NEW YORK ( TheStreet) -- CenterState Bancorp ( CSFL)'s CEO Ernie Pinner -- one of TheStreet's 10 Best Industry-Loved Bank CEOs of 2010 -- says 2011 is going to be a challenging year for the banking industry, especially for community banks. Regulations, the lagging real estate industry and capital requirements will force many smaller banks to merge. In this Q&A Pinner discusses his predictions for the banking industry and goals for his bank in 2011 with TheStreet's Maria Woehr. TheStreet: What were your biggest challenges this year? Ernie Pinnner: Being in Florida, just dealing with the aftermath of the real estate bubble. It creates a lot of turmoil when Florida's basic business is shoveling real estate. More important is the impact on our marketplace with the customers and all of the people that are affiliated with the real estate business here. It brought about the recession, which has strongly influenced the bank in terms of earnings and credit quality. TheStreet: I noticed shares weren't as high as they were at the beginning of the year. What is your take on that? Pinner: Well, there is no question that we got hurt by a loss that came about in the third quarter. That came about from a sale of loans that we made. We took a pretty good hit on those loans. I'm confident that we could have disclosed that quicker and a more informative manner than we did. So that drove the price down pretty dramatically. It was trading in the $8.50 range and it got down to around $6. TheStreet: Looking ahead, what are your goals for 2011? Pinner: I would like to think we will have been able to make two or three more Federal Deposit Insurance Corp.-assisted bank deals, which hopefully would produce another $500 million to $600 million minimal in footings. With the transactions we made in 2010 we should begin to feel the impacts of those in our 2011 profits. Hopefully we can grow the balance sheet by 20 percent to 25 percent and get profits back to a respectful amount. TheStreet: Where do you see loans headed next year?