Cover
Cover - shares | 9 Months Ended | |
Sep. 30, 2021 | Oct. 20, 2021 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Document Period End Date | Sep. 30, 2021 | |
Document Fiscal Period Focus | Q3 | |
Document Fiscal Year Focus | 2021 | |
Current Fiscal Year End Date | --12-31 | |
Entity File Number | 000-25991 | |
Entity Registrant Name | MANHATTAN BRIDGE CAPITAL, INC. | |
Entity Central Index Key | 0001080340 | |
Entity Tax Identification Number | 11-3474831 | |
Entity Incorporation, State or Country Code | NY | |
Entity Address, Address Line One | 60 Cutter Mill Road | |
Entity Address, City or Town | Great Neck | |
Entity Address, State or Province | NY | |
Entity Address, Postal Zip Code | 11021 | |
City Area Code | (516) | |
Local Phone Number | 444-3400 | |
Title of 12(b) Security | Common shares, par value $.001 | |
Trading Symbol | LOAN | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 11,494,945 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) | Sep. 30, 2021 | Dec. 31, 2020 |
Assets | ||
Loans receivable | $ 53,574,221 | $ 58,097,970 |
Interest receivable on loans | 995,384 | 827,236 |
Cash | 109,692 | 131,654 |
Cash - restricted | 327,483 | |
Other assets | 93,387 | 66,566 |
Operating lease right-of-use asset, net | 330,795 | 369,699 |
Deferred financing costs, net | 12,798 | 22,807 |
Total assets | 55,116,277 | 59,843,415 |
Liabilities: | ||
Line of credit | 3,484,151 | 20,308,873 |
Senior secured notes (net of deferred financing costs of $341,013 and $397,327, respectively) | 5,658,987 | 5,602,673 |
Deferred origination fees | 453,583 | 367,638 |
Accounts payable and accrued expenses | 75,958 | 168,940 |
Operating lease liability | 336,606 | 372,907 |
Dividends payable | 1,058,194 | |
Total liabilities | 10,009,285 | 27,879,225 |
Commitments and contingencies | ||
Stockholders’ equity: | ||
Preferred stock - $.01 par value; 5,000,000 shares authorized; none issued | ||
Common stock - $.001 par value; 25,000,000 shares authorized; 11,757,058 and 9,882,058 issued; 11,494,945 and 9,619,945 outstanding | 11,757 | 9,882 |
Additional paid-in capital | 45,519,479 | 33,157,096 |
Treasury stock, at cost – 262,113 shares | (798,939) | (798,939) |
Retained earnings (accumulated deficit) | 374,695 | (403,849) |
Total stockholders’ equity | 45,106,992 | 31,964,190 |
Total liabilities and stockholders’ equity | $ 55,116,277 | $ 59,843,415 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) | Sep. 30, 2021 | Dec. 31, 2020 |
Statement of Financial Position [Abstract] | ||
Senior secured notes, deferred financing costs | $ 341,013 | $ 397,327 |
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 5,000,000 | 5,000,000 |
Preferred stock, shares issued | 0 | 0 |
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 25,000,000 | 25,000,000 |
Common stock, shares issued | 11,757,058 | 9,882,058 |
Common stock, shares outstanding | 11,494,945 | 9,619,945 |
Treasury stock, shares | 262,113 | 262,113 |
Consolidated Statements of Oper
Consolidated Statements of Operations (Unaudited) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Income Statement [Abstract] | ||||
Interest income from loans | $ 1,323,085 | $ 1,521,474 | $ 4,189,658 | $ 4,485,414 |
Origination fees | 304,297 | 264,878 | 880,440 | 753,111 |
Total revenue | 1,627,382 | 1,786,352 | 5,070,098 | 5,238,525 |
Operating costs and expenses: | ||||
Interest and amortization of deferred financing costs | 184,914 | 337,901 | 819,015 | 1,016,590 |
Referral fees | 2,069 | 1,641 | 6,463 | 3,569 |
General and administrative expenses | 335,284 | 305,407 | 983,867 | 968,914 |
Total operating costs and expenses | 522,267 | 644,949 | 1,809,345 | 1,989,073 |
Income from operations | 1,105,115 | 1,141,403 | 3,260,753 | 3,249,452 |
Other income | 4,500 | 9,500 | 13,500 | 15,500 |
Income before income tax expense | 1,109,615 | 1,150,903 | 3,274,253 | 3,264,952 |
Income tax expense | (647) | (645) | ||
Net income | $ 1,109,615 | $ 1,150,903 | $ 3,273,606 | $ 3,264,307 |
Basic and diluted net income per common share outstanding: | ||||
—Basic | $ 0.10 | $ 0.12 | $ 0.32 | $ 0.34 |
—Diluted | $ 0.10 | $ 0.12 | $ 0.32 | $ 0.34 |
Weighted average number of common shares outstanding | ||||
—Basic | 11,331,902 | 9,625,140 | 10,196,868 | 9,635,107 |
—Diluted | 11,331,902 | 9,625,140 | 10,196,868 | 9,635,107 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Stockholders' Equity (Unaudited) - USD ($) | Common Stock [Member] | Additional Paid-in Capital [Member] | Treasury Stock [Member] | Retained Earnings [Member] | Total |
Beginning balance, value at Dec. 31, 2019 | $ 9,882 | $ 33,144,032 | $ (619,688) | $ (590,808) | $ 31,943,418 |
Beginning balance, shares at Dec. 31, 2019 | 9,882,058 | 223,214 | |||
Purchase of treasury shares | $ (179,251) | (179,251) | |||
Purchase of treasury shares, shares | 38,899 | ||||
Non-cash compensation | 9,798 | 9,798 | |||
Dividends paid | (2,022,230) | (2,022,230) | |||
Net income | 3,264,307 | 3,264,307 | |||
Ending balance, value at Sep. 30, 2020 | $ 9,882 | 33,153,830 | $ (798,939) | 651,269 | 33,016,042 |
Ending balance, shares at Sep. 30, 2020 | 9,882,058 | 262,113 | |||
Beginning balance, value at Jun. 30, 2020 | $ 9,882 | 33,150,564 | $ (771,559) | 463,050 | 32,851,937 |
Beginning balance, shares at Jun. 30, 2020 | 9,882,058 | 255,213 | |||
Purchase of treasury shares | $ (27,380) | (27,380) | |||
Purchase of treasury shares, shares | 6,900 | ||||
Non-cash compensation | 3,266 | 3,266 | |||
Dividends paid | (962,684) | (962,684) | |||
Net income | 1,150,903 | 1,150,903 | |||
Ending balance, value at Sep. 30, 2020 | $ 9,882 | 33,153,830 | $ (798,939) | 651,269 | 33,016,042 |
Ending balance, shares at Sep. 30, 2020 | 9,882,058 | 262,113 | |||
Beginning balance, value at Dec. 31, 2020 | $ 9,882 | 33,157,096 | $ (798,939) | (403,849) | 31,964,190 |
Beginning balance, shares at Dec. 31, 2020 | 9,882,058 | 262,113 | |||
Public offering, net | $ 1,875 | 12,352,585 | 12,354,460 | ||
Public offering, net shares | 1,875,000 | ||||
Non-cash compensation | 9,798 | 9,798 | |||
Dividends paid | (2,495,062) | (2,495,062) | |||
Net income | 3,273,606 | 3,273,606 | |||
Ending balance, value at Sep. 30, 2021 | $ 11,757 | 45,519,479 | $ (798,939) | 374,695 | 45,106,992 |
Ending balance, shares at Sep. 30, 2021 | 11,757,058 | 262,113 | |||
Beginning balance, value at Jun. 30, 2021 | $ 9,882 | 33,163,628 | $ (798,939) | 701,948 | 33,076,519 |
Beginning balance, shares at Jun. 30, 2021 | 9,882,058 | 262,113 | |||
Public offering, net | $ 1,875 | 12,352,585 | 12,354,460 | ||
Public offering, net shares | 1,875,000 | ||||
Non-cash compensation | 3,266 | 3,266 | |||
Dividends paid | (1,436,868) | (1,436,868) | |||
Net income | 1,109,615 | 1,109,615 | |||
Ending balance, value at Sep. 30, 2021 | $ 11,757 | $ 45,519,479 | $ (798,939) | $ 374,695 | $ 45,106,992 |
Ending balance, shares at Sep. 30, 2021 | 11,757,058 | 262,113 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) | 9 Months Ended | |
Sep. 30, 2021 | Sep. 30, 2020 | |
Cash flows from operating activities: | ||
Net income | $ 3,273,606 | $ 3,264,307 |
Adjustments to reconcile net income to net cash provided by operating activities - | ||
Amortization of deferred financing costs | 66,324 | 76,136 |
Adjustment to operating lease right-of-use asset and liability | 2,603 | (333) |
Depreciation | 1,716 | 744 |
Non-cash compensation expense | 9,798 | 9,798 |
Changes in operating assets and liabilities: | ||
Interest receivable on loans | (168,148) | (163,650) |
Other assets | (28,538) | (35,156) |
Accounts payable and accrued expenses | (92,982) | (19,241) |
Deferred origination fees | 85,945 | 130,795 |
Net cash provided by operating activities | 3,150,324 | 3,263,400 |
Cash flows from investing activities: | ||
Issuance of short term loans | (28,534,303) | (35,410,076) |
Collections received from loans | 33,058,052 | 31,041,693 |
Release of loan holdback relating to mortgage receivable | (15,000) | |
Purchase of fixed assets | (923) | |
Net cash provided by (used in) investing activities | 4,523,749 | (4,384,306) |
Cash flows from financing activities: | ||
Proceeds from public offering, net | 12,354,460 | |
(Repayment of) proceeds from line of credit, net | (16,824,722) | 4,546,858 |
Dividends paid | (3,553,256) | (3,181,291) |
Purchase of treasury shares | (179,251) | |
Deferred financing costs incurred | (27,102) | |
Net cash (used in) provided by financing activities | (8,023,518) | 1,159,214 |
Net (decrease) increase in cash | (349,445) | 38,308 |
Cash and restricted cash, beginning of year | 459,137 | 118,407 |
Cash, end of period | 109,692 | 156,715 |
Supplemental Cash Flow Information: | ||
Taxes paid during the period | 647 | 645 |
Interest paid during the period | 811,610 | 954,622 |
Operating leases paid during the period | 47,600 | 40,973 |
Non-cash Investing Activities: | ||
Interest receivable converted to loans receivable in connection with forbearance agreements | $ 29,671 |
THE COMPANY
THE COMPANY | 9 Months Ended |
Sep. 30, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
THE COMPANY | 1. THE COMPANY The accompanying unaudited consolidated financial statements of Manhattan Bridge Capital, Inc. (“MBC”), a New York corporation founded in 1989, and its consolidated subsidiary, MBC Funding II Corp. (“MBC Funding II”), a New York corporation formed in December 2015 (collectively referred to herein as the “Company”) have been prepared by the Company in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial information and with instructions to Form 10-Q. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. However, in the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. The accompanying unaudited consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements for the year ended December 31, 2020 and the notes thereto included in the Company’s Annual Report on Form 10-K. Results of consolidated operations for the interim period are not necessarily indicative of the operating results to be attained in the entire fiscal year. The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amount of revenues and expenses during the reporting period. Actual amounts could differ from those estimates. The consolidated financial statements include the accounts of MBC and MBC Funding II. All significant intercompany balances and transactions have been eliminated in consolidation. The Company offers short-term, secured, non–banking loans to real estate investors (also known as hard money) to fund their acquisition, renovation, rehabilitation or development of residential or commercial properties located in the New York metropolitan area, including New Jersey and Connecticut, and in Florida. Interest income from commercial loans is recognized, as earned, over the loan period. Origination fee revenue on commercial loans is amortized over the term of the respective note. |
RECENT TECHNICAL ACCOUNTING PRO
RECENT TECHNICAL ACCOUNTING PRONOUNCEMENTS | 9 Months Ended |
Sep. 30, 2021 | |
Accounting Changes and Error Corrections [Abstract] | |
RECENT TECHNICAL ACCOUNTING PRONOUNCEMENTS | 2. RECENT TECHNICAL ACCOUNTING PRONOUNCEMENTS Management does not believe that any recently issued, but not yet effective, accounting standards, if currently adopted, would have a material effect on the Company’s consolidated financial statements. |
CASH - RESTRICTED
CASH - RESTRICTED | 9 Months Ended |
Sep. 30, 2021 | |
Receivables [Abstract] | |
CASH - RESTRICTED | 3. CASH - RESTRICTED Restricted cash mainly represents collections received, pending check clearance, from the Company’s commercial loans and is primarily dedicated to the reduction of the Company’s Webster Credit Line established pursuant to the Amended and Restated Credit Agreement (see Note 5). |
COMMERCIAL LOANS
COMMERCIAL LOANS | 9 Months Ended |
Sep. 30, 2021 | |
Receivables [Abstract] | |
COMMERCIAL LOANS | 4. COMMERCIAL LOANS Loans Receivable The Company offers short-term secured non–banking loans to real estate investors (also known as hard money) to fund their acquisition and construction of properties located in the New York metropolitan area, including New Jersey and Connecticut, and in Florida. The loans are principally secured by collateral consisting of real estate and accompanied by personal guarantees from the principals of the borrowers. The loans are generally for a term of one year At September 30, 2021, the Company was committed to $ 5,664,928 At September 30, 2021, no one entity has loans outstanding representing more than 10 The Company generally grants loans for a term of one year. When a performing loan reaches its maturity and the borrower requests an extension, the Company may extend the term of the loan beyond one year. Prior to granting an extension of any loan, the Company reevaluates the underlying collateral. Credit Risk Credit risk profile based on loan activity as of September 30, 2021 and December 31, 2020: SCHEDULE OF CREDIT RISK Performing loans Developers- Residential Developers- Commercial Developers- Mixed Used Total September 30, 2021 $ 45,511,221 $ 5,819,000 $ 2,244,000 $ 53,574,221 December 31, 2020 $ 55,119,107 $ 1,564,863 $ 1,414,000 $ 58,097,970 At September 30, 2021, the Company’s loans receivable consisted of loans in the amount of $ 367,500 1,052,400 1,120,000 2,485,825 7,409,749 Subsequent to the balance sheet date, $ 1,310,000 of the loans receivable at September 30, 2021 were paid off, including $ 950,000 |
LINE OF CREDIT
LINE OF CREDIT | 9 Months Ended |
Sep. 30, 2021 | |
Debt Disclosure [Abstract] | |
LINE OF CREDIT | 5. LINE OF CREDIT The Company executed an Amended and Restated Credit and Security Agreement, as amended (the “Amended and Restated Credit Agreement”), with Webster Business Credit Corporation (“Webster”), Flushing Bank (“Flushing”) and Mizrahi Tefahot Bank Ltd (“Mizrahi” and together with Webster and Flushing, the “Lenders”), which established the Company’s credit line (the “Webster Credit Line”). Currently, the Webster Credit Line provides the Company with a credit line of $ 32.5 February 28, 2023 The interest rates relating to the Webster Credit Line equal (i) LIBOR plus a premium, which rate aggregated approximately 4.1 0.5 2.25 0.5 the Company may issue up to $20 million in bonds through its subsidiary, of which not more than $10 million of such bonds may be secured by mortgage notes receivable, and provided that the terms and conditions of such bonds are approved by Webster, subject to its reasonable discretion. 500,000 On July 2, 2021, the Company entered into a consent and amendment letter agreement, with respect to the Amended and Restated Credit Agreement, with the Lenders and Assaf Ran, as guarantor, to amend the definition of “Change of Control” to provide that Mr. Ran would be required to own at least 20%, instead of 27%, of the equity interests of the Company, on a fully diluted basis. The Company was in compliance with all covenants of the Webster Credit Line, as amended, as of September 30, 2021. At September 30, 2021, the outstanding amount under the Amended Credit Agreement was $ 3,484,151 The rate, including a 0.5 4.1 |
SENIOR SECURED NOTES
SENIOR SECURED NOTES | 9 Months Ended |
Sep. 30, 2021 | |
Senior Secured Notes | |
SENIOR SECURED NOTES | 6. SENIOR SECURED NOTES On April 25, 2016, in an initial public offering, MBC Funding II issued 6 April 22, 2026 6,000,000 1,000 Under the terms of the Indenture, the aggregate outstanding principal balance of the mortgage loans held by MBC Funding II, together with MBC Funding II’s cash on hand, must always equal at least 120 MBC Funding II may redeem the Notes, in whole or in part, at any time after April 22, 2019 upon at least 30 days prior written notice to the Noteholders. No Notes were redeemed by MBC Funding II as of September 30, 2021. Each Noteholder had the right to cause MBC Funding II to redeem his, her or its Notes on April 22, 2021 by notifying MBC Funding II in writing, no earlier than November 22, 2020 and no later than January 22, 2021. No Noteholder exercised such right during the required time frame and as such the Notes are no longer redeemable by the Noteholders. MBC Funding II is obligated to offer to redeem the Notes if there occurs a “change of control” with respect to MBC Funding II or the Company or if MBC Funding II or the Company sell any assets unless, in the case of an asset sale, the proceeds are reinvested in the business of the seller. The redemption price in connection with a “change of control” will be 101 |
EARNINGS PER COMMON SHARE
EARNINGS PER COMMON SHARE | 9 Months Ended |
Sep. 30, 2021 | |
Basic and diluted net income per common share outstanding: | |
EARNINGS PER COMMON SHARE | 7. EARNINGS PER COMMON SHARE Basic and diluted earnings per share are calculated in accordance with Accounting Standards Codification (“ASC”) 260, “Earnings Per Share” (“ASC 260”). Under ASC 260, basic earnings per share is computed by dividing income available to common shareholders by the weighted-average number of common shares outstanding for the period. The computation of diluted earnings per share is similar to basic earnings per share, except that the denominator is increased to include the potential dilution from the exercise of stock options and warrants for common shares using the treasury stock method. The numerator in calculating both basic and diluted earnings per common share for each period is the reported net income. The denominator is based on the following weighted average number of common shares: SCHEDULE OF WEIGHTED AVERAGE NUMBER OF COMMON SHARES Three Months Ended September 30, Nine Months Ended September 30, 2021 2020 2021 2020 Basic weighted average common shares outstanding 11,331,902 9,625,140 10,196,868 9,635,107 Incremental shares for assumed exercise of warrants — — — — Diluted weighted average common shares outstanding 11,331,902 9,625,140 10,196,868 9,635,107 For each of the three and nine months ended September 30, 2020, vested warrants to purchase 33,612 |
STOCK_BASED COMPENSATION
STOCK–BASED COMPENSATION | 9 Months Ended |
Sep. 30, 2021 | |
Share-based Payment Arrangement [Abstract] | |
STOCK–BASED COMPENSATION | 8. STOCK–BASED COMPENSATION Stock based compensation expense recognized under ASC 718, “Compensation-Stock Compensation,” for each of the nine months ended September 30, 2021 and 2020 of $ 9,798 1,000,000 195,968 15 |
PUBLIC OFFERING
PUBLIC OFFERING | 9 Months Ended |
Sep. 30, 2021 | |
Public Offering | |
PUBLIC OFFERING | 9. PUBLIC OFFERING On July 9, 2021, the Company completed an underwritten public offering of 1,875,000 7.20 13,500,000 12,354,000 281,250 |
COVID-19
COVID-19 | 9 Months Ended |
Sep. 30, 2021 | |
Unusual or Infrequent Items, or Both [Abstract] | |
COVID-19 | 10. COVID-19 As a result of the COVID-19 pandemic, the Company may experience difficulties collecting monthly interest on time from its borrowers, property values may decline and certain of the Company’s originated loans may need to be extended. Since the onset of the COVID-19 pandemic, the Company has continued to originate loans as well as continued to service its existing loans, though the Company has observed lower demand for new loans. To date, the Company has not been materially impacted by the COVID-19 pandemic and will continue to closely monitor the impact of the COVID-19 pandemic on all aspects of its business. If the COVID-19 pandemic worsens in the geographic areas in which the Company operates, the pandemic could materially affect its financial and operational results. |
SUBSEQUENT EVENT
SUBSEQUENT EVENT | 9 Months Ended |
Sep. 30, 2021 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENT | 11. SUBSEQUENT EVENT On September 28, 2021, Mr. Ran, the Company’s chief executive officer, voluntarily agreed to forgo his base salary for the months of October, November and December 2021 in an aggregate amount of $ 76,250 In accordance with the dividend declared by the Company’s Board of Directors on July 29, 2021, a cash dividend of $ 0.125 1,436,868 |
COMMERCIAL LOANS (Tables)
COMMERCIAL LOANS (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Receivables [Abstract] | |
SCHEDULE OF CREDIT RISK | Credit risk profile based on loan activity as of September 30, 2021 and December 31, 2020: SCHEDULE OF CREDIT RISK Performing loans Developers- Residential Developers- Commercial Developers- Mixed Used Total September 30, 2021 $ 45,511,221 $ 5,819,000 $ 2,244,000 $ 53,574,221 December 31, 2020 $ 55,119,107 $ 1,564,863 $ 1,414,000 $ 58,097,970 |
EARNINGS PER COMMON SHARE (Tabl
EARNINGS PER COMMON SHARE (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Basic and diluted net income per common share outstanding: | |
SCHEDULE OF WEIGHTED AVERAGE NUMBER OF COMMON SHARES | The denominator is based on the following weighted average number of common shares: SCHEDULE OF WEIGHTED AVERAGE NUMBER OF COMMON SHARES Three Months Ended September 30, Nine Months Ended September 30, 2021 2020 2021 2020 Basic weighted average common shares outstanding 11,331,902 9,625,140 10,196,868 9,635,107 Incremental shares for assumed exercise of warrants — — — — Diluted weighted average common shares outstanding 11,331,902 9,625,140 10,196,868 9,635,107 |
COMMERCIAL LOANS (Details Narra
COMMERCIAL LOANS (Details Narrative) - USD ($) | 1 Months Ended | 9 Months Ended |
Oct. 20, 2021 | Sep. 30, 2021 | |
Debt Instrument [Line Items] | ||
Loan term | 1 year | |
Loan outstanding percentage | 10.00% | |
Subsequent Event [Member] | ||
Debt Instrument [Line Items] | ||
Repayments of Debt | $ 1,310,000 | |
Originally Due In 2016 [Member] | ||
Debt Instrument [Line Items] | ||
Loans receivable | $ 367,500 | |
Originally Due in 2017 [Member] | ||
Debt Instrument [Line Items] | ||
Loans receivable | 1,052,400 | |
Originally Due in 2018 [Member] | ||
Debt Instrument [Line Items] | ||
Loans receivable | 1,120,000 | |
Originally Due in 2018 [Member] | Subsequent Event [Member] | ||
Debt Instrument [Line Items] | ||
Repayments of Debt | $ 950,000 | |
Originally Due in 2019 [Member] | ||
Debt Instrument [Line Items] | ||
Loans receivable | 2,485,825 | |
Originally Due in 2020 [Member] | ||
Debt Instrument [Line Items] | ||
Loans receivable | 7,409,749 | |
Construction Loans [Member] | ||
Debt Instrument [Line Items] | ||
Principal amount committed in construction loans | $ 5,664,928 |
SCHEDULE OF CREDIT RISK (Detail
SCHEDULE OF CREDIT RISK (Details) - USD ($) | Sep. 30, 2021 | Dec. 31, 2020 |
Debt Securities, Held-to-maturity, Allowance for Credit Loss [Line Items] | ||
Total outstanding loans | $ 53,574,221 | $ 58,097,970 |
Developers-Residential [Member] | ||
Debt Securities, Held-to-maturity, Allowance for Credit Loss [Line Items] | ||
Total outstanding loans | 45,511,221 | 55,119,107 |
Developers-Commercial [Member] | ||
Debt Securities, Held-to-maturity, Allowance for Credit Loss [Line Items] | ||
Total outstanding loans | 5,819,000 | 1,564,863 |
Developers Mixed Used [Member] | ||
Debt Securities, Held-to-maturity, Allowance for Credit Loss [Line Items] | ||
Total outstanding loans | $ 2,244,000 | $ 1,414,000 |
LINE OF CREDIT (Details Narrati
LINE OF CREDIT (Details Narrative) - USD ($) | Jul. 02, 2021 | Sep. 30, 2021 |
Amended and Restated Credit Agreement [Member] | ||
Line of Credit Facility [Line Items] | ||
Line of credit facility, interest rate description | The rate, including a 0.5% Agency Fee, as of September 30, 2021, was approximately 4.1%. | |
Line of credit facility, interest rate at period end | 4.10% | |
Percentage of agency fee | 0.50% | |
Line of credit, current | $ 3,484,151 | |
Consent and Amendment Letter Amended Agreement [Member] | ||
Line of Credit Facility [Line Items] | ||
Line of credit facility, interest rate description | the Company entered into a consent and amendment letter agreement, with respect to the Amended and Restated Credit Agreement, with the Lenders and Assaf Ran, as guarantor, to amend the definition of “Change of Control” to provide that Mr. Ran would be required to own at least 20%, instead of 27%, of the equity interests of the Company, on a fully diluted basis. | |
London Interbank Offered Rate (LIBOR) [Member] | ||
Line of Credit Facility [Line Items] | ||
Line of credit facility, interest rate at period end | 4.10% | |
Percentage of agency fee | 0.50% | |
Base Rate [Member] | Amended and Restated Credit Agreement [Member] | ||
Line of Credit Facility [Line Items] | ||
Line of credit facility, interest rate at period end | 2.25% | |
Percentage of agency fee | 0.50% | |
Webster Credit Line [Member] | ||
Line of Credit Facility [Line Items] | ||
Maximum borrowing capacity | $ 32,500,000 | |
Line of credit, expiration date | Feb. 28, 2023 | |
Line of credit facility, interest rate description | The interest rates relating to the Webster Credit Line equal (i) LIBOR plus a premium, which rate aggregated approximately 4.1%, including a 0.5% agency fee, as of September 30, 2021, or (ii) a Base Rate (as defined in the Amended and Restated Credit Agreement) plus 2.25% plus a 0.5% agency fee, as chosen by the Company for each drawdown. | |
Webster Credit Line [Member] | Amended and Restated Credit Agreement [Member] | ||
Line of Credit Facility [Line Items] | ||
Mortgage notes receivable, description | the Company may issue up to $20 million in bonds through its subsidiary, of which not more than $10 million of such bonds may be secured by mortgage notes receivable, and provided that the terms and conditions of such bonds are approved by Webster, subject to its reasonable discretion. | |
Webster Credit Line [Member] | Amended and Restated Credit Agreement [Member] | Mr. Ran [Member] | ||
Line of Credit Facility [Line Items] | ||
Debt guaranteed amount | $ 500,000 |
SENIOR SECURED NOTES (Details N
SENIOR SECURED NOTES (Details Narrative) | Apr. 25, 2016USD ($) | Apr. 25, 2016USD ($) |
MBC Funding II Corp [Member] | ||
LongTermDebtLineItem [Line Items] | ||
Debt instrument description | Under the terms of the Indenture, the aggregate outstanding principal balance of the mortgage loans held by MBC Funding II, together with MBC Funding II’s cash on hand, must always equal at least 120% of the aggregate outstanding principal amount of the Notes at all times. To the extent the aggregate principal amount of the mortgage loans owned by MBC Funding II plus MBC Funding II’s cash on hand is less than 120% of the aggregate outstanding principal balance of the Notes, MBC Funding II is required to repay, on a monthly basis, the principal amount of the Notes equal to the amount necessary such that, after giving effect to such repayment, the aggregate principal amount of all mortgage loans owned by MBC Funding II plus, MBC Funding II’s cash on hand at such time is equal to or greater than 120% of the outstanding principal amount of the Notes. For this purpose, each mortgage loan is deemed to have a value equal to its outstanding principal balance, unless the borrower is in default of its obligations. | |
MBC Funding II Corp [Member] | Change of Control [Member] | ||
LongTermDebtLineItem [Line Items] | ||
Debt instrument, redemption price, percentage | 101.00% | |
Senior Secured Notes [Member] | ||
LongTermDebtLineItem [Line Items] | ||
Principal amount of each note | $ 1,000 | $ 1,000 |
Debt instrument collateral, percentage | 120.00% | 120.00% |
Senior Secured Notes [Member] | Indenture [Member] | ||
LongTermDebtLineItem [Line Items] | ||
Debt instrument interest rate | 6.00% | 6.00% |
Debt instrument maturity date | Apr. 22, 2026 | |
Debt instrument face amount | $ 6,000,000 | $ 6,000,000 |
SCHEDULE OF WEIGHTED AVERAGE NU
SCHEDULE OF WEIGHTED AVERAGE NUMBER OF COMMON SHARES (Details) - shares | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Basic and diluted net income per common share outstanding: | ||||
Basic weighted average common shares outstanding | 11,331,902 | 9,625,140 | 10,196,868 | 9,635,107 |
Incremental shares for assumed exercise of warrants | ||||
Diluted weighted average common shares outstanding | 11,331,902 | 9,625,140 | 10,196,868 | 9,635,107 |
EARNINGS PER COMMON SHARE (Deta
EARNINGS PER COMMON SHARE (Details Narrative) - shares | 3 Months Ended | 9 Months Ended |
Sep. 30, 2020 | Sep. 30, 2020 | |
Vested Warrants [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Anti-dilutive earning per share common shares | 33,612 | 33,612 |
STOCK_BASED COMPENSATION (Detai
STOCK–BASED COMPENSATION (Details Narrative) - USD ($) | Sep. 09, 2011 | Sep. 30, 2021 | Sep. 30, 2020 |
Deferred Compensation Arrangement with Individual, Excluding Share-based Payments and Postretirement Benefits [Line Items] | |||
Share-based compensation expense | $ 9,798 | $ 9,798 | |
Chief Executive Officer [Member] | |||
Deferred Compensation Arrangement with Individual, Excluding Share-based Payments and Postretirement Benefits [Line Items] | |||
Share based compensation expense of restricted, shares | 1,000,000 | ||
Share based compensation expense of restricted, value | $ 195,968 | ||
Fair value of restricted shares amortization period | 15 years |
PUBLIC OFFERING (Details Narrat
PUBLIC OFFERING (Details Narrative) - USD ($) | Jul. 09, 2021 | Sep. 30, 2021 | Sep. 30, 2020 |
SharesIssuedLineItem [Line Items] | |||
Net proceeds from offering | $ 12,354,460 | ||
Public Offering [Member] | |||
SharesIssuedLineItem [Line Items] | |||
Number of common stock issued, shares | 1,875,000 | ||
Shares issued price per share | $ 7.20 | ||
Net proceeds from offering | $ 13,500,000 | ||
Public Offering [Member] | Webster Credit Line [Member] | |||
SharesIssuedLineItem [Line Items] | |||
Net proceeds from offering | $ 12,354,000 | ||
Over-Allotment Option [Member] | Underwriters [Member] | Maximum [Member] | |||
SharesIssuedLineItem [Line Items] | |||
Number of option to purchase an additional common stock grants | 281,250 |
SUBSEQUENT EVENT (Details Narra
SUBSEQUENT EVENT (Details Narrative) - USD ($) | 3 Months Ended | |||
Dec. 31, 2021 | Oct. 15, 2021 | Sep. 30, 2021 | Dec. 31, 2020 | |
Subsequent Event [Line Items] | ||||
Aggregate amount | $ 1,058,194 | |||
Subsequent Event [Member] | ||||
Subsequent Event [Line Items] | ||||
Cash dividend | $ 0.125 | |||
Aggregate amount | $ 1,436,868 | |||
Mr. Ran [Member] | Forecast [Member] | ||||
Subsequent Event [Line Items] | ||||
Aggregate amount | $ 76,250 |