Question-and-Answer Session
Operator
(Operator Instructions) Your first question comes from Brett Rabatin with FRN Midwest. Please go ahead.
Brett Rabatin – FTN Midwest
Wanted to -- first get an update on the homebuilder portfolio. How much is related to residential out of the 700 or so in total loans. How much in land and then if you guess geographically go through where you have exposure?
David Porter
Hi Brett this is David Porter. Approximately 45% of our total construction portfolio is related to residential construction. Of that amount with regard to land I am going to say that 25% -- lets see maybe 20% of the residential portfolio would be land itself and keep in mind that many of these projects include both lot development and housing construction at the same time.
Brett Rabatin – FTN Midwest
So that, I’m sorry to disinterest you though the land include lot development as well?
David Porter
No, the land would be more just the land itself, but typical in Homebuilding we’ll have developed lots as well as construction on houses going on, within a single project. With regard to geographic distribution I think, I indicated last quarter that we had about a 130 million of the Homebuilding portfolio outside our footprint in the Central California and Reno, Nevada area and that’s still a -- I think that’s still a good number to use
Brett Rabatin – FTN Midwest
So, that number hasn’t really changed much?
David Porter
It hasn’t no.
Brett Rabatin – FTN Midwest
Okay. Its says 130 million is the 79 million that you downgraded in the quarter, is that a reflection entirely of the 130 million outside of the footprint, or can you give us some color on where the downgraded loans came from and how many -- how many that represents?
David Porter
Sure, that’s a good question, Brett. Actually, as we indicated last quarter there was a large homebuilder in the Central Valley that was downgraded that represented about $33 million of non-accrual loans. This quarter we have three large relationships. The total approximately $60 million of that went to non-accrual status, one of those for about 23 million is in the Central Valley, the other two which totaled about $35 million are actually within the footprint. So the total of those five projects represents about a $105 million of our total non-performing assets.
Brett Rabatin – FTN Midwest
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