BCB Bancorp sells $205.3 million of problem loans, expects $43.3 million loss

  • BCB Community Bank agreed to sell several problem-loan portfolios to six purchasers.
  • $205.3 million in unpaid principal balance is covered, with a $43.3 million pretax loss estimated.
  • Five transactions have closed, and the sixth is expected before third-quarter 2026 ends.

BCB Bancorp, Inc. said its subsidiary BCB Community Bank entered definitive agreements between Sept. 21 and Sept. 24, 2026, with six purchasers to sell loan portfolios carrying approximately $205.3 million in aggregate unpaid principal balance as of June 30. Most of the loans were rated criticized or classified under the Bank's internal risk-rating system. The portfolios include $180.7 million of commercial and multifamily real estate loans, $14.8 million of commercial and industrial loans and $9.8 million of construction loans; business express loans are excluded. The sales are expected to produce an estimated pretax loss of $43.3 million in the third quarter of 2026. Five transactions have closed, while the sixth is expected to close before the end of the quarter. President and Chief Executive Officer Thomas M. O'Brien said the sales address legacy credit challenges, reduce balance-sheet risk and allow the institution to focus on becoming stronger, more sustainable and profitable.

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