PREMISES AND EQUIPMENT AND LEASES (Tables)

12 Months Ended

Dec. 31, 2025

Premises and equipment were summarized as follows for the dates indicated below:


	December 31,
	2025		2024
	(In thousands)
Land	$	21,229	$	21,081
Buildings	72,965		72,168
Lease right-of-use assets	15,327		17,278
Leasehold improvements	10,568		10,608
Furniture, fixtures and equipment	27,800		25,853
Construction in progress	293		161
Total	148,182		147,149
Less: accumulated depreciation	42,064		35,293
Premises and equipment, net	$	106,118	$	111,856

Supplemental lease information at the dates indicated was as follows:


	December 31,
	2025			2024
	(Dollars in thousands)
Balance Sheet:
Operating lease right-of-use asset classified as premises and equipment	$	15,327		$	17,279
Operating lease liability classified as other liabilities	$	16,308		$	18,273
Weighted-average lease term, in years	6.74			7.24
Weighted-average discount rate	4.35		%	4.28		%

Lease costs for the dates indicated were as follows:

The following table summarizes the contractual maturity of the Company’s lease liabilities as of the dates indicated below:


	December 31,
	2025		2024
	(In thousands)
Lease payments due:
Within one year	$	4,095	$	4,140
After one but within two years	3,917		3,739
After two but within three years	3,756		3,578
After three but within four years	2,000		3,414
After four but within five years	1,030		1,656
After five years	4,410		5,189
Total lease payments	19,208		21,716
Discount on cash flows	(2,900)		(3,443)
Total lease liability	$	16,308	$	18,273

Stellar Bancorp, Inc. 10-K