Note J - Line of Credit

6 Months Ended

Jun. 30, 2022

Notes to Financial Statements

Debt Disclosure [Text Block]

Note I — Notes Payable and Paycheck Protection Program Loan

As of June 30, 2022, the principal balances on notes payable are as follows:

Loan	Original Debt Amount		Monthly Payment		Balance as of 6/30/22			Lender	Term (in years)			Interest Rate			Loan Maturity
Corporate D&O Insurance (4)	$	450,000	$	38,000	$	37,000		MetaBank		1			3.95	%	7/31/2022
MVP Clarksburg Lot	$	476,000	Interest Only		$	476,000		Vestin Realty Mortgage I		1			7.00	%	8/25/2022
MCI 1372 Street	$	574,000	Interest Only		$	574,000		Vestin Realty Mortgage I		1			7.00	%	8/25/2022
MVP Milwaukee Old World	$	771,000	Interest Only		$	1,871,000		Vestin Realty Mortgage I		1			7.00	%	8/25/2022
MVP Milwaukee Clybourn	$	191,000	Interest Only		$	191,000		Vestin Realty Mortgage I		1			7.00	%	8/25/2022
MVP Wildwood NJ Lot, LLC	$	1,000,000	Interest Only		$	1,000,000		Vestin Realty Mortgage I		1			7.00	%	8/25/2022
MVP Cincinnati Race Street, LLC	$	2,550,000	Interest Only		$	3,450,000		Vestin Realty Mortgage II		1			7.00	%	8/25/2022
Minneapolis Venture	$	2,000,000	Interest Only		$	4,000,000		Vestin Realty Mortgage I		1			7.00	%	8/25/2022
MVP Memphis Poplar (3)	$	1,800,000	Interest Only		$	1,800,000		LoanCore		5			5.38	%	3/6/2024
MVP St. Louis (3)	$	3,700,000	Interest Only		$	3,700,000		LoanCore		5			5.38	%	3/6/2024
1W7 Carpark, LLC and 222W7th Holdco, LLC	$	339,000	$	6,400	$	140,000		FlashParking, Inc		5			5.00	%	5/31/2024
Mabley Place Garage, LLC	$	9,000,000	$	44,000	$	7,717,000		Barclays		10			4.25	%	12/6/2024
322 Streeter Holdco LLC	$	25,900,000	Interest Only		$	25,683,000		American National Insurance Co.		5	*		3.50	%	3/1/2025
MVP Houston Saks Garage, LLC	$	3,650,000	$	20,000	$	3,007,000		Barclays Bank PLC		10			4.25	%	8/6/2025
Minneapolis City Parking, LLC	$	5,250,000	$	29,000	$	4,442,000		American National Insurance, of NY		10			4.50	%	5/1/2026
MVP Bridgeport Fairfield Garage, LLC	$	4,400,000	$	23,000	$	3,718,000		FBL Financial Group, Inc.		10			4.00	%	8/1/2026
West 9th Properties II, LLC	$	5,300,000	$	30,000	$	4,559,000		American National Insurance Co.		10			4.50	%	11/1/2026
MVP Fort Worth Taylor, LLC	$	13,150,000	$	73,000	$	11,342,000		American National Insurance, of NY		10			4.50	%	12/1/2026
MVP Detroit Center Garage, LLC	$	31,500,000	$	194,000	$	27,944,000		Bank of America		10			5.52	%	2/1/2027
MVP St. Louis Washington, LLC (1)	$	1,380,000	$	8,000	$	1,287,000		KeyBank		10	*		4.90	%	5/1/2027
St. Paul Holiday Garage, LLC (1)	$	4,132,000	$	24,000	$	3,853,000		KeyBank		10	*		4.90	%	5/1/2027
Cleveland Lincoln Garage, LLC (1)	$	3,999,000	$	23,000	$	3,729,000		KeyBank		10	*		4.90	%	5/1/2027
MVP Denver Sherman, LLC (1)	$	286,000	$	2,000	$	266,000		KeyBank		10	*		4.90	%	5/1/2027
MVP Milwaukee Arena Lot, LLC (1)	$	2,142,000	$	12,000	$	1,998,000		KeyBank		10	*		4.90	%	5/1/2027
MVP Denver 1935 Sherman, LLC (1)	$	762,000	$	4,000	$	710,000		KeyBank		10	*		4.90	%	5/1/2027
MVP Louisville Broadway Station, LLC (2)	$	1,682,000	Interest Only		$	1,682,000		Cantor Commercial Real Estate		10	**		5.03	%	5/6/2027
MVP Whitefront Garage, LLC (2)	$	6,454,000	Interest Only		$	6,454,000		Cantor Commercial Real Estate		10	**		5.03	%	5/6/2027
MVP Houston Preston Lot, LLC (2)	$	1,627,000	Interest Only		$	1,627,000		Cantor Commercial Real Estate		10	**		5.03	%	5/6/2027
MVP Houston San Jacinto Lot, LLC (2)	$	1,820,000	Interest Only		$	1,820,000		Cantor Commercial Real Estate		10	**		5.03	%	5/6/2027
St. Louis Broadway, LLC (2)	$	1,671,000	Interest Only		$	1,671,000		Cantor Commercial Real Estate		10	**		5.03	%	5/6/2027
St. Louis Seventh & Cerre, LLC (2)	$	2,057,000	Interest Only		$	2,057,000		Cantor Commercial Real Estate		10	**		5.03	%	5/6/2027
MVP Indianapolis Meridian Lot, LLC (2)	$	938,000	Interest Only		$	938,000		Cantor Commercial Real Estate		10	**		5.03	%	5/6/2027
St Louis Cardinal Lot DST, LLC (5)	$	6,000,000	Interest Only		$	6,000,000		Cantor Commercial Real Estate		10	**		5.25	%	5/31/2027
MVP Preferred Parking, LLC	$	11,330,000	Interest Only		$	11,330,000		Key Bank		10	**		5.02	%	8/1/2027
Less unamortized loan issuance costs					$	(774,000	)
					$	150,299,000

(1)	The Company issued a promissory note to KeyBank for $12.7 million secured by the pool of properties.
(2)	The Company issued a promissory note to Cantor Commercial Real Estate Lending, L.P. (“CCRE”) for $16.25 million secured by the pool of properties.
(3)	On February 8, 2019, subsidiaries of the Company, consisting of MVP PF St. Louis 2013, LLC (“MVP St. Louis 2013”), and MVP PF Memphis Poplar 2013, LLC (“MVP Memphis Poplar”), LLC entered into a loan agreement, dated as of February 8, 2019, with LoanCore Capital Credit REIT LLC (“LoanCore”). Under the terms of the Loan Agreement, LoanCore agreed to loan MVP St. Louis 2013 and MVP Memphis Poplar $5.5 million to repay and discharge the outstanding KeyBank loan agreement. The loan is secured by a Mortgage, Assignment of Leases and Rents, Security Agreement and Fixture Filing on each of the properties owned by MVP St. Louis 2013 and MVP Memphis Poplar.
(4)	On September 30, 2021, the Company entered into a loan with Meta Bank to finance $337,500 of the Directors & Officers insurance policy premium. The loan matured on July 31, 2022.
(5)	Pursuant to the Closing of the Transaction, the Company recorded the $6.0 million loan with Cantor Commercial Real Estate upon the consolidation of its investment in MVP St. Louis Cardinal Lot, DST. See Note I for further information.

* 2 Year Interest Only

** 10 Year Interest Only

During April 2022, the Company received notification from the Small Business Administration stating that the round two paycheck protection program loan was forgiven in full in the amount of $328,000.

Reserve funds are generally required for repairs and replacements, real estate taxes, and insurance premiums.  Some notes contain various terms and conditions including debt service coverage ratios and debt yield limits.  Borrowers for six of the Company’s loans totaling $58.6 million and seven loans totaling $96.0 million failed to meet loan covenants as of June 30, 2022 and December 31, 2021, respectively. As a result, these borrowers are subject to additional cash management procedures, which resulted in approximately $442,000 and $359,000 of restricted cash at  June 30, 2022 and  December 31, 2021, respectively. In order to exit these procedures, certain debt service coverage ratios or debt yield tests must be exceeded for two consecutive quarters to return to less restrictive cash management procedures.

As of June 30, 2022, future principal payments on notes payable are as follows:

2022 (remainder)		12,833,000
2023		2,575,000
2024		15,308,000
2025		30,795,000
2026		22,630,000
Thereafter		66,932,000
Total	$	151,073,000

Line of Credit [Member]

Notes to Financial Statements

Debt Disclosure [Text Block]

Note J - Line of Credit

On March 29, 2022, the Company entered into a Credit Agreement (the "Credit Agreement") with KeyBanc Capital Markets, as lead arranger, and KeyBank, National Association, as administrative agent.  The Credit Agreement refinances the Company’s current loan agreements for certain properties. The Credit Agreement will provide for, among other things, a $75,000,000 revolving credit facility, maturing on April 1, 2023. The Credit Agreement may be extended to October 1, 2023 if no event of default is in existence upon receipt of written request 120 – 60 days prior to maturity date and payment of an extension fee pursuant to the terms of the Credit Agreement (the “Revolving Facility”). The Revolving Facility may be increased by up to an additional $75,000,000 provided that no event of default has occurred and is continuing and certain other conditions are satisfied.  Borrowings under the Revolving Facility bear interest at a SOFR benchmark rate or Alternate Base Rate, plus a margin of between 1.75% and 3.00%, with respect to SOFR loans, or 0.75% to 2.00%, with respect to base rate loans, based on the Company’s leverage ratio as calculated under the Credit Agreement. The Credit Agreement is secured by a pool of properties and requires compliance with certain financial covenants. The Credit Agreement also includes financial covenants that require the Company to (i) maintain a total leverage ratio not to exceed 65.0%, (ii) not to exceed certain fixed charge coverage ratios, and (iii) maintain a certain tangible net worth.

On April 15, 2022 the Company used proceeds from the Credit Agreement to pay a loan in full with LoanCore in the amount of $37.9 million. The loan had a maturity date of December 9, 2022 and was secured by a pool of six properties: MVP Raider Park Garage, LLC, MVP New Orleans Rampart, LLC, MVP Hawaii Marks Garage, LLC, MVP Milwaukee Wells, LLC, MVP Indianapolis City Park, LLC, and MVP Indianapolis WA Street, LLC.  On April 21, 2022 the Company also used proceeds from the Credit Agreement to pay two loans in full with Associated Bank in a combined amount of $18.2 million. The loans had maturity dates of May 1, 2022 and October 1, 2022 and were secured by properties 1W7 Carpark, LLC and 222W7th Holdco, LLC, respectively.  On June 6, 2022 the Company used additional proceeds of $17.6 million in the acquisition of 222 Sheridan Bricktown Garage LLC. Refer above to Note D - Acquisitions and Dispositions of Investments in Real Estate.  As of June 30, 2022, the Company had drawn $73.7 million of the available $75.0 million in the Credit Agreement.  For the three and six months ended June 30, 2022, the Company has paid approximately $2.0 million in loan fees.