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LOANS HELD FOR INVESTMENT AT CARRYING VALUE (Tables)
 9 Months Ended
Sep. 30, 2024
LOANS HELD FOR INVESTMENT AT CARRYING VALUE [Abstract]  
Schedule of Loans Held at Carrying Value
The following table summarizes the Company’s loans held at carrying value as of September 30, 2024:
As of September 30, 2024
Outstanding
Principal (1)
Original
Issue
Discount
Carrying
Value (1)
Weighted
Average
Remaining Life
(Years) (2)
Senior mortgage loans (3)
$75,179,550 $(915,856)$74,263,694 2.7
Subordinate debt22,367,562 (225,510)22,142,052 2.6
Total loans held at carrying value
$97,547,112 $(1,141,366)$96,405,746 2.6
___________________________
(1)The difference between the Carrying Value and the Outstanding Principal amount of the loans consists of unaccreted OID and loan origination costs.
(2)Weighted average remaining life is calculated based on the carrying value of each respective group of loans as of September 30, 2024.
(3)Senior mortgage loans include senior loans that also have a contiguous subordinate loan because as a whole, the expected credit quality of the subordinate loan is more similar to that of a senior loan.
Schedule of Changes in Loans Held at Carrying Value
The following table presents changes in loans held at carrying value as of and for the nine months ended September 30, 2024:
Principal Original Issue
Discount 		Carrying Value
Total loans held at carrying value at December 31, 2023$— $— $— 
New fundings120,031,341 (1,255,761)118,775,580 
Funded interest2,428,444 — 2,428,444 
Accretion of original issue discount— 114,395 114,395 
Loan repayments(24,912,673)— (24,912,673)
Total loans held at carrying value at September 30, 2024
$97,547,112 $(1,141,366)$96,405,746 
Schedule of Loans Held at Carrying Value Portfolio
A more detailed listing of the Company’s loans held at carrying value portfolio based on information available as of September 30, 2024 is as follows:
Loan TypeLocation
Outstanding
Principal(1)
Original
Issue
Discount
Carrying
Value(1)
Interest
Rate
Maturity
Date(2)
Payment
Terms(3)
Senior mortgage loans:
Mixed-useHouston, TX$10,629,036 $(56,668)$10,572,368 16.5 %
(4)
2/26/2026I/O
ResidentialAustin, TX12,079,636 (129,133)11,950,503 9.1 %
(5)
7/3/2027I/O
HospitalitySan Antonio, TX25,342,611 (257,833)25,084,778 11.2 %
(6)
8/9/2027I/O
ResidentialPBG, FL18,262,152 (250,868)18,011,284 13.1 %
(7)
9/1/2027I/O
ResidentialPBG, FL8,866,115 (221,354)8,644,761 11.1 %
(8)
9/1/2027I/O
Subordinate debt:
ResidentialSarasota, FL22,367,562 (225,510)22,142,052 13.0 %
(9)
5/12/2027I/O
Total loans held at carrying value
$97,547,112 $(1,141,366)$96,405,746 
___________________________
(1)The difference between the Carrying Value and the Outstanding Principal amount of the loans consists of unaccreted OID and loan origination costs.
(2)Certain loans are subject to contractual extension options and may be subject to performance based or other conditions as stipulated in the loan agreement. Actual maturities may differ from contractual maturities stated herein as certain borrowers may have the right to prepay with or without paying a prepayment penalty. The Company may also extend contractual maturities and amend other terms of the loans in connection with loan modifications.
(3)I/O = interest-only, P/I = principal and interest. P/I loans may include interest-only periods for a portion of the loan term.
(4)Cash interest rate represents a blended rate of differing cash interest rates applicable to each of the senior and subordinate loans to which the Company is a lender under the credit agreements. The subordinate loan component bears interest at a base interest rate of 15.31% plus SOFR (SOFR floor of 2.42%) and the senior loan component bears interest at a base interest rate of 12.50%. In August 2024, the Company and the borrower entered into an amendment to, among other things, (i) extend the maturity date on both loans from November 2024 to February 2026, (ii) modify the senior loan interest rate from floating (3.48% plus SOFR, SOFR floor of 4.0%) to fixed 12.5% and (iii) include a $12.0 million upsize to the senior loan, of which the Company has commitments for $6.0 million and an affiliate co-investor has commitments for the rest.
(5)Base interest rate of 4.25% plus SOFR (SOFR floor of 4.75%).
(6)Base interest rate of 6.35% plus SOFR (SOFR floor of 4.50%).
(7)Base interest rate of 8.25% plus SOFR (SOFR floor of 4.00%).
(8)Base interest rate of 6.25% plus SOFR (SOFR floor of 4.00%).
(9)Base interest rate of 13.0%.