LOANS HELD FOR INVESTMENT, NET (Tables)

3 Months Ended

Mar. 31, 2021

LOANS HELD FOR INVESTMENT, NET

Loan Categories

The following table presents the loan categories for the period ended as indicated:

(In thousands)	March 31, 2021		December 31, 2020
One-to-four family residential and cooperative/condominium apartment	$	696,415	$	184,989
Multifamily residential and residential mixed-use		3,567,207		2,758,743
Commercial real estate ("CRE")		3,631,287		1,878,167
Acquisition, development, and construction ("ADC")		254,170		156,296
Total real estate loans		8,149,079		4,978,195
Commercial and industrial ("C&I")		2,332,610		641,533
Other loans		24,409		2,316
Total		10,506,098		5,622,044
Allowance for credit losses		(98,200)		(41,461)
Loans held for investment, net	$	10,407,898	$	5,580,583

Activity in Allowance for Loan Losses

The following tables present data regarding the allowance for credit losses activity for the periods indicated:

	At or for the Three Months Ended March 31, 2021
	Real Estate Loans
	One-to-Four
	Family
	Residential,
	Including		Multifamily		Commercial
	Condominium		Residential		Real Estate
	and		and		and
	Cooperative		Residential		Commercial				Total Real				Other
(In thousands)	Apartment		Mixed-Use		Mixed-Use		ADC		Estate		C&I		Loans		Total
Allowance for credit losses:
Beginning balance, prior to the adoption of CECL	$	644	$	17,016	$	9,059	$	1,993	$	28,712	$	12,737	$	12	$	41,461
Impact of adopting CECL		1,048		(8,254)		4,849		381		(1,976)		(1,935)		(8)		(3,919)
Adjusted beginning balance as of January 1, 2021		1,692		8,762		13,908		2,374		26,736		10,802		4		37,542
PCD Day 1		2,220		3,292		23,124		117		28,753		23,374		157		52,284
Provision (credit) for credit losses		1,235		(1,397)		7,813		1,408		9,059		3,219		371		12,649
Charge-offs		(14)		(236)		(8)		—		(258)		(4,017)		—		(4,275)
Ending balance	$	5,133	$	10,421	$	44,837	$	3,899	$	64,290	$	33,378	$	532	$	98,200

	At or for the Three Months Ended March 31, 2020
	Real Estate Loans
	One-to Four
	Family
	Residential,
	Including		Multifamily		Commercial
	Condominium		Residential		Real Estate
	and		and		and
	Cooperative		Residential		Commercial				Total Real				Other
(In thousands)	Apartment		Mixed-Use		Mixed-Use		ADC		Estate		C&I		Loans		Total
Allowance for credit losses:
Beginning balance	$	269	$	10,142	$	3,900	$	1,244	$	15,555	$	12,870	$	16	$	28,441
Provision (credit) for credit losses		376		4,127		2,442		427		7,372		641		(1)		8,012
Charge-offs		—		—		(6)		—		(6)		—		—		(6)
Recoveries		—		14		—		—		14		2		—		16
Ending balance	$	645	$	14,283	$	6,336	$	1,671	$	22,935	$	13,513	$	15	$	36,463

The following table presents the amortized cost basis of loans on non-accrual status as of the period indicated:

		March 31, 2021
		Non-accrual with		Non-accrual with
(In thousands)		No Allowance	Allowance			Reserve
One-to-four family residential and cooperative/condominium apartment	$	-	$	5,384	$	134
Multifamily residential and residential mixed-use		4,844		-		-
CRE		3,552		7,043		2,786
ADC		-		104		59
C&I		-		14,523		7,881
Other		-		99		58
Total	$	8,396	$	27,153	$	10,918

The following table presents the balance in the allowance for loan losses and the recorded investment in loans by portfolio segment and based on impairment method, prior to the adoption of ASC 326, as of the dates indicated:

	December 31, 2020
	Real Estate Loans
	One-to-Four
	Family
	Residential,
	Including		Multifamily		Commercial
	Condominium		Residential		Real Estate
	and		and		and
	Cooperative		Residential		Commercial				Total Real				Other
(In thousands)	Apartment		Mixed-Use		Mixed-Use		ADC		Estate		C&I		Loans		Total
Allowance for loan losses:
Individually evaluated for impairment	$	—	$	—	$	—	$	—	$	—	$	6,474	$	—	$	6,474
Collectively evaluated for impairment		644		17,016		9,059		1,993		28,712		6,263		12		34,987
Total ending allowance balance	$	644	$	17,016	$	9,059	$	1,993	$	28,712	$	12,737	$	12	$	41,461
Loans:
Individually evaluated for impairment	$	—	$	1,863	$	2,704	$	—	$	4,567	$	12,502	$	—	$	17,069
Collectively evaluated for impairment		184,989		2,756,880		1,875,463		156,296		4,973,628		629,031		2,316		5,604,975
Total ending loans balance	$	184,989	$	2,758,743	$	1,878,167	$	156,296	$	4,978,195	$	641,533	$	2,316	$	5,622,044

Impaired Real Estate Loans

The following tables summarize impaired loans with no related allowance recorded and with related allowance recorded as of the periods indicated (by collateral type within the real estate loan segment):

The following table summarizes impaired loans recorded as of the date indicated:

	December 31, 2020
	Unpaid
	Principal		Recorded		Related
(In thousands)	Balance		Investment(1)		Allowance
With no related allowance recorded:
Multifamily residential and residential mixed-use	$	1,863	$	1,863	$	—
CRE		2,704		2,704		—
Total with no related allowance recorded		4,567		4,567		—
With an allowance recorded:
C&I		12,502		12,502		6,474
Total with an allowance recorded		12,502		12,502		6,474
Total	$	17,069	$	17,069	$	6,474

(1) The recorded investment excludes net deferred costs due to immateriality.

The following table presents information for impaired loans for the period indicated:

	Three Months Ended
	March 31, 2020
	Average		Interest
	Recorded		Income
(In thousands)	Investment(1)		Recognized(2)
With no related allowance recorded:
One-to-four family residential and cooperative/condominium apartment	$	2,948	$	—
Multifamily residential and residential mixed-use		743		6
CRE		58		1
Total with no related allowance recorded		3,749		7
With an allowance recorded:
C&I		10,082		—
Total	$	13,831	$	7

(1) The recorded investment excludes net deferred costs due to immateriality.

(2) Cash basis interest and interest income recognized on accrual basis approximate each other.

Past Due Financing Receivables

The following tables summarize the past due status of the Company’s investment in loans (excluding net deferred costs and accrued interest) as of the dates indicated:

	March 31, 2021
					Loans 90
					Days or
	30 to 59		60 to 89		More Past Due
	Days		Days		and Still		Non-		Total				Total
(In thousands)	Past Due		Past Due		Accruing Interest		accrual (1)		Past Due		Current		Loans
Real estate:
One-to-four family residential, including condominium and cooperative apartment	$	7,027	$	686	$	45	$	5,384	$	13,142	$	683,273	$	696,415
Multifamily residential and residential mixed-use		3,984		8,340		2,871		4,844		20,039		3,547,168		3,567,207
CRE		4,702		3,334		2,259		10,595		20,890		3,610,397		3,631,287
ADC		—		—		—		104		104		254,066		254,170
Total real estate		15,713		12,360		5,175		20,927		54,175		8,094,904		8,149,079
C&I		13,254		410		3,652		14,523		31,839		2,300,771		2,332,610
Other		9		89		—		99		197		24,212		24,409
Total	$	28,976	$	12,859	$	8,827	$	35,549	$	86,211	$	10,419,887	$	10,506,098

(1) Includes all loans on non-accrual status regardless of the number of days such loans were delinquent as of March 31, 2021.

	December 31, 2020
					Loans 90
					Days or
	30 to 59		60 to 89		More Past Due
	Days		Days		and Still		Non-		Total				Total
(In thousands)	Past Due		Past Due		Accruing Interest		accrual (1)		Past Due		Current		Loans
Real estate:
One-to-four family residential, including condominium and cooperative apartment	$	—	$	—	$	44	$	858	$	902	$	184,087	$	184,989
Multifamily residential and residential mixed-use		—		—		437		1,863		2,300		2,756,443		2,758,743
CRE		15,351		—		—		2,704		18,055		1,860,112		1,878,167
ADC		—		—		—		—		—		156,296		156,296
Total real estate		15,351		—		481		5,425		21,257		4,956,938		4,978,195
C&I		—		917		2,848		12,502		16,267		625,266		641,533
Other		8		1		—		1		10		2,306		2,316
Total	$	15,359	$	918	$	3,329	$	17,928	$	37,534	$	5,584,510	$	5,622,044

(1) Includes all loans on non-accrual status regardless of the number of days such loans were delinquent as of December 31, 2020.

Loans Approved for Deferral

	March 31, 2021
	Number
	of Loans	Balance(1)		% of Portfolio
(Dollars in thousands)
One-to-four family residential and cooperative/condominium apartment	15	$	15,489	2.2	%
Multifamily residential and residential mixed-use	—		—	—
CRE	8		24,174	0.7
ADC	1		13,500	5.3
C&I	10		13,491	0.6
Total	34	$	66,654	0.6

(1) Amount excludes net deferred costs due to immateriality.

Credit Risk Profile of the Real Estate Loans

	March 31, 2021
(In thousands)	2021		2020		2019		2018		2017		2016 and Prior		Revolving		Revolving-Term		Total
One-to-four family residential, and condominium/cooperative apartment:
Pass	$	30,658	$	102,503	$	95,992	$	105,587	$	101,101	$	177,780	$	54,179	$	13,426	$	681,226
Special mention		—		—		381		152		371		5,106		846		1,106		7,962
Substandard		—		—		745		46		—		5,157		—		1,279		7,227
Doubtful		—		—		—		—		—		—		—		—		—
Total one-to-four family residential, and condominium/cooperative apartment		30,658		102,503		97,118		105,785		101,472		188,043		55,025		15,811		696,415
Multifamily residential and residential mixed-use:
Pass		95,876		365,073		518,902		215,459		464,424		1,672,655		9,698		11		3,342,098
Special mention		—		—		1,005		—		17,169		17,057		—		—		35,231
Substandard		—		—		34,421		27,280		32,564		95,117		496		—		189,878
Doubtful		—		—		—		—		—		—		—		—		—
Total multifamily residential and residential mixed-use		95,876		365,073		554,328		242,739		514,157		1,784,829		10,194		11		3,567,207
CRE:
Pass		184,029		867,480		604,893		396,946		404,571		978,940		50,050		26,440		3,513,349
Special mention		—		4,256		2,673		9,031		13,536		11,578		—		—		41,074
Substandard		—		589		3,400		13,235		22,060		37,567		—		10		76,861
Doubtful		—		—		—		—		—		—		—		3		3
Total CRE		184,029		872,325		610,966		419,212		440,167		1,028,085		50,050		26,453		3,631,287
ADC:
Pass		8,105		39,106		23,599		10,520		5,615		1,355		121,537		29,651		239,488
Special mention		—		—		—		1,077		—		—		—		13,500		14,577
Substandard		—		—		—		—		—		105		—		—		105
Doubtful		—		—		—		—		—		—		—		—		—
Total ADC		8,105		39,106		23,599		11,597		5,615		1,460		121,537		43,151		254,170
C&I:
Pass		560,948		991,821		71,898		44,089		47,108		38,787		461,029		42,082		2,257,762
Special mention		—		2,345		1,270		5,553		765		559		22,566		3,078		36,136
Substandard		—		49		839		1,417		3,228		1,314		4,118		15,190		26,155
Doubtful		—		—		210		—		11,929		190		—		228		12,557
Total C&I		560,948		994,215		74,217		51,059		63,030		40,850		487,713		60,578		2,332,610
Total Loans	$	879,616	$	2,373,222	$	1,360,228	$	830,392	$	1,124,441	$	3,043,267	$	724,519	$	146,004	$	10,481,689

	December 31, 2020
			Special
(In thousands)	Pass		Mention		Substandard		Doubtful		Total
Real Estate:
One-to-four family residential and condominium/cooperative apartment	$	183,293	$	—	$	1,696	$	—	$	184,989
Multifamily residential and residential mixed-use		2,523,258		56,400		179,085		—		2,758,743
CRE		1,831,712		13,861		32,594		—		1,878,167
ADC		142,796		13,500		—		—		156,296
Total real estate		4,681,059		83,761		213,375		—		4,978,195
C&I		613,691		2,131		13,315		12,396		641,533
Total Real Estate and C&I	$	5,294,750	$	85,892	$	226,690	$	12,396	$	5,619,728

(In thousands)	March 31, 2021		December 31, 2020
Performing	$	24,310	$	2,315
Non-accrual		99		1
Total	$	24,409	$	2,316