v3.26.1
Loans, Leases and Allowance (Tables)
 12 Months Ended
Dec. 31, 2025
Receivables [Abstract]  
Schedule of Accounts, Notes, Loans and Financing Receivable
Categories of loans and leases at December 31, 2025 and 2024 include:
 20252024
Commercial mortgage$414,316 $371,705 
Commercial and industrial142,508 126,367 
Construction and development71,705 132,570 
Multi-family208,894 185,864 
Residential mortgage171,063 172,644 
Home equity lines of credit20,147 16,826 
Leases145,806 148,102 
Consumer19,280 21,218 
1,193,719 1,175,296 
Less
Allowance for credit losses16,466 15,791 
Deferred loan fees440 626 
$1,176,813 $1,158,879 
Schedule of Financing Receivable Credit Quality Indicators
The following tables present the credit risk profile of the Company’s loan portfolio based on rating category, payment activity, and origination year as of December 31, 2025 and 2024:
20252024202320222021PriorRevolving loans amortized cost basisTotal
As of December 31, 2025:
Commercial mortgage
Pass$65,746 $28,457 $43,078 $81,156 $38,485 $104,920 $44,820 $406,662 
Substandard— — — — 7,654 — — 7,654 
Total Commercial mortgage65,746 28,457 43,078 81,156 46,139 104,920 44,820 414,316 
Current period gross charge-offs— — — — — — — — 
Commercial and industrial
Pass24,361 14,524 21,342 6,601 9,148 11,218 53,505 140,699 
Substandard— — — 173 — 30 1,606 1,809 
Total Commercial and industrial24,361 14,524 21,342 6,774 9,148 11,248 55,111 142,508 
Current period gross charge-offs— — — — 2 — — 2 
Construction and development
Pass31,478 14,823 1,914 1,516 15,946 105 — 65,782 
Special Mention— — 429 594 — — — 1,023 
Substandard— — — — — 4,900 — 4,900 
Total Construction and development31,478 14,823 2,343 2,110 15,946 5,005 — 71,705 
Current period gross charge-offs— — — — — — — — 
Multi-family
Pass19,060 16,545 10,946 62,286 46,369 20,269 26,246 201,721 
Substandard— — — 2,362 1,355 3,456 — 7,173 
Total Multi-family19,060 16,545 10,946 64,648 47,724 23,725 26,246 208,894 
Current period gross charge-offs— — — — — — — — 
Residential mortgage
Pass25,873 14,224 29,613 24,979 25,038 46,869 2,944 169,540 
Substandard— — 234 — 446 843 — 1,523 
Total Residential mortgage25,873 14,224 29,847 24,979 25,484 47,712 2,944 171,063 
Current period gross charge-offs— — — — — — — — 
Home equity lines of credit
Pass48 — 224 — 57 — 19,730 20,059 
Substandard— — — — — — 88 88 
Total Home equity lines of credit48 — 224 — 57 — 19,818 20,147 
Current period gross charge-offs— — — — — — — — 
Direct financing leases
Pass59,587 37,199 31,748 12,243 3,128 604 — 144,509 
Substandard— 64 225 232 61 — — 582 
Doubtful40 212 392 38 33 — — 715 
Total Direct financing leases59,627 37,475 32,365 12,513 3,222 604 — 145,806 
Current period gross charge-offs9 260 961 413 291 23 — 1,957 
Consumer
Pass6,246 4,586 3,793 2,933 1,163 391 122 19,234 
Substandard— — 24 — 22 — — 46 
Total Consumer6,246 4,586 3,817 2,933 1,185 391 122 19,280 
Current period gross charge-offs51 19 55 72 9 23 — 229 
Total Loans and Leases$232,439 $130,634 $143,962 $195,113 $148,905 $193,605 $149,061 $1,193,719 
Total current period gross charge-offs$60 $279 $1,016 $485 $302 $46 $— $2,188 
20242023202220212020PriorRevolving loans amortized cost basisTotal
As of December 31, 2024:
Commercial mortgage
Pass$22,469 $40,634 $82,254 $65,852 $31,382 $90,763 $33,393 $366,747 
Substandard— — — 234 4,724 — — 4,958 
Total Commercial mortgage22,469 40,634 82,254 66,086 36,106 90,763 33,393 371,705 
Current period gross charge-offs— — — — — — — — 
Commercial and industrial
Pass18,197 28,998 9,866 11,111 2,703 9,648 44,026 124,549 
Substandard— — 282 — — 35 1,501 1,818 
Total Commercial and industrial18,197 28,998 10,148 11,111 2,703 9,683 45,527 126,367 
Current period gross charge-offs— — — — — 16 — 16 
Construction and development
Pass20,811 44,837 43,691 18,185 30 116 — 127,670 
Substandard— — — — — 4,900 — 4,900 
Total Construction and development20,811 44,837 43,691 18,185 30 5,016 — 132,570 
Current period gross charge-offs— — — — — — — — 
Multi-family
Pass7,252 3,789 61,936 50,178 6,195 24,845 26,751 180,946 
Total Multi-family7,252 3,789 61,936 51,639 9,652 24,845 26,751 185,864 
Current period gross charge-offs— — — — — — — — 
Residential mortgage
Pass22,614 33,949 28,498 28,302 16,239 39,174 2,513 171,289 
Substandard— 35 — 450 — 870 — 1,355 
Total Residential mortgage22,614 33,984 28,498 28,752 16,239 40,044 2,513 172,644 
Current period gross charge-offs— — — — — 10 — 10 
Home equity lines of credit
Pass18 198 — 57 — — 16,539 16,812 
Substandard— — — — — — 14 14 
Total Home equity lines of credit18 198 — 57 — — 16,553 16,826 
Current period gross charge-offs— — — — — — — — 
Direct financing leases
Pass53,286 53,601 25,447 11,381 3,336 329 — 147,380 
Substandard127 318 175 40 28 — — 688 
Doubtful— 9 — 7 18 — — 34 
Total Direct financing leases53,413 53,928 25,622 11,428 3,382 329 — 148,102 
Current period gross charge-offs— 741 592 325 72 1 — 1,731 
Consumer
Pass6,807 6,272 5,200 2,088 438 314 — 21,119 
Substandard— 3 47 49 — — — 99 
Total Consumer6,807 6,275 5,247 2,137 438 314 — 21,218 
Current period gross charge-offs47 89 114 32 — 3 — 285 
Total Loans and Leases$151,581 $212,643 $257,396 $189,395 $68,550 $170,994 $124,737 $1,175,296 
Total current period gross charge-offs$47 $830 $706 $357 $72 $30 $— $2,042 
Schedule of Loans Classified by Aging Analysis
The following tables present the Company’s loan portfolio aging analysis of the recorded investment in loans as of December 31, 2025 and 2024:

2025
Delinquent Loans Total Portfolio LoansTotal Accruing Loans 90 Days or More Past Due
30-59 Days
Past Due		60-89 Days
Past Due		90 Days and
Over		Total Past
Due		Current
Commercial mortgage$— $— $7,435 $7,435 $406,881 $414,316 $— 
Commercial and industrial— — — — 142,508 142,508 — 
Construction and development— — 4,900 4,900 66,805 71,705 — 
Multi-family— — 2,362 2,362 206,532 208,894 2,362 
Residential mortgage773 481 1,522 2,776 168,287 171,063 1,445 
Home equity lines of credit126 70 88 284 19,863 20,147 88 
Leases511 296 299 1,106 144,700 145,806 299 
Consumer148 50 46 244 19,036 19,280 46 
Totals$1,558 $897 $16,652 $19,107 $1,174,612 $1,193,719 $4,240 

2024
Delinquent Loans Total Portfolio LoansTotal Accruing Loans 90 Days or More Past Due
30-59 Days
Past Due		60-89 Days
Past Due		90 Days and
Over		Total Past
Due		Current
Commercial mortgage$101 $216 $— $317 $371,388 $371,705 $— 
Commercial and industrial419 — — 419 125,948 126,367 — 
Construction and development429 240 4,900 5,569 127,001 132,570 — 
Multi-family— — — — 185,864 185,864 — 
Residential mortgage781 540 1,356 2,677 169,967 172,644 1,261 
Home equity lines of credit11 58 14 83 16,743 16,826 14 
Leases673 362 340 1,375 146,727 148,102 340 
Consumer108 183 99 390 20,828 21,218 99 
Totals$2,522 $1,599 $6,709 $10,830 $1,164,466 $1,175,296 $1,714 
Schedule of Financing Receivable, Nonaccrual
The following table presents information on the Company's nonaccrual loans and leases at December 31, 2025 and 2024:
December 31,
2025		December 31,
2024
Nonaccrual loans and leasesNonaccrual loans and leases without an allowance for credit lossesNonaccrual loans and leasesNonaccrual loans and leases without an allowance for credit losses
Commercial mortgage$7,435 $6,732 $— $— 
Commercial and industrial30 — 35 — 
Construction and development
4,900 — 4,900 — 
Residential mortgage76 76 94 94 
Direct financing leases715 715 34 34 
Total nonaccrual loans and leases$13,156 $7,523 $5,063 $128 
During the years ended December 31, 2025 and 2024, the Company recognized $3,000 and $5,000, respectively, of interest income on nonaccrual loans and leases.
The following tables present the Company's amortized cost basis of collateral dependent loans, and their respective collateral type, which are individually analyzed to determine expected credit losses, at the dates indicated:
December 31, 2025
Commercial Real EstateMulti-family HousingResidential Real EstateOtherTotalAllowance on Collateral Dependent Loans
Commercial mortgage$7,435 $— $— $— $7,435 $150 
Commercial and industrial— — — 1,607 1,607 — 
Construction and development
5,923 — — — 5,923 1,750 
Multi-family— 7,174 — — 7,174 250 
Residential mortgage— — 124 — 124 — 
Total$13,358 $7,174 $124 $1,607 $22,263 $2,150 

December 31, 2024
Commercial Real EstateMulti-family HousingResidential Real EstateOtherTotalAllowance on Collateral Dependent Loans
Commercial mortgage$4,724 $— $— $— $4,724 $— 
Commercial and industrial— — — 1,501 1,501 — 
Construction and development
4,900 — — — 4,900 1,000 
Multi-family— 1,461 — — 1,461 — 
Residential mortgage— — 143 — 143 — 
Total$9,624 $1,461 $143 $1,501 $12,729 $1,000 
Schedule of Direct Financing Lease, Lease Income
The following lists the components of the net investment in direct financing leases:
December 31, 2025December 31, 2024
Total minimum lease payments to be received$166,565 $168,934 
Initial direct costs9,422 9,360 
175,987 178,294 
Less:  Unearned income(30,181)(30,192)
Net investment in direct finance leases$145,806 $148,102 
Schedule of Lessor, Operating Lease, Payment to be Received, Fiscal Year Maturity
The following summarizes the future minimum lease payments receivable subsequent to December 31, 2025:
2026$65,255 
202747,954 
202831,526 
202916,216 
20305,283 
Thereafter331 
$166,565 
Schedule of Financing Receivable, Allowance for Credit Loss
The following tables summarize changes in the allowance for credit losses by segment for the years ended December 31, 2025 and 2024:
Balances, December 31, 2024Provision for (reversal of) credit lossesCharge-offsRecoveriesBalances, December 31, 2025
Commercial mortgage$4,486 $88 $— $1 $4,575 
Commercial and industrial1,483 302 (2)29 1,812 
Construction and development2,243 55 — — 2,298 
Multi-family2,660 (324)— — 2,336 
Residential mortgage1,910 (106)— 29 1,833 
Home equity184 5 — — 189 
Direct financing leases2,469 2,217 (1,957)346 3,075 
Consumer356 146 (229)75 348 
Total$15,791 $2,383 $(2,188)$480 $16,466 

Balances, December 31, 2023Provision for (reversal of) credit lossesCharge-offsRecoveriesBalances, December 31, 2024
Commercial mortgage$4,655 $(169)$— $— $4,486 
Commercial and industrial1,281 138 (16)80 1,483 
Construction and development3,883 (1,640)— — 2,243 
Multi-family1,789 871 — — 2,660 
Residential mortgage1,681 225 (10)14 1,910 
Home equity102 82 — — 184 
Direct financing leases1,955 1,942 (1,731)303 2,469 
Consumer317 185 (285)139 356 
Total$15,663 $1,634 $(2,042)$536 $15,791 
The following table details activity in the allowance for credit losses on unfunded commitments during the year ended December 31, 2025 and 2024:

Year Ended December 31,
20252024
Beginning balance
$558 $1,642 
Reversal of provision for credit losses(230)(1,084)
Ending balance
$328 $558