Document and Entity Information
Document and Entity Information | 3 Months Ended |
Mar. 31, 2024 | |
Cover [Abstract] | |
Document Type | 10-Q |
Amendment Flag | false |
Document Period End Date | Mar. 31, 2024 |
Document Fiscal Year Focus | 2024 |
Document Fiscal Period Focus | Q1 |
Entity Registrant Name | REDWOOD MORTGAGE INVESTORS IX |
Entity Central Index Key | 0001448038 |
Current Fiscal Year End Date | --12-31 |
Entity Filer Category | Non-accelerated Filer |
Entity Small Business | true |
Entity Emerging Growth Company | false |
Entity Current Reporting Status | Yes |
Entity Interactive Data Current | Yes |
Entity Shell Company | false |
Document Quarterly Report | true |
Document Transition Report | false |
Entity File Number | 000-55601 |
Entity Incorporation, State or Country Code | DE |
Entity Tax Identification Number | 26-3541068 |
Entity Address, Address Line One | 155 Bovet Road |
Entity Address, Address Line Two | Suite 302 |
Entity Address, City or Town | San Mateo |
Entity Address, State or Province | CA |
Entity Address, Postal Zip Code | 94402 |
City Area Code | 650 |
Local Phone Number | 365-5341 |
Balance Sheets (Unaudited)
Balance Sheets (Unaudited) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 | |
ASSETS | |||
Cash, in banks | $ 3,355 | $ 1,712 | |
Loan payments in trust | 26 | 28 | |
Loans | |||
Principal | 61,018 | 62,916 | [1] |
Advances | 5 | 2 | |
Accrued interest | 645 | 572 | |
Prepaid interest | (40) | (107) | |
Loan balances secured by deeds of trust | 61,628 | 63,383 | |
Allowance for credit losses | (120) | (120) | |
Loan balances secured by deeds of trust, net | 61,508 | 63,263 | |
Debt issuance costs, net | 66 | 7 | |
Prepaid expenses | 26 | 0 | |
Receivable from related mortgage fund (Note 3) | 31 | 0 | |
Promissory note from related mortgage fund (Note3) | 0 | 2,800 | |
Other receivable | 7 | 0 | |
Total assets | 65,019 | 67,810 | |
LIABILITIES AND MEMBERS’ CAPITAL | |||
Accounts payable and accrued liabilities | 213 | 111 | |
Payable to related mortgage fund (Note 3) | 0 | 18 | |
Payable to manager (Note 3) | 61 | 57 | |
Redemptions to members (Note 3) | 0 | 15 | |
Line of credit | 0 | 2,153 | |
Total liabilities | 274 | 2,354 | |
Commitments and contingencies (Note 6) | |||
Members' and manager's capital, net | 67,595 | 68,358 | |
Receivable from manager (formation loan) | (2,850) | (2,902) | |
Members' and manager's capital, net of formation loan | 64,745 | 65,456 | |
Total liabilities and members’ capital | $ 65,019 | $ 67,810 | |
[1] Includes principal collected and held in trust at March 31, 2024 of approximately $ 3 thousand offset by principal collected and held in trust at December 31, 2023 of approximately $ 3 thousand which was disbursed to the company in January 2024 |
Statements of Income (Unaudited
Statements of Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Revenue | ||
Interest income | $ 1,500 | $ 1,615 |
Interest expense | (54) | (199) |
Net interest income | 1,446 | 1,416 |
Late fees | 4 | 2 |
Total revenue, net | 1,450 | 1,418 |
Provision for credit losses | 0 | 0 |
Operations expense | ||
Mortgage servicing fees to Redwood Mortgage Corp. | 40 | 47 |
Asset management fees to Redwood Mortgage Corp. | 118 | 127 |
Costs from Redwood Mortgage Corp., net (Note 3) | 90 | 81 |
Professional services | 552 | 311 |
Other | 5 | 4 |
Total operations expense | 805 | 570 |
Net income | 645 | 848 |
Members (99%) | 639 | 840 |
Manager (1%) | $ 6 | $ 8 |
Statements of Income (Parenthet
Statements of Income (Parenthetical) (Unaudited) - Redwood Mortgage Investors IX [Member] | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Members investment | 99% | 99% |
Manager investment | 1% | 1% |
Statement of Changes in Members
Statement of Changes in Members' and Manager's Capital (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | ||
Beginning balance | $ 65,456 | ||
Net Income (Loss) | 645 | $ 848 | |
Organization and offering expenses repaid by RMC | 10 | ||
Ending balance | 64,745 | ||
Earnings Distributed [Member] | |||
Partners capital accounts | 156 | ||
Members' Redemptions [Member] | |||
Partners capital accounts | 1,000 | ||
Capital Members [Member] | |||
Beginning balance | 69,018 | 71,724 | |
Net Income (Loss) | 639 | 840 | |
Organization and offering expenses allocated | (61) | (66) | |
Ending balance | 68,184 | 70,995 | |
Capital Members [Member] | Prior to Adjustment of Credit Losses [Member] | |||
Beginning balance | 71,730 | ||
Capital Members [Member] | Adjustment of Credit Losses [Member] | |||
Beginning balance | (6) | ||
Capital Members [Member] | RMC [Member] | |||
Organization and offering expenses repaid by RMC | 0 | 0 | |
Capital Members [Member] | Earnings Distributed [Member] | |||
Partners capital accounts | (803) | (903) | |
Capital Members [Member] | Earnings distributed/reinvested (DRIP) [Member] | |||
Partners capital accounts | 273 | 428 | |
Capital Members [Member] | Members' Redemptions [Member] | |||
Partners capital accounts | (882) | (1,028) | |
Managers Capital Net [Member] | |||
Beginning balance | 82 | 81 | |
Net Income (Loss) | 6 | 8 | |
Organization and offering expenses allocated | 0 | 0 | |
Ending balance | 82 | 81 | |
Managers Capital Net [Member] | Prior to Adjustment of Credit Losses [Member] | |||
Beginning balance | 82 | ||
Managers Capital Net [Member] | Adjustment of Credit Losses [Member] | |||
Beginning balance | (1) | ||
Managers Capital Net [Member] | RMC [Member] | |||
Organization and offering expenses repaid by RMC | 0 | 0 | |
Managers Capital Net [Member] | Earnings Distributed [Member] | |||
Partners capital accounts | (6) | (8) | |
Managers Capital Net [Member] | Earnings distributed/reinvested (DRIP) [Member] | |||
Partners capital accounts | 0 | 0 | |
Managers Capital Net [Member] | Members' Redemptions [Member] | |||
Partners capital accounts | 0 | 0 | |
Unallocated Organization and Offering Expenses [Member] | |||
Beginning balance | (742) | (1,045) | |
Net Income (Loss) | 0 | 0 | |
Organization and offering expenses allocated | 61 | 66 | |
Organization and offering expenses repaid by RMC | [1] | 10 | 15 |
Ending balance | (671) | (964) | |
Unallocated Organization and Offering Expenses [Member] | Prior to Adjustment of Credit Losses [Member] | |||
Beginning balance | (1,045) | ||
Unallocated Organization and Offering Expenses [Member] | Adjustment of Credit Losses [Member] | |||
Beginning balance | 0 | ||
Unallocated Organization and Offering Expenses [Member] | RMC [Member] | |||
Organization and offering expenses repaid by RMC | 10 | 15 | |
Unallocated Organization and Offering Expenses [Member] | Earnings Distributed [Member] | |||
Partners capital accounts | 0 | 0 | |
Unallocated Organization and Offering Expenses [Member] | Earnings distributed/reinvested (DRIP) [Member] | |||
Partners capital accounts | 0 | 0 | |
Unallocated Organization and Offering Expenses [Member] | Members' Redemptions [Member] | |||
Partners capital accounts | 0 | 0 | |
Members' and Manager's Capital, Net [Member] | |||
Beginning balance | 68,358 | 70,760 | |
Net Income (Loss) | 645 | 848 | |
Organization and offering expenses allocated | 0 | 0 | |
Ending balance | 67,595 | 70,112 | |
Members' and Manager's Capital, Net [Member] | Prior to Adjustment of Credit Losses [Member] | |||
Beginning balance | 70,767 | ||
Members' and Manager's Capital, Net [Member] | Adjustment of Credit Losses [Member] | |||
Beginning balance | (7) | ||
Members' and Manager's Capital, Net [Member] | RMC [Member] | |||
Organization and offering expenses repaid by RMC | 10 | 15 | |
Members' and Manager's Capital, Net [Member] | Earnings Distributed [Member] | |||
Partners capital accounts | (809) | (911) | |
Members' and Manager's Capital, Net [Member] | Earnings distributed/reinvested (DRIP) [Member] | |||
Partners capital accounts | 273 | 428 | |
Members' and Manager's Capital, Net [Member] | Members' Redemptions [Member] | |||
Partners capital accounts | $ (882) | $ (1,028) | |
[1] RMC is obligated per the Operating Agreement to repay RMI IX for the amount of unallocated O&O expenses attributed to a member’s capital account if the member redeems prior to the 40 quarterly allocations. RMC estimated its future obligation to repay unallocated O&O expenses on scheduled redemptions as of March 31, 2024 , to be approximately $ 10 thousand. |
Statements of Cash Flows (Unaud
Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Operations | ||
Interest income received | $ 1,360 | $ 1,535 |
Interest expense paid | (67) | (185) |
Late fees and other loan income | 6 | 71 |
Operations expense | (755) | (758) |
Total cash provided by operations | 544 | 663 |
Investing | ||
Loans funded | (8,288) | (6,200) |
Principal collected | 10,186 | 7,068 |
Loan transferred from related mortgage funds | 0 | (3,233) |
Loans transferred to related mortgage fund | 0 | 857 |
Advances collected | (2) | 0 |
Promissory note repaid by related mortgage fund | 2,800 | 0 |
Total cash provided by (used in) investing | 4,696 | (1,508) |
Members' and manager's capital | ||
Total distributions to members and manager | (1,440) | (326) |
Organization and offering expenses repaid by RMC, net | 10 | 15 |
Early withdrawal penalties | 0 | (1) |
Cash used in members' and manager's capital | (1,430) | (312) |
Line of credit | ||
Advances | 13,250 | 0 |
Repayments | (15,403) | (250) |
Debt issuance costs | (66) | 0 |
Cash used in line of credit | (2,219) | (250) |
Formation loan collected | 52 | 52 |
Total cash used in financing | (3,597) | (510) |
Net (decrease) increase in cash | 1,643 | (1,355) |
Cash, beginning of period | 1,712 | 5,055 |
Cash, end of period | 3,355 | 3,700 |
Net income | 645 | 848 |
Adjustments to reconcile net income to net cash provided by operations | ||
Amortization of debt issuance costs | 7 | 7 |
Change in operating assets and liabilities | ||
Loan payments in trust | 2 | 69 |
Accrued interest | (74) | 16 |
Prepaid interest | (67) | (95) |
Prepaid expenses | (26) | (24) |
Receivable from related parties | (31) | 0 |
Accounts payable and accrued liabilities | 102 | 40 |
Payable to related parties | (14) | (198) |
Total adjustments | (101) | (185) |
Total cash provided by operations | 544 | 663 |
Earnings Distributed To Members [Member] | ||
Members' and manager's capital | ||
Total distributions to members and manager | (543) | (326) |
Members' Redemptions [Member] | ||
Members' and manager's capital | ||
Total distributions to members and manager | $ (897) | $ 0 |
Statements of Cash Flows (Paren
Statements of Cash Flows (Parenthetical) (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Earnings Distributed To Members [Member] | ||
Partners capital accounts | $ 156 | |
Earnings distributed used in DRIP | $ 273 | 428 |
Members' Redemptions [Member] | ||
Partners capital accounts | $ 1,000 |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Pay vs Performance Disclosure | ||
Net Income (Loss) | $ 645 | $ 848 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Mar. 31, 2024 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Rule 10b5-1 Arr Modified | false |
Non-Rule10b5-1 Arr Modified | false |
Organization and General
Organization and General | 3 Months Ended |
Mar. 31, 2024 | |
Accounting Policies [Abstract] | |
Organization and General | NOTE 1 – ORGANIZATION AND GENERAL Redwood Mortgage Investors IX, LLC (“RMI IX” or “the company”) is a Delaware limited liability company formed in October 2008 to engage in business as a mortgage lender and investor by making and holding-for-investment mortgage loans secured by California real estate, primarily through first and second deeds of trust. The company is externally managed by Redwood Mortgage Corp. (“RMC” or “the manager”). RMC provides the personnel and services necessary for the company to conduct its business as the company has no employees of its own. The mortgage loans the company funds and invests in are arranged and generally are serviced by RMC. In the opinion of management of RMC, the accompanying unaudited financial statements contain all adjustments, consisting of normal, recurring adjustments, necessary to present fairly and accurately the financial information included therein. These unaudited financial statements should be read in conjunction with the audited financial statements included in the company’s Form 10-K for the year ended December 31, 2023, filed with the U.S. Securities and Exchange Commission (SEC). The results of operations for the three months ended March 31, 2024 are not necessarily indicative of the operating results to be expected for the full year. The rights, duties and powers of the members and manager of the company are governed by the Ninth Amended and Restated Limited Liability Company Operating Agreement of RMI IX (the “Operating Agreement”), as amended by the Second Amendment to the Operating Agreement, the Delaware Limited Liability Company Act and the California Revised Uniform Limited Liability Company Act. Members representing a majority of the outstanding units may, without the concurrence of the manager, vote to: (i) dissolve the company, (ii) amend the Operating Agreement, subject to certain limitations, (iii) approve or disapprove the sale of all or substantially all of the assets of the company or (iv) remove or replace one or all of the managers. Where there is only one manager, a majority in interest of the members is required to elect a new manager to continue the company business after a manager ceases to be a manager due to its withdrawal. The following is a summary of certain provisions of the Operating Agreement and is qualified in its entirety by the terms of the Operating Agreement. Members should refer to the Operating Agreement for complete disclosure of its provisions. The manager is solely responsible for managing the business and affairs of the company, subject to the voting rights of the members on specified matters. The manager acting alone has the power and authority to act for and bind the company. RMC is entitled to one percent ( 1 %) of the profits and losses of the company and to fees and reimbursements of qualifying costs as specified in the Operating Agreement. The company’s primary investment objectives are to: • yield a favorable rate of return from the company’s business of making and/or investing in loans; • preserve and protect the company’s capital by making and/or investing in loans secured by California real estate, preferably income-producing properties geographically situated in the San Francisco Bay Area and the coastal metropolitan regions of Southern California; and • generate and distribute cash flow from these mortgage lending and investing activities. Net income (or loss) is allocated among the members according to their respective capital accounts after one percent ( 1 %) of the net income (or loss) is allocated to the manager. The monthly results are subject to subsequent adjustment as a result of quarterly and year-end accounting and reporting. The company’s net income, cash available for distribution, and net-distribution rate fluctuate depending on: • loan origination volume and the balance of capital available to lend; • the current and future interest rates negotiated with borrowers; • line of credit advances, repayments and the interest rate thereon; • loan sales to unaffiliated third parties, and any gains received thereon; • the amount of fees and cost reimbursements to RMC; • the timing and amount of other operating expenses, including expenses for professional services; • the timing and amount of payments from RMC on the formation loan; and • fee and/or cost reimbursements waived, if any, from RMC. Federal and state income taxes are the obligation of the members, other than the annual California franchise tax and the California LLC gross receipts tax. The tax basis in the net assets of the company differs from book basis by the amount of the allowance for credit losses. The ongoing sources of funds for loans are the proceeds (net of redemption of members’ capital and operating expenses) from: • loan payoffs; • borrowers’ monthly principal and interest payments; • line of credit advances; • loan sales to unaffiliated third parties; • payments from RMC on the outstanding balance of the formation loan; and • sale of units to members participating in the dividend reinvestment plan. The company intends to hold until maturity the loans in which it invests and does not presently intend to invest in mortgage loans primarily for the purpose of reselling such loans in the ordinary course of business; however, the company may sell mortgage loans (or fractional interests therein) when the manager determines that it appears to be advantageous for the company to do so, based upon then current interest rates, the length of time that the loan has been held by the company, the company’s credit risk and concentration risk and the overall investment objectives of the company. Loans sold to third parties may be sold for par, at a premium or, in the case of non-performing or under performing loans, at a discount. Company loans may be sold to third parties or to the manager or its related mortgage funds; however, any loan sold to the manager or a related mortgage fund will be sold for a purchase price equal to the greater of (i) the par value of the loan or (ii) the fair market value of the loan. The manager will not receive commissions or broker fees with respect to loan sales conducted for the company; however, selling loans will increase members’ capital available for investing in new loans for which the manager will earn brokerage fees and other forms of compensation. The company’s business is neither dependent on any one, nor concentrated with a few, major borrowers, investors, or lenders. Distribution policy/Distribution reinvestment plan (DRIP) Cash available for distribution at the end of each calendar month is allocated ninety-nine percent (99%) to the members and one percent (1%) to the manager . Cash available for distribution means cash flow from operations (excluding repayments for loan principal and other capital transaction proceeds) less amounts set aside for creation or restoration of reserves. The manager may withhold from cash otherwise distributable to the members with respect to any period the respective amounts of organization and offering expenses (“O&O expenses”) allocated to the members’ accounts for the applicable period pursuant to the company’s reimbursement to RMC and allocation to members’ accounts of O&O expenses. The amount otherwise distributable, less the respective amounts of O&O expenses allocated to members, is the net distribution. Pursuant to the terms of the Operating Agreement, cash available for distribution to the members is allocated among the members in proportion to their percentage interests (except with respect to differences in the amounts of O&O expenses allocated to the respective members during the applicable period) and in proportion to the number of days during the applicable month that they owned such percentage interests. (See Note 3 (Manager and Other Related Parties) to the financial statements for a detailed discussion on the allocation of O&O expenses to members’ accounts.) Cash available for distributions allocable to members who have elected to receive distributions is disbursed at the end of each calendar month. The manager’s allocable share of cash available for distribution is also distributed not more frequently than cash distributions to members. The distribution reinvestment plan (“DRIP”) provision of the Operating Agreement permits members to elect to have all or a portion of their monthly distributions reinvested in the purchase of additional units. Cash available for distributions allocable to members who have elected to participate in the DRIP is distributed and reinvested in units at each month end. In May 2019, the company filed a Registration Statement on Form S-3 with the SEC (SEC File No. 333-231333, effective May 9, 2019) to offer up to 15 million units ($ 15 million) to members of record as of April 30, 2019 who had previously elected to participate in the DRIP or who later provide written notice to the manager electing to participate in the DRIP, in those states in which approval has been obtained. As of March 31, 2024, the aggregate gross proceeds from sales of units to members under the company's DRIP pursuant to the May 2019 Form S-3 Registration Statement is approximately $ 9.9 million. Liquidity and unit redemption program There are substantial restrictions on transferability of units, and there is no established public trading and/or secondary market for the units and none is expected to develop. In order to provide liquidity to members, the Operating Agreement includes a unit redemption program, whereby a member may redeem all or part of their units, subject to certain limitations. The price paid for redeemed units is based on the lesser of the purchase price paid by the redeeming member or the member’s capital account balance as of the date of each redemption payment. Redemption value – for other than DRIP units – is calculated based on the period from date of purchase as follows: after one year 92 % of the purchase price or of the capital balance, whichever is less; after two years 94 %; after three years 96 %; after four years 98 %; and after five years 100 %. The company redeems units quarterly, subject to certain limitations as provided for in the Operating Agreement. The maximum number of units which may be redeemed per quarter per individual member shall not exceed the greater of (i) 100 thousand units, or (ii) 25 % of the member’s total outstanding units. For redemption requests requiring more than one quarter to fully redeem, the percentage discount amount if any, that applies when the redemption payments begin continues to apply throughout the redemption period and applies to all units covered by such redemption request regardless of when the final redemption payment is made. The company has not established a cash reserve from which to fund redemptions. The company’s capacity to redeem units upon request is limited by the availability of cash and the company’s cash flow. The manager also has the right, in its sole discretion, at any time, to reject any request for redemption, or to suspend or terminate the acceptance of new redemption requests without prior notice, or to terminate, suspend or amend the unit redemption program upon 30-day notice. Pursuant to the Operating Agreement, the company will not, in any calendar year, redeem more than five percent ( 5 %) of the weighted average number of units outstanding during the twelve-month period immediately prior to the date of the redemption; however, the manager may, but is not required to, waive this limitation if it deems it in the best interest of the company. In the event unit withdrawal requests exceed 5 % in any calendar year, and are held by the company, units will be redeemed in the order of priority provided in the Operating Agreement. The manager may, in its sole discretion, waive any applicable holding periods or penalties in the event of the death of a member or other exigent circumstances or if the manager believes such wavier is in the best interests of the company. Manager’s interest If a manager is removed, withdrawn or terminated, the company will pay to the manager all amounts then accrued and due to the manager. Additionally, the company will terminate the manager’s interest in the company’s profits, losses, distributions and capital by payment of an amount in cash equal to the then-present fair value of such interest. Term of the company The term of the company will terminate on December 31, 2038 unless: (i) the term is further extended by RMC with the affirmative consent of a majority interest of the members; or (ii) the company is earlier terminated pursuant to the Operating Agreement or by operation of law. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2024 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of presentation The financial statements are prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”). Management estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions about the reported amounts of assets and liabilities, and disclosures of contingent assets and liabilities, at the dates of the financial statements and the reported amounts of revenues and expenses during the reported periods. Such estimates involve a significant level of uncertainty and have had or are reasonably likely to have a material impact on the company’s financial condition or results of operations. Such estimates relate principally to the determination of the allowance for credit losses ( including the fair value of the collateral), and the valuation of real estate owned (“REO” ) at acquisition and subsequently (RMI IX has not acquired REO since it commenced operations in 2009). Actual results could differ materially from these estimates. Fair value estimates The fair value of real property (as to loan collateral and REO) is determined by exercise of judgment based on RMC’s management’s experience informed by appraisals (by licensed appraisers), brokers’ opinion of values, and publicly available information on in-market transactions. Appraisals of commercial real property generally present three approaches to estimating value: 1) market-comparables or sales approach; 2) cost to replace; and 3) capitalized cash flows or income approach. These approaches may or may not result in a common, single value. The market-comparables approach may yield different values depending on certain basic assumptions, including the consideration of adjustments made for any attributes specific to the real estate. Management has the requisite familiarity with the markets it lends in generally and of the properties lent on specifically to analyze sales-comparables and assess their suitability/applicability. Management is acquainted with market participants – investors, developers, brokers, and lenders – that are useful, relevant secondary sources of data and information regarding valuation and valuation variability. These secondary sources may have familiarity with and perspectives on pending transactions, successful strategies to optimize value, and the history and details of specific properties – on and off the market – that enhance the process and analysis that is particularly and principally germane to establishing value in distressed markets and/or property types. GAAP defines fair value as the price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. An orderly transaction is a transaction that assumes exposure to the market for a period prior to the measurement date to allow for marketing activities that are usual and customary for transactions involving such assets and liabilities; it is not a forced transaction. Market participants are buyers and sellers in the principal market that are (i) independent, (ii) knowledgeable, (iii) able to transact and (iv) willing to transact. Fair values of assets and liabilities are determined based on the fair-value hierarchy established in GAAP. The hierarchy is comprised of three levels of inputs to be used: • Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities that the company has the ability to access at the measurement date. An active market is a market in which transactions occur with sufficient frequency and volume to provide pricing information on an ongoing basis. • Level 2 inputs are inputs other than quoted prices that are observable for the asset or liability, either directly or indirectly in active markets and quoted prices for identical assets or liabilities that are not active, and inputs other than quoted prices that are observable, or inputs derived from or corroborated by market data. • Level 3 inputs are unobservable inputs for the asset or liability. Unobservable inputs reflect the company’s own assumptions about the assumptions market participants would use in pricing the asset or liability (including assumptions about risk). Unobservable inputs are developed based on the best information available in the circumstances and may include the company’s own data. Cash in banks Certain of the company’s cash balances in banks exceed federally insured limits. The bank or banks in which funds are deposited are reviewed periodically for their general creditworthiness/investment grade credit rating. Loans and interest income Loans are carried at amortized cost, which is generally equal to the unpaid principal balance (principal). Management has discretion to pay amounts (advances) to third parties on behalf of borrowers to protect the company’s interest in the loan. Advances include, but are not limited to, the payment of interest and principal on a senior lien to prevent foreclosure by the senior lien holder, property taxes, insurance premiums and attorney fees. Advances generally are stated at the amounts paid out on the borrower’s behalf and any accrued interest on amounts paid out, until repaid by the borrower. Interest is accrued daily, on principal and advances, if any. The company may fund a specific loan net of an interest reserve (one to two years) to insure timely interest payments at the inception of the loan. Any interest reserve is amortized over the period that the amount is prepaid. In the event of an early loan payoff, any unapplied interest reserves would be first applied to any accrued but unpaid interest and then as a reduction to the principal. Payments on loans are applied in the following order: accrued interest, advances, and lastly to principal. Late fees are recognized in the period received. Pursuant to California regulatory requirements, borrower payments are deposited into a trust account established by RMC with an independent bank (and are presented on the balance sheet as “Loan payments in trust”). Funds are disbursed to the company’s bank account as collected, which can range from same day for wire transfers and to two weeks after deposit for checks. Performing loans that are maturing or have matured may be renewed at then current market rates of interest and terms for new loans. (These loan extensions are not reported as new loans for financial reporting purposes.) Loans with a payment in arrears (i.e., are non-performing) continue to recognize interest income as long as the loan is in the process of collection with the borrower and the loan balance (i.e., the sum of the unpaid principal, advances and accrued interest) is considered to be well-secured. Loans are placed on non-accrual status if management determines that the primary source of repayment will come from the acquisition by foreclosure (or acquisition by deed in lieu of foreclosure) and subsequent sale of the collateral securing the loan (e.g., a notice of sale is filed and/or when a borrower files for bankruptcy) or when the loan balance is no longer considered well-secured (i.e., the LTV for the loan based on the estimated net realizable value of the collateral and the total principal, advances and accrued interest (at the note rate) is at or greater than eighty percent (80%), seventy-five percent (75%) for lands outside of metropolitan areas) and the borrower has payments in arrears. When a loan is placed on non-accrual status, the accrual of interest is discontinued – beginning with the then current month – for accounting purposes only; previously recorded interest is not reversed. A loan may return to accrual status when all delinquent loan payments are cured and the loan becomes current in accordance with the terms of the loan agreement and the loan balance is considered well collateralized. Uncollectible loans are charged off directly to the allowance for credit losses once it is determined the full amount is not collectible. Any amounts collected after a charge off is deemed a recovery. The company funds loans with the intent to hold until maturity. From time to time the company may sell certain loans to unaffiliated third parties. Loans are classified as held-for-sale once a decision has been made to sell loans and the loans to be held-for-sale have been identified. Loans classified as held-for-sale are carried at the lower of amortized cost or fair value. Allowance for credit losses Loan balances are analyzed on a periodic basis for ultimate recoverability. In conjunction therewith, collateral fair values are re-assessed periodically and the protective equity for each loan is determined. As used herein, “protective equity” is the dollar amount by which the net realizable value (i.e., fair value less the cost to sell) of the collateral, net of any senior liens, exceeds the loan balance. The allowance for credit losses is recognized based on current expected credit losses (CECL) at the time a loan is originated or acquired. No loss is expected at origination, given the substantial protective equity (i.e., the low LTVs), the predominance of first lien loans and the short duration of the loans. The determination of the probability-of-loss for defaulted loans (and thereby the determination of the amount of the allowance for expected forward period credit losses) considers current fair value of collateral and the resultant LTV, current real estate and financial markets, as well as reasonable and supportable forecasts about future economic scenarios and – to a lesser extent - historical loss experience. The forward-looking estimates consider the likelihood that any combination of events would adversely impact economic conditions and real estate markets in California such that the substantial protective equity existing for the loans would no longer be sufficient to collect the recorded amounts of principal, advances and accrued interest due on the loan. For a loan that is deemed collateral dependent for repayment, a provision for credit losses is recorded to adjust the allowance for credit losses to an amount such that the net carrying amount (the loan balance, net of foregone interest for loans in non-accrual status) is reduced to the lower of the loan balance or the net realizable value of the related collateral, net of any senior liens. The allowance for credit losses is adjusted each period for changes in expected lifetime credit losses for loans and accrued interest. Expected credit losses are determined on a collective (pool) basis when similar risk characteristic(s) exist. Loans that do not share risk characteristics with other loans are evaluated for expected credit losses on an individual basis. When determining risk characteristics to include in its pooling assessment, the following are most determinant. - Loan to value ( “ LTV ” ): The ratio of the outstanding loan balance to the fair value of the underlying collateral, and thereby the amount of protective equity of the company’s loans, is the most determinant attribute at inception of the loan and ongoing in estimating incurred and lifetime expected credit losses. Further to reducing the risk of loss, the company’s loans are predominantly first mortgages, but second lien deeds of trust are not infrequent nor insignificant. - Term: The duration (or expected term) of loan is a determinant attribute as the duration of the company’s loans are less than those of other conventional commercial real estate lenders (e.g., institutions, such as banks, insurance companies, private equity firms), typically in the range of one to three years. The expected duration of the loans (and thereby the forecast period) is shortened further as the loans are written without a prepayment penalty. - Geographical location: The company’s loans are secured by real estate in coastal California metropolitan areas , typically in the Bay Area (including Silicon Valley) but also elsewhere in northern and southern California. The probability-of-default/loss given default is most determinant for the company given the low LTVs at origination, the predominance of first lien loans and the relatively short duration of the loans. When a reporting entity, such as the company uses a measurement technique other than a discounted cash flow (DCF) approach, the allowance ought to reflect the expected credit losses of the amortized cost basis. Therefore, non-DCF methods ought to incorporate the impact of accrued interest (but not future interest /payments that have not yet been accrued) and advances, if any, into the estimate of expected credit losses. No prepayment assumption is factored into the estimate of credit losses as it is not a significant determinant of the amount of reserve. Given the limited number of loans and the short terms for which the loans are written (and the potentially even shorter duration given that the loans are written without a prepayment penalty), at each reporting date the company performs a risk analysis as to real estate market conditions in the California areas in which loan collateral is located and performs a loan-by-loan analysis to determine the current fair value of the real property collateral and the remaining time to maturity. The results are accumulated and the LTVs in forward periods are forecasted – by lien position – for those loans expected (on a contractual maturity basis) to be then outstanding. No expected extensions, renewals, or modifications are factored in as the company’s loans do not contain renewal options that can be unconditionally exercised by the borrowers. This methodology/analysis determines if there is any future period in the lifetime of the loan in which a real estate market decline in values is expected to occur that would be sufficient to put at risk the full collection of amounts owed, including accrued interest and advances, if any secured by the deeds of trust. In arriving at the determination, the manager consulted a range of banking/industry and academic studies and forecasts. If foreclosure (or negotiation of a deed in lieu of foreclosure) is concluded to be probable, the loan is considered to be collateral-dependent and the company uses the practical expedient to reduce its recorded investment in the loan to the net realizable value of the real estate and other assets to be acquired, net of the liabilities to be assumed. The determination of whether a loan is determined to be collateral-dependent requires judgment and considers both the current LTV and the financial condition of the borrower, which is monitored by the manager. Real estate owned (“REO”) Real estate owned, or REO, is property acquired in full or partial settlement of loan obligations generally through foreclosure and is recorded at acquisition at the property’s fair value less estimated costs to sell, as are other assets acquired and liabilities assumed (or any senior debt the property is taken subject to). The fair value estimates are derived from information available in the real estate markets including similar property, and often require the experience and judgment of third parties such as commercial real estate appraisers and brokers. The estimates figure materially in calculating the value of the property at acquisition, the level of charge to the allowance for credit losses and any subsequent valuation reserves. After acquisition, costs incurred relating to the development and improvement of property are capitalized to the extent they do not cause the recorded value to exceed the net realizable value, whereas costs relating to holding and disposition of the property are expensed as incurred. REO is analyzed periodically for changes in fair values and any subsequent write down is charged to operations expenses. Any recovery in the fair value subsequent to such a write down is recorded and is not to exceed the value recorded at acquisition. Recognition of gains or losses on the sale of real estate is dependent upon the transaction meeting certain criteria related to the nature of the property and the terms of the sale including potential seller financing. Debt issuance costs Debt issuance costs are the fees and commissions incurred in the course of obtaining a line of credit for services from banks, law firms and other professionals and are amortized on a straight-line basis as interest expense over the term of the line of credit. Recent accounting pronouncements not yet adopted The Financial Accounting Standards Board (FASB) issued an Accounting Standards Update (“ASU”) 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures (“ASU 2023-07”), which requires enhanced disclosures about significant segment expenses and other segment items and requires public entities to disclose all annual disclosures about segments in interim periods. The new standard also permits entities to disclose more than one measure of segment profit or loss, requires disclosure of the title and position of the Chief Operating Decision Maker, and requires entities with a single reportable segment to provide all disclosures required by Topic 280. ASU 2023-07 is effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024. Early adoption is permitted, and entities are required to apply the ASU retrospectively to all periods presented. The company is currently evaluating the impact, if any, that the adoption of this standard will have on its financial statements and related disclosures. |
Manager and Other Related Parti
Manager and Other Related Parties | 3 Months Ended |
Mar. 31, 2024 | |
Related Party Transactions [Abstract] | |
Manager and Other Related Parties | NOTE 3 – MANAGER AND OTHER RELATED PARTIES The Operating Agreement provides for compensation to the manager and for the reimbursement of qualifying costs as detailed below. RMC is entitled to 1 % of the net income or loss of the company. RMC – at its sole discretion – collected less than the maximum allowable reimbursement of qualifying costs attributable to RMI IX (Costs from RMC on the Statements of Income), which increased the net income, cash available for distribution, and the net-distribution rate. The cost-reimbursement waivers in the three months ended March 31, 2024 and 2023, by RMC were not made for the purpose of providing RMI IX with sufficient funds to satisfy any required level of distributions, as the Operating Agreement has no such required level of distributions, nor to meet withdrawal requests. Mortgage servicing fees The manager is entitled to receive a servicing fee of up to one-quarter of one percent ( 0.25 %) annually of secured loan principal. The mortgage servicing fees are accrued monthly on all loans. Remittance to RMC is made monthly unless the loan has been assigned a specific loss reserve, at which point remittance is deferred until the specific loss reserve is no longer required, or the property securing the loan has been acquired by the company. Asset Management Fees The manager is entitled to receive a monthly asset management fee for managing RMI IX’s assets, liabilities, and operations in an amount up to three-quarters of one percent ( 0.75 %) annually of the portion of the capital originally committed to investment in mortgages, not including leverage, and including up to two percent ( 2 %) of working capital reserves. Costs from RMC The manager is entitled to request reimbursement for operations expense incurred on behalf of RMI IX, including without limitation, RMC’s personnel and non-personnel costs incurred for qualifying business activities, including investor services, accounting, tax and data processing, postage and out-of-pocket general and administration expenses. Qualifying personnel/compensation costs and consulting fees are tracked by business activity, and then costs of qualifying activities are allocated to RMI IX pro-rata based on the percentage of RMI IX’s members’ capital to the total capital of all related mortgage funds managed by RMC. Certain other non-personnel, qualifying costs such as postage and out-of-pocket general and administrative expenses can be tracked by RMC as specifically attributable to RMI IX; other non-personnel, qualifying costs (e.g., RMC’s accounting and audit fees, legal fees and expenses, occupancy, and insurance premiums) are allocated pro-rata based on the percentage of RMI’s members’ capital to total capital of the related mortgage funds managed by RMC. The amount of qualifying costs attributable to RMI IX incurred by RMC was approximately $ 156 thousand and $ 212 thousand in the three months ended March 31, 2024 and 2023 , respectively. The reimbursement of costs waived by RMC was approximately $ 66 thousand and $ 130 thousand in the three months ended March 31, 2024 and 2023 , respectively. Total costs reimbursed to RMC by RMI IX were approximately $ 90 thousand and $ 81 thousand in the three months ended March 31, 2024 and 2023, respectively. Loan administrative fees The manager is entitled to receive a loan administrative fee of up to one percent ( 1 %) of the principal amount of each new loan funded or acquired for services rendered in connection with the selection and underwriting of loans payable upon the closing or acquisition of each loan. Since August 2015, RMC, at its sole discretion, has waived loan administrative fees on new originations. The total amount of loan administrative fees waived was approximately $ 83 thousand and $ 62 thousand in the three months ended March 31, 2024 and 2023, respectively. Formation loan Commissions for unit sales to new members paid to broker-dealers (“B/D sales commissions”) and premiums paid to certain investors upon the purchase of units were paid by RMC and were not paid directly by RMI IX out of unit-sales proceeds. Instead, RMI IX advanced to RMC amounts sufficient to pay the B/D sales commissions and premiums to be paid to investors. Such advances in total were not to exceed seven percent ( 7 %) of offering proceeds, and when offerings of units to new members ended on April 30, 2019 totaled $ 5.6 million. The receivable arising from the advances is unsecured and non-interest bearing and is referred to as the “formation loan”. Formation loan transactions for the three months ended March 31 are presented in the following table ($ in thousands). 2024 2023 Balance, January 1 $ 2,902 $ 3,110 Payments received from RMC ( 52 ) ( 52 ) Balance, March 31 $ 2,850 $ 3,058 The formation loan is being repaid in annual installments of approximately $ 208 thousand to coincide with the extended term of the company. The installments may be paid by RMC either in full on December 31st of each calendar year during the term of the company or in four equal quarterly installments. The primary source of repayment of the formation loan are the loan brokerage commissions earned by RMC. The formation loan is forgiven if the manager is removed and RMC is no longer receiving payments for services rendered. As such, the formation loan is presented as contra equity. Redemptions of members’ capital Redemptions of members’ capital for the three months ended March 31 are presented in the following table ($ in thousands). Redemptions 2024 2023 Without penalty $ 881 $ 1,010 With penalty 1 18 Total $ 882 $ 1,028 Early withdrawal penalties $ — $ 1 Pursuant to the Operating Agreement, unless waived by the manager, the company will not redeem in any calendar year more than five percent (5.0%) and in any calendar quarter one and one-quarter percent (1.25%) of the weighted average number of units outstanding in the twelve (12) month period immediately prior to the date of redemption. The manager has no present intention to exercise its discretionary power to waive or modify the enforcement of the redemptions limitation in the foreseeable future. Redemptions of members' capital received by the manager and unpaid at March 31, 2024 approximated $ 15.0 million, of which, • $ 12.0 million were received at or prior to December 31, 2023; and • $ 3.0 million were received in the quarter ended March 31, 2024 (and will be eligible at June 30, 2024). Eligible redemption requests are to be honored in the following order of priority: • first, to redemptions upon the death of a member, subject to a cap of $ 100 thousand per quarter for each deceased member’s account ; and • next, to all other eligible redemption requests on a pro rata basis. Organization and offering expenses The manager is required to be reimbursed for O&O expenses incurred in connection with the organization of the company and the offering of the units of membership interest including, without limitation, attorneys’ fees, accounting fees, printing costs and other selling expenses (other than sales commissions) in a total amount not exceeding 4.5 % of the original purchase price of all units (other than DRIP units) sold in all offerings (hereafter, the “maximum O&O expenses”). RMC paid the O&O expenses in excess of the maximum O&O expenses. The O&O expenses incurred by RMI IX are allocated to the members as follows – for each of forty (40) calendar quarters or portion thereof after December 31, 2015 that a member holds units (other than DRIP units), the O&O expenses incurred by RMI IX are allocated to and debited from that member’s capital account in an annual amount equal to 0.45 % of the member’s original purchase price for those units, in equal quarterly installments of 0.1125 % each commencing with the later of the first calendar quarter of 2016 or the first full calendar quarter after a member’s purchase of units, and continuing through 40 calendar quarters or the quarter in which such units are redeemed. Unallocated O&O transactions for the three months ended March 31 are summarized in the following table ($ in thousands). 2024 2023 Balance, January 1 $ 742 $ 1,045 O&O expenses allocated ( 61 ) ( 66 ) O&O expenses paid by RMC (1) ( 10 ) ( 15 ) Balance, March 31 $ 671 $ 964 (1) RMC is obligated per the Operating Agreement to repay RMI IX for the amount of unallocated O&O expenses attributed to a member’s capital account if the member redeems prior to the 40 quarterly allocations. RMC estimated its future obligation to repay unallocated O&O expenses on scheduled redemptions as of March 31, 2024 , to be approximately $ 10 thousand. Other related party transactions - Payable to/receivable from related parties From time to time, in the normal course of business operations, the company may have payables to and/or receivables from related parties. At March 31, 2024 , the payable to related parties balance of approximately $ 61 thousand consisted exclusively of accounts payable to the manager. The receivable from related parties balance of approximately $ 31 thousand consisted exclusively of accounts receivable from a related mortgage fund. At December 31, 2023 , the payable to related party balance of approximately $ 90 thousand consisted of accounts payable of approximately $ 57 thousand to the manager and $ 18 thousand to a related mortgage fund. Also included was member redemptions of approximately $ 15 thousand. - Loan transactions with related parties In the ordinary course of business, performing loans may be transferred by executed assignment, in-part or in-full, between the RMC managed mortgage funds at par value, which approximates market value. In the three months ended March 31, 2023 , related mortgage funds transferred to RMI IX three loans with aggregate principal of approximately $ 3.2 million in-full at par value, which approximates fair value. RMI IX paid cash for the loans and the related mortgage fund has no continuing obligation or involvement with the loans. No loans were transferred from related mortgage funds in the three months ended March 31, 2024. In the three months ended March 31, 2023 , RMI IX transferred to a related mortgage fund two loans with aggregate principal of approximately $ 857 thousand in-full at par value, which approximates fair value. The related mortgage funds paid cash for the loans and RMI IX has no continuing obligation or involvement with the loans. No loans were transferred to related mortgage funds in the three months ended March 31, 2024. - Promissory note funded to/repaid by related parties On June 29, 2023, RMI IX lent $ 3.3 million to a related mortgage fund secured by the net cash flow payable on three mortgage loans totaling approximately $ 7.5 million, which had contractual maturities before October 1, 2023. The promissory note receivable from the related mortgage fund was secured by all proceeds payable to the related mortgage fund upon the payoff or repayment of the pledged mortgage loans, net of any amounts outstanding on a line of credit secured by the pledged mortgage loans. The note balance, including interest, was paid in full in February 2024. |
Loans
Loans | 3 Months Ended |
Mar. 31, 2024 | |
Receivables [Abstract] | |
Loans | NOTE 4 – LOANS Loans generally are funded at a fixed interest rate with a loan term of up to five years. Loans acquired between related mortgage funds are generally done so within the first six months of origination and are purchased at par value, which approximates fair value. See Note 3 (Manager and Other Related Parties) for a description of loans transferred by executed assignments between the related mortgage funds. The company’s loans are secured by real estate in coastal California metropolitan areas. The portfolio segments are first and second trust deeds mortgages and the key credit quality indicator is the LTV. First mortgages are predominant, but second lien deeds of trust are not infrequent nor insignificant. First-mortgage loans comprised 82 % of the portfolio at March 31, 2024 ( 83 % at December 31, 2023). Secured loans unpaid principal balance (principal) Secured loan transactions for the three months ended March 31 are summarized in the following table ($ in thousands). 2024 Total First Trust Deeds Second Trust Deeds Principal, beginning of period (1) $ 62,916 $ 52,263 $ 10,653 Loans funded 8,288 7,443 845 Principal collected ( 10,186 ) ( 9,600 ) ( 586 ) Principal, end of period $ 61,018 $ 50,106 $ 10,912 (1) Includes principal collected and held in trust at March 31, 2024 of approximately $ 3 thousand offset by principal collected and held in trust at December 31, 2023 of approximately $ 3 thousand which was disbursed to the company in January 2024 . During the three months ended March 31, 2024 , the company renewed three maturing (or matured) loans with aggregate principal of approximately $ 11.3 million, which are not included in the activity shown in the table above. The loans have an average extension period of approximately 12 months, and were current and deemed well collateralized (i.e., the current LTV for the collateral was within lending guidelines as discussed in Note 2 to these financial statements). Interest rates charged to borrowers may be adjusted in conjunction with the loan extensions to reflect current market conditions (in 2024, one extension included a rate increase). As of March 31, 2024, there were no commitments to lend outstanding and no construction or rehabilitation loans outstanding. Loan characteristics Secured loans had the characteristics presented in the following table ($ in thousands). March 31, December 31, 2024 2023 Number of secured loans 48 47 First trust deeds 35 34 Second trust deeds 13 13 Secured loans – principal $ 61,018 $ 62,916 First trust deeds $ 50,106 $ 52,263 Second trust deeds $ 10,912 $ 10,653 Secured loans – lowest interest rate (fixed) 7.3 % 7.3 % Secured loans – highest interest rate (fixed) 11.8 % 11.8 % Average secured loan – principal $ 1,271 $ 1,339 Average principal as percent of total principal 2.1 % 2.1 % Average principal as percent of members’ and manager’s capital, net 1.9 % 2.0 % Average principal as percent of total assets 2.0 % 2.0 % Largest secured loan – principal $ 6,200 $ 6,200 Largest principal as percent of total principal 10.2 % 9.9 % Largest principal as percent of members’ and manager’s capital, net 9.2 % 9.1 % Largest principal as percent of total assets 9.5 % 9.1 % Smallest secured loan – principal $ 185 $ 185 Smallest principal as percent of total principal 0.3 % 0.3 % Smallest principal as percent of members’ and manager’s capital, net 0.3 % 0.3 % Smallest principal as percent of total assets 0.3 % 0.3 % Number of California counties where security is located 16 16 Largest percentage of principal in one California county 20.8 % 21.7 % Number of secured loans with prepaid interest 2 2 Prepaid interest $ 40 $ 107 As of March 31, 2024, 29 loans with principal of approximately $ 43.7 million provide for monthly payments of interest only, with the principal due at maturity, and 19 loans with principal of approximately $ 17.3 million (representing 28 % of the aggregate principal of the company’s loan portfolio) provide for monthly payments of principal and interest, typically calculated on a 30 -year amortization, with the remaining principal due at maturity. As of March 31, 2024, RMI IX’s largest loan with principal of $ 6.2 million, has an LTV at origination (OLTV) of 48%, and is in first lien position. The loan is secured by an industrial property located in San Diego County, with an interest rate of 10.50 % and is scheduled to mature on February 1, 2025 (extended from February 1, 2024 , as provided for in the original note). As of March 31, 2024, there were 13 loans in second lien position. The aggregate principal of these loans is approximately $ 10.9 million and the weighted average OLTV is 54.73 % . All but two loans in second lien position were performing as of March 31, 2024 . One delinquent loan has principal outstanding of $ 760 thousand (OLTV 70 %), is secured by an industrial property located in Santa Clara county, bears an interest rate of 8.88 %, and matured on August 1, 2023 . The borrower included this note/debt in a bankruptcy estate in December 2023 (notification received in March 2024) and continues to make monthly payments. The other delinquent loan has principal outstanding of $ 594 thousand (OLTV 62 %), is secured by a single family property located in San Diego county, bears an interest rate of 9.25 % and matures on October 1, 2027. The borrower was 30-days delinquent as to monthly payments as of March 31, 2024. Lien position/OLTV At funding, secured loans had the lien positions presented in the following table ($ in thousands). March 31, 2024 December 31, 2023 Loans Principal Percent Loans Principal Percent First trust deeds (2) 35 $ 50,106 82 % 34 $ 52,263 83 % Second trust deeds 13 10,912 18 13 10,653 17 Total principal, secured loans 48 61,018 100 % 47 62,916 100 % Liens due other lenders at loan closing 26,569 26,644 Total debt $ 87,587 $ 89,560 Appraised property value at loan closing $ 177,228 $ 177,310 OLTV (weighted average) 54.4 % 54.6 % (2) One loan with principal of approximately $ 2.0 million has an LTV of 108 %. The loan agreement was executed by an individual with substantial real estate holdings, experience and financial resources. The loan is performing (and has been over its time outstanding) and is scheduled to mature July 1, 2024 (extended from May 1, 2024 ). At the time a loan is funded, the LTV is such that the protective equity in the collateral securing the loan is sufficient to preclude any expected credit losses – principal unless there is a forward period adverse event that is uninsured and/or there are market conditions so adverse (and are other-than-temporary) that the protective equity is reduced to an amount not sufficient to recover the principal owed. Such an adverse event/condition is deemed improbable of occurrence in the relatively short duration the secured loans are outstanding. Secured loans, principal by OLTV and lien position at March 31, 2024 are presented in the following table ($ in thousands). Secured loans, principal OLTV (3) First trust Percent Count Second trust Percent Count Total Percent <40% $ 7,871 12.9 % 7 $ 1,524 2.5 % 3 $ 9,395 15.4 % 40-49% 16,037 26.3 7 3,500 5.7 2 19,537 32.0 50-59% 2,715 4.4 3 360 0.6 1 3,075 5.0 60-69% 19,739 32.3 15 1,954 3.2 2 21,693 35.5 Subtotal <70% 46,362 75.9 32 7,338 12.0 8 53,700 87.9 70-79% 1,744 2.9 2 3,574 5.9 5 5,318 8.8 Subtotal <80% 48,106 78.8 34 10,912 17.9 13 59,018 96.7 ≥80% 2,000 3.3 1 — 0.0 — 2,000 3.3 Total $ 50,106 82.1 % 35 $ 10,912 17.9 % 13 $ 61,018 100.0 % (3) LTV classifications in the table above are based on principal, advances and interest unpaid at March 31, 2024 . Property type Secured loans summarized by property type are presented in the following table ($ in thousands). March 31, 2024 December 31, 2023 Loans Principal Percent Loans Principal Percent Single family (4) 20 $ 18,010 29 % 21 $ 21,786 35 % Commercial Office 3 5,725 9 3 5,725 9 Retail 7 12,164 20 6 9,948 15 Industrial 8 13,352 22 8 13,353 22 Commercial – Other 4 2,734 5 3 2,377 4 Commercial Total 22 33,975 56 20 31,403 50 Multi-family 5 7,533 13 5 8,227 13 Land 1 1,500 2 1 1,500 2 Total principal, secured loans 48 $ 61,018 100 % 47 $ 62,916 100 % (4) Single family includes 1-4 unit residential buildings, condominium units, townhouses and condominium complexes. At March 31, 2024, single family consists of eight loans with aggregate principal of approximately $ 4.7 million that are owner occupied and 12 loans with principal of approximately $ 13.3 million that are non-owner occupied. At December 31, 2023 , single family consisted of six loans with aggregate principal of approximately $ 3.3 million that are owner occupied and 15 loans with principal of approximately $ 18.5 million that are non-owner occupied. Distribution of secured loans - principal by California counties The distribution of secured loans within California by counties is presented in the following table ($ in thousands). March 31, 2024 December 31, 2023 Principal Percent Principal Percent San Francisco Bay Area (5) San Francisco $ 12,716 20.8 % $ 13,662 21.7 % San Mateo 3,044 5.0 4,832 7.7 Santa Clara 10,288 16.9 10,143 16.1 Alameda 3,925 6.4 3,925 6.2 Contra Costa 900 1.5 — 0.0 Napa 638 1.1 640 1.0 Solano 185 0.3 185 0.3 Marin 400 0.7 400 0.7 32,096 52.7 33,787 53.7 Other Northern California Placer 1,966 3.2 1,967 3.1 Tehama — 0.0 — 0.0 San Joaquin 2,750 4.5 750 1.2 Butte 1,203 2.0 1,203 1.9 Sacramento 550 0.9 551 0.9 6,469 10.6 4,471 7.1 Northern California Total 38,565 63.3 38,258 60.8 Southern California Coastal Los Angeles 3,137 5.1 4,058 6.5 Orange 7,593 12.4 7,177 11.4 San Diego 9,823 16.1 8,325 13.2 20,553 33.6 19,560 31.1 Other Southern California – Riverside Riverside 1,900 3.1 1,900 3.0 Ventura — 0.0 3,198 5.1 1,900 3.1 5,098 8.1 Southern California Total 22,453 36.7 24,658 39.2 Total principal, secured loans $ 61,018 100.0 % $ 62,916 100.0 % (5) Includes Silicon Valley Scheduled maturities/Secured loans - principal Secured loans scheduled to mature in periods as of and after March 31, 2024 , are presented in the following table ($ in thousands). First Trust Deeds Second Trust Deeds Total Loans Principal Loans Principal Loans Principal Percent 2024 13 $ 24,550 4 $ 4,060 17 $ 28,610 47 % 2025 9 12,848 5 4,653 14 17,501 28 2026 4 3,725 1 360 5 4,085 7 2027 2 1,318 1 594 3 1,912 3 Thereafter 5 2,525 1 485 6 3,010 5 Total scheduled maturities 33 44,966 12 10,152 45 55,118 90 Matured (6) 2 5,140 1 760 3 5,900 10 Total principal, secured loans 35 $ 50,106 13 $ 10,912 48 $ 61,018 100 % (6) See Delinquency/Secured loans with payments in arrears below for additional information on matured loans. Scheduled maturities are presented based on the most recent in-effect agreement with the borrower, including forbearance agreements, if any. As a result, matured loans at March 31, 2024, for the scheduled maturities table above may differ from the same captions in the tables of delinquencies and payment in arrears presented below that do not consider forbearance agreements. For matured loans, the company may continue to accept payments while pursuing collection of principal or while negotiating an extension of the maturity date. Loans are written without a prepayment penalty causing an uncertainty/a lack of predictability as to the expected duration versus the scheduled maturity. Delinquency/Secured loans Secured loans principal summarized by payment-delinquency status are presented in the following table ($ in thousands). March 31, 2024 December 31, 2023 Loans Principal Loans Principal Current 41 $ 51,957 39 $ 50,861 Past Due 30-89 days 3 2,171 2 1,165 90-179 days 1 200 3 7,483 180 or more days 3 6,690 3 3,407 Total past due 7 9,061 8 12,055 Total principal, secured loans 48 $ 61,018 47 $ 62,916 At March 31, 2024 and December 31, 2023 , there was one loan with a forbearance agreement in effect with principal of $ 990 thousand , included in the table above as 180 or more days delinquent. Five loans past due at March 31, 2024 , were in first lien position and had principal payments in arrears of approximately $ 5.1 million. Two loans past due at March 31, 2024 , were in second lien position and had principal payments in arrears of approximately $ 760 thousand. Delinquency/Secured loans with payments in arrears Secured loans with payments in arrears (seven loans), principal by OLTV and lien position at March 31, 2024 are presented in the following table ($ in thousands). Secured loans with payments in arrears, principal OLTV (7) First trust Percent (8) Second trust Percent (8) Total Percent (8) <40% $ 200 0.3 % $ — 0.0 % $ 200 0.3 % 40-49% 613 1.0 — 0.0 613 1.0 50-59% — 0.0 — 0.0 — 0.0 60-69% 5,930 9.7 594 1.0 6,524 10.7 Subtotal <70% 6,743 11.0 594 1.0 7,337 12.0 70-79% 964 1.6 760 1.2 1,724 2.8 Subtotal <80% 7,707 12.6 1,354 2.2 9,061 14.8 ≥80% — 0.0 — 0.0 — 0.0 Total $ 7,707 12.6 % $ 1,354 2.2 % $ 9,061 14.8 % (7) LTV classifications in the table above are based on principal, advances and interest unpaid at March 31, 2024 . (8) Percent of total principal, secured loans ($ 61.0 million) at March 31, 2024 . Payments in arrears for secured loans at March 31, 2024 are presented in the following tables ($ in thousands). Loans Principal Interest (9) At March 31, 2024 Past Monthly Past Monthly Past Monthly Total Past due 30-89 days (1-3 payments) — 3 $ — $ 2 $ — $ 23 $ 25 90-179 days (4-6 payments) 1 — 200 — — — 200 180 or more days (more than 6 payments) 2 1 5,700 — 197 48 5,945 Total past due 3 4 $ 5,900 $ 2 $ 197 $ 71 $ 6,170 (9) March 2024 interest is due April 1, 2024 and is not included in the payments in arrears at March 31, 2024 . One loan included above was past maturity, with principal of approximately $ 200 thousand having been paid off in full. Matured loans, principal by OLTV and lien position at March 31, 2024 are presented in the following table ($ in thousands). Secured loans past maturity, principal OLTV (10) First trust Percent (11) Second trust Percent (11) Total Percent (11) <40% $ 200 0.3 % $ — 0.0 % $ 200 0.3 % 40-49% — 0.0 — 0.0 — 0.0 50-59% — 0.0 — 0.0 — 0.0 60-69% 4,940 8.1 — 0.0 4,940 8.1 Subtotal <70% 5,140 8.4 — 0.0 5,140 8.4 70-79% — 0.0 760 1.2 760 1.2 Subtotal <80% 5,140 8.4 760 1.2 5,900 9.6 ≥80% — 0.0 — 0.0 — 0.0 Total $ 5,140 8.4 % $ 760 1.2 % $ 5,900 9.6 % (10) LTV classifications in the table above are based on principal, advances and interest unpaid at March 31, 2024 . (11) Percent of total principal of secured loans (totaling $ 61.0 million) at March 31, 2024 . Non-accrual status/Secured loans Secured loans in non-accrual status are summarized in the following table ($ in thousands). March 31, 2024 December 31, 2023 Number of loans 1 none Principal $ 760 Advances 2 Accrued interest (12) 6 Total recorded investment $ 768 Foregone interest $ 6 (12) Accrued interest in the table above is the amount of interest accrued prior to the loan being placed on non-accrual status, net of Provision/allowance for credit losses Activity in the allowance for credit losses for the three months ended March 31 are presented in the following table ($ in thousands). 2024 2023 Principal and Advances Interest Total Principal and Advances Interest Total Balance, December 31 $ 60 $ 60 $ 120 $ 30 $ 25 $ 55 Adoption of ASC 326 (CECL) — — — 30 35 65 Balance, January 1 60 60 120 60 60 120 Provision for (Recovery of) loan losses — — — — — — Charge-offs — — — — — — Balance, March 31 $ 60 $ 60 $ 120 $ 60 $ 60 $ 120 Each secured loan is reviewed quarterly for its delinquency, LTV adjusted for the most recent valuation of the underlying collateral, remaining term to maturity, borrower’s payment history and other factors. Secured loans count, principal and weighted average OLTV at March 31, 2024 and the projected year-end count, principal and weighted average OLTV based on contractual maturities (by lien position) are presented in the following table ($ in thousands). This does not include any forward period extensions, renewals or modifications that the company may undertake at its discretion, which could extend the contractual maturities into future years. First Trust Deeds Second Trust Deeds Loans Principal OLTV Loans Principal OLTV Loans Principal OLTV March 31, 2024 48 $ 61,018 54.4 % 35 $ 50,106 54.3 % 13 $ 10,912 54.7 % December 31, 2024 28 26,508 51.3 20 20,416 50.8 8 6,092 53.1 2025 14 9,007 44.9 11 7,568 44.5 3 1,439 47.0 2026 9 4,922 52.5 7 3,843 54.4 2 1,079 45.5 2027 6 3,010 44.0 5 2,525 47.7 1 485 24.9 2028 4 1,847 37.9 3 1,362 42.5 1 485 24.9 2033 2 699 28.4 1 214 36.3 1 485 24.9 2035 1 485 24.9 — — 0.0 1 485 24.9 2039 0 — 0.0 — — 0.0 — — 0.0 As indicated by the table above, there is no future period covered in the analysis – nor is there any individual loan – in which a real estate market decline in values is expected to occur that would be sufficient to offset the substantial protective equity in the secured-loan portfolio (and in the individual loans) sufficient to put at risk collection of amounts owed under the notes, secured by the deeds of trust. In arriving at the determination, the manager consulted a range of banking/industry and academic studies and forecasts. Fair Value The following methods and assumptions are used when estimating fair value (Level 3 inputs). Secured loans/performing The fair value of the company’s secured loan balances is deemed to approximate the amortized cost. • Terms to maturity are typically one to five years at origination and are shorter than commercial real estate loans by conventional/ institutional lenders and conventional single-family home mortgage lenders; • Loans are written without a prepayment penalty causing uncertainty/a lack of predictability as to the expected duration; and • Interest rates are at a premium to rates charged by conventional lenders. The following methods and assumptions are used to determine the fair value of the collateral securing a loan. Single family - Management’s preferred method for determining the fair market value of its single-family residential assets is the sale comparison method. Management primarily obtains sales comparables (comps) via its subscription to the RealQuest service, but also uses free online services such as Zillow.com and other available resources to supplement this data. Sale comps are reviewed and adjusted for similarity to the subject property, examining features such as proximity to subject, number of bedrooms and bathrooms, square footage, sale date, condition and year built. If applicable sale comps are not available or deemed unreliable, management will seek additional information in the form of brokers’ opinions of value or appraisals. Multi-family residential - Management’s preferred method for determining the aggregate retail value of its multifamily units is the sale comparison method. Sale comps are typically provided in appraisals, or by realtors who specialize in multi-family residential properties. Sales comps are reviewed for similarity to the subject property, examining features such as proximity to subject, rental income, number of units, composition of units by the number of bedrooms and bathrooms, square footage, condition, amenities and year built. Management’s secondary method for valuing its multifamily assets as income-producing rental operations is the direct capitalization method. In order to determine market cap rates for properties of the same class and location as the subject, management refers to published data from reliable third-party sources such as the CBRE Cap Rate Survey. Management applies the appropriate cap rate to the subject’s most recent available annual net operating income to determine the property’s value as an income-producing project. When adequate sale comps are not available or reliable net operating income information is not available or the project is under development or is under-performing to market, management will seek additional information and analysis to determine the cost to improve and the intrinsic fair value and/or management will seek additional information in the form of brokers’ opinion of value or appraisals. Commercial - Management’s preferred method for determining the fair value of its commercial buildings is the sale comparison method. Sale comps are typically provided in appraisals, or by realtors who specialize in commercial properties. Sale comps are reviewed for similarity to the subject property, examining features such as proximity to subject, rental income, number of units, composition of units, common areas, and year built. Management’s secondary method for valuing its commercial buildings is the direct capitalization method. In order to determine market cap rates for properties of the same class and location as the subject, management refers to reputable third-party sources such as the CBRE Cap Rate Survey. Management then applies the appropriate cap rate to the subject’s most recent available annual net operating income to determine the property’s value as an income-producing commercial rental project. When adequate sale comps are not available or reliable net operating income information is not available or the project is under development or is under-performing to market, management will seek additional information and analysis to determine the cost to improve and the intrinsic fair value and/or management will seek additional information in the form of brokers’ opinion of value or appraisals. Commercial land - Commercial land has many variations/uses, thus requiring management to employ a variety of methods depending upon the unique characteristics of the subject land, including a determination of its highest and best use. Management may rely on information in the form of a sale comparison analysis (where adequate sale comps are available), brokers’ opinion of value, or appraisal. |
Line of Credit
Line of Credit | 3 Months Ended |
Mar. 31, 2024 | |
Debt Disclosure [Abstract] | |
Line of Credit | NOTE 5 – LINE OF CREDIT Activity involving the line of credit during the three months ended March 31 is presented in the following table ($ in thousands). 2024 2023 Balance, January 1, $ 2,153 $ 9,900 Draws 13,250 — Repayments ( 15,403 ) ( 250 ) Balance, March 31, $ — $ 9,650 Line of credit – average daily balance $ 2,173 $ 9,897 In March 2020, RMI IX entered into a revolving line of credit and term loan agreement with Western Alliance Bank (“WAB”) which is governed by the terms of the Business Loan Agreement between WAB and the company (“original credit agreement”), as amended and modified by the First Loan Modification Agreement made effective March 4, 2022 (the “2022 modification agreement” and together with the original credit agreement, the “2022 credit agreement”). Effective March 13, 2024, with the maturity of the 2022 credit agreement, WAB and the company entered into another extension and modification agreement (the “2024 modification agreement” and together with the original credit agreement, “the 2024 credit agreement”). Advances on the line of credit are to be used exclusively to fund secured loans. Under the terms of the 2024 credit agreement, RMI IX can borrow up to a maximum principal of $ 10 million pursuant to a line of credit subject to a borrowing base calculation set forth in the 2024 credit agreement and the amounts advanced are secured by a first priority security interest in the notes and deeds of trust of the pledged loans in the borrowing base. The maturity date of the 2024 credit agreement is March 13, 2026, when all amounts outstanding are then due. For a fee of one-quarter of one percent (0.25%), RMI IX has the option prior to maturity date to convert the then outstanding principal balance under the 2024 credit agreement to a two-year term loan maturing in March 2028. Interest on the outstanding principal is payable monthly and accrues at the annual rate that is the greater of: (i) with the one-month Term SOFR Reference Rate (‘Term SOFR’) plus three and one-half percent (3.5%) and (ii) six percent (6.0%). The 2024 modification agreement replaced the 30-day American Interbank Offered Rate Term-30 Index published for loans in United States Dollars by the American Financial Exchange with the Term SOFR which is published for loans in United States dollars by CME Group Benchmark Administration Limited and is obtained from Bloomberg Financial Services Systems with the code TSFR1M or, if no longer available, any similar or successor publication selected by WAB. The 2024 credit agreement provides for customary financial and borrowing base reporting by the company to the bank and specifies that the company shall maintain (i) minimum tangible net worth of $ 50 million, net of amounts due from related companies; (ii) debt service coverage ratio at all times of not less than 2.00 to 1.00 ; and (iii) loan payment delinquency of less than ten percent ( 10.0 %) at calendar quarter-end, calculated as the principal of loans with payments over 61-days past due as determined by the bank’s guidance, less loan loss allowances, divided by total principal of the company’s loans. The 2024 credit agreement provides that in the event the credit payment delinquency rate exceeds 10.0% as of the end of any quarter, the bank will cease to make any further advances until the company is compliant with the covenant but agrees not to accelerate repayment of the loan. If the company does not maintain the required compensating balance with a minimum daily average of $ 1.0 million for the calendar quarter, the interest rate automatically increases by one-quarter of one percent ( 0.25 %) above that rate which would otherwise be applicable for the next calendar quarter retroactive to the beginning of the calendar quarter in which the compensating balance is not maintained. At March 31, 2024 , the interest rate was eight and eighty two one-hundredths percent ( 8.82 %). For each calendar quarter during which the aggregate average daily outstanding principal is less than fifty percent ( 50 %) of the maximum principal of $ 10 million, there is a quarterly unused line fee equal to one-half of one percent ( 0.50 %) per annum of the average daily difference between the average principal outstanding and fifty percent ( 50 %) of the maximum principal of $ 10 million. The fair value of the balance on the line of credit is deemed to approximate the recorded amount as the interest rate and the other terms and conditions, including the two-year term, of the 2024 credit agreements is reflective of market rate terms (Level 2 inputs). The debt issuance costs of approximately $ 66 thousand from the 2024 modification agreement are being amortized on a straight line basis over the two-year term. Amortized debt issuance costs included in interest expense approximated $ 7 thousand for the three months ended March 31, 2024 and 2023 . |
Commitments and Contingencies,
Commitments and Contingencies, Other Than Loan Commitments | 3 Months Ended |
Mar. 31, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies, Other Than Loan Commitments | NOTE 6 – COMMITMENTS AND CONTINGENCIES, OTHER THAN LOAN COMMITMENTS Commitments Note 3 (Manager and Other Related Parties) presents a detailed discussion of the company’s contractual obligations to RMC and scheduled redemptions of members’ capital at March 31, 2024. Legal proceedings As of March 31, 2024, the company was not involved in any legal proceedings or governmental proceedings other than those that would be considered part of the normal course of business as discussed below and no such legal proceedings were terminated during the first quarter of 2024. In the normal course of its business, the company may become involved in legal proceedings (such as bankruptcy proceedings, judicial foreclosures, appointment of receivers, assignment of rents, unlawful detainers, etc.) to collect the debt owed under the promissory notes, to enforce the provisions of the deeds of trust, to protect its interest in the real property subject to the deeds of trust and to resolve disputes with borrowers, lenders, lien holders and mechanics. None of these actions, in and of themselves, typically would be of any material financial impact to the net income or balance sheet of the company. |
Subsequent Events
Subsequent Events | 3 Months Ended |
Mar. 31, 2024 | |
Subsequent Events [Abstract] | |
Subsequent Events | NOTE 7 – SUBSEQUENT EVENTS The manager evaluated events occurring subsequent to March 31, 2024 and determined that there were no events or transactions occurring during this reporting period that require recognition or disclosure in the unaudited financial statements . |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2024 | |
Accounting Policies [Abstract] | |
Basis of presentation | Basis of presentation The financial statements are prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”). |
Management estimates | Management estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions about the reported amounts of assets and liabilities, and disclosures of contingent assets and liabilities, at the dates of the financial statements and the reported amounts of revenues and expenses during the reported periods. Such estimates involve a significant level of uncertainty and have had or are reasonably likely to have a material impact on the company’s financial condition or results of operations. Such estimates relate principally to the determination of the allowance for credit losses ( including the fair value of the collateral), and the valuation of real estate owned (“REO” ) at acquisition and subsequently (RMI IX has not acquired REO since it commenced operations in 2009). Actual results could differ materially from these estimates. |
Fair value estimates | Fair value estimates The fair value of real property (as to loan collateral and REO) is determined by exercise of judgment based on RMC’s management’s experience informed by appraisals (by licensed appraisers), brokers’ opinion of values, and publicly available information on in-market transactions. Appraisals of commercial real property generally present three approaches to estimating value: 1) market-comparables or sales approach; 2) cost to replace; and 3) capitalized cash flows or income approach. These approaches may or may not result in a common, single value. The market-comparables approach may yield different values depending on certain basic assumptions, including the consideration of adjustments made for any attributes specific to the real estate. Management has the requisite familiarity with the markets it lends in generally and of the properties lent on specifically to analyze sales-comparables and assess their suitability/applicability. Management is acquainted with market participants – investors, developers, brokers, and lenders – that are useful, relevant secondary sources of data and information regarding valuation and valuation variability. These secondary sources may have familiarity with and perspectives on pending transactions, successful strategies to optimize value, and the history and details of specific properties – on and off the market – that enhance the process and analysis that is particularly and principally germane to establishing value in distressed markets and/or property types. GAAP defines fair value as the price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. An orderly transaction is a transaction that assumes exposure to the market for a period prior to the measurement date to allow for marketing activities that are usual and customary for transactions involving such assets and liabilities; it is not a forced transaction. Market participants are buyers and sellers in the principal market that are (i) independent, (ii) knowledgeable, (iii) able to transact and (iv) willing to transact. Fair values of assets and liabilities are determined based on the fair-value hierarchy established in GAAP. The hierarchy is comprised of three levels of inputs to be used: • Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities that the company has the ability to access at the measurement date. An active market is a market in which transactions occur with sufficient frequency and volume to provide pricing information on an ongoing basis. • Level 2 inputs are inputs other than quoted prices that are observable for the asset or liability, either directly or indirectly in active markets and quoted prices for identical assets or liabilities that are not active, and inputs other than quoted prices that are observable, or inputs derived from or corroborated by market data. • Level 3 inputs are unobservable inputs for the asset or liability. Unobservable inputs reflect the company’s own assumptions about the assumptions market participants would use in pricing the asset or liability (including assumptions about risk). Unobservable inputs are developed based on the best information available in the circumstances and may include the company’s own data. |
Cash in banks | Cash in banks Certain of the company’s cash balances in banks exceed federally insured limits. The bank or banks in which funds are deposited are reviewed periodically for their general creditworthiness/investment grade credit rating. |
Loans and interest income | Loans and interest income Loans are carried at amortized cost, which is generally equal to the unpaid principal balance (principal). Management has discretion to pay amounts (advances) to third parties on behalf of borrowers to protect the company’s interest in the loan. Advances include, but are not limited to, the payment of interest and principal on a senior lien to prevent foreclosure by the senior lien holder, property taxes, insurance premiums and attorney fees. Advances generally are stated at the amounts paid out on the borrower’s behalf and any accrued interest on amounts paid out, until repaid by the borrower. Interest is accrued daily, on principal and advances, if any. The company may fund a specific loan net of an interest reserve (one to two years) to insure timely interest payments at the inception of the loan. Any interest reserve is amortized over the period that the amount is prepaid. In the event of an early loan payoff, any unapplied interest reserves would be first applied to any accrued but unpaid interest and then as a reduction to the principal. Payments on loans are applied in the following order: accrued interest, advances, and lastly to principal. Late fees are recognized in the period received. Pursuant to California regulatory requirements, borrower payments are deposited into a trust account established by RMC with an independent bank (and are presented on the balance sheet as “Loan payments in trust”). Funds are disbursed to the company’s bank account as collected, which can range from same day for wire transfers and to two weeks after deposit for checks. Performing loans that are maturing or have matured may be renewed at then current market rates of interest and terms for new loans. (These loan extensions are not reported as new loans for financial reporting purposes.) Loans with a payment in arrears (i.e., are non-performing) continue to recognize interest income as long as the loan is in the process of collection with the borrower and the loan balance (i.e., the sum of the unpaid principal, advances and accrued interest) is considered to be well-secured. Loans are placed on non-accrual status if management determines that the primary source of repayment will come from the acquisition by foreclosure (or acquisition by deed in lieu of foreclosure) and subsequent sale of the collateral securing the loan (e.g., a notice of sale is filed and/or when a borrower files for bankruptcy) or when the loan balance is no longer considered well-secured (i.e., the LTV for the loan based on the estimated net realizable value of the collateral and the total principal, advances and accrued interest (at the note rate) is at or greater than eighty percent (80%), seventy-five percent (75%) for lands outside of metropolitan areas) and the borrower has payments in arrears. When a loan is placed on non-accrual status, the accrual of interest is discontinued – beginning with the then current month – for accounting purposes only; previously recorded interest is not reversed. A loan may return to accrual status when all delinquent loan payments are cured and the loan becomes current in accordance with the terms of the loan agreement and the loan balance is considered well collateralized. Uncollectible loans are charged off directly to the allowance for credit losses once it is determined the full amount is not collectible. Any amounts collected after a charge off is deemed a recovery. The company funds loans with the intent to hold until maturity. From time to time the company may sell certain loans to unaffiliated third parties. Loans are classified as held-for-sale once a decision has been made to sell loans and the loans to be held-for-sale have been identified. Loans classified as held-for-sale are carried at the lower of amortized cost or fair value. |
Allowance for credit losses | Allowance for credit losses Loan balances are analyzed on a periodic basis for ultimate recoverability. In conjunction therewith, collateral fair values are re-assessed periodically and the protective equity for each loan is determined. As used herein, “protective equity” is the dollar amount by which the net realizable value (i.e., fair value less the cost to sell) of the collateral, net of any senior liens, exceeds the loan balance. The allowance for credit losses is recognized based on current expected credit losses (CECL) at the time a loan is originated or acquired. No loss is expected at origination, given the substantial protective equity (i.e., the low LTVs), the predominance of first lien loans and the short duration of the loans. The determination of the probability-of-loss for defaulted loans (and thereby the determination of the amount of the allowance for expected forward period credit losses) considers current fair value of collateral and the resultant LTV, current real estate and financial markets, as well as reasonable and supportable forecasts about future economic scenarios and – to a lesser extent - historical loss experience. The forward-looking estimates consider the likelihood that any combination of events would adversely impact economic conditions and real estate markets in California such that the substantial protective equity existing for the loans would no longer be sufficient to collect the recorded amounts of principal, advances and accrued interest due on the loan. For a loan that is deemed collateral dependent for repayment, a provision for credit losses is recorded to adjust the allowance for credit losses to an amount such that the net carrying amount (the loan balance, net of foregone interest for loans in non-accrual status) is reduced to the lower of the loan balance or the net realizable value of the related collateral, net of any senior liens. The allowance for credit losses is adjusted each period for changes in expected lifetime credit losses for loans and accrued interest. Expected credit losses are determined on a collective (pool) basis when similar risk characteristic(s) exist. Loans that do not share risk characteristics with other loans are evaluated for expected credit losses on an individual basis. When determining risk characteristics to include in its pooling assessment, the following are most determinant. - Loan to value ( “ LTV ” ): The ratio of the outstanding loan balance to the fair value of the underlying collateral, and thereby the amount of protective equity of the company’s loans, is the most determinant attribute at inception of the loan and ongoing in estimating incurred and lifetime expected credit losses. Further to reducing the risk of loss, the company’s loans are predominantly first mortgages, but second lien deeds of trust are not infrequent nor insignificant. - Term: The duration (or expected term) of loan is a determinant attribute as the duration of the company’s loans are less than those of other conventional commercial real estate lenders (e.g., institutions, such as banks, insurance companies, private equity firms), typically in the range of one to three years. The expected duration of the loans (and thereby the forecast period) is shortened further as the loans are written without a prepayment penalty. - Geographical location: The company’s loans are secured by real estate in coastal California metropolitan areas , typically in the Bay Area (including Silicon Valley) but also elsewhere in northern and southern California. The probability-of-default/loss given default is most determinant for the company given the low LTVs at origination, the predominance of first lien loans and the relatively short duration of the loans. When a reporting entity, such as the company uses a measurement technique other than a discounted cash flow (DCF) approach, the allowance ought to reflect the expected credit losses of the amortized cost basis. Therefore, non-DCF methods ought to incorporate the impact of accrued interest (but not future interest /payments that have not yet been accrued) and advances, if any, into the estimate of expected credit losses. No prepayment assumption is factored into the estimate of credit losses as it is not a significant determinant of the amount of reserve. Given the limited number of loans and the short terms for which the loans are written (and the potentially even shorter duration given that the loans are written without a prepayment penalty), at each reporting date the company performs a risk analysis as to real estate market conditions in the California areas in which loan collateral is located and performs a loan-by-loan analysis to determine the current fair value of the real property collateral and the remaining time to maturity. The results are accumulated and the LTVs in forward periods are forecasted – by lien position – for those loans expected (on a contractual maturity basis) to be then outstanding. No expected extensions, renewals, or modifications are factored in as the company’s loans do not contain renewal options that can be unconditionally exercised by the borrowers. This methodology/analysis determines if there is any future period in the lifetime of the loan in which a real estate market decline in values is expected to occur that would be sufficient to put at risk the full collection of amounts owed, including accrued interest and advances, if any secured by the deeds of trust. In arriving at the determination, the manager consulted a range of banking/industry and academic studies and forecasts. If foreclosure (or negotiation of a deed in lieu of foreclosure) is concluded to be probable, the loan is considered to be collateral-dependent and the company uses the practical expedient to reduce its recorded investment in the loan to the net realizable value of the real estate and other assets to be acquired, net of the liabilities to be assumed. The determination of whether a loan is determined to be collateral-dependent requires judgment and considers both the current LTV and the financial condition of the borrower, which is monitored by the manager. |
Real estate owned (REO) | Real estate owned (“REO”) Real estate owned, or REO, is property acquired in full or partial settlement of loan obligations generally through foreclosure and is recorded at acquisition at the property’s fair value less estimated costs to sell, as are other assets acquired and liabilities assumed (or any senior debt the property is taken subject to). The fair value estimates are derived from information available in the real estate markets including similar property, and often require the experience and judgment of third parties such as commercial real estate appraisers and brokers. The estimates figure materially in calculating the value of the property at acquisition, the level of charge to the allowance for credit losses and any subsequent valuation reserves. After acquisition, costs incurred relating to the development and improvement of property are capitalized to the extent they do not cause the recorded value to exceed the net realizable value, whereas costs relating to holding and disposition of the property are expensed as incurred. REO is analyzed periodically for changes in fair values and any subsequent write down is charged to operations expenses. Any recovery in the fair value subsequent to such a write down is recorded and is not to exceed the value recorded at acquisition. Recognition of gains or losses on the sale of real estate is dependent upon the transaction meeting certain criteria related to the nature of the property and the terms of the sale including potential seller financing. |
Debt issuance costs | Debt issuance costs Debt issuance costs are the fees and commissions incurred in the course of obtaining a line of credit for services from banks, law firms and other professionals and are amortized on a straight-line basis as interest expense over the term of the line of credit. |
Recent accounting pronouncements not yet adopted | Recent accounting pronouncements not yet adopted The Financial Accounting Standards Board (FASB) issued an Accounting Standards Update (“ASU”) 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures (“ASU 2023-07”), which requires enhanced disclosures about significant segment expenses and other segment items and requires public entities to disclose all annual disclosures about segments in interim periods. The new standard also permits entities to disclose more than one measure of segment profit or loss, requires disclosure of the title and position of the Chief Operating Decision Maker, and requires entities with a single reportable segment to provide all disclosures required by Topic 280. ASU 2023-07 is effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024. Early adoption is permitted, and entities are required to apply the ASU retrospectively to all periods presented. The company is currently evaluating the impact, if any, that the adoption of this standard will have on its financial statements and related disclosures. |
Manager and Other Related Par_2
Manager and Other Related Parties (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Related Party Transactions [Abstract] | |
Schedule of Accounts, Notes, Loans and Financing Receivable | Formation loan transactions for the three months ended March 31 are presented in the following table ($ in thousands). 2024 2023 Balance, January 1 $ 2,902 $ 3,110 Payments received from RMC ( 52 ) ( 52 ) Balance, March 31 $ 2,850 $ 3,058 |
Schedule of Unit Redemptions | Redemptions of members’ capital for the three months ended March 31 are presented in the following table ($ in thousands). Redemptions 2024 2023 Without penalty $ 881 $ 1,010 With penalty 1 18 Total $ 882 $ 1,028 Early withdrawal penalties $ — $ 1 |
Summary of Organization and Offering Expenses | Unallocated O&O transactions for the three months ended March 31 are summarized in the following table ($ in thousands). 2024 2023 Balance, January 1 $ 742 $ 1,045 O&O expenses allocated ( 61 ) ( 66 ) O&O expenses paid by RMC (1) ( 10 ) ( 15 ) Balance, March 31 $ 671 $ 964 (1) RMC is obligated per the Operating Agreement to repay RMI IX for the amount of unallocated O&O expenses attributed to a member’s capital account if the member redeems prior to the 40 quarterly allocations. RMC estimated its future obligation to repay unallocated O&O expenses on scheduled redemptions as of March 31, 2024 , to be approximately $ 10 thousand. |
Loans (Tables)
Loans (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Secured Loan Principal Transactions | Secured loan transactions for the three months ended March 31 are summarized in the following table ($ in thousands). 2024 Total First Trust Deeds Second Trust Deeds Principal, beginning of period (1) $ 62,916 $ 52,263 $ 10,653 Loans funded 8,288 7,443 845 Principal collected ( 10,186 ) ( 9,600 ) ( 586 ) Principal, end of period $ 61,018 $ 50,106 $ 10,912 (1) Includes principal collected and held in trust at March 31, 2024 of approximately $ 3 thousand offset by principal collected and held in trust at December 31, 2023 of approximately $ 3 thousand which was disbursed to the company in January 2024 . |
Secured Loans Characteristics | Secured loans had the characteristics presented in the following table ($ in thousands). March 31, December 31, 2024 2023 Number of secured loans 48 47 First trust deeds 35 34 Second trust deeds 13 13 Secured loans – principal $ 61,018 $ 62,916 First trust deeds $ 50,106 $ 52,263 Second trust deeds $ 10,912 $ 10,653 Secured loans – lowest interest rate (fixed) 7.3 % 7.3 % Secured loans – highest interest rate (fixed) 11.8 % 11.8 % Average secured loan – principal $ 1,271 $ 1,339 Average principal as percent of total principal 2.1 % 2.1 % Average principal as percent of members’ and manager’s capital, net 1.9 % 2.0 % Average principal as percent of total assets 2.0 % 2.0 % Largest secured loan – principal $ 6,200 $ 6,200 Largest principal as percent of total principal 10.2 % 9.9 % Largest principal as percent of members’ and manager’s capital, net 9.2 % 9.1 % Largest principal as percent of total assets 9.5 % 9.1 % Smallest secured loan – principal $ 185 $ 185 Smallest principal as percent of total principal 0.3 % 0.3 % Smallest principal as percent of members’ and manager’s capital, net 0.3 % 0.3 % Smallest principal as percent of total assets 0.3 % 0.3 % Number of California counties where security is located 16 16 Largest percentage of principal in one California county 20.8 % 21.7 % Number of secured loans with prepaid interest 2 2 Prepaid interest $ 40 $ 107 |
Secured Loans by Lien Position in the Collateral | At funding, secured loans had the lien positions presented in the following table ($ in thousands). March 31, 2024 December 31, 2023 Loans Principal Percent Loans Principal Percent First trust deeds (2) 35 $ 50,106 82 % 34 $ 52,263 83 % Second trust deeds 13 10,912 18 13 10,653 17 Total principal, secured loans 48 61,018 100 % 47 62,916 100 % Liens due other lenders at loan closing 26,569 26,644 Total debt $ 87,587 $ 89,560 Appraised property value at loan closing $ 177,228 $ 177,310 OLTV (weighted average) 54.4 % 54.6 % (2) One loan with principal of approximately $ 2.0 million has an LTV of 108 %. The loan agreement was executed by an individual with substantial real estate holdings, experience and financial resources. The loan is performing (and has been over its time outstanding) and is scheduled to mature July 1, 2024 (extended from May 1, 2024 ). |
Vintages Secured loans, principals Originated | Secured loans, principal OLTV (3) First trust Percent Count Second trust Percent Count Total Percent <40% $ 7,871 12.9 % 7 $ 1,524 2.5 % 3 $ 9,395 15.4 % 40-49% 16,037 26.3 7 3,500 5.7 2 19,537 32.0 50-59% 2,715 4.4 3 360 0.6 1 3,075 5.0 60-69% 19,739 32.3 15 1,954 3.2 2 21,693 35.5 Subtotal <70% 46,362 75.9 32 7,338 12.0 8 53,700 87.9 70-79% 1,744 2.9 2 3,574 5.9 5 5,318 8.8 Subtotal <80% 48,106 78.8 34 10,912 17.9 13 59,018 96.7 ≥80% 2,000 3.3 1 — 0.0 — 2,000 3.3 Total $ 50,106 82.1 % 35 $ 10,912 17.9 % 13 $ 61,018 100.0 % (3) LTV classifications in the table above are based on principal, advances and interest unpaid at March 31, 2024 . |
Secured Loans by Property Type of the Collateral | Secured loans summarized by property type are presented in the following table ($ in thousands). March 31, 2024 December 31, 2023 Loans Principal Percent Loans Principal Percent Single family (4) 20 $ 18,010 29 % 21 $ 21,786 35 % Commercial Office 3 5,725 9 3 5,725 9 Retail 7 12,164 20 6 9,948 15 Industrial 8 13,352 22 8 13,353 22 Commercial – Other 4 2,734 5 3 2,377 4 Commercial Total 22 33,975 56 20 31,403 50 Multi-family 5 7,533 13 5 8,227 13 Land 1 1,500 2 1 1,500 2 Total principal, secured loans 48 $ 61,018 100 % 47 $ 62,916 100 % (4) Single family includes 1-4 unit residential buildings, condominium units, townhouses and condominium complexes. At March 31, 2024, single family consists of eight loans with aggregate principal of approximately $ 4.7 million that are owner occupied and 12 loans with principal of approximately $ 13.3 million that are non-owner occupied. At December 31, 2023 , single family consisted of six loans with aggregate principal of approximately $ 3.3 million that are owner occupied and 15 loans with principal of approximately $ 18.5 million that are non-owner occupied. |
Secured Loans Distributed Principal within California | The distribution of secured loans within California by counties is presented in the following table ($ in thousands). March 31, 2024 December 31, 2023 Principal Percent Principal Percent San Francisco Bay Area (5) San Francisco $ 12,716 20.8 % $ 13,662 21.7 % San Mateo 3,044 5.0 4,832 7.7 Santa Clara 10,288 16.9 10,143 16.1 Alameda 3,925 6.4 3,925 6.2 Contra Costa 900 1.5 — 0.0 Napa 638 1.1 640 1.0 Solano 185 0.3 185 0.3 Marin 400 0.7 400 0.7 32,096 52.7 33,787 53.7 Other Northern California Placer 1,966 3.2 1,967 3.1 Tehama — 0.0 — 0.0 San Joaquin 2,750 4.5 750 1.2 Butte 1,203 2.0 1,203 1.9 Sacramento 550 0.9 551 0.9 6,469 10.6 4,471 7.1 Northern California Total 38,565 63.3 38,258 60.8 Southern California Coastal Los Angeles 3,137 5.1 4,058 6.5 Orange 7,593 12.4 7,177 11.4 San Diego 9,823 16.1 8,325 13.2 20,553 33.6 19,560 31.1 Other Southern California – Riverside Riverside 1,900 3.1 1,900 3.0 Ventura — 0.0 3,198 5.1 1,900 3.1 5,098 8.1 Southern California Total 22,453 36.7 24,658 39.2 Total principal, secured loans $ 61,018 100.0 % $ 62,916 100.0 % (5) Includes Silicon Valley |
Secured Loans Principal Scheduled Maturities | Secured loans scheduled to mature in periods as of and after March 31, 2024 , are presented in the following table ($ in thousands). First Trust Deeds Second Trust Deeds Total Loans Principal Loans Principal Loans Principal Percent 2024 13 $ 24,550 4 $ 4,060 17 $ 28,610 47 % 2025 9 12,848 5 4,653 14 17,501 28 2026 4 3,725 1 360 5 4,085 7 2027 2 1,318 1 594 3 1,912 3 Thereafter 5 2,525 1 485 6 3,010 5 Total scheduled maturities 33 44,966 12 10,152 45 55,118 90 Matured (6) 2 5,140 1 760 3 5,900 10 Total principal, secured loans 35 $ 50,106 13 $ 10,912 48 $ 61,018 100 % See Delinquency/Secured loans with payments in arrears below for additional information on matured loans. |
Past Due Financing Receivables | Secured loans principal summarized by payment-delinquency status are presented in the following table ($ in thousands). March 31, 2024 December 31, 2023 Loans Principal Loans Principal Current 41 $ 51,957 39 $ 50,861 Past Due 30-89 days 3 2,171 2 1,165 90-179 days 1 200 3 7,483 180 or more days 3 6,690 3 3,407 Total past due 7 9,061 8 12,055 Total principal, secured loans 48 $ 61,018 47 $ 62,916 |
Secured Loans By Ltv And Line Positions | Secured loans with payments in arrears (seven loans), principal by OLTV and lien position at March 31, 2024 are presented in the following table ($ in thousands). Secured loans with payments in arrears, principal OLTV (7) First trust Percent (8) Second trust Percent (8) Total Percent (8) <40% $ 200 0.3 % $ — 0.0 % $ 200 0.3 % 40-49% 613 1.0 — 0.0 613 1.0 50-59% — 0.0 — 0.0 — 0.0 60-69% 5,930 9.7 594 1.0 6,524 10.7 Subtotal <70% 6,743 11.0 594 1.0 7,337 12.0 70-79% 964 1.6 760 1.2 1,724 2.8 Subtotal <80% 7,707 12.6 1,354 2.2 9,061 14.8 ≥80% — 0.0 — 0.0 — 0.0 Total $ 7,707 12.6 % $ 1,354 2.2 % $ 9,061 14.8 % (7) LTV classifications in the table above are based on principal, advances and interest unpaid at March 31, 2024 . (8) Percent of total principal, secured loans ($ 61.0 million) at March 31, 2024 . |
Payments in Arrears Past Due Financing Receivables | Payments in arrears for secured loans at March 31, 2024 are presented in the following tables ($ in thousands). Loans Principal Interest (9) At March 31, 2024 Past Monthly Past Monthly Past Monthly Total Past due 30-89 days (1-3 payments) — 3 $ — $ 2 $ — $ 23 $ 25 90-179 days (4-6 payments) 1 — 200 — — — 200 180 or more days (more than 6 payments) 2 1 5,700 — 197 48 5,945 Total past due 3 4 $ 5,900 $ 2 $ 197 $ 71 $ 6,170 (9) March 2024 interest is due April 1, 2024 and is not included in the payments in arrears at March 31, 2024 . |
Matured Loans By Ltv And Line Positions | Matured loans, principal by OLTV and lien position at March 31, 2024 are presented in the following table ($ in thousands). Secured loans past maturity, principal OLTV (10) First trust Percent (11) Second trust Percent (11) Total Percent (11) <40% $ 200 0.3 % $ — 0.0 % $ 200 0.3 % 40-49% — 0.0 — 0.0 — 0.0 50-59% — 0.0 — 0.0 — 0.0 60-69% 4,940 8.1 — 0.0 4,940 8.1 Subtotal <70% 5,140 8.4 — 0.0 5,140 8.4 70-79% — 0.0 760 1.2 760 1.2 Subtotal <80% 5,140 8.4 760 1.2 5,900 9.6 ≥80% — 0.0 — 0.0 — 0.0 Total $ 5,140 8.4 % $ 760 1.2 % $ 5,900 9.6 % (10) LTV classifications in the table above are based on principal, advances and interest unpaid at March 31, 2024 . (11) Percent of total principal of secured loans (totaling $ 61.0 million) at March 31, 2024 . |
Secured Loans in Non-Accrual Status | Secured loans in non-accrual status are summarized in the following table ($ in thousands). March 31, 2024 December 31, 2023 Number of loans 1 none Principal $ 760 Advances 2 Accrued interest (12) 6 Total recorded investment $ 768 Foregone interest $ 6 Accrued interest in the table above is the amount of interest accrued prior to the loan being placed on non-accrual status, net of |
Activity in Allowance for Loan Losses | Activity in the allowance for credit losses for the three months ended March 31 are presented in the following table ($ in thousands). 2024 2023 Principal and Advances Interest Total Principal and Advances Interest Total Balance, December 31 $ 60 $ 60 $ 120 $ 30 $ 25 $ 55 Adoption of ASC 326 (CECL) — — — 30 35 65 Balance, January 1 60 60 120 60 60 120 Provision for (Recovery of) loan losses — — — — — — Charge-offs — — — — — — Balance, March 31 $ 60 $ 60 $ 120 $ 60 $ 60 $ 120 |
Secured loans scheduled maturities Loan Principal and LTV | Secured loans count, principal and weighted average OLTV at March 31, 2024 and the projected year-end count, principal and weighted average OLTV based on contractual maturities (by lien position) are presented in the following table ($ in thousands). This does not include any forward period extensions, renewals or modifications that the company may undertake at its discretion, which could extend the contractual maturities into future years. First Trust Deeds Second Trust Deeds Loans Principal OLTV Loans Principal OLTV Loans Principal OLTV March 31, 2024 48 $ 61,018 54.4 % 35 $ 50,106 54.3 % 13 $ 10,912 54.7 % December 31, 2024 28 26,508 51.3 20 20,416 50.8 8 6,092 53.1 2025 14 9,007 44.9 11 7,568 44.5 3 1,439 47.0 2026 9 4,922 52.5 7 3,843 54.4 2 1,079 45.5 2027 6 3,010 44.0 5 2,525 47.7 1 485 24.9 2028 4 1,847 37.9 3 1,362 42.5 1 485 24.9 2033 2 699 28.4 1 214 36.3 1 485 24.9 2035 1 485 24.9 — — 0.0 1 485 24.9 2039 0 — 0.0 — — 0.0 — — 0.0 |
Line Of Credit (Tables)
Line Of Credit (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Line of Credit Facility [Abstract] | |
Schedule of Line of Credit Facilities Activity | Activity involving the line of credit during the three months ended March 31 is presented in the following table ($ in thousands). 2024 2023 Balance, January 1, $ 2,153 $ 9,900 Draws 13,250 — Repayments ( 15,403 ) ( 250 ) Balance, March 31, $ — $ 9,650 Line of credit – average daily balance $ 2,173 $ 9,897 |
Organization and General - Addi
Organization and General - Additional Information (Details) Units in Thousands, shares in Millions, $ in Millions | 3 Months Ended | |
Mar. 31, 2024 USD ($) Units | May 09, 2019 USD ($) shares | |
Organization and General (Details) [Line Items] | ||
Members or partners capital, description | Cash available for distribution at the end of each calendar month is allocated ninety-nine percent (99%) to the members and one percent (1%) to the manager | |
Maximum capital units for redemption per quarter per individual | Units | 100 | |
Maximum percentage of members total outstanding units for redemption per quarter per individual | 25% | |
Maximum percentage of weighted average number of members outstanding units during twelve months for redemption | 5% | |
Redemption Between One To Two Years [Member] | ||
Organization and General (Details) [Line Items] | ||
Redemption value percentage of purchase price or capital account balance | 92% | |
Redemption Between Two to Three Years [Member] | ||
Organization and General (Details) [Line Items] | ||
Redemption value percentage of purchase price or capital account balance | 94% | |
Redemption Between Three to Four Years [Member] | ||
Organization and General (Details) [Line Items] | ||
Redemption value percentage of purchase price or capital account balance | 96% | |
Redemption Between Four to Five Years [Member] | ||
Organization and General (Details) [Line Items] | ||
Redemption value percentage of purchase price or capital account balance | 98% | |
Redemption After Five Years [Member] | ||
Organization and General (Details) [Line Items] | ||
Redemption value percentage of purchase price or capital account balance | 100% | |
DRIP [Member] | ||
Organization and General (Details) [Line Items] | ||
Gross proceeds from unit sales | $ 9.9 | |
Member Units [Member] | ||
Organization and General (Details) [Line Items] | ||
Capital unit sold in public offering, shares | shares | 15 | |
Capital unit sold in public offering, value | $ 15 | |
RMC [Member] | ||
Organization and General (Details) [Line Items] | ||
Ownership interest held by the manager | 1% | |
Managers share of net income or loss | 1% | |
Percentage of profits and losses allocated to manager | (1.00%) |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies - Additional Information (Details) | 3 Months Ended |
Mar. 31, 2024 Approach | |
Summary of Significant Accounting Policies [Line Items] | |
Estimating Real Property Value, Number of Approaches | 3 |
Loan Descriptions | Loans are placed on non-accrual status if management determines that the primary source of repayment will come from the acquisition by foreclosure (or acquisition by deed in lieu of foreclosure) and subsequent sale of the collateral securing the loan (e.g., a notice of sale is filed and/or when a borrower files for bankruptcy) or when the loan balance is no longer considered well-secured (i.e., the LTV for the loan based on the estimated net realizable value of the collateral and the total principal, advances and accrued interest (at the note rate) is at or greater than eighty percent (80%), seventy-five percent (75%) for lands outside of metropolitan areas) and the borrower has payments in arrears. When a loan is placed on non-accrual status, the accrual of interest is discontinued – beginning with the then current month – for accounting purposes only; previously recorded interest is not reversed. A loan may return to accrual status when all delinquent loan payments are cured and the loan becomes current in accordance with the terms of the loan agreement and the loan balance is considered well collateralized. |
Manager and Other Related Par_3
Manager and Other Related Parties - Additional Information (Details) $ in Thousands | 3 Months Ended | |||||
Jun. 29, 2023 USD ($) Loan | Mar. 31, 2024 USD ($) Loan Loans | Mar. 31, 2023 USD ($) Loan | Dec. 31, 2023 USD ($) | Apr. 30, 2019 USD ($) | ||
Managers And Other Related Parties Details [Line Items] | ||||||
Managers Share of net income or loss | 1% | |||||
Total members capital account redemptions unpaid | $ 15,000 | |||||
Redemptions on death, Cap | 100 | |||||
Total received members capital account redemptions | $ 3,000 | $ 12,000 | ||||
Liquidation offering proceeds, percentage | 7% | |||||
Original formation loan | $ 5,600 | |||||
Payable Related parties | 15 | |||||
Reimbursement as a percentage of member's original purchase price | 0.45% | |||||
Percentage of original purchase price, quarterly installment percentage | 0.1125% | |||||
Principal | $ 61,018 | 62,916 | [1] | |||
Mortgage Loans amount | $ 8,288 | |||||
Total principal, secured loans, Loans | Loans | 48 | |||||
Two Performing Loan [Member] | ||||||
Managers And Other Related Parties Details [Line Items] | ||||||
Principal amount of loans transferred to related mortgage funds | $ 857 | |||||
Number of loans transferred to related mortgage funds | Loan | 0 | 2 | ||||
Three Performing Loan [Member] | ||||||
Managers And Other Related Parties Details [Line Items] | ||||||
Principal Amount Of Loans Transferred From Related Mortgage Funds | $ 3,200 | |||||
Number Of Mortgage Loans As Security To Pay The Promissory Note | Loan | 3 | |||||
Number Of Loans Transferred From Related Mortgage Funds | Loan | 0 | 3 | ||||
Accounts Payable And Cost Reimbursements [Member] | ||||||
Managers And Other Related Parties Details [Line Items] | ||||||
Payable Related parties | 57 | |||||
Accounts Payable Related to Mortgage Fund [Member] | ||||||
Managers And Other Related Parties Details [Line Items] | ||||||
Payable Related parties | 18 | |||||
Accounts Receivable Related To Mortgage Fund [Member] | ||||||
Managers And Other Related Parties Details [Line Items] | ||||||
Payable Related parties | $ 31 | |||||
Redwood Mortgage Investors VIII [Member] | ||||||
Managers And Other Related Parties Details [Line Items] | ||||||
Promissory Note Funded to Related Party | $ 3,300 | |||||
Mortgage Loans amount | $ 7,500 | |||||
RMC [Member] | ||||||
Managers And Other Related Parties Details [Line Items] | ||||||
Total amount of loan administrative fees waived | $ 83 | $ 62 | ||||
Management Fee, Percentage | 0.75% | |||||
Working Capital Reserve, Percentage | 2% | |||||
Qualifying costs incurred | $ 156 | 212 | ||||
Reimbursement of costs from RMC waived | $ 66 | 130 | ||||
Administrative Fees, Percentage | 1% | |||||
Actual costs reimbursed to RMC after the waived | $ 90 | 81 | ||||
Repayment of formation loan in annual installments | 208 | |||||
Future redemptions of member's capital | 882 | 1,028 | ||||
Early withdrawal penalties | 0 | $ 1 | ||||
RMC [Member] | Accounts Payable And Cost Reimbursements [Member] | ||||||
Managers And Other Related Parties Details [Line Items] | ||||||
Payable Related parties | $ 61 | $ 90 | ||||
Maximum [Member] | ||||||
Managers And Other Related Parties Details [Line Items] | ||||||
Annual mortgage servicing fees, percentage | 0.25% | |||||
Percentage of reimbursement of organization and offering expenses | 4.50% | |||||
Reimbursement threshold | for each of forty (40) calendar quarters or portion thereof after December 31, 2015 | |||||
[1] Includes principal collected and held in trust at March 31, 2024 of approximately $ 3 thousand offset by principal collected and held in trust at December 31, 2023 of approximately $ 3 thousand which was disbursed to the company in January 2024 |
Manager and Other Related Par_4
Manager and Other Related Parties - Formation Loan Transactions (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Formation Loan Transactions [Abstract] | ||
Balance, January 1 | $ 2,902 | $ 3,110 |
Payments received from RMC | (52) | (52) |
Balance, March 31 | $ 2,850 | $ 3,058 |
Manager and Other Related Par_5
Manager and Other Related Parties - Schedule of Unit Redemptions (Details) - RMC [Member] - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Managers And Other Related Parties Details [Line Items] | ||
Total, Capital redemptions | $ 882 | $ 1,028 |
Early withdrawal penalties | 0 | 1 |
Without Penalty [Member] | ||
Managers And Other Related Parties Details [Line Items] | ||
Total, Capital redemptions | 881 | 1,010 |
With Penalty [Member] | ||
Managers And Other Related Parties Details [Line Items] | ||
Total, Capital redemptions | $ 1 | $ 18 |
Manager and Other Related Par_6
Manager and Other Related Parties - Summary of Organization and Offering Expenses (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | ||
Managers And Other Related Parties Details [Line Items] | |||
Balance, January 1 | $ (65,456) | ||
O&O expenses paid by RMC | (10) | ||
Balance, March 31 | (64,745) | ||
Unallocated Organization And Offering Expenses [Member] | |||
Managers And Other Related Parties Details [Line Items] | |||
Balance, January 1 | 742 | $ 1,045 | |
O&O expenses allocated | (61) | (66) | |
O&O expenses paid by RMC | [1] | (10) | (15) |
Balance, March 31 | $ 671 | $ 964 | |
[1] RMC is obligated per the Operating Agreement to repay RMI IX for the amount of unallocated O&O expenses attributed to a member’s capital account if the member redeems prior to the 40 quarterly allocations. RMC estimated its future obligation to repay unallocated O&O expenses on scheduled redemptions as of March 31, 2024 , to be approximately $ 10 thousand. |
Manager and Other Related Par_7
Manager and Other Related Parties - Summary of Organization and Offering Expenses (Parenthetical) (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2024 USD ($) | |
Related Party Transactions [Abstract] | |
Unallocated O&O expenses on units rebates period | 120 months |
Partners Capital Account Organization And Offering Expenses Repaid | $ 10 |
Loans - Additional Information
Loans - Additional Information (Details) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2024 USD ($) Loans Loan | Dec. 31, 2023 USD ($) | ||
Principal | $ 61,018 | $ 62,916 | [1] |
Loans average extension period | 12 months | ||
Principal | $ 61,018 | 62,916 | |
Loans Receivable Maturity Date | Jul. 01, 2024 | ||
Loan Maturity Extend Date | May 01, 2024 | ||
Loans Receivable Largest Loan (in Dollars) | $ 6,200 | 6,200 | |
Aggregate principal renewed | $ 11,300 | ||
Loans Receivable, Amortization Term | 30 years | ||
Past Due 180 Or More Days [Member] | |||
Principal | $ 6,690 | 3,407 | |
Loan Payment Modification Agreement [Member] | Past Due 180 Or More Days [Member] | |||
Principal | $ 990 | $ 990 | |
Second Lien [Member] | |||
Number of loans | Loans | 13 | ||
Loans Receivable, Yield of Loan Acquired | 54.73% | ||
Loans Receivable | $ 10,900 | ||
Interest Only [Member] | |||
Principal | $ 43,700 | ||
Loans Receivable number of Interest Only Loans | Loan | 29 | ||
Interest And Principal Loans [Member] | |||
Loans Receivable, Percent of Aggregate Principal | 28% | ||
Principal | $ 17,300 | ||
Loans Receivable Number Of Interest And Principal Loans | Loan | 19 | ||
Largest Loan [Member] | |||
Loan, Interest Rate | 10.50% | ||
Loans Receivable Maturity Date | Feb. 01, 2025 | ||
Loan Maturity Extend Date | Feb. 01, 2024 | ||
Loans Receivable Largest Loan (in Dollars) | $ 6,200 | ||
First lien Position [Member] | |||
Principal non performing loans | $ 5,100 | ||
Non performing number of loans | Loan | 5 | ||
Second lien position [Member] | |||
Principal non performing loans | $ 760 | ||
Non performing number of loans | Loan | 2 | ||
Loans One [Member] | |||
Principal of approximately | $ 200 | ||
Secured Debt [Member] | Delinquent Loan [Member] | |||
Principal | $ 594 | ||
Loan, Interest Rate | 9.25% | ||
LTV percentage | 62% | ||
Secured Debt [Member] | Second Lien [Member] | Delinquent Loan [Member] | |||
Principal | $ 760 | ||
Loan, Interest Rate | 8.88% | ||
Loans Receivable Maturity Date | Aug. 01, 2023 | ||
LTV percentage | 70% | ||
First Mortgage Loans [Member] | |||
Loans Receivable, Percent of Aggregate Principal | 82% | 83% | |
[1] Includes principal collected and held in trust at March 31, 2024 of approximately $ 3 thousand offset by principal collected and held in trust at December 31, 2023 of approximately $ 3 thousand which was disbursed to the company in January 2024 |
Loans - Secured Loan Principal
Loans - Secured Loan Principal Transactions (Details) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 USD ($) | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Principal, beginning of period | $ 62,916 | [1] |
Loans funded | 8,288 | |
Principal collected | (10,186) | |
Principal, end of period | 61,018 | |
First Trust Deeds [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Principal, beginning of period | 52,263 | [1],[2] |
Loans funded | 7,443 | |
Principal collected | (9,600) | |
Principal, end of period | 50,106 | [2] |
Second Trust Deeds [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Principal, beginning of period | 10,653 | [1] |
Loans funded | 845 | |
Principal collected | (586) | |
Principal, end of period | $ 10,912 | |
[1] Includes principal collected and held in trust at March 31, 2024 of approximately $ 3 thousand offset by principal collected and held in trust at December 31, 2023 of approximately $ 3 thousand which was disbursed to the company in January 2024 One loan with principal of approximately $ 2.0 million has an LTV of 108 %. The loan agreement was executed by an individual with substantial real estate holdings, experience and financial resources. The loan is performing (and has been over its time outstanding) and is scheduled to mature July 1, 2024 (extended from May 1, 2024 ). |
Loans - Secured Loan Principa_2
Loans - Secured Loan Principal Transactions (Parenthetical) (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Receivables [Abstract] | ||
Amount Includes Principal Collected and Held in Trust | $ 3 | $ 3 |
Loans - Secured Loans Character
Loans - Secured Loans Characteristics (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2024 USD ($) Loans Country MortgageLoan MortageLoan | Dec. 31, 2023 USD ($) MortageLoan Country MortgageLoan | ||
Secured Loan Transactions [Line Items] | |||
Number of secured loans | Loans | 48 | ||
Number of secured loans | MortageLoan | 48 | 47 | |
First trust deeds | MortageLoan | 35,000 | 34,000 | |
Second trust deeds | MortageLoan | 13,000 | 13,000 | |
Secured loans - principal | $ 61,018 | $ 62,916 | [1] |
First trust deeds | 50,106 | 52,263 | |
Second trust deeds | 10,912 | 10,653 | |
Average secured loan - principal | $ 1,271 | $ 1,339 | |
Average principal as percent of total principal | 2.10% | 2.10% | |
Average principal as percent of members' and manager's capital, net | 1.90% | 2% | |
Average principal as percent of total assets | 2% | 2% | |
Largest secured loan - principal | $ 6,200 | $ 6,200 | |
Largest principal as percent of total principal | 10.20% | 9.90% | |
Largest principal as percent of members' and manager' s capital, net | 9.20% | 9.10% | |
Largest principal as percent of total assets | 9.50% | 9.10% | |
Smallest secured loan - principal | $ 185 | $ 185 | |
Smallest principal as percent of total principal | 0.30% | 0.30% | |
Smallest principal as percent of members' and manager' s capital, net | 0.30% | 0.30% | |
Smallest principal as percent of total assets | 0.30% | 0.30% | |
Number of California counties where security is located | Country | 16 | 16 | |
Largest percentage of principal in one California county | 20.80% | 21.70% | |
Total principal, secured loans, Loans | Loans | 48 | ||
Prepaid Interest | |||
Secured Loan Transactions [Line Items] | |||
Number of secured loans | MortgageLoan | 2 | 2 | |
Total principal, secured loans, Loans | MortgageLoan | 2 | 2 | |
Prepaid Interest | $ 40 | $ 107 | |
Minimum [Member] | |||
Secured Loan Transactions [Line Items] | |||
Secured loans - interest rate (fixed) | 7.30% | 7.30% | |
Maximum [Member] | |||
Secured Loan Transactions [Line Items] | |||
Secured loans - interest rate (fixed) | 11.80% | 11.80% | |
[1] Includes principal collected and held in trust at March 31, 2024 of approximately $ 3 thousand offset by principal collected and held in trust at December 31, 2023 of approximately $ 3 thousand which was disbursed to the company in January 2024 |
Loans - Secured Loans by Lien P
Loans - Secured Loans by Lien Position in the Collateral (Details) $ in Thousands | Mar. 31, 2024 USD ($) Loans | Dec. 31, 2023 USD ($) Loans | ||
Loans Details Secured Loans By Lien Position In Collateral [Line Items] | ||||
Number of secured loans | Loans | 48 | 47 | ||
Secured loans - principal | $ 61,018 | $ 62,916 | [1] | |
Total principal, secured loans, Percent | 100% | 100% | ||
Liens due other lenders at loan closing | $ 26,569 | $ 26,644 | ||
Total debt | 87,587 | 89,560 | ||
Appraised property value at loan closing | $ 177,228 | $ 177,310 | ||
Percent of total debt to appraised values (LTV) at loan closing | 54.40% | 54.60% | ||
First Trust Deeds [Member] | ||||
Loans Details Secured Loans By Lien Position In Collateral [Line Items] | ||||
Number of secured loans | Loans | [2] | 35 | 34 | |
Secured loans - principal | [2] | $ 50,106 | $ 52,263 | [1] |
Total principal, secured loans, Percent | [2] | 82% | 83% | |
Second Trust Deeds [Member] | ||||
Loans Details Secured Loans By Lien Position In Collateral [Line Items] | ||||
Number of secured loans | Loans | 13 | 13 | ||
Secured loans - principal | $ 10,912 | $ 10,653 | [1] | |
Total principal, secured loans, Percent | 18% | 17% | ||
[1] Includes principal collected and held in trust at March 31, 2024 of approximately $ 3 thousand offset by principal collected and held in trust at December 31, 2023 of approximately $ 3 thousand which was disbursed to the company in January 2024 One loan with principal of approximately $ 2.0 million has an LTV of 108 %. The loan agreement was executed by an individual with substantial real estate holdings, experience and financial resources. The loan is performing (and has been over its time outstanding) and is scheduled to mature July 1, 2024 (extended from May 1, 2024 ). |
Loan - Secured Loans by Lien Po
Loan - Secured Loans by Lien Position in the Collateral (Parenthetical) (Details) - USD ($) | 3 Months Ended | ||
Mar. 31, 2024 | Dec. 31, 2023 | [1] | |
Loans Details Secured Loans By Lien Position In Collateral [Line Items] | |||
Total principal, secured loans, Principal | $ 61,018,000 | $ 62,916,000 | |
Loans Receivable Maturity Date | Jul. 01, 2024 | ||
Loan Maturity Extend Date | May 01, 2024 | ||
One Loan [Member] | |||
Loans Details Secured Loans By Lien Position In Collateral [Line Items] | |||
Total principal, secured loans, Principal | $ 2,000 | ||
Percentage Of Loan To Value | 108% | ||
[1] Includes principal collected and held in trust at March 31, 2024 of approximately $ 3 thousand offset by principal collected and held in trust at December 31, 2023 of approximately $ 3 thousand which was disbursed to the company in January 2024 |
Loans - Secured loans with paym
Loans - Secured loans with payments in arrears, principal by LTV and lien position (Details) | Mar. 31, 2024 USD ($) | |
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 61,018,000 | [1] |
Percent | 100% | [1] |
Secured Debt [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 9,061,000 | [2] |
Percent | 14.80% | [2],[3] |
Less Than 40% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 9,395,000 | [1] |
Percent | 15.40% | [1] |
Less Than 40% [Member] | Secured Debt [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 200,000 | [2] |
Percent | 0.30% | [2],[3] |
40-49% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 19,537,000 | [1] |
Percent | 32% | [1] |
40-49% [Member] | Secured Debt [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 613,000 | [2] |
Percent | 1% | [2],[3] |
50-59% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 3,075,000 | [1] |
Percent | 5% | [1] |
50-59% [Member] | Secured Debt [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 0 | [2] |
Percent | 0% | [2],[3] |
60-69% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 21,693,000 | [1] |
Percent | 35.50% | [1] |
60-69% [Member] | Secured Debt [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 6,524,000 | [2] |
Percent | 10.70% | [2],[3] |
Subtotal less than 70% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 53,700,000 | [1] |
Percent | 87.90% | [1] |
Subtotal less than 70% [Member] | Secured Debt [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 7,337,000 | [2] |
Percent | 12% | [2],[3] |
70-79% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 5,318,000 | [1] |
Percent | 8.80% | [1] |
70-79% [Member] | Secured Debt [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 1,724,000 | [2] |
Percent | 2.80% | [2],[3] |
Subtotal less than 80% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 59,018,000 | [1] |
Percent | 96.70% | [1] |
Subtotal less than 80% [Member] | Secured Debt [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 9,061,000 | [2] |
Percent | 14.80% | [2],[3] |
More than or equal to 80% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 2,000,000 | [1] |
Percent | 3.30% | [1] |
More than or equal to 80% [Member] | Secured Debt [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 0 | [2] |
Percent | 0% | [2],[3] |
First Trust Deeds [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 50,106,000 | [1] |
Percent | 82.10% | [1] |
Count | $ 35 | [1] |
First Trust Deeds [Member] | Secured Debt [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 7,707,000 | [2] |
Percent | 12.60% | [2],[3] |
First Trust Deeds [Member] | Less Than 40% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 7,871,000 | [1] |
Percent | 12.90% | [1] |
Count | $ 7 | [1] |
First Trust Deeds [Member] | Less Than 40% [Member] | Secured Debt [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 200,000 | [2] |
Percent | 0.30% | [2],[3] |
First Trust Deeds [Member] | 40-49% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 16,037,000 | [1] |
Percent | 26.30% | [1] |
Count | $ 7 | [1] |
First Trust Deeds [Member] | 40-49% [Member] | Secured Debt [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 613,000 | [2] |
Percent | 1% | [2],[3] |
First Trust Deeds [Member] | 50-59% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 2,715,000 | [1] |
Percent | 4.40% | [1] |
Count | $ 3 | [1] |
First Trust Deeds [Member] | 50-59% [Member] | Secured Debt [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 0 | [2] |
Percent | 0% | [2],[3] |
First Trust Deeds [Member] | 60-69% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 19,739,000 | [1] |
Percent | 32.30% | [1] |
Count | $ 15 | [1] |
First Trust Deeds [Member] | 60-69% [Member] | Secured Debt [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 5,930,000 | [2] |
Percent | 9.70% | [2],[3] |
First Trust Deeds [Member] | Subtotal less than 70% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 46,362,000 | [1] |
Percent | 75.90% | [1] |
Count | $ 32 | [1] |
First Trust Deeds [Member] | Subtotal less than 70% [Member] | Secured Debt [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 6,743,000 | [2] |
Percent | 11% | [2],[3] |
First Trust Deeds [Member] | 70-79% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 1,744,000 | [1] |
Percent | 2.90% | [1] |
Count | $ 2 | [1] |
First Trust Deeds [Member] | 70-79% [Member] | Secured Debt [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 964,000 | [2] |
Percent | 1.60% | [2],[3] |
First Trust Deeds [Member] | Subtotal less than 80% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 48,106,000 | [1] |
Percent | 78.80% | [1] |
Count | $ 34 | [1] |
First Trust Deeds [Member] | Subtotal less than 80% [Member] | Secured Debt [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 7,707,000 | [2] |
Percent | 12.60% | [2],[3] |
First Trust Deeds [Member] | More than or equal to 80% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 2,000,000 | [1] |
Percent | 3.30% | [1] |
Count | $ 1 | [1] |
First Trust Deeds [Member] | More than or equal to 80% [Member] | Secured Debt [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 0 | [2] |
Percent | 0% | [2],[3] |
Second Trust Deeds [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 10,912,000 | [1] |
Percent | 17.90% | [1] |
Count | $ 13 | [1] |
Second Trust Deeds [Member] | Secured Debt [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 1,354,000 | [2] |
Percent | 2.20% | [2],[3] |
Second Trust Deeds [Member] | Less Than 40% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 1,524,000 | [1] |
Percent | 2.50% | [1] |
Count | $ 3 | [1] |
Second Trust Deeds [Member] | Less Than 40% [Member] | Secured Debt [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 0 | [2] |
Percent | 0% | [2],[3] |
Second Trust Deeds [Member] | 40-49% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 3,500,000 | [1] |
Percent | 5.70% | [1] |
Count | $ 2 | [1] |
Second Trust Deeds [Member] | 40-49% [Member] | Secured Debt [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 0 | [2] |
Percent | 0% | [2],[3] |
Second Trust Deeds [Member] | 50-59% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 360,000 | [1] |
Percent | 0.60% | [1] |
Count | $ 1 | [1] |
Second Trust Deeds [Member] | 50-59% [Member] | Secured Debt [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 0 | [2] |
Percent | 0% | [2],[3] |
Second Trust Deeds [Member] | 60-69% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 1,954,000 | [1] |
Percent | 3.20% | [1] |
Count | $ 2 | [1] |
Second Trust Deeds [Member] | 60-69% [Member] | Secured Debt [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 594,000 | [2] |
Percent | 1% | [2],[3] |
Second Trust Deeds [Member] | Subtotal less than 70% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 7,338,000 | [1] |
Percent | 12% | [1] |
Count | $ 8 | [1] |
Second Trust Deeds [Member] | Subtotal less than 70% [Member] | Secured Debt [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 594,000 | [2] |
Percent | 1% | [2],[3] |
Second Trust Deeds [Member] | 70-79% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 3,574,000 | [1] |
Percent | 5.90% | [1] |
Count | $ 5 | [1] |
Second Trust Deeds [Member] | 70-79% [Member] | Secured Debt [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 760,000 | [2] |
Percent | 1.20% | [2],[3] |
Second Trust Deeds [Member] | Subtotal less than 80% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 10,912,000 | [1] |
Percent | 17.90% | [1] |
Count | $ 13 | [1] |
Second Trust Deeds [Member] | Subtotal less than 80% [Member] | Secured Debt [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 1,354,000 | [2] |
Percent | 2.20% | [2],[3] |
Second Trust Deeds [Member] | More than or equal to 80% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 0 | [1] |
Percent | 0% | [1] |
Count | $ 0 | [1] |
Second Trust Deeds [Member] | More than or equal to 80% [Member] | Secured Debt [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 0 | [2] |
Percent | 0% | [2],[3] |
[1] LTV classifications in the table above are based on principal, advances and interest unpaid at March 31, 2024 LTV classifications in the table above are based on principal, advances and interest unpaid at March 31, 2024 . Percent of total principal, secured loans ($ 61.0 million) at March 31, 2024 . |
Loans - Secured Loans by Proper
Loans - Secured Loans by Property Type (Details) $ in Thousands | Mar. 31, 2024 USD ($) Loans | Dec. 31, 2023 USD ($) Loans | ||
Loans (Details) - Secured Loans by Property Type [Line Items] | ||||
Number of secured loans | Loans | 48 | 47 | ||
Total principal, secured loans, Principal | $ | $ 61,018 | $ 62,916 | [1] | |
Total principal, secured loans, Percent | 100% | 100% | ||
Commercial Loan [Member] | ||||
Loans (Details) - Secured Loans by Property Type [Line Items] | ||||
Number of secured loans | Loans | 22 | 20 | ||
Total principal, secured loans, Principal | $ | $ 33,975 | $ 31,403 | ||
Total principal, secured loans, Percent | 56% | 50% | ||
Single Family [Member] | ||||
Loans (Details) - Secured Loans by Property Type [Line Items] | ||||
Number of secured loans | Loans | [2] | 20 | 21 | |
Total principal, secured loans, Principal | $ | [2] | $ 18,010 | $ 21,786 | |
Total principal, secured loans, Percent | [2] | 29% | 35% | |
Office [Member] | Commercial Loan [Member] | ||||
Loans (Details) - Secured Loans by Property Type [Line Items] | ||||
Number of secured loans | Loans | 3 | 3 | ||
Total principal, secured loans, Principal | $ | $ 5,725 | $ 5,725 | ||
Total principal, secured loans, Percent | 9% | 9% | ||
Retail [Member] | Commercial Loan [Member] | ||||
Loans (Details) - Secured Loans by Property Type [Line Items] | ||||
Number of secured loans | Loans | 7 | 6 | ||
Total principal, secured loans, Principal | $ | $ 12,164 | $ 9,948 | ||
Total principal, secured loans, Percent | 20% | 15% | ||
Industrial [Member] | Commercial Loan [Member] | ||||
Loans (Details) - Secured Loans by Property Type [Line Items] | ||||
Number of secured loans | Loans | 8 | 8 | ||
Total principal, secured loans, Principal | $ | $ 13,352 | $ 13,353 | ||
Total principal, secured loans, Percent | 22% | 22% | ||
Commercial-Other [Member] | Commercial Loan [Member] | ||||
Loans (Details) - Secured Loans by Property Type [Line Items] | ||||
Number of secured loans | Loans | 4 | 3 | ||
Total principal, secured loans, Principal | $ | $ 2,734 | $ 2,377 | ||
Total principal, secured loans, Percent | 5% | 4% | ||
Multi-Family | ||||
Loans (Details) - Secured Loans by Property Type [Line Items] | ||||
Number of secured loans | Loans | 5 | 5 | ||
Total principal, secured loans, Principal | $ | $ 7,533 | $ 8,227 | ||
Total principal, secured loans, Percent | 13% | 13% | ||
Land | ||||
Loans (Details) - Secured Loans by Property Type [Line Items] | ||||
Number of secured loans | Loans | 1 | 1 | ||
Total principal, secured loans, Principal | $ | $ 1,500 | $ 1,500 | ||
Total principal, secured loans, Percent | 2% | 2% | ||
[1] Includes principal collected and held in trust at March 31, 2024 of approximately $ 3 thousand offset by principal collected and held in trust at December 31, 2023 of approximately $ 3 thousand which was disbursed to the company in January 2024 Single family includes 1-4 unit residential buildings, condominium units, townhouses and condominium complexes. At March 31, 2024, single family consists of eight loans with aggregate principal of approximately $ 4.7 million that are owner occupied and 12 loans with principal of approximately $ 13.3 million that are non-owner occupied. At December 31, 2023 , single family consisted of six loans with aggregate principal of approximately $ 3.3 million that are owner occupied and 15 loans with principal of approximately $ 18.5 million that are non-owner occupied. |
Loans - Secured Loans by Prop_2
Loans - Secured Loans by Property Type (Parenthetical) (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2024 USD ($) Loans | Dec. 31, 2023 USD ($) Loan MortgageLoan | ||
Loans (Details) - Secured Loans by Property Type [Line Items] | |||
Number of secured loans | Loans | 48 | ||
Principal | $ 61,018 | $ 62,916 | [1] |
Single Family Property-Owner Occupied [Member] | |||
Loans (Details) - Secured Loans by Property Type [Line Items] | |||
Number of secured loans | 8 | 6 | |
Principal | $ 4,700 | $ 3,300 | |
Single Family Property-NonOwner Occupied [Member] | |||
Loans (Details) - Secured Loans by Property Type [Line Items] | |||
Number of secured loans | 12 | 15 | |
Principal | $ 13,300 | $ 18,500 | |
[1] Includes principal collected and held in trust at March 31, 2024 of approximately $ 3 thousand offset by principal collected and held in trust at December 31, 2023 of approximately $ 3 thousand which was disbursed to the company in January 2024 |
Loans - Secured Loans Distribut
Loans - Secured Loans Distributed Principal Within California (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 | ||
Loans (Details) - Secured Loans Distributed Within California [Line Items] | ||||
Total principal, secured loans, Principal | $ 61,018 | $ 62,916 | [1] | |
Total principal, secured loans, Percent | 100% | 100% | ||
San Francisco Bay Area [Member] | ||||
Loans (Details) - Secured Loans Distributed Within California [Line Items] | ||||
Total principal, secured loans, Principal | [2] | $ 32,096 | $ 33,787 | |
Total principal, secured loans, Percent | [2] | 52.70% | 53.70% | |
Santa Clara [Member] | ||||
Loans (Details) - Secured Loans Distributed Within California [Line Items] | ||||
Total principal, secured loans, Principal | [2] | $ 10,288 | $ 10,143 | |
Total principal, secured loans, Percent | [2] | 16.90% | 16.10% | |
San Francisco [Member] | ||||
Loans (Details) - Secured Loans Distributed Within California [Line Items] | ||||
Total principal, secured loans, Principal | [2] | $ 12,716 | $ 13,662 | |
Total principal, secured loans, Percent | [2] | 20.80% | 21.70% | |
San Mateo [Member] | ||||
Loans (Details) - Secured Loans Distributed Within California [Line Items] | ||||
Total principal, secured loans, Principal | [2] | $ 3,044 | $ 4,832 | |
Total principal, secured loans, Percent | [2] | 5% | 7.70% | |
Alameda [Member] | ||||
Loans (Details) - Secured Loans Distributed Within California [Line Items] | ||||
Total principal, secured loans, Principal | [2] | $ 3,925 | $ 3,925 | |
Total principal, secured loans, Percent | [2] | 6.40% | 6.20% | |
Contra Costa [Member] | ||||
Loans (Details) - Secured Loans Distributed Within California [Line Items] | ||||
Total principal, secured loans, Principal | [2] | $ 900 | $ 0 | |
Total principal, secured loans, Percent | [2] | 1.50% | 0% | |
Napa [Member] | ||||
Loans (Details) - Secured Loans Distributed Within California [Line Items] | ||||
Total principal, secured loans, Principal | [2] | $ 638 | $ 640 | |
Total principal, secured loans, Percent | [2] | 1.10% | 1% | |
Solano [Member] | ||||
Loans (Details) - Secured Loans Distributed Within California [Line Items] | ||||
Total principal, secured loans, Principal | [2] | $ 185 | $ 185 | |
Total principal, secured loans, Percent | [2] | 0.30% | 0.30% | |
Marin [Member] | ||||
Loans (Details) - Secured Loans Distributed Within California [Line Items] | ||||
Total principal, secured loans, Principal | [2] | $ 400 | $ 400 | |
Total principal, secured loans, Percent | [2] | 0.70% | 0.70% | |
Other Northern California [Member] | ||||
Loans (Details) - Secured Loans Distributed Within California [Line Items] | ||||
Total principal, secured loans, Principal | $ 6,469 | $ 4,471 | ||
Total principal, secured loans, Percent | 10.60% | 7.10% | ||
Placer [Member] | ||||
Loans (Details) - Secured Loans Distributed Within California [Line Items] | ||||
Total principal, secured loans, Principal | $ 1,966 | $ 1,967 | ||
Total principal, secured loans, Percent | 3.20% | 3.10% | ||
Tehama [Member] | ||||
Loans (Details) - Secured Loans Distributed Within California [Line Items] | ||||
Total principal, secured loans, Principal | $ 0 | $ 0 | ||
Total principal, secured loans, Percent | 0% | 0% | ||
San Joaquin [Member] | ||||
Loans (Details) - Secured Loans Distributed Within California [Line Items] | ||||
Total principal, secured loans, Principal | $ 2,750 | $ 750 | ||
Total principal, secured loans, Percent | 4.50% | 1.20% | ||
Butte [Member] | ||||
Loans (Details) - Secured Loans Distributed Within California [Line Items] | ||||
Total principal, secured loans, Principal | $ 1,203 | $ 1,203 | ||
Total principal, secured loans, Percent | 2% | 1.90% | ||
Sacramento [Member] | ||||
Loans (Details) - Secured Loans Distributed Within California [Line Items] | ||||
Total principal, secured loans, Principal | $ 550 | $ 551 | ||
Total principal, secured loans, Percent | 0.90% | 0.90% | ||
Northern California [Member] | ||||
Loans (Details) - Secured Loans Distributed Within California [Line Items] | ||||
Total principal, secured loans, Principal | $ 38,565 | $ 38,258 | ||
Total principal, secured loans, Percent | 63.30% | 60.80% | ||
Southern California Coastal [Member] | ||||
Loans (Details) - Secured Loans Distributed Within California [Line Items] | ||||
Total principal, secured loans, Principal | $ 20,553 | $ 19,560 | ||
Total principal, secured loans, Percent | 33.60% | 31.10% | ||
Los Angeles [Member] | ||||
Loans (Details) - Secured Loans Distributed Within California [Line Items] | ||||
Total principal, secured loans, Principal | $ 3,137 | $ 4,058 | ||
Total principal, secured loans, Percent | 5.10% | 6.50% | ||
Orange [Member] | ||||
Loans (Details) - Secured Loans Distributed Within California [Line Items] | ||||
Total principal, secured loans, Principal | $ 7,593 | $ 7,177 | ||
Total principal, secured loans, Percent | 12.40% | 11.40% | ||
San Diego [Member] | ||||
Loans (Details) - Secured Loans Distributed Within California [Line Items] | ||||
Total principal, secured loans, Principal | $ 9,823 | $ 8,325 | ||
Total principal, secured loans, Percent | 16.10% | 13.20% | ||
Other Southern California - Riverside [Member] | ||||
Loans (Details) - Secured Loans Distributed Within California [Line Items] | ||||
Total principal, secured loans, Principal | $ 1,900 | $ 5,098 | ||
Total principal, secured loans, Percent | 3.10% | 8.10% | ||
Riverside [Member] | ||||
Loans (Details) - Secured Loans Distributed Within California [Line Items] | ||||
Total principal, secured loans, Principal | $ 1,900 | $ 1,900 | ||
Total principal, secured loans, Percent | 3.10% | 3% | ||
Ventura [Member] | ||||
Loans (Details) - Secured Loans Distributed Within California [Line Items] | ||||
Total principal, secured loans, Principal | $ 0 | $ 3,198 | ||
Total principal, secured loans, Percent | 0% | 5.10% | ||
Southern California [Member] | ||||
Loans (Details) - Secured Loans Distributed Within California [Line Items] | ||||
Total principal, secured loans, Principal | $ 22,453 | $ 24,658 | ||
Total principal, secured loans, Percent | 36.70% | 39.20% | ||
[1] Includes principal collected and held in trust at March 31, 2024 of approximately $ 3 thousand offset by principal collected and held in trust at December 31, 2023 of approximately $ 3 thousand which was disbursed to the company in January 2024 Includes Silicon Valley |
Loans - Secured Loans Principal
Loans - Secured Loans Principal Scheduled Maturities (Details) $ in Thousands | 3 Months Ended | |||
Mar. 31, 2024 USD ($) Loans | Dec. 31, 2023 USD ($) | |||
Financing Receivable, Past Due [Line Items] | ||||
2024, Loans | Loans | 17 | |||
2025, Loans | Loans | 14 | |||
2026, Loans | Loans | 5 | |||
2027, Loans | Loans | 3 | |||
Thereafter, Loans | Loans | 6 | |||
Total scheduled maturities, Loans | Loans | 45 | |||
Matured, Loans | Loans | [1] | 3 | ||
Total principal, secured loans, Loans | Loans | 48 | |||
2024, Principal | $ | $ 28,610 | |||
2025, Principal | $ | 17,501 | |||
2026, Principal | $ | 4,085 | |||
2027, Principal | $ | 1,912 | |||
Thereafter, Principal | $ | 3,010 | |||
Total scheduled maturities, Principal | $ | 55,118 | |||
Matured, Principal | $ | [1] | 5,900 | ||
Total principal, secured loans, Principal | $ | $ 61,018 | $ 62,916 | [2] | |
2024, Percent | 47% | |||
2025, Percent | 28% | |||
2026, Percent | 7% | |||
2027, Percent | 3% | |||
Thereafter, Percent | 5% | |||
Total scheduled maturities, Percent | 90% | |||
Matured, Percent | [1] | 10% | ||
Total principal, secured loans, Percent | 100% | 100% | ||
First Trust Deeds [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
2024, Loans | Loans | 13 | |||
2025, Loans | Loans | 9 | |||
2026, Loans | Loans | 4 | |||
2027, Loans | Loans | 2 | |||
Thereafter, Loans | Loans | 5 | |||
Total scheduled maturities, Loans | Loans | 33 | |||
Matured, Loans | Loans | [1] | 2 | ||
Total principal, secured loans, Loans | Loans | 35 | |||
2024, Principal | $ | $ 24,550 | |||
2025, Principal | $ | 12,848 | |||
2026, Principal | $ | 3,725 | |||
2027, Principal | $ | 1,318 | |||
Thereafter, Principal | $ | 2,525 | |||
Total scheduled maturities, Principal | $ | 44,966 | |||
Matured, Principal | $ | [1] | 5,140 | ||
Total principal, secured loans, Principal | $ | [3] | $ 50,106 | $ 52,263 | [2] |
Total principal, secured loans, Percent | [3] | 82% | 83% | |
Second Trust Deeds [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
2024, Loans | Loans | 4 | |||
2025, Loans | Loans | 5 | |||
2026, Loans | Loans | 1 | |||
2027, Loans | Loans | 1 | |||
Thereafter, Loans | Loans | 1 | |||
Total scheduled maturities, Loans | Loans | 12 | |||
Matured, Loans | Loans | [1] | 1 | ||
Total principal, secured loans, Loans | Loans | 13 | |||
2024, Principal | $ | $ 4,060 | |||
2025, Principal | $ | 4,653 | |||
2026, Principal | $ | 360 | |||
2027, Principal | $ | 594 | |||
Thereafter, Principal | $ | 485 | |||
Total scheduled maturities, Principal | $ | 10,152 | |||
Matured, Principal | $ | [1] | 760 | ||
Total principal, secured loans, Principal | $ | $ 10,912 | $ 10,653 | [2] | |
Total principal, secured loans, Percent | 18% | 17% | ||
[1] See Delinquency/Secured loans with payments in arrears below for additional information on matured loans. Includes principal collected and held in trust at March 31, 2024 of approximately $ 3 thousand offset by principal collected and held in trust at December 31, 2023 of approximately $ 3 thousand which was disbursed to the company in January 2024 One loan with principal of approximately $ 2.0 million has an LTV of 108 %. The loan agreement was executed by an individual with substantial real estate holdings, experience and financial resources. The loan is performing (and has been over its time outstanding) and is scheduled to mature July 1, 2024 (extended from May 1, 2024 ). |
Loans - Past Due Financing Rece
Loans - Past Due Financing Receivables (Details) $ in Thousands | Mar. 31, 2024 USD ($) Loan | Dec. 31, 2023 USD ($) Loan |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Number of loans | Loan | 48 | 47 |
Principal | $ | $ 61,018 | $ 62,916 |
Current [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Number of loans | Loan | 41 | 39 |
Principal | $ | $ 51,957 | $ 50,861 |
Past Due 30-89 Days [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Number of loans | Loan | 3 | 2 |
Principal | $ | $ 2,171 | $ 1,165 |
Past Due 90-179 days [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Number of loans | Loan | 1 | 3 |
Principal | $ | $ 200 | $ 7,483 |
Past Due 180 Or More Days [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Number of loans | Loan | 3 | 3 |
Principal | $ | $ 6,690 | $ 3,407 |
Total Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Number of loans | Loan | 7 | 8 |
Principal | $ | $ 9,061 | $ 12,055 |
Loans - Secured loans with pa_2
Loans - Secured loans with payments in arrears, principal by LTV and lien position (Parenthetical) (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 | |
Receivables [Abstract] | |||
Secured loans - principal | $ 61,018 | $ 62,916 | [1] |
[1] Includes principal collected and held in trust at March 31, 2024 of approximately $ 3 thousand offset by principal collected and held in trust at December 31, 2023 of approximately $ 3 thousand which was disbursed to the company in January 2024 |
Loans - Schedule of Payments in
Loans - Schedule of Payments in Arrears Past Due Financing Receivables (Details) $ in Thousands | Mar. 31, 2024 USD ($) Loans | |
30-89 days [Member] | ||
Loans Details Secured Loans By Property Type Of Collateral [Line Items] | ||
Past maturity, loans | Loans | 0 | |
Number of loans | Loans | 3 | |
Past maturity, principal | $ 0 | |
Monthly payments, principal | 2 | |
Past maturity, interest | 0 | [1] |
Monthly payments, interest | 23 | [1] |
Total payments | $ 25 | |
Past Due 90-179 Days [Member] | ||
Loans Details Secured Loans By Property Type Of Collateral [Line Items] | ||
Past maturity, loans | Loans | 1 | |
Number of loans | Loans | 0 | |
Past maturity, principal | $ 200 | |
Monthly payments, principal | 0 | |
Past maturity, interest | 0 | [1] |
Monthly payments, interest | 0 | [1] |
Total payments | $ 200 | |
Past Due 180 Or More Days [Member] | ||
Loans Details Secured Loans By Property Type Of Collateral [Line Items] | ||
Past maturity, loans | Loans | 2 | |
Number of loans | Loans | 1 | |
Past maturity, principal | $ 5,700 | |
Monthly payments, principal | 0 | |
Past maturity, interest | 197 | [1] |
Monthly payments, interest | 48 | [1] |
Total payments | $ 5,945 | |
Total Past Due [Member] | ||
Loans Details Secured Loans By Property Type Of Collateral [Line Items] | ||
Past maturity, loans | Loans | 3 | |
Number of loans | Loans | 4 | |
Past maturity, principal | $ 5,900 | |
Monthly payments, principal | 2 | |
Past maturity, interest | 197 | [1] |
Monthly payments, interest | 71 | [1] |
Total payments | $ 6,170 | |
[1] March 2024 interest is due April 1, 2024 and is not included in the payments in arrears at March 31, 2024 . |
Loans - Matured loans, principa
Loans - Matured loans, principal by LTV and lien position (Details) $ in Thousands | Mar. 31, 2024 USD ($) | |
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 61,018 | [1] |
Percent | 100% | [1] |
Matured Loans [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 5,900 | [2] |
Percent | 9.60% | [2],[3] |
First Trust Deeds [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 50,106 | [1] |
Percent | 82.10% | [1] |
First Trust Deeds [Member] | Matured Loans [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 5,140 | [2] |
Percent | 8.40% | [2],[3] |
Second Trust Deeds [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 10,912 | [1] |
Percent | 17.90% | [1] |
Second Trust Deeds [Member] | Matured Loans [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 760 | [2] |
Percent | 1.20% | [2],[3] |
Less Than 40% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 9,395 | [1] |
Percent | 15.40% | [1] |
Less Than 40% [Member] | Matured Loans [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 200 | [2] |
Percent | 0.30% | [2],[3] |
Less Than 40% [Member] | First Trust Deeds [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 7,871 | [1] |
Percent | 12.90% | [1] |
Less Than 40% [Member] | First Trust Deeds [Member] | Matured Loans [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 200 | [2] |
Percent | 0.30% | [2],[3] |
Less Than 40% [Member] | Second Trust Deeds [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 1,524 | [1] |
Percent | 2.50% | [1] |
Less Than 40% [Member] | Second Trust Deeds [Member] | Matured Loans [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 0 | [2] |
Percent | 0% | [2],[3] |
40-49% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 19,537 | [1] |
Percent | 32% | [1] |
40-49% [Member] | Matured Loans [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 0 | [2] |
Percent | 0% | [2],[3] |
40-49% [Member] | First Trust Deeds [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 16,037 | [1] |
Percent | 26.30% | [1] |
40-49% [Member] | First Trust Deeds [Member] | Matured Loans [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 0 | [2] |
Percent | 0% | [2],[3] |
40-49% [Member] | Second Trust Deeds [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 3,500 | [1] |
Percent | 5.70% | [1] |
40-49% [Member] | Second Trust Deeds [Member] | Matured Loans [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 0 | [2] |
Percent | 0% | [2],[3] |
50-59% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 3,075 | [1] |
Percent | 5% | [1] |
50-59% [Member] | Matured Loans [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 0 | [2] |
Percent | 0% | [2],[3] |
50-59% [Member] | First Trust Deeds [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 2,715 | [1] |
Percent | 4.40% | [1] |
50-59% [Member] | First Trust Deeds [Member] | Matured Loans [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 0 | [2] |
Percent | 0% | [2],[3] |
50-59% [Member] | Second Trust Deeds [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 360 | [1] |
Percent | 0.60% | [1] |
50-59% [Member] | Second Trust Deeds [Member] | Matured Loans [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 0 | [2] |
Percent | 0% | [2],[3] |
60-69% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 21,693 | [1] |
Percent | 35.50% | [1] |
60-69% [Member] | Matured Loans [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 4,940 | [2] |
Percent | 8.10% | [2],[3] |
60-69% [Member] | First Trust Deeds [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 19,739 | [1] |
Percent | 32.30% | [1] |
60-69% [Member] | First Trust Deeds [Member] | Matured Loans [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 4,940 | [2] |
Percent | 8.10% | [2],[3] |
60-69% [Member] | Second Trust Deeds [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 1,954 | [1] |
Percent | 3.20% | [1] |
60-69% [Member] | Second Trust Deeds [Member] | Matured Loans [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 0 | [2] |
Percent | 0% | [2],[3] |
Subtotal less than 70% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 53,700 | [1] |
Percent | 87.90% | [1] |
Subtotal less than 70% [Member] | Matured Loans [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 5,140 | [2] |
Percent | 8.40% | [2],[3] |
Subtotal less than 70% [Member] | First Trust Deeds [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 46,362 | [1] |
Percent | 75.90% | [1] |
Subtotal less than 70% [Member] | First Trust Deeds [Member] | Matured Loans [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 5,140 | [2] |
Percent | 8.40% | [2],[3] |
Subtotal less than 70% [Member] | Second Trust Deeds [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 7,338 | [1] |
Percent | 12% | [1] |
Subtotal less than 70% [Member] | Second Trust Deeds [Member] | Matured Loans [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 0 | [2] |
Percent | 0% | [2],[3] |
70-79% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 5,318 | [1] |
Percent | 8.80% | [1] |
70-79% [Member] | Matured Loans [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 760 | [2] |
Percent | 1.20% | [2],[3] |
70-79% [Member] | First Trust Deeds [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 1,744 | [1] |
Percent | 2.90% | [1] |
70-79% [Member] | First Trust Deeds [Member] | Matured Loans [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 0 | [2] |
Percent | 0% | [2],[3] |
70-79% [Member] | Second Trust Deeds [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 3,574 | [1] |
Percent | 5.90% | [1] |
70-79% [Member] | Second Trust Deeds [Member] | Matured Loans [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 760 | [2] |
Percent | 1.20% | [2],[3] |
Subtotal less than 80% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 59,018 | [1] |
Percent | 96.70% | [1] |
Subtotal less than 80% [Member] | Matured Loans [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 5,900 | [2] |
Percent | 9.60% | [2],[3] |
Subtotal less than 80% [Member] | First Trust Deeds [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 48,106 | [1] |
Percent | 78.80% | [1] |
Subtotal less than 80% [Member] | First Trust Deeds [Member] | Matured Loans [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 5,140 | [2] |
Percent | 8.40% | [2],[3] |
Subtotal less than 80% [Member] | Second Trust Deeds [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 10,912 | [1] |
Percent | 17.90% | [1] |
Subtotal less than 80% [Member] | Second Trust Deeds [Member] | Matured Loans [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 760 | [2] |
Percent | 1.20% | [2],[3] |
More than or equal to 80% [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 2,000 | [1] |
Percent | 3.30% | [1] |
More than or equal to 80% [Member] | Matured Loans [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 0 | [2] |
Percent | 0% | [2],[3] |
More than or equal to 80% [Member] | First Trust Deeds [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 2,000 | [1] |
Percent | 3.30% | [1] |
More than or equal to 80% [Member] | First Trust Deeds [Member] | Matured Loans [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 0 | [2] |
Percent | 0% | [2],[3] |
More than or equal to 80% [Member] | Second Trust Deeds [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 0 | [1] |
Percent | 0% | [1] |
More than or equal to 80% [Member] | Second Trust Deeds [Member] | Matured Loans [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Principal | $ 0 | [2] |
Percent | 0% | [2],[3] |
[1] LTV classifications in the table above are based on principal, advances and interest unpaid at March 31, 2024 LTV classifications in the table above are based on principal, advances and interest unpaid at March 31, 2024 . Percent of total principal of secured loans (totaling $ 61.0 million) at March 31, 2024 . |
Loans - Matured loans, princi_2
Loans - Matured loans, principal by LTV and lien position (Parenthetical) (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 | |
Receivables [Abstract] | |||
Secured loans - principal | $ 61,018 | $ 62,916 | [1] |
[1] Includes principal collected and held in trust at March 31, 2024 of approximately $ 3 thousand offset by principal collected and held in trust at December 31, 2023 of approximately $ 3 thousand which was disbursed to the company in January 2024 |
Loans - Summary of Secured Loan
Loans - Summary of Secured Loans in Non Accrual Status (Details) $ in Thousands | Mar. 31, 2024 USD ($) MortgageLoan | Dec. 31, 2023 USD ($) MortgageLoan | ||
Financing Receivable, Past Due [Line Items] | ||||
Principal | $ 61,018 | $ 62,916 | [1] | |
Accrued interest | $ 645 | $ 572 | ||
Nonaccrual Status [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Number of loans | MortgageLoan | 1 | 0 | ||
Principal | $ 768 | |||
Accrued interest | [2] | 6 | ||
Forgone interest | 6 | |||
Nonaccrual Status [Member] | Principal [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Principal | 760 | |||
Nonaccrual Status [Member] | Advances [Member] | ||||
Financing Receivable, Past Due [Line Items] | ||||
Principal | $ 2 | |||
[1] Includes principal collected and held in trust at March 31, 2024 of approximately $ 3 thousand offset by principal collected and held in trust at December 31, 2023 of approximately $ 3 thousand which was disbursed to the company in January 2024 Accrued interest in the table above is the amount of interest accrued prior to the loan being placed on non-accrual status, net of |
Loans - Activity in the Allowan
Loans - Activity in the Allowance for Loan Losses (Details) - USD ($) $ in Thousands | 3 Months Ended | |||
Mar. 31, 2024 | Mar. 31, 2023 | Jan. 01, 2024 | Jan. 01, 2023 | |
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Balance, beginning of period | $ 120 | $ 55 | ||
Adoption of ASC 326 (CECL) | 0 | 65 | ||
Balance, January 1 | $ 120 | $ 120 | ||
Provision for (Recovery of) loan losses | 0 | 0 | ||
Charge-offs | 0 | 0 | ||
Balance, end of period | 120 | 120 | ||
Principal and Advances | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Balance, beginning of period | 60 | 30 | ||
Adoption of ASC 326 (CECL) | 0 | 30 | ||
Balance, January 1 | 60 | 60 | ||
Provision for (Recovery of) loan losses | 0 | 0 | ||
Charge-offs | 0 | 0 | ||
Balance, end of period | 60 | 60 | ||
Interest | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Balance, beginning of period | 60 | 25 | ||
Adoption of ASC 326 (CECL) | 0 | 35 | ||
Balance, January 1 | $ 60 | $ 60 | ||
Provision for (Recovery of) loan losses | 0 | 0 | ||
Charge-offs | 0 | 0 | ||
Balance, end of period | $ 60 | $ 60 |
Loans - Secured loans scheduled
Loans - Secured loans scheduled maturities Loan Principal and LTV (Details) - CECL $ in Thousands | 3 Months Ended |
Mar. 31, 2024 USD ($) Loans | |
Financing Receivable, Past Due [Line Items] | |
Loans receivable number of loans maturing in fiscal year, Loans | Loans | 48 |
2024, Loans | Loans | 28 |
2025, Loans | Loans | 14 |
2026, Loans | Loans | 9 |
2027, Loans | Loans | 6 |
2028, Loans | Loans | 4 |
2033, Loans | Loans | 2 |
2035, Loans | Loans | 1 |
2039, Loans | Loans | 0 |
Loans receivable maturing in fiscal year, Principal | $ | $ 61,018 |
2024, Principal | $ | 26,508 |
2025, Principal | $ | 9,007 |
2026, Principal | $ | 4,922 |
2027, Principal | $ | 3,010 |
2028, Principal | $ | 1,847 |
2033, Principal | $ | 699 |
2035, Principal | $ | 485 |
2039, Principal | $ | $ 0 |
Loans receivable loans to value maturing in fiscal year, LTV | 54.40% |
2024, LTV | 51.30% |
2025, LTV | 44.90% |
2026, LTV | 52.50% |
2027, LTV | 44% |
2028, LTV | 37.90% |
2033, LTV | 28.40% |
2035, LTV | 24.90% |
2039, LTV | 0% |
First Trust Deeds [Member] | |
Financing Receivable, Past Due [Line Items] | |
Loans receivable number of loans maturing in fiscal year, Loans | Loans | 35 |
2024, Loans | Loans | 20 |
2025, Loans | Loans | 11 |
2026, Loans | Loans | 7 |
2027, Loans | Loans | 5 |
2028, Loans | Loans | 3 |
2033, Loans | Loans | 1 |
2035, Loans | Loans | 0 |
2039, Loans | Loans | 0 |
Loans receivable maturing in fiscal year, Principal | $ | $ 50,106 |
2024, Principal | $ | 20,416 |
2025, Principal | $ | 7,568 |
2026, Principal | $ | 3,843 |
2027, Principal | $ | 2,525 |
2028, Principal | $ | 1,362 |
2033, Principal | $ | 214 |
2035, Principal | $ | 0 |
2039, Principal | $ | $ 0 |
Loans receivable loans to value maturing in fiscal year, LTV | 54.30% |
2024, LTV | 50.80% |
2025, LTV | 44.50% |
2026, LTV | 54.40% |
2027, LTV | 47.70% |
2028, LTV | 42.50% |
2033, LTV | 36.30% |
2035, LTV | 0% |
2039, LTV | 0% |
Second Trust Deeds [Member] | |
Financing Receivable, Past Due [Line Items] | |
Loans receivable number of loans maturing in fiscal year, Loans | Loans | 13 |
2024, Loans | Loans | 8 |
2025, Loans | Loans | 3 |
2026, Loans | Loans | 2 |
2027, Loans | Loans | 1 |
2028, Loans | Loans | 1 |
2033, Loans | Loans | 1 |
2035, Loans | Loans | 1 |
2039, Loans | Loans | 0 |
Loans receivable maturing in fiscal year, Principal | $ | $ 10,912 |
2024, Principal | $ | 6,092 |
2025, Principal | $ | 1,439 |
2026, Principal | $ | 1,079 |
2027, Principal | $ | 485 |
2028, Principal | $ | 485 |
2033, Principal | $ | 485 |
2035, Principal | $ | 485 |
2039, Principal | $ | $ 0 |
Loans receivable loans to value maturing in fiscal year, LTV | 54.70% |
2024, LTV | 53.10% |
2025, LTV | 47% |
2026, LTV | 45.50% |
2027, LTV | 24.90% |
2028, LTV | 24.90% |
2033, LTV | 24.90% |
2035, LTV | 24.90% |
2039, LTV | 0% |
Line of Credit - Schedule of Li
Line of Credit - Schedule of Line of Credit Facilities Activity (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Debt Disclosure [Abstract] | ||
Balance, January 1, | $ 2,153 | $ 9,900 |
Draws | 13,250 | 0 |
Repayments | (15,403) | (250) |
Balance, March 31 | 0 | 9,650 |
Line of credit - average daily balance | $ 2,173 | $ 9,897 |
Line of Credit - Additional Inf
Line of Credit - Additional Information (Details) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 USD ($) | Mar. 31, 2023 USD ($) | |
Short Term Debt [Line Items] | ||
Debt issuance costs | $ 66 | $ 0 |
Amortization of debt issuance costs | $ 7 | $ 7 |
The 2024 Credit Agreement [Member] | ||
Short Term Debt [Line Items] | ||
Line of credit facility, interest rate | 8.82% | |
Debt issuance costs | $ 66 | |
2022 Credit Agreement [Member] | Financial Asset, 61 Days Past Due [Member] | ||
Short Term Debt [Line Items] | ||
Amortization of debt issuance costs | 7 | |
Maximum [Member] | The 2024 Credit Agreement [Member] | ||
Short Term Debt [Line Items] | ||
Line of credit facility, maximum amount outstanding during period | 10,000 | |
Revolving Credit Facility [Member] | The 2024 Credit Agreement [Member] | ||
Short Term Debt [Line Items] | ||
Compensating balance, minimum | $ 1,000 | |
Interest on non maintenance of compensating balance | 0.25% | |
Line of credit facility, average rate | 50% | |
Line of credit facility, unused line of fee | 0.50% | |
Line of Credit [Member] | The 2024 Credit Agreement [Member] | ||
Short Term Debt [Line Items] | ||
Line of credit facility, maximum amount outstanding during period | $ 10,000 | |
Line of credit facility, description | For a fee of one-quarter of one percent (0.25%), RMI IX has the option prior to maturity date to convert the then outstanding principal balance under the 2024 credit agreement to a two-year term loan maturing in March 2028. Interest on the outstanding principal is payable monthly and accrues at the annual rate that is the greater of: (i) with the one-month Term SOFR Reference Rate (‘Term SOFR’) plus three and one-half percent (3.5%) and (ii) six percent (6.0%). | |
Line of Credit [Member] | The 2024 Credit Agreement [Member] | Financial Asset, 61 Days Past Due [Member] | ||
Short Term Debt [Line Items] | ||
Loan payment, quartely | 10% | |
Line of Credit [Member] | Minimum [Member] | The 2024 Credit Agreement [Member] | ||
Short Term Debt [Line Items] | ||
Minimum tangible net worth | $ 50,000 | |
Debt service coverage ratio | 1 | |
Line of Credit [Member] | Maximum [Member] | The 2024 Credit Agreement [Member] | ||
Short Term Debt [Line Items] | ||
Debt service coverage ratio | 2 |
Subsequent Events - Additional
Subsequent Events - Additional Information (Details) | 3 Months Ended |
Mar. 31, 2024 | |
Subsequent Event [Line Items] | |
Subsequent Event Description | The manager evaluated events occurring subsequent to March 31, 2024 and determined that there were no events or transactions occurring during this reporting period that require recognition or disclosure in the unaudited financial statements |