Loans

9 Months Ended

Sep. 30, 2021

Loans and Leases Receivable, Net Amount [Abstract]

Loans

Loans

The following table summarizes the Company’s major classifications for loans (in thousands):

	September 30, 2021		December 31, 2020
Commercial and industrial	$	353,046	$	372,989
1-4 Family	108,913		109,812
Hotels	297,341		294,464
Multi-family	215,307		215,671
Non Residential Non-Owner Occupied	664,365		641,351
Non Residential Owner Occupied	205,579		213,484
Commercial real estate	1,491,505		1,474,782
Residential real estate	1,506,572		1,587,694
Home equity	124,806		136,469
Consumer	43,296		47,688
Demand deposit account (DDA) overdrafts	2,700		2,497
Gross loans	3,521,925		3,622,119
Allowance for credit losses	(18,751)		(24,549)
Net loans	$	3,503,174	$	3,597,570
Construction loans included in:
Commercial real estate	$	19,360	$	40,449
Residential real estate	19,059		27,078

The Company’s commercial and residential real estate construction loans are primarily secured by real estate within the Company’s principal markets.  These loans were originated under the Company’s loan policies, which are focused on the risk characteristics of the loan portfolio, including construction loans. In the judgment of the Company's management, adequate consideration has been given to these loans in establishing the Company's allowance for credit losses.

Paycheck Protection Program

The Company originated loans to its customers under the Paycheck Protection Program (“PPP”) administered by the Small Business Administration (“SBA”) under the provisions of the Coronavirus Aid, Relief, and Economic Security Act ("CARES Act"). Loans covered by the PPP may be eligible for loan forgiveness. The remaining loan balances, if any, after the loan forgiveness, are fully guaranteed by the SBA. Through September 30, 2021, the Company has funded approximately $136 million of SBA-approved PPP loans to over 2,500 customers. The Company started submitting forgiveness applications on behalf of its customers during the fourth quarter of 2020 and as of September 30, 2021, has received forgiveness proceeds of approximately $110 million.