The Company’s lending activities are conducted principally in metropolitan New York City. The Company primarily grants loans secured by real estate to individuals and businesses pursuant to an established credit policy applicable to each type of lending activity in which it engages. Although collateral provides assurance as a secondary source of repayment, the Company ordinarily requires the primary source of repayment to be based on the borrowers’ ability to generate continuing cash flows. The Company also evaluates the collateral and creditworthiness of each customer. The credit policy provides that depending on the borrowers’ creditworthiness and type of collateral, credit may be extended up to predetermined percentages of the market value of the collateral or on an unsecured basis. Real estate is the primary form of collateral. Other important forms of collateral are time deposits and marketable securities.

For disclosures related to the allowance for credit losses and credit quality, the Company does not have any disaggregated classes of loans below the segment level.

Credit-Quality Indicators: Internally assigned risk ratings are used as credit-quality indicators, which are reviewed by management on a quarterly basis.

The objectives of the Company’s risk-rating system are to provide the Board of Directors and senior management with an objective assessment of the overall quality of the loan portfolio, to promptly and accurately identify loans with well-defined credit weaknesses so that timely action can be taken to minimize credit loss, to identify relevant trends affecting the collectability of the loan portfolio, to isolate potential problem areas and to provide essential information for determining the adequacy of the allowance for credit losses.

Loans within the top four categories above are considered pass rated, as commonly defined. Risk ratings are assigned as necessary to differentiate risk within the portfolio. Risk ratings are reviewed on an ongoing basis and revised to reflect changes in the borrowers’ financial condition and outlook, debt service coverage capability, repayment performance, collateral value and coverage as well as other considerations.

The following tables summarize total loans by year of origination and internally assigned credit risk ratings:



	2026		2025		2024		2023		2022		2021 and Prior		Total
	(in thousands)
June 30, 2026
Mortgage Loans:
1-4 Family residential
Pass	$	4,881	$	6,359	$	6,863	$	41,027	$	96,344	$	260,612	$	416,086
Special mention		—		—		—		836		—		780		1,616
Substandard		—		—		—		—		—		8,641		8,641
Total 1-4 Family residential		4,881		6,359		6,863		41,863		96,344		270,033		426,343
Multifamily residential
Pass		334,357		136,378		104,316		70,038		154,795		235,893		1,035,777
Special mention		—		—		—		1,115		—		4,493		5,608
Substandard		—		—		—		7,650		—		8,577		16,227
Total Multifamily residential		334,357		136,378		104,316		78,803		154,795		248,963		1,057,612
Nonresidential properties
Pass		40,462		166,736		74,138		28,009		73,154		151,678		534,177
Special mention		—		—		—		—		—		—		—
Substandard		—		—		—		—		—		1,344		1,344
Total Nonresidential properties		40,462		166,736		74,138		28,009		73,154		153,022		535,521
Construction and Land
Pass		183,218		320,664		142,175		160,973		—		—		807,030
Special mention		—		—		—		5,081		—		—		5,081
Substandard		—		—		—		—		—		5,040		5,040
Total Construction and land		183,218		320,664		142,175		166,054		—		5,040		817,151
Total mortgage loans		562,918		630,137		327,492		314,729		324,293		677,058		2,836,627
Nonmortgage Loans:
Business loans
Pass		5,925		41,464		15,974		5,969		100		1,835		71,267
Special mention		—		239		589		—		—		175		1,003
Substandard		—		58		33		—		9		68		168
Total Business loans		5,925		41,761		16,596		5,969		109		2,078		72,438
Consumer loans
Pass		153		176		86		121		40		1		577
Special mention		—		—		—		—		—		—		—
Substandard		—		—		—		—		—		—		—
Total Consumer loans		153		176		86		121		40		1		577
Total nonmortgage loans		6,078		41,937		16,682		6,090		149		2,079		73,015
Total loans, gross	$	568,996	$	672,074	$	344,174	$	320,819	$	324,442	$	679,137	$	2,909,642



	2025		2024		2023		2022		2021		2020 and Prior		Total
	(in thousands)
December 31, 2025
Mortgage Loans:
1-4 Family residential
Pass	$	3,843	$	4,108	$	43,110	$	98,048	$	53,740	$	221,194	$	424,043
Special mention		—		—		842		—		823		1,180		2,845
Substandard		—		—		—		—		2,302		5,184		7,486
Total 1-4 Family residential		3,843		4,108		43,952		98,048		56,865		227,558		434,374
Multifamily residential
Pass		149,358		107,129		73,769		157,228		58,343		186,331		732,158
Special mention		—		4,462		1,121		—		4,332		1,357		11,272
Substandard		—		—		5,063		—		—		8,049		13,112
Total Multifamily residential		149,358		111,591		79,953		157,228		62,675		195,737		756,542
Nonresidential properties
Pass		170,449		77,935		28,328		74,281		59,835		112,768		523,596
Special mention		—		—		—		2,614		—		—		2,614
Substandard		—				—		—		—		—		—
Total Nonresidential properties		170,449		77,935		28,328		76,895		59,835		112,768		526,210
Construction and Land
Pass		279,271		143,515		358,926		56,297		—		—		838,009
Special mention		—		—		4,659		—		—		—		4,659
Substandard		—		—		—		—		3,180		8,248		11,428
Total Construction and land		279,271		143,515		363,585		56,297		3,180		8,248		854,096
Total mortgage loans		602,921		337,149		515,818		388,468		182,555		544,311		2,571,222
Nonmortgage Loans:
Business loans
Pass		26,618		17,183		6,421		105		457		1,609		52,393
Special mention		344		—		—		7		—		192		543
Substandard		—		37		—		12		78		—		127
Total Business loans		26,962		17,220		6,421		124		535		1,801		53,063
Consumer loans
Pass		275		127		160		57		6		—		625
Special mention		—		—		—		—		—		—		—
Substandard		—		—		—		—		—		—		—
Total Consumer loans		275		127		160		57		6		—		625
Total nonmortgage loans		27,237		17,347		6,581		181		541		1,801		53,688
Total loans, gross	$	630,158	$	354,496	$	522,399	$	388,649	$	183,096	$	546,112	$	2,624,910

An aging analysis of loans, as of June 30, 2026 and December 31, 2025, is as follows:


	June 30, 2026
			30-59		60-89		90 Days						90 Days
			Days		Days		or More				Nonaccrual		or More
	Current		Past Due		Past Due		Past Due		Total		Loans		Accruing
	(in thousands)
Mortgage loans:
1-4 Family residential	$	419,150	$	—	$	875	$	6,318	$	426,343	$	6,318	$	—
Multifamily residential		1,045,479				—		12,133		1,057,612		12,133		—
Nonresidential properties		535,061		—		460		—		535,521		—		—
Construction and land		812,111		—		—		5,040		817,151		5,040		—
Nonmortgage loans:
Business		70,698		1,074		589		77		72,438		77		—
Consumer		577		—		—		—		577		—		—
Total	$	2,883,076	$	1,074	$	1,924	$	23,568	$	2,909,642	$	23,568	$	—


	December 31, 2025
			30-59		60-89		90 Days						90 Days
			Days		Days		or More				Nonaccrual		or More
	Current		Past Due		Past Due		Past Due		Total		Loans		Accruing
	(in thousands)
Mortgage loans:
1-4 Family residential	$	420,591	$	6,836	$	2,110	$	4,837	$	434,374	$	4,837	$	—
Multifamily residential		740,222		3,208		—		13,112		756,542		13,112		—
Nonresidential properties		524,446		1,764		—		—		526,210		—		—
Construction and land		845,849		—		—		8,247		854,096		8,247		—
Nonmortgage loans:
Business		52,278		118		—		667		53,063		667		—
Consumer		625		—		—		—		625		—		—
Total	$	2,584,011	$	11,926	$	2,110	$	26,863	$	2,624,910	$	26,863	$	—

The following schedules detail the composition of the allowance for credit losses on loans and the related recorded investment in loans as of and for the six months ended June 30, 2026 and 2025, and as of and for the year ended December 31, 2025:



	For the Six Months Ended June 30, 2026
	Mortgage Loans								Nonmortgage Loans
	1-4 Family Residential		Multifamily		Nonresidential		Construction and Land		Business			Consumer			Total for the Period
	(in thousands)
Allowance for Credit Losses:
Balance, beginning of period	$	3,873	$	9,041	$	4,353	$	6,149	$	2,017		$	16		$	25,449
Provision (benefit) charged to expense		1,421		491		535		265		254			(4	)		2,962
Charge-offs		—		—		—		—		(858	)		—			(858	)
Recoveries		1		—		—		—		—			—			1
Balance, end of period	$	5,295	$	9,532	$	4,888	$	6,414	$	1,413		$	12		$	27,554
Ending balance: individually evaluated for impairment	$	—	$	—	$	—	$	—	$	77		$	—		$	77
Ending balance: collectively evaluated for impairment		5,295		9,532		4,888		6,414		1,336			12			27,477
Total	$	5,295	$	9,532	$	4,888	$	6,414	$	1,413		$	12		$	27,554
Loans:
Ending balance: individually evaluated for impairment	$	6,318	$	12,133	$	—	$	5,040	$	77		$	—		$	23,568
Ending balance: collectively evaluated for impairment		420,025		1,045,479		535,521		812,111		72,361			577			2,886,074
Total	$	426,343	$	1,057,612	$	535,521	$	817,151	$	72,438		$	577		$	2,909,642

	For the Three Months Ended June 30, 2026
	Mortgage Loans								Nonmortgage Loans
	1-4 Family Residential		Multifamily		Nonresidential		Construction and Land		Business			Consumer			Total for the Period
	(in thousands)
Allowance for loan losses:
Balance, beginning of period	$	4,674	$	7,946	$	4,742	$	5,608	$	3,258		$	10		$	26,238
Provision (benefit) charged to expense		620		1,586		146		806		(1,491	)		2			1,669
Charge-offs		—		—		—		—		(354	)		—			(354	)
Recoveries		1		—		—		—		—			—			1
Balance, end of period	$	5,295	$	9,532	$	4,888	$	6,414	$	1,413		$	12		$	27,554


	For the Six Months Ended June 30, 2025
	Mortgage Loans										Nonmortgage Loans
	1-4 Family Residential			Multifamily		Nonresidential		Construction and Land			Business			Consumer			Total for the Period
	(in thousands)
Allowance for loan losses:
Balance, beginning of period	$	5,932		$	5,004	$	2,697	$	7,710		$	1,113		$	46		$	22,502
(Benefit) provision charged to expense		(2,211	)		3,859		597		(815	)		672			(23	)		2,079
Charge-offs		(38	)		—		—		—			(444	)		(3	)		(485	)
Recoveries		—			—		—		—			4			—			4
Balance, end of period	$	3,683		$	8,863	$	3,294	$	6,895		$	1,345		$	20		$	24,100
Ending balance: individually evaluated for impairment	$	—		$	—	$	—	$	—		$	276		$	—		$	276
Ending balance: collectively evaluated for impairment		3,683			8,863		3,294		6,895			1,069			20			23,824
Total	$	3,683		$	8,863	$	3,294	$	6,895		$	1,345		$	20		$	24,100
Loans:
Ending balance: individually evaluated for impairment	$	2,283		$	11,703	$	405	$	4,807		$	276		$	—		$	19,474
Ending balance: collectively evaluated for impairment		450,067			681,967		404,107		878,655			47,096			840			2,462,732
Total	$	452,350		$	693,670	$	404,512	$	883,462		$	47,372		$	840		$	2,482,206

	For the Three Months Ended June 30, 2025
	Mortgage Loans										Nonmortgage Loans
	1-4 Family Residential			Multifamily		Nonresidential		Construction and Land			Business			Consumer			Total for the Period
	(in thousands)
Allowance for loan losses:
Balance, beginning of period	$	4,501		$	7,840	$	2,997	$	6,646		$	947		$	43		$	22,974
(Benefit) provision charged to expense		(818	)		1,023		297		249			620			(23	)		1,348
Charge-offs		—			—		—		—			(222	)		—			(222	)
Recoveries		—			—		—		—			—			—			—
Balance, end of period	$	3,683		$	8,863	$	3,294	$	6,895		$	1,345		$	20		$	24,100


	For the Year Ended December 31, 2025
	Mortgage Loans										Nonmortgage Loans
	1-4 Family Residential			Multifamily		Nonresidential		Construction and Land			Business			Consumer			Total for the Period
	(in thousands)
Allowance for loan losses:
Balance, beginning of year	$	5,932		$	5,004	$	2,697	$	7,710		$	1,113		$	46		$	22,502
(Benefit) provision charged to expense		(1,990	)		4,037		1,656		(1,561	)		2,309			18			4,469
Charge-offs		(69	)		—		—		—			(1,444	)		(48	)		(1,561	)
Recoveries		—			—		—		—			39			—			39
Balance, end of year	$	3,873		$	9,041	$	4,353	$	6,149		$	2,017		$	16		$	25,449
Ending balance: individually evaluated for impairment	$	—		$	—	$	—	$	—		$	667		$	—		$	667
Ending balance: collectively evaluated for impairment		3,873			9,041		4,353		6,149			1,350			16			24,782
Total	$	3,873		$	9,041	$	4,353	$	6,149		$	2,017		$	16		$	25,449
Loans:
Ending balance: individually evaluated for impairment	$	4,837		$	13,112	$	—	$	8,247		$	667		$	—		$	26,863
Ending balance: collectively evaluated for impairment		429,537			743,430		526,210		845,849			52,396			625			2,598,047
Total	$	434,374		$	756,542	$	526,210	$	854,096		$	53,063		$	625		$	2,624,910

The following tables summarize gross charge-offs by vintage:


	2026		2025		2024		2023		2022		2021 and Prior		Total
	(in thousands)
For the Six Months Ended June 30, 2026
Business loans	$	—	$	—	$	300	$	393	$	19	$	146	$	858
Total charge-offs	$	—	$	—	$	300	$	393	$	19	$	146	$	858


	2025		2024		2023		2022		2021		2020 and Prior		Total
	(in thousands)
For the Six Months Ended June 30, 2025
1-4 Family residential	$	—	$	—	$	—	$	—	$	—	$	38	$	38
Business loans		—		197		222		—		—		25		444
Consumer loans		—		—		3		—		—		—		3
Total charge-offs	$	—	$	197	$	225	$	—	$	—	$	63	$	485

Loans are evaluated for collectability when current information and events indicate that all amounts due may not be collectible according to the contractual terms of the related loan agreements. Loans are identified for individual evaluation by applying normal loan review procedures in accordance with the allowance for credit losses methodology. Management periodically assesses loans to determine whether they continue to share similar risk characteristics with their respective pools. Any loan that is, or will potentially be, no longer performing in accordance with the terms of the original loan contract is evaluated individually when it no longer shares similar risk characteristics with the pool.

The following information relates to non-accrual loans as of and for the six months ended June 30, 2026 and 2025 and as of and for the year ended December 31, 2025:


	Unpaid		Recorded Investment		Recorded Investment		Total				Average		Interest Income
As of and For the Six Months Ended	Principal		With No		With		Recorded		Related		Recorded		Recognized
June 30, 2026	Balance		Allowance		Allowance		Investment		Allowance		Investment		on a Cash Basis
	(in thousands)
Mortgage loans:
1-4 Family residential	$	6,354	$	6,318	$	—	$	6,318	$	—	$	4,930	$	87
Multifamily residential		12,133		12,133		—		12,133		—		11,491		185
Nonresidential properties		—		—		—		—		—		—		—
Construction and land		5,040		5,040		—		5,040		—		6,783		—
Nonmortgage loans:
Business		77		—		77		77		77		391		3
Consumer		—		—		—		—		—		—		—
Total	$	23,604	$	23,491	$	77	$	23,568	$	77	$	23,595	$	275

	Unpaid		Recorded Investment		Recorded Investment		Total				Average		Interest Income
As of and For the Six Months Ended	Principal		With No		With		Recorded		Related		Recorded		Recognized
June 30, 2025	Balance		Allowance		Allowance		Investment		Allowance		Investment		on a Cash Basis
	(in thousands)
Mortgage loans:
1-4 Family residential	$	2,270	$	2,283	$	—	$	2,283	$	—	$	2,494	$	26
Multifamily residential		11,393		11,703		—		11,703		—		10,587		147
Nonresidential properties		395		405		—		405		—		203		2
Construction and land		4,807		4,807		—		4,807		—		8,308		—
Nonmortgage loans:
Business		276		—		276		276		276		263		3
Consumer		—		—		—		—		—		—		—
Total	$	19,141	$	19,198	$	276	$	19,474	$	276	$	21,855	$	178


	Unpaid		Recorded Investment		Recorded Investment		Total				Average		Interest Income
As of and for the Year Ended	Principal		With No		With		Recorded		Related		Recorded		Recognized
December 31, 2025	Balance		Allowance		Allowance		Investment		Allowance		Investment		on a Cash Basis
	(in thousands)
Mortgage loans:
1-4 Family residential	$	4,819	$	4,837	$	—	$	4,837	$	—	$	3,182	$	209
Multifamily residential		12,731		13,112		—		13,112		—		11,815		390
Nonresidential properties		—		—		—		—		—		101		—
Construction and land		8,800		8,247		—		8,247		—		7,596		—
Nonmortgage loans:
Business		667		—		667		667		667		467		10
Consumer		—		—		—		—		—		—		—
Total	$	27,017	$	26,196	$	667	$	26,863	$	667	$	23,161	$	609

The Company adopted Accounting Standards Update (“ASU”) 2022-02 on January 1, 2023. Since adoption, the Company has modified one loan with borrowers experiencing financial difficulty. These modifications may include a reduction in interest rate, an extension in term, principal forgiveness and/or other than insignificant payment delay. At June 30, 2026 and December 31, 2025, there was one loan in the amount of $0.2 million with modifications to a borrower experiencing financial difficulty.

Prior to the adoption of ASU 2022-02 on January 1, 2023, the Company classified certain loans as troubled debt restructuring (“TDR”) loans when credit terms to a borrower in financial difficulty were modified, in accordance with ASC 310-40. With the adoption of ASU 2022-02 as of January 1, 2023, the Company has ceased to recognize or measure for new TDRs but those existing at December 31, 2022 will remain until settled.

At June 30, 2026 and December 31, 2025, there were 13 and 14 troubled debt restructured loans totaling $3.5 million and $3.6 million, respectively, of which $3.1 million and $3.2 million are on accrual status at June 30, 2026 and December 31, 2025, respectively. There were no commitments to lend additional funds to borrowers whose loans have been modified in a troubled debt restructuring.

Also included within the scope of the CECL standard are off-balance sheet loan commitments, which includes the unfunded portion of committed lines of credit and construction loans.

The Company estimates expected credit losses over the contractual period in which the company is exposed to credit risk through a contractual obligation to extend credit, unless that obligation is unconditionally cancellable by the Company. The allowance for credit losses on off-balance sheet exposures is adjusted as a provision for credit loss expense. The Company uses similar assumptions and risk factors that are developed for collectively evaluated financing receivables. This estimate includes consideration of the likelihood that funding will occur and an estimate of expected credit losses on commitments to be funded over its estimated life.

At June 30, 2026 and December 31, 2025, the allowance for off-balance sheet credit losses was $3.0 million and $2.1 million, respectively, which is included in the "Other liabilities" on the Consolidated Statements of Financial Condition. During the three months ended June 30, 2026 and 2025, the Company had $0.4 million and $0.3 million charged for the provision for credit losses, respectively, and during the six months ending June 30, 2026 and 2025, $0.8 million charged for the provision for credit losses and $0.7 million in benefit for credit losses, respectively, for off-balance items, which are included in "Provision for loan losses" in the Consolidated Statements of Operations.