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Real Estate Loans, Notes Receivable, and Lines of Credit (Tables)
 9 Months Ended
Sep. 30, 2020
Receivables [Abstract]  
Schedule of Accounts, Notes, Loans and Financing Receivable [Table Text Block]
September 30, 2020December 31, 2019
Number of loans25 27 
Number of underlying properties in development18 19 
(In thousands)
Drawn amount$323,629 $352,582 
Deferred loan origination fees(1,567)(1,476)
Allowance for loan losses(12,461)(1,400)
Carrying value$309,601 $349,706 
Unfunded loan commitments$62,964 $61,718 
Weighted average current interest, per annum (paid monthly)8.50 %8.48 %
Weighted average accrued interest, per annum3.84 %3.85 %
(In thousands)Principal balanceDeferred loan origination feesAllowances and CECL ReservesCarrying value
Balances as of December 31, 2019$352,582 $(1,476)$(1,400)$349,706 
Opening CECL reserve— — (7,414)(7,414)
Loan fundings42,193 — — 42,193 
Loan repayments(71,146)— — (71,146)
Loan origination fees collected— (882)— (882)
Amortization of loan origination fees— 791 — 791 
Reserve increases due to loan originations— — (767)(767)
Net increases in reserves on existing loans or loans repaid— — (2,880)(2,880)
Balances as of September 30, 2020$323,629 $(1,567)$(12,461)$309,601 

Property typeNumber of loansCarrying valueCommitment amountPercentage of portfolio
(In thousands)
Residential properties24 $299,219 $367,400 97 %
New Market Properties— — — — %
Preferred Office Properties1 10,382 19,193 3 %
Balances as of September 30, 202025 $309,601 $386,593 
Notes receivable [Table Text Block] portfolio of notes and lines of credit receivable consisted of:
BorrowerDate of loanMaturity dateTotal loan commitmentsOutstanding balance as of:Interest rate
September 30, 2020December 31, 2019
(In thousands)
Preferred Capital Marketing Services, LLC (1)
N/AN/A$— $— $650 N/A
Preferred Apartment Advisors, LLC (1)
N/AN/A— — 15,178 N/A
Haven Campus Communities, LLC (1,2)
6/11/201412/31/201811,660 9,011 9,011 8 %
Newport Development Partners, LLC6/17/20146/30/20211,000 — — 12 %
Oxford Capital Partners, LLC (3)
10/5/20156/30/20218,000 1,006 5,438 10 %
Mulberry Development Group, LLC (4)
3/31/20166/30/2021750 670 525 12 %
360 Capital Company, LLC (4)
5/24/201612/31/20203,400 1,218 3,394 12 %
360 Capital Company, LLC (1)
7/24/2018N/A— — 7,754 N/A
Unamortized loan fees— — (33)
$24,810 $11,905 $41,917 
(1) See related party disclosure in Note 6.
(2) The amount payable under the note is collateralized by one of the principals of the borrower's 49.49% interest in an unrelated shopping center located in Atlanta, Georgia and a personal guaranty of repayment by the principals of the borrower.
(3) The amounts payable under the terms of this revolving credit line, up to the lesser of 25% of the loan balance or $2.0 million, are collateralized by a personal guaranty of repayment by the principals of the borrower. The overall decrease in the Oxford LOC balance is a function of an approximate $5.0 million paydown on July 31, 2020, that was required as part of the LOC agreement whenever a Capital Transaction involving the Manassas Palisades property occurred. This property was sold on July 31, 2020 and the related mezz loan was repaid to PAC. Therefore, a corresponding paydown on the Oxford LOC was made to reduce the sum of the principal balance.
(4) The amounts payable under the terms of these revolving credit lines are collateralized by a personal guaranty of repayment by the principals of the borrower.
interest income [Table Text Block]
The Company recorded interest income and other revenue from these instruments as follows:
Interest incomeThree month periods ended September 30,Nine-month periods ended September 30,
(In thousands)2020201920202019
Real estate loans:
Current interest$6,921 $8,083 $21,070 $23,031 
Additional accrued interest3,052 3,471 9,208 10,040 
Loan origination fee amortization264 283 791 1,063 
Purchase option termination fee amortization421 1,283 4,896 6,900 
Default interest63 — 186 — 
Total real estate loan revenue10,721 13,120 36,151 41,034 
Notes and lines of credit536 1,865 2,056 4,278 
Bank and money market accounts1 169 38 562 
Agency mortgage-backed securities— — — 95 
Interest income on loans and notes receivable$11,258 $15,154 $38,245 $45,969 
Real Estate Loan Investments Receivable, By Final Reserve Ratio The following table presents the Company's aggregation of loan amounts by final reserve ratio as of September 30, 2020:
Final reserve ratioNumber of loansTotal receivables by project, net of reserves (in thousands)
— %3 $28,921 
0.50 %10 108,630 
1.00 %3 17,876 
1.50 %4 26,729 
3.00 %3 27,902 
4.00 %1 126,768 
5.00% +1 3,776 
25 $340,602