firm commitments or forecasted transactions. The Company discontinues hedge accounting when it determines that the derivative is no longer effective in offsetting changes in the fair value or cash flows of the hedged item, the derivative is settled or terminated, a hedged forecasted transaction is no longer probable, a hedged firm commitment is no longer firm, or treatment of the derivative as a hedge is no longer appropriate or intended.

When hedge accounting is discontinued, subsequent changes in fair value of the derivative are recorded as non-interest income. When a cash flow hedge is discontinued but the hedged cash flows or forecasted transactions are still expected to occur, gains or losses that were accumulated in other comprehensive income are amortized into earnings over the same periods which the hedged transactions will affect earnings.

The Company also offers facility specific / loan level swaps to its customers and offsets its exposure from such contracts by entering into mirror image swaps with a financial institution / swap counterparty (loan level / back-to-back swap program). The customer accommodations and any offsetting swaps are treated as non-hedging derivative instruments which do not qualify for hedge accounting (“standalone derivatives”). The notional amount of the swaps does not represent amounts exchanged by the parties. The amount exchanged is determined by reference to the notional amount and the other terms of the individual contracts. The fair value of the swaps is recorded as both an asset and a liability, in other assets and other liabilities, respectively, in equal amounts for these transactions. The Company is exposed to losses if a customer counterparty fails to make its payments under a contract in which the Company is in a net receiving position. At this time, the Company anticipates that its counterparties will be able to fully satisfy their obligations under the agreements. All of the contracts to which the Company is a party settle monthly. Further, the Company has netting agreements with the dealers with which it does business.

Stock-Based Compensation: The Company’s 2025 Long-Term Stock Incentive Plan allows the granting of shares of the Company’s common stock as incentive stock options, nonqualified stock options, restricted stock awards, restricted stock units and stock appreciation rights to directors, officers and employees of the Company and its subsidiaries.

Options granted are, in general, exercisable not earlier than one year after the date of grant, at a price equal to the fair value of common stock on the date of grant and expire not more than ten years after the date of grant. Stock options may vest during a period of up to five years after the date of grant. The Company has a policy of using authorized but unissued shares to satisfy option exercises.

Upon adoption of ASU 2016-09, “Compensation - Stock Compensation (Topic 718), Improvements to Employee Share-Based Payment Accounting,” the Company elected to account for forfeitures as they occur, rather than estimate expected forfeitures.

 

There were no stock options granted during the three months ended March 31, 2026.

 

As of March 31, 2026, there was no unrecognized compensation cost related to non-vested share-based compensation arrangements granted under the Company's stock incentive plans.

 

The Company issued performance-based and service-based restricted stock units in 2026 and 2025. Service-based units vest ratably over a three- or five-year period. There were 93,714 service-based restricted stock units granted under the 2025 Long-Term Stock Incentive Plan during the first three months of 2026.

 

The performance-based awards are dependent upon the Company meeting certain performance criteria and, to the extent the performance criteria are met, will cliff vest at the end of the performance period, which is generally three years. Additionally, the Company entered into Special Executive Retention Performance Restricted Stock Unit (the “Market Based RSUs”) Award Agreements (the "Agreements") with our President and Chief Executive Officer and the Senior Executive Vice President of the Company and President of Private Wealth Management, to incentivize the executives to remain in the employ of the Company for the continuous period through December 31, 2028, to reward them for achieving certain Company performance goals specified in the Agreements. The number of Market Based RSUs issued upon vesting will range from 0% to 250% of the shares granted based on the 30-day average stock price of the Company measured at the end of each performance period. The fair value of Market Based RSUs granted is estimated using a Monte Carlo simulation. Expected volatilities were determined based on the historical volatilities of the Company and the specified peer group. The risk-free interest rate for the performance period was derived from the Treasury constant maturities yield curve on the valuation dates. There were 133,354 performance-based restricted stock units granted under the 2025 Long-Term Stock Incentive Plan during the first three months of 2026, of which 66,000 units were Market Based RSUs.

Changes in non-vested shares dependent on performance criteria for the three months ended March 31, 2026 were as follows:

 

 

 

 

 

 

Weighted

 

 

 

 

 

 

Average

 

 

 

Number of

 

 

Grant Date

 

 

 

Shares

 

 

Fair Value

 

Balance, January 1, 2026

 

 

133,936

 

 

$

30.37

 

Granted during 2026

 

 

133,354

 

 

 

41.78

 

Vested during 2026

 

 

(53,729

)

 

 

30.96

 

Forfeited during 2026

 

 

—

 

 

 

—

 

Balance, March 31, 2026

 

 

213,561

 

 

$

38.57

 

 

Changes in service-based restricted stock awards/units for the three months ended March 31, 2026 were as follows:

 

 

 

 

 

 

Weighted

 

 

 

 

 

 

Average

 

 

 

Number of

 

 

Grant Date

 

 

 

Shares

 

 

Fair Value

 

Balance, January 1, 2026

 

 

214,089

 

 

$

31.37

 

Granted during 2026

 

 

93,714

 

 

 

33.18

 

Vested during 2026

 

 

(117,934

)

 

 

31.28

 

Forfeited during 2026

 

 

(2,905

)

 

 

30.96

 

Balance, March 31, 2026

 

 

186,964

 

 

$

32.34

 

 

As of March 31, 2026, there was $13.1 million of total unrecognized compensation cost related to service-based and performance-based restricted stock units. This cost is expected to be recognized over a weighted average period of 2.52 years. Stock compensation expense recorded for the first quarters of 2026 and 2025 totaled $555,000 and $1.6 million, respectively.

 

Phantom Plan: During the first quarter of 2024, the Company adopted the Peapack-Gladstone Financial Corporation 2024 Phantom Stock Plan (the "Phantom Plan"). The Phantom Plan allows the Company to issue performance-based and service-based awards which will be settled in cash. The award of a phantom unit entitles the participant to a cash payment equal to the value of the unit on the vesting date, which is the fair market value of a common share of the Company's stock on such vesting date.

 

The Company did not issue performance-based phantom units in the first three months of 2026. The Company issued 98,316 service-based phantom units in the first three months of 2026. Service-based phantom units vest ratably over a three-year period.

 

Phantom units are recorded in compensation and employee benefits expense based on the fair value of the units on the balance sheet date. The fair value of these awards is updated at each balance sheet date and changes in the fair value of the vested portions of the awards are recorded as increases or decreases to compensation expense within compensation and employee benefits in the Consolidated Statements of Income. All of the outstanding phantom units at March 31, 2026 met the criteria to be treated under liability classification in accordance with ASC 718, given that these awards will settle in cash on the vesting date.

 

Compensation expense for the phantom units is based on the fair value of the units as of the balance sheet date as further discussed above, and such costs are recognized ratably over the service period of the awards. As the fair value of liability awards is required to be re-measured each period end, stock compensation expense amounts recognized in future periods for these awards will vary. The estimated future cash payments of these awards are presented as liabilities within "Accrued expenses and other liabilities" in the Consolidated Statement of Condition. As of March 31, 2026, there was $11.9 million of unrecognized compensation costs related to non-vested phantom units. That cost is expected to be recognized over a weighted average period of 2.05 years. Stock compensation expense recorded for the first quarters of 2026 and 2025 totaled $2.8 million and $1.7 million, respectively.

 

Employee Stock Purchase Plan (“ESPP”): The 2014 ESPP expired in April 2024 and was replaced by the 2024 ESPP, which was approved by shareholders on April 30, 2024 and allowed for the issuance of 150,000 shares.

 

The ESPP allows for the purchase of shares during four three-month Offering Periods of each calendar year. The Offering Periods end on March 31, June 30, September 30 and December 31 of each calendar year.

 

Each participant in the Offering Period is granted an option to purchase a number of shares and may contribute between one percent and 15 percent of their compensation. At the end of each Offering Period, the number of shares to be purchased by the employee is determined by dividing the employee’s contributions accumulated during the Offering Period by the applicable purchase price. The purchase price is an amount equal to 85 percent of the closing market price of a share of common stock on the purchase date. Participation in the ESPP is voluntary and employees can cancel their purchases at any time during the period without penalty. The fair value of each share purchase right is determined using the Black-Scholes option pricing model.

 

The Company recorded $56,000 in compensation and employee benefits expense for the three months ended March 31, 2026 related to ESPP, compared to $39,000 for the three months ended March 31, 2025. Total shares issued under the ESPP during the first quarter ended March 31, 2026 and 2025 were 11,013 and 7,115, respectively.

 

Earnings per share – Basic and Diluted: The following is a reconciliation of the calculation of basic and diluted earnings per share. Basic net income per share is calculated by dividing net income available to common shareholders by the weighted average shares outstanding during the reporting period. Diluted net income per share is computed similarly to that of basic net income per share, except that the denominator is increased to include the number of additional shares that would have been outstanding utilizing the Treasury Stock Method if all shares underlying potentially dilutive stock options were issued and all shares of restricted stock, stock warrants or restricted stock units were to vest during the reporting period.

 

 

Three Months Ended

 

 

March 31,

 

(Dollars in thousands, except per share data)

2026

 

 

2025

 

Net income

$

14,153

 

 

$

7,595

 

Less: Dividends on preferred stock

 

—

 

 

 

—

 

Net income available to common shareholders

$

14,153

 

 

$

7,595

 

 

 

 

 

 

 

Basic weighted average shares outstanding

 

17,585,846

 

 

 

17,610,917

 

Plus: common stock equivalents

 

174,832

 

 

 

201,305

 

Diluted weighted average shares outstanding

 

17,760,678

 

 

 

17,812,222

 

Net income per share

 

 

 

 

 

Basic

$

0.80

 

 

$

0.43

 

Diluted

 

0.80

 

 

 

0.43

 

For the three months ended March 31, 2026 and 2025, restricted stock units totaling 76,496 and 20,885, respectively, were not included in the computation of diluted earnings per share because they were anti-dilutive. Anti-dilutive shares are common stock equivalents with weighted average exercise prices in excess of the average market value for the periods presented.

 

Income Taxes: The Company files a consolidated Federal income tax return. Separate state income tax returns are filed for each subsidiary based on current laws and regulations.

The Company recognizes deferred tax assets and liabilities for the expected future tax consequences of events that have been included in its financial statements or tax returns. The measurement of deferred tax assets and liabilities is based on the enacted tax rates. Such tax assets and liabilities are adjusted for the effect of a change in tax rates in the period of enactment.

The Company recognizes a tax position as a benefit only if it is “more likely than not” that the tax position would be sustained in a tax examination, with a tax examination being presumed to occur. The amount recognized is the largest amount of tax benefit that is greater than 50 percent likely of being realized on examination. For tax positions not meeting the “more likely than not” test, no tax benefit is recorded.

The Company is no longer subject to examination by the U.S. Federal tax authorities for years prior to 2022 or by New Jersey tax authorities for years prior to 2020.

The Company recognizes interest and/or penalties related to income tax matters in income tax expense.

Loss Contingencies: Loss contingencies, including claims and legal actions arising in the ordinary course of business, are recorded as liabilities when the likelihood of loss is probable and an amount or range of loss can be reasonably estimated. Management does not believe there are any such matters that will have a material effect on the financial statements.

Restrictions on Cash: Cash on hand or on deposit with the Federal Reserve Bank of New York was required to meet regulatory reserve and clearing requirements.

Comprehensive Income: Comprehensive income consists of net income and the change during the period in the Company’s net unrealized gains or losses on securities available for sale and unrealized gains and losses on cash flow hedge, net of tax, less adjustments for realized gains and losses.

Transfers of Financial Assets: Transfers of financial assets are accounted for as sales, when control over the assets has been relinquished. Control over transferred assets is deemed to be surrendered when the assets have been isolated from the Company, the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets, and the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity.

Goodwill and Other Intangible Assets: Goodwill is generally determined as the excess of the fair value of the consideration transferred, plus the fair value of any noncontrolling interests in the acquiree (if any), over the fair value of any net assets acquired and liabilities assumed as of the date of acquisition in a purchase business combination. Goodwill and intangible assets acquired in a purchase business combination and determined to have an indefinite useful life are not amortized but tested for impairment at least annually or more frequently if events and circumstances exist that indicate that a goodwill impairment test should be performed. Goodwill was primarily attributable to the Bank’s wealth management acquisitions. Management monitors the impact of changes in the financial markets and includes these assessments in our impairment process.

The Company has selected December 31 as the date to perform the annual impairment test. Intangible assets with definite useful lives are amortized over their estimated useful lives to their estimated residual values. Goodwill, which includes assembled workforce has an indefinite life on our statement of financial condition.

Other intangible assets, which primarily consist of customer relationship intangible assets arising from acquisitions, are amortized on an accelerated basis over their estimated useful lives, which range from 5 to 15 years.
v3.26.1
INVESTMENT SECURITIES
 3 Months Ended
Mar. 31, 2026
Investment Securities Available For Sale [Abstract]  
INVESTMENT SECURITIES

2. INVESTMENT SECURITIES

A summary of amortized cost and approximate fair value of investment securities available for sale and held to maturity included in the Consolidated Statements of Condition as of March 31, 2026 and December 31, 2025 follows:

 

 

 

March 31, 2026

 

 

 

 

 

 

Gross

 

 

Gross

 

 

Allowance

 

 

 

 

 

 

Amortized

 

 

Unrealized

 

 

Unrealized

 

 

for

 

 

Fair

 

(In thousands)

 

Cost

 

 

Gains

 

 

Losses

 

 

Credit Losses

 

 

Value

 

Securities Available for Sale:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   U.S government-sponsored agencies

 

$

219,838

 

 

$

—

 

 

$

(33,257

)

 

$

—

 

 

$

186,581

 

   Mortgage-backed securities–residential

 

 

526,784

 

 

 

1,055

 

 

 

(36,071

)

 

 

—

 

 

 

491,768

 

   SBA pool securities

 

 

18,640

 

 

 

—

 

 

 

(2,220

)

 

 

—

 

 

 

16,420

 

   Corporate bond

 

 

15,500

 

 

 

178

 

 

 

(401

)

 

 

—

 

 

 

15,277

 

      Total securities available for sale

 

$

780,762

 

 

$

1,233

 

 

$

(71,949

)

 

$

—

 

 

$

710,046

 

Securities Held to Maturity:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   U.S. government-sponsored agencies

 

$

25,000

 

 

$

—

 

 

$

(1,104

)

 

$

—

 

 

$

23,896

 

   Mortgage-backed securities–residential

 

 

54,478

 

 

 

—

 

 

 

(7,537

)

 

 

—

 

 

 

46,941

 

      Total securities held to maturity

 

$

79,478

 

 

$

—

 

 

$

(8,641

)

 

$

—

 

 

$

70,837

 

 

 

 

December 31, 2025

 

 

 

 

 

 

Gross

 

 

Gross

 

 

Allowance

 

 

 

 

 

 

Amortized

 

 

Unrealized

 

 

Unrealized

 

 

for

 

 

Fair

 

(In thousands)

 

Cost

 

 

Gains

 

 

Losses

 

 

Credit Losses

 

 

Value

 

Securities Available for Sale:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   U.S government-sponsored agencies

 

$

244,833

 

 

$

—

 

 

$

(33,610

)

 

$

—

 

 

$

211,223

 

   Mortgage-backed securities–residential

 

 

561,794

 

 

 

3,551

 

 

 

(34,980

)

 

 

—

 

 

 

530,365

 

   SBA pool securities

 

 

19,345

 

 

 

—

 

 

 

(2,133

)

 

 

—

 

 

 

17,212

 

   Corporate bond

 

 

15,500

 

 

 

250

 

 

 

(347

)

 

 

—

 

 

 

15,403

 

      Total securities available for sale

 

$

841,472

 

 

$

3,801

 

 

$

(71,070

)

 

$

—

 

 

$

774,203

 

Securities Held to Maturity:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   U.S. government-sponsored agencies

 

$

40,000

 

 

$

—

 

 

$

(1,125

)

 

$

—

 

 

$

38,875

 

   Mortgage-backed securities–residential

 

 

55,862

 

 

 

23

 

 

 

(7,269

)

 

 

—

 

 

 

48,616

 

      Total securities held to maturity

 

$

95,862

 

 

$

23

 

 

$

(8,394

)

 

$

—

 

 

$

87,491

 

 

The following table presents a summary of the gross gains, gross losses and net tax expense related to proceeds on sales of securities available for sale for the three months ended March 31, 2026. There were no sales of securities for the three months ended March 31, 2025.

 

 

 

Three Months Ended

 

(In thousands)

 

March 31, 2026

 

Proceeds from sales

 

$

97,019

 

Gross losses

 

 

(81

)

Net tax expense

 

 

22

 

 

The following tables present the Company’s available for sale and held to maturity securities with continuous unrealized losses and the approximate fair value of these investments as of March 31, 2026 and December 31, 2025.

 

 

 

March 31, 2026

 

 

 

Duration of Unrealized Loss

 

 

 

Less Than 12 Months

 

 

12 Months or Longer

 

 

Total

 

 

 

Approximate

 

 

 

 

 

Approximate

 

 

 

 

 

Approximate

 

 

 

 

 

 

Fair

 

 

Unrealized

 

 

Fair

 

 

Unrealized

 

 

Fair

 

 

Unrealized

 

(In thousands)

 

Value

 

 

Losses

 

 

Value

 

 

Losses

 

 

Value

 

 

Losses

 

Securities Available for Sale:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   U.S. government-sponsored agencies

 

$

—

 

 

$

—

 

 

$

186,581

 

 

$

(33,257

)

 

$

186,581

 

 

$

(33,257

)

   Mortgage-backed securities residential

 

 

96,065

 

 

 

(995

)

 

 

189,965

 

 

 

(35,076

)

 

 

286,030

 

 

 

(36,071

)

   SBA pool securities

 

 

—

 

 

 

—

 

 

 

16,420

 

 

 

(2,220

)

 

 

16,420

 

 

 

(2,220

)

   Corporate bond

 

 

—

 

 

 

—

 

 

 

9,599

 

 

 

(401

)

 

 

9,599

 

 

 

(401

)

Total securities available for sale

 

$

96,065

 

 

$

(995

)

 

$

402,565

 

 

$

(70,954

)

 

$

498,630

 

 

$

(71,949

)

Securities Held to Maturity:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   U.S. government-sponsored agencies

 

$

—

 

 

$

—

 

 

$

23,896

 

 

$

(1,104

)

 

$

23,896

 

 

$

(1,104

)

   Mortgage-backed securities residential

 

 

4,334

 

 

 

(25

)

 

 

42,607

 

 

 

(7,512

)

 

 

46,941

 

 

 

(7,537

)

Total securities held to maturity

 

$

4,334

 

 

$

(25

)

 

$

66,503

 

 

$

(8,616

)

 

$

70,837

 

 

$

(8,641

)

Total securities

 

$

100,399

 

 

$

(1,020

)

 

$

469,068

 

 

$

(79,570

)

 

$

569,467

 

 

$

(80,590

)

 

 

 

December 31, 2025

 

 

 

Duration of Unrealized Loss

 

 

 

Less Than 12 Months

 

 

12 Months or Longer

 

 

Total

 

 

 

Approximate

 

 

 

 

 

Approximate

 

 

 

 

 

Approximate

 

 

 

 

 

 

Fair

 

 

Unrealized

 

 

Fair

 

 

Unrealized

 

 

Fair

 

 

Unrealized

 

(In thousands)

 

Value

 

 

Losses

 

 

Value

 

 

Losses

 

 

Value

 

 

Losses

 

Securities Available for Sale:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   U.S. government-sponsored agencies

 

$

—

 

 

$

—

 

 

$

211,223

 

 

$

(33,610

)

 

$

211,223

 

 

$

(33,610

)

   Mortgage-backed securities residential

 

 

42,035

 

 

 

(79

)

 

 

205,749

 

 

 

(34,901

)

 

 

247,784

 

 

 

(34,980

)

   SBA pool securities

 

 

—

 

 

 

—

 

 

 

17,212

 

 

 

(2,133

)

 

 

17,212

 

 

 

(2,133

)

   Corporate bond

 

 

—

 

 

 

—

 

 

 

9,652

 

 

 

(347

)

 

 

9,652

 

 

 

(347

)

Total securities available for sale

 

$

42,035

 

 

$

(79

)

 

$

443,836

 

 

$

(70,991

)

 

$

485,871

 

 

$

(71,070

)

Securities Held to Maturity:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   U.S. government-sponsored agencies

 

$

—

 

 

$

—

 

 

$

38,875

 

 

$

(1,125

)

 

$

38,875

 

 

$

(1,125

)

   Mortgage-backed securities residential

 

 

—

 

 

 

—

 

 

 

43,737

 

 

 

(7,269

)

 

 

43,737

 

 

 

(7,269

)

Total securities held to maturity

 

$

—

 

 

$

—

 

 

$

82,612

 

 

$

(8,394

)

 

$

82,612

 

 

$

(8,394

)

Total securities

 

$

42,035

 

 

$

(79

)

 

$

526,448

 

 

$

(79,385

)

 

$

568,483

 

 

$

(79,464

)

 

Available for sale and held to maturity securities with a carrying value of $477.6 million and $77.5 million as of March 31, 2026, respectively, were pledged to secure public funds and for other purposes required or permitted by law. However, only $45.7 million of pledged securities are encumbered.

 

Available for sale and held to maturity securities are evaluated to determine if a decline in fair value below the amortized cost basis has resulted from a credit loss or other factors. An impairment related to credit factors would be recorded through an allowance for credit losses. The allowance is limited to the amount by which the security’s amortized cost basis exceeds the fair value. An impairment that has not been recorded through an allowance for credit losses is recorded through other comprehensive income, net of applicable taxes. Investment securities will be written down to fair value through the Consolidated Statements of Income when management intends to sell, or may be required to sell, the securities before they recover in value. The issuers of securities currently in a continuous loss position continue to make timely principal and interest payments and none of these securities were past due or were placed on nonaccrual status at March 31, 2026. Primarily all of the investment securities are backed by loans guaranteed by either U.S. government agencies or U.S government-sponsored entities, and management believes that default is highly unlikely given the lack of historical credit losses and governmental backing. Management believes that the unrealized losses on these securities are a function of changes in market interest rates and credit spreads, not changes in credit quality. Therefore, no allowance for credit losses was recorded for the three months ended March 31, 2026 or 2025, respectively.

The Company has an investment in a CRA investment fund with a fair value of $13.4 million at March 31, 2026. This investment is classified as an equity security on our Consolidated Statements of Condition. This security had a loss of $84,000 and a gain of $195,000 for the three months ended March 31, 2026 and 2025, respectively. This amount was included in the fair value adjustment for CRA equity security on the Consolidated Statements of Income.
v3.26.1
LOANS AND LEASES
 3 Months Ended
Mar. 31, 2026
Receivables [Abstract]  
LOANS AND LEASES

3. LOANS AND LEASES

Loans outstanding, excluding those held for sale, by general ledger classification, as of March 31, 2026 and December 31, 2025, consisted of the following:

 

 

 

 

 

% of

 

 

 

 

 

% of

 

 

 

March 31,

 

 

Totals

 

 

December 31,

 

 

Total

 

(Dollars in thousands)

 

2026

 

 

Loans

 

 

2025

 

 

Loans

 

Residential mortgage

 

$

662,949

 

 

 

10.3

%

 

$

647,766

 

 

 

10.4

%

Multifamily mortgage

 

 

1,824,882

 

 

 

28.4

 

 

 

1,862,592

 

 

 

29.8

 

Commercial mortgage

 

 

887,712

 

 

 

13.8

 

 

 

774,428

 

 

 

12.4

 

Commercial loans (including equipment financing)

 

 

2,788,346

 

 

 

43.3

 

 

 

2,721,447

 

 

 

43.5

 

Commercial construction

 

 

695

 

 

 

0.0

 

 

 

495

 

 

 

0.0

 

Home equity lines of credit

 

 

58,194

 

 

 

0.9

 

 

 

59,306

 

 

 

0.9

 

Consumer loans, including fixed rate home equity loans

 

 

210,731

 

 

 

3.3

 

 

 

187,360

 

 

 

3.0

 

Other loans

 

 

860

 

 

 

0.0

 

 

 

342

 

 

 

0.0

 

Total loans

 

$

6,434,369

 

 

 

100.0

%

 

$

6,253,736

 

 

 

100.0

%

In determining an appropriate amount for the allowance, the Bank segments and aggregated the loan portfolio based on common characteristics. The following pool segments identified as of March 31, 2026 and December 31, 2025 are based on the CECL methodology:

 

 

 

 

 

 

% of

 

 

 

 

 

% of

 

 

 

March 31,

 

 

Totals

 

 

December 31,

 

 

Total

 

(Dollars in thousands)

 

2026

 

 

Loans

 

 

2025

 

 

Loans

 

Primary residential mortgage

 

$

652,450

 

 

 

10.1

%

 

$

632,890

 

 

 

10.1

%

Junior lien loan on residence

 

 

60,704

 

 

 

0.9

 

 

 

61,420

 

 

 

1.0

 

Multifamily property

 

 

1,824,882

 

 

 

28.4

 

 

 

1,862,592

 

 

 

29.8

 

Owner-occupied commercial real estate

 

 

294,248

 

 

 

4.6

 

 

 

289,801

 

 

 

4.6

 

Investment commercial real estate

 

 

1,217,060

 

 

 

18.9

 

 

 

1,101,082

 

 

 

17.6

 

Commercial and industrial

 

 

1,875,403

 

 

 

29.2

 

 

 

1,823,557

 

 

 

29.2

 

Lease financing

 

 

273,380

 

 

 

4.3

 

 

 

266,038

 

 

 

4.3

 

Construction

 

 

20,533

 

 

 

0.3

 

 

 

24,959

 

 

 

0.4

 

Consumer and other

 

 

213,732

 

 

 

3.3

 

 

 

189,633

 

 

 

3.0

 

Total loans

 

 

6,432,392

 

 

 

100.0

%

 

 

6,251,972

 

 

 

100.0

%

Net deferred costs

 

 

1,977

 

 

 

 

 

 

1,764

 

 

 

 

Total loans including net deferred costs

 

$

6,434,369

 

 

 

 

 

$

6,253,736

 

 

 

 

 

The following tables present the recorded investment in nonaccrual and loans past due 90 days or over still on accrual by class of loans as of March 31, 2026 and December 31, 2025:

 

 

 

 

 

 

March 31, 2026

 

 

 

 

 

 

Nonaccrual

 

 

 

 

 

Loans Past Due

 

 

 

With No

 

 

 

 

 

90 Days or Over

 

 

 

Allowance

 

 

 

 

 

And Still

 

(In thousands)

 

for Credit Loss

 

 

Nonaccrual

 

 

Accruing Interest

 

Primary residential mortgage

 

$

2,800

 

 

$

3,145

 

 

$

—

 

Junior lien loan on residence

 

 

104

 

 

 

104

 

 

 

—

 

Multifamily property

 

 

14,550

 

 

 

31,146

 

 

 

—

 

Investment commercial real estate

 

 

9,596

 

 

 

11,526

 

 

 

—

 

Commercial and industrial

 

 

9,009

 

 

 

13,377

 

 

 

—

 

Lease financing

 

 

23

 

 

 

23

 

 

 

—

 

Total

 

$

36,082

 

 

$

59,321

 

 

$

—

 

 

 

 

 

 

December 31, 2025

 

 

 

 

 

 

Nonaccrual

 

 

 

 

 

Loans Past Due

 

 

 

With No

 

 

 

 

 

90 Days or Over

 

 

 

Allowance

 

 

 

 

 

And Still

 

(In thousands)

 

for Credit Loss

 

 

Nonaccrual

 

 

Accruing Interest

 

Primary residential mortgage

 

$

2,573

 

 

$

2,573

 

 

$

—

 

Junior lien loan on residence

 

 

106

 

 

 

106

 

 

 

—

 

Multifamily property

 

 

14,671

 

 

 

31,343

 

 

 

—

 

Investment commercial real estate

 

 

9,628

 

 

 

11,557

 

 

 

—

 

Commercial and industrial

 

 

8,973

 

 

 

22,641

 

 

 

—

 

Lease financing

 

 

23

 

 

 

23

 

 

 

—

 

Total

 

$

35,974

 

 

$

68,243

 

 

$

—

 

 

The following tables present the aging of the recorded investment in past due loans as of March 31, 2026 and December 31, 2025 by class of loans, excluding nonaccrual loans:

 

 

 

March 31, 2026

 

 

 

30-59

 

 

60-89

 

 

90 Days or

 

 

 

 

 

 

Days

 

 

Days

 

 

Greater

 

 

Total

 

(In thousands)

 

Past Due

 

 

Past Due

 

 

Past Due

 

 

Past Due

 

Primary residential mortgage

 

$

981

 

 

$

776

 

 

$

—

 

 

$

1,757

 

Multifamily property

 

 

4,769

 

 

 

38,485

 

 

 

—

 

 

 

43,254

 

Commercial and industrial

 

 

556

 

 

 

1,486

 

 

 

—

 

 

 

2,042

 

Total

 

$

6,306

 

 

$

40,747

 

 

$

—

 

 

$

47,053

 

 

 

 

December 31, 2025

 

 

 

30-59

 

 

60-89

 

 

90 Days or

 

 

 

 

 

 

Days

 

 

Days

 

 

Greater

 

 

Total

 

(In thousands)

 

Past Due

 

 

Past Due

 

 

Past Due

 

 

Past Due

 

Primary residential mortgage

 

$

7,121

 

 

$

799

 

 

$

—

 

 

$

7,920

 

Junior lien on residence

 

 

—

 

 

 

64

 

 

 

—

 

 

 

64

 

Multifamily property

 

 

4,642

 

 

 

9,576

 

 

 

—

 

 

 

14,218

 

Commercial and industrial

 

 

4,228

 

 

 

125

 

 

 

—

 

 

 

4,353

 

Total

 

$

15,991

 

 

$

10,564

 

 

$

—

 

 

$

26,555

 

Credit Quality Indicators:

The Company places all commercial loans into various credit risk rating categories based on an assessment of the expected ability of the borrowers to properly service their debt. The assessment considers numerous factors including, but not limited to, current financial information on the borrower, historical payment experience, strength of any guarantor, nature of and value of any collateral, acceptability of the loan structure and documentation, relevant public information and current economic trends. This credit risk rating analysis is performed when the loan is initially underwritten and then annually based on set criteria in the loan policy.

In addition, the Bank has engaged an independent loan review firm to validate risk ratings and to ensure compliance with our policies and procedures. This review of the following types of loans is performed quarterly:

•
A large sample of relationships or new lending to existing relationships greater than $1,000,000 booked since the prior review;
•
All criticized and classified rated borrowers with relationship exposure of more than $500,000;
•
A large sample of Pass-rated (including Pass Watch) borrowers with total relationships in excess of $1,000,000 and a small sample of Pass related relationships less than $1,000,000;
•
All leveraged loans of $1,000,000 or greater;
•
At least two borrowing relationships managed by each commercial banker;
•
Any new Federal Reserve Board Regulation O loan commitments over $1,000,000; and
•
Any other credits requested by Bank senior management or a member of the Board of Directors and any borrower for which the reviewer determines a review is warranted based upon knowledge of the portfolio, local events, industry stresses, etc.

The review excludes borrowers with commitments of less than $500,000.

The Company uses the following regulatory definitions for criticized and classified risk ratings:

Special Mention: These loans have a potential weakness that deserves Management’s close attention. If left uncorrected, the potential weaknesses may result in deterioration of the repayment prospects for the loans or of the institution’s credit position at some future date.

Substandard: These loans are inadequately protected by the current net 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 liquidation of the debt. They are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected.

Doubtful: These loans have all the weaknesses inherent in those classified as substandard, with the added characteristic that the weaknesses make collection or liquidation in full highly questionable and improbable, based on currently existing facts, conditions and values.

Loans not meeting the criteria above that are analyzed individually as part of the above-described process are considered to be pass-rated loans.

With the adoption of CECL, loans that are in the process of or expected to be in foreclosure are deemed to be collateral dependent with respect to measuring potential loss and allowance adequacy and are individually evaluated by Management. Loans that do not share common risk characteristics are also evaluated on an individual basis. All other loans are evaluated using a non-linear discounted cash flow methodology for measuring potential loss and allowance adequacy.

The following is a summary of the credit risk profile of loans by internally assigned grade as of March 31, 2026 and December 31, 2025 based on originations for the periods indicated; the years represent the year of origination for non-revolving loans:

 

 

 

Grade as of March 31, 2026 for Loans Originated During

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2021

 

 

 

 

 

Revolving-

 

 

 

 

(In thousands)

 

2026

 

 

2025

 

 

2024

 

 

2023

 

 

2022

 

 

and Prior

 

 

Revolving

 

 

Term

 

 

Total

 

Primary residential mortgage:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

$

31,696

 

 

$

85,092

 

 

$

69,106

 

 

$

81,885

 

 

$

99,819

 

 

$

273,475

 

 

$

—

 

 

$

7,573

 

 

$

648,646

 

   Special mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

   Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,327

 

 

 

1,063

 

 

 

1,414

 

 

 

—

 

 

 

—

 

 

 

3,804

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total primary residential mortgages

 

 

31,696

 

 

 

85,092

 

 

 

69,106

 

 

 

83,212

 

 

 

100,882

 

 

 

274,889

 

 

 

—

 

 

 

7,573

 

 

 

652,450

 

Current period gross charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Junior lien loan on residence:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

 

—

 

 

 

—

 

 

 

—

 

 

 

444

 

 

 

929

 

 

 

638

 

 

 

52,643

 

 

 

5,947

 

 

 

60,601

 

   Special mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

   Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

102

 

 

 

1

 

 

 

103

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total junior lien loan on residence

 

 

—

 

 

 

—

 

 

 

—

 

 

 

444

 

 

 

929

 

 

 

638

 

 

 

52,745

 

 

 

5,948

 

 

 

60,704

 

Current period gross charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Multifamily property:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

 

38,110

 

 

 

227,916

 

 

 

23,537

 

 

 

50,832

 

 

 

410,848

 

 

 

955,089

 

 

 

—

 

 

 

45,005

 

 

 

1,751,337

 

   Special mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

3,374

 

 

 

34,045

 

 

 

—

 

 

 

—

 

 

 

37,419

 

   Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

36,126

 

 

 

—

 

 

 

—

 

 

 

36,126

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total multifamily property

 

 

38,110

 

 

 

227,916

 

 

 

23,537

 

 

 

50,832

 

 

 

414,222

 

 

 

1,025,260

 

 

 

—

 

 

 

45,005

 

 

 

1,824,882

 

Current period gross charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

3,538

 

 

 

—

 

 

 

—

 

 

 

3,538

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Owner-occupied commercial real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

 

16,867

 

 

 

61,125

 

 

 

31,712

 

 

 

3,334

 

 

 

20,864

 

 

 

136,552

 

 

 

11,858

 

 

 

9,834

 

 

 

292,146

 

   Special mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

678

 

 

 

—

 

 

 

—

 

 

 

118

 

 

 

—

 

 

 

796

 

   Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,306

 

 

 

—

 

 

 

—

 

 

 

1,306

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total owner-occupied commercial real estate

 

 

16,867

 

 

 

61,125

 

 

 

31,712

 

 

 

4,012

 

 

 

20,864

 

 

 

137,858

 

 

 

11,976

 

 

 

9,834

 

 

 

294,248

 

Current period gross charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investment commercial real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

 

132,221

 

 

 

284,466

 

 

 

40,050

 

 

 

98,528

 

 

 

121,027

 

 

 

444,330

 

 

 

27,634

 

 

 

32,217

 

 

 

1,180,473

 

   Special mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

21,834

 

 

 

3,227

 

 

 

—

 

 

 

—

 

 

 

25,061

 

   Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

9,596

 

 

 

1,930

 

 

 

—

 

 

 

—

 

 

 

11,526

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total investment commercial real estate

 

 

132,221

 

 

 

284,466

 

 

 

40,050

 

 

 

98,528

 

 

 

152,457

 

 

 

449,487

 

 

 

27,634

 

 

 

32,217

 

 

 

1,217,060

 

Current period gross charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

 

139,104

 

 

 

444,690

 

 

 

255,182

 

 

 

59,844

 

 

 

87,407

 

 

 

80,099

 

 

 

721,565

 

 

 

37,158

 

 

 

1,825,049

 

   Special mention

 

 

—

 

 

 

—

 

 

 

147

 

 

 

863

 

 

 

—

 

 

 

6,457

 

 

 

3,000

 

 

 

2,192

 

 

 

12,659

 

   Substandard

 

 

—

 

 

 

1,486

 

 

 

10,146

 

 

 

1,249

 

 

 

—

 

 

 

832

 

 

 

8,535

 

 

 

15,447

 

 

 

37,695

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total commercial and industrial

 

 

139,104

 

 

 

446,176

 

 

 

265,475

 

 

 

61,956

 

 

 

87,407

 

 

 

87,388

 

 

 

733,100

 

 

 

54,797

 

 

 

1,875,403

 

Current period gross charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

7,810

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

7,810

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Lease financing:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

 

22,855

 

 

 

100,835

 

 

 

36,730

 

 

 

30,147

 

 

 

28,061

 

 

 

54,729

 

 

 

—

 

 

 

—

 

 

 

273,357

 

   Special mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

   Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

23

 

 

 

—

 

 

 

—

 

 

 

23

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total lease financing

 

 

22,855

 

 

 

100,835

 

 

 

36,730

 

 

 

30,147

 

 

 

28,061

 

 

 

54,752

 

 

 

—

 

 

 

—

 

 

 

273,380

 

Current period gross charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

 

—

 

 

 

5,500

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

15,033

 

 

 

—

 

 

 

20,533

 

   Special mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

   Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total commercial construction loans

 

 

—

 

 

 

5,500

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

15,033

 

 

 

—

 

 

 

20,533

 

Current period gross charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Consumer and other loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

 

43,902

 

 

 

116,088

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

2,429

 

 

 

48,734

 

 

 

2,579

 

 

 

213,732

 

   Special mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

   Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total consumer and other loans

 

 

43,902

 

 

 

116,088

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

2,429

 

 

 

48,734

 

 

 

2,579

 

 

 

213,732

 

Current period gross charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

12

 

 

 

12

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Grade as of March 31, 2026 for Loans Originated During

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2021

 

 

 

 

 

Revolving-

 

 

 

 

(In thousands)

 

2026

 

 

2025

 

 

2024

 

 

2023

 

 

2022

 

 

and Prior

 

 

Revolving

 

 

Term

 

 

Total

 

   Pass

 

 

424,755

 

 

 

1,325,712

 

 

 

456,317

 

 

 

325,014

 

 

 

768,955

 

 

 

1,947,341

 

 

 

877,467

 

 

 

140,313

 

 

 

6,265,874

 

   Special mention

 

 

—

 

 

 

—

 

 

 

147

 

 

 

1,541

 

 

 

25,208

 

 

 

43,729

 

 

 

3,118

 

 

 

2,192

 

 

 

75,935

 

   Substandard

 

 

—

 

 

 

1,486

 

 

 

10,146

 

 

 

2,576

 

 

 

10,659

 

 

 

41,631

 

 

 

8,637

 

 

 

15,448

 

 

 

90,583

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total Loans

 

$

424,755

 

 

$

1,327,198

 

 

$

466,610

 

 

$

329,131

 

 

$

804,822

 

 

$

2,032,701

 

 

$

889,222

 

 

$

157,953

 

 

$

6,432,392

 

Total Current Period Gross Charge-offs

 

$

—

 

 

$

—

 

 

$

—

 

 

$

7,810

 

 

$

—

 

 

$

3,538

 

 

$

—

 

 

$

12

 

 

$

11,360

 

 

 

Grade as of December 31, 2025 for Loans Originated During

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2020

 

 

 

 

 

Revolving-

 

 

 

 

(In thousands)

 

2025

 

 

2024

 

 

2023

 

 

2022

 

 

2021

 

 

and Prior

 

 

Revolving

 

 

Term

 

 

Total

 

Primary residential mortgage:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

$

85,591

 

 

$

71,744

 

 

$

84,353

 

 

$

100,859

 

 

$

65,826

 

 

$

213,686

 

 

$

—

 

 

$

7,595

 

 

$

629,654

 

   Special mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

   Substandard

 

 

—

 

 

 

—

 

 

 

1,341

 

 

 

725

 

 

 

—

 

 

 

1,170

 

 

 

—

 

 

 

—

 

 

 

3,236

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total primary residential mortgages

 

 

85,591

 

 

 

71,744

 

 

 

85,694

 

 

 

101,584

 

 

 

65,826

 

 

 

214,856

 

 

 

—

 

 

 

7,595

 

 

 

632,890

 

Current period gross charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Junior lien loan on residence:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

 

—

 

 

 

—

 

 

 

456

 

 

 

966

 

 

 

53

 

 

 

640

 

 

 

53,187

 

 

 

6,013

 

 

 

61,315

 

   Special mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

   Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

104

 

 

 

1

 

 

 

105

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total junior lien loan on residence

 

 

—

 

 

 

—

 

 

 

456

 

 

 

966

 

 

 

53

 

 

 

640

 

 

 

53,291

 

 

 

6,014

 

 

 

61,420

 

Current period gross charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Multifamily property:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

 

228,337

 

 

 

23,563

 

 

 

50,982

 

 

 

404,551

 

 

 

582,573

 

 

 

457,032

 

 

 

525

 

 

 

44,575

 

 

 

1,792,138

 

   Special mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

9,577

 

 

 

4,510

 

 

 

—

 

 

 

—

 

 

 

14,087

 

   Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

11,888

 

 

 

14,337

 

 

 

30,142

 

 

 

—

 

 

 

—

 

 

 

56,367

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total multifamily property

 

 

228,337

 

 

 

23,563

 

 

 

50,982

 

 

 

416,439

 

 

 

606,487

 

 

 

491,684

 

 

 

525

 

 

 

44,575

 

 

 

1,862,592

 

Current period gross charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

6,724

 

 

 

—

 

 

 

6,267

 

 

 

—

 

 

 

—

 

 

 

12,991

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Owner-occupied commercial real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

 

66,950

 

 

 

31,903

 

 

 

4,051

 

 

 

21,019

 

 

 

42,915

 

 

 

95,725

 

 

 

15,980

 

 

 

9,947

 

 

 

288,490

 

   Special mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

   Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,311

 

 

 

—

 

 

 

—

 

 

 

1,311

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total owner-occupied commercial real estate

 

 

66,950

 

 

 

31,903

 

 

 

4,051

 

 

 

21,019

 

 

 

42,915

 

 

 

97,036

 

 

 

15,980

 

 

 

9,947

 

 

 

289,801

 

Current period gross charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investment commercial real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

 

282,992

 

 

 

40,256

 

 

 

99,050

 

 

 

127,401

 

 

 

70,298

 

 

 

386,318

 

 

 

21,975

 

 

 

35,928

 

 

 

1,064,218

 

   Special mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

22,030

 

 

 

—

 

 

 

3,277

 

 

 

—

 

 

 

—

 

 

 

25,307

 

   Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

9,628

 

 

 

—

 

 

 

1,929

 

 

 

—

 

 

 

—

 

 

 

11,557

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total investment commercial real estate

 

 

282,992

 

 

 

40,256

 

 

 

99,050

 

 

 

159,059

 

 

 

70,298

 

 

 

391,524

 

 

 

21,975

 

 

 

35,928

 

 

 

1,101,082

 

Current period gross charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

 

474,578

 

 

 

299,802

 

 

 

71,416

 

 

 

95,215

 

 

 

92,549

 

 

 

11,815

 

 

 

694,850

 

 

 

25,386

 

 

 

1,765,611

 

   Special mention

 

 

—

 

 

 

—

 

 

 

935

 

 

 

—

 

 

 

6,870

 

 

 

647

 

 

 

3,000

 

 

 

181

 

 

 

11,633

 

   Substandard

 

 

—

 

 

 

10,234

 

 

 

1,249

 

 

 

—

 

 

 

120

 

 

 

2,377

 

 

 

19,634

 

 

 

12,699

 

 

 

46,313

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total commercial and industrial

 

 

474,578

 

 

 

310,036

 

 

 

73,600

 

 

 

95,215

 

 

 

99,539

 

 

 

14,839

 

 

 

717,484

 

 

 

38,266

 

 

 

1,823,557

 

Current period gross charge-offs

 

 

—

 

 

 

232

 

 

 

2,517

 

 

 

11,087

 

 

 

—

 

 

 

44

 

 

 

—

 

 

 

—

 

 

 

13,880

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Lease financing:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

 

103,440

 

 

 

38,742

 

 

 

31,353

 

 

 

29,541

 

 

 

38,229

 

 

 

23,992

 

 

 

718

 

 

 

—

 

 

 

266,015

 

   Special mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

   Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

23

 

 

 

—

 

 

 

—

 

 

 

23

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total lease financing

 

 

103,440

 

 

 

38,742

 

 

 

31,353

 

 

 

29,541

 

 

 

38,229

 

 

 

24,015

 

 

 

718

 

 

 

—

 

 

 

266,038

 

Current period gross charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

 

5,500

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

19,459

 

 

 

—

 

 

 

24,959

 

   Special mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

   Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total commercial construction loans

 

 

5,500

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

19,459

 

 

 

—

 

 

 

24,959

 

Current period gross charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Consumer and other loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

 

140,823

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

149

 

 

 

2,623

 

 

 

43,417

 

 

 

2,621

 

 

 

189,633

 

   Special mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

   Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total consumer and other loans

 

 

140,823

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

149

 

 

 

2,623

 

 

 

43,417

 

 

 

2,621

 

 

 

189,633

 

Current period gross charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

4

 

 

 

—

 

 

 

33

 

 

 

37

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

 

1,388,211

 

 

 

506,010

 

 

 

341,661

 

 

 

779,552

 

 

 

892,592

 

 

 

1,191,831

 

 

 

850,111

 

 

 

132,065

 

 

 

6,082,033

 

   Special mention

 

 

—

 

 

 

—

 

 

 

935

 

 

 

22,030

 

 

 

16,447

 

 

 

8,434

 

 

 

3,000

 

 

 

181

 

 

 

51,027

 

   Substandard

 

 

—

 

 

 

10,234

 

 

 

2,590

 

 

 

22,241

 

 

 

14,457

 

 

 

36,952

 

 

 

19,738

 

 

 

12,700

 

 

 

118,912

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total Loans

 

$

1,388,211

 

 

$

516,244

 

 

$

345,186

 

 

$

823,823

 

 

$

923,496

 

 

$

1,237,217

 

 

$

872,849

 

 

$

144,946

 

 

$

6,251,972

 

Total Current Period Gross Charge-offs

 

$

—

 

 

$

232

 

 

$

2,517

 

 

$

17,811

 

 

$

—

 

 

$

6,315

 

 

$

—

 

 

$

33

 

 

$

26,908

 

 

At March 31, 2026, $59.3 million of substandard loans were individually evaluated, compared to $68.2 million at December 31, 2025. The decrease in individually evaluated substandard loans was driven by the liquidation of one commercial loan with a balance

of $9.6 million during the three months ended March 31, 2026. The increase in special mention loans was primarily due to one multifamily relationship with an outstanding balance of $36.2 million at March 31, 2026.

 

Loan Modifications:

 

The Company will provide loan modifications, at its discretion, to assist borrowers that may be experiencing financial difficulty. Examples of changes provided in a loan modification may include payment deferrals that are more than insignificant, an extension of the note term, or a reduction in the interest rate on a note. In certain instances, the Company may grant more than one type of modification. All accruing modified loans were paying in accordance with their modified terms as of March 31, 2026. The Company has not committed to lend additional amounts as of March 31, 2026 to customers with outstanding loans that are classified as modified loans.

 

There were loan modifications made during the first three months of 2026, which included one multifamily loan, one primary residential mortgage, and two commercial and industrial loans of $1.2 million, $82,000 and $2.3 million, respectively.

 

The following tables provide information related to the modifications completed during the three months ended March 31, 2026 by pool segment and type of concession granted:

 

 

 

Significant Payment Delay

 

 

 

Three Months Ended

 

 

 

March 31, 2026

 

 

 

 

 

 

% of Total

 

 

 

Amortized

 

 

Class of

 

 

 

Cost Basis

 

 

Financing

 

(Dollars in thousands)

 

at Period End

 

 

Receivable

 

Primary residential mortgage

 

$

82

 

 

 

0.01

%

Total

 

$

82

 

 

 

0.01

%

 

 

 

Combination Int Rate Reduction

 

 

 

and Significant Payment Delay

 

 

 

Three Months Ended

 

 

 

March 31, 2026

 

 

 

 

 

 

% of Total

 

 

 

Amortized

 

 

Class of

 

 

 

Cost Basis

 

 

Financing

 

(Dollars in thousands)

 

at Period End

 

 

Receivable

 

Multifamily property

 

$

1,209

 

 

 

0.07

%

Total

 

$

1,209

 

 

 

0.07

%

 

 

 

Combination Significant Payment

 

 

 

Delay & Term Extension

 

 

 

Three Months Ended

 

 

 

March 31, 2026

 

 

 

 

 

 

% of Total

 

 

 

Amortized

 

 

Class of

 

 

 

Cost Basis

 

 

Financing

 

(Dollars in thousands)

 

at Period End

 

 

Receivable

 

Commercial and industrial

 

$

2,338

 

 

 

0.12

%

Total

 

$

2,338

 

 

 

0.12

%

 

The following table provides information related to the modifications during the three months ended March 31, 2025 by pool segment and type of concession granted:

 

 

 

Significant Payment Delay

 

 

 

Three Months Ended

 

 

 

March 31, 2025

 

 

 

 

 

 

% of Total

 

 

 

Amortized

 

 

Class of

 

 

 

Cost Basis

 

 

Financing

 

(Dollars in thousands)

 

at Period End

 

 

Receivable

 

Primary residential mortgage

 

$

295

 

 

 

0.05

%

Multifamily property

 

 

8,303

 

 

 

0.47

%

Commercial and industrial

 

 

10,689

 

 

 

0.66

%

Total

 

$

19,287

 

 

 

1.18

%

 

 

 

Significant Payment Delay

 

 

 

and Term Extension

 

 

 

Three Months Ended

 

 

 

March 31, 2025

 

 

 

 

 

 

% of Total

 

 

 

Amortized

 

 

Class of

 

 

 

Cost Basis

 

 

Financing

 

(Dollars in thousands)

 

at Period End

 

 

Receivable

 

Commercial and industrial

 

$

416

 

 

 

0.03

%

Total

 

$

416

 

 

 

0.03

%

 

 

 

 

 

Interest Rate Reduction and

 

 

 

Significant Payment Delay

 

 

 

Three Months Ended

 

 

 

March 31, 2025

 

 

 

 

 

 

% of Total

 

 

 

Amortized

 

 

Class of

 

 

 

Cost Basis

 

 

Financing

 

(Dollars in thousands)

 

at Period End

 

 

Receivable

 

Multifamily property

 

$

9,307

 

 

 

0.52

%

Total

 

$

9,307

 

 

 

0.52

%

 

The following table depicts the payment status of the loans that were modified to a borrower experiencing financial difficulties as of March 31, 2026:

 

 

 

Payment Status at March 31, 2026

 

 

 

 

 

 

30-89 Days

 

 

90+ Days

 

(Dollars in thousands)

 

Current

 

 

Past Due

 

 

Past Due

 

Primary residential mortgage

 

$

83

 

 

$

311

 

 

$

92

 

Multifamily property

 

 

43,101

 

 

 

47,481

 

 

 

—

 

Commercial and industrial

 

 

13,974

 

 

 

416

 

 

 

—

 

Total

 

$

57,158

 

 

$

48,208

 

 

$

92

 

 

The following table depicts the payment status of the loans that were modified to a borrower experiencing financial difficulties as of March 31, 2025:

 

 

 

Payment Status at March 31, 2025

 

 

 

 

 

 

30-89 Days

 

 

90+ Days

 

(Dollars in thousands)

 

Current

 

 

Past Due

 

 

Past Due

 

Primary residential mortgage

 

$

637

 

 

$

295

 

 

$

—

 

Multifamily property

 

$

9,307

 

 

$

8,303

 

 

 

 

Investment commercial real estate

 

 

17,804

 

 

 

—

 

 

 

—

 

Commercial and industrial

 

 

22,851

 

 

 

4,993

 

 

 

2,976

 

Total

 

$

50,599

 

 

$

13,591

 

 

$

2,976

 

 

The following table presents loans by class modified that failed to comply with the modified terms in the twelve months following modification and resulted in a payment default at March 31, 2026:

 

 

 

Amortized Cost Basis of Modified Loans

 

 

 

That Subsequently Defaulted

 

 

 

Three Months Ended March 31, 2026

 

 

 

 

 

 

 

 

 

 

 

 

Interest Rate

 

 

 

 

 

 

Interest Rate

 

 

 

 

 

Reduction &

 

 

 

 

 

 

Reduction &

 

 

 

 

 

Pay Delay

 

 

 

Significant

 

 

Significant

 

 

Term

 

 

and Term

 

(Dollars in thousands)

 

Pay Delay

 

 

Pay Delay

 

 

Extension

 

 

Extension

 

Primary residential mortgage

 

$

404

 

 

$

—

 

 

$

—

 

 

$

—

 

Multifamily property

 

 

40,582

 

 

 

18,771

 

 

 

—

 

 

 

2,882

 

Commercial and industrial

 

 

—

 

 

 

—

 

 

 

3,936

 

 

 

—

 

Total

 

$

40,986

 

 

$

18,771

 

 

$

3,936

 

 

$

2,882

 

 

 

The following table presents loans by class modified that failed to comply with the modified terms in the twelve months following modification and resulted in a payment default at March 31, 2025:

 

 

 

Amortized Cost Basis of Modified Loans

 

 

 

That Subsequently Defaulted

 

 

 

Three Months Ended

 

 

 

March 31, 2025

 

 

 

Significant

 

 

Interest

 

(Dollars in thousands)

 

Pay Delay

 

 

Rate Reduction

 

Primary residential mortgage

 

$

932

 

 

$

—

 

Multifamily property

 

 

8,303

 

 

 

—

 

Investment commercial real estate

 

 

—

 

 

 

17,804

 

Commercial and industrial

 

 

—

 

 

 

5,203

 

Total

 

$

9,235

 

 

$

23,007

 
v3.26.1
ALLOWANCE FOR CREDIT LOSSES
 3 Months Ended
Mar. 31, 2026
Credit Loss [Abstract]  
ALLOWANCE FOR CREDIT LOSSES

4. ALLOWANCE FOR CREDIT LOSSES

 

The ACL on loans held for investment is the combination of the allowance for credit losses on loans and the reserve for unfunded loan commitments. The ACL is reported as a reduction of the amortized cost basis of loans, while the reserve for unfunded loan commitments is included within "other liabilities" on the Consolidated Statements of Condition. The estimate of credit loss for unfunded commitments incorporates assumptions for both the likelihood and amount of funding over the estimated life of the commitments, including adjustments for current conditions and reasonable and supportable economic forecasts. Management periodically reviews and updates its assumptions for estimated funding rates. The "Provision for credit losses" on the Consolidated Statements of Income is a combination of the provision for credit losses and the provision for unfunded loan commitments.

 

The Company does not estimate expected credit losses on accrued interest receivable (“AIR”) on loans, as AIR is reversed or written off when the full collection of the AIR related to a loan becomes doubtful. AIR on loans totaled $30.1 million at March 31, 2026 and $28.5 million at December 31, 2025.

 

The following tables present the loan balances by segment, and the corresponding balances in the allowance as of March 31, 2026 and December 31, 2025. The allowance was based on the CECL methodology.

 

 

 

March 31, 2026

 

 

 

 

 

 

Ending ACL

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Attributable

 

 

 

 

 

Ending ACL

 

 

 

 

 

 

 

 

 

Total

 

 

To

 

 

Total

 

 

Attributable

 

 

 

 

 

 

 

 

 

Individually

 

 

Individually

 

 

Loans

 

 

To Loans

 

 

 

 

 

Total

 

 

 

Evaluated

 

 

Evaluated

 

 

Collectively

 

 

Collectively

 

 

Total

 

 

Ending

 

(In thousands)

 

Loans

 

 

Loans

 

 

Evaluated

 

 

Evaluated

 

 

Loans

 

 

ACL

 

Primary residential mortgage

 

$

3,145

 

 

$

3

 

 

$

649,305

 

 

$

5,393

 

 

$

652,450

 

 

$

5,396

 

Junior lien loan on residence

 

 

104

 

 

 

—

 

 

 

60,600

 

 

 

195

 

 

 

60,704

 

 

 

195

 

Multifamily property

 

 

31,146

 

 

 

3,691

 

 

 

1,793,736

 

 

 

8,438

 

 

 

1,824,882

 

 

 

12,129

 

Owner-occupied commercial real estate

 

 

—

 

 

 

—

 

 

 

294,248

 

 

 

3,544

 

 

 

294,248

 

 

 

3,544

 

Investment commercial real estate

 

 

11,526

 

 

 

994

 

 

 

1,205,534

 

 

 

14,213

 

 

 

1,217,060

 

 

 

15,207

 

Commercial and industrial

 

 

13,377

 

 

 

2,037

 

 

 

1,862,026

 

 

 

22,275

 

 

 

1,875,403

 

 

 

24,312

 

Lease financing

 

 

23

 

 

 

—

 

 

 

273,357

 

 

 

2,544

 

 

 

273,380

 

 

 

2,544

 

Construction

 

 

—

 

 

 

—

 

 

 

20,533

 

 

 

209

 

 

 

20,533

 

 

 

209

 

Consumer and other loans

 

 

—

 

 

 

—

 

 

 

213,732

 

 

 

3,490

 

 

 

213,732

 

 

 

3,490

 

Total ACL

 

$

59,321

 

 

$

6,725

 

 

$

6,373,071

 

 

$

60,301

 

 

$

6,432,392

 

 

$

67,026

 

 

 

 

December 31, 2025

 

 

 

 

 

 

Ending ACL

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Attributable

 

 

 

 

 

Ending ACL

 

 

 

 

 

 

 

 

 

Total

 

 

To

 

 

Total

 

 

Attributable

 

 

 

 

 

 

 

 

 

Individually

 

 

Individually

 

 

Loans

 

 

To Loans

 

 

 

 

 

Total

 

 

 

Evaluated

 

 

Evaluated

 

 

Collectively

 

 

Collectively

 

 

Total

 

 

Ending

 

(In thousands)

 

Loans

 

 

Loans

 

 

Evaluated

 

 

Evaluated

 

 

Loans

 

 

ACL

 

Primary residential mortgage

 

$

2,573

 

 

$

—

 

 

$

630,317

 

 

$

5,328

 

 

$

632,890

 

 

$

5,328

 

Junior lien loan on residence

 

 

106

 

 

 

—

 

 

 

61,314

 

 

 

208

 

 

 

61,420

 

 

 

208

 

Multifamily property

 

 

31,343

 

 

 

3,574

 

 

 

1,831,249

 

 

 

8,884

 

 

 

1,862,592

 

 

 

12,458

 

Owner-occupied commercial real estate

 

 

—

 

 

 

—

 

 

 

289,801

 

 

 

3,630

 

 

 

289,801

 

 

 

3,630

 

Investment commercial real estate

 

 

11,557

 

 

 

994

 

 

 

1,089,525

 

 

 

12,993

 

 

 

1,101,082

 

 

 

13,987

 

Commercial and industrial

 

 

22,641

 

 

 

7,466

 

 

 

1,800,916

 

 

 

21,919

 

 

 

1,823,557

 

 

 

29,385

 

Lease financing

 

 

23

 

 

 

—

 

 

 

266,015

 

 

 

2,554

 

 

 

266,038

 

 

 

2,554

 

Construction

 

 

—

 

 

 

—

 

 

 

24,959

 

 

 

297

 

 

 

24,959

 

 

 

297

 

Consumer and other loans

 

 

—

 

 

 

—

 

 

 

189,633

 

 

 

3,192

 

 

 

189,633

 

 

 

3,192

 

Total ACL

 

$

68,243

 

 

$

12,034

 

 

$

6,183,729

 

 

$

59,005

 

 

$

6,251,972

 

 

$

71,039

 

 

Individually evaluated loans included nonaccrual loans of $59.3 million at March 31, 2026 and $68.2 million at December 31, 2025. Individually evaluated loans did not include any performing modified loans at March 31, 2026. An allowance of $82,000 was allocated to modified loans at March 31, 2026.

 

The allowance for credit losses was $67.0 million as of March 31, 2026, compared to $71.0 million at December 31, 2025. The decrease in the ACL was primarily driven by charge-offs of $11.4 million during the three months ended March 31, 2026. Charge-offs of $7.8 million were related to the liquidation of one commercial and industrial relationship with an additional $3.5 million associated with the sale of a multifamily loan. The commercial and industrial loan charge-off in the current period was tied to a specific provision recorded in previous periods. The decrease was partially offset by a provision for credit losses of $7.3 million driven by loan growth of $184.1 million resulting in a provision of $1.3 million in addition to changes in specific reserves which required a provision of $6.0 million for the three months ended March 31, 2026. The ACL as a percentage of loans was 1.04 percent at March 31, 2026, compared to 1.14 percent at December 31, 2025. The decrease in the ratio for the three months ended March 31, 2026 was primarily due to above mentioned charge-offs.

 

Under Topic 326, the Company's methodology for determining the ACL on loans is based upon key assumptions, including historic net charge-offs, economic forecasts, reversion periods, prepayments and qualitative adjustments. The allowance is measured on a collective, or pool, basis when similar risk characteristics exist. Loans that do not share common risk characteristics are evaluated on an individual basis and are excluded from the collective evaluation.

 

The following tables present collateral dependent loans individually evaluated by segment as of March 31, 2026 and December 31, 2025:

 

 

 

March 31, 2026

 

 

 

 

 

 

 

 

 

 

 

 

Average

 

 

 

Unpaid

 

 

 

 

 

 

 

 

Individually

 

 

 

Principal

 

 

Recorded

 

 

Related

 

 

Evaluated

 

(In thousands)

 

Balance

 

 

Investment

 

 

Allowance

 

 

Loans

 

With no related allowance recorded:

 

 

 

 

 

 

 

 

 

 

 

 

Primary residential mortgage (A)

 

$

3,012

 

 

$

2,799

 

 

$

—

 

 

$

2,820

 

Junior lien loan on residence (A)

 

 

116

 

 

 

104

 

 

 

—

 

 

 

104

 

Multifamily property (B)

 

 

15,264

 

 

 

14,550

 

 

 

—

 

 

 

17,359

 

Investment commercial real estate (C)

 

 

12,500

 

 

 

9,597

 

 

 

—

 

 

 

9,606

 

Commercial and industrial (A)(C)(D)

 

 

16,705

 

 

 

8,800

 

 

 

—

 

 

 

15,105

 

Lease financing (E)

 

 

127

 

 

 

23

 

 

 

—

 

 

 

23

 

Total loans with no related allowance

 

$

47,724

 

 

$

35,873

 

 

$

—

 

 

$

45,017

 

With related allowance recorded:

 

 

 

 

 

 

 

 

 

 

 

 

Primary residential mortgage (A)

 

$

347

 

 

$

346

 

 

$

3

 

 

$

231

 

Multifamily property (B)

 

 

16,850

 

 

 

16,596

 

 

 

3,691

 

 

 

16,646

 

Investment commercial real estate (C)

 

 

1,929

 

 

 

1,929

 

 

 

994

 

 

 

1,929

 

Commercial and industrial (A)(C)(D)

 

 

4,577

 

 

 

4,577

 

 

 

2,037

 

 

 

4,574

 

Total loans with related allowance

 

$

23,703

 

 

$

23,448

 

 

$

6,725

 

 

$

23,380

 

Total loans individually evaluated

 

$

71,427

 

 

$

59,321

 

 

$

6,725

 

 

$

68,397

 

 

(A) Secured by residential real estate.

(B) Secured by multifamily residential properties.

(C) Secured by commercial real estate.

(D) Secured by all business assets.

(E) Secured by machinery and equipment.

 

 

 

December 31, 2025

 

 

 

 

 

 

 

 

 

 

 

 

Average

 

 

 

Unpaid

 

 

 

 

 

 

 

 

Individually

 

 

 

Principal

 

 

Recorded

 

 

Related

 

 

Evaluated

 

(In thousands)

 

Balance

 

 

Investment

 

 

Allowance

 

 

Loans

 

With no related allowance recorded:

 

 

 

 

 

 

 

 

 

 

 

 

Primary residential mortgage (A)

 

$

2,761

 

 

$

2,573

 

 

$

—

 

 

$

2,979

 

Junior lien loan on residence (A)

 

 

117

 

 

 

106

 

 

 

—

 

 

 

109

 

Multifamily property (B)

 

 

15,264

 

 

 

14,671

 

 

 

—

 

 

 

33,732

 

Investment commercial real estate (C)

 

 

12,500

 

 

 

9,628

 

 

 

—

 

 

 

9,682

 

Commercial and industrial (A)(C)(D)

 

 

9,057

 

 

 

8,600

 

 

 

—

 

 

 

21,608

 

Lease financing (E)

 

 

126

 

 

 

23

 

 

 

—

 

 

 

821

 

Total loans with no related allowance

 

$

39,825

 

 

$

35,601

 

 

$

—

 

 

$

68,931

 

With related allowance recorded:

 

 

 

 

 

 

 

 

 

 

 

 

Multifamily property (B)

 

$

16,862

 

 

$

16,672

 

 

$

3,574

 

 

$

14,748

 

Investment commercial real estate (C)

 

 

1,929

 

 

 

1,929

 

 

 

994

 

 

 

1,929

 

Commercial and industrial (A)(C)(D)

 

 

14,041

 

 

 

14,041

 

 

 

7,466

 

 

 

7,630

 

Total loans with related allowance

 

$

32,832

 

 

$

32,642

 

 

$

12,034

 

 

$

24,307

 

Total loans individually evaluated for impairment

 

$

72,657

 

 

$

68,243

 

 

$

12,034

 

 

$

93,238

 

 

(A) Secured by residential real estate.

(B) Secured by multifamily residential properties.

(C) Secured by commercial real estate.

(D) Secured by all business assets.

(E) Secured by machinery and equipment.

 

Interest income recognized on individually evaluated loans for the three months ended March 31, 2026 and 2025 was not material. The Company did not recognize any income on non-accruing loans for the three months ended March 31, 2026 and 2025.

 

The activity in the allowance for credit losses for the three months ended March 31, 2026 and March 31, 2025 is summarized below:

 

 

 

January 1,

 

 

 

 

 

 

 

 

 

 

 

March 31,

 

 

 

2026

 

 

 

 

 

 

 

 

 

 

 

2026

 

 

 

Beginning

 

 

 

 

 

 

 

 

Provision

 

 

Ending

 

(In thousands)

 

ACL

 

 

Charge-offs

 

 

Recoveries

 

 

(Credit) (A)

 

 

ACL

 

Primary residential mortgage

 

$

5,328

 

 

$

—

 

 

$

—

 

 

$

68

 

 

$

5,396

 

Junior lien loan on residence

 

 

208

 

 

 

—

 

 

 

—

 

 

 

(13

)

 

 

195

 

Multifamily property

 

 

12,458

 

 

 

(3,538

)

 

 

—

 

 

 

3,209

 

 

 

12,129

 

Owner-occupied commercial real estate

 

 

3,630

 

 

 

—

 

 

 

—

 

 

 

(86

)

 

 

3,544

 

Investment commercial real estate

 

 

13,987

 

 

 

—

 

 

 

—

 

 

 

1,220

 

 

 

15,207

 

Commercial and industrial

 

 

29,385

 

 

 

(7,810

)

 

 

25

 

 

 

2,712

 

 

 

24,312

 

Lease financing

 

 

2,554

 

 

 

—

 

 

 

—

 

 

 

(10

)

 

 

2,544

 

Construction

 

 

297

 

 

 

—

 

 

 

—

 

 

 

(88

)

 

 

209

 

Consumer and other loans

 

 

3,192

 

 

 

(12

)

 

 

—

 

 

 

310

 

 

 

3,490

 

Total ACL

 

$

71,039

 

 

$

(11,360

)

 

$

25

 

 

$

7,322

 

 

$

67,026

 

 

(A) Provision to roll forward the ACL excludes provision of $5,000 for off-balance sheet commitments.

 

 

 

January 1,

 

 

 

 

 

 

 

 

 

 

 

March 31,

 

 

 

2025

 

 

 

 

 

 

 

 

 

 

 

2025

 

 

 

Beginning

 

 

 

 

 

 

 

 

Provision

 

 

Ending

 

(In thousands)

 

ACL

 

 

Charge-offs

 

 

Recoveries

 

 

(Credit) (A)

 

 

ACL

 

Primary residential mortgage

 

$

4,398

 

 

$

—

 

 

$

—

 

 

$

71

 

 

$

4,469

 

Junior lien loan on residence

 

 

180

 

 

 

—

 

 

 

—

 

 

 

15

 

 

 

195

 

Multifamily property

 

 

17,653

 

 

 

—

 

 

 

—

 

 

 

77

 

 

 

17,730

 

Owner-occupied commercial real estate

 

 

3,208

 

 

 

—

 

 

 

—

 

 

 

256

 

 

 

3,464

 

Investment commercial real estate

 

 

11,685

 

 

 

—

 

 

 

—

 

 

 

79

 

 

 

11,764

 

Commercial and industrial

 

 

33,075

 

 

 

(2,349

)

 

 

24

 

 

 

2,230

 

 

 

32,980

 

Lease financing

 

 

1,488

 

 

 

—

 

 

 

—

 

 

 

328

 

 

 

1,816

 

Construction

 

 

121

 

 

 

—

 

 

 

—

 

 

 

37

 

 

 

158

 

Consumer and other loans

 

 

1,184

 

 

 

(11

)

 

 

—

 

 

 

1,401

 

 

 

2,574

 

Total ACL

 

$

72,992

 

 

$

(2,360

)

 

$

24

 

 

$

4,494

 

 

$

75,150

 

 

(A) Provision to roll forward the ACL excludes a credit of $23,000 for off-balance sheet commitments.

 

 

Allowance for Credit Losses on Off-Balance Sheet Commitments

 

The following tables present the activity in the ACL for off-balance sheet commitments for the three months ended March 31, 2026 and 2025:

 

 

 

January 1,

 

 

 

 

 

 

 

 

 

2026

 

 

 

 

 

March 31,

 

 

 

Beginning

 

 

Provision

 

 

2026

 

(In thousands)

 

ACL

 

 

(Credit)

 

 

Ending ACL

 

Off balance sheet commitments

 

$

608

 

 

$

5

 

 

$

613

 

Total ACL

 

$

608

 

 

$

5

 

 

$

613

 

 

 

 

January 1,

 

 

 

 

 

 

 

 

 

2025

 

 

 

 

 

March 31,

 

 

 

Beginning

 

 

Provision

 

 

2025

 

(In thousands)

 

ACL

 

 

(Credit)

 

 

Ending ACL

 

Off balance sheet commitments

 

$

691

 

 

$

(23

)

 

$

668

 

Total ACL

 

$

691

 

 

$

(23

)

 

$

668

 
v3.26.1
DEPOSITS
 3 Months Ended
Mar. 31, 2026
Deposits [Abstract]  
DEPOSITS

5. DEPOSITS

Certificates of deposit that met or exceeded $250,000 totaled $144.3 million and $138.1 million at March 31, 2026 and December 31, 2025, respectively. The Company had no brokered certificates of deposit at either March 31, 2026 or at December 31, 2025.

The following table sets forth the details of total deposits as of March 31, 2026 and December 31, 2025:

 

 

 

March 31,

 

 

December 31,

 

 

 

2026

 

 

2025

 

(Dollars in thousands)

 

 

 

 

 

 

 

 

 

 

 

 

Noninterest-bearing demand deposits

 

$

1,544,515

 

 

 

22.6

%

 

$

1,428,745

 

 

 

21.7

%

Interest-bearing checking (A)

 

 

3,533,203

 

 

 

51.8

 

 

 

3,448,497

 

 

 

52.3

 

Savings

 

 

114,955

 

 

 

1.7

 

 

 

105,123

 

 

 

1.6

 

Money market (B)

 

 

1,222,405

 

 

 

17.9

 

 

 

1,197,995

 

 

 

18.2

 

Certificates of deposit - retail

 

 

411,688

 

 

 

6.0

 

 

 

408,219

 

 

 

6.2

 

Certificates of deposit - listing service

 

 

—

 

 

 

—

 

 

 

400

 

 

 

0.0

 

Total deposits

 

 

6,826,766

 

 

 

100.0

%

 

 

6,588,979

 

 

 

100.0

%

(A)
Interest-bearing checking included $2.18 billion at March 31, 2026 and $1.98 billion at December 31, 2025 of reciprocal balances in the Reich & Tang or Promontory Demand Deposit Marketplace program.
(B)
Money market included $81.8 million at March 31, 2026 and $165.6 million at December 31, 2025 of reciprocal balances in the Promontory Demand Deposit Marketplace program.

 

The scheduled maturities of certificates of deposit, including brokered certificates of deposit, as of March 31, 2026, are as follows:

 

(In thousands)

 

 

 

2026

 

$

370,352

 

2027

 

 

39,558

 

2028

 

 

627

 

2029

 

 

695

 

2030

 

 

352

 

2031 and later

 

 

104

 

Total

 

$

411,688

 
v3.26.1
FEDERAL HOME LOAN BANK ADVANCES AND OTHER BORROWINGS
 3 Months Ended
Mar. 31, 2026
Debt Disclosure [Abstract]  
FEDERAL HOME LOAN BANK ADVANCES AND OTHER BORROWINGS

6. FEDERAL HOME LOAN BANK ADVANCES AND OTHER BORROWINGS

 

At March 31, 2026 , the Company had $63.8 million of overnight borrowings at the FHLB at a rate of 3.89 percent. At December 31, 2025, the Company had $73.3 million of overnight borrowings at the FHLB at a rate of 3.96 percent. At March 31, 2026, unused short-term overnight borrowing capacity totaled $1.70 billion from the FHLB, $15.0 million from correspondent banks and $2.74 billion at the Federal Reserve Bank of New York. The Company maintains a blanket lien on eligible mortgage loans and securities to secure outstanding and potential future borrowings from both the FHLB and the Federal Reserve Bank of New York.
v3.26.1
BUSINESS SEGMENTS
 3 Months Ended
Mar. 31, 2026
Segment Reporting [Abstract]  
BUSINESS SEGMENTS

7. BUSINESS SEGMENTS

The Company has two reportable segments as determined by the Chief Financial Officer, who is the designated CODM, based upon information provided about the Company's products and services offered, primarily distinguished between banking and wealth management services provided by the Bank's wealth management division. They are also distinguished by the level of information provided to the CODM, who uses such information to review performance of various components of the business. The CODM evaluates the financial performance of the Company's business segments such as by evaluating revenue streams, significant expenses, and budget to actual results in assessing the performance of the Company's segments and in the determination of allocating resources. The CODM uses revenue streams to evaluate product pricing and significant expense to assess performance of each segment to evaluate compensation of certain employees. Segment pretax profit or loss is used to assess the performance of the banking segment, which includes monitoring the spread between interest income and interest expense. Segment pretax profit or loss is used to assess the performance of the Wealth Management Division, which includes monitoring wealth management fee income and AUM. Loans and investments primarily provide the revenues in the banking operation and wealth management fee income provide the revenues for the Wealth Management Division. Interest expense, provision for credit losses, payroll and premises and equipment contribute to the significant expenses in the banking segment, while payroll, occupancy, and trust expenses are the significant expenses in the Wealth Management Division. All operations of the Company are domestic.

Management uses certain methodologies to allocate income and expense to the business segments. A funds transfer pricing methodology is used to assign interest income and interest expense. Certain indirect expenses are allocated to segments. These include support unit expenses such as technology and operations and other support functions. Taxes are allocated to each segment based on the effective rate for the period shown.

Banking

The Banking segment includes: commercial (includes C&I and equipment finance), commercial real estate, multifamily, residential and consumer lending activities; treasury management services; C&I advisory services; escrow management; deposit generation; operation of ATMs; telephone and internet banking services; merchant credit card services; and customer support and sales.

Wealth Management

The Wealth Management Division, which includes the operations of PGB Trust & Investments of Delaware, consists of: investment management services provided for individuals and institutions; personal trust services, including services as executor, trustee, administrator, custodian and guardian, and other financial planning, tax preparation and advisory services.

The following tables present the statements of income and total assets for the Company’s reportable segments for the three months ended March 31, 2026 and 2025.

 

 

 

 

Three Months Ended March 31, 2026

 

 

 

 

 

 

Wealth

 

 

 

 

(In thousands)

 

Banking

 

 

Management

 

 

Total

 

Net interest income

 

$

59,337

 

 

$

559

 

 

$

59,896

 

Noninterest income

 

 

6,032

 

 

 

16,565

 

 

 

22,597

 

Total income

 

 

65,369

 

 

 

17,124

 

 

 

82,493

 

 

 

 

 

 

 

 

 

 

 

Provision for credit losses

 

 

7,327

 

 

 

—

 

 

 

7,327

 

Compensation and employee benefits

 

 

32,739

 

 

 

6,626

 

 

 

39,365

 

Premises and equipment expense

 

 

5,015

 

 

 

673

 

 

 

5,688

 

Depreciation expense

 

 

1,058

 

 

 

112

 

 

 

1,170

 

FDIC insurance expense

 

 

1,388

 

 

 

—

 

 

 

1,388

 

Professional and legal fees

 

 

1,537

 

 

 

17

 

 

 

1,554

 

Trust department expense

 

 

—

 

 

 

1,180

 

 

 

1,180

 

Other operating expense

 

 

4,225

 

 

 

870

 

 

 

5,095

 

Total operating expense

 

 

53,289

 

 

 

9,478

 

 

 

62,767

 

Income before income tax expense

 

 

12,080

 

 

 

7,646

 

 

 

19,726

 

Income tax expense

 

 

3,485

 

 

 

2,088

 

 

 

5,573

 

Net income

 

$

8,595

 

 

$

5,558

 

 

$

14,153

 

 

 

 

 

 

 

 

 

 

 

Total assets at period end

 

$

7,473,043

 

 

$

225,922

 

 

$

7,698,965

 

 

 

 

Three Months Ended March 31, 2025

 

 

 

 

 

 

Wealth

 

 

 

 

(In thousands)

 

Banking

 

 

Management

 

 

Total

 

Net interest income

 

$

44,911

 

 

$

594

 

 

$

45,505

 

Noninterest income

 

 

3,270

 

 

 

15,584

 

 

 

18,854

 

Total income

 

 

48,181

 

 

 

16,178

 

 

 

64,359

 

 

 

 

 

 

 

 

 

 

 

Provision for credit losses

 

 

4,471

 

 

 

—

 

 

 

4,471

 

Compensation and employee benefits

 

 

29,175

 

 

 

6,704

 

 

 

35,879

 

Premises and equipment expense

 

 

4,605

 

 

 

663

 

 

 

5,268

 

Depreciation expense

 

 

765

 

 

 

121

 

 

 

886

 

FDIC insurance expense

 

 

855

 

 

 

—

 

 

 

855

 

Professional and legal fees

 

 

1,190

 

 

 

—

 

 

 

1,190

 

Trust department expense

 

 

—

 

 

 

1,043

 

 

 

1,043

 

Other operating expense

 

 

3,212

 

 

 

1,107

 

 

 

4,319

 

Total operating expense

 

 

44,273

 

 

 

9,638

 

 

 

53,911

 

Income before income tax expense

 

 

3,908

 

 

 

6,540

 

 

 

10,448

 

Income tax expense

 

 

1,067

 

 

 

1,786

 

 

 

2,853

 

Net income

 

$

2,841

 

 

$

4,754

 

 

$

7,595

 

 

 

 

 

 

 

 

 

 

 

Total assets at period end

 

$

6,980,396

 

 

$

140,256

 

 

$

7,120,652

 
v3.26.1
FAIR VALUE
 3 Months Ended
Mar. 31, 2026
Fair Value Disclosures [Abstract]  
FAIR VALUE

8. FAIR VALUE

Fair value is the exchange price that would be received for an asset or paid to transfer a liability (exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. There are three levels of inputs that may be used to measure fair values:

Level 1: Quoted prices (unadjusted) for identical assets or liabilities in active markets that the entity has the ability to access as of the measurement date.

Level 2: Significant other observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data.

Level 3: Significant unobservable inputs that reflect a company’s own assumptions about the assumptions that market participants would use in pricing an asset or liability.

The Company used the following methods and significant assumptions to estimate the fair value:

Investment Securities: The fair values for investment securities are determined by quoted market prices (Level 1). For securities where quoted prices are not available, fair values are calculated based on market prices of similar securities (Level 2). For securities where quoted prices or market prices of similar securities are not available, fair values are calculated using discounted cash flows or other market indicators (Level 3).

Loans Held for Sale, at Fair Value: The fair value of loans held for sale is determined using quoted prices for similar assets, adjusted for specific attributes of that loan or other observable market data, such as outstanding commitments from third-party investors (Level 2).

Derivatives: The fair values of derivatives are based on valuation models using observable market data as of the measurement date (Level 2). Our derivatives are traded in an over-the-counter market where quoted market prices are not always available. Therefore, the fair values of derivatives are determined using quantitative models that utilize multiple market inputs. The inputs will vary based on the type of derivative, but could include interest rates, prices and indices to generate continuous yield or pricing curves, prepayment rates, and volatility factors to value the position. The majority of market inputs are actively quoted and can be validated through external sources, including brokers, market transactions and third-party pricing services.

Individually Evaluated Loans: The fair value of collateral dependent loans with specific allocations of the allowance for credit losses is generally based on recent real estate appraisals. These appraisals may utilize a single valuation approach or a combination of approaches including comparable sales and the income approach. Individually evaluated loans may, in some cases, also be measured by the discounted cash flow methodology where payments are anticipated. Adjustments are routinely made in the

appraisal process by the independent appraisers to adjust for differences between the comparable sales and income data available. Such adjustments are usually significant and typically result in a Level 3 classification of the inputs for determining fair value.

Other Real Estate Owned: Nonrecurring adjustments to certain commercial and residential real estate properties classified as other real estate owned (“OREO") are measured at fair value, less estimated costs to sell. Fair values are based on recent real estate appraisals. These appraisals may use a single valuation approach or a combination of approaches including comparable sales and the income approach. Adjustments are routinely made in the appraisal process by the independent appraisers to adjust for differences between the comparable sales and income data available. Such adjustments are usually significant and typically result in a Level 3 classification of the inputs for determining fair value.

Appraisals for both collateral-dependent impaired loans and other real estate owned are performed by certified general appraisers (for commercial properties) or certified residential appraisers (for residential properties) whose qualifications and licenses have been reviewed and verified by Management. Once received, a third party conducts a review of the appraisal for compliance with the Uniform Standards of Professional Appraisal Practice and appropriate analysis methods for the type of property. Subsequently, a member of the Credit Department reviews the assumptions and approaches utilized in the appraisal, as well as the overall resulting fair value in comparison with independent data sources such as recent market data or industry-wide statistics. Appraisals on collateral dependent impaired loans and other real estate owned (consistent for all loan types) are obtained on an annual basis, unless a significant change in the market or other factors warrants a more frequent appraisal. On an annual basis, Management compares the actual selling price of any collateral that has been sold to the most recent appraised value to determine what additional adjustment should be made to the appraisal value to arrive at fair value for other properties. The most recent analysis performed indicated that a discount up to 15 percent should be applied to appraisals on properties. The discount is determined based on the nature of the underlying properties, aging of appraisals and other factors. For each collateral-dependent impaired loan, we consider other factors, such as certain indices or other market information, as well as property specific circumstances to determine if an adjustment to the appraised value is needed. In situations where there is evidence of change in value, the Bank will determine if there is a need for an adjustment to the specific reserve on the collateral dependent impaired loans. When the Bank applies an interim adjustment, it generally shows the adjustment as an incremental specific reserve against the loan until it has received the full updated appraisal. All collateral-dependent impaired loans and other real estate owned valuations were supported by an appraisal less than 12 months old or in the process of obtaining an appraisal as of March 31, 2026.

The following tables summarize, at the dates indicated, assets measured at fair value on a recurring basis, including financial assets for which the Company has elected the fair value option:

Assets Measured on a Recurring Basis

 

 

 

 

 

Fair Value Measurements Using

 

 

 

 

 

 

Quoted

 

 

 

 

 

 

 

 

 

 

 

 

Prices in

 

 

 

 

 

 

 

 

 

 

 

 

Active

 

 

Significant

 

 

 

 

 

 

 

 

 

Markets For

 

 

Other

 

 

Significant

 

 

 

 

 

 

Identical

 

 

Observable

 

 

Unobservable

 

 

 

March 31,

 

 

Assets

 

 

Inputs

 

 

Inputs

 

(In thousands)

 

2026

 

 

(Level 1)

 

 

(Level 2)

 

 

(Level 3)

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

Available for sale:

 

 

 

 

 

 

 

 

 

 

 

 

U.S. government-sponsored agencies

 

$

186,581

 

 

$

—

 

 

$

186,581

 

 

$

—

 

Mortgage-backed securities-residential

 

 

491,768

 

 

 

—

 

 

 

491,768

 

 

 

—

 

SBA pool securities

 

 

16,420

 

 

 

—

 

 

 

16,420

 

 

 

—

 

Corporate bond

 

 

15,277

 

 

 

—

 

 

 

15,277

 

 

 

—

 

CRA investment fund

 

 

13,375

 

 

 

13,375

 

 

 

—

 

 

 

—

 

Derivatives:

 

 

 

 

 

 

 

 

 

 

 

 

Cash flow hedges

 

 

3,063

 

 

 

—

 

 

 

3,063

 

 

 

—

 

Loan level swaps

 

 

8,421

 

 

 

—

 

 

 

8,421

 

 

 

—

 

Total

 

$

734,905

 

 

$

13,375

 

 

$

721,530

 

 

$

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

Derivatives:

 

 

 

 

 

 

 

 

 

 

 

 

Loan level swaps

 

 

8,421

 

 

 

—

 

 

 

8,421

 

 

 

—

 

Total

 

$

8,421

 

 

$

—

 

 

$

8,421

 

 

$

—

 

 

 

Assets Measured on a Recurring Basis

 

 

 

 

 

Fair Value Measurements Using

 

 

 

 

 

 

Quoted

 

 

 

 

 

 

 

 

 

 

 

 

Prices in

 

 

 

 

 

 

 

 

 

 

 

 

Active

 

 

Significant

 

 

 

 

 

 

 

 

 

Markets For

 

 

Other

 

 

Significant

 

 

 

 

 

 

Identical

 

 

Observable

 

 

Unobservable

 

 

 

December 31,

 

 

Assets

 

 

Inputs

 

 

Inputs

 

(In thousands)

 

2025

 

 

(Level 1)

 

 

(Level 2)

 

 

(Level 3)

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

Securities available for sale:

 

 

 

 

 

 

 

 

 

 

 

 

U.S. government-sponsored agencies

 

$

211,223

 

 

$

—

 

 

$

211,223

 

 

$

—

 

Mortgage-backed securities-residential

 

 

530,365

 

 

 

—

 

 

 

530,365

 

 

 

—

 

SBA pool securities

 

 

17,212

 

 

 

—

 

 

 

17,212

 

 

 

—

 

Corporate bond

 

 

15,403

 

 

 

—

 

 

 

15,403

 

 

 

—

 

CRA investment fund

 

 

13,459

 

 

 

13,459

 

 

 

—

 

 

 

—

 

Derivatives:

 

 

 

 

 

 

 

 

 

 

 

 

Cash flow hedges

 

 

2,441

 

 

 

—

 

 

 

2,441

 

 

 

—

 

Loan level swaps

 

 

8,376

 

 

 

—

 

 

 

8,376

 

 

 

—

 

Total

 

$

798,479

 

 

$

13,459

 

 

$

785,020

 

 

$

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

Derivatives:

 

 

 

 

 

 

 

 

 

 

 

 

Cash flow hedges

 

12

 

 

$

—

 

 

12

 

 

$

—

 

Loan level swaps

 

$

8,376

 

 

$

—

 

 

$

8,376

 

 

$

—

 

Total

 

$

8,388

 

 

$

—

 

 

$

8,388

 

 

$

—

 

 

The Company has elected the fair value option for certain loans held for sale. These loans are intended for sale and the Company believes that the fair value is the best indicator of the resolution of these loans. Interest income is recorded based on the contractual terms of the loan and in accordance with the Company’s policy on loans held for investment. None of these loans are 90 days or more past due or on nonaccrual as of March 31, 2026 and December 31, 2025.

 

The following table presents residential loans held for sale, at fair value, at the dates indicated:

 

(In thousands)

 

March 31, 2026

 

 

December 31, 2025

 

Residential loans contractual balance

 

$

—

 

 

$

445

 

Fair value adjustment

 

 

—

 

 

 

5

 

Total fair value of residential loans held for sale

 

$

—

 

 

$

450

 

 

The following tables summarize, at the dates indicated, assets measured at fair value on a non-recurring basis:

 

 

 

 

 

Fair Value Measurements Using

 

 

 

 

 

 

Quoted

 

 

 

 

 

 

 

 

 

 

 

 

Prices in

 

 

 

 

 

 

 

 

 

 

 

 

Active

 

 

Significant

 

 

 

 

 

 

 

 

 

Markets For

 

 

Other

 

 

Significant

 

 

 

 

 

 

Identical

 

 

Observable

 

 

Unobservable

 

 

 

March 31,

 

 

Assets

 

 

Inputs

 

 

Inputs

 

(In thousands)

 

2026

 

 

(Level 1)

 

 

(Level 2)

 

 

(Level 3)

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

Individually evaluated loans:

 

 

 

 

 

 

 

 

 

 

 

 

Primary residential mortgage

 

$

343

 

 

$

—

 

 

$

—

 

 

$

343

 

Multifamily

 

 

12,905

 

 

 

—

 

 

 

—

 

 

 

12,905

 

Investment commercial real estate

 

 

935

 

 

 

—

 

 

 

—

 

 

 

935

 

Commercial and industrial

 

 

2,540

 

 

 

—

 

 

 

—

 

 

 

2,540

 

 

 

 

 

 

 

Fair Value Measurements Using

 

 

 

 

 

 

Quoted

 

 

 

 

 

 

 

 

 

 

 

 

Prices in

 

 

 

 

 

 

 

 

 

 

 

 

Active

 

 

Significant

 

 

 

 

 

 

 

 

 

Markets For

 

 

Other

 

 

Significant

 

 

 

 

 

 

Identical

 

 

Observable

 

 

Unobservable

 

 

 

December 31,

 

 

Assets

 

 

Inputs

 

 

Inputs

 

(In thousands)

 

2025

 

 

(Level 1)

 

 

(Level 2)

 

 

(Level 3)

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

Individually evaluated loans:

 

 

 

 

 

 

 

 

 

 

 

 

Multifamily property

 

$

13,098

 

 

$

—

 

 

$

—

 

 

$

13,098

 

Investment commercial real estate

 

 

935

 

 

 

—

 

 

 

—

 

 

 

935

 

Commercial and industrial

 

 

6,575

 

 

 

—

 

 

 

—

 

 

 

6,575

 

 

The carrying amounts and estimated fair values of financial instruments at March 31, 2026 are as follows:

 

 

 

 

 

 

Fair Value Measurements at March 31, 2026 using

 

 

 

Carrying

 

 

 

 

 

 

 

 

 

 

 

 

 

(In thousands)

 

Amount

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

Financial assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

253,414

 

 

$

253,414

 

 

$

—

 

 

$

—

 

 

$

253,414

 

Securities available for sale

 

 

710,046

 

 

 

—

 

 

 

710,046

 

 

 

—

 

 

 

710,046

 

Securities held to maturity

 

 

79,478

 

 

 

—

 

 

 

70,837

 

 

 

—

 

 

 

70,837

 

CRA investment fund

 

 

13,375

 

 

 

13,375

 

 

 

—

 

 

 

—

 

 

 

13,375

 

FHLB and FRB stock

 

 

14,170

 

 

 

—

 

 

 

—

 

 

 

—

 

 

N/A

 

Loans held for sale, at lower of cost or fair value

 

 

8,311

 

 

 

—

 

 

 

9,204

 

 

 

—

 

 

 

9,204

 

Loans, net of allowance for credit losses

 

 

6,367,343

 

 

 

—

 

 

 

—

 

 

 

6,351,247

 

 

 

6,351,247

 

Accrued interest receivable

 

 

33,115

 

 

 

—

 

 

 

3,043

 

 

 

30,072

 

 

 

33,115

 

Accrued interest receivable loan level swaps (A)

 

 

415

 

 

 

—

 

 

 

415

 

 

 

—

 

 

 

415

 

Cash flow hedges

 

 

3,063

 

 

 

—

 

 

 

3,063

 

 

 

—

 

 

 

3,063

 

Loan level swaps

 

 

8,006

 

 

 

—

 

 

 

8,006

 

 

 

—

 

 

 

8,006

 

Financial liabilities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Deposits

 

$

6,826,766

 

 

$

6,415,078

 

 

$

409,848

 

 

$

—

 

 

$

6,824,926

 

Short-term borrowings

 

$

63,830

 

 

 

—

 

 

$

63,830

 

 

 

—

 

 

 

63,830

 

Accrued interest payable

 

 

5,500

 

 

 

4,766

 

 

 

734

 

 

 

—

 

 

 

5,500

 

Accrued interest payable loan level swaps (B)

 

 

415

 

 

 

—

 

 

 

415

 

 

 

—

 

 

 

415

 

Loan level swap

 

 

8,006

 

 

 

—

 

 

 

8,006

 

 

 

—

 

 

 

8,006

 
(A)
Included in other assets in the Consolidated Statement of Condition.
(B)
Included in accrued expenses and other liabilities in the Consolidated Statement of Condition.

 

The carrying amounts and estimated fair values of financial instruments at December 31, 2025 are as follows:

 

 

 

 

 

 

Fair Value Measurements at December 31, 2025

 

 

 

Carrying

 

 

 

 

 

 

 

 

 

 

 

 

 

(In thousands)

 

Amount

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

Financial assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

187,820

 

 

$

187,820

 

 

$

—

 

 

$

—

 

 

$

187,820

 

Securities available for sale

 

 

774,203

 

 

 

—

 

 

 

774,203

 

 

 

—

 

 

 

774,203

 

Securities held to maturity

 

 

95,862

 

 

 

—

 

 

 

87,491

 

 

 

—

 

 

 

87,491

 

CRA investment fund

 

 

13,459

 

 

 

13,459

 

 

 

—

 

 

 

—

 

 

 

13,459

 

FHLB and FRB stock

 

 

14,605

 

 

 

—

 

 

 

—

 

 

 

—

 

 

N/A

 

Loans held for sale, at fair value

 

 

450

 

 

 

—

 

 

 

450

 

 

 

—

 

 

 

450

 

Loans held for sale, at lower of cost or fair value

 

 

4,437

 

 

 

—

 

 

 

4,819

 

 

 

—

 

 

 

4,819

 

Loans, net of allowance for credit losses

 

 

6,182,697

 

 

 

—

 

 

 

—

 

 

 

6,172,779

 

 

 

6,172,779

 

Accrued interest receivable

 

 

31,971

 

 

 

—

 

 

 

3,441

 

 

 

28,530

 

 

 

31,971

 

Accrued interest receivable loan level swaps (A)

 

 

541

 

 

 

—

 

 

 

541

 

 

 

—

 

 

 

541

 

Cash flow hedges

 

 

2,441

 

 

 

—

 

 

 

2,441

 

 

 

—

 

 

 

2,441

 

Loan level swaps

 

 

7,835

 

 

 

—

 

 

 

7,835

 

 

 

—

 

 

 

7,835

 

Financial liabilities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Deposits

 

$

6,588,979

 

 

$

6,180,360

 

 

$

406,932

 

 

$

—

 

 

$

6,587,292

 

Short-term borrowings

 

 

73,267

 

 

 

—

 

 

 

73,267

 

 

 

—

 

 

 

73,267

 

Subordinated debt

 

 

99,030

 

 

 

—

 

 

 

—

 

 

 

97,388

 

 

 

97,388

 

Accrued interest payable

 

 

5,788

 

 

 

5,025

 

 

 

744

 

 

 

19

 

 

 

5,788

 

Accrued interest payable loan level swaps (B)

 

 

541

 

 

 

—

 

 

 

541

 

 

 

—

 

 

 

541

 

Cash flow hedges

 

 

12

 

 

 

—

 

 

 

12

 

 

 

—

 

 

 

12

 

Loan level swaps

 

 

7,835

 

 

 

—

 

 

 

7,835

 

 

 

—

 

 

 

7,835

 
(A)
Included in other assets in the Consolidated Statement of Condition.
(B)
Included in accrued expenses and other liabilities in the Consolidated Statement of Condition.
v3.26.1
REVENUE FROM CONTRACTS WITH CUSTOMERS
 3 Months Ended
Mar. 31, 2026
Revenue from Contract with Customer [Abstract]  
REVENUE FROM CONTRACTS WITH CUSTOMERS

9. REVENUE FROM CONTRACTS WITH CUSTOMERS

All of the Company’s revenue from contracts with customers within the scope of ASC 606 is recognized within noninterest income.

The following tables present the sources of noninterest income for the periods indicated:

 

 

 

For the Three Months Ended March 31,

 

(In thousands)

 

2026

 

 

2025

 

Service charges on deposits

 

 

 

 

 

 

Overdraft fees

 

$

97

 

 

$

106

 

Interchange income

 

 

258

 

 

 

235

 

Other

 

 

1,004

 

 

 

771

 

Wealth management fees (A)

 

 

16,503

 

 

 

15,435

 

Corporate advisory fee income

 

 

69

 

 

 

90

 

Other (B)

 

 

4,666

 

 

 

2,217

 

Total noninterest other income

$

22,597

 

 

$

18,854

 

 

(A)
Includes investment brokerage fees.
(B)
All of the other category is outside the scope of ASC 606.

The following tables present the sources of noninterest income by operating segment for the periods indicated:

 

 

 

For the Three Months Ended
 March 31,

 

 

For the Three Months Ended
 March 31,

 

 

 

2026

 

 

2025

 

(In thousands)

 

 

 

 

Wealth

 

 

 

 

 

 

 

 

Wealth

 

 

 

 

Revenue by Operating Segment

 

Banking

 

 

Management

 

 

Total

 

 

Banking

 

 

Management

 

 

Total

 

Service charges on deposits

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Overdraft fees

 

$

97

 

 

$

—

 

 

$

97

 

 

$

106

 

 

$

—

 

 

$

106

 

Interchange income

 

 

258

 

 

 

—

 

 

 

258

 

 

 

235

 

 

 

—

 

 

 

235

 

Other

 

 

1,004

 

 

 

—

 

 

 

1,004

 

 

 

771

 

 

 

—

 

 

 

771

 

Wealth management fees (A)

 

 

—

 

 

 

16,503

 

 

 

16,503

 

 

 

—

 

 

 

15,435

 

 

 

15,435

 

Corporate advisory fee income

 

 

69

 

 

 

—

 

 

 

69

 

 

 

90

 

 

 

—

 

 

 

90

 

Other (B)

 

 

4,604

 

 

 

62

 

 

 

4,666

 

 

 

2,068

 

 

 

149

 

 

 

2,217

 

Total noninterest income

 

$

6,032

 

 

$

16,565

 

 

$

22,597

 

 

$

3,270

 

 

$

15,584

 

 

$

18,854

 

 

(A)
Includes investment brokerage fees.
(B)
All of the other category is outside the scope of ASC 606.

 

A description of the Company’s revenue streams accounted for under ASC 606 follows:

Service charges on deposit accounts: The Company earns fees from its deposit customers for certain transaction account maintenance, and overdraft fees. Transaction-based fees, which include services such as ATM use fees, stop payment charges, statement rendering, and ACH fees, are recognized at the time the transaction is executed as that is the point in time the Company fulfills the customer’s request. Account maintenance fees, which relate primarily to monthly maintenance, are earned over the course of a month, representing the period over which the Company satisfies the performance obligation. Overdraft fees are recognized at the point in time that the overdraft occurs. Service charges on deposits are withdrawn from the customer’s account balance.

Interchange income: The Company earns interchange fees from debit cardholder transactions conducted through the Visa payment network. Interchange fees from cardholder transactions represent a percentage of the underlying transaction value and are recognized daily, concurrently with the transaction processing services provided to the cardholder. Interchange income is presented gross of cardholder rewards. Cardholder rewards are included in other expenses in the statement of income. Cardholder rewards reduced interchange income for the first quarter of 2026 by $16,000 and by $11,000 for the same quarter in 2025.

Wealth management fees (gross): The Company earns wealth management fees from its contracts with wealth management clients to manage assets for investment. These fees are charged on a monthly or quarterly basis in accordance with its investment advisory agreements. Fees are generally assessed based on a tiered scale, based on the market value of AUM at month or quarter end. Other non-AUM based fees are charged on a fixed basis or as services are rendered.

Investment brokerage fees (net): The Company earns fees from investment brokerage services provided to its customers by a third-party service provider. The Company receives commissions from the third-party service provider twice a month based upon customer activity for the month. The fees are recognized monthly, and a receivable is recorded until commissions are generally paid by the 15th of the following month. Because the Company (i) acts as an agent in arranging the relationship between the customer and the third-party service provider and (ii) does not control the services rendered to the customers, investment brokerage fees are presented net of related costs.

Corporate advisory fee income: The Company provides our clients with financial advisory and underwriting services. Investment banking revenues, which includes mergers and acquisition advisory fees and private placement fees, are recorded when the performance obligation for the transaction is satisfied under the terms of each engagement. Reimbursed expenses are reported in other revenue on the statement of operations. Expenses related to investment banking are recognized as non-compensation expenses on the statement of operations. Amounts received and unearned are included on the statement of financial condition. Expenses related to investment banking deals not completed are recognized in non-compensation expenses on the statement of operations.

The Company’s mergers and acquisition advisory fees generally consist of a nonrefundable up-front fee and success fee. The nonrefundable fee is recorded as deferred revenue upon receipt and recognized at a point in time when the performance obligation is satisfied, or when the transaction is deemed by management to be terminated. Management’s judgment is required in determining when a transaction is considered to be terminated.

Other: All of the other income items are outside the scope of ASC 606.
v3.26.1
OTHER OPERATING EXPENSES
 3 Months Ended
Mar. 31, 2026
Other Income and Expenses [Abstract]  
OTHER OPERATING EXPENSES

10. OTHER OPERATING EXPENSES

The following table presents the major components of other operating expenses for the periods indicated:

 

 

 

Three Months Ended

 

 

 

March 31,

 

(In thousands)

 

2026

 

 

2025

 

Professional and legal fees

 

$

1,554

 

 

$

1,190

 

Trust department expense

 

 

1,180

 

 

 

1,043

 

Telephone

 

 

379

 

 

 

430

 

Loan expense

 

 

556

 

 

 

433

 

Amortization of intangible assets

 

 

244

 

 

 

272

 

Advertising

 

 

267

 

 

 

154

 

Other operating expenses

 

 

3,649

 

 

 

3,030

 

Total other operating expenses

 

$

7,829

 

 

$

6,552

 
v3.26.1
ACCUMULATED OTHER COMPREHENSIVE INCOME/(LOSS)
 3 Months Ended
Mar. 31, 2026
Stockholders' Equity Note [Abstract]  
ACCUMULATED OTHER COMPREHENSIVE INCOME/(LOSS)

11. ACCUMULATED OTHER COMPREHENSIVE INCOME/(LOSS)

The following is a summary of the accumulated other comprehensive income/(loss) balances, net of tax, for the three months ended March 31, 2026 and 2025:

 

 

 

 

 

 

 

 

 

Amount

 

 

Other

 

 

 

 

 

 

 

 

 

 

 

 

Reclassified

 

 

Comprehensive

 

 

 

 

 

 

 

 

 

Other

 

 

From

 

 

Income/(Loss)

 

 

 

 

 

 

 

 

 

Comprehensive

 

 

Accumulated

 

 

Three Months

 

 

 

 

 

 

Balance at

 

 

Income/(Loss)

 

 

Other

 

 

Ended

 

 

Balance at

 

 

 

January 1,

 

 

Before

 

 

Comprehensive

 

 

March 31,

 

 

March 31,

 

(In thousands)

 

2026

 

 

Reclassifications

 

 

Income/(Loss)

 

 

2026

 

 

2026

 

Net unrealized holding gain/(loss) on
   securities available for sale, net of tax

 

$

(49,319

)

 

$

(2,586

)

 

$

59

 

 

$

(2,527

)

 

$

(51,846

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Gain/(loss) on cash flow hedges

 

 

1,758

 

 

 

459

 

 

 

—

 

 

 

459

 

 

 

2,217

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Accumulated other comprehensive gain/(loss),
   net of tax

 

$

(47,561

)

 

$

(2,127

)

 

$

59

 

 

$

(2,068

)

 

$

(49,629

)

 

 

 

 

 

 

 

 

 

 

Other

 

 

 

 

 

 

 

 

 

 

 

 

Comprehensive

 

 

 

 

 

 

 

 

 

Other

 

 

Income/(Loss)

 

 

 

 

 

 

 

 

 

Comprehensive

 

 

Three Months

 

 

 

 

 

 

Balance at

 

 

Income/(Loss)

 

 

Ended

 

 

Balance at

 

 

 

January 1,

 

 

Before

 

 

March 31,

 

 

March 31,

 

(In thousands)

 

2025

 

 

Reclassifications

 

 

2025

 

 

2025

 

Net unrealized holding gain/(loss) on
   securities available for sale, net of tax

 

$

(72,148

)

 

$

10,623

 

 

$

10,623

 

 

$

(61,525

)

 

 

 

 

 

 

 

 

 

 

 

 

 

Gain/(loss) on cash flow hedges

 

 

5,737

 

 

 

(1,929

)

 

 

(1,929

)

 

 

3,808

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Accumulated other comprehensive gain/(loss),
   net of tax

 

$

(66,411

)

 

$

8,694

 

 

$

8,694

 

 

$

(57,717

)

 

The following represents the reclassifications out of accumulated other comprehensive income/(loss) for the three months ended March 31, 2026 and 2025:

 

 

 

Three Months Ended

 

 

 

 

 

March 31,

 

 

 

(In thousands)

 

2026

 

 

2025

 

 

Affected Line Item in Income

Unrealized gains/(losses) on securities
   available for sale:

 

 

 

 

 

 

 

 

Reclassification adjustment for amounts
   included in net income

 

$

81

 

 

$

—

 

 

Securities losses, net

Tax effect

 

 

(22

)

 

 

—

 

 

Income tax expense

Total reclassifications, net of tax

 

$

59

 

 

$

—

 

 

 
v3.26.1
DERIVATIVES
 3 Months Ended
Mar. 31, 2026
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
DERIVATIVES

12. DERIVATIVES

The Company utilizes interest rate swap agreements as part of its asset liability management strategy to help manage its interest rate risk position. The notional amount of the interest rate swaps does not represent amounts exchanged by the parties. The amount exchanged is determined by reference to the notional amount and the other terms of the individual interest rate swap agreements.

Interest Rate Swaps Designated as Cash Flow Hedges: Interest rate swaps with a notional amount of $305.0 million at both March 31, 2026 and December 31, 2025, respectively, were designated as cash flow hedges of certain interest-bearing deposits. On a quarterly basis, the Company performs a qualitative hedge effectiveness assessment. This assessment takes into consideration any adverse developments related to the counterparty’s risk of default and any negative events or circumstances that affect the factors that originally enabled the Company to assess that it could reasonably support, qualitatively, an expectation that the hedging relationship was and will continue to be highly effective. As of March 31, 2026, there were no events or market conditions that would result in hedge ineffectiveness. The aggregate fair value of the swaps is recorded in other assets/liabilities with changes in fair value recorded in other comprehensive income. The amount included in accumulated other comprehensive income would be reclassified to current earnings should the hedges no longer be considered effective. The Company expects the hedges to remain fully effective during the remaining terms of the swaps.

The following table presents information about the interest rate swaps designated as cash flow hedges as of March 31, 2026 and December 31, 2025:

 

(Dollars in thousands)

 

March 31, 2026

 

 

December 31, 2025

 

Notional amount

 

$

305,000

 

 

$

305,000

 

Weighted average pay rate

 

 

2.17

%

 

 

2.17

%

Weighted average receive rate

 

 

2.87

%

 

 

3.10

%

Weighted average maturity

 

1.14 years

 

 

1.39 years

 

Unrealized gain/(loss), net

 

$

3,063

 

 

$

2,429

 

 

 

 

 

 

 

 

Number of contracts

 

 

12

 

 

 

12

 

 

 

March 31, 2026

 

 

 

Notional

 

 

Fair

 

(In thousands)

 

Amount

 

 

Value

 

Interest rate swaps related to interest-bearing deposits

 

$

305,000

 

 

$

3,063

 

Total included in other assets

 

$

280,000

 

 

 

3,063

 

Total included in other liabilities

 

 

25,000

 

 

 

—

 

 

 

 

December 31, 2025

 

 

 

Notional

 

 

Fair

 

(In thousands)

 

Amount

 

 

Value

 

Interest rate swaps related to interest-bearing deposits

 

$

305,000

 

 

$

2,429

 

Total included in other assets

 

 

280,000

 

 

 

2,441

 

Total included in other liabilities

 

 

25,000

 

 

 

(12

)

Cash Flow Hedges

The following table presents the net gains/(losses) recorded in accumulated other comprehensive income/(loss) and the consolidated financial statements relating to the cash flow derivative instruments for the three months ended March 31, 2026 and 2025:

 

 

 

For the Three Months Ended March 31,

 

(In thousands)

 

2026

 

 

2025

 

Interest rate contracts

 

 

 

 

 

 

Gain/(loss) recognized in other comprehensive income (effective portion)

 

$

634

 

 

$

(2,553

)

 

Net interest income recorded on these swap transactions totaled $525,000 and $1.0 million for the three months ended March 31, 2026 and 2025, respectively, and is reported as a component of interest expense.

Derivatives Not Designated as Accounting Hedges

 

The Company offers facility specific/loan level swaps to its customers and offsets its exposure from such contracts by entering mirror image swaps with a financial institution/swap counterparty (loan level/back-to-back swap program). The customer accommodations and any offsetting swaps are treated as non-hedging derivative instruments which do not qualify for hedge accounting (“standalone derivatives”). The notional amount of the swaps does not represent amounts exchanged by the parties. The amount exchanged is determined by reference to the notional amount and the other terms of the individual contracts. The fair value of the swaps is recorded as both an asset and a liability, in other assets and other liabilities, respectively, in equal amounts for these transactions.

The accrued interest receivable and payable related to these swaps of $415,000 and $541,000 at March 31, 2026 and December 31, 2025, respectively, is recorded in other assets and other liabilities.

Information about these swaps is as follows:

(Dollars in thousands)

 

March 31, 2026

 

 

December 31, 2025

 

Notional amount

 

$

387,989

 

 

$

429,286

 

Fair value

 

$

(8,006

)

 

$

(7,835

)

Weighted average pay rates

 

 

4.13

%

 

 

4.12

%

Weighted average receive rates

 

 

5.28

%

 

 

5.37

%

Weighted average maturity

 

2.86 years

 

 

3.02 years

 

 

 

 

 

 

 

 

Number of contracts

 

 

48

 

 

 

53

 
v3.26.1
PREFERRED STOCK
 3 Months Ended
Mar. 31, 2026
Equity [Abstract]  
PREFERRED STOCK

13. PREFERRED STOCK

In March 2026, the Company issued 30,000 shares of Series B Non-Cumulative Perpetual Convertible Preferred Stock (the “Series B Preferred Stock”) to an institutional investor raising $30.0 million in capital. The Company has the ability to issue, at its sole discretion, up to 20,000 additional shares to that same investor for $20.0 million through December 31, 2027. The Series B Preferred Stock is convertible into common stock at the option of the holder on any date following the five-year anniversary of the original issue date, subject to applicable terms and conditions. Conversion occurs at a fixed rate of 26.3157 shares of common stock for each share of Series B Preferred Stock held. The Series B Preferred Stock carries a dividend rate of 6.00 percent per annum, is non-callable for the first five years, but may be redeemed on any date thereafter. These securities qualify as Tier 1 Capital for purposes of calculating regulatory capital ratios.
v3.26.1
SUBORDINATED DEBT
 3 Months Ended
Mar. 31, 2026
Subordinated Debt [Abstract]  
SUBORDINATED DEBT

14. SUBORDINATED DEBT

In December 2020, the Company issued $100.0 million in aggregate principal amount of fixed-to-floating subordinated notes (the “2020 Notes”) to certain institutional investors. The 2020 Notes are non-callable for five years, have a stated maturity of December 22, 2030, and bear interest at a fixed rate of 3.50 percent until December 22, 2025. From December 23, 2025 to the maturity date or early redemption date, the interest rate will reset quarterly to a level equal to the then current three-month SOFR plus 326 basis points, payable quarterly in arrears. The Company fully redeemed the 2020 Notes plus $1.2 million in unpaid interest on March 2, 2026. The remaining net issuance costs of $938,000 were written off during the quarter ended March 31, 2026.

v3.26.1
LEASES
 3 Months Ended
Mar. 31, 2026
Leases [Abstract]  
LEASES

15. LEASES

The Company maintains certain property and equipment under direct financing and operating leases. As of March 31, 2026, the Company's operating lease ROU asset and operating lease liability totaled $38.1 million and $41.5 million, respectively. As of December 31, 2025, the Company's operating lease ROU asset and operating lease liability totaled $39.9 million and $43.3 million,

respectively. Weighted average discount rates of 4.46 percent and 4.44 percent were used in the measurement of the ROU asset and lease liability at March 31, 2026 and December 31, 2025, respectively.

The Company's leases have remaining lease terms between three months to 11 years, with a weighted average lease term of 8.33 years at March 31, 2026. The Company's leases had remaining lease terms between six months to 11 years, with a weighted average lease term of 8.47 years at December 31, 2025. The Company’s lease agreements may include options to extend or terminate the lease. The Company’s decision to exercise renewal options is based on an assessment of its current business needs and market factors at the time of the renewal.

Total operating lease costs were $1.7 million for both of the three month periods ended March 31, 2026 and 2025. The variable lease costs were $131,000 and $119,000 for the three months ended March 31, 2026 and 2025, respectively.

The following is a schedule of the Company's operating lease liabilities by contractual maturity as of March 31, 2026:

 

(In thousands)

 

 

 

2026

 

 

5,029

 

2027

 

 

6,314

 

2028

 

 

5,946

 

2029

 

 

5,642

 

2030

 

 

5,718

 

Thereafter

 

 

21,298

 

Total lease payments

 

 

49,947

 

      Less: imputed interest

 

 

8,489

 

Total present value of lease payments

 

$

41,458

 

 

The following table shows the supplemental cash flow information related to the Company’s direct finance and operating leases for the periods indicated:

 

 

For the Three Months Ended March 31,

 

(In thousands)

 

2026

 

 

2025

 

Right-of-use asset obtained in exchange for lease obligation

 

$

—

 

 

$

365

 

Operating cash flows from operating leases

 

 

1,699

 

 

 

1,447

 

Operating cash flows from direct finance leases

 

 

12

 

 

 

14

 

Financing cash flows from direct finance leases

 

 

35

 

 

 

35

 
v3.26.1
ACCOUNTING PRONOUNCEMENTS
 3 Months Ended
Mar. 31, 2026
Accounting Changes and Error Corrections [Abstract]  
ACCOUNTING PRONOUNCEMENTS

16. ACCOUNTING PRONOUNCEMENTS

 

In October 2023, the FASB issued ASU 2023-06, Disclosure Improvements: Codification Amendments In Response to the SEC's Disclosure Update and Simplification Initiative to clarify or improve disclosure and presentation requirements on a variety of topics and align the requirements in the FASB accounting standard codification with the SEC regulations. The amendments will be effective for the Company only if the SEC removes the related disclosure requirement from its existing regulations no later than June 30, 2027. If the SEC timely removes such a related requirement from its existing regulations, the corresponding amendments within the ASU will become effective for the Company on the same date with early adoption permitted. The Company does not expect the amendments in this update to have a material impact on our consolidated financial statements.

 

In November 2024, the FASB issued ASU 2024-03, Income Statement (Subtopic 220-40) – Reporting Comprehensive Income – Expense Disaggregation Disclosures. The amendments in this update improve the disclosures about a public business entity's expenses and address requests from investors for more detailed information about the types of expenses in commonly presented expense captions. The new guidance is effective for public business entities for annual periods beginning after December 15, 2026, or a company's fiscal year ending September 30, 2028, and interim periods beginning after December 15, 2027, or a company's fiscal year ending September 30, 2029. Early adoption is permitted and is effective on either a prospective or retrospective basis. The Company is currently assessing the impact of this guidance on its consolidated financial statement disclosures.

 

In September 2025, the FASB issued ASU 2025-06, Intangibles - Goodwill and Other - Internal-Use Software (Subtopic 350-40), Targeted Improvements to the Accounting for Internal-Use Software. This amendment clarifies and modernizes the accounting for costs related to internal-use software. The amendments remove all references to project stages throughout Subtopic 350-40 and clarify the threshold entities apply to begin capitalizing costs. The amendments will be effective for the Company for fiscal years beginning after December 15, 2027 and interim periods within those fiscal years. The Company is currently evaluating the impact of this guidance on its consolidated financial statements.

 

In November 2025, the FASB issued ASU No. 2025-08, "Financial Instruments - Credit Losses (Topic 326): Purchased Loans." The pronouncement amends the guidance on the accounting for certain purchased loans. The new guidance makes significant changes to the accounting for certain acquired seasoned loans subject to the current expected credit loss model. The amendments in ASU 2025-08 apply prospectively and will be effective for the Company beginning January 1, 2027, with early adoption permitted, and is not expected to have a significant impact on the Company's consolidated financial statements.

 

In November 2025, the FASB issued ASU No. 2025-11, "Interim Reporting (Topic 270): Narrow-Scope Improvements." The pronouncement is intended to provide clarity about the current interim reporting requirements, provides a list of the interim disclosures required by all other Codification topics and establishes a disclosure principle that requires entities to disclose events since the end of the last annual reporting period that have a material impact on the entity. ASU 2025-11 will be effective for the Company beginning January 1, 2028, with early adoption permitted, and is not expected to have a significant impact on the Company's consolidated financial statements.
v3.26.1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)
 3 Months Ended
Mar. 31, 2026
Accounting Policies [Abstract]  
Principles of Consolidation and Organization

Principles of Consolidation and Organization: The consolidated financial statements of the Company are prepared on the accrual basis and include the accounts of the Company and its wholly-owned subsidiary, Peapack Private Bank & Trust (the “Bank”). The consolidated financial statements also include the Bank’s wholly-owned subsidiaries:

•
Peapack Capital Corporation (“PCC”)
•
Peapack-Gladstone Mortgage Group, Inc., which owns 99 percent of Peapack Ventures, LLC and 79 percent of Peapack-Gladstone Realty, Inc., a New Jersey real estate investment company
•
PGB Trust & Investments of Delaware, which owns one percent of Peapack Ventures, LLC
•
Peapack Ventures, LLC, which owns 21 percent of Peapack-Gladstone Realty, Inc.
•
Peapack-Gladstone Realty, Inc.
•
PGB Securities, Inc.

While the following notes to the consolidated financial statements include the consolidated results of the Company, the Bank and their subsidiaries, these notes primarily reflect the Bank’s and its subsidiaries’ activities. All significant intercompany balances and transactions have been eliminated from the accompanying consolidated financial statements.
Basis of Financial Statement Presentation

Basis of Financial Statement Presentation: The consolidated financial statements have been prepared in accordance with GAAP. In preparing the financial statements, Management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the statement of condition and revenues and expenses for the periods presented. Actual results could differ from those estimates.

Segment Information

Segment Information: The Company has two reportable segments as determined by the Chief Financial Officer, who is the designated Chief Operating Decision Maker (the "CODM"), based upon information provided about the Company's products and services offered, primarily distinguished between banking and wealth management services provided by the Bank's Wealth Management Division. They are also distinguished by the level of information provided to the CODM, who uses such information to review performance of various components of the business. The CODM evaluates the financial performance of the Company's business segments such as by evaluating revenue streams, significant expenses, and budget to actual results in assessing the performance of the Company's segments and in the determination of allocating resources. The CODM uses revenue streams to evaluate product pricing and significant expenses to assess performance of each segment to evaluate compensation of certain employees. Segment pretax profit or loss is used to assess the performance of the banking segment, which includes monitoring the spread between interest income and interest expense. Segment pretax profit or loss is used to assess the performance of the Wealth Management Division, which includes monitoring wealth management fee income and assets under management and/or administration ("AUM"). Loans and investments primarily provide the revenues in the banking operation and wealth management fee income provides the revenues for the Wealth Management Division. Interest expense, provision for credit losses, payroll and premises and equipment provide the significant expenses in the banking segment, while payroll, occupancy and trust expenses are the significant expenses in the Wealth Management Division. All operations are domestic.

The Banking segment includes: commercial (including commercial and industrial (“C&I”) and equipment financing), commercial real estate, multifamily, residential and consumer lending activities; treasury management services; C&I advisory services; escrow management; deposit generation; operation of ATMs; telephone and internet banking services; merchant credit card services; and customer support sales.

The Wealth Management Division includes: investment management services for individuals and institutions; personal trust services, including services as executor, trustee, administrator, custodian; and other financial planning and advisory services. This segment also includes the activity from the Delaware subsidiary, PGB Trust & Investments of Delaware. The majority of wealth management fees are collected on a monthly or quarterly basis and are calculated on a tiered fee schedule, based upon the market value of AUMs. Other non AUM-based revenues such as personal or fiduciary tax return preparation fees, executor fees, trust termination fees and/or financial planning and advisory fees are charged as services are rendered.
Cash and Cash Equivalents

Cash and Cash Equivalents: For purposes of the statements of cash flows, cash and cash equivalents include cash and due from banks, interest-earning deposits and federal funds sold. Generally, federal funds are sold for one-day periods. Cash equivalents are of original maturities of 90 days or less. Net cash flows are reported for customer loan and deposit transactions and short-term borrowings with original maturities of 90 days or less.
Interest-Earning Deposits in Other Financial Institutions

Interest-Earning Deposits in Other Financial Institutions: Interest-earning deposits in other financial institutions mature within one year and are carried at cost.
Securities

Securities: Debt securities available-for-sale are measured at fair value and subject to impairment testing. When an available for sale debt security is considered impaired, the Company must determine if the decline in fair value has resulted from a credit-related loss or other factors and then, (1) recognize an allowance for credit losses ("ACL") by a charge to earnings for the credit-related component (if any) of the decline in fair value, and (2) recognize in other comprehensive income (loss) any non-credit related components of the fair value change. If the amount of the amortized cost basis expected to be recovered increases in a future period, the valuation reserve would be reduced, but not more than the amount of the current existing reserve for that security.

Debt securities are classified as held to maturity and carried at amortized cost when Management has the positive intent and ability to hold them to maturity. Under ASU 2016-13, held to maturity securities in a loss position are evaluated to determine if the decline in fair value has resulted from a credit-related loss or other factors, and then recognize a provision to the ACL through a charge to earnings for the decline in fair value. The Company also has an investment in a Community Reinvestment Act (“CRA”) investment fund, which is classified as an equity security.

Interest income includes amortization of purchase premiums and discounts. Premiums and discounts on securities are amortized on the level-yield method without anticipating prepayments, except for mortgage-backed securities where prepayments are anticipated, and premiums on callable debt securities, which are amortized to the earliest call date. Gains and losses on sales are recorded on the trade date and determined using the specific identification method.

Federal Home Loan Bank (FHLB) and Federal Reserve Bank (FRB) Stock

Federal Home Loan Bank ("FHLB") and Federal Reserve Bank ("FRB") Stock: The Bank is a member of the FHLB system. Members are required to own a certain amount of FHLB stock, based on the level of borrowings and other factors. FHLB stock is carried at cost, classified as a restricted security and periodically evaluated for impairment based on ultimate recovery of par value. Cash and stock dividends are reported as income.

The Bank is also a member of the Federal Reserve Bank of New York and required to own a certain amount of FRB stock. FRB stock is carried at cost and classified as a restricted security. Cash and stock dividends are reported as income.
Loans Held for Sale

Loans Held for Sale: Mortgage loans originated with the intent to sell in the secondary market are carried at fair value, as determined by outstanding commitments from investors.

Mortgage loans held for sale are generally sold with servicing rights released; therefore, no servicing rights are recorded. Gains and losses on sales of mortgage loans, shown as gain on loans held for sale at fair value (mortgage loans) on the Statement of Income, are based on the difference between the selling price and the carrying value of the related loan sold.

SBA loans originated with the intent to sell in the secondary market are carried at the lower of cost or fair value. SBA loans are generally sold with the servicing rights retained. Gains and losses on the sale of SBA loans are based on the difference between the selling price and the carrying value of the related loan sold. Total SBA loans serviced totaled $130.4 million and $132.5 million as of March 31, 2026 and December 31, 2025, respectively. SBA loans held for sale totaled $9.2 million and $4.8 million at March 31, 2026 and December 31, 2025, respectively. The servicing asset recorded was not material.

Loans originated with the intent to hold and subsequently transferred to loans held for sale are carried at the lower of cost or fair value. These are loans that the Company no longer has the intent to hold for the foreseeable future.
Loans

Loans: Loans that Management has the intent and ability to hold for the foreseeable future or until maturity are stated at the principal amount outstanding. Interest on loans is recognized based upon the principal amount outstanding. Loans are stated at face value, less purchased premium and discounts and net deferred fees. Loan origination fees and certain direct loan origination costs are deferred and recognized on a level-yield method over the life of the loan as an adjustment to the loan’s yield. The definition of recorded investment in loans includes accrued interest receivable and deferred fees/costs, however, for the Company’s loan disclosures, accrued interest and deferred fees/costs were excluded as the impact was not material.

Loans are considered past due when they are not paid within 30 days in accordance with contractual terms. The accrual of income on loans, including individually evaluated loans, is discontinued if, in the opinion of Management, principal or interest is not likely to be paid in accordance with the terms of the loan agreement, or when principal or interest is past due 90 days unless the asset is both well secured and in the process of collection. All interest accrued but not received for loans placed on nonaccrual status are reversed against interest income. Payments received on nonaccrual loans are recorded as principal payments. A nonaccrual loan is returned to accrual status only when interest and principal payments are brought current and future payments are reasonably assured, generally when the Bank receives contractual payments for a minimum of six consecutive months. Commercial loans are generally charged off, in whole or in part, after an analysis is completed which indicates that collectability of the full principal balance is in doubt. Consumer closed-end loans are generally charged off after they become 120 days past due and open-end loans after 180 days. Subsequent payments are credited to income only if collection of principal is not in doubt. If principal and interest payments are brought contractually current and future collectability is reasonably assured, loans may be returned to accrual status. Nonaccrual mortgage loans are generally charged off to the extent that the value of the underlying collateral does not cover the outstanding principal balance. The majority of the Company’s loans are secured by real estate in New Jersey, metropolitan New York and, to a lesser extent, Pennsylvania.
Allowance for Credit Losses

Allowance for Credit Losses: Current expected credit losses ("CECL") requires the immediate recognition of estimated credit losses expected to occur over the estimated remaining life of the asset. The forward-looking concept of CECL requires loss estimates to consider historical experience, current conditions and reasonable and supportable economic forecasts.

The ACL on loans held for investment is the combination of the allowance for loan losses and the reserve for unfunded loan commitments. The ACL is reported as a reduction of the amortized cost basis of loans, while the reserve for unfunded loan commitments is included within "other liabilities" on the Consolidated Statements of Condition. The estimate of credit loss for unfunded commitments incorporates assumptions for both the likelihood and amount of funding over the estimated life of the commitments, including adjustments for current conditions and reasonable and supportable economic forecasts. Management periodically reviews and updates its assumptions for estimated funding rates. The amortized cost basis of loans does not include accrued interest receivable, which is included in "accrued interest receivable" on the Consolidated Statements of Condition. The "Provision for credit losses" on the Consolidated Statements of Income is a combination of the provision for credit losses and the provision for unfunded loan commitments.

ACL in accordance with CECL methodology

With respect to pools of similar loans that are collectively evaluated, an appropriate level of general allowance is determined by portfolio segment using a non-linear discounted cash flow (“DCF”) model. The DCF model captures losses over the historical charge-off and prepayment cycle and applies those losses at a loan level over the remaining maturity of the loan. The model then calculates a historical loss rate using the average losses over the reporting period, which is then applied to each segment utilizing a standard reversion rate. This loss rate is then supplemented with adjustments for reasonable and supportable forecasts of relevant economic indicators, including, but not limited to unemployment rates and national consumer price and confidence indices. Expected credit losses are estimated over the contractual term of the loans, adjusted for expected prepayments when appropriate. Also included in the ACL are qualitative factors based on the risks present for each portfolio segment. These qualitative factors include: levels of and trends in delinquencies and impaired loans; effects of any changes in risk selection and underwriting standards; other changes in lending policies, procedures and practices; experience, ability and depth of lending management and other relevant staffing and experience; industry conditions; and effects of changes in credit concentrations. It is also possible that these factors could include social, political, economic, and terrorist events or activities. All of these factors are susceptible to change, which may be significant. The ACL includes two forms of allocations, specific and general. These two components represent the total ACL deemed adequate to cover current expected credit losses in the loan portfolio.

When management identifies loans that do not share common risk characteristics (i.e., are not similar to other loans within a pool) they are evaluated on an individual basis. These loans are not included in the collective evaluation. For loans identified as having a likelihood of foreclosure or that the borrower is experiencing financial difficulty, a collateral dependent approach is used. These are loans for which the repayment is expected to be provided substantially through the operation or sale of the collateral. Under CECL, for collateral dependent loans, the Company has adopted the practical expedient method to measure the ACL based on the fair value of collateral. The ACL is calculated on an individual loan basis based on the shortfall between the fair value of the loan's

collateral, which is adjusted for liquidation costs/discounts, and amortized cost. If the fair value of the collateral exceeds the amortized cost, no allowance is required.

The CECL methodology requires a significant amount of management judgment in determining the appropriate ACL. Several of the steps in the methodology are subjective, including, among other things: segmenting the loan portfolio; determining the amount of loss history to consider; selecting predictive econometric regression models that use appropriate macroeconomic variables; determining the methodology to forecast prepayments; selecting the most appropriate economic forecast scenario; determining the length of the reasonable and supportable forecast and reversion periods; estimating expected utilization rates on unfunded loan commitments; and assessing relevant and appropriate qualitative factors. In addition, the CECL methodology is dependent on economic forecasts, which are inherently imprecise and may change from period to period. Although the ACL is considered appropriate, there can be no assurance that it will be sufficient to absorb future losses.

In determining an appropriate amount for the allowance, the Bank segments and aggregates the loan portfolio based on common characteristics. The following segments have been identified:

Primary Residential Mortgages. The Bank originates one-to four-family residential mortgage loans in the Tri-State area (New York, New Jersey and Connecticut), Pennsylvania and Florida. Loans are secured by first liens on the primary residence or investment property. Primary risk characteristics associated with residential mortgage loans typically involve: major living or lifestyle changes to the borrower, including unemployment or other loss of income; unexpected significant expenses, such as for major medical issues or catastrophic events; and divorce or death. In addition, residential mortgage loans that have adjustable rates could expose the borrower to higher debt service requirements in a rising interest rate environment. Further, real estate values could drop significantly and cause the value of the property to fall below the loan amount, creating additional potential loss exposure for the Bank.

Junior Lien Loan on Residence (which include home equity lines of credit). The Bank provides junior lien loans (“JLL”) and revolving home equity lines of credit ("HELOC") secured by one-to four-family properties in the Tri-State area. These loans are subordinate to a first mortgage, which may be from another lending institution. Primary risk characteristics associated with JLLs and HELOCs typically involve major living or lifestyle changes to the borrower, including unemployment or other loss of income; unexpected significant expenses, such as for major medical issues or catastrophic events; and divorce or death. In addition, HELOCs typically are made with variable or floating interest rates, which could expose the borrower to higher debt service requirements in a rising interest rate environment. Further, real estate values could drop significantly and cause the value of the property to fall below the loan amount, creating additional potential loss exposure for the Bank.

Multifamily. The Bank provides mortgage loans for multifamily properties (i.e., buildings which have five or more residential units). Multifamily loans are expected to be repaid from the cash flows of the underlying property so the collective amount of rents must be sufficient to cover all operating expenses, property management and maintenance, taxes and debt service. Increases in vacancy rates, interest rates, other changes in general economic conditions or changes in rent regulation can have an impact on the borrower and its ability to repay the loan.

Owner-Occupied Commercial Real Estate Loans. The Bank provides mortgage loans for owner-occupied commercial real estate properties in the Tri-State area and Pennsylvania. Commercial real estate properties primarily include retail buildings/shopping centers, hotels, office/medical buildings and industrial/warehouse space. Some properties are mixed use as they are a combination of building types, such as a building with retail space on the ground floor and either residential apartments or office suites on the upper floors. Commercial real estate loans are generally considered to have a higher degree of credit risk as they may be dependent on the ongoing success and operating viability of a fewer number of tenants who are occupying the property and who may have a greater degree of exposure to economic conditions.

Investment Commercial Real Estate Loans. The Bank provides mortgage loans for properties managed as an investment property (non-owner-occupied) in the Tri-State area and Pennsylvania. Non-owner-occupied properties primarily include retail buildings/shopping centers, hotels, office/medical buildings and industrial/warehouse space. Some properties are considered mixed use. Commercial real estate loans are generally considered to have a higher degree of credit risk as they may be dependent on the ongoing success and operating viability of a fewer number of tenants who are occupying the property and who may have a greater degree of exposure to economic conditions.

Commercial and Industrial Loans. The Bank provides lines of credit and term loans to operating companies for business purposes. The loans are generally secured by business assets such as accounts receivable, inventory, business vehicles and equipment as well as the stock of a company, if privately held. Commercial and industrial loans are typically repaid first by the cash flows generated by the borrower’s business operations. The primary risk

characteristics are specific to the underlying business and its ability to generate sustainable profitability and resulting positive cash flows. Factors that may influence a business’ profitability include, but are not limited to, demand for its products or services, quality and depth of management, competition, regulatory changes, and general economic conditions. To mitigate the risk characteristics of commercial and industrial loans, these loans often include commercial real estate as collateral and the Bank will often require more frequent reporting requirements from the borrower in order to better monitor its business performance. The ability of the Bank to foreclose and realize sufficient value from the assets is often highly uncertain.

Equipment Finance and Leasing. PCC offers a wide range of equipment finance solutions nationally and goes to market through capital markets, intermediary, vendor and direct platforms. PCC provides term loans and leases secured by assets financed for U.S. based companies and governments. Payment terms are typically payable in monthly or quarterly installments under fixed-rate terms. Lease transactions may contain renewal or purchase options that allow the lessee options at the end of the lease term. PCC estimates the expected residual value of the leased property at lease inception by considering both internal and third party valuations and may obtain partial or full residual value guarantees to reduce its residual asset risk. PCC serves a broad range of industries including transportation, manufacturing, medical, construction and utilities.

Credit risk in PCC’s portfolio generally results from the potential default of borrowers or lessees, which may be driven by customer specific or broader industry-related conditions. Credit losses can impact multiple parts of the income statement including loss of interest/lease/rental income and/or higher costs and expenses related to the repossession, refurbishment, re-marketing and or re-leasing of assets.

PCC's ongoing risk management strategy for residual assets includes regular reviews of estimated residual value, which may result in an impairment of the asset carrying value at any time during the life of the asset.

Construction. The Bank provides commercial construction loans for properties located in the Tri-state area. Risks common to commercial construction loans are cost overruns, inaccurate estimates of the period of construction, changes in market demand for property, inadequate long-term financing arrangements and declines in real estate values. Changes in market demand for property could lead to longer marketing times resulting in higher carrying costs, declining values, and higher interest rates.

Consumer and Other. These are loans to individuals for household, family and other personal expenditures as well as obligations of states and political subdivisions in the U.S. This also represents all other loans that cannot be categorized in any of the previous mentioned loan segments. Consumer loans generally have higher interest rates and shorter terms than residential loans but tend to have higher credit risk due to the type of collateral securing the loan or in some cases the absence of collateral.

Loan Modifications: The Company will provide loan modifications, at its discretion, to assist borrowers that may be experiencing financial difficulty. Examples of changes provided in a loan modification may include payment deferrals that are more than insignificant, an extension of the note term, or a reduction in the interest on a note. In certain instances, the Company may grant more than one type of modification. Loan modifications are disclosed in accordance with ASU 2022-02, "Financial Instruments-Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures".
Leases

Leases: At inception, contracts are evaluated to determine whether the contract constitutes a lease agreement. For contracts that are determined to be an operating lease, a corresponding right-of-use (“ROU”) asset and operating lease liability are recorded as separate line items on the Statement of Condition. An ROU asset represents the Company’s right to use an underlying asset during the lease term and a lease liability represents the Company’s commitment to make contractually obligated lease payments. Operating lease ROU assets and liabilities are recognized at the commencement date of the lease and are based on the present value of lease payments over the lease term. The measurement of the operating lease ROU asset includes any lease payments made.

 

If the rate implicit in the lease is not readily determinable, the incremental collateralized borrowing rate is used to determine the present value of lease payments. This rate gives consideration to the applicable FHLB collateralized borrowing rates and is based on the information available at the commencement date. The Company has elected to apply the short-term lease measurement and recognition exemption to leases with an initial term of 12 months or less; therefore, these leases are not recorded on the Company’s statement of condition, but rather, lease expense is recognized over the lease term on a straight-line basis. The Company’s lease agreements may include options to extend or terminate the lease. The Company’s decision to exercise renewal options is based on an assessment of its current business needs and market factors at the time of the renewal. The Company maintains certain property and equipment under direct financing and operating leases. Substantially all of the leases in which the Company is the lessee are comprised of real estate property for branches, wealth management offices and office space and are classified as operating leases.

 

The ROU asset is measured at the amount of the lease liability adjusted for lease incentives received, any cumulative prepaid or accrued rent if the lease payments are uneven throughout the lease term, any unamortized initial direct costs, and any impairment of the ROU asset. Operating lease expense consists of a single lease cost allocated over the remaining lease term on a straight-line basis, variable lease payments not included in the lease liability, and any impairment of the ROU asset.

 

There are no terms or conditions related to residual value guarantees and no restrictions or covenants that would impact the Company’s ability to pay dividends or to incur additional financial obligations.
Derivatives

Derivatives: At the inception of a derivative contract, the Company designates the derivative as one of three types based on the Company’s intentions and belief as to likely effectiveness as a hedge. These three types are: (1) a hedge of the fair value of a recognized asset or liability or of an unrecognized firm commitment (“fair value hedge”); (2) a hedge of a forecasted transaction or the variability of cash flows to be received or paid related to a recognized asset or liability (“cash flow hedge”); or (3) an instrument with no hedging designation. For a fair value hedge, the gain or loss on the derivative, as well as the offsetting loss or gain on the hedged item, are recognized in current earnings as fair values change. For a cash flow hedge, the gain or loss on the derivative is reported in other comprehensive income and is reclassified into earnings in the same periods during which the hedged transaction affects earnings. For cash flow hedges, changes in the fair value of derivatives that are not highly effective in hedging the changes in fair value or expected cash flows of the hedged item are recognized immediately in current earnings. Changes in the fair value of derivatives that do not qualify for hedge accounting are reported currently in earnings, as non-interest income. When hedge accounting is discontinued on a fair value hedge that no longer qualifies as an effective hedge, the derivative continues to be reported at fair value in the statement of condition, but the carrying amount of the hedged item is no longer adjusted for future changes in fair value. The adjustment to the carrying amount of the hedged item that existed at the date hedge accounting is discontinued is amortized over the remaining life of the hedged item into earnings.

Net cash settlements on derivatives that qualify for hedge accounting are recorded in interest income or interest expense, based on the item being hedged. Net cash settlements on derivatives that do not qualify for hedge accounting are reported in non-interest income. Cash flows on hedges are classified in the cash flows statement the same as the cash flows of the items being hedged.

The Company formally documents the relationship between derivatives and hedged items, as well as the risk-management objective and the strategy for undertaking hedge transactions at the inception of the hedging relationship. This documentation includes linking fair value or cash flow hedges to specific assets and liabilities on the statement of condition or to specific firm commitments or forecasted transactions. The Company discontinues hedge accounting when it determines that the derivative is no longer effective in offsetting changes in the fair value or cash flows of the hedged item, the derivative is settled or terminated, a hedged forecasted transaction is no longer probable, a hedged firm commitment is no longer firm, or treatment of the derivative as a hedge is no longer appropriate or intended.

When hedge accounting is discontinued, subsequent changes in fair value of the derivative are recorded as non-interest income. When a cash flow hedge is discontinued but the hedged cash flows or forecasted transactions are still expected to occur, gains or losses that were accumulated in other comprehensive income are amortized into earnings over the same periods which the hedged transactions will affect earnings.

The Company also offers facility specific / loan level swaps to its customers and offsets its exposure from such contracts by entering into mirror image swaps with a financial institution / swap counterparty (loan level / back-to-back swap program). The customer accommodations and any offsetting swaps are treated as non-hedging derivative instruments which do not qualify for hedge accounting (“standalone derivatives”). The notional amount of the swaps does not represent amounts exchanged by the parties. The amount exchanged is determined by reference to the notional amount and the other terms of the individual contracts. The fair value of the swaps is recorded as both an asset and a liability, in other assets and other liabilities, respectively, in equal amounts for these transactions. The Company is exposed to losses if a customer counterparty fails to make its payments under a contract in which the Company is in a net receiving position. At this time, the Company anticipates that its counterparties will be able to fully satisfy their obligations under the agreements. All of the contracts to which the Company is a party settle monthly. Further, the Company has netting agreements with the dealers with which it does business.
Stock-Based Compensation

Stock-Based Compensation: The Company’s 2025 Long-Term Stock Incentive Plan allows the granting of shares of the Company’s common stock as incentive stock options, nonqualified stock options, restricted stock awards, restricted stock units and stock appreciation rights to directors, officers and employees of the Company and its subsidiaries.

Options granted are, in general, exercisable not earlier than one year after the date of grant, at a price equal to the fair value of common stock on the date of grant and expire not more than ten years after the date of grant. Stock options may vest during a period of up to five years after the date of grant. The Company has a policy of using authorized but unissued shares to satisfy option exercises.

Upon adoption of ASU 2016-09, “Compensation - Stock Compensation (Topic 718), Improvements to Employee Share-Based Payment Accounting,” the Company elected to account for forfeitures as they occur, rather than estimate expected forfeitures.

 

There were no stock options granted during the three months ended March 31, 2026.

 

As of March 31, 2026, there was no unrecognized compensation cost related to non-vested share-based compensation arrangements granted under the Company's stock incentive plans.

 

The Company issued performance-based and service-based restricted stock units in 2026 and 2025. Service-based units vest ratably over a three- or five-year period. There were 93,714 service-based restricted stock units granted under the 2025 Long-Term Stock Incentive Plan during the first three months of 2026.

 

The performance-based awards are dependent upon the Company meeting certain performance criteria and, to the extent the performance criteria are met, will cliff vest at the end of the performance period, which is generally three years. Additionally, the Company entered into Special Executive Retention Performance Restricted Stock Unit (the “Market Based RSUs”) Award Agreements (the "Agreements") with our President and Chief Executive Officer and the Senior Executive Vice President of the Company and President of Private Wealth Management, to incentivize the executives to remain in the employ of the Company for the continuous period through December 31, 2028, to reward them for achieving certain Company performance goals specified in the Agreements. The number of Market Based RSUs issued upon vesting will range from 0% to 250% of the shares granted based on the 30-day average stock price of the Company measured at the end of each performance period. The fair value of Market Based RSUs granted is estimated using a Monte Carlo simulation. Expected volatilities were determined based on the historical volatilities of the Company and the specified peer group. The risk-free interest rate for the performance period was derived from the Treasury constant maturities yield curve on the valuation dates. There were 133,354 performance-based restricted stock units granted under the 2025 Long-Term Stock Incentive Plan during the first three months of 2026, of which 66,000 units were Market Based RSUs.

Changes in non-vested shares dependent on performance criteria for the three months ended March 31, 2026 were as follows:

 

 

 

 

 

 

Weighted

 

 

 

 

 

 

Average

 

 

 

Number of

 

 

Grant Date

 

 

 

Shares

 

 

Fair Value

 

Balance, January 1, 2026

 

 

133,936

 

 

$

30.37

 

Granted during 2026

 

 

133,354

 

 

 

41.78

 

Vested during 2026

 

 

(53,729

)

 

 

30.96

 

Forfeited during 2026

 

 

—

 

 

 

—

 

Balance, March 31, 2026

 

 

213,561

 

 

$

38.57

 

 

Changes in service-based restricted stock awards/units for the three months ended March 31, 2026 were as follows:

 

 

 

 

 

 

Weighted

 

 

 

 

 

 

Average

 

 

 

Number of

 

 

Grant Date

 

 

 

Shares

 

 

Fair Value

 

Balance, January 1, 2026

 

 

214,089

 

 

$

31.37

 

Granted during 2026

 

 

93,714

 

 

 

33.18

 

Vested during 2026

 

 

(117,934

)

 

 

31.28

 

Forfeited during 2026

 

 

(2,905

)

 

 

30.96

 

Balance, March 31, 2026

 

 

186,964

 

 

$

32.34

 

 

As of March 31, 2026, there was $13.1 million of total unrecognized compensation cost related to service-based and performance-based restricted stock units. This cost is expected to be recognized over a weighted average period of 2.52 years. Stock compensation expense recorded for the first quarters of 2026 and 2025 totaled $555,000 and $1.6 million, respectively.
Phantom Plan

Phantom Plan: During the first quarter of 2024, the Company adopted the Peapack-Gladstone Financial Corporation 2024 Phantom Stock Plan (the "Phantom Plan"). The Phantom Plan allows the Company to issue performance-based and service-based awards which will be settled in cash. The award of a phantom unit entitles the participant to a cash payment equal to the value of the unit on the vesting date, which is the fair market value of a common share of the Company's stock on such vesting date.

 

The Company did not issue performance-based phantom units in the first three months of 2026. The Company issued 98,316 service-based phantom units in the first three months of 2026. Service-based phantom units vest ratably over a three-year period.

 

Phantom units are recorded in compensation and employee benefits expense based on the fair value of the units on the balance sheet date. The fair value of these awards is updated at each balance sheet date and changes in the fair value of the vested portions of the awards are recorded as increases or decreases to compensation expense within compensation and employee benefits in the Consolidated Statements of Income. All of the outstanding phantom units at March 31, 2026 met the criteria to be treated under liability classification in accordance with ASC 718, given that these awards will settle in cash on the vesting date.

 

Compensation expense for the phantom units is based on the fair value of the units as of the balance sheet date as further discussed above, and such costs are recognized ratably over the service period of the awards. As the fair value of liability awards is required to be re-measured each period end, stock compensation expense amounts recognized in future periods for these awards will vary. The estimated future cash payments of these awards are presented as liabilities within "Accrued expenses and other liabilities" in the Consolidated Statement of Condition. As of March 31, 2026, there was $11.9 million of unrecognized compensation costs related to non-vested phantom units. That cost is expected to be recognized over a weighted average period of 2.05 years. Stock compensation expense recorded for the first quarters of 2026 and 2025 totaled $2.8 million and $1.7 million, respectively.
Employee Stock Purchase Plan

Employee Stock Purchase Plan (“ESPP”): The 2014 ESPP expired in April 2024 and was replaced by the 2024 ESPP, which was approved by shareholders on April 30, 2024 and allowed for the issuance of 150,000 shares.

 

The ESPP allows for the purchase of shares during four three-month Offering Periods of each calendar year. The Offering Periods end on March 31, June 30, September 30 and December 31 of each calendar year.

 

Each participant in the Offering Period is granted an option to purchase a number of shares and may contribute between one percent and 15 percent of their compensation. At the end of each Offering Period, the number of shares to be purchased by the employee is determined by dividing the employee’s contributions accumulated during the Offering Period by the applicable purchase price. The purchase price is an amount equal to 85 percent of the closing market price of a share of common stock on the purchase date. Participation in the ESPP is voluntary and employees can cancel their purchases at any time during the period without penalty. The fair value of each share purchase right is determined using the Black-Scholes option pricing model.

 

The Company recorded $56,000 in compensation and employee benefits expense for the three months ended March 31, 2026 related to ESPP, compared to $39,000 for the three months ended March 31, 2025. Total shares issued under the ESPP during the first quarter ended March 31, 2026 and 2025 were 11,013 and 7,115, respectively.
Earnings per share - Basic and Diluted

Earnings per share – Basic and Diluted: The following is a reconciliation of the calculation of basic and diluted earnings per share. Basic net income per share is calculated by dividing net income available to common shareholders by the weighted average shares outstanding during the reporting period. Diluted net income per share is computed similarly to that of basic net income per share, except that the denominator is increased to include the number of additional shares that would have been outstanding utilizing the Treasury Stock Method if all shares underlying potentially dilutive stock options were issued and all shares of restricted stock, stock warrants or restricted stock units were to vest during the reporting period.

 

 

Three Months Ended

 

 

March 31,

 

(Dollars in thousands, except per share data)

2026

 

 

2025

 

Net income

$

14,153

 

 

$

7,595

 

Less: Dividends on preferred stock

 

—

 

 

 

—

 

Net income available to common shareholders

$

14,153

 

 

$

7,595

 

 

 

 

 

 

 

Basic weighted average shares outstanding

 

17,585,846

 

 

 

17,610,917

 

Plus: common stock equivalents

 

174,832

 

 

 

201,305

 

Diluted weighted average shares outstanding

 

17,760,678

 

 

 

17,812,222

 

Net income per share

 

 

 

 

 

Basic

$

0.80

 

 

$

0.43

 

Diluted

 

0.80

 

 

 

0.43

 

For the three months ended March 31, 2026 and 2025, restricted stock units totaling 76,496 and 20,885, respectively, were not included in the computation of diluted earnings per share because they were anti-dilutive. Anti-dilutive shares are common stock equivalents with weighted average exercise prices in excess of the average market value for the periods presented.
Income Taxes

Income Taxes: The Company files a consolidated Federal income tax return. Separate state income tax returns are filed for each subsidiary based on current laws and regulations.

The Company recognizes deferred tax assets and liabilities for the expected future tax consequences of events that have been included in its financial statements or tax returns. The measurement of deferred tax assets and liabilities is based on the enacted tax rates. Such tax assets and liabilities are adjusted for the effect of a change in tax rates in the period of enactment.

The Company recognizes a tax position as a benefit only if it is “more likely than not” that the tax position would be sustained in a tax examination, with a tax examination being presumed to occur. The amount recognized is the largest amount of tax benefit that is greater than 50 percent likely of being realized on examination. For tax positions not meeting the “more likely than not” test, no tax benefit is recorded.

The Company is no longer subject to examination by the U.S. Federal tax authorities for years prior to 2022 or by New Jersey tax authorities for years prior to 2020.

The Company recognizes interest and/or penalties related to income tax matters in income tax expense.
Loss Contingencies

Loss Contingencies: Loss contingencies, including claims and legal actions arising in the ordinary course of business, are recorded as liabilities when the likelihood of loss is probable and an amount or range of loss can be reasonably estimated. Management does not believe there are any such matters that will have a material effect on the financial statements.
Restrictions on Cash

Restrictions on Cash: Cash on hand or on deposit with the Federal Reserve Bank of New York was required to meet regulatory reserve and clearing requirements.
Comprehensive Income

Comprehensive Income: Comprehensive income consists of net income and the change during the period in the Company’s net unrealized gains or losses on securities available for sale and unrealized gains and losses on cash flow hedge, net of tax, less adjustments for realized gains and losses.

Transfers of Financial Assets

Transfers of Financial Assets: Transfers of financial assets are accounted for as sales, when control over the assets has been relinquished. Control over transferred assets is deemed to be surrendered when the assets have been isolated from the Company, the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets, and the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity.
Goodwill and Other Intangible Assets

Goodwill and Other Intangible Assets: Goodwill is generally determined as the excess of the fair value of the consideration transferred, plus the fair value of any noncontrolling interests in the acquiree (if any), over the fair value of any net assets acquired and liabilities assumed as of the date of acquisition in a purchase business combination. Goodwill and intangible assets acquired in a purchase business combination and determined to have an indefinite useful life are not amortized but tested for impairment at least annually or more frequently if events and circumstances exist that indicate that a goodwill impairment test should be performed. Goodwill was primarily attributable to the Bank’s wealth management acquisitions. Management monitors the impact of changes in the financial markets and includes these assessments in our impairment process.

The Company has selected December 31 as the date to perform the annual impairment test. Intangible assets with definite useful lives are amortized over their estimated useful lives to their estimated residual values. Goodwill, which includes assembled workforce has an indefinite life on our statement of financial condition.

Other intangible assets, which primarily consist of customer relationship intangible assets arising from acquisitions, are amortized on an accelerated basis over their estimated useful lives, which range from 5 to 15 years.
v3.26.1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)
 3 Months Ended
Mar. 31, 2026
Accounting Policies [Abstract]  
Schedule of Changes in Non-Vested Performance-Based Shares

Changes in non-vested shares dependent on performance criteria for the three months ended March 31, 2026 were as follows:

 

 

 

 

 

 

Weighted

 

 

 

 

 

 

Average

 

 

 

Number of

 

 

Grant Date

 

 

 

Shares

 

 

Fair Value

 

Balance, January 1, 2026

 

 

133,936

 

 

$

30.37

 

Granted during 2026

 

 

133,354

 

 

 

41.78

 

Vested during 2026

 

 

(53,729

)

 

 

30.96

 

Forfeited during 2026

 

 

—

 

 

 

—

 

Balance, March 31, 2026

 

 

213,561

 

 

$

38.57

 

 
Schedule of Changes in Service-Based Restricted Stock Awards/Units

Changes in service-based restricted stock awards/units for the three months ended March 31, 2026 were as follows:

 

 

 

 

 

 

Weighted

 

 

 

 

 

 

Average

 

 

 

Number of

 

 

Grant Date

 

 

 

Shares

 

 

Fair Value

 

Balance, January 1, 2026

 

 

214,089

 

 

$

31.37

 

Granted during 2026

 

 

93,714

 

 

 

33.18

 

Vested during 2026

 

 

(117,934

)

 

 

31.28

 

Forfeited during 2026

 

 

(2,905

)

 

 

30.96

 

Balance, March 31, 2026

 

 

186,964

 

 

$

32.34

 

 
Schedule of Calculation of Basic and Diluted Earnings per Share The following is a reconciliation of the calculation of basic and diluted earnings per share. Basic net income per share is calculated by dividing net income available to common shareholders by the weighted average shares outstanding during the reporting period. Diluted net income per share is computed similarly to that of basic net income per share, except that the denominator is increased to include the number of additional shares that would have been outstanding utilizing the Treasury Stock Method if all shares underlying potentially dilutive stock options were issued and all shares of restricted stock, stock warrants or restricted stock units were to vest during the reporting period.

 

 

Three Months Ended

 

 

March 31,

 

(Dollars in thousands, except per share data)

2026

 

 

2025

 

Net income

$

14,153

 

 

$

7,595

 

Less: Dividends on preferred stock

 

—

 

 

 

—

 

Net income available to common shareholders

$

14,153

 

 

$

7,595

 

 

 

 

 

 

 

Basic weighted average shares outstanding

 

17,585,846

 

 

 

17,610,917

 

Plus: common stock equivalents

 

174,832

 

 

 

201,305

 

Diluted weighted average shares outstanding

 

17,760,678

 

 

 

17,812,222

 

Net income per share

 

 

 

 

 

Basic

$

0.80

 

 

$

0.43

 

Diluted

 

0.80

 

 

 

0.43

 
v3.26.1
INVESTMENT SECURITIES (Tables)
 3 Months Ended
Mar. 31, 2026
Investment Securities Available For Sale [Abstract]  
Schedule of Amortized Cost and Approximate Fair Value of Securities Available for Sale

A summary of amortized cost and approximate fair value of investment securities available for sale and held to maturity included in the Consolidated Statements of Condition as of March 31, 2026 and December 31, 2025 follows:

 

 

 

March 31, 2026

 

 

 

 

 

 

Gross

 

 

Gross

 

 

Allowance

 

 

 

 

 

 

Amortized

 

 

Unrealized

 

 

Unrealized

 

 

for

 

 

Fair

 

(In thousands)

 

Cost

 

 

Gains

 

 

Losses

 

 

Credit Losses

 

 

Value

 

Securities Available for Sale:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   U.S government-sponsored agencies

 

$

219,838

 

 

$

—

 

 

$

(33,257

)

 

$

—

 

 

$

186,581

 

   Mortgage-backed securities–residential

 

 

526,784

 

 

 

1,055

 

 

 

(36,071

)

 

 

—

 

 

 

491,768

 

   SBA pool securities

 

 

18,640

 

 

 

—

 

 

 

(2,220

)

 

 

—

 

 

 

16,420

 

   Corporate bond

 

 

15,500

 

 

 

178

 

 

 

(401

)

 

 

—

 

 

 

15,277

 

      Total securities available for sale

 

$

780,762

 

 

$

1,233

 

 

$

(71,949

)

 

$

—

 

 

$

710,046

 

Securities Held to Maturity:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   U.S. government-sponsored agencies

 

$

25,000

 

 

$

—

 

 

$

(1,104

)

 

$

—

 

 

$

23,896

 

   Mortgage-backed securities–residential

 

 

54,478

 

 

 

—

 

 

 

(7,537

)

 

 

—

 

 

 

46,941

 

      Total securities held to maturity

 

$

79,478

 

 

$

—

 

 

$

(8,641

)

 

$

—

 

 

$

70,837

 

 

 

 

December 31, 2025

 

 

 

 

 

 

Gross

 

 

Gross

 

 

Allowance

 

 

 

 

 

 

Amortized

 

 

Unrealized

 

 

Unrealized

 

 

for

 

 

Fair

 

(In thousands)

 

Cost

 

 

Gains

 

 

Losses

 

 

Credit Losses

 

 

Value

 

Securities Available for Sale:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   U.S government-sponsored agencies

 

$

244,833

 

 

$

—

 

 

$

(33,610

)

 

$

—

 

 

$

211,223

 

   Mortgage-backed securities–residential

 

 

561,794

 

 

 

3,551

 

 

 

(34,980

)

 

 

—

 

 

 

530,365

 

   SBA pool securities

 

 

19,345

 

 

 

—

 

 

 

(2,133

)

 

 

—

 

 

 

17,212

 

   Corporate bond

 

 

15,500

 

 

 

250

 

 

 

(347

)

 

 

—

 

 

 

15,403

 

      Total securities available for sale

 

$

841,472

 

 

$

3,801

 

 

$

(71,070

)

 

$

—

 

 

$

774,203

 

Securities Held to Maturity:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   U.S. government-sponsored agencies

 

$

40,000

 

 

$

—

 

 

$

(1,125

)

 

$

—

 

 

$

38,875

 

   Mortgage-backed securities–residential

 

 

55,862

 

 

 

23

 

 

 

(7,269

)

 

 

—

 

 

 

48,616

 

      Total securities held to maturity

 

$

95,862

 

 

$

23

 

 

$

(8,394

)

 

$

—

 

 

$

87,491

 
Summary of Gross Gains, Gross Losses and Net Tax Benefit Related to Proceeds on Sales of Securities Available for Sale

The following table presents a summary of the gross gains, gross losses and net tax expense related to proceeds on sales of securities available for sale for the three months ended March 31, 2026. There were no sales of securities for the three months ended March 31, 2025.

 

 

 

Three Months Ended

 

(In thousands)

 

March 31, 2026

 

Proceeds from sales

 

$

97,019

 

Gross losses

 

 

(81

)

Net tax expense

 

 

22

 

 
Schedule of Available for Sale Securities with Continuous Unrealized Losses and Approximate Fair Value of Investments

The following tables present the Company’s available for sale and held to maturity securities with continuous unrealized losses and the approximate fair value of these investments as of March 31, 2026 and December 31, 2025.

 

 

 

March 31, 2026

 

 

 

Duration of Unrealized Loss

 

 

 

Less Than 12 Months

 

 

12 Months or Longer

 

 

Total

 

 

 

Approximate

 

 

 

 

 

Approximate

 

 

 

 

 

Approximate

 

 

 

 

 

 

Fair

 

 

Unrealized

 

 

Fair

 

 

Unrealized

 

 

Fair

 

 

Unrealized

 

(In thousands)

 

Value

 

 

Losses

 

 

Value

 

 

Losses

 

 

Value

 

 

Losses

 

Securities Available for Sale:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   U.S. government-sponsored agencies

 

$

—

 

 

$

—

 

 

$

186,581

 

 

$

(33,257

)

 

$

186,581

 

 

$

(33,257

)

   Mortgage-backed securities residential

 

 

96,065

 

 

 

(995

)

 

 

189,965

 

 

 

(35,076

)

 

 

286,030

 

 

 

(36,071

)

   SBA pool securities

 

 

—

 

 

 

—

 

 

 

16,420

 

 

 

(2,220

)

 

 

16,420

 

 

 

(2,220

)

   Corporate bond

 

 

—

 

 

 

—

 

 

 

9,599

 

 

 

(401

)

 

 

9,599

 

 

 

(401

)

Total securities available for sale

 

$

96,065

 

 

$

(995

)

 

$

402,565

 

 

$

(70,954

)

 

$

498,630

 

 

$

(71,949

)

Securities Held to Maturity:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   U.S. government-sponsored agencies

 

$

—

 

 

$

—

 

 

$

23,896

 

 

$

(1,104

)

 

$

23,896

 

 

$

(1,104

)

   Mortgage-backed securities residential

 

 

4,334

 

 

 

(25

)

 

 

42,607

 

 

 

(7,512

)

 

 

46,941

 

 

 

(7,537

)

Total securities held to maturity

 

$

4,334

 

 

$

(25

)

 

$

66,503

 

 

$

(8,616

)

 

$

70,837

 

 

$

(8,641

)

Total securities

 

$

100,399

 

 

$

(1,020

)

 

$

469,068

 

 

$

(79,570

)

 

$

569,467

 

 

$

(80,590

)

 

 

 

December 31, 2025

 

 

 

Duration of Unrealized Loss

 

 

 

Less Than 12 Months

 

 

12 Months or Longer

 

 

Total

 

 

 

Approximate

 

 

 

 

 

Approximate

 

 

 

 

 

Approximate

 

 

 

 

 

 

Fair

 

 

Unrealized

 

 

Fair

 

 

Unrealized

 

 

Fair

 

 

Unrealized

 

(In thousands)

 

Value

 

 

Losses

 

 

Value

 

 

Losses

 

 

Value

 

 

Losses

 

Securities Available for Sale:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   U.S. government-sponsored agencies

 

$

—

 

 

$

—

 

 

$

211,223

 

 

$

(33,610

)

 

$

211,223

 

 

$

(33,610

)

   Mortgage-backed securities residential

 

 

42,035

 

 

 

(79

)

 

 

205,749

 

 

 

(34,901

)

 

 

247,784

 

 

 

(34,980

)

   SBA pool securities

 

 

—

 

 

 

—

 

 

 

17,212

 

 

 

(2,133

)

 

 

17,212

 

 

 

(2,133

)

   Corporate bond

 

 

—

 

 

 

—

 

 

 

9,652

 

 

 

(347

)

 

 

9,652

 

 

 

(347

)

Total securities available for sale

 

$

42,035

 

 

$

(79

)

 

$

443,836

 

 

$

(70,991

)

 

$

485,871

 

 

$

(71,070

)

Securities Held to Maturity:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   U.S. government-sponsored agencies

 

$

—

 

 

$

—

 

 

$

38,875

 

 

$

(1,125

)

 

$

38,875

 

 

$

(1,125

)

   Mortgage-backed securities residential

 

 

—

 

 

 

—

 

 

 

43,737

 

 

 

(7,269

)

 

 

43,737

 

 

 

(7,269

)

Total securities held to maturity

 

$

—

 

 

$

—

 

 

$

82,612

 

 

$

(8,394

)

 

$

82,612

 

 

$

(8,394

)

Total securities

 

$

42,035

 

 

$

(79

)

 

$

526,448

 

 

$

(79,385

)

 

$

568,483

 

 

$

(79,464

)
v3.26.1
LOANS AND LEASES (Tables)
 3 Months Ended
Mar. 31, 2026
Receivables [Abstract]  
Schedule of composition of loans categorized by the type of loan

Loans outstanding, excluding those held for sale, by general ledger classification, as of March 31, 2026 and December 31, 2025, consisted of the following:

 

 

 

 

 

% of

 

 

 

 

 

% of

 

 

 

March 31,

 

 

Totals

 

 

December 31,

 

 

Total

 

(Dollars in thousands)

 

2026

 

 

Loans

 

 

2025

 

 

Loans

 

Residential mortgage

 

$

662,949

 

 

 

10.3

%

 

$

647,766

 

 

 

10.4

%

Multifamily mortgage

 

 

1,824,882

 

 

 

28.4

 

 

 

1,862,592

 

 

 

29.8

 

Commercial mortgage

 

 

887,712

 

 

 

13.8

 

 

 

774,428

 

 

 

12.4

 

Commercial loans (including equipment financing)

 

 

2,788,346

 

 

 

43.3

 

 

 

2,721,447

 

 

 

43.5

 

Commercial construction

 

 

695

 

 

 

0.0

 

 

 

495

 

 

 

0.0

 

Home equity lines of credit

 

 

58,194

 

 

 

0.9

 

 

 

59,306

 

 

 

0.9

 

Consumer loans, including fixed rate home equity loans

 

 

210,731

 

 

 

3.3

 

 

 

187,360

 

 

 

3.0

 

Other loans

 

 

860

 

 

 

0.0

 

 

 

342

 

 

 

0.0

 

Total loans

 

$

6,434,369

 

 

 

100.0

%

 

$

6,253,736

 

 

 

100.0

%

In determining an appropriate amount for the allowance, the Bank segments and aggregated the loan portfolio based on common characteristics. The following pool segments identified as of March 31, 2026 and December 31, 2025 are based on the CECL methodology:

 

 

 

 

 

 

% of

 

 

 

 

 

% of

 

 

 

March 31,

 

 

Totals

 

 

December 31,

 

 

Total

 

(Dollars in thousands)

 

2026

 

 

Loans

 

 

2025

 

 

Loans

 

Primary residential mortgage

 

$

652,450

 

 

 

10.1

%

 

$

632,890

 

 

 

10.1

%

Junior lien loan on residence

 

 

60,704

 

 

 

0.9

 

 

 

61,420

 

 

 

1.0

 

Multifamily property

 

 

1,824,882

 

 

 

28.4

 

 

 

1,862,592

 

 

 

29.8

 

Owner-occupied commercial real estate

 

 

294,248

 

 

 

4.6

 

 

 

289,801

 

 

 

4.6

 

Investment commercial real estate

 

 

1,217,060

 

 

 

18.9

 

 

 

1,101,082

 

 

 

17.6

 

Commercial and industrial

 

 

1,875,403

 

 

 

29.2

 

 

 

1,823,557

 

 

 

29.2

 

Lease financing

 

 

273,380

 

 

 

4.3

 

 

 

266,038

 

 

 

4.3

 

Construction

 

 

20,533

 

 

 

0.3

 

 

 

24,959

 

 

 

0.4

 

Consumer and other

 

 

213,732

 

 

 

3.3

 

 

 

189,633

 

 

 

3.0

 

Total loans

 

 

6,432,392

 

 

 

100.0

%

 

 

6,251,972

 

 

 

100.0

%

Net deferred costs

 

 

1,977

 

 

 

 

 

 

1,764

 

 

 

 

Total loans including net deferred costs

 

$

6,434,369

 

 

 

 

 

$

6,253,736

 

 

 

 

 
Schedule of recorded investment in nonaccrual and loans past due 90 days or over still on accrual

The following tables present the recorded investment in nonaccrual and loans past due 90 days or over still on accrual by class of loans as of March 31, 2026 and December 31, 2025:

 

 

 

 

 

 

March 31, 2026

 

 

 

 

 

 

Nonaccrual

 

 

 

 

 

Loans Past Due

 

 

 

With No

 

 

 

 

 

90 Days or Over

 

 

 

Allowance

 

 

 

 

 

And Still

 

(In thousands)

 

for Credit Loss

 

 

Nonaccrual

 

 

Accruing Interest

 

Primary residential mortgage

 

$

2,800

 

 

$

3,145

 

 

$

—

 

Junior lien loan on residence

 

 

104

 

 

 

104

 

 

 

—

 

Multifamily property

 

 

14,550

 

 

 

31,146

 

 

 

—

 

Investment commercial real estate

 

 

9,596

 

 

 

11,526

 

 

 

—

 

Commercial and industrial

 

 

9,009

 

 

 

13,377

 

 

 

—

 

Lease financing

 

 

23

 

 

 

23

 

 

 

—

 

Total

 

$

36,082

 

 

$

59,321

 

 

$

—

 

 

 

 

 

 

December 31, 2025

 

 

 

 

 

 

Nonaccrual

 

 

 

 

 

Loans Past Due

 

 

 

With No

 

 

 

 

 

90 Days or Over

 

 

 

Allowance

 

 

 

 

 

And Still

 

(In thousands)

 

for Credit Loss

 

 

Nonaccrual

 

 

Accruing Interest

 

Primary residential mortgage

 

$

2,573

 

 

$

2,573

 

 

$

—

 

Junior lien loan on residence

 

 

106

 

 

 

106

 

 

 

—

 

Multifamily property

 

 

14,671

 

 

 

31,343

 

 

 

—

 

Investment commercial real estate

 

 

9,628

 

 

 

11,557

 

 

 

—

 

Commercial and industrial

 

 

8,973

 

 

 

22,641

 

 

 

—

 

Lease financing

 

 

23

 

 

 

23

 

 

 

—

 

Total

 

$

35,974

 

 

$

68,243

 

 

$

—

 

 
Schedule of aging of past due loans

The following tables present the aging of the recorded investment in past due loans as of March 31, 2026 and December 31, 2025 by class of loans, excluding nonaccrual loans:

 

 

 

March 31, 2026

 

 

 

30-59

 

 

60-89

 

 

90 Days or

 

 

 

 

 

 

Days

 

 

Days

 

 

Greater

 

 

Total

 

(In thousands)

 

Past Due

 

 

Past Due

 

 

Past Due

 

 

Past Due

 

Primary residential mortgage

 

$

981

 

 

$

776

 

 

$

—

 

 

$

1,757

 

Multifamily property

 

 

4,769

 

 

 

38,485

 

 

 

—

 

 

 

43,254

 

Commercial and industrial

 

 

556

 

 

 

1,486

 

 

 

—

 

 

 

2,042

 

Total

 

$

6,306

 

 

$

40,747

 

 

$

—

 

 

$

47,053

 

 

 

 

December 31, 2025

 

 

 

30-59

 

 

60-89

 

 

90 Days or

 

 

 

 

 

 

Days

 

 

Days

 

 

Greater

 

 

Total

 

(In thousands)

 

Past Due

 

 

Past Due

 

 

Past Due

 

 

Past Due

 

Primary residential mortgage

 

$

7,121

 

 

$

799

 

 

$

—

 

 

$

7,920

 

Junior lien on residence

 

 

—

 

 

 

64

 

 

 

—

 

 

 

64

 

Multifamily property

 

 

4,642

 

 

 

9,576

 

 

 

—

 

 

 

14,218

 

Commercial and industrial

 

 

4,228

 

 

 

125

 

 

 

—

 

 

 

4,353

 

Total

 

$

15,991

 

 

$

10,564

 

 

$

—

 

 

$

26,555

 
Schedule of credit risk profile of loans

The following is a summary of the credit risk profile of loans by internally assigned grade as of March 31, 2026 and December 31, 2025 based on originations for the periods indicated; the years represent the year of origination for non-revolving loans:

 

 

 

Grade as of March 31, 2026 for Loans Originated During

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2021

 

 

 

 

 

Revolving-

 

 

 

 

(In thousands)

 

2026

 

 

2025

 

 

2024

 

 

2023

 

 

2022

 

 

and Prior

 

 

Revolving

 

 

Term

 

 

Total

 

Primary residential mortgage:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

$

31,696

 

 

$

85,092

 

 

$

69,106

 

 

$

81,885

 

 

$

99,819

 

 

$

273,475

 

 

$

—

 

 

$

7,573

 

 

$

648,646

 

   Special mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

   Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,327

 

 

 

1,063

 

 

 

1,414

 

 

 

—

 

 

 

—

 

 

 

3,804

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total primary residential mortgages

 

 

31,696

 

 

 

85,092

 

 

 

69,106

 

 

 

83,212

 

 

 

100,882

 

 

 

274,889

 

 

 

—

 

 

 

7,573

 

 

 

652,450

 

Current period gross charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Junior lien loan on residence:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

 

—

 

 

 

—

 

 

 

—

 

 

 

444

 

 

 

929

 

 

 

638

 

 

 

52,643

 

 

 

5,947

 

 

 

60,601

 

   Special mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

   Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

102

 

 

 

1

 

 

 

103

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total junior lien loan on residence

 

 

—

 

 

 

—

 

 

 

—

 

 

 

444

 

 

 

929

 

 

 

638

 

 

 

52,745

 

 

 

5,948

 

 

 

60,704

 

Current period gross charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Multifamily property:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

 

38,110

 

 

 

227,916

 

 

 

23,537

 

 

 

50,832

 

 

 

410,848

 

 

 

955,089

 

 

 

—

 

 

 

45,005

 

 

 

1,751,337

 

   Special mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

3,374

 

 

 

34,045

 

 

 

—

 

 

 

—

 

 

 

37,419

 

   Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

36,126

 

 

 

—

 

 

 

—

 

 

 

36,126

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total multifamily property

 

 

38,110

 

 

 

227,916

 

 

 

23,537

 

 

 

50,832

 

 

 

414,222

 

 

 

1,025,260

 

 

 

—

 

 

 

45,005

 

 

 

1,824,882

 

Current period gross charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

3,538

 

 

 

—

 

 

 

—

 

 

 

3,538

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Owner-occupied commercial real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

 

16,867

 

 

 

61,125

 

 

 

31,712

 

 

 

3,334

 

 

 

20,864

 

 

 

136,552

 

 

 

11,858

 

 

 

9,834

 

 

 

292,146

 

   Special mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

678

 

 

 

—

 

 

 

—

 

 

 

118

 

 

 

—

 

 

 

796

 

   Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,306

 

 

 

—

 

 

 

—

 

 

 

1,306

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total owner-occupied commercial real estate

 

 

16,867

 

 

 

61,125

 

 

 

31,712

 

 

 

4,012

 

 

 

20,864

 

 

 

137,858

 

 

 

11,976

 

 

 

9,834

 

 

 

294,248

 

Current period gross charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investment commercial real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

 

132,221

 

 

 

284,466

 

 

 

40,050

 

 

 

98,528

 

 

 

121,027

 

 

 

444,330

 

 

 

27,634

 

 

 

32,217

 

 

 

1,180,473

 

   Special mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

21,834

 

 

 

3,227

 

 

 

—

 

 

 

—

 

 

 

25,061

 

   Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

9,596

 

 

 

1,930

 

 

 

—

 

 

 

—

 

 

 

11,526

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total investment commercial real estate

 

 

132,221

 

 

 

284,466

 

 

 

40,050

 

 

 

98,528

 

 

 

152,457

 

 

 

449,487

 

 

 

27,634

 

 

 

32,217

 

 

 

1,217,060

 

Current period gross charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

 

139,104

 

 

 

444,690

 

 

 

255,182

 

 

 

59,844

 

 

 

87,407

 

 

 

80,099

 

 

 

721,565

 

 

 

37,158

 

 

 

1,825,049

 

   Special mention

 

 

—

 

 

 

—

 

 

 

147

 

 

 

863

 

 

 

—

 

 

 

6,457

 

 

 

3,000

 

 

 

2,192

 

 

 

12,659

 

   Substandard

 

 

—

 

 

 

1,486

 

 

 

10,146

 

 

 

1,249

 

 

 

—

 

 

 

832

 

 

 

8,535

 

 

 

15,447

 

 

 

37,695

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total commercial and industrial

 

 

139,104

 

 

 

446,176

 

 

 

265,475

 

 

 

61,956

 

 

 

87,407

 

 

 

87,388

 

 

 

733,100

 

 

 

54,797

 

 

 

1,875,403

 

Current period gross charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

7,810

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

7,810

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Lease financing:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

 

22,855

 

 

 

100,835

 

 

 

36,730

 

 

 

30,147

 

 

 

28,061

 

 

 

54,729

 

 

 

—

 

 

 

—

 

 

 

273,357

 

   Special mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

   Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

23

 

 

 

—

 

 

 

—

 

 

 

23

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total lease financing

 

 

22,855

 

 

 

100,835

 

 

 

36,730

 

 

 

30,147

 

 

 

28,061

 

 

 

54,752

 

 

 

—

 

 

 

—

 

 

 

273,380

 

Current period gross charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

 

—

 

 

 

5,500

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

15,033

 

 

 

—

 

 

 

20,533

 

   Special mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

   Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total commercial construction loans

 

 

—

 

 

 

5,500

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

15,033

 

 

 

—

 

 

 

20,533

 

Current period gross charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Consumer and other loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

 

43,902

 

 

 

116,088

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

2,429

 

 

 

48,734

 

 

 

2,579

 

 

 

213,732

 

   Special mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

   Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total consumer and other loans

 

 

43,902

 

 

 

116,088

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

2,429

 

 

 

48,734

 

 

 

2,579

 

 

 

213,732

 

Current period gross charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

12

 

 

 

12

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Grade as of March 31, 2026 for Loans Originated During

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2021

 

 

 

 

 

Revolving-

 

 

 

 

(In thousands)

 

2026

 

 

2025

 

 

2024

 

 

2023

 

 

2022

 

 

and Prior

 

 

Revolving

 

 

Term

 

 

Total

 

   Pass

 

 

424,755

 

 

 

1,325,712

 

 

 

456,317

 

 

 

325,014

 

 

 

768,955

 

 

 

1,947,341

 

 

 

877,467

 

 

 

140,313

 

 

 

6,265,874

 

   Special mention

 

 

—

 

 

 

—

 

 

 

147

 

 

 

1,541

 

 

 

25,208

 

 

 

43,729

 

 

 

3,118

 

 

 

2,192

 

 

 

75,935

 

   Substandard

 

 

—

 

 

 

1,486

 

 

 

10,146

 

 

 

2,576

 

 

 

10,659

 

 

 

41,631

 

 

 

8,637

 

 

 

15,448

 

 

 

90,583

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total Loans

 

$

424,755

 

 

$

1,327,198

 

 

$

466,610

 

 

$

329,131

 

 

$

804,822

 

 

$

2,032,701

 

 

$

889,222

 

 

$

157,953

 

 

$

6,432,392

 

Total Current Period Gross Charge-offs

 

$

—

 

 

$

—

 

 

$

—

 

 

$

7,810

 

 

$

—

 

 

$

3,538

 

 

$

—

 

 

$

12

 

 

$

11,360

 

 

 

Grade as of December 31, 2025 for Loans Originated During

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2020

 

 

 

 

 

Revolving-

 

 

 

 

(In thousands)

 

2025

 

 

2024

 

 

2023

 

 

2022

 

 

2021

 

 

and Prior

 

 

Revolving

 

 

Term

 

 

Total

 

Primary residential mortgage:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

$

85,591

 

 

$

71,744

 

 

$

84,353

 

 

$

100,859

 

 

$

65,826

 

 

$

213,686

 

 

$

—

 

 

$

7,595

 

 

$

629,654

 

   Special mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

   Substandard

 

 

—

 

 

 

—

 

 

 

1,341

 

 

 

725

 

 

 

—

 

 

 

1,170

 

 

 

—

 

 

 

—

 

 

 

3,236

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total primary residential mortgages

 

 

85,591

 

 

 

71,744

 

 

 

85,694

 

 

 

101,584

 

 

 

65,826

 

 

 

214,856

 

 

 

—

 

 

 

7,595

 

 

 

632,890

 

Current period gross charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Junior lien loan on residence:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

 

—

 

 

 

—

 

 

 

456

 

 

 

966

 

 

 

53

 

 

 

640

 

 

 

53,187

 

 

 

6,013

 

 

 

61,315

 

   Special mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

   Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

104

 

 

 

1

 

 

 

105

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total junior lien loan on residence

 

 

—

 

 

 

—

 

 

 

456

 

 

 

966

 

 

 

53

 

 

 

640

 

 

 

53,291

 

 

 

6,014

 

 

 

61,420

 

Current period gross charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Multifamily property:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

 

228,337

 

 

 

23,563

 

 

 

50,982

 

 

 

404,551

 

 

 

582,573

 

 

 

457,032

 

 

 

525

 

 

 

44,575

 

 

 

1,792,138

 

   Special mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

9,577

 

 

 

4,510

 

 

 

—

 

 

 

—

 

 

 

14,087

 

   Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

11,888

 

 

 

14,337

 

 

 

30,142

 

 

 

—

 

 

 

—

 

 

 

56,367

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total multifamily property

 

 

228,337

 

 

 

23,563

 

 

 

50,982

 

 

 

416,439

 

 

 

606,487

 

 

 

491,684

 

 

 

525

 

 

 

44,575

 

 

 

1,862,592

 

Current period gross charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

6,724

 

 

 

—

 

 

 

6,267

 

 

 

—

 

 

 

—

 

 

 

12,991

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Owner-occupied commercial real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

 

66,950

 

 

 

31,903

 

 

 

4,051

 

 

 

21,019

 

 

 

42,915

 

 

 

95,725

 

 

 

15,980

 

 

 

9,947

 

 

 

288,490

 

   Special mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

   Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,311

 

 

 

—

 

 

 

—

 

 

 

1,311

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total owner-occupied commercial real estate

 

 

66,950

 

 

 

31,903

 

 

 

4,051

 

 

 

21,019

 

 

 

42,915

 

 

 

97,036

 

 

 

15,980

 

 

 

9,947

 

 

 

289,801

 

Current period gross charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investment commercial real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

 

282,992

 

 

 

40,256

 

 

 

99,050

 

 

 

127,401

 

 

 

70,298

 

 

 

386,318

 

 

 

21,975

 

 

 

35,928

 

 

 

1,064,218

 

   Special mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

22,030

 

 

 

—

 

 

 

3,277

 

 

 

—

 

 

 

—

 

 

 

25,307

 

   Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

9,628

 

 

 

—

 

 

 

1,929

 

 

 

—

 

 

 

—

 

 

 

11,557

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total investment commercial real estate

 

 

282,992

 

 

 

40,256

 

 

 

99,050

 

 

 

159,059

 

 

 

70,298

 

 

 

391,524

 

 

 

21,975

 

 

 

35,928

 

 

 

1,101,082

 

Current period gross charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

 

474,578

 

 

 

299,802

 

 

 

71,416

 

 

 

95,215

 

 

 

92,549

 

 

 

11,815

 

 

 

694,850

 

 

 

25,386

 

 

 

1,765,611

 

   Special mention

 

 

—

 

 

 

—

 

 

 

935

 

 

 

—

 

 

 

6,870

 

 

 

647

 

 

 

3,000

 

 

 

181

 

 

 

11,633

 

   Substandard

 

 

—

 

 

 

10,234

 

 

 

1,249

 

 

 

—

 

 

 

120

 

 

 

2,377

 

 

 

19,634

 

 

 

12,699

 

 

 

46,313

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total commercial and industrial

 

 

474,578

 

 

 

310,036

 

 

 

73,600

 

 

 

95,215

 

 

 

99,539

 

 

 

14,839

 

 

 

717,484

 

 

 

38,266

 

 

 

1,823,557

 

Current period gross charge-offs

 

 

—

 

 

 

232

 

 

 

2,517

 

 

 

11,087

 

 

 

—

 

 

 

44

 

 

 

—

 

 

 

—

 

 

 

13,880

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Lease financing:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

 

103,440

 

 

 

38,742

 

 

 

31,353

 

 

 

29,541

 

 

 

38,229

 

 

 

23,992

 

 

 

718

 

 

 

—

 

 

 

266,015

 

   Special mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

   Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

23

 

 

 

—

 

 

 

—

 

 

 

23

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total lease financing

 

 

103,440

 

 

 

38,742

 

 

 

31,353

 

 

 

29,541

 

 

 

38,229

 

 

 

24,015

 

 

 

718

 

 

 

—

 

 

 

266,038

 

Current period gross charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

 

5,500

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

19,459

 

 

 

—

 

 

 

24,959

 

   Special mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

   Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total commercial construction loans

 

 

5,500

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

19,459

 

 

 

—

 

 

 

24,959

 

Current period gross charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Consumer and other loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

 

140,823

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

149

 

 

 

2,623

 

 

 

43,417

 

 

 

2,621

 

 

 

189,633

 

   Special mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

   Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total consumer and other loans

 

 

140,823

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

149

 

 

 

2,623

 

 

 

43,417

 

 

 

2,621

 

 

 

189,633

 

Current period gross charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

4

 

 

 

—

 

 

 

33

 

 

 

37

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Pass

 

 

1,388,211

 

 

 

506,010

 

 

 

341,661

 

 

 

779,552

 

 

 

892,592

 

 

 

1,191,831

 

 

 

850,111

 

 

 

132,065

 

 

 

6,082,033

 

   Special mention

 

 

—

 

 

 

—

 

 

 

935

 

 

 

22,030

 

 

 

16,447

 

 

 

8,434

 

 

 

3,000

 

 

 

181

 

 

 

51,027

 

   Substandard

 

 

—

 

 

 

10,234

 

 

 

2,590

 

 

 

22,241

 

 

 

14,457

 

 

 

36,952

 

 

 

19,738

 

 

 

12,700

 

 

 

118,912

 

   Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total Loans

 

$

1,388,211

 

 

$

516,244

 

 

$

345,186

 

 

$

823,823

 

 

$

923,496

 

 

$

1,237,217

 

 

$

872,849

 

 

$

144,946

 

 

$

6,251,972

 

Total Current Period Gross Charge-offs

 

$

—

 

 

$

232

 

 

$

2,517

 

 

$

17,811

 

 

$

—

 

 

$

6,315

 

 

$

—

 

 

$

33

 

 

$

26,908

 
Summary of Information Related to Modification

The following tables provide information related to the modifications completed during the three months ended March 31, 2026 by pool segment and type of concession granted:

 

 

 

Significant Payment Delay

 

 

 

Three Months Ended

 

 

 

March 31, 2026

 

 

 

 

 

 

% of Total

 

 

 

Amortized

 

 

Class of

 

 

 

Cost Basis

 

 

Financing

 

(Dollars in thousands)

 

at Period End

 

 

Receivable

 

Primary residential mortgage

 

$

82

 

 

 

0.01

%

Total

 

$

82

 

 

 

0.01

%

 

 

 

Combination Int Rate Reduction

 

 

 

and Significant Payment Delay

 

 

 

Three Months Ended

 

 

 

March 31, 2026

 

 

 

 

 

 

% of Total

 

 

 

Amortized

 

 

Class of

 

 

 

Cost Basis

 

 

Financing

 

(Dollars in thousands)

 

at Period End

 

 

Receivable

 

Multifamily property

 

$

1,209

 

 

 

0.07

%

Total

 

$

1,209

 

 

 

0.07

%

 

 

 

Combination Significant Payment

 

 

 

Delay & Term Extension

 

 

 

Three Months Ended

 

 

 

March 31, 2026

 

 

 

 

 

 

% of Total

 

 

 

Amortized

 

 

Class of

 

 

 

Cost Basis

 

 

Financing

 

(Dollars in thousands)

 

at Period End

 

 

Receivable

 

Commercial and industrial

 

$

2,338

 

 

 

0.12

%

Total

 

$

2,338

 

 

 

0.12

%

 

The following table provides information related to the modifications during the three months ended March 31, 2025 by pool segment and type of concession granted:

 

 

 

Significant Payment Delay

 

 

 

Three Months Ended

 

 

 

March 31, 2025

 

 

 

 

 

 

% of Total

 

 

 

Amortized

 

 

Class of

 

 

 

Cost Basis

 

 

Financing

 

(Dollars in thousands)

 

at Period End

 

 

Receivable

 

Primary residential mortgage

 

$

295

 

 

 

0.05

%

Multifamily property

 

 

8,303

 

 

 

0.47

%

Commercial and industrial

 

 

10,689

 

 

 

0.66

%

Total

 

$

19,287

 

 

 

1.18

%

 

 

 

Significant Payment Delay

 

 

 

and Term Extension

 

 

 

Three Months Ended

 

 

 

March 31, 2025

 

 

 

 

 

 

% of Total

 

 

 

Amortized

 

 

Class of

 

 

 

Cost Basis

 

 

Financing

 

(Dollars in thousands)

 

at Period End

 

 

Receivable

 

Commercial and industrial

 

$

416

 

 

 

0.03

%

Total

 

$

416

 

 

 

0.03

%

 

 

 

 

 

Interest Rate Reduction and

 

 

 

Significant Payment Delay

 

 

 

Three Months Ended

 

 

 

March 31, 2025

 

 

 

 

 

 

% of Total

 

 

 

Amortized

 

 

Class of

 

 

 

Cost Basis

 

 

Financing

 

(Dollars in thousands)

 

at Period End

 

 

Receivable

 

Multifamily property

 

$

9,307

 

 

 

0.52

%

Total

 

$

9,307

 

 

 

0.52

%

 
Schedule of Loan Modifications, Subsequent Default, By Payment Status

The following table depicts the payment status of the loans that were modified to a borrower experiencing financial difficulties as of March 31, 2026:

 

 

 

Payment Status at March 31, 2026

 

 

 

 

 

 

30-89 Days

 

 

90+ Days

 

(Dollars in thousands)

 

Current

 

 

Past Due

 

 

Past Due

 

Primary residential mortgage

 

$

83

 

 

$

311

 

 

$

92

 

Multifamily property

 

 

43,101

 

 

 

47,481

 

 

 

—

 

Commercial and industrial

 

 

13,974

 

 

 

416

 

 

 

—

 

Total

 

$

57,158

 

 

$

48,208

 

 

$

92

 

 

The following table depicts the payment status of the loans that were modified to a borrower experiencing financial difficulties as of March 31, 2025:

 

 

 

Payment Status at March 31, 2025

 

 

 

 

 

 

30-89 Days

 

 

90+ Days

 

(Dollars in thousands)

 

Current

 

 

Past Due

 

 

Past Due

 

Primary residential mortgage

 

$

637

 

 

$

295

 

 

$

—

 

Multifamily property

 

$

9,307

 

 

$

8,303

 

 

 

 

Investment commercial real estate

 

 

17,804

 

 

 

—

 

 

 

—

 

Commercial and industrial

 

 

22,851

 

 

 

4,993

 

 

 

2,976

 

Total

 

$

50,599

 

 

$

13,591

 

 

$

2,976

 
Schedule of Loan modifications resulted in payment default

The following table presents loans by class modified that failed to comply with the modified terms in the twelve months following modification and resulted in a payment default at March 31, 2026:

 

 

 

Amortized Cost Basis of Modified Loans

 

 

 

That Subsequently Defaulted

 

 

 

Three Months Ended March 31, 2026

 

 

 

 

 

 

 

 

 

 

 

 

Interest Rate

 

 

 

 

 

 

Interest Rate

 

 

 

 

 

Reduction &

 

 

 

 

 

 

Reduction &

 

 

 

 

 

Pay Delay

 

 

 

Significant

 

 

Significant

 

 

Term

 

 

and Term

 

(Dollars in thousands)

 

Pay Delay

 

 

Pay Delay

 

 

Extension

 

 

Extension

 

Primary residential mortgage

 

$

404

 

 

$

—

 

 

$

—

 

 

$

—

 

Multifamily property

 

 

40,582

 

 

 

18,771

 

 

 

—

 

 

 

2,882

 

Commercial and industrial

 

 

—

 

 

 

—

 

 

 

3,936

 

 

 

—

 

Total

 

$

40,986

 

 

$

18,771

 

 

$

3,936

 

 

$

2,882

 

 

 

The following table presents loans by class modified that failed to comply with the modified terms in the twelve months following modification and resulted in a payment default at March 31, 2025:

 

 

 

Amortized Cost Basis of Modified Loans

 

 

 

That Subsequently Defaulted

 

 

 

Three Months Ended

 

 

 

March 31, 2025

 

 

 

Significant

 

 

Interest

 

(Dollars in thousands)

 

Pay Delay

 

 

Rate Reduction

 

Primary residential mortgage

 

$

932

 

 

$

—

 

Multifamily property

 

 

8,303

 

 

 

—

 

Investment commercial real estate

 

 

—

 

 

 

17,804

 

Commercial and industrial

 

 

—

 

 

 

5,203

 

Total

 

$

9,235

 

 

$

23,007

 
v3.26.1
ALLOWANCE FOR CREDIT LOSSES (Tables)
 3 Months Ended
Mar. 31, 2026
Credit Loss [Abstract]  
Schedule of loan balances by segment and the corresponding balances in the allowance for loan losses

The following tables present the loan balances by segment, and the corresponding balances in the allowance as of March 31, 2026 and December 31, 2025. The allowance was based on the CECL methodology.

 

 

 

March 31, 2026

 

 

 

 

 

 

Ending ACL

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Attributable

 

 

 

 

 

Ending ACL

 

 

 

 

 

 

 

 

 

Total

 

 

To

 

 

Total

 

 

Attributable

 

 

 

 

 

 

 

 

 

Individually

 

 

Individually

 

 

Loans

 

 

To Loans

 

 

 

 

 

Total

 

 

 

Evaluated

 

 

Evaluated

 

 

Collectively

 

 

Collectively

 

 

Total

 

 

Ending

 

(In thousands)

 

Loans

 

 

Loans

 

 

Evaluated

 

 

Evaluated

 

 

Loans

 

 

ACL

 

Primary residential mortgage

 

$

3,145

 

 

$

3

 

 

$

649,305

 

 

$

5,393

 

 

$

652,450

 

 

$

5,396

 

Junior lien loan on residence

 

 

104

 

 

 

—

 

 

 

60,600

 

 

 

195

 

 

 

60,704

 

 

 

195

 

Multifamily property

 

 

31,146

 

 

 

3,691

 

 

 

1,793,736

 

 

 

8,438

 

 

 

1,824,882

 

 

 

12,129

 

Owner-occupied commercial real estate

 

 

—

 

 

 

—

 

 

 

294,248

 

 

 

3,544

 

 

 

294,248

 

 

 

3,544

 

Investment commercial real estate

 

 

11,526

 

 

 

994

 

 

 

1,205,534

 

 

 

14,213

 

 

 

1,217,060

 

 

 

15,207

 

Commercial and industrial

 

 

13,377

 

 

 

2,037

 

 

 

1,862,026

 

 

 

22,275

 

 

 

1,875,403

 

 

 

24,312

 

Lease financing

 

 

23

 

 

 

—

 

 

 

273,357

 

 

 

2,544

 

 

 

273,380

 

 

 

2,544

 

Construction

 

 

—

 

 

 

—

 

 

 

20,533

 

 

 

209

 

 

 

20,533

 

 

 

209

 

Consumer and other loans

 

 

—

 

 

 

—

 

 

 

213,732

 

 

 

3,490

 

 

 

213,732

 

 

 

3,490

 

Total ACL

 

$

59,321

 

 

$

6,725

 

 

$

6,373,071

 

 

$

60,301

 

 

$

6,432,392

 

 

$

67,026

 

 

 

 

December 31, 2025

 

 

 

 

 

 

Ending ACL

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Attributable

 

 

 

 

 

Ending ACL

 

 

 

 

 

 

 

 

 

Total

 

 

To

 

 

Total

 

 

Attributable

 

 

 

 

 

 

 

 

 

Individually

 

 

Individually

 

 

Loans

 

 

To Loans

 

 

 

 

 

Total

 

 

 

Evaluated

 

 

Evaluated

 

 

Collectively

 

 

Collectively

 

 

Total

 

 

Ending

 

(In thousands)

 

Loans

 

 

Loans

 

 

Evaluated

 

 

Evaluated

 

 

Loans

 

 

ACL

 

Primary residential mortgage

 

$

2,573

 

 

$

—

 

 

$

630,317

 

 

$

5,328

 

 

$

632,890

 

 

$

5,328

 

Junior lien loan on residence

 

 

106

 

 

 

—

 

 

 

61,314

 

 

 

208

 

 

 

61,420

 

 

 

208

 

Multifamily property

 

 

31,343

 

 

 

3,574

 

 

 

1,831,249

 

 

 

8,884

 

 

 

1,862,592

 

 

 

12,458

 

Owner-occupied commercial real estate

 

 

—

 

 

 

—

 

 

 

289,801

 

 

 

3,630

 

 

 

289,801

 

 

 

3,630

 

Investment commercial real estate

 

 

11,557

 

 

 

994

 

 

 

1,089,525

 

 

 

12,993

 

 

 

1,101,082

 

 

 

13,987

 

Commercial and industrial

 

 

22,641

 

 

 

7,466

 

 

 

1,800,916

 

 

 

21,919

 

 

 

1,823,557

 

 

 

29,385

 

Lease financing

 

 

23

 

 

 

—

 

 

 

266,015

 

 

 

2,554

 

 

 

266,038

 

 

 

2,554

 

Construction

 

 

—

 

 

 

—

 

 

 

24,959

 

 

 

297

 

 

 

24,959

 

 

 

297

 

Consumer and other loans

 

 

—

 

 

 

—

 

 

 

189,633

 

 

 

3,192

 

 

 

189,633

 

 

 

3,192

 

Total ACL

 

$

68,243

 

 

$

12,034

 

 

$

6,183,729

 

 

$

59,005

 

 

$

6,251,972

 

 

$

71,039

 
Schedule of loans individually evaluated by segment

The following tables present collateral dependent loans individually evaluated by segment as of March 31, 2026 and December 31, 2025:

 

 

 

March 31, 2026

 

 

 

 

 

 

 

 

 

 

 

 

Average

 

 

 

Unpaid

 

 

 

 

 

 

 

 

Individually

 

 

 

Principal

 

 

Recorded

 

 

Related

 

 

Evaluated

 

(In thousands)

 

Balance

 

 

Investment

 

 

Allowance

 

 

Loans

 

With no related allowance recorded:

 

 

 

 

 

 

 

 

 

 

 

 

Primary residential mortgage (A)

 

$

3,012

 

 

$

2,799

 

 

$

—

 

 

$

2,820

 

Junior lien loan on residence (A)

 

 

116

 

 

 

104

 

 

 

—

 

 

 

104

 

Multifamily property (B)

 

 

15,264

 

 

 

14,550

 

 

 

—

 

 

 

17,359

 

Investment commercial real estate (C)

 

 

12,500

 

 

 

9,597

 

 

 

—

 

 

 

9,606

 

Commercial and industrial (A)(C)(D)

 

 

16,705

 

 

 

8,800

 

 

 

—

 

 

 

15,105

 

Lease financing (E)

 

 

127

 

 

 

23

 

 

 

—

 

 

 

23

 

Total loans with no related allowance

 

$

47,724

 

 

$

35,873

 

 

$

—

 

 

$

45,017

 

With related allowance recorded:

 

 

 

 

 

 

 

 

 

 

 

 

Primary residential mortgage (A)

 

$

347

 

 

$

346

 

 

$

3

 

 

$

231

 

Multifamily property (B)

 

 

16,850

 

 

 

16,596

 

 

 

3,691

 

 

 

16,646

 

Investment commercial real estate (C)

 

 

1,929

 

 

 

1,929

 

 

 

994

 

 

 

1,929

 

Commercial and industrial (A)(C)(D)

 

 

4,577

 

 

 

4,577

 

 

 

2,037

 

 

 

4,574

 

Total loans with related allowance

 

$

23,703

 

 

$

23,448

 

 

$

6,725

 

 

$

23,380

 

Total loans individually evaluated

 

$

71,427

 

 

$

59,321

 

 

$

6,725

 

 

$

68,397

 

 

(A) Secured by residential real estate.

(B) Secured by multifamily residential properties.

(C) Secured by commercial real estate.

(D) Secured by all business assets.

(E) Secured by machinery and equipment.

 

 

 

December 31, 2025

 

 

 

 

 

 

 

 

 

 

 

 

Average

 

 

 

Unpaid

 

 

 

 

 

 

 

 

Individually

 

 

 

Principal

 

 

Recorded

 

 

Related

 

 

Evaluated

 

(In thousands)

 

Balance

 

 

Investment

 

 

Allowance

 

 

Loans

 

With no related allowance recorded:

 

 

 

 

 

 

 

 

 

 

 

 

Primary residential mortgage (A)

 

$

2,761

 

 

$

2,573

 

 

$

—

 

 

$

2,979

 

Junior lien loan on residence (A)

 

 

117

 

 

 

106

 

 

 

—

 

 

 

109

 

Multifamily property (B)

 

 

15,264

 

 

 

14,671

 

 

 

—

 

 

 

33,732

 

Investment commercial real estate (C)

 

 

12,500

 

 

 

9,628

 

 

 

—

 

 

 

9,682

 

Commercial and industrial (A)(C)(D)

 

 

9,057

 

 

 

8,600

 

 

 

—

 

 

 

21,608

 

Lease financing (E)

 

 

126

 

 

 

23

 

 

 

—

 

 

 

821

 

Total loans with no related allowance

 

$

39,825

 

 

$

35,601

 

 

$

—

 

 

$

68,931

 

With related allowance recorded:

 

 

 

 

 

 

 

 

 

 

 

 

Multifamily property (B)

 

$

16,862

 

 

$

16,672

 

 

$

3,574

 

 

$

14,748

 

Investment commercial real estate (C)

 

 

1,929

 

 

 

1,929

 

 

 

994

 

 

 

1,929

 

Commercial and industrial (A)(C)(D)

 

 

14,041

 

 

 

14,041

 

 

 

7,466

 

 

 

7,630

 

Total loans with related allowance

 

$

32,832

 

 

$

32,642

 

 

$

12,034

 

 

$

24,307

 

Total loans individually evaluated for impairment

 

$

72,657

 

 

$

68,243

 

 

$

12,034

 

 

$

93,238

 

 

(A) Secured by residential real estate.

(B) Secured by multifamily residential properties.

(C) Secured by commercial real estate.

(D) Secured by all business assets.

(E) Secured by machinery and equipment.
Schedule of Activity in Allowance for Loan and Losses

The activity in the allowance for credit losses for the three months ended March 31, 2026 and March 31, 2025 is summarized below:

 

 

 

January 1,

 

 

 

 

 

 

 

 

 

 

 

March 31,

 

 

 

2026

 

 

 

 

 

 

 

 

 

 

 

2026

 

 

 

Beginning

 

 

 

 

 

 

 

 

Provision

 

 

Ending

 

(In thousands)

 

ACL

 

 

Charge-offs

 

 

Recoveries

 

 

(Credit) (A)

 

 

ACL

 

Primary residential mortgage

 

$

5,328

 

 

$

—

 

 

$

—

 

 

$

68

 

 

$

5,396

 

Junior lien loan on residence

 

 

208

 

 

 

—

 

 

 

—

 

 

 

(13

)

 

 

195

 

Multifamily property

 

 

12,458

 

 

 

(3,538

)

 

 

—

 

 

 

3,209

 

 

 

12,129

 

Owner-occupied commercial real estate

 

 

3,630

 

 

 

—

 

 

 

—

 

 

 

(86

)

 

 

3,544

 

Investment commercial real estate

 

 

13,987

 

 

 

—

 

 

 

—

 

 

 

1,220

 

 

 

15,207

 

Commercial and industrial

 

 

29,385

 

 

 

(7,810

)

 

 

25

 

 

 

2,712

 

 

 

24,312

 

Lease financing

 

 

2,554

 

 

 

—

 

 

 

—

 

 

 

(10

)

 

 

2,544

 

Construction

 

 

297

 

 

 

—

 

 

 

—

 

 

 

(88

)

 

 

209

 

Consumer and other loans

 

 

3,192

 

 

 

(12

)

 

 

—

 

 

 

310

 

 

 

3,490

 

Total ACL

 

$

71,039

 

 

$

(11,360

)

 

$

25

 

 

$

7,322

 

 

$

67,026

 

 

(A) Provision to roll forward the ACL excludes provision of $5,000 for off-balance sheet commitments.

 

 

 

January 1,

 

 

 

 

 

 

 

 

 

 

 

March 31,

 

 

 

2025

 

 

 

 

 

 

 

 

 

 

 

2025

 

 

 

Beginning

 

 

 

 

 

 

 

 

Provision

 

 

Ending

 

(In thousands)

 

ACL

 

 

Charge-offs

 

 

Recoveries

 

 

(Credit) (A)

 

 

ACL

 

Primary residential mortgage

 

$

4,398

 

 

$

—

 

 

$

—

 

 

$

71

 

 

$

4,469

 

Junior lien loan on residence

 

 

180

 

 

 

—

 

 

 

—

 

 

 

15

 

 

 

195

 

Multifamily property

 

 

17,653

 

 

 

—

 

 

 

—

 

 

 

77

 

 

 

17,730

 

Owner-occupied commercial real estate

 

 

3,208

 

 

 

—

 

 

 

—

 

 

 

256

 

 

 

3,464

 

Investment commercial real estate

 

 

11,685

 

 

 

—

 

 

 

—

 

 

 

79

 

 

 

11,764

 

Commercial and industrial

 

 

33,075

 

 

 

(2,349

)

 

 

24

 

 

 

2,230

 

 

 

32,980

 

Lease financing

 

 

1,488

 

 

 

—

 

 

 

—

 

 

 

328

 

 

 

1,816

 

Construction

 

 

121

 

 

 

—

 

 

 

—

 

 

 

37

 

 

 

158

 

Consumer and other loans

 

 

1,184

 

 

 

(11

)

 

 

—

 

 

 

1,401

 

 

 

2,574

 

Total ACL

 

$

72,992

 

 

$

(2,360

)

 

$

24

 

 

$

4,494

 

 

$

75,150

 

 

(A) Provision to roll forward the ACL excludes a credit of $23,000 for off-balance sheet commitments.
Schedule of Activity in ACL for Off Balance Sheet Commitments

The following tables present the activity in the ACL for off-balance sheet commitments for the three months ended March 31, 2026 and 2025:

 

 

 

January 1,

 

 

 

 

 

 

 

 

 

2026

 

 

 

 

 

March 31,

 

 

 

Beginning

 

 

Provision

 

 

2026

 

(In thousands)

 

ACL

 

 

(Credit)

 

 

Ending ACL

 

Off balance sheet commitments

 

$

608

 

 

$

5

 

 

$

613

 

Total ACL

 

$

608

 

 

$

5

 

 

$

613

 

 

 

 

January 1,

 

 

 

 

 

 

 

 

 

2025

 

 

 

 

 

March 31,

 

 

 

Beginning

 

 

Provision

 

 

2025

 

(In thousands)

 

ACL

 

 

(Credit)

 

 

Ending ACL

 

Off balance sheet commitments

 

$

691

 

 

$

(23

)

 

$

668

 

Total ACL

 

$

691

 

 

$

(23

)

 

$

668

 
v3.26.1
DEPOSITS (Tables)
 3 Months Ended
Mar. 31, 2026
Deposits [Abstract]  
Schedule of Details of Total Deposits

The following table sets forth the details of total deposits as of March 31, 2026 and December 31, 2025:

 

 

 

March 31,

 

 

December 31,

 

 

 

2026

 

 

2025

 

(Dollars in thousands)

 

 

 

 

 

 

 

 

 

 

 

 

Noninterest-bearing demand deposits

 

$

1,544,515

 

 

 

22.6

%

 

$

1,428,745

 

 

 

21.7

%

Interest-bearing checking (A)

 

 

3,533,203

 

 

 

51.8

 

 

 

3,448,497

 

 

 

52.3

 

Savings

 

 

114,955

 

 

 

1.7

 

 

 

105,123

 

 

 

1.6

 

Money market (B)

 

 

1,222,405

 

 

 

17.9

 

 

 

1,197,995

 

 

 

18.2

 

Certificates of deposit - retail

 

 

411,688

 

 

 

6.0

 

 

 

408,219

 

 

 

6.2

 

Certificates of deposit - listing service

 

 

—

 

 

 

—

 

 

 

400

 

 

 

0.0

 

Total deposits

 

 

6,826,766

 

 

 

100.0

%

 

 

6,588,979

 

 

 

100.0

%

(A)
Interest-bearing checking included $2.18 billion at March 31, 2026 and $1.98 billion at December 31, 2025 of reciprocal balances in the Reich & Tang or Promontory Demand Deposit Marketplace program.
(B)
Money market included $81.8 million at March 31, 2026 and $165.6 million at December 31, 2025 of reciprocal balances in the Promontory Demand Deposit Marketplace program.
Scheduled Maturities of Time Deposits

The scheduled maturities of certificates of deposit, including brokered certificates of deposit, as of March 31, 2026, are as follows:

 

(In thousands)

 

 

 

2026

 

$

370,352

 

2027

 

 

39,558

 

2028

 

 

627

 

2029

 

 

695

 

2030

 

 

352

 

2031 and later

 

 

104

 

Total

 

$

411,688

 
v3.26.1
BUSINESS SEGMENTS (Tables)
 3 Months Ended
Mar. 31, 2026
Segment Reporting [Abstract]  
Schedule of Income and Total Assets for Reportable Segments

The following tables present the statements of income and total assets for the Company’s reportable segments for the three months ended March 31, 2026 and 2025.

 

 

 

 

Three Months Ended March 31, 2026

 

 

 

 

 

 

Wealth

 

 

 

 

(In thousands)

 

Banking

 

 

Management

 

 

Total

 

Net interest income

 

$

59,337

 

 

$

559

 

 

$

59,896

 

Noninterest income

 

 

6,032

 

 

 

16,565

 

 

 

22,597

 

Total income

 

 

65,369

 

 

 

17,124

 

 

 

82,493

 

 

 

 

 

 

 

 

 

 

 

Provision for credit losses

 

 

7,327

 

 

 

—

 

 

 

7,327

 

Compensation and employee benefits

 

 

32,739

 

 

 

6,626

 

 

 

39,365

 

Premises and equipment expense

 

 

5,015

 

 

 

673

 

 

 

5,688

 

Depreciation expense

 

 

1,058

 

 

 

112

 

 

 

1,170

 

FDIC insurance expense

 

 

1,388

 

 

 

—

 

 

 

1,388

 

Professional and legal fees

 

 

1,537

 

 

 

17

 

 

 

1,554

 

Trust department expense

 

 

—

 

 

 

1,180

 

 

 

1,180

 

Other operating expense

 

 

4,225

 

 

 

870

 

 

 

5,095

 

Total operating expense

 

 

53,289

 

 

 

9,478

 

 

 

62,767

 

Income before income tax expense

 

 

12,080

 

 

 

7,646

 

 

 

19,726

 

Income tax expense

 

 

3,485

 

 

 

2,088

 

 

 

5,573

 

Net income

 

$

8,595

 

 

$

5,558

 

 

$

14,153

 

 

 

 

 

 

 

 

 

 

 

Total assets at period end

 

$

7,473,043

 

 

$

225,922

 

 

$

7,698,965

 

 

 

 

Three Months Ended March 31, 2025

 

 

 

 

 

 

Wealth

 

 

 

 

(In thousands)

 

Banking

 

 

Management

 

 

Total

 

Net interest income

 

$

44,911

 

 

$

594

 

 

$

45,505

 

Noninterest income

 

 

3,270

 

 

 

15,584

 

 

 

18,854

 

Total income

 

 

48,181

 

 

 

16,178

 

 

 

64,359

 

 

 

 

 

 

 

 

 

 

 

Provision for credit losses

 

 

4,471

 

 

 

—

 

 

 

4,471

 

Compensation and employee benefits

 

 

29,175

 

 

 

6,704

 

 

 

35,879

 

Premises and equipment expense

 

 

4,605

 

 

 

663

 

 

 

5,268

 

Depreciation expense

 

 

765

 

 

 

121

 

 

 

886

 

FDIC insurance expense

 

 

855

 

 

 

—

 

 

 

855

 

Professional and legal fees

 

 

1,190

 

 

 

—

 

 

 

1,190

 

Trust department expense

 

 

—

 

 

 

1,043

 

 

 

1,043

 

Other operating expense

 

 

3,212

 

 

 

1,107

 

 

 

4,319

 

Total operating expense

 

 

44,273

 

 

 

9,638

 

 

 

53,911

 

Income before income tax expense

 

 

3,908

 

 

 

6,540

 

 

 

10,448

 

Income tax expense

 

 

1,067

 

 

 

1,786

 

 

 

2,853

 

Net income

 

$

2,841

 

 

$

4,754

 

 

$

7,595

 

 

 

 

 

 

 

 

 

 

 

Total assets at period end

 

$

6,980,396

 

 

$

140,256

 

 

$

7,120,652

 
v3.26.1
FAIR VALUE (Tables)
 3 Months Ended
Mar. 31, 2026
Fair Value Disclosures [Abstract]  
Schedule of Assets Measured at Fair Value on Recurring Basis

The following tables summarize, at the dates indicated, assets measured at fair value on a recurring basis, including financial assets for which the Company has elected the fair value option:

Assets Measured on a Recurring Basis

 

 

 

 

 

Fair Value Measurements Using

 

 

 

 

 

 

Quoted

 

 

 

 

 

 

 

 

 

 

 

 

Prices in

 

 

 

 

 

 

 

 

 

 

 

 

Active

 

 

Significant

 

 

 

 

 

 

 

 

 

Markets For

 

 

Other

 

 

Significant

 

 

 

 

 

 

Identical

 

 

Observable

 

 

Unobservable

 

 

 

March 31,

 

 

Assets

 

 

Inputs

 

 

Inputs

 

(In thousands)

 

2026

 

 

(Level 1)

 

 

(Level 2)

 

 

(Level 3)

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

Available for sale:

 

 

 

 

 

 

 

 

 

 

 

 

U.S. government-sponsored agencies

 

$

186,581

 

 

$

—

 

 

$

186,581

 

 

$

—

 

Mortgage-backed securities-residential

 

 

491,768

 

 

 

—

 

 

 

491,768

 

 

 

—

 

SBA pool securities

 

 

16,420

 

 

 

—

 

 

 

16,420

 

 

 

—

 

Corporate bond

 

 

15,277

 

 

 

—

 

 

 

15,277

 

 

 

—

 

CRA investment fund

 

 

13,375

 

 

 

13,375

 

 

 

—

 

 

 

—

 

Derivatives:

 

 

 

 

 

 

 

 

 

 

 

 

Cash flow hedges

 

 

3,063

 

 

 

—

 

 

 

3,063

 

 

 

—

 

Loan level swaps

 

 

8,421

 

 

 

—

 

 

 

8,421

 

 

 

—

 

Total

 

$

734,905

 

 

$

13,375

 

 

$

721,530

 

 

$

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

Derivatives:

 

 

 

 

 

 

 

 

 

 

 

 

Loan level swaps

 

 

8,421

 

 

 

—

 

 

 

8,421

 

 

 

—

 

Total

 

$

8,421

 

 

$

—

 

 

$

8,421

 

 

$

—

 

 

 

Assets Measured on a Recurring Basis

 

 

 

 

 

Fair Value Measurements Using

 

 

 

 

 

 

Quoted

 

 

 

 

 

 

 

 

 

 

 

 

Prices in

 

 

 

 

 

 

 

 

 

 

 

 

Active

 

 

Significant

 

 

 

 

 

 

 

 

 

Markets For

 

 

Other

 

 

Significant

 

 

 

 

 

 

Identical

 

 

Observable

 

 

Unobservable

 

 

 

December 31,

 

 

Assets

 

 

Inputs

 

 

Inputs

 

(In thousands)

 

2025

 

 

(Level 1)

 

 

(Level 2)

 

 

(Level 3)

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

Securities available for sale:

 

 

 

 

 

 

 

 

 

 

 

 

U.S. government-sponsored agencies

 

$

211,223

 

 

$

—

 

 

$

211,223

 

 

$

—

 

Mortgage-backed securities-residential

 

 

530,365

 

 

 

—

 

 

 

530,365

 

 

 

—

 

SBA pool securities

 

 

17,212

 

 

 

—

 

 

 

17,212

 

 

 

—

 

Corporate bond

 

 

15,403

 

 

 

—

 

 

 

15,403

 

 

 

—

 

CRA investment fund

 

 

13,459

 

 

 

13,459

 

 

 

—

 

 

 

—

 

Derivatives:

 

 

 

 

 

 

 

 

 

 

 

 

Cash flow hedges

 

 

2,441

 

 

 

—

 

 

 

2,441

 

 

 

—

 

Loan level swaps

 

 

8,376

 

 

 

—

 

 

 

8,376

 

 

 

—

 

Total

 

$

798,479

 

 

$

13,459

 

 

$

785,020

 

 

$

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

Derivatives:

 

 

 

 

 

 

 

 

 

 

 

 

Cash flow hedges

 

12

 

 

$

—

 

 

12

 

 

$

—

 

Loan level swaps

 

$

8,376

 

 

$

—

 

 

$

8,376

 

 

$

—

 

Total

 

$

8,388

 

 

$

—

 

 

$

8,388

 

 

$

—

 

 
Schedule of Residential Loans Held for Sale

The following table presents residential loans held for sale, at fair value, at the dates indicated:

 

(In thousands)

 

March 31, 2026

 

 

December 31, 2025

 

Residential loans contractual balance

 

$

—

 

 

$

445

 

Fair value adjustment

 

 

—

 

 

 

5

 

Total fair value of residential loans held for sale

 

$

—

 

 

$

450

 
Schedule of Assets Measured at Fair Value on Non-Recurring Basis

The following tables summarize, at the dates indicated, assets measured at fair value on a non-recurring basis:

 

 

 

 

 

Fair Value Measurements Using

 

 

 

 

 

 

Quoted

 

 

 

 

 

 

 

 

 

 

 

 

Prices in

 

 

 

 

 

 

 

 

 

 

 

 

Active

 

 

Significant

 

 

 

 

 

 

 

 

 

Markets For

 

 

Other

 

 

Significant

 

 

 

 

 

 

Identical

 

 

Observable

 

 

Unobservable

 

 

 

March 31,

 

 

Assets

 

 

Inputs

 

 

Inputs

 

(In thousands)

 

2026

 

 

(Level 1)

 

 

(Level 2)

 

 

(Level 3)

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

Individually evaluated loans:

 

 

 

 

 

 

 

 

 

 

 

 

Primary residential mortgage

 

$

343

 

 

$

—

 

 

$

—

 

 

$

343

 

Multifamily

 

 

12,905

 

 

 

—

 

 

 

—

 

 

 

12,905

 

Investment commercial real estate

 

 

935

 

 

 

—

 

 

 

—

 

 

 

935

 

Commercial and industrial

 

 

2,540

 

 

 

—

 

 

 

—

 

 

 

2,540

 

 

 

 

 

 

 

Fair Value Measurements Using

 

 

 

 

 

 

Quoted

 

 

 

 

 

 

 

 

 

 

 

 

Prices in

 

 

 

 

 

 

 

 

 

 

 

 

Active

 

 

Significant

 

 

 

 

 

 

 

 

 

Markets For

 

 

Other

 

 

Significant

 

 

 

 

 

 

Identical

 

 

Observable

 

 

Unobservable

 

 

 

December 31,

 

 

Assets

 

 

Inputs

 

 

Inputs

 

(In thousands)

 

2025

 

 

(Level 1)

 

 

(Level 2)

 

 

(Level 3)

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

Individually evaluated loans:

 

 

 

 

 

 

 

 

 

 

 

 

Multifamily property

 

$

13,098

 

 

$

—

 

 

$

—

 

 

$

13,098

 

Investment commercial real estate

 

 

935

 

 

 

—

 

 

 

—

 

 

 

935

 

Commercial and industrial

 

 

6,575

 

 

 

—

 

 

 

—

 

 

 

6,575

 

 
Schedule of Carrying Amounts and Estimated Fair Values of Financial Instruments

The carrying amounts and estimated fair values of financial instruments at March 31, 2026 are as follows:

 

 

 

 

 

 

Fair Value Measurements at March 31, 2026 using

 

 

 

Carrying

 

 

 

 

 

 

 

 

 

 

 

 

 

(In thousands)

 

Amount

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

Financial assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

253,414

 

 

$

253,414

 

 

$

—

 

 

$

—

 

 

$

253,414

 

Securities available for sale

 

 

710,046

 

 

 

—

 

 

 

710,046

 

 

 

—

 

 

 

710,046

 

Securities held to maturity

 

 

79,478

 

 

 

—

 

 

 

70,837

 

 

 

—

 

 

 

70,837

 

CRA investment fund

 

 

13,375

 

 

 

13,375

 

 

 

—

 

 

 

—

 

 

 

13,375

 

FHLB and FRB stock

 

 

14,170

 

 

 

—

 

 

 

—

 

 

 

—

 

 

N/A

 

Loans held for sale, at lower of cost or fair value

 

 

8,311

 

 

 

—

 

 

 

9,204

 

 

 

—

 

 

 

9,204

 

Loans, net of allowance for credit losses

 

 

6,367,343

 

 

 

—

 

 

 

—

 

 

 

6,351,247

 

 

 

6,351,247

 

Accrued interest receivable

 

 

33,115

 

 

 

—

 

 

 

3,043

 

 

 

30,072

 

 

 

33,115

 

Accrued interest receivable loan level swaps (A)

 

 

415

 

 

 

—

 

 

 

415

 

 

 

—

 

 

 

415

 

Cash flow hedges

 

 

3,063

 

 

 

—

 

 

 

3,063

 

 

 

—

 

 

 

3,063

 

Loan level swaps

 

 

8,006

 

 

 

—

 

 

 

8,006

 

 

 

—

 

 

 

8,006

 

Financial liabilities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Deposits

 

$

6,826,766

 

 

$

6,415,078

 

 

$

409,848

 

 

$

—

 

 

$

6,824,926

 

Short-term borrowings

 

$

63,830

 

 

 

—

 

 

$

63,830

 

 

 

—

 

 

 

63,830

 

Accrued interest payable

 

 

5,500

 

 

 

4,766

 

 

 

734

 

 

 

—

 

 

 

5,500

 

Accrued interest payable loan level swaps (B)

 

 

415

 

 

 

—

 

 

 

415

 

 

 

—

 

 

 

415

 

Loan level swap

 

 

8,006

 

 

 

—

 

 

 

8,006

 

 

 

—

 

 

 

8,006

 
(A)
Included in other assets in the Consolidated Statement of Condition.
(B)
Included in accrued expenses and other liabilities in the Consolidated Statement of Condition.

 

The carrying amounts and estimated fair values of financial instruments at December 31, 2025 are as follows:

 

 

 

 

 

 

Fair Value Measurements at December 31, 2025

 

 

 

Carrying

 

 

 

 

 

 

 

 

 

 

 

 

 

(In thousands)

 

Amount

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

Financial assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

187,820

 

 

$

187,820

 

 

$

—

 

 

$

—

 

 

$

187,820

 

Securities available for sale

 

 

774,203

 

 

 

—

 

 

 

774,203

 

 

 

—

 

 

 

774,203

 

Securities held to maturity

 

 

95,862

 

 

 

—

 

 

 

87,491

 

 

 

—

 

 

 

87,491

 

CRA investment fund

 

 

13,459

 

 

 

13,459

 

 

 

—

 

 

 

—

 

 

 

13,459

 

FHLB and FRB stock

 

 

14,605

 

 

 

—

 

 

 

—

 

 

 

—

 

 

N/A

 

Loans held for sale, at fair value

 

 

450

 

 

 

—

 

 

 

450

 

 

 

—

 

 

 

450

 

Loans held for sale, at lower of cost or fair value

 

 

4,437

 

 

 

—

 

 

 

4,819

 

 

 

—

 

 

 

4,819

 

Loans, net of allowance for credit losses

 

 

6,182,697

 

 

 

—

 

 

 

—

 

 

 

6,172,779

 

 

 

6,172,779

 

Accrued interest receivable

 

 

31,971

 

 

 

—

 

 

 

3,441

 

 

 

28,530

 

 

 

31,971

 

Accrued interest receivable loan level swaps (A)

 

 

541

 

 

 

—

 

 

 

541

 

 

 

—

 

 

 

541

 

Cash flow hedges

 

 

2,441

 

 

 

—

 

 

 

2,441

 

 

 

—

 

 

 

2,441

 

Loan level swaps

 

 

7,835

 

 

 

—

 

 

 

7,835

 

 

 

—

 

 

 

7,835

 

Financial liabilities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Deposits

 

$

6,588,979

 

 

$

6,180,360

 

 

$

406,932

 

 

$

—

 

 

$

6,587,292

 

Short-term borrowings

 

 

73,267

 

 

 

—

 

 

 

73,267

 

 

 

—

 

 

 

73,267

 

Subordinated debt

 

 

99,030

 

 

 

—

 

 

 

—

 

 

 

97,388

 

 

 

97,388

 

Accrued interest payable

 

 

5,788

 

 

 

5,025

 

 

 

744

 

 

 

19

 

 

 

5,788

 

Accrued interest payable loan level swaps (B)

 

 

541

 

 

 

—

 

 

 

541

 

 

 

—

 

 

 

541

 

Cash flow hedges

 

 

12

 

 

 

—

 

 

 

12

 

 

 

—

 

 

 

12

 

Loan level swaps

 

 

7,835

 

 

 

—

 

 

 

7,835

 

 

 

—

 

 

 

7,835

 
(A)
Included in other assets in the Consolidated Statement of Condition.
(B)
Included in accrued expenses and other liabilities in the Consolidated Statement of Condition.
v3.26.1
REVENUE FROM CONTRACTS WITH CUSTOMERS (Tables)
 3 Months Ended
Mar. 31, 2026
Revenue from Contract with Customer [Abstract]  
Schedule of Noninterest Income

The following tables present the sources of noninterest income for the periods indicated:

 

 

 

For the Three Months Ended March 31,

 

(In thousands)

 

2026

 

 

2025

 

Service charges on deposits

 

 

 

 

 

 

Overdraft fees

 

$

97

 

 

$

106

 

Interchange income

 

 

258

 

 

 

235

 

Other

 

 

1,004

 

 

 

771

 

Wealth management fees (A)

 

 

16,503

 

 

 

15,435

 

Corporate advisory fee income

 

 

69

 

 

 

90

 

Other (B)

 

 

4,666

 

 

 

2,217

 

Total noninterest other income

$

22,597

 

 

$

18,854

 

 

(A)
Includes investment brokerage fees.
(B)
All of the other category is outside the scope of ASC 606.
Schedule of Noninterest Income by Operating Segment

The following tables present the sources of noninterest income by operating segment for the periods indicated:

 

 

 

For the Three Months Ended
 March 31,

 

 

For the Three Months Ended
 March 31,

 

 

 

2026

 

 

2025

 

(In thousands)

 

 

 

 

Wealth

 

 

 

 

 

 

 

 

Wealth

 

 

 

 

Revenue by Operating Segment

 

Banking

 

 

Management

 

 

Total

 

 

Banking

 

 

Management

 

 

Total

 

Service charges on deposits

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Overdraft fees

 

$

97

 

 

$

—

 

 

$

97

 

 

$

106

 

 

$

—

 

 

$

106

 

Interchange income

 

 

258

 

 

 

—

 

 

 

258

 

 

 

235

 

 

 

—

 

 

 

235

 

Other

 

 

1,004

 

 

 

—

 

 

 

1,004

 

 

 

771

 

 

 

—

 

 

 

771

 

Wealth management fees (A)

 

 

—

 

 

 

16,503

 

 

 

16,503

 

 

 

—

 

 

 

15,435

 

 

 

15,435

 

Corporate advisory fee income

 

 

69

 

 

 

—

 

 

 

69

 

 

 

90

 

 

 

—

 

 

 

90

 

Other (B)

 

 

4,604

 

 

 

62

 

 

 

4,666

 

 

 

2,068

 

 

 

149

 

 

 

2,217

 

Total noninterest income

 

$

6,032

 

 

$

16,565

 

 

$

22,597

 

 

$

3,270

 

 

$

15,584

 

 

$

18,854

 

 

(A)
Includes investment brokerage fees.
(B)
All of the other category is outside the scope of ASC 606.
v3.26.1
OTHER OPERATING EXPENSES (Tables)
 3 Months Ended
Mar. 31, 2026
Other Income and Expenses [Abstract]  
Schedule of Components of Other Operating Expenses

The following table presents the major components of other operating expenses for the periods indicated:

 

 

 

Three Months Ended

 

 

 

March 31,

 

(In thousands)

 

2026

 

 

2025

 

Professional and legal fees

 

$

1,554

 

 

$

1,190

 

Trust department expense

 

 

1,180

 

 

 

1,043

 

Telephone

 

 

379

 

 

 

430

 

Loan expense

 

 

556

 

 

 

433

 

Amortization of intangible assets

 

 

244

 

 

 

272

 

Advertising

 

 

267

 

 

 

154

 

Other operating expenses

 

 

3,649

 

 

 

3,030

 

Total other operating expenses

 

$

7,829

 

 

$

6,552

 
v3.26.1
ACCUMULATED OTHER COMPREHENSIVE INCOME/(LOSS) (Tables)
 3 Months Ended
Mar. 31, 2026
Stockholders' Equity Note [Abstract]  
Schedule of Accumulated Other Comprehensive Income/(Loss) Balances, Net of Tax

The following is a summary of the accumulated other comprehensive income/(loss) balances, net of tax, for the three months ended March 31, 2026 and 2025:

 

 

 

 

 

 

 

 

 

Amount

 

 

Other

 

 

 

 

 

 

 

 

 

 

 

 

Reclassified

 

 

Comprehensive

 

 

 

 

 

 

 

 

 

Other

 

 

From

 

 

Income/(Loss)

 

 

 

 

 

 

 

 

 

Comprehensive

 

 

Accumulated

 

 

Three Months

 

 

 

 

 

 

Balance at

 

 

Income/(Loss)

 

 

Other

 

 

Ended

 

 

Balance at

 

 

 

January 1,

 

 

Before

 

 

Comprehensive

 

 

March 31,

 

 

March 31,

 

(In thousands)

 

2026

 

 

Reclassifications

 

 

Income/(Loss)

 

 

2026

 

 

2026

 

Net unrealized holding gain/(loss) on
   securities available for sale, net of tax

 

$

(49,319

)

 

$

(2,586

)

 

$

59

 

 

$

(2,527

)

 

$

(51,846

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Gain/(loss) on cash flow hedges

 

 

1,758

 

 

 

459

 

 

 

—

 

 

 

459

 

 

 

2,217

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Accumulated other comprehensive gain/(loss),
   net of tax

 

$

(47,561

)

 

$

(2,127

)

 

$

59

 

 

$

(2,068

)

 

$

(49,629

)

 

 

 

 

 

 

 

 

 

 

Other

 

 

 

 

 

 

 

 

 

 

 

 

Comprehensive

 

 

 

 

 

 

 

 

 

Other

 

 

Income/(Loss)

 

 

 

 

 

 

 

 

 

Comprehensive

 

 

Three Months

 

 

 

 

 

 

Balance at

 

 

Income/(Loss)

 

 

Ended

 

 

Balance at

 

 

 

January 1,

 

 

Before

 

 

March 31,

 

 

March 31,

 

(In thousands)

 

2025

 

 

Reclassifications

 

 

2025

 

 

2025

 

Net unrealized holding gain/(loss) on
   securities available for sale, net of tax

 

$

(72,148

)

 

$

10,623

 

 

$

10,623

 

 

$

(61,525

)

 

 

 

 

 

 

 

 

 

 

 

 

 

Gain/(loss) on cash flow hedges

 

 

5,737

 

 

 

(1,929

)

 

 

(1,929

)

 

 

3,808

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Accumulated other comprehensive gain/(loss),
   net of tax

 

$

(66,411

)

 

$

8,694

 

 

$

8,694

 

 

$

(57,717

)
Schedule of Reclassifications Out of Accumulated Other Comprehensive Income/(loss)

The following represents the reclassifications out of accumulated other comprehensive income/(loss) for the three months ended March 31, 2026 and 2025:

 

 

 

Three Months Ended

 

 

 

 

 

March 31,

 

 

 

(In thousands)

 

2026

 

 

2025

 

 

Affected Line Item in Income

Unrealized gains/(losses) on securities
   available for sale:

 

 

 

 

 

 

 

 

Reclassification adjustment for amounts
   included in net income

 

$

81

 

 

$

—

 

 

Securities losses, net

Tax effect

 

 

(22

)

 

 

—

 

 

Income tax expense

Total reclassifications, net of tax

 

$

59

 

 

$

—

 

 

 
v3.26.1
DERIVATIVES (Tables)
 3 Months Ended
Mar. 31, 2026
Schedule of Information about Interest Rate Swaps Designated as Cash Flow Hedges

The following table presents information about the interest rate swaps designated as cash flow hedges as of March 31, 2026 and December 31, 2025:

 

(Dollars in thousands)

 

March 31, 2026

 

 

December 31, 2025

 

Notional amount

 

$

305,000

 

 

$

305,000

 

Weighted average pay rate

 

 

2.17

%

 

 

2.17

%

Weighted average receive rate

 

 

2.87

%

 

 

3.10

%

Weighted average maturity

 

1.14 years

 

 

1.39 years

 

Unrealized gain/(loss), net

 

$

3,063

 

 

$

2,429

 

 

 

 

 

 

 

 

Number of contracts

 

 

12

 

 

 

12

 
Schedule of Cash Flow Hedges Included in Financial Statements

 

 

March 31, 2026

 

 

 

Notional

 

 

Fair

 

(In thousands)

 

Amount

 

 

Value

 

Interest rate swaps related to interest-bearing deposits

 

$

305,000

 

 

$

3,063

 

Total included in other assets

 

$

280,000

 

 

 

3,063

 

Total included in other liabilities

 

 

25,000

 

 

 

—

 

 

 

 

December 31, 2025

 

 

 

Notional

 

 

Fair

 

(In thousands)

 

Amount

 

 

Value

 

Interest rate swaps related to interest-bearing deposits

 

$

305,000

 

 

$

2,429

 

Total included in other assets

 

 

280,000

 

 

 

2,441

 

Total included in other liabilities

 

 

25,000

 

 

 

(12

)
Schedule of Net Gains/(Losses) Recorded in Accumulated Other Comprehensive Income/(Loss)

The following table presents the net gains/(losses) recorded in accumulated other comprehensive income/(loss) and the consolidated financial statements relating to the cash flow derivative instruments for the three months ended March 31, 2026 and 2025:

 

 

 

For the Three Months Ended March 31,

 

(In thousands)

 

2026

 

 

2025

 

Interest rate contracts

 

 

 

 

 

 

Gain/(loss) recognized in other comprehensive income (effective portion)

 

$

634

 

 

$

(2,553

)
Not Designated as Hedging Instrument [Member]  
Schedule of Information about Interest Rate Swaps Designated as Cash Flow Hedges

Information about these swaps is as follows:

(Dollars in thousands)

 

March 31, 2026

 

 

December 31, 2025

 

Notional amount

 

$

387,989

 

 

$

429,286

 

Fair value

 

$

(8,006

)

 

$

(7,835

)

Weighted average pay rates

 

 

4.13

%

 

 

4.12

%

Weighted average receive rates

 

 

5.28

%

 

 

5.37

%

Weighted average maturity

 

2.86 years

 

 

3.02 years

 

 

 

 

 

 

 

 

Number of contracts

 

 

48

 

 

 

53

 
v3.26.1
LEASES (Tables)
 3 Months Ended
Mar. 31, 2026
Leases [Abstract]  
Schedule of Operating Lease Liabilities by Contractual Maturity

The following is a schedule of the Company's operating lease liabilities by contractual maturity as of March 31, 2026:

 

(In thousands)

 

 

 

2026

 

 

5,029

 

2027

 

 

6,314

 

2028

 

 

5,946

 

2029

 

 

5,642

 

2030

 

 

5,718

 

Thereafter

 

 

21,298

 

Total lease payments

 

 

49,947

 

      Less: imputed interest

 

 

8,489

 

Total present value of lease payments

 

$

41,458

 

 
Summary of Supplemental Cash Flow Information Related to Direct Finance and Operating Leases

The following table shows the supplemental cash flow information related to the Company’s direct finance and operating leases for the periods indicated:

 

 

For the Three Months Ended March 31,

 

(In thousands)

 

2026

 

 

2025

 

Right-of-use asset obtained in exchange for lease obligation

 

$

—

 

 

$

365

 

Operating cash flows from operating leases

 

 

1,699

 

 

 

1,447

 

Operating cash flows from direct finance leases

 

 

12

 

 

 

14

 

Financing cash flows from direct finance leases

 

 

35

 

 

 

35

 
v3.26.1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Additional Information (Details)
 3 Months Ended
Mar. 31, 2026
USD ($)
Segment
shares
Mar. 31, 2025
USD ($)
shares
Dec. 31, 2025
USD ($)
Dec. 31, 2024
USD ($)
Summary Of Significant Accounting Policies [Line Items]        
Number of reportable segments | Segment 2      
Net increase to retained earnings $ 470,631,000   $ 457,357,000  
Reduction to allowance for credit losses $ (67,026,000) $ (75,150,000) (71,039,000) $ (72,992,000)
Federal funds sales periods 1 day      
Interest-earning deposits maturities period 1 year      
Servicing rights $ 0      
Amount of loans serviced 130,400,000   132,500,000  
Loans held for sale $ 9,200,000   4,800,000  
Threshold period for loan 30 days      
Threshold for determining nonaccrual status 90 days      
Stock options granted | shares 0      
Unrecognized compensation cost $ 0      
Issuance of shares for Employee Stock Purchase Plan, shares | shares 11,013 7,115    
Antidilutive securities | shares 76,496 20,885    
Phantom Plan        
Summary Of Significant Accounting Policies [Line Items]        
Stock options granted | shares 98,316      
2024 ESPP        
Summary Of Significant Accounting Policies [Line Items]        
Number of share purchase rights authorized | shares 150,000      
Restricted stock [Member]        
Summary Of Significant Accounting Policies [Line Items]        
Shares granted | shares 93,714      
Compensation cost $ 555,000 $ 1,600,000    
Restricted stock [Member] | Tranche One [Member]        
Summary Of Significant Accounting Policies [Line Items]        
Stock option vesting term 3 years      
Restricted stock [Member] | Tranche Two [Member]        
Summary Of Significant Accounting Policies [Line Items]        
Stock option vesting term 5 years      
Performance Shares [Member]        
Summary Of Significant Accounting Policies [Line Items]        
Shares granted | shares 133,354      
Performance Shares [Member] | 2025 Long-Term Stock Incentive Plan [Member]        
Summary Of Significant Accounting Policies [Line Items]        
Shares granted | shares 133,354      
Market Based RSUs [Member] | 2025 Long-Term Stock Incentive Plan [Member]        
Summary Of Significant Accounting Policies [Line Items]        
Shares granted | shares 66,000      
Restricted Stock Units [Member]        
Summary Of Significant Accounting Policies [Line Items]        
Unrecognized compensation cost $ 13,100,000      
Weighted average period over which unrecognized compensation is expected to be recognized (in years) 2 years 6 months 7 days      
Restricted Stock Units [Member] | 2025 Long-Term Stock Incentive Plan [Member]        
Summary Of Significant Accounting Policies [Line Items]        
Shares granted | shares 93,714      
Employee Stock [Member]        
Summary Of Significant Accounting Policies [Line Items]        
Compensation cost $ 56,000 39,000    
Percentage of closing market price on purchase date 85.00%      
Phantom Units        
Summary Of Significant Accounting Policies [Line Items]        
Unrecognized compensation cost $ 11,900,000      
Weighted average period over which unrecognized compensation is expected to be recognized (in years) 2 years 18 days      
Compensation cost $ 2,800,000 1,700,000    
Consumer and Other [Member]        
Summary Of Significant Accounting Policies [Line Items]        
Reduction to allowance for credit losses $ (3,490,000) $ (2,574,000) $ (3,192,000) $ (1,184,000)
Consumer and Other [Member] | Closed-end Loans [Member]        
Summary Of Significant Accounting Policies [Line Items]        
Threshold for determining nonaccrual status 120 days      
Consumer and Other [Member] | Open-end Loans [Member]        
Summary Of Significant Accounting Policies [Line Items]        
Threshold for determining nonaccrual status 180 days      
Maximum [Member]        
Summary Of Significant Accounting Policies [Line Items]        
Cash equivalents original maturities period 90 days      
Short term borrowings original maturities period 90 days      
Vesting percentage 250.00%      
Finite-Lived Intangible Asset, Useful Life 15 years      
Maximum [Member] | Employee Stock Option [Member]        
Summary Of Significant Accounting Policies [Line Items]        
Option term 10 years      
Maximum [Member] | Employee Stock [Member]        
Summary Of Significant Accounting Policies [Line Items]        
Percentage of compensation contributable 15.00%      
Minimum [Member]        
Summary Of Significant Accounting Policies [Line Items]        
Vesting percentage 0.00%      
Finite-Lived Intangible Asset, Useful Life 5 years      
Minimum [Member] | Employee Stock [Member]        
Summary Of Significant Accounting Policies [Line Items]        
Percentage of compensation contributable 1.00%      
Peapack-Gladstone Mortgage Group, Inc. [Member] | Peapack Ventures, LLC [Member]        
Summary Of Significant Accounting Policies [Line Items]        
Percentage of interest owned 99.00%      
Peapack-Gladstone Mortgage Group, Inc. [Member] | Peapack-Gladstone Realty, Inc [Member]        
Summary Of Significant Accounting Policies [Line Items]        
Percentage of interest owned 79.00%      
PGB Trust & Investments of Delaware [Member] | Peapack Ventures, LLC [Member]        
Summary Of Significant Accounting Policies [Line Items]        
Percentage of interest owned 1.00%      
Peapack Ventures, LLC [Member] | Peapack-Gladstone Realty, Inc [Member]        
Summary Of Significant Accounting Policies [Line Items]        
Percentage of interest owned 21.00%      
v3.26.1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Schedule of Changes in Restricted Common Shares) (Details)
 3 Months Ended
Mar. 31, 2026
$ / shares
shares
Performance Shares [Member]  
Number of Shares  
Balance at Beginning | shares 133,936
Shares granted | shares 133,354
Vested | shares (53,729)
Forfeited | shares 0
Balance at end | shares 213,561
Weighted Average Grant Date Fair Value  
Balance at Beginning | $ / shares $ 30.37
Granted | $ / shares 41.78
Vested | $ / shares 30.96
Forfeited | $ / shares 0
Balance at end | $ / shares $ 38.57
Restricted stock [Member]  
Number of Shares  
Balance at Beginning | shares 214,089
Shares granted | shares 93,714
Vested | shares (117,934)
Forfeited | shares (2,905)
Balance at end | shares 186,964
Weighted Average Grant Date Fair Value  
Balance at Beginning | $ / shares $ 31.37
Granted | $ / shares 33.18
Vested | $ / shares 31.28
Forfeited | $ / shares 30.96
Balance at end | $ / shares $ 32.34
v3.26.1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Schedule of Calculation of Basic and Diluted Earnings per Share) (Details) - USD ($)
$ / shares in Units, $ in Thousands
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Accounting Policies [Abstract]    
Net Income (Loss) $ 14,153 $ 7,595
Net income available to common shareholders $ 14,153 $ 7,595
Basic weighted average shares outstanding 17,585,846 17,610,917
Plus: common stock equivalents 174,832 201,305
Diluted weighted average shares outstanding 17,760,678 17,812,222
Net income per share    
Basic $ 0.8 $ 0.43
Diluted $ 0.8 $ 0.43
v3.26.1
INVESTMENT SECURITIES (Schedule of Amortized Cost and Approximate Fair Value of Securities Available for Sale) (Details) - USD ($)
$ in Thousands
Mar. 31, 2026
Dec. 31, 2025
Securities Available for Sale:    
Amortized Cost $ 780,762 $ 841,472
Gross Unrealized Gains 1,233 3,801
Gross Unrealized Losses (71,949) (71,070)
Fair Value 710,046 774,203
Securities Held to Maturity:    
Amortized Cost 79,478 95,862
Gross Unrealized Gains 0 23
Gross Unrealized Losses (8,641) (8,394)
Fair Value 70,837 87,491
U.S. Government-Sponsored Agencies [Member]    
Securities Available for Sale:    
Amortized Cost 219,838 244,833
Gross Unrealized Losses (33,257) (33,610)
Fair Value 186,581 211,223
Securities Held to Maturity:    
Amortized Cost 25,000 40,000
Gross Unrealized Losses (1,104) (1,125)
Fair Value 23,896 38,875
Mortgage-Backed Securities-Residential [Member]    
Securities Available for Sale:    
Amortized Cost 526,784 561,794
Gross Unrealized Gains 1,055 3,551
Gross Unrealized Losses (36,071) (34,980)
Fair Value 491,768 530,365
Securities Held to Maturity:    
Amortized Cost 54,478 55,862
Gross Unrealized Gains 0 23
Gross Unrealized Losses (7,537) (7,269)
Fair Value 46,941 48,616
SBA Pool Securities [Member]    
Securities Available for Sale:    
Amortized Cost 18,640 19,345
Gross Unrealized Losses (2,220) (2,133)
Fair Value 16,420 17,212
Corporate Bond [Member]    
Securities Available for Sale:    
Amortized Cost 15,500 15,500
Gross Unrealized Gains 178 250
Gross Unrealized Losses (401) (347)
Fair Value $ 15,277 $ 15,403
v3.26.1
INVESTMENT SECURITIES - Summary of Gross Gains, Gross Losses and Net Tax Benefit Related to Proceeds on Sales of Securities Available for Sale (Details)
$ in Thousands
 3 Months Ended
Mar. 31, 2026
USD ($)
Investments, Debt and Equity Securities [Abstract]  
Proceeds from sales $ 97,019
Gross losses (81)
Net tax expense $ 22
v3.26.1
INVESTMENT SECURITIES (Schedule of Available for Sale Securities in Continuous Unrealized Loss Position and Approximate Fair Value of Investments) (Details) - USD ($)
$ in Thousands
Mar. 31, 2026
Dec. 31, 2025
Available for Sale Securities, Fair Value    
Less Than 12 Months $ 96,065 $ 42,035
12 Months or Longer 402,565 443,836
Total 498,630 485,871
Available for Sale Securities, Unrealized Losses    
Less Than 12 Months (995) (79)
12 Months or Longer (70,954) (70,991)
Total (71,949) (71,070)
Held to Maturity Securities, Fair Value    
Less Than 12 Months 4,334  
12 Months or Longer 66,503 82,612
Total 70,837 82,612
Held to Maturity Securities, Unrealized Losses    
Less Than 12 Months (25)  
12 Months or Longer (8,616) (8,394)
Total (8,641) (8,394)
Approximate Fair Value    
Fair Value, Less than 12 months 100,399 42,035
Fair Value, 12 months or longer 469,068 526,448
Fair Value 569,467 568,483
Unrealized Losses    
Unrealized Losses, Less than 12 months (1,020) (79)
Unrealized Losses, 12 months or longer (79,570) (79,385)
Unrealized Losses (80,590) (79,464)
U.S. Government-Sponsored Agencies [Member]    
Available for Sale Securities, Fair Value    
12 Months or Longer 186,581 211,223
Total 186,581 211,223
Available for Sale Securities, Unrealized Losses    
12 Months or Longer (33,257) (33,610)
Total (33,257) (33,610)
Held to Maturity Securities, Fair Value    
12 Months or Longer 23,896 38,875
Total 23,896 38,875
Held to Maturity Securities, Unrealized Losses    
12 Months or Longer (1,104) (1,125)
Total (1,104) (1,125)
Mortgage-Backed Securities-Residential [Member]    
Available for Sale Securities, Fair Value    
Less Than 12 Months 96,065 42,035
12 Months or Longer 189,965 205,749
Total 286,030 247,784
Available for Sale Securities, Unrealized Losses    
Less Than 12 Months (995) (79)
12 Months or Longer (35,076) (34,901)
Total (36,071) (34,980)
Held to Maturity Securities, Fair Value    
Less Than 12 Months 4,334  
12 Months or Longer 42,607 43,737
Total 46,941 43,737
Held to Maturity Securities, Unrealized Losses    
Less Than 12 Months (25)  
12 Months or Longer (7,512) (7,269)
Total (7,537) (7,269)
SBA Pool Securities [Member]    
Available for Sale Securities, Fair Value    
Less Than 12 Months 0 0
12 Months or Longer 16,420 17,212
Total 16,420 17,212
Available for Sale Securities, Unrealized Losses    
Less Than 12 Months 0 0
12 Months or Longer (2,220) (2,133)
Total (2,220) (2,133)
Corporate Bond [Member]    
Available for Sale Securities, Fair Value    
12 Months or Longer 9,599 9,652
Total 9,599 9,652
Available for Sale Securities, Unrealized Losses    
12 Months or Longer (401) (347)
Total $ (401) $ (347)
v3.26.1
INVESTMENT SECURITIES - Additional Information (Details) - USD ($)
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Dec. 31, 2025
Schedule Of Available For Sale Securities [Line Items]      
Securities available for sale $ 710,046,000   $ 774,203,000
Held to maturity security carrying value 79,478,000   95,862,000
Pledged securities encumbered 45,700,000    
Investment with fair value classified as equity security 13,375,000   $ 13,459,000
Fair value adjustment for CRA equity security (84,000) $ 195,000  
Collateral Pledged [Member]      
Schedule Of Available For Sale Securities [Line Items]      
Securities available for sale 477,600,000    
Held to maturity security carrying value 77,500,000    
CRA Investment Fund [Member]      
Schedule Of Available For Sale Securities [Line Items]      
Investment with fair value classified as equity security 13,400,000    
Fair value adjustment for CRA equity security $ 84,000 $ 195,000  
v3.26.1
LOANS AND LEASES (Schedule of Loans Outstanding, by Type of Loan) (Details) - USD ($)
$ in Thousands
 3 Months Ended 12 Months Ended
Mar. 31, 2026
Dec. 31, 2025
Accounts, Notes, Loans and Financing Receivable [Line Items]    
Total loans $ 6,434,369 $ 6,253,736
Loans and Finance Receivables, Gross [Member] | Credit Concentration Risk [Member]    
Accounts, Notes, Loans and Financing Receivable [Line Items]    
Total loans (in percent) 100.00% 100.00%
Unallocated Financing Receivables [Member]    
Accounts, Notes, Loans and Financing Receivable [Line Items]    
Total loans $ 860 $ 342
Unallocated Financing Receivables [Member] | Loans and Finance Receivables, Gross [Member] | Credit Concentration Risk [Member]    
Accounts, Notes, Loans and Financing Receivable [Line Items]    
Total loans (in percent) 0.00% 0.00%
Primary Residential Mortgage [Member] | Residential Portfolio Segment [Member]    
Accounts, Notes, Loans and Financing Receivable [Line Items]    
Total loans $ 662,949 $ 647,766
Primary Residential Mortgage [Member] | Residential Portfolio Segment [Member] | Loans and Finance Receivables, Gross [Member] | Credit Concentration Risk [Member]    
Accounts, Notes, Loans and Financing Receivable [Line Items]    
Total loans (in percent) 10.30% 10.40%
Multifamily Property [Member] | Residential Portfolio Segment [Member]    
Accounts, Notes, Loans and Financing Receivable [Line Items]    
Total loans $ 1,824,882 $ 1,862,592
Multifamily Property [Member] | Residential Portfolio Segment [Member] | Loans and Finance Receivables, Gross [Member] | Credit Concentration Risk [Member]    
Accounts, Notes, Loans and Financing Receivable [Line Items]    
Total loans (in percent) 28.40% 29.80%
Commercial Mortgage [Member] | Commercial Real Estate Portfolio Segment [Member]    
Accounts, Notes, Loans and Financing Receivable [Line Items]    
Total loans $ 887,712 $ 774,428
Commercial Mortgage [Member] | Commercial Real Estate Portfolio Segment [Member] | Loans and Finance Receivables, Gross [Member] | Credit Concentration Risk [Member]    
Accounts, Notes, Loans and Financing Receivable [Line Items]    
Total loans (in percent) 13.80% 12.40%
Commercial Loans Including Equipment Financing [Member] | Commercial Real Estate Portfolio Segment [Member]    
Accounts, Notes, Loans and Financing Receivable [Line Items]    
Total loans $ 2,788,346 $ 2,721,447
Commercial Loans Including Equipment Financing [Member] | Commercial Real Estate Portfolio Segment [Member] | Loans and Finance Receivables, Gross [Member] | Credit Concentration Risk [Member]    
Accounts, Notes, Loans and Financing Receivable [Line Items]    
Total loans (in percent) 43.30% 43.50%
Construction [Member] | Commercial Real Estate Portfolio Segment [Member] | Loans and Finance Receivables, Gross [Member] | Credit Concentration Risk [Member]    
Accounts, Notes, Loans and Financing Receivable [Line Items]    
Total loans (in percent) 0.00% 0.00%
Construction [Member] | Commercial Portfolio Segment [Member]    
Accounts, Notes, Loans and Financing Receivable [Line Items]    
Total loans $ 695 $ 495
Home Equity Lines of Credit [Member] | Residential Portfolio Segment [Member]    
Accounts, Notes, Loans and Financing Receivable [Line Items]    
Total loans $ 58,194 $ 59,306
Home Equity Lines of Credit [Member] | Residential Portfolio Segment [Member] | Loans and Finance Receivables, Gross [Member] | Credit Concentration Risk [Member]    
Accounts, Notes, Loans and Financing Receivable [Line Items]    
Total loans (in percent) 0.90% 0.90%
Consumer Loans, Including Home Equity Loans [Member] | Consumer and Other Loans [Member]    
Accounts, Notes, Loans and Financing Receivable [Line Items]    
Total loans $ 210,731 $ 187,360
Consumer Loans, Including Home Equity Loans [Member] | Consumer and Other Loans [Member] | Loans and Finance Receivables, Gross [Member] | Credit Concentration Risk [Member]    
Accounts, Notes, Loans and Financing Receivable [Line Items]    
Total loans (in percent) 3.30% 3.00%
v3.26.1
LOANS AND LEASES (Schedule of Loan Balances by Pool Segment and Portfolio Class) (Details) - USD ($)
$ in Thousands
 3 Months Ended 12 Months Ended
Mar. 31, 2026
Dec. 31, 2025
Total loans $ 6,432,392 $ 6,251,972
Total loans including net deferred costs $ 6,434,369 $ 6,253,736
Customer Concentration Risk [Member] | Loans and Finance Receivables, Gross [Member]    
Total loans (in percent) 100.00% 100.00%
Current Expected Credit Loss Methodology [Member]    
Total loans $ 6,432,392 $ 6,251,972
Net deferred costs 1,977 1,764
Total loans including net deferred costs 6,434,369 6,253,736
Construction [Member]    
Total loans 20,533 24,959
Construction [Member] | Current Expected Credit Loss Methodology [Member]    
Total loans $ 20,533 $ 24,959
Construction [Member] | Current Expected Credit Loss Methodology [Member] | Customer Concentration Risk [Member] | Loans and Finance Receivables, Gross [Member]    
Total loans (in percent) 0.30% 0.40%
Residential Portfolio Segment [Member] | Primary Residential Mortgages [Member]    
Total loans $ 652,450 $ 632,890
Residential Portfolio Segment [Member] | Primary Residential Mortgages [Member] | Current Expected Credit Loss Methodology [Member]    
Total loans $ 652,450 $ 632,890
Residential Portfolio Segment [Member] | Primary Residential Mortgages [Member] | Current Expected Credit Loss Methodology [Member] | Customer Concentration Risk [Member] | Loans and Finance Receivables, Gross [Member]    
Total loans (in percent) 10.10% 10.10%
Residential Portfolio Segment [Member] | Multifamily Property [Member]    
Total loans $ 1,824,882 $ 1,862,592
Total loans including net deferred costs 1,824,882 1,862,592
Residential Portfolio Segment [Member] | Multifamily Property [Member] | Current Expected Credit Loss Methodology [Member]    
Total loans $ 1,824,882 $ 1,862,592
Residential Portfolio Segment [Member] | Multifamily Property [Member] | Current Expected Credit Loss Methodology [Member] | Customer Concentration Risk [Member] | Loans and Finance Receivables, Gross [Member]    
Total loans (in percent) 28.40% 29.80%
Residential Portfolio Segment [Member] | Home Equity Lines of Credit [Member]    
Total loans including net deferred costs $ 58,194 $ 59,306
Residential Portfolio Segment [Member] | Junior Lien [Member]    
Total loans 60,704 61,420
Residential Portfolio Segment [Member] | Junior Lien [Member] | Current Expected Credit Loss Methodology [Member]    
Total loans $ 60,704 $ 61,420
Residential Portfolio Segment [Member] | Junior Lien [Member] | Current Expected Credit Loss Methodology [Member] | Customer Concentration Risk [Member] | Loans and Finance Receivables, Gross [Member]    
Total loans (in percent) 0.90% 1.00%
Commercial Real Estate Portfolio Segment [Member] | Current Expected Credit Loss Methodology [Member]    
Total loans $ 294,248 $ 289,801
Commercial Real Estate Portfolio Segment [Member] | Current Expected Credit Loss Methodology [Member] | Customer Concentration Risk [Member] | Loans and Finance Receivables, Gross [Member]    
Total loans (in percent) 4.60% 4.60%
Commercial Real Estate Portfolio Segment [Member] | Owner Occupied Property [Member]    
Total loans $ 294,248 $ 289,801
Commercial Real Estate Portfolio Segment [Member] | Investment Property [Member]    
Total loans 1,217,060 1,101,082
Commercial Real Estate Portfolio Segment [Member] | Investment Property [Member] | Current Expected Credit Loss Methodology [Member]    
Total loans $ 1,217,060 $ 1,101,082
Commercial Real Estate Portfolio Segment [Member] | Investment Property [Member] | Current Expected Credit Loss Methodology [Member] | Customer Concentration Risk [Member] | Loans and Finance Receivables, Gross [Member]    
Total loans (in percent) 18.90% 17.60%
Commercial Portfolio Segment [Member] | Construction [Member]    
Total loans $ 20,533 $ 24,959
Total loans including net deferred costs 695 495
Consumer and Other [Member]    
Total loans 213,732 189,633
Consumer and Other [Member] | Current Expected Credit Loss Methodology [Member]    
Total loans $ 213,732 $ 189,633
Consumer and Other [Member] | Current Expected Credit Loss Methodology [Member] | Customer Concentration Risk [Member] | Loans and Finance Receivables, Gross [Member]    
Total loans (in percent) 3.30% 3.00%
Commercial and Industrial [Member] | Current Expected Credit Loss Methodology [Member]    
Total loans $ 1,875,403 $ 1,823,557
Commercial and Industrial [Member] | Current Expected Credit Loss Methodology [Member] | Customer Concentration Risk [Member] | Loans and Finance Receivables, Gross [Member]    
Total loans (in percent) 29.20% 29.20%
Commercial and Industrial [Member] | Commercial Portfolio Segment [Member]    
Total loans $ 1,875,403 $ 1,823,557
Lease Financing [Member]    
Total loans 273,380 266,038
Lease Financing [Member] | Current Expected Credit Loss Methodology [Member]    
Total loans $ 273,380 $ 266,038
Lease Financing [Member] | Current Expected Credit Loss Methodology [Member] | Customer Concentration Risk [Member] | Loans and Finance Receivables, Gross [Member]    
Total loans (in percent) 4.30% 4.30%
v3.26.1
LOANS AND LEASES (Schedule of Recorded Investment in Nonaccrual and Loans Past Due 90 Days or Over Still On Accrual) (Details) - USD ($)
$ in Thousands
Mar. 31, 2026
Dec. 31, 2025
Accounts, Notes, Loans and Financing Receivable [Line Items]    
Total loans $ 36,082 $ 35,974
Impaired non-accrual loans 59,321 68,243
Loans Past Due 90 Days or Over And Still Accruing Interest 0 0
Residential Portfolio Segment [Member] | Junior Lien [Member]    
Accounts, Notes, Loans and Financing Receivable [Line Items]    
Total loans 104 106
Impaired non-accrual loans 104 106
Loans Past Due 90 Days or Over And Still Accruing Interest 0 0
Residential Portfolio Segment [Member] | Primary Residential Mortgages [Member]    
Accounts, Notes, Loans and Financing Receivable [Line Items]    
Total loans 2,800 2,573
Impaired non-accrual loans 3,145 2,573
Loans Past Due 90 Days or Over And Still Accruing Interest 0 0
Residential Portfolio Segment [Member] | Multifamily Property [Member]    
Accounts, Notes, Loans and Financing Receivable [Line Items]    
Total loans 14,550 14,671
Impaired non-accrual loans 31,146 31,343
Loans Past Due 90 Days or Over And Still Accruing Interest 0 0
Commercial Real Estate Portfolio Segment [Member] | Investment Property [Member]    
Accounts, Notes, Loans and Financing Receivable [Line Items]    
Total loans 9,596 9,628
Impaired non-accrual loans 11,526 11,557
Loans Past Due 90 Days or Over And Still Accruing Interest 0 0
Commercial Portfolio Segment [Member] | Commercial and Industrial [Member]    
Accounts, Notes, Loans and Financing Receivable [Line Items]    
Total loans 9,009 8,973
Impaired non-accrual loans 13,377 22,641
Loans Past Due 90 Days or Over And Still Accruing Interest 0 0
Commercial Portfolio Segment [Member] | Lease Financing [Member]    
Accounts, Notes, Loans and Financing Receivable [Line Items]    
Total loans 23 23
Impaired non-accrual loans 23 23
Loans Past Due 90 Days or Over And Still Accruing Interest $ 0 $ 0
v3.26.1
LOANS AND LEASES (Schedule of Aging of Past Due Loans) (Details) - USD ($)
$ in Thousands
Mar. 31, 2026
Dec. 31, 2025
Financing Receivable, Past Due [Line Items]    
Total loans $ 6,432,392 $ 6,251,972
Lease Financing [Member]    
Financing Receivable, Past Due [Line Items]    
Total loans 273,380 266,038
Residential Portfolio Segment [Member] | Junior Lien Loan on Residence [Member]    
Financing Receivable, Past Due [Line Items]    
Total loans 60,704 61,420
Residential Portfolio Segment [Member] | Primary Residential Mortgages [Member]    
Financing Receivable, Past Due [Line Items]    
Total loans 652,450 632,890
Residential Portfolio Segment [Member] | Multifamily Property [Member]    
Financing Receivable, Past Due [Line Items]    
Total loans 1,824,882 1,862,592
Commercial Real Estate Portfolio Segment [Member] | Investment Property [Member]    
Financing Receivable, Past Due [Line Items]    
Total loans 1,217,060 1,101,082
Commercial Portfolio Segment [Member] | Commercial and Industrial [Member]    
Financing Receivable, Past Due [Line Items]    
Total loans 1,875,403 1,823,557
Consumer and Other [Member]    
Financing Receivable, Past Due [Line Items]    
Total loans 213,732 189,633
30 to 59 Days Past Due [Member]    
Financing Receivable, Past Due [Line Items]    
Total loans 6,306 15,991
30 to 59 Days Past Due [Member] | Residential Portfolio Segment [Member] | Commercial and Industrial [Member]    
Financing Receivable, Past Due [Line Items]    
Total loans 556 4,228
30 to 59 Days Past Due [Member] | Residential Portfolio Segment [Member] | Junior Lien Loan on Residence [Member]    
Financing Receivable, Past Due [Line Items]    
Total loans   0
30 to 59 Days Past Due [Member] | Residential Portfolio Segment [Member] | Primary Residential Mortgages [Member]    
Financing Receivable, Past Due [Line Items]    
Total loans 981 7,121
30 to 59 Days Past Due [Member] | Residential Portfolio Segment [Member] | Multifamily Property [Member]    
Financing Receivable, Past Due [Line Items]    
Total loans 4,769 4,642
60 to 89 Days Past Due [Member]    
Financing Receivable, Past Due [Line Items]    
Total loans 40,747 10,564
60 to 89 Days Past Due [Member] | Residential Portfolio Segment [Member] | Commercial and Industrial [Member]    
Financing Receivable, Past Due [Line Items]    
Total loans 1,486 125
60 to 89 Days Past Due [Member] | Residential Portfolio Segment [Member] | Junior Lien Loan on Residence [Member]    
Financing Receivable, Past Due [Line Items]    
Total loans   64
60 to 89 Days Past Due [Member] | Residential Portfolio Segment [Member] | Primary Residential Mortgages [Member]    
Financing Receivable, Past Due [Line Items]    
Total loans 776 799
60 to 89 Days Past Due [Member] | Residential Portfolio Segment [Member] | Multifamily Property [Member]    
Financing Receivable, Past Due [Line Items]    
Total loans 38,485 9,576
90 Days or Greater Past Due [Member]    
Financing Receivable, Past Due [Line Items]    
Total loans 0 0
90 Days or Greater Past Due [Member] | Residential Portfolio Segment [Member] | Commercial and Industrial [Member]    
Financing Receivable, Past Due [Line Items]    
Total loans 0 0
90 Days or Greater Past Due [Member] | Residential Portfolio Segment [Member] | Junior Lien Loan on Residence [Member]    
Financing Receivable, Past Due [Line Items]    
Total loans   0
90 Days or Greater Past Due [Member] | Residential Portfolio Segment [Member] | Primary Residential Mortgages [Member]    
Financing Receivable, Past Due [Line Items]    
Total loans 0 0
90 Days or Greater Past Due [Member] | Residential Portfolio Segment [Member] | Multifamily Property [Member]    
Financing Receivable, Past Due [Line Items]    
Total loans 0 0
Total Past Due [Member]    
Financing Receivable, Past Due [Line Items]    
Total loans 47,053 26,555
Total Past Due [Member] | Residential Portfolio Segment [Member] | Commercial and Industrial [Member]    
Financing Receivable, Past Due [Line Items]    
Total loans 2,042 4,353
Total Past Due [Member] | Residential Portfolio Segment [Member] | Junior Lien Loan on Residence [Member]    
Financing Receivable, Past Due [Line Items]    
Total loans   64
Total Past Due [Member] | Residential Portfolio Segment [Member] | Primary Residential Mortgages [Member]    
Financing Receivable, Past Due [Line Items]    
Total loans 1,757 7,920
Total Past Due [Member] | Residential Portfolio Segment [Member] | Multifamily Property [Member]    
Financing Receivable, Past Due [Line Items]    
Total loans $ 43,254 $ 14,218
v3.26.1
LOANS AND LEASES - Additional Information (Details)
 3 Months Ended 12 Months Ended
Mar. 31, 2026
USD ($)
Loan
Dec. 31, 2025
USD ($)
Financing Receivable Recorded Investment Past Due [Line Items]    
Loans amount $ 6,432,392,000 $ 6,251,972,000
Loans on nonaccrual status 59,321,000 68,243,000
Loan receivable, validate risk ratings performed for large sample or new lending to existing relationships 1,000,000  
Loan receivable, validate risk ratings performed for criticized and classified rated borrowers with relationship exposure, value 500,000  
Loan receivable, validate risk ratings performed for new federal reserve board regulation "O" loan commitments, value 1,000,000  
Loan receivable validate risk ratings performed for leveraged loans, value 1,000,000  
Loan receivable validate risk ratings performed for no borrower with commitments, value 500,000  
Primary Residential Mortgages [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Financing receivable modified in period amount 82,000  
60 to 89 Days Past Due [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Loans amount 40,747,000 10,564,000
Commercial Real Estate Portfolio Segment [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Financing receivable increase in special mention loans 36,200,000  
Commercial Portfolio Segment [Member] | Commercial and Industrial [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Loans amount 1,875,403,000 1,823,557,000
Loans on nonaccrual status 13,377,000 22,641,000
Multifamily Loans [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Financing receivable modified in period amount 1,200,000  
Commercial and Industrial Loans [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Financing receivable modified in period amount 2,300,000  
Substandard [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Loans amount 90,583,000 118,912,000
Financing receivable individually evaluated loan 59,300,000 68,200,000
Substandard [Member] | Commercial Real Estate Portfolio Segment [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Financing receivable increase in special mention loans 9,600,000  
Substandard [Member] | Commercial Portfolio Segment [Member] | Commercial and Industrial [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Loans amount $ 37,695,000 $ 46,313,000
Substandard [Member] | Multifamily Loans [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Number of multifamily loans | Loan 1  
Minimum [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Loan receivable, validate risk ratings performed for large sample of borrowers with relationship, value $ 1,000,000  
Maximum [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Loan receivable, validate risk ratings performed for small sample of borrowers with relationship, value $ 1,000,000  
v3.26.1
LOANS AND LEASES (Summary of Credit Risk Profile of Loans) (Details) - USD ($)
$ in Thousands
 3 Months Ended 12 Months Ended
Mar. 31, 2026
Dec. 31, 2025
Dec. 31, 2024
Financing Receivable, Credit Quality Indicator [Line Items]      
2026/2025 $ 424,755 $ 1,388,211  
2025/2024 1,327,198 516,244  
2024/2023 466,610 345,186  
2023/2022 329,131 823,823  
2022/2021 804,822 923,496  
2021/2020 and Prior 2,032,701 1,237,217  
Revolving 889,222 872,849  
Revolving-Term 157,953 144,946  
Total Loans 6,432,392 6,251,972  
2025/2024, Current period gross charge-offs   232  
2024/2023, Current period gross charge-offs   2,517  
2023/2022, Current period charge-offs 7,810 17,811  
2021/2020 and Prior, Current period gross charge-offs 3,538 6,315  
Revolving term gross charge-offs 12 33  
Total Current Period Charge-offs 11,360 26,908  
Pass [Member]      
Financing Receivable, Credit Quality Indicator [Line Items]      
2026/2025 424,755 1,388,211  
2025/2024 1,325,712 506,010  
2024/2023 456,317 341,661  
2023/2022 325,014 779,552  
2022/2021 768,955 892,592  
2021/2020 and Prior 1,947,341 1,191,831  
Revolving 877,467 850,111  
Revolving-Term 140,313 132,065  
Total Loans 6,265,874 6,082,033  
Special Mention [Member]      
Financing Receivable, Credit Quality Indicator [Line Items]      
2024/2023 147 935  
2023/2022 1,541 22,030  
2022/2021 25,208 16,447  
2021/2020 and Prior 43,729 8,434  
Revolving 3,118 3,000  
Revolving-Term 2,192 181  
Total Loans 75,935 51,027  
Substandard [Member]      
Financing Receivable, Credit Quality Indicator [Line Items]      
2025/2024 1,486 10,234  
2024/2023 10,146 2,590  
2023/2022 2,576 22,241  
2022/2021 10,659 14,457  
2021/2020 and Prior 41,631 36,952  
Revolving 8,637 19,738  
Revolving-Term 15,448 12,700  
Total Loans 90,583 118,912  
Lease Financing [Member]      
Financing Receivable, Credit Quality Indicator [Line Items]      
2026/2025 22,855 38,742  
2025/2024 100,835 103,440  
2024/2023 36,730 29,541  
2023/2022 30,147 38,229  
2022/2021 28,061 31,353  
2021/2020 and Prior 54,752 24,015  
Revolving   718  
Total Loans 273,380 266,038  
Lease Financing [Member] | Pass [Member]      
Financing Receivable, Credit Quality Indicator [Line Items]      
2026/2025 22,855 38,742  
2025/2024 100,835 103,440  
2024/2023 36,730 29,541  
2023/2022 30,147 38,229  
2022/2021 28,061 31,353  
2021/2020 and Prior 54,729 23,992  
Revolving   718  
Total Loans 273,357 266,015  
Lease Financing [Member] | Substandard [Member]      
Financing Receivable, Credit Quality Indicator [Line Items]      
2021/2020 and Prior 23 23  
Total Loans 23 23  
Construction [Member]      
Financing Receivable, Credit Quality Indicator [Line Items]      
Total Loans 20,533 24,959  
Residential Portfolio Segment [Member] | Junior Lien [Member]      
Financing Receivable, Credit Quality Indicator [Line Items]      
2024/2023 0 456  
2023/2022 444 966  
2022/2021 929 53  
2021/2020 and Prior 638 640  
Revolving 52,745 53,291  
Revolving-Term 5,948 6,014  
Total Loans 60,704 61,420  
Residential Portfolio Segment [Member] | Junior Lien [Member] | Pass [Member]      
Financing Receivable, Credit Quality Indicator [Line Items]      
2024/2023 0 456  
2023/2022 444 966  
2022/2021 929 53  
2021/2020 and Prior 638 640  
Revolving 52,643 53,187  
Revolving-Term 5,947 6,013  
Total Loans 60,601 61,315  
Residential Portfolio Segment [Member] | Junior Lien [Member] | Substandard [Member]      
Financing Receivable, Credit Quality Indicator [Line Items]      
Revolving 102 104  
Revolving-Term 1 1  
Total Loans 103 105  
Residential Portfolio Segment [Member] | Primary Residential Mortgages [Member]      
Financing Receivable, Credit Quality Indicator [Line Items]      
2026/2025 31,696 85,591  
2025/2024 85,092 71,744  
2024/2023 69,106 85,694  
2023/2022 83,212 101,584  
2022/2021 100,882 65,826  
2021/2020 and Prior 274,889 214,856  
Revolving-Term 7,573 7,595  
Total Loans 652,450 632,890  
Residential Portfolio Segment [Member] | Primary Residential Mortgages [Member] | Pass [Member]      
Financing Receivable, Credit Quality Indicator [Line Items]      
2026/2025 31,696 85,591  
2025/2024 85,092 71,744  
2024/2023 69,106 84,353  
2023/2022 81,885 100,859  
2022/2021 99,819 65,826  
2021/2020 and Prior 273,475 213,686  
Revolving-Term 7,573 7,595  
Total Loans 648,646 629,654  
Residential Portfolio Segment [Member] | Primary Residential Mortgages [Member] | Substandard [Member]      
Financing Receivable, Credit Quality Indicator [Line Items]      
2024/2023 0 1,341  
2023/2022 1,327 725  
2022/2021 1,063    
2021/2020 and Prior 1,414 1,170  
Total Loans 3,804 3,236  
Residential Portfolio Segment [Member] | Multifamily Property [Member]      
Financing Receivable, Credit Quality Indicator [Line Items]      
2026/2025 38,110 228,337  
2025/2024 227,916 23,563  
2024/2023 23,537 50,982  
2023/2022 50,832 416,439  
2022/2021 414,222 606,487  
2021/2020 and Prior 1,025,260 491,684  
Revolving 0 525  
Revolving-Term 45,005 44,575  
Total Loans 1,824,882 1,862,592  
2023/2022, Current period charge-offs 0 6,724  
2021/2020 and Prior, Current period gross charge-offs   6,267  
Total Current Period Charge-offs 3,538 12,991  
Residential Portfolio Segment [Member] | Multifamily Property [Member] | Pass [Member]      
Financing Receivable, Credit Quality Indicator [Line Items]      
2026/2025 38,110 228,337  
2025/2024 227,916 23,563  
2024/2023 23,537 50,982  
2023/2022 50,832 404,551  
2022/2021 410,848 582,573  
2021/2020 and Prior 955,089 457,032  
Revolving 0 525  
Revolving-Term 45,005 44,575  
Total Loans 1,751,337 1,792,138  
Residential Portfolio Segment [Member] | Multifamily Property [Member] | Special Mention [Member]      
Financing Receivable, Credit Quality Indicator [Line Items]      
2022/2021 3,374 9,577  
2021/2020 and Prior 34,045 4,510  
Total Loans 37,419 14,087  
Residential Portfolio Segment [Member] | Multifamily Property [Member] | Substandard [Member]      
Financing Receivable, Credit Quality Indicator [Line Items]      
2025/2024   0  
2023/2022 0 11,888  
2022/2021 0 14,337  
2021/2020 and Prior 36,126 30,142  
Total Loans 36,126 56,367  
Commercial Real Estate Portfolio Segment [Member] | Commercial and Industrial [Member] | Pass [Member]      
Financing Receivable, Credit Quality Indicator [Line Items]      
2026/2025   474,578  
2025/2024   299,802  
2024/2023   71,416  
2023/2022   95,215  
2022/2021   92,549  
2021/2020 and Prior   11,815  
Revolving   694,850  
Revolving-Term   25,386  
Total Loans   1,765,611  
Commercial Real Estate Portfolio Segment [Member] | Commercial and Industrial [Member] | Special Mention [Member]      
Financing Receivable, Credit Quality Indicator [Line Items]      
2024/2023   935  
2022/2021   6,870  
2021/2020 and Prior   647  
Revolving   3,000  
Revolving-Term   181  
Total Loans   11,633  
Commercial Real Estate Portfolio Segment [Member] | Owner Occupied Property [Member]      
Financing Receivable, Credit Quality Indicator [Line Items]      
2026/2025 16,867 66,950  
2025/2024 61,125 31,903  
2024/2023 31,712 4,051  
2023/2022 4,012 21,019  
2022/2021 20,864 42,915  
2021/2020 and Prior 137,858 97,036  
Revolving 11,976 15,980  
Revolving-Term 9,834 9,947  
Total Loans 294,248 289,801  
Commercial Real Estate Portfolio Segment [Member] | Owner Occupied Property [Member] | Pass [Member]      
Financing Receivable, Credit Quality Indicator [Line Items]      
2026/2025 16,867 66,950  
2025/2024 61,125 31,903  
2024/2023 31,712 4,051  
2023/2022 3,334 21,019  
2022/2021 20,864 42,915  
2021/2020 and Prior 136,552 95,725  
Revolving 11,858 15,980  
Revolving-Term 9,834 9,947  
Total Loans 292,146 288,490  
Commercial Real Estate Portfolio Segment [Member] | Owner Occupied Property [Member] | Special Mention [Member]      
Financing Receivable, Credit Quality Indicator [Line Items]      
2023/2022 678   $ 0
Revolving 118    
Total Loans 796    
Commercial Real Estate Portfolio Segment [Member] | Owner Occupied Property [Member] | Substandard [Member]      
Financing Receivable, Credit Quality Indicator [Line Items]      
2021/2020 and Prior 1,306   $ 1,311
Total Loans 1,306 1,311  
Commercial Real Estate Portfolio Segment [Member] | Investment Property [Member]      
Financing Receivable, Credit Quality Indicator [Line Items]      
2026/2025 132,221 282,992  
2025/2024 284,466 40,256  
2024/2023 40,050 99,050  
2023/2022 98,528 159,059  
2022/2021 152,457 70,298  
2021/2020 and Prior 449,487 391,524  
Revolving 27,634 21,975  
Revolving-Term 32,217 35,928  
Total Loans 1,217,060 1,101,082  
Commercial Real Estate Portfolio Segment [Member] | Investment Property [Member] | Pass [Member]      
Financing Receivable, Credit Quality Indicator [Line Items]      
2026/2025 132,221 282,992  
2025/2024 284,466 40,256  
2024/2023 40,050 99,050  
2023/2022 98,528 127,401  
2022/2021 121,027 70,298  
2021/2020 and Prior 444,330 386,318  
Revolving 27,634 21,975  
Revolving-Term 32,217 35,928  
Total Loans 1,180,473 1,064,218  
Commercial Real Estate Portfolio Segment [Member] | Investment Property [Member] | Special Mention [Member]      
Financing Receivable, Credit Quality Indicator [Line Items]      
2023/2022 0 22,030  
2022/2021 21,834    
2021/2020 and Prior 3,227 3,277  
Total Loans 25,061 25,307  
Commercial Real Estate Portfolio Segment [Member] | Investment Property [Member] | Substandard [Member]      
Financing Receivable, Credit Quality Indicator [Line Items]      
2023/2022 0 9,628  
2022/2021 9,596    
2021/2020 and Prior 1,930 1,929  
Total Loans 11,526 11,557  
Commercial Portfolio Segment [Member] | Commercial and Industrial [Member]      
Financing Receivable, Credit Quality Indicator [Line Items]      
2026/2025 139,104 474,578  
2025/2024 446,176 310,036  
2024/2023 265,475 73,600  
2023/2022 61,956 95,215  
2022/2021 87,407 99,539  
2021/2020 and Prior 87,388 14,839  
Revolving 733,100 717,484  
Revolving-Term 54,797 38,266  
Total Loans 1,875,403 1,823,557  
2025/2024, Current period gross charge-offs   232  
2024/2023, Current period gross charge-offs 0 2,517  
2023/2022, Current period charge-offs 7,810 11,087  
2021/2020 and Prior, Current period gross charge-offs 0 44  
Total Current Period Charge-offs 7,810 13,880  
Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | Pass [Member]      
Financing Receivable, Credit Quality Indicator [Line Items]      
2026/2025 139,104    
2025/2024 444,690    
2024/2023 255,182    
2023/2022 59,844    
2022/2021 87,407    
2021/2020 and Prior 80,099    
Revolving 721,565    
Revolving-Term 37,158    
Total Loans 1,825,049    
Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | Special Mention [Member]      
Financing Receivable, Credit Quality Indicator [Line Items]      
2024/2023 147    
2023/2022 863    
2022/2021 0    
2021/2020 and Prior 6,457    
Revolving 3,000    
Revolving-Term 2,192    
Total Loans 12,659    
Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | Substandard [Member]      
Financing Receivable, Credit Quality Indicator [Line Items]      
2025/2024 1,486 10,234  
2024/2023 10,146 1,249  
2023/2022 1,249    
2022/2021 0 120  
2021/2020 and Prior 832 2,377  
Revolving 8,535 19,634  
Revolving-Term 15,447 12,699  
Total Loans 37,695 46,313  
Commercial Portfolio Segment [Member] | Construction [Member]      
Financing Receivable, Credit Quality Indicator [Line Items]      
2026/2025   5,500  
2025/2024 5,500    
Revolving 15,033 19,459  
Total Loans 20,533 24,959  
Commercial Portfolio Segment [Member] | Construction [Member] | Pass [Member]      
Financing Receivable, Credit Quality Indicator [Line Items]      
2026/2025   5,500  
2025/2024 5,500    
Revolving 15,033 19,459  
Total Loans 20,533 24,959  
Consumer and Other [Member]      
Financing Receivable, Credit Quality Indicator [Line Items]      
2026/2025 43,902 140,823  
2025/2024 116,088 0  
2024/2023   0  
2023/2022   0  
2022/2021   149  
2021/2020 and Prior 2,429 2,623  
Revolving 48,734 43,417  
Revolving-Term 2,579 2,621  
Total Loans 213,732 189,633  
2021/2020 and Prior, Current period gross charge-offs 0 4  
Revolving term gross charge-offs 12 33  
Total Current Period Charge-offs 12 37  
Consumer and Other [Member] | Pass [Member]      
Financing Receivable, Credit Quality Indicator [Line Items]      
2026/2025 43,902 140,823  
2025/2024 116,088 0  
2024/2023   0  
2023/2022   0  
2022/2021   149  
2021/2020 and Prior 2,429 2,623  
Revolving 48,734 43,417  
Revolving-Term 2,579 2,621  
Total Loans $ 213,732 $ 189,633  
v3.26.1
LOANS AND LEASES (Summary of Information Related to Modification) (Details) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Significant Payment Delay [Member]    
Financing Receivable, Modified [Line Items]    
Amortized Cost Basis at Period End $ 82 $ 19,287
% of Total Class of Financing Receivable 0.01% 1.18%
Significant Payment Delay and Term Extension [Member]    
Financing Receivable, Modified [Line Items]    
Amortized Cost Basis at Period End $ 2,338 $ 416
% of Total Class of Financing Receivable 0.12% 0.03%
Interest Rate Reduction and Significant Payment Delay [Member]    
Financing Receivable, Modified [Line Items]    
Amortized Cost Basis at Period End $ 1,209  
% of Total Class of Financing Receivable 0.07%  
Interest Rate Reduction and Term Extension [Member]    
Financing Receivable, Modified [Line Items]    
Amortized Cost Basis at Period End   $ 9,307
% of Total Class of Financing Receivable   0.52%
Residential Portfolio Segment [Member] | Significant Payment Delay [Member] | Primary Residential Mortgages [Member]    
Financing Receivable, Modified [Line Items]    
Amortized Cost Basis at Period End $ 82 $ 295
% of Total Class of Financing Receivable 0.01% 0.05%
Residential Portfolio Segment [Member] | Interest Rate Reduction and Significant Payment Delay [Member] | Multifamily Property [Member]    
Financing Receivable, Modified [Line Items]    
Amortized Cost Basis at Period End $ 1,209  
% of Total Class of Financing Receivable 0.07%  
Commercial Portfolio Segment [Member] | Significant Payment Delay [Member] | Commercial and Industrial [Member]    
Financing Receivable, Modified [Line Items]    
Amortized Cost Basis at Period End   $ 10,689
% of Total Class of Financing Receivable   0.66%
Commercial Portfolio Segment [Member] | Significant Payment Delay [Member] | Investment Property [Member]    
Financing Receivable, Modified [Line Items]    
Amortized Cost Basis at Period End   $ 8,303
% of Total Class of Financing Receivable   0.47%
Commercial Portfolio Segment [Member] | Significant Payment Delay and Term Extension [Member] | Commercial and Industrial [Member]    
Financing Receivable, Modified [Line Items]    
Amortized Cost Basis at Period End $ 2,338 $ 416
% of Total Class of Financing Receivable 0.12% 0.03%
Commercial Portfolio Segment [Member] | Interest Rate Reduction and Term Extension [Member] | Commercial and Industrial [Member]    
Financing Receivable, Modified [Line Items]    
Amortized Cost Basis at Period End   $ 9,307
% of Total Class of Financing Receivable   0.52%
v3.26.1
LOANS AND LEASES - (Schedule of Loans Modifications as Subsequent Default, By Payment Status (Details) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Current [Member]    
Financing Receivable, Modified [Line Items]    
Loans modified $ 57,158 $ 50,599
30-89 Days Past Due [Member]    
Financing Receivable, Modified [Line Items]    
Loans modified 48,208 13,591
Greater Than 90 Days [Member]    
Financing Receivable, Modified [Line Items]    
Loans modified 92 2,976
Consumer Loan [Member] | Commercial and Industrial [Member] | Current [Member]    
Financing Receivable, Modified [Line Items]    
Loans modified 13,974 22,851
Consumer Loan [Member] | Commercial and Industrial [Member] | 30-89 Days Past Due [Member]    
Financing Receivable, Modified [Line Items]    
Loans modified 416 4,993
Consumer Loan [Member] | Commercial and Industrial [Member] | Greater Than 90 Days [Member]    
Financing Receivable, Modified [Line Items]    
Loans modified   2,976
Consumer Loan [Member] | Primary Residential Mortgages [Member] | Current [Member]    
Financing Receivable, Modified [Line Items]    
Loans modified 83 637
Consumer Loan [Member] | Primary Residential Mortgages [Member] | 30-89 Days Past Due [Member]    
Financing Receivable, Modified [Line Items]    
Loans modified 311 295
Consumer Loan [Member] | Primary Residential Mortgages [Member] | Greater Than 90 Days [Member]    
Financing Receivable, Modified [Line Items]    
Loans modified 92  
Consumer Loan [Member] | Multifamily Property [Member] | Current [Member]    
Financing Receivable, Modified [Line Items]    
Loans modified 43,101 9,307
Consumer Loan [Member] | Multifamily Property [Member] | 30-89 Days Past Due [Member]    
Financing Receivable, Modified [Line Items]    
Loans modified $ 47,481 8,303
Consumer Loan [Member] | Investment Property [Member] | Current [Member]    
Financing Receivable, Modified [Line Items]    
Loans modified   $ 17,804
v3.26.1
LOANS AND LEASES (Schedule of Loans Modifications Resulted in Payment Default (Details) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Interest Rate Reduction [Member]    
Financing Receivable, Modified [Line Items]    
Amortized Cost Basis of Modified Loans That Subsequently Defaulted   $ 23,007
Interest Rate Reduction [Member] | Commercial and Industrial [Member] | Commercial Portfolio Segment [Member]    
Financing Receivable, Modified [Line Items]    
Amortized Cost Basis of Modified Loans That Subsequently Defaulted   5,203
Interest Rate Reduction [Member] | Investment Property [Member] | Commercial Portfolio Segment [Member]    
Financing Receivable, Modified [Line Items]    
Amortized Cost Basis of Modified Loans That Subsequently Defaulted   17,804
Significant Payment Delay [Member]    
Financing Receivable, Modified [Line Items]    
Amortized Cost Basis of Modified Loans That Subsequently Defaulted $ 40,986 9,235
Significant Payment Delay [Member] | Primary Residential Mortgages [Member] | Residential Portfolio Segment [Member]    
Financing Receivable, Modified [Line Items]    
Amortized Cost Basis of Modified Loans That Subsequently Defaulted 404 932
Significant Payment Delay [Member] | Multifamily Property [Member] | Residential Portfolio Segment [Member]    
Financing Receivable, Modified [Line Items]    
Amortized Cost Basis of Modified Loans That Subsequently Defaulted 40,582 $ 8,303
Interest Rate Reduction and Significant Payment Delay [Member]    
Financing Receivable, Modified [Line Items]    
Amortized Cost Basis of Modified Loans That Subsequently Defaulted 18,771  
Interest Rate Reduction and Significant Payment Delay [Member] | Multifamily Property [Member] | Residential Portfolio Segment [Member]    
Financing Receivable, Modified [Line Items]    
Amortized Cost Basis of Modified Loans That Subsequently Defaulted 18,771  
Interest Rate Reduction & Pay Delay and Term Extension [Member]    
Financing Receivable, Modified [Line Items]    
Amortized Cost Basis of Modified Loans That Subsequently Defaulted 2,882  
Interest Rate Reduction & Pay Delay and Term Extension [Member] | Multifamily Property [Member] | Residential Portfolio Segment [Member]    
Financing Receivable, Modified [Line Items]    
Amortized Cost Basis of Modified Loans That Subsequently Defaulted 2,882  
Significant Payment Delay and Term Extension [Member]    
Financing Receivable, Modified [Line Items]    
Amortized Cost Basis of Modified Loans That Subsequently Defaulted 3,936  
Significant Payment Delay and Term Extension [Member] | Commercial and Industrial [Member] | Commercial Portfolio Segment [Member]    
Financing Receivable, Modified [Line Items]    
Amortized Cost Basis of Modified Loans That Subsequently Defaulted $ 3,936  
v3.26.1
ALLOWANCE FOR CREDIT LOSSES - Additional Information (Details) - USD ($)
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Dec. 31, 2025
Dec. 31, 2024
Financing Receivable Recorded Investment Past Due [Line Items]        
Accrued interest receivable $ 33,115,000   $ 31,971,000  
Individually evaluated include Nonaccrual loans 59,300,000   68,200,000  
Individually evaluated non accrual loans performing modified loans 0      
Allowance allocated to modified loans 82,000      
Charge-offs 11,360,000 $ 2,360,000    
Allowance for credit losses 67,026,000 $ 75,150,000 $ 71,039,000 $ 72,992,000
Allowance for credit losses, due to specific reserves $ 7,300,000      
Allowance for credit losses, percentage of loans 1.04%   1.14%  
Commercial and Industrial [Member]        
Financing Receivable Recorded Investment Past Due [Line Items]        
Charge-offs $ 7,800,000      
Allowance for credit losses, due to specific reserves 1,300,000      
Multifamily Property [Member]        
Financing Receivable Recorded Investment Past Due [Line Items]        
Charge-offs 3,500,000      
Allowance for credit losses, due to specific reserves 6,000,000      
Loans [Member]        
Financing Receivable Recorded Investment Past Due [Line Items]        
Accrued interest receivable 30,100,000   $ 28,500,000  
Allowance for credit losses, due to specific reserves $ 184,100,000      
v3.26.1
ALLOWANCE FOR CREDIT LOSSES (Schedule of Balances by Segment) (Details) - USD ($)
$ in Thousands
Mar. 31, 2026
Dec. 31, 2025
Mar. 31, 2025
Dec. 31, 2024
Financing Receivable Allowance For Credit Losses [Line Items]        
Total Loans Individually Evaluated for Impairment $ 59,321 $ 68,243    
Ending ACL Attributable to Loans Individually Evaluated for Impairment 6,725 12,034    
Total Loans Collectively Evaluated for Impairment 6,373,071 6,183,729    
Ending ACL Attributable to Loans Collectively Evaluated for Impairment 60,301 59,005    
Total Loans 6,432,392 6,251,972    
Total Ending ACL 67,026 71,039 $ 75,150 $ 72,992
Lease Financing [Member]        
Financing Receivable Allowance For Credit Losses [Line Items]        
Total Loans Individually Evaluated for Impairment 23 23    
Ending ACL Attributable to Loans Individually Evaluated for Impairment 0 0    
Total Loans Collectively Evaluated for Impairment 273,357 266,015    
Ending ACL Attributable to Loans Collectively Evaluated for Impairment 2,544 2,554    
Total Loans 273,380 266,038    
Total Ending ACL 2,544 2,554    
Commercial Portfolio Segment [Member] | Commercial and Industrial [Member]        
Financing Receivable Allowance For Credit Losses [Line Items]        
Total Loans Individually Evaluated for Impairment 13,377 22,641    
Ending ACL Attributable to Loans Individually Evaluated for Impairment 2,037 7,466    
Total Loans Collectively Evaluated for Impairment 1,862,026 1,800,916    
Ending ACL Attributable to Loans Collectively Evaluated for Impairment 22,275 21,919    
Total Loans 1,875,403 1,823,557    
Total Ending ACL 24,312 29,385 32,980 33,075
Consumer and Other [Member]        
Financing Receivable Allowance For Credit Losses [Line Items]        
Total Loans Collectively Evaluated for Impairment 213,732 189,633    
Ending ACL Attributable to Loans Collectively Evaluated for Impairment 3,490 3,192    
Total Loans 213,732 189,633    
Total Ending ACL 3,490 3,192 2,574 1,184
Junior Lien [Member] | Residential Portfolio Segment [Member]        
Financing Receivable Allowance For Credit Losses [Line Items]        
Total Loans Individually Evaluated for Impairment 104 106    
Total Loans Collectively Evaluated for Impairment 60,600 61,314    
Ending ACL Attributable to Loans Collectively Evaluated for Impairment 195 208    
Total Loans 60,704 61,420    
Total Ending ACL 195 208 195 180
Primary Residential Mortgages [Member] | Residential Portfolio Segment [Member]        
Financing Receivable Allowance For Credit Losses [Line Items]        
Total Loans Individually Evaluated for Impairment 3,145 2,573    
Ending ACL Attributable to Loans Individually Evaluated for Impairment 3      
Total Loans Collectively Evaluated for Impairment 649,305 630,317    
Ending ACL Attributable to Loans Collectively Evaluated for Impairment 5,393 5,328    
Total Loans 652,450 632,890    
Total Ending ACL 5,396 5,328 4,469 4,398
Multifamily Property [Member] | Residential Portfolio Segment [Member]        
Financing Receivable Allowance For Credit Losses [Line Items]        
Total Loans Individually Evaluated for Impairment 31,146 31,343    
Ending ACL Attributable to Loans Individually Evaluated for Impairment 3,691 3,574    
Total Loans Collectively Evaluated for Impairment 1,793,736 1,831,249    
Ending ACL Attributable to Loans Collectively Evaluated for Impairment 8,438 8,884    
Total Loans 1,824,882 1,862,592    
Total Ending ACL 12,129 12,458 17,730 17,653
Owner Occupied Property [Member] | Commercial Real Estate Portfolio Segment [Member]        
Financing Receivable Allowance For Credit Losses [Line Items]        
Total Loans Collectively Evaluated for Impairment 294,248 289,801    
Ending ACL Attributable to Loans Collectively Evaluated for Impairment 3,544 3,630    
Total Loans 294,248 289,801    
Total Ending ACL 3,544 3,630 3,464 3,208
Investment Property [Member] | Commercial Real Estate Portfolio Segment [Member]        
Financing Receivable Allowance For Credit Losses [Line Items]        
Total Loans Individually Evaluated for Impairment 11,526 11,557    
Ending ACL Attributable to Loans Individually Evaluated for Impairment 994 994    
Total Loans Collectively Evaluated for Impairment 1,205,534 1,089,525    
Ending ACL Attributable to Loans Collectively Evaluated for Impairment 14,213 12,993    
Total Loans 1,217,060 1,101,082    
Total Ending ACL 15,207 13,987 11,764 11,685
Construction [Member]        
Financing Receivable Allowance For Credit Losses [Line Items]        
Total Loans Collectively Evaluated for Impairment 20,533 24,959    
Ending ACL Attributable to Loans Collectively Evaluated for Impairment 209 297    
Total Loans 20,533 24,959    
Total Ending ACL 209 297    
Construction [Member] | Commercial Real Estate Portfolio Segment [Member]        
Financing Receivable Allowance For Credit Losses [Line Items]        
Total Ending ACL 209 297 $ 158 $ 121
Construction [Member] | Commercial Portfolio Segment [Member]        
Financing Receivable Allowance For Credit Losses [Line Items]        
Total Loans $ 20,533 $ 24,959    
v3.26.1
ALLOWANCE FOR CREDIT LOSSES (Schedule of Loans Individually Evaluated by Segment) (Details) - USD ($)
$ in Thousands
 3 Months Ended 12 Months Ended
Mar. 31, 2026
Dec. 31, 2025
Unpaid Principal Balance    
With no related allowance recorded $ 47,724 $ 39,825
With related allowance recorded: 23,703 32,832
Total loans individually evaluated for impairment 71,427 72,657
Recorded Investment    
With no related allowance recorded 35,873 35,601
With related allowance recorded: 23,448 32,642
Total loans individually evaluated for impairment 59,321 68,243
Related Allowance 6,725 12,034
Average Individually Evaluated Loans    
With no related allowance recorded 45,017 68,931
With related allowance recorded: 23,380 24,307
Total loans individually evaluated for impairment 68,397 93,238
Lease Financing [Member]    
Unpaid Principal Balance    
With no related allowance recorded [1] 127 126
Recorded Investment    
With no related allowance recorded 23 [2] 23 [1]
Average Individually Evaluated Loans    
With no related allowance recorded [1] 23 821
Residential Portfolio Segment [Member] | Primary Residential Mortgages [Member]    
Unpaid Principal Balance    
With no related allowance recorded [3] 3,012 2,761
With related allowance recorded: [3] 347  
Recorded Investment    
With no related allowance recorded 2,799 [4] 2,573 [3]
With related allowance recorded: [4] 346  
Related Allowance [4] 3  
Average Individually Evaluated Loans    
With no related allowance recorded [3] 2,820 2,979
With related allowance recorded: [3] 231  
Residential Portfolio Segment [Member] | Multifamily Property [Member]    
Unpaid Principal Balance    
With no related allowance recorded [5] 15,264 15,264
With related allowance recorded: 16,850 [6] 16,862 [5]
Recorded Investment    
With no related allowance recorded [5] 14,550 14,671
With related allowance recorded: 16,596 [6] 16,672 [5]
Related Allowance 3,691 [6] 3,574 [5]
Average Individually Evaluated Loans    
With no related allowance recorded [5] 17,359 33,732
With related allowance recorded: 16,646 [6] 14,748 [5]
Residential Portfolio Segment [Member] | Junior Lien [Member]    
Unpaid Principal Balance    
With no related allowance recorded [3] 116 117
Recorded Investment    
With no related allowance recorded 104 [4] 106 [3]
Average Individually Evaluated Loans    
With no related allowance recorded [3] 104 109
Commercial Real Estate Portfolio Segment [Member] | Investment Property [Member]    
Unpaid Principal Balance    
With no related allowance recorded 12,500 [7] 12,500 [8]
With related allowance recorded: 1,929 [6] 1,929 [8]
Recorded Investment    
With no related allowance recorded 9,597 [7] 9,628 [8]
With related allowance recorded: 1,929 [6] 1,929 [8]
Related Allowance 994 [6] 994 [8]
Average Individually Evaluated Loans    
With no related allowance recorded 9,606 [7] 9,682 [8]
With related allowance recorded: 1,929 [6] 1,929 [8]
Commercial Portfolio Segment [Member] | Commercial and Industrial [Member]    
Unpaid Principal Balance    
With no related allowance recorded [3],[8],[9] 16,705 9,057
With related allowance recorded: 4,577 [2],[4],[7],[10] 14,041 [1],[8],[9]
Recorded Investment    
With no related allowance recorded 8,800 [4],[7],[10] 8,600 [3],[8],[9]
With related allowance recorded: 4,577 [2],[4],[7],[10] 14,041 [1],[8],[9]
Related Allowance 2,037 [2],[4],[7],[10] 7,466 [1],[8],[9]
Average Individually Evaluated Loans    
With no related allowance recorded [3],[8],[9] 15,105 21,608
With related allowance recorded: $ 4,574 [2],[4],[7],[10] $ 7,630 [1],[8],[9]
[1] Secured by machinery and equipment.
[2] Secured by machinery and equipment.
[3] Secured by residential real estate.
[4] Secured by residential real estate.
[5] Secured by multifamily residential properties.
[6] Secured by multifamily residential properties.
[7] Secured by commercial real estate.
[8] Secured by commercial real estate.
[9] Secured by all business assets.
[10] Secured by all business assets.
v3.26.1
ALLOWANCE FOR CREDIT LOSSES (Schedule of Activity in Allowance for Loan Losses) (Details) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Loans And Leases Receivable Disclosure [Line Items]    
Beginning ACL $ 71,039 $ 72,992
Charge-offs (11,360) (2,360)
Recoveries 25 24
Provision (Credit) 7,322 4,494
Ending ACL 67,026 75,150
Commercial and Industrial [Member]    
Loans And Leases Receivable Disclosure [Line Items]    
Charge-offs (7,800)  
Multifamily Property [Member]    
Loans And Leases Receivable Disclosure [Line Items]    
Charge-offs (3,500)  
Construction [Member]    
Loans And Leases Receivable Disclosure [Line Items]    
Beginning ACL 297  
Ending ACL 209  
Residential Portfolio Segment [Member] | Junior Lien [Member]    
Loans And Leases Receivable Disclosure [Line Items]    
Beginning ACL 208 180
Provision (Credit) (13) 15
Ending ACL 195 195
Residential Portfolio Segment [Member] | Primary Residential Mortgages [Member]    
Loans And Leases Receivable Disclosure [Line Items]    
Beginning ACL 5,328 4,398
Provision (Credit) 68 71
Ending ACL 5,396 4,469
Residential Portfolio Segment [Member] | Multifamily Property [Member]    
Loans And Leases Receivable Disclosure [Line Items]    
Beginning ACL 12,458 17,653
Charge-offs (3,538)  
Provision (Credit) 3,209 77
Ending ACL 12,129 17,730
Commercial Real Estate Portfolio Segment [Member] | Owner Occupied Property [Member]    
Loans And Leases Receivable Disclosure [Line Items]    
Beginning ACL 3,630 3,208
Provision (Credit) (86) 256
Ending ACL 3,544 3,464
Commercial Real Estate Portfolio Segment [Member] | Investment Property [Member]    
Loans And Leases Receivable Disclosure [Line Items]    
Beginning ACL 13,987 11,685
Provision (Credit) 1,220 79
Ending ACL 15,207 11,764
Commercial Real Estate Portfolio Segment [Member] | Lease Financing [Member]    
Loans And Leases Receivable Disclosure [Line Items]    
Beginning ACL 2,554 1,488
Recoveries   0
Provision (Credit) (10) 328
Ending ACL 2,544 1,816
Commercial Real Estate Portfolio Segment [Member] | Construction [Member]    
Loans And Leases Receivable Disclosure [Line Items]    
Beginning ACL 297 121
Provision (Credit) (88) 37
Ending ACL 209 158
Commercial Portfolio Segment [Member] | Commercial and Industrial [Member]    
Loans And Leases Receivable Disclosure [Line Items]    
Beginning ACL 29,385 33,075
Charge-offs (7,810) (2,349)
Recoveries 25 24
Provision (Credit) 2,712 2,230
Ending ACL 24,312 32,980
Consumer and Other [Member]    
Loans And Leases Receivable Disclosure [Line Items]    
Beginning ACL 3,192 1,184
Charge-offs (12) (11)
Recoveries 0  
Provision (Credit) 310 1,401
Ending ACL $ 3,490 $ 2,574
v3.26.1
ALLOWANCE FOR CREDIT LOSSES (Schedule of Activity in Allowance for Loan Losses) (Parenthetical) (Details) - USD ($)
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Credit Loss [Abstract]    
Off balance sheet commitments, Provision (Credit) $ 5,000 $ (23,000)
v3.26.1
ALLOWANCE FOR CREDIT LOSSES - (Schedule of Activity in ACL for Off Balance Sheet Commitments) (Details) - USD ($)
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Credit Loss [Abstract]    
Off balance sheet commitments, Beginning ACL $ 608,000 $ 691,000
Off balance sheet commitments, Provision (Credit) 5,000 (23,000)
Off balance sheet commitments, Ending ACL 613,000 668,000
Beginning ACL 608,000 691,000
Total ACL, Provision (Credit) 5,000 (23,000)
Ending ACL $ 613,000 $ 668,000
v3.26.1
DEPOSITS - Additional Information (Details) - USD ($)
$ in Millions
Mar. 31, 2026
Dec. 31, 2025
Deposits [Abstract]    
Time deposits met or exceeded $250,000 $ 144.3 $ 138.1
Brokered Certificates Of Deposit $ 0.0 $ 0.0
v3.26.1
DEPOSITS (Schedule of Details of Total Deposits) (Details) - USD ($)
$ in Thousands
Mar. 31, 2026
Dec. 31, 2025
Deposits:    
Noninterest-bearing demand deposits $ 1,544,515 $ 1,428,745
Interest-bearing checking [1] 3,533,203 3,448,497
Savings 114,955 105,123
Money market [2] 1,222,405 1,197,995
Certificates of deposit - retail 411,688 408,219
Certificates of deposit - listing service 0 400
Total deposits $ 6,826,766 $ 6,588,979
%    
Noninterest-bearing demand deposits 22.60% 21.70%
Interest-bearing checking [1] 51.80% 52.30%
Savings 1.70% 1.60%
Money market [2] 17.90% 18.20%
Certificates of deposit - retail 6.00% 6.20%
Certificates of deposit - listing service 0.00% 0.00%
Total deposits 100.00% 100.00%
[1] Interest-bearing checking included $2.18 billion at March 31, 2026 and $1.98 billion at December 31, 2025 of reciprocal balances in the Reich & Tang or Promontory Demand Deposit Marketplace program.
[2] Money market included $81.8 million at March 31, 2026 and $165.6 million at December 31, 2025 of reciprocal balances in the Promontory Demand Deposit Marketplace program.
v3.26.1
DEPOSITS (Details of Total Deposits) (Details) - USD ($)
$ in Millions
Mar. 31, 2026
Dec. 31, 2025
Deposits:    
Interest-bearing checking, reciprocal balances $ 2,180.0 $ 1,980.0
Money market, reciprocal balances $ 81.8 $ 165.6
v3.26.1
DEPOSITS (Scheduled Maturities of Time Deposits) (Details)
$ in Thousands
Mar. 31, 2026
USD ($)
Scheduled maturities of time deposits  
2026 $ 370,352
2027 39,558
2028 627
2029 695
2030 352
2031 and later 104
Total $ 411,688
v3.26.1
FEDERAL HOME LOAN BANK ADVANCES AND OTHER BORROWINGS - Additional Information (Details) - USD ($)
Mar. 31, 2026
Dec. 31, 2025
Debt Instrument [Line Items]    
Overnight borrowings with FHLB $ 63,830,000 $ 73,267,000
FHLB interest rate 3.89% 3.96%
Unused short-term overnight borrowing capacity from FHLB $ 1,700,000,000  
Unused short-term or overnight borrowings from correspondent banks 15,000,000  
Unused short-term or overnight borrowings from FRB 2,740,000,000  
Federal Reserve Bank of New York [Member]    
Debt Instrument [Line Items]    
Overnight borrowings with FHLB $ 63,800,000 $ 73,300,000
v3.26.1
BUSINESS SEGMENTS - Additional Information (Details)
 3 Months Ended
Mar. 31, 2026
Segment
Segment Reporting [Abstract]  
Number of reportable segments 2
Segment Reporting, CODM, Individual Title and Position or Group Name [Extensible Enumeration] srt:ChiefFinancialOfficerMember
Segment Reporting, CODM, Profit (Loss) Measure, How Used, Description The CODM evaluates the financial performance of the Company's business segments such as by evaluating revenue streams, significant expenses, and budget to actual results in assessing the performance of the Company's segments and in the determination of allocating resources. The CODM uses revenue streams to evaluate product pricing and significant expense to assess performance of each segment to evaluate compensation of certain employees. Segment pretax profit or loss is used to assess the performance of the banking segment, which includes monitoring the spread between interest income and interest expense. Segment pretax profit or loss is used to assess the performance of the Wealth Management Division, which includes monitoring wealth management fee income and AUM. Loans and investments primarily provide the revenues in the banking operation and wealth management fee income provide the revenues for the Wealth Management Division. Interest expense, provision for credit losses, payroll and premises and equipment contribute to the significant expenses in the banking segment, while payroll, occupancy, and trust expenses are the significant expenses in the Wealth Management Division. All operations of the Company are domestic.
v3.26.1
BUSINESS SEGMENTS - Schedule of Income and Total Assets for Reportable Segments (Details) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Dec. 31, 2025
Segment Reporting Information [Line Items]      
Net interest income $ 59,896 $ 45,505  
Noninterest income 22,597 18,854  
Total income 82,493 64,359  
Provision for credit losses 7,327 4,471  
Compensation and benefits 39,365 35,879  
Premises and equipment expense 5,688 5,268  
Depreciation expense 1,170 886  
FDIC insurance expense 1,388 855  
Professional and legal fees 1,554 1,190  
Trust department expense 1,180 1,043  
Other operating expense 5,095 4,319  
Total operating expense 62,767 53,911  
INCOME BEFORE INCOME TAX EXPENSE 19,726 10,448  
Income tax expense 5,573 2,853  
NET INCOME 14,153 7,595  
Total assets at period end 7,698,965 7,120,652 $ 7,526,409
Banking Segment [Member]      
Segment Reporting Information [Line Items]      
Net interest income 59,337 44,911  
Noninterest income 6,032 3,270  
Total income 65,369 48,181  
Provision for credit losses 7,327 4,471  
Compensation and benefits 32,739 29,175  
Premises and equipment expense 5,015 4,605  
Depreciation expense 1,058 765  
FDIC insurance expense 1,388 855  
Professional and legal fees 1,537 1,190  
Other operating expense 4,225 3,212  
Total operating expense 53,289 44,273  
INCOME BEFORE INCOME TAX EXPENSE 12,080 3,908  
Income tax expense 3,485 1,067  
NET INCOME 8,595 2,841  
Total assets at period end 7,473,043 6,980,396  
Wealth Management Division [Member]      
Segment Reporting Information [Line Items]      
Net interest income 559 594  
Noninterest income 16,565 15,584  
Total income 17,124 16,178  
Compensation and benefits 6,626 6,704  
Premises and equipment expense 673 663  
Depreciation expense 112 121  
Professional and legal fees 17    
Trust department expense 1,180 1,043  
Other operating expense 870 1,107  
Total operating expense 9,478 9,638  
INCOME BEFORE INCOME TAX EXPENSE 7,646 6,540  
Income tax expense 2,088 1,786  
NET INCOME 5,558 4,754  
Total assets at period end $ 225,922 $ 140,256  
v3.26.1
FAIR VALUE - Additional Information (Details) - Loans [Member] - Property A [Member]
 3 Months Ended
Mar. 31, 2026
Fair Value Measurement Inputs and Valuation Techniques [Line Items]  
Discount rate 15.00%
Age of appraisal 12 months
v3.26.1
FAIR VALUE (Schedule of Assets Measured on a Recurring Basis) (Details) - USD ($)
$ in Thousands
Mar. 31, 2026
Dec. 31, 2025
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Securities available for sale $ 710,046 $ 774,203
Loans held for sale, at fair value 0 450
Recurring Basis [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Total 734,905 798,479
Derivatives $ 8,421 $ 8,388
Derivative Liability, Statement of Financial Position [Extensible Enumeration] Accounts Payable and Other Accrued Liabilities Accounts Payable and Other Accrued Liabilities
Recurring Basis [Member] | Designated as Hedging Instrument [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivatives $ 3,063 $ 2,441
Derivatives   12
Recurring Basis [Member] | Not Designated as Hedging Instrument [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivatives 8,421 8,376
Derivatives 8,421 8,376
Recurring Basis [Member] | Quoted Prices in Active Market For Identical Assets (Level 1) [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Total 13,375 13,459
Recurring Basis [Member] | Significant Other Observable Inputs (Level 2) [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Total 721,530 785,020
Derivatives 8,421 8,388
Recurring Basis [Member] | Significant Other Observable Inputs (Level 2) [Member] | Designated as Hedging Instrument [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivatives 3,063 2,441
Derivatives   12
Recurring Basis [Member] | Significant Other Observable Inputs (Level 2) [Member] | Not Designated as Hedging Instrument [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivatives 8,421 8,376
Derivatives 8,421 8,376
U.S. Government-Sponsored Agencies [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Securities available for sale 186,581 211,223
U.S. Government-Sponsored Agencies [Member] | Recurring Basis [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Securities available for sale 186,581 211,223
U.S. Government-Sponsored Agencies [Member] | Recurring Basis [Member] | Significant Other Observable Inputs (Level 2) [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Securities available for sale 186,581 211,223
Mortgage-Backed Securities-Residential [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Securities available for sale 491,768 530,365
Mortgage-Backed Securities-Residential [Member] | Recurring Basis [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Securities available for sale 491,768 530,365
Mortgage-Backed Securities-Residential [Member] | Recurring Basis [Member] | Significant Other Observable Inputs (Level 2) [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Securities available for sale 491,768 530,365
SBA Pool Securities [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Securities available for sale 16,420 17,212
SBA Pool Securities [Member] | Recurring Basis [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Securities available for sale 16,420 17,212
SBA Pool Securities [Member] | Recurring Basis [Member] | Significant Other Observable Inputs (Level 2) [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Securities available for sale 16,420 17,212
Corporate Bond [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Securities available for sale 15,277 15,403
Corporate Bond [Member] | Recurring Basis [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Securities available for sale 15,277 15,403
Corporate Bond [Member] | Recurring Basis [Member] | Significant Other Observable Inputs (Level 2) [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Securities available for sale 15,277 15,403
CRA Investment Fund [Member] | Recurring Basis [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Securities available for sale 13,375 13,459
CRA Investment Fund [Member] | Recurring Basis [Member] | Quoted Prices in Active Market For Identical Assets (Level 1) [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Securities available for sale $ 13,375 $ 13,459
v3.26.1
FAIR VALUE - (Shedule of Residential Loans Heldfor Sale, at Fair Value) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Mar. 31, 2026
Fair Value Disclosures [Abstract]    
Residential loans contractual balance $ 445  
Fair value adjustment 5  
Loans held for sale, at fair value $ 450 $ 0
v3.26.1
FAIR VALUE (Schedule of Assets Measured on a Non-Recurring Basis) (Details) - Non-Recurring Basis [Member] - USD ($)
$ in Thousands
Mar. 31, 2026
Dec. 31, 2025
Commercial and Industrial [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Individually evaluated loans $ 2,540 $ 6,575
Commercial and Industrial [Member] | Significant Unobservable Inputs (Level 3) [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Individually evaluated loans 2,540 6,575
Lease Financing [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Individually evaluated loans 343  
Lease Financing [Member] | Significant Unobservable Inputs (Level 3) [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Individually evaluated loans 343  
Multifamily Property [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Individually evaluated loans 12,905 13,098
Multifamily Property [Member] | Significant Unobservable Inputs (Level 3) [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Individually evaluated loans 12,905 13,098
Investment Property [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Individually evaluated loans 935 935
Investment Property [Member] | Significant Unobservable Inputs (Level 3) [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Individually evaluated loans $ 935 $ 935
v3.26.1
FAIR VALUE (Schedule of Financial Instruments) (Details) - USD ($)
$ in Thousands
Mar. 31, 2026
Dec. 31, 2025
Financial Assets:    
Securities available for sale $ 710,046 $ 774,203
Securities held to maturity 79,478 95,862
FHLB and FRB stock [1] 14,170 14,605
Loans held for sale, at fair value 0 450
Loans held for sale, at lower of cost or fair value 8,311 4,437
Accrued interest receivable 33,115 31,971
Carrying Value [Member]    
Financial Assets:    
Cash and cash equivalents 253,414 187,820
Securities available for sale 710,046 774,203
Securities held to maturity 79,478 95,862
CRA investment fund 13,375 13,459
FHLB and FRB stock 14,170 14,605
Loans held for sale, at fair value   450
Loans held for sale, at lower of cost or fair value 8,311 4,437
Loans, net of allowance for credit losses 6,367,343 6,182,697
Accrued interest receivable 33,115 31,971
Financial Liabilities:    
Deposits 6,826,766 6,588,979
Short-term borrowings 63,830  
Subordinated debt   99,030
Accrued interest payable 5,500 5,788
Carrying Value [Member] | Not Designated as Hedging Instrument [Member]    
Financial Assets:    
Accrued interest receivable 415 [2] 541 [3]
Derivatives 8,006 7,835
Financial Liabilities:    
Accrued interest payable 415 [4] 541 [5]
Derivatives 8,006 7,835
Carrying Value [Member] | Designated as Hedging Instrument [Member]    
Financial Assets:    
Derivatives 3,063 2,441
Financial Liabilities:    
Derivatives   12
Fair value [Member]    
Financial Assets:    
Cash and cash equivalents 253,414 187,820
Securities available for sale 710,046 774,203
Securities held to maturity 70,837 87,491
CRA investment fund 13,375 13,459
Loans held for sale, at fair value   450
Loans held for sale, at lower of cost or fair value 9,204 4,819
Loans, net of allowance for credit losses 6,351,247 6,172,779
Accrued interest receivable 33,115 31,971
Financial Liabilities:    
Deposits 6,824,926 6,587,292
Short-term borrowings 63,830 73,267
Subordinated debt   97,388
Accrued interest payable 5,500 5,788
Fair value [Member] | Quoted Prices in Active Market For Identical Assets (Level 1) [Member]    
Financial Assets:    
Cash and cash equivalents 253,414 187,820
CRA investment fund 13,375 13,459
Financial Liabilities:    
Deposits 6,415,078 6,180,360
Accrued interest payable 4,766 5,025
Fair value [Member] | Significant Other Observable Inputs (Level 2) [Member]    
Financial Assets:    
Securities available for sale 710,046 774,203
Securities held to maturity 70,837 87,491
Loans held for sale, at fair value   450
Loans held for sale, at lower of cost or fair value 9,204 4,819
Accrued interest receivable 3,043 3,441
Financial Liabilities:    
Deposits 409,848 406,932
Short-term borrowings 63,830 73,267
Accrued interest payable 734 744
Fair value [Member] | Significant Unobservable Inputs (Level 3) [Member]    
Financial Assets:    
Loans, net of allowance for credit losses 6,351,247 6,172,779
Accrued interest receivable 30,072 28,530
Financial Liabilities:    
Subordinated debt   97,388
Accrued interest payable   19
Fair value [Member] | Not Designated as Hedging Instrument [Member]    
Financial Assets:    
Accrued interest receivable 415 [2] 541 [3]
Derivatives 8,006 7,835
Financial Liabilities:    
Accrued interest payable 415 [4] 541 [5]
Derivatives 8,006 7,835
Fair value [Member] | Not Designated as Hedging Instrument [Member] | Significant Other Observable Inputs (Level 2) [Member]    
Financial Assets:    
Accrued interest receivable 415 [2] 541 [3]
Derivatives 8,006 7,835
Financial Liabilities:    
Accrued interest payable 415 [4] 541 [5]
Derivatives 8,006 7,835
Fair value [Member] | Designated as Hedging Instrument [Member]    
Financial Assets:    
Derivatives 3,063 2,441
Financial Liabilities:    
Derivatives   12
Fair value [Member] | Designated as Hedging Instrument [Member] | Significant Other Observable Inputs (Level 2) [Member]    
Financial Assets:    
Derivatives $ 3,063 2,441
Financial Liabilities:    
Derivatives   $ 12
[1] FHLB means "Federal Home Loan Bank" and FRB means "Federal Reserve Bank."
[2] Included in other assets in the Consolidated Statement of Condition.
[3] Included in other assets in the Consolidated Statement of Condition.
[4] Included in accrued expenses and other liabilities in the Consolidated Statement of Condition.
[5] Included in accrued expenses and other liabilities in the Consolidated Statement of Condition.
v3.26.1
REVENUE FROM CONTRACTS WITH CUSTOMERS (Schedule of Noninterest Income) (Details) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Service charges on deposits    
Overdraft fees $ 97 $ 106
Interchange income 258 235
Other 1,004 771
Wealth management fees [1],[2] 16,503 15,435
Corporate advisory fee income 69 90
Other [3],[4] 4,666 2,217
Total other income $ 22,597 $ 18,854
[1] Includes investment brokerage fees.
[2] Includes investment brokerage fees.
[3] All of the other category is outside the scope of ASC 606.
[4] All of the other category is outside the scope of ASC 606.
v3.26.1
REVENUE FROM CONTRACTS WITH CUSTOMERS (Schedule of Noninterest Income by Operating Segment) (Details) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Service charges on deposits    
Overdraft fees $ 97 $ 106
Interchange income 258 235
Other 1,004 771
Wealth management fees [1],[2] 16,503 15,435
Corporate advisory fee income 69 90
Other [3],[4] 4,666 2,217
Total other income 22,597 18,854
Banking Segment [Member]    
Service charges on deposits    
Overdraft fees 97 106
Interchange income 258 235
Other 1,004 771
Corporate advisory fee income 69 90
Other [3] 4,604 2,068
Total other income 6,032 3,270
Wealth Management Division [Member]    
Service charges on deposits    
Wealth management fees [1] 16,503 15,435
Other [3] 62 149
Total other income $ 16,565 $ 15,584
[1] Includes investment brokerage fees.
[2] Includes investment brokerage fees.
[3] All of the other category is outside the scope of ASC 606.
[4] All of the other category is outside the scope of ASC 606.
v3.26.1
REVENUE FROM CONTRACTS WITH CUSTOMERS - Additional Information (Details) - USD ($)
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Disaggregation of Revenue [Line Items]    
Interchange income $ 258,000 $ 235,000
Cardholder Rewards [Member]    
Disaggregation of Revenue [Line Items]    
Interchange income $ 16,000 $ 11,000
v3.26.1
OTHER OPERATING EXPENSES (Schedule of Components of Other Operating Expenses) (Details) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Other operating expenses    
Professional and legal fees $ 1,554 $ 1,190
Trust department expense 1,180 1,043
Telephone 379 430
Loan expense 556 433
Amortization of intangible assets 244 272
Advertising 267 154
Other operating expenses 3,649 3,030
Total other operating expenses $ 7,829 $ 6,552
v3.26.1
ACCUMULATED OTHER COMPREHENSIVE INCOME/(LOSS) (Schedule of Accumulated Other Comprehensive Income/(Loss) Balances, Net of Tax) (Details) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Accumulated Other Comprehensive Income (Loss) [Line Items]    
Balance $ 658,206 $ 605,849
Total other comprehensive income/(loss) (2,068) 8,694
Balance 699,204 621,873
Net Unrealized Holding Gain/(Loss) on Securities Available for Sale, Net of Tax [Member]    
Accumulated Other Comprehensive Income (Loss) [Line Items]    
Balance (49,319) (72,148)
Other Comprehensive Income/(Loss) Before Reclassifications (2,586) 10,623
Amount Reclassified From Accumulated Other Comprehensive Income/(Loss) 59  
Total other comprehensive income/(loss) (2,527) 10,623
Balance (51,846) (61,525)
Gain/(Loss) on Cash Flow Hedge [Member]    
Accumulated Other Comprehensive Income (Loss) [Line Items]    
Balance 1,758 5,737
Other Comprehensive Income/(Loss) Before Reclassifications 459 (1,929)
Amount Reclassified From Accumulated Other Comprehensive Income/(Loss) 0  
Total other comprehensive income/(loss) 459 (1,929)
Balance 2,217 3,808
Accumulated Other Comprehensive Gain/(Loss), Net of Tax [Member]    
Accumulated Other Comprehensive Income (Loss) [Line Items]    
Balance (47,561) (66,411)
Other Comprehensive Income/(Loss) Before Reclassifications (2,127) 8,694
Amount Reclassified From Accumulated Other Comprehensive Income/(Loss) 59  
Total other comprehensive income/(loss) (2,068) 8,694
Balance $ (49,629) $ (57,717)
v3.26.1
ACCUMULATED OTHER COMPREHENSIVE INCOME/(LOSS) (Schedule of Reclassifications Out of Accumulated Other Comprehensive Income) (Details) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]    
Income tax expense $ (5,573) $ (2,853)
NET INCOME 14,153 $ 7,595
Reclassification out of Accumulated Other Comprehensive Income | Unrealized Gains/(Losses) On Securities Available For Sale [Member]    
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]    
Securities losses, net 81  
Income tax expense (22)  
NET INCOME $ 59  
v3.26.1
DERIVATIVES - Additional Information (Details) - USD ($)
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Dec. 31, 2025
Derivative [Line Items]      
Net interest income (expense) $ 59,896,000 $ 45,505,000  
Accrued interest receivable 33,115,000   $ 31,971,000
Interest Rate Swap [Member] | Designated as Hedging Instrument [Member]      
Derivative [Line Items]      
Notional amount 305,000,000   305,000,000
Net interest income (expense) 525,000 $ 1,000,000  
Interest Rate Swap [Member] | Designated as Hedging Instrument [Member] | Other Assets [Member]      
Derivative [Line Items]      
Notional amount 280,000,000   280,000,000
Interest Rate Swap [Member] | Designated as Hedging Instrument [Member] | Other Liabilities [Member]      
Derivative [Line Items]      
Notional amount 25,000,000   25,000,000
Loan Level Swaps [Member] | Not Designated as Hedging Instrument [Member]      
Derivative [Line Items]      
Notional amount 387,989,000   429,286,000
Loan Level Swaps [Member] | Not Designated as Hedging Instrument [Member] | Other Assets [Member]      
Derivative [Line Items]      
Accrued interest receivable $ 415,000    
Loan Level Swaps [Member] | Not Designated as Hedging Instrument [Member] | Other Liabilities [Member]      
Derivative [Line Items]      
Accrued interest payable     $ 541,000
v3.26.1
DERIVATIVES - (Schedule of Information about Interest Rate Swaps Designated as Cash Flow Hedges) (Details)
 3 Months Ended 12 Months Ended
Mar. 31, 2026
USD ($)
Contract
Dec. 31, 2025
USD ($)
Contract
Interest Rate Swap [Member] | Designated as Hedging Instrument [Member]    
Derivative [Line Items]    
Notional amount $ 305,000,000 $ 305,000,000
Fair Value $ 3,063,000 $ 2,429,000
Weighted average pay rate 2.17% 2.17%
Weighted average receive rate 2.87% 3.10%
Weighted average maturity 1 year 1 month 20 days 1 year 4 months 20 days
Unrealized gain/(loss), net $ 3,063,000 $ 2,429,000
Number of contracts | Contract 12 12
Loan Level Swaps [Member] | Not Designated as Hedging Instrument [Member]    
Derivative [Line Items]    
Notional amount $ 387,989,000 $ 429,286,000
Fair Value $ (8,006,000) $ (7,835,000)
Weighted average pay rate 4.13% 4.12%
Weighted average receive rate 5.28% 5.37%
Weighted average maturity 2 years 10 months 9 days 3 years 7 days
Number of contracts | Contract 48 53
v3.26.1
DERIVATIVES - (Schedule of Cash Flow Hedges Included in Financial Statements) (Details) - Interest Rate Swap [Member] - Designated as Hedging Instrument [Member] - USD ($)
Mar. 31, 2026
Dec. 31, 2025
Derivative [Line Items]    
Notional Amount $ 305,000,000 $ 305,000,000
Fair Value 3,063,000 2,429,000
Other Assets [Member]    
Derivative [Line Items]    
Notional Amount 280,000,000 280,000,000
Fair Value 3,063,000 2,441,000
Other Liabilities [Member]    
Derivative [Line Items]    
Notional Amount 25,000,000 25,000,000
Fair Value $ 0 $ (12,000)
v3.26.1
DERIVATIVES - (Schedule of Net Gains/(Loss) Recorded in Accumulated Other Comprehensive Income/(Loss)) (Details) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Derivative [Line Items]    
Gain/(loss) recognized in other comprehensive income (effective portion) $ 459 $ (1,929)
Interest Rate Swap [Member] | Designated as Hedging Instrument [Member]    
Derivative [Line Items]    
Gain/(loss) recognized in other comprehensive income (effective portion) $ 634 $ (2,553)
v3.26.1
PREFERRED STOCK - Additional Information (Details) - USD ($)
$ / shares in Units, $ in Thousands
 1 Months Ended 3 Months Ended
Mar. 31, 2026
Mar. 31, 2026
Dec. 31, 2025
Class of Stock [Line Items]      
Preferred Stock, Shares Issued 30,000 30,000 30,000
Proceeds from issuance of Preferred Stock   $ 30,000  
Preferred stock issuance   $ 30,000  
Series B Preferred Stock      
Class of Stock [Line Items]      
Preferred Stock, Shares Issued 30,000 30,000  
Proceeds from issuance of Preferred Stock $ 30,000    
Additional preferred stock shares issued 20,000    
Additional preferred stock issued $ 20,000    
Convertible Period 5 years    
Conversion at fixed rate $ 26.3157 $ 26.3157  
Dividend rate 6.00%    
Non-callable period 5 years    
v3.26.1
SUBORDINATED DEBT - Additional Information (Details) - Subordinated Debt [Member] - USD ($)
 1 Months Ended 3 Months Ended
Dec. 31, 2020
Mar. 31, 2026
Debt Instrument [Line Items]    
Principal amount $ 100,000,000  
Non-callable term 5 years  
Notes maturity date Dec. 22, 2030  
Fixed interest rate 3.50%  
LIBOR spread 3.26%  
Unpaid interest   $ 1,200,000
Remaining net issuance costs   $ 938,000
v3.26.1
LEASES - Additional Information (Details) - USD ($)
 3 Months Ended 12 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Dec. 31, 2025
Lessee Lease Description [Line Items]      
Operating lease right-of-use assets $ 38,079,000   $ 39,886,000
Operating lease liabilities $ 41,458,000   $ 43,294,000
Weighted average discount rate 4.46%   4.44%
Weighted average lease term 8 years 3 months 29 days   8 years 5 months 19 days
Operating lease costs $ 1,700,000 $ 1,700,000  
Variable lease costs $ 131,000 $ 119,000  
Minimum [Member]      
Lessee Lease Description [Line Items]      
Remaining lease term 3 months   6 months
Maximum [Member]      
Lessee Lease Description [Line Items]      
Remaining lease term 11 years   11 years
v3.26.1
LEASES (Schedule of Operating Lease Liabilities by Contractual Maturity) (Details) - USD ($)
$ in Thousands
Mar. 31, 2026
Dec. 31, 2025
Leases [Abstract]    
2026 $ 5,029  
2027 6,314  
2028 5,946  
2029 5,642  
2030 5,718  
Thereafter 21,298  
Total lease payments 49,947  
Less: imputed interest 8,489  
Total present value of lease payments $ 41,458 $ 43,294
v3.26.1
LEASES (Summary of Supplemental Cash Flow Information Related to Direct Finance and Operating Leases) (Details) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Leases [Abstract]    
Right-of-use asset obtained in exchange for lease obligation $ 0 $ 365
Operating cash flows from operating leases 1,699 1,447
Operating cash flows from direct finance leases 12 14
Financing cash flows from direct finance leases $ 35 $ 35