REAL ESTATE LOAN RECEIVABLE (Tables)

6 Months Ended

Jun. 30, 2020

Receivables [Abstract]

Schedule of Loans Receivable

As of June 30, 2020, the Company, through an indirect wholly owned subsidiary, had originated one real estate loan receivable as follows (dollars in thousands):

Loan Name Location of Related  Property or Collateral	Date Originated	Property Type	Loan Type	Outstanding Principal Balance as of June 30, 2020	Book Value as of June 30, 2020 (1)	Contractual Interest Rate	Annualized Effective Interest Rate (2)	Maturity Date
Hardware Village First Mortgage (3)
Salt Lake City, Utah	05/07/20	Apartment	Mortgage	$150,213	$147,648	(3)	5.34%	05/06/2021

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⁽¹⁾ Book value represents outstanding principal balance, adjusted for unamortized origination discounts and origination costs and net of an allowance for credit losses. During the three and six months ended June 30, 2020, the Company recorded a provision for credit loss of $0.7 million, applying a probability-of-default method to measure the allowance for credit losses.

⁽²⁾ Annualized effective interest rate is calculated as the actual interest income recognized in 2020, using the interest method, annualized and divided by the average amortized cost basis of the investment during 2020.

⁽³⁾ See “Recent Origination - Hardware Village First Mortgage.”

Schedule of Activity Related to Loans Receivable

The following summarizes the activity related to the real estate loan receivable for the six months ended June 30, 2020 (in thousands):

Real estate loan receivable, net - December 31, 2019	$	—
Face value of real estate loan receivable originated	150,213
Discount on real estate loan receivable originated	(2,535)
Accretion of discount on real estate loan receivable originated	556
Origination costs on real estate loan receivable	120
Amortization of origination costs on real estate loan receivable	(26)
Provision for credit loss	(680)
Real estate loan receivable, net - June 30, 2020	$	147,648

Schedule of Interest Income from Real Estate Loans Receivable

For the three and six months ended June 30, 2020, interest income from the real estate loan receivable consisted of the following (in thousands):

	For the Three Months Ended June 30, 2020		For the Six Months Ended June 30, 2020
Contractual interest income	$	677	$	677
Accretion of origination discount	556		556
Amortization of origination costs	(26)		(26)
Interest income from real estate loan receivable	$	1,207	$	1,207