LOANS AND ALLOWANCE FOR CREDIT LOSSES

3 Months Ended

Mar. 31, 2026

LOANS AND ALLOWANCE FOR CREDIT LOSSES

LOANS AND ALLOWANCE FOR CREDIT LOSSES

NOTE 5 — LOANS AND ALLOWANCE FOR CREDIT LOSSES

Loans, net of deferred costs and fees, consist of the following (in thousands):


		At			At
		March 31,			December 31,
		2026			2025
Real estate
Commercial		$	5,433,868		$	5,201,489
Construction			239,456			261,804
Multi-family			393,702			397,010
One-to four-family			85,523			86,449
Total real estate loans			6,152,549			5,946,752
Commercial and industrial			902,822			871,652
Consumer			9,757			10,349
Total loans			7,065,128			6,828,753
Deferred fees, net of origination costs			(18,581)			(18,520)
Loans, net of deferred fees and costs			7,046,547			6,810,233
Allowance for credit losses			(82,071)			(97,081)
Net loans		$	6,964,476		$	6,713,152

At March 31, 2026, $3.9 billion of loans were pledged to support wholesale funding, of which $529.5 million were encumbered. At December 31, 2025, $3.7 billion of loans were pledged to support wholesale funding, of which $446.5 million were encumbered.

The following tables present the activity in the ACL for funded loans by segment. The portfolio segments represent the categories that the Company uses to determine its ACL (in thousands):


											Multi-			One-to four-
Three months ended March 31, 2026		CRE			C&I			Construction			family			family			Consumer			Total
Allowance for credit losses:
Beginning balance		$	60,818		$	10,180		$	2,511		$	22,619		$	540		$	413		$	97,081
Provision/(credit) for credit losses			(7,383)			6,735			(1,101)			(823)			86			(83)			(2,569)
Loans charged-off			(7,973)			(4,329)			—			—			—			(153)			(12,455)
Recoveries			—			—			—			—			—			14			14
Total ending allowance balance		$	45,462		$	12,586		$	1,410		$	21,796		$	626		$	191		$	82,071


											Multi-			One-to four-
Three months ended March 31, 2025		CRE			C&I			Construction			family			family			Consumer			Total
Allowance for credit losses:
Beginning balance		$	42,070		$	10,991		$	1,962		$	7,290		$	577		$	383		$	63,273
Provision/(credit) for credit losses			2,577			1,262			556			(31)			25			79			4,468
Loans charged-off			—			—			—			—			—			(118)			(118)
Recoveries			—			180			—			—			—			—			180
Total ending allowance balance		$	44,647		$	12,433		$	2,518		$	7,259		$	602		$	344		$	67,803

Net charge-offs for the three months ended March 31, 2026 were $12.4 million. Net recoveries for the three months ended March 31, 2025, were $62,000.

The following tables present the activity in the ACL for unfunded loan commitments (in thousands):


		Three months ended March 31,
	* *	2026			2025
Balance at the beginning of period		$	2,140		$	2,008
Provision/(credit) for credit losses			269			38
Total ending allowance balance		$	2,409		$	2,046

The following tables present the recorded investment in non-accrual loans and loans past due 90 days and greater and still accruing, by class of loans (in thousands):


								Loans Past Due
					Non-accrual			90 Days and
		Total			Without an			Greater and
At March 31, 2026		Non-accrual			ACL			Still Accruing
Commercial real estate		$	26,081		$	2,082		$	2,461
Commercial & industrial			—			—			—
Multi-family			42,554			7,815			—
One-to-four family			2,416			2,416			—
Consumer			—			—			—
Total		$	71,051		$	12,313		$	2,461


								Loans Past Due
					Non-accrual			90 Days and
		Total			Without an			Greater and
At December 31, 2025		Non-accrual			ACL			Still Accruing
Commercial real estate		$	32,809		$	3,365		$	—
Commercial & industrial			8,989			6,989			—
Multi-family			42,599			7,861			—
One-to-four family			2,450			2,450			—
Consumer			—			—			37
Total		$	86,847		$	20,665		$	37

Interest income on non-accrual loans recognized on a cash basis for the three months ended March 31, 2026 and 2025 was immaterial.

The following tables present the aging of the recorded investment in past due loans by class of loans (in thousands):


								Non-accrual or			Total Past
		30-59			60-89			90 Days and			Due or			Current
At March 31, 2026		Days			Days			Greater			Non-accrual			Loans			Total
Commercial real estate		$	6,041		$	2,761		$	28,542		$	37,344		$	5,396,524		$	5,433,868
Commercial & industrial			12			5,042			—			5,054			897,768			902,822
Construction			—			—			—			—			239,456			239,456
Multi-family			1,399			—			42,554			43,953			349,749			393,702
One-to four-family			—			—			2,416			2,416			83,107			85,523
Consumer			—			—			—			—			9,757			9,757
Total		$	7,452		$	7,803		$	73,512		$	88,767		$	6,976,361		$	7,065,128


								Non-accrual or			Total Past
		30-59			60-89			90 Days and			Due or			Current
At December 31, 2025		Days			Days			Greater			Non-accrual			Loans			Total
Commercial real estate		$	—		$	—		$	32,809		$	32,809		$	5,168,680		$	5,201,489
Commercial & industrial			—			200			8,989			9,189			862,463			871,652
Construction			—			—			—			—			261,804			261,804
Multi-family			1,755			—			42,599			44,354			352,656			397,010
One-to four-family			1,246			—			2,450			3,696			82,753			86,449
Consumer			81			—			37			118			10,231			10,349
Total		$	3,082		$	200		$	86,884		$	90,166		$	6,738,587		$	6,828,753

Credit Quality Indicators

The Company aggregates loans into risk categories based on relevant information about the ability of borrowers to service their debt such as: current financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. Except for one-to four-family loans and consumer loans, the Company analyzes loans individually by classifying the loans as to credit risk ratings at least annually. For one-to four-family loans and consumer loans, the Company evaluates credit quality based on the aging status of the loan. An analysis is performed on a quarterly basis for loans classified as special mention, substandard or doubtful. The Company uses the following definitions for risk ratings. Loans not meeting these definitions are considered to be pass-rated loans.

Special Mention - Loans classified as special mention have a potential weakness that deserves management’s attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or of the Company’s credit position at some future date.

Substandard - Loans classified as substandard 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 Company will sustain some loss if the deficiencies are not corrected.

Doubtful - Loans classified as doubtful have all the weaknesses inherent in those classified as substandard, with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions and values highly questionable and improbable.

The following table presents loan balances by credit quality indicator and year of origination at March 31, 2026 and charge-offs for the three months ended March 31, 2026 (in thousands):


																	2021
		2026			2025			2024			2023			2022			& Prior			Revolving			Total
CRE
Pass		$	622,210		$	2,236,658		$	968,306		$	632,327		$	493,861		$	330,629		$	50,426		$	5,334,417
Special Mention			25,467			22,941			21,500			—			—			—			—			69,908
Substandard			—			3,461			—			—			24,000			2,082			—			29,543
Total		$	647,677		$	2,263,060		$	989,806		$	632,327		$	517,861		$	332,711		$	50,426		$	5,433,868

Construction
Pass		$	23,197		$	90,986		$	65,863		$	28,794		$	—		$	—		$	30,616		$	239,456
Total		$	23,197		$	90,986		$	65,863		$	28,794		$	—		$	—		$	30,616		$	239,456

Multi-family
Pass		$	73,738		$	101,277		$	26,083		$	30,194		$	34,559		$	65,314		$	2,086		$	333,251
Special Mention			—			14,753			—			—			1,745			1,399			—			17,897
Substandard			—			40,025			2,529			—			—			—			—			42,554
Total		$	73,738		$	156,055		$	28,612		$	30,194		$	36,304		$	66,713		$	2,086		$	393,702

One-to four-family
Current		$	—		$	—		$	—		$	45,000		$	3,127		$	34,980		$	—		$	83,107
Past Due			—			—			—			—			—			2,416			—			2,416
Total		$	—		$	—		$	—		$	45,000		$	3,127		$	37,396		$	—		$	85,523

C&I
Pass		$	64,200		$	50,619		$	69,821		$	13,183		$	64,858		$	8,185		$	583,145		$	854,011
Special Mention			—			—			200			—			—			—			—			200
Substandard			1,466			12,338			—			3,840			20,968			—			9,999			48,611
Total		$	65,666		$	62,957		$	70,021		$	17,023		$	85,826		$	8,185		$	593,144		$	902,822

Consumer
Current		$	—		$	—		$	—		$	—		$	—		$	9,757		$	—		$	9,757
Total		$	—		$	—		$	—		$	—		$	—		$	9,757		$	—		$	9,757

Total
Pass/Current		$	783,345		$	2,479,540		$	1,130,073		$	749,498		$	596,405		$	448,865		$	666,273		$	6,853,999
Special Mention			25,467			37,694			21,700			—			1,745			1,399			—			88,005
Substandard/Past due			1,466			55,824			2,529			3,840			44,968			4,498			9,999			123,124
Total		$	810,278		$	2,573,058		$	1,154,302		$	753,338		$	643,118		$	454,762		$	676,272		$	7,065,128

Charge-offs
CRE		$	—		$	—		$	—		$	—		$	—		$	7,973		$	—		$	7,973
C&I			—			—			—			—			—			4,329			—			4,329
Consumer			—			—			—			—			—			153			—			153
Total		$	—		$	—		$	—		$	—		$	—		$	12,455		$	—		$	12,455

The following table presents loan balances by credit quality indicator and year of origination at December 31, 2025 and charge-offs for the year ended December 31, 2025 (in thousands):


																	2020
		2025			2024			2023			2022			2021			& Prior			Revolving			Total
CRE
Pass		$	2,514,770		$	1,030,181		$	675,773		$	524,079		$	192,304		$	135,336		$	50,491		$	5,122,934
Special Mention			19,525			21,500			—			—			1,246			—			—			42,271
Substandard			3,475			—			—			24,000			8,809			—			—			36,284
Total		$	2,537,770		$	1,051,681		$	675,773		$	548,079		$	202,359		$	135,336		$	50,491		$	5,201,489

Construction
Pass		$	129,806		$	49,898		$	51,484		$	—		$	—		$	—		$	30,616		$	261,804
Total		$	129,806		$	49,898		$	51,484		$	—		$	—		$	—		$	30,616		$	261,804

Multi-family
Pass		$	169,606		$	32,869		$	30,296		$	36,451		$	60,650		$	8,930		$	2,671		$	341,473
Special Mention			12,938			—			—			—			—			—			—			12,938
Substandard			40,070			2,529			—			—			—			—			—			42,599
Total		$	222,614		$	35,398		$	30,296		$	36,451		$	60,650		$	8,930		$	2,671		$	397,010

One-to four-family
Current		$	—		$	—		$	45,000		$	3,192		$	211		$	35,596		$	—		$	83,999
Substandard			—			—			—			—			—			2,450			—			2,450
Total		$	—		$	—		$	45,000		$	3,192		$	211		$	38,046		$	—		$	86,449

C&I
Pass		$	130,514		$	138,733		$	46,470		$	80,377		$	16,377		$	2,372		$	399,005		$	813,848
Substandard			14,008			—			7,643			20,968			—			—			15,185			57,804
Total		$	144,522		$	138,733		$	54,113		$	101,345		$	16,377		$	2,372		$	414,190		$	871,652

Consumer
Current		$	—		$	—		$	—		$	—		$	—		$	10,231		$	—		$	10,231
Past due			—			—			—			—			—			118			—			118
Total		$	—		$	—		$	—		$	—		$	—		$	10,349		$	—		$	10,349

Total
Pass/Current		$	2,944,696		$	1,251,680		$	849,023		$	644,099		$	269,543		$	192,465		$	482,783		$	6,634,289
Special Mention			32,463			21,500			—			—			1,246			—			—			55,209
Substandard/Past due			57,553			2,529			7,643			44,968			8,809			2,568			15,185			139,255
Total		$	3,034,712		$	1,275,709		$	856,666		$	689,067		$	279,598		$	195,033		$	497,968		$	6,828,753

Charge-offs
Multi-family		$	—		$	—		$	—		$	—		$	3,827		$	—		$	—		$	3,827
Consumer		$	—		$	—		$	—		$	—		$	—		$	262		$	—		$	262
Total		$	—		$	—		$	—		$	—		$	3,827		$	262		$	—		$	4,089

A loan is considered collateral dependent when the borrower is experiencing financial difficulties and repayment is expected to be substantially provided by the operation or sale of the collateral. The following table presents collateral dependent loans by portfolio segment as of March 31, 2026 and December 31, 2025. These loans are classified as substandard as of March 31, 2026 and December 31, 2025:



		March 31,			December 31,
		2026			2025
Collateral dependent loans:
Commercial real estate		$	29,543		$	36,284
Multi-family			42,554			42,599
One-to four-family			2,416			2,450
Total		$	74,513		$	81,333

The following tables show the amortized cost basis of modified loans to borrowers experiencing financial difficulty during the periods indicated (in thousands):




										Modifications
										as a % of
		Extension					Total			Loan Class
Three months ended March 31, 2026
None		$	—				$	—		—




										Modifications
										as a % of
		Extension					Total			Loan Class
Three months ended March 31, 2025
Multi-family			51,239					51,239		13.2%
Total		$	51,239				$	51,239		13.2%

The following tables describe the types of modifications made to borrowers experiencing financial difficulty:


		Types of Modifications
				Weighted
				Average
				Interest
		Term		Rate
		Extension		Reduction
Three months ended March 31, 2026
None		—		—

Three months ended March 31, 2025
Multi-family		6-12 months		—

There were no loans to borrowers experiencing financial difficulty that had a payment default during the three months ended March 31, 2026 that were modified in the prior 12 months before default. At March 31, 2026 there were no additional commitments to lend to borrowers experiencing financial difficulty whose loans have been modified. There were $7.0 million of C&I loans to borrowers experiencing financial difficulty that had a payment default during the three months

ended March 31, 2025 that were modified in the prior 12 months before default. At March 31, 2025, there were no additional commitments to lend to borrowers experiencing financial difficulty whose loans have been modified.