Document And Entity Information
Document And Entity Information - shares | 6 Months Ended | |
Jun. 30, 2016 | Aug. 11, 2016 | |
Document Information [Line Items] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2016 | |
Document Fiscal Year Focus | 2,016 | |
Document Fiscal Period Focus | Q2 | |
Entity Registrant Name | Global Medical REIT Inc. | |
Entity Central Index Key | 1,533,615 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Smaller Reporting Company | |
Trading Symbol | GMRE | |
Entity Common Stock, Shares Outstanding | 17,605,675 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) | Jun. 30, 2016 | Dec. 31, 2015 |
Investment in real estate: | ||
Land | $ 7,043,852 | $ 4,563,852 |
Building and improvements | 87,040,410 | 51,574,271 |
Real Estate Investment Property, at Cost, Total | 94,084,262 | 56,138,123 |
Less: accumulated depreciation | (1,932,083) | (989,251) |
Investment in real estate, net | 92,152,179 | 55,148,872 |
Cash | 2,574,804 | 9,184,270 |
Restricted cash | 977,578 | 447,627 |
Escrow deposits | 945,162 | 454,310 |
Deferred assets | 1,735,973 | 93,646 |
Total assets | 98,385,696 | 65,328,725 |
Liabilities: | ||
Accrued expenses | 3,078,078 | 683,857 |
Security deposits | 319,499 | 0 |
Due to related parties, net | 2,493,401 | 847,169 |
Convertible debenture, due to majority stockholder | 25,030,134 | 40,030,134 |
Note payable to majority stockholder | 421,000 | 421,000 |
Note payable to related party | 450,000 | 0 |
Notes payable, net of unamortized discount of $1,240,126 and $302,892 at June 30, 2016 and December 31, 2015, respectively | 54,458,657 | 23,485,173 |
Total liabilities | 86,250,769 | 65,467,333 |
Stockholders' equity (deficit): | ||
Preferred stock, $0.001 par value, 10,000,000 shares authorized; no shares issued and outstanding | 0 | 0 |
Common stock $0.001 par value, 500,000,000 shares authorized at June 30, 2016 and December 31, 2015, respectively; 1,426,656 and 250,000 shares issued and outstanding at June 30, 2016 and December 31, 2015, respectively | 1,427 | 250 |
Additional paid-in capital | 18,010,613 | 3,011,790 |
Accumulated deficit | (5,877,113) | (3,150,648) |
Total stockholders' equity (deficit) | 12,134,927 | (138,608) |
Total liabilities and stockholders' equity (deficit) | $ 98,385,696 | $ 65,328,725 |
Consolidated Balance Sheets _Pa
Consolidated Balance Sheets [Parenthetical] - USD ($) | Jun. 30, 2016 | Dec. 31, 2015 |
Notes payable, net of unamortized discount | $ 1,240,126 | $ 302,892 |
Preferred stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 500,000,000 | 500,000,000 |
Common stock, shares issued | 1,426,656 | 250,000 |
Common stock, shares outstanding | 1,426,656 | 250,000 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Revenue | ||||
Rental revenue | $ 1,762,769 | $ 455,900 | $ 3,061,747 | $ 910,538 |
Other income | 7,890 | 0 | 22,971 | 7,500 |
Total revenue | 1,770,659 | 455,900 | 3,084,718 | 918,038 |
Expenses | ||||
Acquisition fees - related party | 0 | 0 | 754,000 | 0 |
General and administrative | 368,210 | 76,474 | 1,256,739 | 140,781 |
Management fees - related party | 90,000 | 90,000 | 180,000 | 180,000 |
Depreciation expense | 544,002 | 141,007 | 942,832 | 293,343 |
Interest expense | 1,262,646 | 280,846 | 2,391,909 | 624,888 |
Total expenses | 2,264,858 | 588,327 | 5,525,480 | 1,239,012 |
Net loss | $ (494,199) | $ (132,427) | $ (2,440,762) | $ (320,974) |
Net loss per share - Basic and Diluted (in dollars per share) | $ (0.35) | $ (0.53) | $ (2.38) | $ (1.28) |
Weighted average shares outstanding - Basic and Diluted (in shares) | 1,426,656 | 250,000 | 1,025,821 | 250,000 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | ||
Operating activities | |||
Net loss | $ (2,440,762) | $ (320,974) | |
Adjustments to reconcile net loss to net cash used in operating activities: | |||
Depreciation expense | 942,832 | 293,343 | |
Amortization of debt discount | 152,845 | [1] | 59,593 |
Changes in operating assets and liabilities: | |||
Restricted cash | (319,499) | 0 | |
Prepaid assets | 0 | (22,226) | |
Deferred assets | (131,419) | 0 | |
Accrued expenses | 1,241,678 | (200,537) | |
Security deposits | 319,499 | 0 | |
Accrued management fees due to related party | 30,000 | 180,000 | |
Net cash used in operating activities | (204,826) | (10,801) | |
Investing activities | |||
Escrow deposits for purchase of properties | 344,310 | 0 | |
Loans to related party | (39,040) | [2] | (6,000) |
Purchase of buildings and improvements | (37,946,139) | 0 | |
Net cash used in investing activities | (37,640,869) | (6,000) | |
Financing activities | |||
Change in restricted cash | (210,452) | 49,687 | |
Escrow deposits required by third party lenders | (835,162) | 0 | |
Loans from related parties | 1,655,272 | 1,950 | |
Proceeds from note payable to majority stockholder | 0 | 350,000 | |
Proceeds from notes payable from acquisitions | 41,320,900 | 0 | |
Payments on notes payable from acquisitions | (9,410,182) | (167,329) | |
Proceeds from note payable from related party | 450,000 | 0 | |
Payments of deferred initial public offering costs | (358,365) | 0 | |
Payments of deferred financing costs | (1,090,079) | 0 | |
Dividends paid to stockholders | (285,703) | (127,800) | |
Net cash provided by financing activities | 31,236,229 | 106,508 | |
Net (decrease) increase in cash and cash equivalents | (6,609,466) | 89,707 | |
Cash and cash equivalentsbeginning of period | 9,184,270 | 88,806 | |
Cash and cash equivalentsend of period | 2,574,804 | 178,513 | |
Supplemental cash flow information: | |||
Cash payments for interest | 1,034,945 | 690,575 | |
Noncash financing and investing activities: | |||
Conversion of convertible debenture due to majority stockholder to shares of common stock | 15,000,000 | 0 | |
Accrued deferred initial public offering costs | $ 1,152,543 | $ 0 | |
[1] | Sum equals amortization expense incurred on the debt discount for the six months ended June 30, 2016 of $152,845. | ||
[2] | Funds loaned by the Company to a related party for their general use, which represents a cash flow investing activity. |
Organization
Organization | 6 Months Ended |
Jun. 30, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block] | Note 1 Organization Global Medical REIT Inc. (the “Company”) is a Maryland corporation engaged primarily in the acquisition of licensed, state-of-the-art, purpose-built healthcare facilities and the leasing of these facilities to leading clinical operators with dominant market share. The Company is externally managed and advised by Inter-American Management, LLC (the “Advisor”). The Company has nine wholly owned Delaware limited liability company subsidiaries that were formed solely to own the Company’s facilities. These wholly owned subsidiaries as of June 30, 2016 are as follows: GMR Reading, LLC; GMR Melbourne, LLC; GMR Westland, LLC; GMR Plano, LLC; GMR Memphis Exeter, LLC; GMR Memphis, LLC; GMR Pittsburgh, LLC; GMR Asheville, LLC, and GMR Omaha, LLC. On March 14, 2016, the Company and its wholly owned subsidiary, Global Medical REIT GP LLC, a Delaware limited liability company (the “GP”), entered into an Agreement of Limited Partnership pursuant to which the Company serves as the initial limited partner, and the GP serves as the sole general partner, of the Company’s operating partnership, Global Medical REIT L.P., a Delaware limited partnership (the “Operating Partnership”). The Company has contributed all of its healthcare facilities to the Operating Partnership in exchange for common units of limited partnership in the Operating Partnership and intends to conduct all future acquisition activity and operations through the Operating Partnership. The Company was acquired in June 2015 by ZH International Holdings Limited , a Hong Kong listed company that is engaged in real estate development, investments, management and sales, hospitality management and investments and management. ZH International Holdings Limited owns ZH USA, LLC, the Company’s majority stockholder. As of June 30, 2016, 1,425,481 99.9 On June 13, 2016, in anticipation of the Company’s initial public offering, the board of directors of the Company approved an amendment and restatement of the Company’s Amended and Restated Bylaws (as amended and restated, the “Bylaws”), effective on that date. The following is a summary of the amendments to the Bylaws. In addition to the amendments described below, the Bylaws include certain changes to clarify language and consistency with Maryland law and the listing requirements of the New York Stock Exchange and to make various technical revisions and non-substantive changes. The Bylaws were amended to provide for the following matters, among others: (a) Procedures for calling and holding special stockholders’ meetings; (b) Procedures for notice, organization and conduct of stockholders’ meetings; (c) Advance notice provisions for stockholder nominations for director and stockholder business proposals; (d) Clarification that the Company’s election to become subject to Section 3-804(c) of the Maryland General Corporation Law has already become effective; (e) Procedures for calling a meeting of the Board in the event of an emergency; (f) Procedures for Board committees to fill vacancies, appoint committee chairs and delegate powers; (g) The adjournment or postponement of a shareholder meeting to a date not more than 120 days after the original record date, without the need to set a new record date; and (h) Litigation regarding internal actions be brought in the Circuit Court for Baltimore City, Maryland (or, if that court does not have jurisdiction, the United States District Court for the District of Maryland, Baltimore Division). On June 28, 2016, the Company, the Advisor, and Global Medical REIT L.P. entered into an Underwriting Agreement with Wunderlich Securities, Inc., as representative of the several underwriters named therein, relating to the offer and sale of the Company’s common stock in its initial public offering. As disclosed in Note 10, “Subsequent Events,” on July 1, 2016, the Company closed its initial public offering and issued 13,043,479 10.00 130,434,790 9,661,160 120,773,630 1,956,521 10.00 19,565,210 1,369,565 18,195,645 1,581,259 15,000,000 In connection with the Company’s initial public offering, the Company’s common stock was listed on the New York Stock Exchange under the ticker symbol “GMRE.” |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2016 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies [Text Block] | Note 2 Summary of Significant Accounting Policies The accompanying financial statements are unaudited and include the accounts of the Company and its wholly owned subsidiaries. The accompanying financial statements have been prepared in accordance with accounting policies generally accepted in the United States of America (“GAAP”) and the rules and regulations of the United States Securities and Exchange Commission (“SEC”). Certain information and footnote disclosures required for annual financial statements have been condensed or excluded pursuant to SEC rules and regulations. Accordingly, the accompanying financial statements do not include all of the information and footnotes required by GAAP for complete financial statements and should be read in conjunction with the audited financial statements and notes thereto for the fiscal year ended December 31, 2015. In the opinion of management, all adjustments of a normal and recurring nature necessary for a fair presentation of the financial statements for the interim periods have been made. The accompanying consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. All material intercompany balances and transactions between the Company and its subsidiaries have been eliminated. See Note 1 “Organization” for the names of the Company’s wholly owned subsidiaries. Restricted cash represents cash required by a third party lender to be held by the Company as a reserve for debt service and a security deposit received from one of the Company’s tenants. The restricted cash balance as of June 30, 2016 and December 31, 2015 was $ 977,578 447,627 529,951 319,499 210,452 Escrow deposits include funds held in escrow to be used for the acquisition of future properties as well as for the payment of taxes, insurance, and other amounts as stipulated by the Company’s third party loan agreements. The escrow balance as of June 30, 2016 and December 31, 2015 was $ 945,162 454,310 490,852 835,162 344,310 The deferred asset balance of $ 1,735,973 154,714 1,581,259 23,295 131,419 70,351 1,510,908 358,365 1,152,543 The security deposit liability as of June 30, 2016 represents funds deposited by the Plano facility at the inception of its lease. See Note 3 “Property Portfolio” for additional information regarding the Plano facility acquisition. |
Property Portfolio
Property Portfolio | 6 Months Ended |
Jun. 30, 2016 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment Disclosure [Text Block] | Note 3 Property Portfolio Properties Acquired During the Six Months Ended June 30, 2016 During the six months ended June 30, 2016, the Company acquired three facilities, a description of each is as follows. As disclosed in Note 10 - “Subsequent Events,” the Company closed on the acquisition of a property subsequent to June 30, 2016. Plano Facility On January 28, 2016, the Company closed on an asset purchase agreement with an unrelated party Star Medreal, LLC, a Texas limited liability company, to acquire an approximately 24,000 17.5 17.7 500,000 2.75 6,400 Also on January 28, 2016, the Company entered into a Promissory Note and Deed of Trust with East West Bank to borrow a total of $ 9,223,500 53,280 50,000 46,118 0.50 65,576 9,223,500 53,280 Additional funding for this transaction was received from the Company’s majority stockholder during the year ended December 31, 2015 in the amount of $ 9,369,310 9,025,000 344,310 9,369,310 12.748 Melbourne Facility On March 31, 2016, the Company closed on a purchase agreement to acquire a 78,000 15.45 15.5 1.9 The Melbourne facility acquisition was financed in full using proceeds from the third party Cantor Loan, which is disclosed in Note 4 “Notes Payable Related to Acquisitions.” The Melbourne facility’s obligations under the lease with Marina Towers, LLC are fully guaranteed by its parent company, First Choice Healthcare Solutions, Inc. (OTCMKTS: FCHS). Information about First Choice Healthcare Solutions, Inc., including its audited historical financial statements, can be obtained from its Annual Report on Form 10-K and other reports and filings available on its website at http://www.myfchs.com/ or on the SEC website at www.sec.gov. Westland Facility On March 31, 2016, the Company closed on a purchase agreement to acquire a two-story medical office building and ambulatory surgery center located in Westland, Michigan for an aggregate purchase price of $ 4.75 4.8 15,018 1.3 The Westland facility acquisition was financed in full using proceeds from the third party Cantor Loan, which is disclosed in Note 4 “Notes Payable Related to Acquisitions.” Land Building & Improvements Gross Investment Balances as of January 1, 2016 $ 4,563,852 $ 51,574,271 $ 56,138,123 Acquisitions: Plano Facility 1,050,000 16,696,139 17,746,139 Melbourne Facility 1,200,000 14,250,000 15,450,000 Westland Facility 230,000 4,520,000 4,750,000 Total Additions: 2,480,000 35,466,139 37,946,139 Balances as of June 30, 2016 $ 7,043,852 $ 87,040,410 $ 94,084,262 Depreciation expense was $ 544,002 942,832 141,007 293,343 Summary of Properties in the Company’s Existing Portfolio as of December 31, 2015 Tennessee Facilities On December 31, 2015, the Company acquired a six building, 52,266 20.0 20.2 1.75 20,900,000 West Mifflin Facility On September 25, 2015, the Company acquired a combined approximately 27,193 11.35 11.6 2 7,377,500 4,545,838 Asheville Facility On September 19, 2014, the Company acquired an approximately 8,840 2.5 1.7 Omaha Facility On June 5, 2014, the Company completed the acquisition of a 56-bed long term acute care hospital located at 1870 S. 75 th 21.7 21.9 60 60 15.06 The Omaha facility’s obligations under the sublease with Select Specialty Hospital Omaha, Inc. are fully guaranteed by its parent company, Select Medical Corporation (NYSE: SEM). Information about Select Medical Corporation, including its audited historical financial statements, can be obtained from its Annual Report on Form 10-K and other reports and filings available on its website at http://www.selectmedical.com/ or on the SEC website at www.sec.gov. |
Notes Payable Related to Acquis
Notes Payable Related to Acquisitions | 6 Months Ended |
Jun. 30, 2016 | |
Debt Disclosure [Abstract] | |
Debt Disclosure [Text Block] | Note 4 Notes Payable Related to Acquisitions Summary of Notes Payable Related to Acquisitions, Net of Debt Discount Effective for the fiscal year ended December 31, 2015, the Company early adopted the provisions of Accounting Standards Update 2015-03 entitled “Simplifying the Presentation of Debt Issuance Costs” (“ASU 2015-03”), which requires retrospective application. The adoption of ASU 2015-03 represents a change in accounting principle. June 30, 2016 December 31, 2015 Notes payable related to acquisitions, gross $ 55,698,783 $ 23,788,065 Less: Unamortized debt discount (1,240,126) (302,892) Notes payable related to acquisitions, net $ 54,458,657 $ 23,485,173 The Company incurred financing costs related to the Cantor, Plano, West Mifflin, Asheville, and Omaha loans that are treated as debt discounts. Balance as of January 1, 2016, net $ 302,892 Additions Plano and Cantor financings 1,090,079 Write-off of Plano financing costs (a) (b) (53,280) Debt discount amortization expense (b) (99,565) Balance as of June 30, 2016, net $ 1,240,126 (a) As disclosed in Note 3 “Property Portfolio,” the Plano loan was refinanced with proceeds from the Cantor loan (discussed below) and accordingly the Plano related deferred financing costs were written off during the six months ended June 30, 2016 into the “Interest Expense” line item in the accompanying Consolidated Statements of Operations. (b) Sum equals amortization expense incurred on the debt discount for the six months ended June 30, 2016 of $ 152,845 Amortization expense of $ 62,604 152,845 29,796 59,593 Cantor Loan On March 31, 2016, through certain of the Company’s subsidiaries, the Company entered into a $ 32,097,400 9,223,500 The Cantor Loan has a maturity date of April 6, 2026 5.22 Prepayment can only occur within four months prior to the maturity date, except that after the earlier of (a) 2 years after the loan is placed in a securitized mortgage pool, or (ii) May 6, 2020, the Cantor Loan can be fully and partially defeased upon payment of amounts due under the Cantor Loan and payment of a defeasance amount that is sufficient to purchase U.S. government securities equal to the scheduled payments of principal, interest, fees, and any other amounts due related to a full or partial defeasance under the Cantor Loan. The Company is securing the payment of the Cantor Loan with the assets, including property, facilities, and rents, held by the GMR Loan Subsidiaries and has agreed to guarantee certain customary recourse obligations, including findings of fraud, gross negligence, or breach of environmental covenants by GMR Loan Subsidiaries. The GMR Loan Subsidiaries will be required to maintain a monthly debt service coverage ratio of 1.35:1.00 for all of the collateral properties in the aggregate. No principal payments were made for the six months ended June 30, 2016. The note balance as of June 30, 2016 was $ 32,097,400 nterest expense incurred on this note was $ 423,525 2016 $ - 2017 - 2018 - 2019 - 2020 - Thereafter 32,097,400 Total $ 32,097,400 West Mifflin Note Payable In order to finance a portion of the purchase price for the West Mifflin facility, on September 25, 2015 the Company entered into a Term Loan and Security Agreement with Capital One to borrow $ 7,377,500 3.72 September 25, 2020 7,377,500 Interest expense incurred on this note was $ 70,136 139,509 2016 $ - 2017 - 2018 22,044 2019 136,007 2020 7,219,449 Total $ 7,377,500 Asheville Note Payable In order to finance a portion of the purchase price of the Asheville facility, on September 15, 2014 the Company entered into a Promissory Note with the Bank of North Carolina to borrow $ 1,700,000 4.75 th th 26,046 37,899 December 31, 2015 1,636,055 1,662,101 Interest expense on this note was $ 19,958 39,868 20,480 40,668 2016 $ 26,673 2017 1,609,382 Total $ 1,636,055 Omaha Note Payable In order to finance a portion of the purchase price for the Omaha facility, on June 5, 2014 the Company entered into a Term Loan and Security Agreement with Capital One, National Association to borrower $ 15,060,000 4.91 June 5, 2017 301,200 160,636 311,536 14,587,828 14,748,464 Interest expense on this note was $ 183,717 366,467 121,945 308,573 As of June 30, 2016, scheduled principal payments due for each fiscal year ended December 31 are listed below as follows: 2016 $ 164,687 2017 14,423,141 Total $ 14,587,828 As discussed in Note 10 - “Subsequent Events,” this note was paid in full on July 11, 2016 in connection with the closing of the Company’s initial public offering. The total amount repaid was $ 14,922,428 14,587,828 334,600 |
Stockholders' Equity
Stockholders' Equity | 6 Months Ended |
Jun. 30, 2016 | |
Stockholders' Equity Note [Abstract] | |
Stockholders' Equity Note Disclosure [Text Block] | Note 5 Stockholders’ Equity Preferred Stock The Company’s charter authorizes the issuance of 10,000,000 0.001 Common Stock The Company has 500,000,000 0.001 1,426,656 250,000 As disclosed in Note 10, “Subsequent Events,” on July 1, 2016, the Company closed its initial public offering and issued 13,043,479 10.00 130,434,790 9,661,160 120,773,630 1,956,521 10.00 19,565,210 1,369,565 18,195,645 1,581,259 15,000,000 In order to help us qualify as a REIT, among other purposes, our charter, subject to certain exceptions, restricts the number of shares of our common stock that a person may beneficially or constructively own. Our charter provides that, subject to certain exceptions, no person may beneficially or constructively own more than 9.8%, in value or in number of shares, whichever is more restrictive, of the outstanding shares of any class or series of our capital stock. On June 27, 2016, our board of directors approved a waiver of the 9.8% ownership limit in our charter allowing ZH USA, LLC to own up to 16.9% of our outstanding shares of common stock. On March 2, 2016, ZH USA, LLC converted $ 15,000,000 1,176,656 Pursuant to a previously declared dividend approved by the Board of Directors of the Company and in compliance with applicable provisions of the Maryland General Corporation Law, the Company has paid a monthly dividend of $ 0.0852 285,703 127,800 |
Related Party Transactions
Related Party Transactions | 6 Months Ended |
Jun. 30, 2016 | |
Related Party Transactions [Abstract] | |
Related Party Transactions Disclosure [Text Block] | Note 6 Related Party Transactions Allocated General and Administrative Expenses In the future, the Company may receive an allocation of general and administrative expenses from the Advisor that are either clearly applicable to or were reasonably allocated to the operations of the properties. There were no allocated general and administrative expenses from the Advisor for the three months ended June 30, 2016 or the twelve months ended December 31, 2015. Convertible Debenture, due to Majority Stockholder The Company has received funds from its majority stockholder ZH USA, LLC in the form of convertible interest bearing notes ( 8 “Convertible debenture, due to majority stockholder” on the accompanying Consolidated Balance Sheets. The Company may prepay the note at any time, in whole or in part. ZH USA, LLC may elect to convert all or a portion of the outstanding principal amount of the note into shares of common stock in an amount equal to the principal amount of the note, together with accrued but unpaid interest, divided by $ 12.748 Balance as of January 1, 2016 $ 40,030,134 Conversion of convertible debenture to common shares (a) (15,000,000) Balance as of June 30, 2016 $ 25,030,134 (a) As disclosed in Note 5 “Stockholders’ Equity” on March 2, 2016, ZH USA, LLC converted $ 15,000,000 1,176,656 Interest expense on the convertible debenture was $ 498,206 1,197,985 108,625 216,054 On June 15, 2016, in anticipation of its initial public offering, the Company entered into a Pay-Off Letter and Conversion Agreement (the “Pay-Off Letter and Conversion Agreement”) with the Company’s majority stockholder with regards to the Convertible Debentures loaned to the Company having an aggregate current principal amount outstanding of $ 25,030,134 15,030,134 1,179,019 12.748 10,000,000 1,716,811 11,716,811 The Company analyzed the conversion option in the convertible debenture for derivative accounting treatment under ASC Topic 815, “Derivatives and Hedging,” and determined that the instrument does not qualify for derivative accounting. The Company performed an analysis in accordance with ASC Topic 470-20, “Debt with Conversion and Other Options,” to determine if the conversion option was subject to a beneficial conversion feature and determined that the instrument does not have a beneficial conversion feature. Note Payable to Majority Stockholder The Company has received funds from its majority stockholder ZH USA, LLC in the form of a non-interest bearing due on demand note payable, which is classified as “Note payable to majority stockholder” on the accompanying Consolidated Balance Sheets. Balance as of January 1, 2016 $ 421,000 Proceeds received from majority stockholder - Repayments of note payable - Balance as of June 30, 2016 $ 421,000 Note Payable to Related Party During the six months ended June 30, 2016, the Company received total funds in the amount of $ 450,000 4 4,500 6,134 Majority Stockholder Loan On June 7, 2016, the Company received an interest free loan from ZH USA, LLC in the principal amount of $ 1.5 July 8, 2016 Due to Related Parties, Net Due from Advisor Due to Advisor Mgmt. Fees Due to Advisor Other Funds Due (to) from Other Related Party Total Due (To) From Related Parties, Net Balance as of January 1, 2016 $ 178,111 (630,000) (240,280) (155,000) (847,169) Management fees due to Advisor (a) - (30,000) - - (30,000) Funds loaned by Advisor (b) - - (152,894) - (152,894) Funds loaned to Other Related Party (c) - - - 39,040 39,040 Funds loaned by Other Related Party (b) - - - (2,378) (2,378) Funds loaned by ZH USA, LLC (b) - - - (1,500,000) (1,500,000) Balance as of June 30, 2016 $ 178,111 (660,000) (393,174) (1,618,338) (2,493,401) (a) Consists of $ 180,000 (b) Represents a total of $ 1,655,272 1,500,000 (c) Funds loaned by the Company to a related party for their general use, which represents a cash flow investing activity. Management Agreement On November 10, 2014, the Company entered into a Management Agreement, with an effective date of April 1, 2014, with the “Advisor,” a Delaware limited liability company and an affiliate of the Company. 2.0 30,000 90,000 180,000 90,000 180,000 150,000 660,000 630,000 754,000 Upon completion of the Company’s initial public offering on July 1, 2016, the Company’s amended and restated management agreement, which was approved by the Company’s board of directors on June 13, 2016, became effective. Refer to Note 10 “Subsequent Events,” for details regarding the amended and restated management agreement. |
Rental Revenue
Rental Revenue | 6 Months Ended |
Jun. 30, 2016 | |
Leases [Abstract] | |
Operating Leases of Lessor Disclosure [Text Block] | Note 7 Rental Revenue 2016 $ 3,360,257 2017 6,711,661 2018 6,814,579 2019 6,967,091 2020 7,103,838 Thereafter 62,948,013 Total $ 93,905,439 For the three months ended June 30, 2016, the Omaha facility constituted approximately 23% of the Company’s rental revenue, the Tennessee facilities constituted approximately 20% of rental revenue, the Plano facility constituted approximately 18% of rental revenue, the Pittsburgh facility constituted approximately 12% of rental revenue, the Melbourne facility constituted approximately 17% of rental revenue. The Asheville and Westland facilities constituted approximately 4% and 6% of rental revenue, respectively. For the six months ended June 30, 2016, the Omaha facility constituted approximately 28% of the Company’s rental revenue, the Tennessee facilities constituted approximately 23% of rental revenue, the Plano facility constituted approximately 18% of rental revenue, the Pittsburgh facility constituted approximately 14% of rental revenue, the Melbourne facility constituted approximately 10% of rental revenue. The Asheville and Westland facilities constituted approximately 4% and 3% of rental revenue, respectively. For the three and six months ended June 30, 2015, the Omaha facility constituted approximately 88% of the Company’s rental revenue and the Asheville facility constituted approximately 12% of rental revenue. |
Omaha Land Lease Rent Expense
Omaha Land Lease Rent Expense | 6 Months Ended |
Jun. 30, 2016 | |
Leases [Abstract] | |
Leases of Lessee Disclosure [Text Block] | Note 8 Omaha Land Lease Rent Expense The Omaha facility land lease initially was to expire in 2023 with options to renew up to 60 2033 12.5 18,154 36,308 14,970 14,970 2016 $ 29,939 2017 59,877 2018 63,619 2019 67,362 2020 67,362 Thereafter 973,586 Total $ 1,261,745 |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies Disclosure [Text Block] | Note 9 - Commitments and Contingencies Litigation The Company is not presently subject to any material litigation nor, to its knowledge, is any material litigation threatened against the Company, which if determined unfavorably to the Company, would have a material adverse effect on the Company’s financial position, results of operations, or cash flows. Environmental Matters The Company follows a policy of monitoring its properties for the presence of hazardous or toxic substances. While there can be no assurance that a material environmental liability does not exist at its properties, the Company is not currently aware of any environmental liability with respect to its properties that would have a material effect on its financial position, results of operations, or cash flows. Additionally, the Company is not aware of any material environmental liability or any unasserted claim or assessment with respect to an environmental liability that management believes would require additional disclosure or the recording of a loss contingency. |
Subsequent Events
Subsequent Events | 6 Months Ended |
Jun. 30, 2016 | |
Subsequent Events [Abstract] | |
Subsequent Events [Text Block] | Note 10 Subsequent Events Initial Public Offering On June 28, 2016, the Company, the Advisor, and Global Medical REIT L.P. entered into an Underwriting Agreement with Wunderlich Securities, Inc., as representative of the several underwriters named therein, relating to the offer and sale of the Company’s common stock in its initial public offering. On July 1, 2016, the Company closed its initial public offering and issued 13,043,479 10.00 130,434,790 9,661,160 120,773,630 1,956,521 10.00 19,565,210 1,369,565 18,195,645 1,581,259 15,000,000 In connection with the Company’s initial public offering, the Company’s common stock was listed on the New York Stock Exchange under the ticker symbol “GMRE.” Use of Proceeds: · approximately $ 14.9 14.6 0.3 4.9 · $ 10.0 8.0 · approximately $ 9.2 · $ 1.5 · the remaining approximately $ 84.2 The Company has invested the unexpended net proceeds of the offering in interest-bearing accounts, money market accounts and interest-bearing securities in a manner that is consistent with our intention to qualify for taxation as a REIT. Amended Management Agreement Upon completion of the Company’s initial public offering on July 1, 2016, the Company’s amended and restated management agreement became effective. Terms of the amended and restated management agreement are as follows: Term and Termination The initial term of the amended and restated management agreement will expire on the third anniversary of the closing date of the initial public offering and will automatically renew for an unlimited number of successive one year periods thereafter, unless the agreement is not renewed or is terminated in accordance with its terms. If the Company’s board of directors decides to terminate or not renew the amended and restated management agreement, the Company will generally be required to pay the advisor a termination fee equal to three times the sum of the average annual base management fee and the average annual incentive compensation with respect to the previous eight fiscal quarters ending on the last day of the fiscal quarter prior to termination. Subsequent to the initial term, the Company may terminate the management agreement only under certain circumstances. Base Management Fee The Company will pay its advisor a base management fee in an amount equal to: 1.5 For purposes of calculating the base management fee, the Company’s stockholders’ equity means: (a) the sum of (1) the Company stockholders’ equity as of March 31, 2016, (2) the aggregate amount of the conversion price (including interest) for the conversion of the Company’s outstanding convertible debentures into common stock and OP units upon completion of the initial public offering, and (3) the net proceeds from (or equity value assigned to) all issuances of equity and equity equivalent securities (including common stock, common stock equivalents, preferred stock, LTIP units and OP units issued by the Company or the Operating Partnership) in the initial public offering, or in any subsequent offering (allocated on a pro rata daily basis for such issuances during the fiscal quarter of any such issuance), less (b) any amount that the Company pays to repurchase shares of its common stock or equity securities of the OP. Stockholders’ equity also excludes (1) any unrealized gains and losses and other non-cash items (including depreciation and amortization) that have impacted stockholders’ equity as reported in the Company’s financial statements prepared in accordance with GAAP, and (2) one-time events pursuant to changes in GAAP, and certain non-cash items not otherwise described above, in each case after discussions between the Company’s advisor and its independent directors and approval by a majority of the Company’s independent directors. As a result, the Company’s stockholders’ equity, for purposes of calculating the base management fee, could be greater or less than the amount of stockholders’ equity shown on its financial statements. The base management fee of the advisor shall be calculated within 30 days after the end of each quarter and such calculation shall be promptly delivered to the Company. The Company is obligated to pay the quarterly installment of the base management fee calculated for that quarter in cash within five business days after delivery to the Company of the written statement of the advisor setting forth the computation of the base management fee for such quarter. Incentive Compensation Fee The Company will pay its advisor an incentive fee with respect to each calendar quarter (or part thereof that the management agreement is in effect) in arrears. The incentive fee will be an amount, not less than zero, equal to the difference between (1) the product of (x) 20 8 AFFO is calculated by adjusting the Company’s funds from operations, or FFO, by adding back acquisition and disposition costs, stock based compensation expenses, amortization of deferred financing costs and any other non-recurring or non-cash expenses, which are costs that do not relate to the operating performance of the Company’s properties, and subtracting loss on extinguishment of debt, straight line rent adjustment, recurring tenant improvements, recurring leasing commissions and recurring capital expenditures. 2016 Equity Incentive Plan Prior to the completion of the initial public offering on July 1, 2016, our board of directors approved and adopted the 2016 Equity Incentive Plan. The purposes of the 2016 Equity Incentive Plan is to attract and retain qualified persons upon whom, in large measure, our sustained progress, growth and profitability depend, to motivate the participants to achieve long-term company goals and to more closely align the participants’ interests with those of our other stockholders by providing them with a proprietary interest in our growth and performance. Our executive officers, employees, employees of our advisor and its affiliates, consultants and non-employee directors are eligible to participate in the 2016 Equity Incentive Plan. Under the 2016 Equity Incentive Plan, a number of shares of our common stock equal to 7 7 358,250 874,147 7 Shares subject to awards under the 2016 Equity Incentive Plan that are forfeited, cancelled, lapsed, settled in cash or otherwise expired (excluding shares withheld to satisfy exercise prices or tax withholding obligations) will again be available for awards under the 2016 Equity Incentive Plan. The 2016 Equity Incentive Plan is administered by our compensation committee, which will interpret the 2016 Equity Incentive Plan and have broad discretion to select the eligible persons to whom awards will be granted, as well as the type, size and terms and conditions of each award, including the exercise price of options, the number of shares subject to awards and the expiration date of, and the vesting schedule or other restrictions (including, without limitation, restrictive covenants) applicable to, awards. The 2016 Equity Incentive Plan allows us to grant the following types of awards: · options, including non-qualified options and incentive stock options; · stock appreciation rights, or SARs; · stock awards, including restricted stock and unrestricted stock; · restricted stock units; · other equity-based awards, including LTIP units; · incentive awards; · substitute awards; and performance awards. Pay-Off Letter and Conversion Agreement On June 15, 2016, in anticipation of its initial public offering, the Company entered into a Pay-Off Letter and Conversion Agreement (the “Pay-Off Letter and Conversion Agreement”) with the Company’s majority stockholder with regards to the Convertible Debentures issued by the Company having an aggregate principal amount outstanding of $ 25,030,134 15,030,134 1,179,019 12.748 10,000,000 1,716,811 11,716,811 Property Acquisition On July 20, 2016, the Company acquired a 17,000 6,500 9.2 The Eye Center will be leased back to Berks Eye Physicians & Surgeons, Ltd., a Pennsylvania professional corporation (the “Eye Center Tenant”) and the Surgery Center will be leased back to Ridgewood Surgery Associates LLC, a Pennsylvania limited liability company (the “Surgery Center Tenant”). Both leases will be 10-year absolute triple-net lease agreements that expire in 2026 and will be cross defaulted. Both leases also provide for two consecutive five-year extensions at the option of the tenants. The Eye Center lease will be guaranteed by the Surgery Center Tenant and the Surgery Center lease will be guaranteed by the Eye Center Tenant, each pursuant to a written guaranty. Under the Agreement, the Company has the right to, and intends to, designate one or more subsidiaries of the Company’s Operating Partnership, to purchase the Facilities and lease them back to the tenant-operators. The acquisition was funded using a portion of the proceeds from the Company’s initial public offering. |
Summary of Significant Accoun16
Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2016 | |
Accounting Policies [Abstract] | |
Basis of Presentation and Significant Accounting Policies [Text Block] | Basis of presentation The accompanying financial statements are unaudited and include the accounts of the Company and its wholly owned subsidiaries. The accompanying financial statements have been prepared in accordance with accounting policies generally accepted in the United States of America (“GAAP”) and the rules and regulations of the United States Securities and Exchange Commission (“SEC”). Certain information and footnote disclosures required for annual financial statements have been condensed or excluded pursuant to SEC rules and regulations. Accordingly, the accompanying financial statements do not include all of the information and footnotes required by GAAP for complete financial statements and should be read in conjunction with the audited financial statements and notes thereto for the fiscal year ended December 31, 2015. In the opinion of management, all adjustments of a normal and recurring nature necessary for a fair presentation of the financial statements for the interim periods have been made. |
Consolidation, Policy [Policy Text Block] | Consolidation Policy The accompanying consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. All material intercompany balances and transactions between the Company and its subsidiaries have been eliminated. See Note 1 “Organization” for the names of the Company’s wholly owned subsidiaries. |
Cash and Cash Equivalents, Restricted Cash and Cash Equivalents, Policy [Policy Text Block] | Restricted Cash Restricted cash represents cash required by a third party lender to be held by the Company as a reserve for debt service and a security deposit received from one of the Company’s tenants. The restricted cash balance as of June 30, 2016 and December 31, 2015 was $ 977,578 447,627 529,951 319,499 210,452 |
Escrow Deposits Policy [Policy Text Block] | Escrow Deposits Escrow deposits include funds held in escrow to be used for the acquisition of future properties as well as for the payment of taxes, insurance, and other amounts as stipulated by the Company’s third party loan agreements. The escrow balance as of June 30, 2016 and December 31, 2015 was $ 945,162 454,310 490,852 835,162 344,310 |
Deferred Charges, Policy [Policy Text Block] | Deferred Assets The deferred asset balance of $ 1,735,973 154,714 1,581,259 23,295 131,419 70,351 1,510,908 358,365 1,152,543 |
Security Deposit Liability [Policy Text Block] | Security Deposit Liability The security deposit liability as of June 30, 2016 represents funds deposited by the Plano facility at the inception of its lease. See Note 3 “Property Portfolio” for additional information regarding the Plano facility acquisition. |
Property Portfolio (Tables)
Property Portfolio (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment [Table Text Block] | A rollforward of the gross investment in land, building and improvements as of June 30, 2016 resulting from the addition of the three properties is as follows: Land Building & Improvements Gross Investment Balances as of January 1, 2016 $ 4,563,852 $ 51,574,271 $ 56,138,123 Acquisitions: Plano Facility 1,050,000 16,696,139 17,746,139 Melbourne Facility 1,200,000 14,250,000 15,450,000 Westland Facility 230,000 4,520,000 4,750,000 Total Additions: 2,480,000 35,466,139 37,946,139 Balances as of June 30, 2016 $ 7,043,852 $ 87,040,410 $ 94,084,262 |
Notes Payable Related to Acqu18
Notes Payable Related to Acquisitions (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Debt Instrument [Line Items] | |
Schedule of New Accounting Pronouncements and Changes in Accounting Principles [Table Text Block] | A detail of the impact of adopting ASU 2015-03 on the Company’s Notes Payable Related to Acquisitions, net of unamortized discount balances, as of June 30, 2016 and December 31, 2015, is as follows: June 30, 2016 December 31, 2015 Notes payable related to acquisitions, gross $ 55,698,783 $ 23,788,065 Less: Unamortized debt discount (1,240,126) (302,892) Notes payable related to acquisitions, net $ 54,458,657 $ 23,485,173 |
Schedule of Debt [Table Text Block] | A rollforward of the unamortized debt discount balance as of June 30, 2016 is as follows: Balance as of January 1, 2016, net $ 302,892 Additions Plano and Cantor financings 1,090,079 Write-off of Plano financing costs (a) (b) (53,280) Debt discount amortization expense (b) (99,565) Balance as of June 30, 2016, net $ 1,240,126 (a) As disclosed in Note 3 “Property Portfolio,” the Plano loan was refinanced with proceeds from the Cantor loan (discussed below) and accordingly the Plano related deferred financing costs were written off during the six months ended June 30, 2016 into the “Interest Expense” line item in the accompanying Consolidated Statements of Operations. (b) Sum equals amortization expense incurred on the debt discount for the six months ended June 30, 2016 of $ 152,845 |
Cantor Loan [Member] | |
Debt Instrument [Line Items] | |
Schedule of Maturities of Long-term Debt [Table Text Block] | As of June 30, 2016, scheduled principal payments due for each fiscal year ended December 31 are listed below as follows: 2016 $ - 2017 - 2018 - 2019 - 2020 - Thereafter 32,097,400 Total $ 32,097,400 |
West Mifflin Note Payable [Member] | |
Debt Instrument [Line Items] | |
Schedule of Maturities of Long-term Debt [Table Text Block] | As 2016 $ - 2017 - 2018 22,044 2019 136,007 2020 7,219,449 Total $ 7,377,500 |
Asheville Note Payable [Member] | |
Debt Instrument [Line Items] | |
Schedule of Maturities of Long-term Debt [Table Text Block] | As of June 30, 2016, scheduled principal payments due for each fiscal year ended December 31 are listed below as follows: 2016 $ 26,673 2017 1,609,382 Total $ 1,636,055 |
Omaha Note Payable [Member] | |
Debt Instrument [Line Items] | |
Schedule of Maturities of Long-term Debt [Table Text Block] | As of June 30, 2016, scheduled principal payments due for each fiscal year ended December 31 are listed below as follows: 2016 $ 164,687 2017 14,423,141 Total $ 14,587,828 |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Related Party Transactions [Abstract] | |
Convertible Debt [Table Text Block] | A rollforward of the funding from ZH USA, LLC classified as convertible debenture, due to majority stockholder as of June 30, 2016 is as follows: Balance as of January 1, 2016 $ 40,030,134 Conversion of convertible debenture to common shares (a) (15,000,000) Balance as of June 30, 2016 $ 25,030,134 (a) As disclosed in Note 5 “Stockholders’ Equity” on March 2, 2016, ZH USA, LLC converted $ 15,000,000 1,176,656 |
Schedule of Funding from Majority Stockholder [Table Text Block] | A rollforward of the funding from the majority stockholder as of June 30, 2016 is as follows: Balance as of January 1, 2016 $ 421,000 Proceeds received from majority stockholder - Repayments of note payable - Balance as of June 30, 2016 $ 421,000 |
Schedule of Related Party Transactions [Table Text Block] | A rollforward of the due (to) from related parties balance, net as of June 30, 2016 is as follows: Due from Advisor Due to Advisor Mgmt. Fees Due to Advisor Other Funds Due (to) from Other Related Party Total Due (To) From Related Parties, Net Balance as of January 1, 2016 $ 178,111 (630,000) (240,280) (155,000) (847,169) Management fees due to Advisor (a) - (30,000) - - (30,000) Funds loaned by Advisor (b) - - (152,894) - (152,894) Funds loaned to Other Related Party (c) - - - 39,040 39,040 Funds loaned by Other Related Party (b) - - - (2,378) (2,378) Funds loaned by ZH USA, LLC (b) - - - (1,500,000) (1,500,000) Balance as of June 30, 2016 $ 178,111 (660,000) (393,174) (1,618,338) (2,493,401) (a) Consists of $ 180,000 (b) Represents a total of $ 1,655,272 1,500,000 (c) Funds loaned by the Company to a related party for their general use, which represents a cash flow investing activity. |
Rental Revenue (Tables)
Rental Revenue (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Leases [Abstract] | |
Schedule of Future Lease Payments Receivables [Table Text Block] | The aggregate annual minimum cash to be received by the Company on the noncancelable operating leases related to its portfolio of facilities in effect as of June 30, 2016, are as follows for the subsequent years ended December 31; as listed below. 2016 $ 3,360,257 2017 6,711,661 2018 6,814,579 2019 6,967,091 2020 7,103,838 Thereafter 62,948,013 Total $ 93,905,439 |
Omaha Land Lease Rent Expense (
Omaha Land Lease Rent Expense (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Leases [Abstract] | |
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block] | The aggregate minimum cash payments to be made by the Company on the non-cancelable Omaha facility related land lease in effect as of June 30, 2016, are as follows for the subsequent years ended December 31; as listed below. 2016 $ 29,939 2017 59,877 2018 63,619 2019 67,362 2020 67,362 Thereafter 973,586 Total $ 1,261,745 |
Organization (Details)
Organization (Details) - USD ($) | 1 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2016 | Jun. 30, 2015 | Dec. 31, 2015 | |
ZH USA, LLC owns an aggregate of Company's outstanding common stock | 1,426,656 | 1,426,656 | 250,000 | |
Stock Issued During Period, Shares, New Issues | 15,000,000 | |||
Payments of Stock Issuance Costs | $ 1,369,565 | $ 358,365 | $ 0 | |
Llc Owns An Aggregate Of Company Outstanding Common Stock | 1,425,481 | 1,425,481 | ||
Llc Owns An Aggregate Of Company Outstanding Common Stock In Percentage | 99.90% | 99.90% | ||
Noninterest Expense Offering Cost | $ 1,581,259 | |||
IPO [Member] | ||||
Stock Issued During Period, Shares, New Issues | 13,043,479 | |||
Stock Issued During Period, Value, New Issues | $ 130,434,790 | $ 130,434,790 | ||
Proceeds from Issuance Initial Public Offering | $ 120,773,630 | |||
Shares Issued, Price Per Share | $ 10 | $ 10 | ||
Payments of Stock Issuance Costs | $ 9,661,160 | |||
Over-Allotment Option [Member] | ||||
Stock Issued During Period, Shares, New Issues | 1,956,521 | |||
Stock Issued During Period, Value, New Issues | $ 19,565,210 | |||
Proceeds from Issuance Initial Public Offering | $ 18,195,645 | |||
Shares Issued, Price Per Share | $ 10 | $ 10 | ||
Payments of Stock Issuance Costs | $ 1,369,565 | |||
Noninterest Expense Offering Cost | $ 1,581,259 | |||
ZH International Holdings Limited [Member] | ||||
ZH USA, LLC owns an aggregate of Company's outstanding common stock | 1,425,481 | 1,425,481 |
Summary of Significant Accoun23
Summary of Significant Accounting Policies (Details) - USD ($) | 1 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2016 | Jan. 28, 2016 | Jun. 30, 2016 | Jun. 30, 2015 | Dec. 31, 2015 | |
Restricted Cash and Cash Equivalents | $ 977,578 | $ 977,578 | $ 447,627 | ||
Increase in Restricted Cash | 529,951 | ||||
Escrow Deposit | 945,162 | 945,162 | 454,310 | ||
Increase (Decrease) in Escrow Deposits | 490,852 | ||||
Escrow Deposit Disbursements Related to Property Acquisition | 344,310 | ||||
Deferred Costs and Other Assets | 1,735,973 | 1,735,973 | 93,646 | ||
Deferred Rent Receivables, Net | 154,714 | 154,714 | |||
Deferred Offering Costs | 1,581,259 | 1,581,259 | |||
Deferred Rent Asset, Net, Current | 23,295 | ||||
Increase (Decrease) in Prepaid Expense and Other Assets, Total | 131,419 | $ 0 | 131,419 | ||
Deferred Finance Costs, Net | $ 70,351 | ||||
Increase (Decrease) in Deferred Charges | 1,510,908 | ||||
Payments of Stock Issuance Costs | 1,369,565 | 358,365 | $ 0 | ||
Accounts Payable and Accrued Liabilities [Member] | |||||
Deferred Offering Costs | $ 1,152,543 | 1,152,543 | |||
Cantor Loan [Member] | |||||
Increase (Decrease) in Escrow Deposits | $ 835,162 | ||||
Plano Lease [Member] | |||||
Increase in Restricted Cash | $ 319,499 | ||||
West Mifflin and Omaha Facility Loans [Member] | |||||
Increase in Restricted Cash | $ 210,452 |
Property Portfolio (Gross Inves
Property Portfolio (Gross Investment) (Details) | 6 Months Ended |
Jun. 30, 2016USD ($) | |
Property, Plant and Equipment [Line Items] | |
Balances as of January 1, 2016 | $ 56,138,123 |
Property Plant And Equipment Additions [Abstract] | |
Acquisitions | 37,946,139 |
Balances as of June 30, 2016 | 94,084,262 |
Plano Facility [Member] | |
Property Plant And Equipment Additions [Abstract] | |
Acquisitions | 17,746,139 |
Melbourne Facility [Member] | |
Property Plant And Equipment Additions [Abstract] | |
Acquisitions | 15,450,000 |
Westland Facility [Member] | |
Property Plant And Equipment Additions [Abstract] | |
Acquisitions | 4,750,000 |
Land [Member] | |
Property, Plant and Equipment [Line Items] | |
Balances as of January 1, 2016 | 4,563,852 |
Property Plant And Equipment Additions [Abstract] | |
Acquisitions | 2,480,000 |
Balances as of June 30, 2016 | 7,043,852 |
Land [Member] | Plano Facility [Member] | |
Property Plant And Equipment Additions [Abstract] | |
Acquisitions | 1,050,000 |
Land [Member] | Melbourne Facility [Member] | |
Property Plant And Equipment Additions [Abstract] | |
Acquisitions | 1,200,000 |
Land [Member] | Westland Facility [Member] | |
Property Plant And Equipment Additions [Abstract] | |
Acquisitions | 230,000 |
Land, Buildings and Improvements [Member] | |
Property, Plant and Equipment [Line Items] | |
Balances as of January 1, 2016 | 51,574,271 |
Property Plant And Equipment Additions [Abstract] | |
Acquisitions | 35,466,139 |
Balances as of June 30, 2016 | 87,040,410 |
Land, Buildings and Improvements [Member] | Plano Facility [Member] | |
Property Plant And Equipment Additions [Abstract] | |
Acquisitions | 16,696,139 |
Land, Buildings and Improvements [Member] | Melbourne Facility [Member] | |
Property Plant And Equipment Additions [Abstract] | |
Acquisitions | 14,250,000 |
Land, Buildings and Improvements [Member] | Westland Facility [Member] | |
Property Plant And Equipment Additions [Abstract] | |
Acquisitions | $ 4,520,000 |
Property Portfolio (Details)
Property Portfolio (Details) | Jun. 05, 2014USD ($) | Jan. 28, 2016USD ($)ft² | Sep. 25, 2015USD ($)ft² | Jun. 30, 2016USD ($) | Jun. 30, 2015USD ($) | Jun. 30, 2016USD ($) | Jun. 30, 2015USD ($) | Dec. 31, 2015USD ($)ft² | Mar. 31, 2016USD ($)ft²a | Sep. 19, 2014USD ($)ft² |
Property, Plant and Equipment [Line Items] | ||||||||||
Deferred Finance Costs, Net | $ 70,351 | |||||||||
Write-off of financing costs | $ 62,604 | $ 29,796 | $ 152,845 | $ 59,593 | ||||||
Proceeds from Related Party Debt | 1,655,272 | 1,950 | ||||||||
Escrow Deposit | 945,162 | 945,162 | 454,310 | |||||||
Convertible Debentures to Majority Stockholder | 421,000 | 421,000 | 421,000 | |||||||
Depreciation, Total | 544,002 | $ 141,007 | 942,832 | $ 293,343 | ||||||
Convertible Debt to Majority Stockholder | 25,030,134 | 25,030,134 | 40,030,134 | |||||||
Plano Facility [Member] | ||||||||||
Property, Plant and Equipment [Line Items] | ||||||||||
Area of Real Estate Property | ft² | 24,000 | |||||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Net, Total | $ 17,500,000 | |||||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, After Transaction Costs | 17.7 | |||||||||
Payment of Development fee | 500,000 | |||||||||
Allowance for Tenant Improvements | $ 2,750,000 | |||||||||
Real Estate Property Development Area | ft² | 6,400 | |||||||||
Plano Facility [Member] | Promissory Note and Deed of Trust [Member] | ||||||||||
Property, Plant and Equipment [Line Items] | ||||||||||
Debt Instrument, Face Amount | $ 9,223,500 | |||||||||
Deferred Finance Costs, Net | 53,280 | |||||||||
Debt Instrument Non Refundable Deposits | 50,000 | |||||||||
Debt Instrument, Fee Amount | $ 46,118 | |||||||||
Debt Instrument, Basis Spread on Variable Rate | 0.50% | |||||||||
Interest Expense, Debt | 65,576 | |||||||||
Long-term Debt, Total | 9,223,500 | 9,223,500 | ||||||||
Write-off of financing costs | 53,280 | |||||||||
Plano Facility [Member] | Unsecured Convertible Debentures [Member] | ||||||||||
Property, Plant and Equipment [Line Items] | ||||||||||
Long-term Debt, Total | 9,025,000 | |||||||||
Proceeds from Related Party Debt | 9,369,310 | |||||||||
Escrow Deposit | $ 344,310 | |||||||||
Convertible Debentures to Majority Stockholder | $ 9,369,310 | 9,369,310 | ||||||||
Debt Instrument Convertible, Base for Conversion | $ 12.748 | |||||||||
Melbourne Facility [Member] | ||||||||||
Property, Plant and Equipment [Line Items] | ||||||||||
Area of Real Estate Property | ft² | 78,000 | |||||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Net, Total | $ 15,450,000 | |||||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, After Transaction Costs | $ 15.5 | |||||||||
Area of Land | a | 1.9 | |||||||||
Westland Facility [Member] | ||||||||||
Property, Plant and Equipment [Line Items] | ||||||||||
Area of Real Estate Property | a | 1.3 | |||||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Net, Total | $ 4.75 | |||||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, After Transaction Costs | $ 4,800,000 | |||||||||
Net Rentable Area | ft² | 15,018 | |||||||||
Tennessee facilities [Member] | ||||||||||
Property, Plant and Equipment [Line Items] | ||||||||||
Area of Real Estate Property | ft² | 52,266 | |||||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Net, Total | $ 20,000,000 | |||||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, After Transaction Costs | $ 20.2 | |||||||||
Operating Leases of Lessee Base Rate Percentage of Increase | 1.75% | |||||||||
Convertible Debt to Majority Stockholder | $ 20,900,000 | |||||||||
West Mifflin Facility [Member] | ||||||||||
Property, Plant and Equipment [Line Items] | ||||||||||
Area of Real Estate Property | ft² | 27,193 | |||||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Net, Total | $ 11,350,000 | |||||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, After Transaction Costs | 11,600,000 | |||||||||
Long-term Debt, Total | $ 7,377,500 | |||||||||
Operating Leases of Lessee Base Rate Percentage of Increase | 2.00% | |||||||||
Convertible Debt to Majority Stockholder | $ 4,545,838 | |||||||||
Asheville facility [Member] | ||||||||||
Property, Plant and Equipment [Line Items] | ||||||||||
Area of Real Estate Property | ft² | 8,840 | |||||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Net, Total | $ 2,500,000 | |||||||||
Long-term Debt, Total | $ 1,700,000 | |||||||||
Omaha facility [Member] | ||||||||||
Property, Plant and Equipment [Line Items] | ||||||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Net, Total | $ 21,700,000 | |||||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, After Transaction Costs | 21,900,000 | |||||||||
Long-term Debt, Total | $ 15,060,000 | |||||||||
Lessor Leasing Arrangements, Operating Leases, Renewal Term | 60 years | 60 years |
Schedule of net of unamortized
Schedule of net of unamortized discount balances (Details) - USD ($) | Jun. 30, 2016 | Dec. 31, 2015 |
Debt Instrument [Line Items] | ||
Notes payable related to acquisitions, gross | $ 55,698,783 | $ 23,788,065 |
Less: Unamortized debt discount | (1,240,126) | (302,892) |
Notes payable related to acquisitions, net | $ 54,458,657 | $ 23,485,173 |
Schedule of unamortized debt di
Schedule of unamortized debt discount (Details) - USD ($) | 6 Months Ended | |||
Jun. 30, 2016 | Jun. 30, 2015 | |||
Debt Instrument [Line Items] | ||||
Balance as of January 1, 2016, net | $ 302,892 | |||
Write-off of Plano financing costs | [1],[2] | (53,280) | ||
Debt discount amortization expense | 152,845 | [2] | $ 59,593 | |
Balance as of June 30, 2016, net | 1,240,126 | |||
Plano Financing [Member] | ||||
Debt Instrument [Line Items] | ||||
Additions - Plano and Cantor financings | $ 1,090,079 | |||
[1] | As disclosed in Note 3 “Property Portfolio,” the Plano loan was refinanced with proceeds from the Cantor loan (discussed below) and accordingly the Plano related deferred financing costs were written off during the six months ended June 30, 2016 into the “Interest Expense” line item in the accompanying Consolidated Statements of Operations. | |||
[2] | Sum equals amortization expense incurred on the debt discount for the six months ended June 30, 2016 of $152,845. |
Scheduled Principal Payments Du
Scheduled Principal Payments Due On Cantor Loan Note Payable (Details) - Cantor Loan [Member] - USD ($) | Jun. 30, 2016 | Mar. 31, 2016 |
Debt Instrument [Line Items] | ||
2,016 | $ 0 | |
2,017 | 0 | |
2,018 | 0 | |
2,019 | 0 | |
2,020 | 0 | |
Thereafter | 32,097,400 | |
Total | $ 32,097,400 | $ 32,097,400 |
Scheduled Principal Payments 29
Scheduled Principal Payments Due On West Mifflin Note Payable (Details) - West Mifflin Note Payable [Member] - USD ($) | Jun. 30, 2016 | Sep. 25, 2015 |
Debt Instrument [Line Items] | ||
2,016 | $ 0 | |
2,017 | 0 | |
2,018 | 22,044 | |
2,019 | 136,007 | |
2,020 | 7,219,449 | |
Total | $ 7,377,500 | $ 7,377,500 |
Scheduled Principal Payments 30
Scheduled Principal Payments Due On Asheville Note Payable (Details) - Asheville Note Payable [Member] - USD ($) | Jun. 30, 2016 | Dec. 31, 2015 | Sep. 15, 2014 |
Debt Instrument [Line Items] | |||
2,016 | $ 26,673 | ||
2,017 | 1,609,382 | ||
Total | $ 1,636,055 | $ 1,662,101 | $ 1,700,000 |
Scheduled Principal Payments 31
Scheduled Principal Payments Due On Omaha Note Payable (Details) - Omaha Note Payable [Member] - USD ($) | Jun. 30, 2016 | Dec. 31, 2015 | Jun. 05, 2014 |
Debt Instrument [Line Items] | |||
2,016 | $ 164,687 | ||
2,017 | 14,423,141 | ||
Total | $ 14,587,828 | $ 14,748,464 | $ 15,060,000 |
Notes Payable Related to Acqu32
Notes Payable Related to Acquisitions (Details) - USD ($) | Jun. 05, 2014 | Jul. 31, 2016 | Mar. 31, 2016 | Sep. 25, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | Dec. 31, 2015 | Sep. 15, 2014 | |
Debt Instrument [Line Items] | |||||||||||
Amortization of Financing Costs | $ 62,604 | $ 29,796 | $ 152,845 | $ 59,593 | |||||||
Debt Instrument, Interest Rate, Stated Percentage | 5.22% | 5.22% | |||||||||
Amortization of Debt Discount (Premium) | $ 152,845 | [1] | 59,593 | ||||||||
Cantor Loan [Member] | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Repayments of Long-term Debt, Total | $ 9,223,500 | ||||||||||
Long-term Debt, Total | $ 32,097,400 | $ 32,097,400 | $ 32,097,400 | ||||||||
Debt Instrument, Description | Prepayment can only occur within four months prior to the maturity date, except that after the earlier of (a) 2 years after the loan is placed in a securitized mortgage pool, or (ii) May 6, 2020, the Cantor Loan can be fully and partially defeased upon payment of amounts due under the Cantor Loan and payment of a defeasance amount that is sufficient to purchase U.S. government securities equal to the scheduled payments of principal, interest, fees, and any other amounts due related to a full or partial defeasance under the Cantor Loan. | ||||||||||
Debt Instrument, Maturity Date | Apr. 6, 2026 | ||||||||||
Debt Instrument, Covenant Description | maintain a monthly debt service coverage ratio of 1.35:1.00 for all of the collateral properties in the aggregate. | ||||||||||
Interest Expense, Debt | 423,525 | $ 423,525 | |||||||||
West Mifflin Note Payable [Member] | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Long-term Debt, Total | $ 7,377,500 | 7,377,500 | 7,377,500 | ||||||||
Debt Instrument, Interest Rate, Stated Percentage | 3.72% | ||||||||||
Debt Instrument, Maturity Date | Sep. 25, 2020 | ||||||||||
Interest Expense, Debt | 70,136 | 0 | 139,509 | 0 | |||||||
Asheville Note Payable [Member] | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Long-term Debt, Total | 1,636,055 | 1,636,055 | $ 1,662,101 | $ 1,700,000 | |||||||
Debt Instrument, Interest Rate, Stated Percentage | 4.75% | ||||||||||
Interest Expense, Debt | 19,958 | $ 20,480 | 39,868 | 312,015 | |||||||
Debt Instrument, Periodic Payment, Principal | 26,046 | 37,899 | |||||||||
Omaha Note Payable [Member] | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Long-term Debt, Total | $ 15,060,000 | 14,587,828 | 14,587,828 | 14,748,464 | |||||||
Debt Instrument, Interest Rate, Stated Percentage | 4.91% | ||||||||||
Debt Instrument, Maturity Date | Jun. 5, 2017 | ||||||||||
Interest Expense, Debt | 183,717 | 366,467 | $ 308,573 | ||||||||
Debt Instrument, Periodic Payment, Principal | 160,636 | $ 311,536 | |||||||||
Debt Instrument, early termination fee amount | $ 301,200 | $ 301,200 | |||||||||
Omaha Note Payable [Member] | Subsequent Event [Member] | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Repayments of Long-term Debt, Total | $ 14,922,428 | ||||||||||
Debt Instrument, Periodic Payment, Principal | 14,600,000 | ||||||||||
Payment Of Early termination Fee | $ 300,000 | ||||||||||
[1] | Sum equals amortization expense incurred on the debt discount for the six months ended June 30, 2016 of $152,845. |
Stockholders' Equity (Details)
Stockholders' Equity (Details) - USD ($) | Mar. 02, 2016 | Jun. 30, 2016 | Jun. 30, 2016 | Jun. 30, 2015 | Dec. 31, 2015 |
Preferred Stock, Shares Authorized | 10,000,000 | 10,000,000 | 10,000,000 | ||
Preferred Stock, Par or Stated Value Per Share | $ 0.001 | $ 0.001 | $ 0.001 | ||
Common Stock, Shares Authorized | 500,000,000 | 500,000,000 | 500,000,000 | ||
Common Stock, Par or Stated Value Per Share | $ 0.001 | $ 0.001 | $ 0.001 | ||
Common Stock, Shares, Outstanding | 1,426,656 | 1,426,656 | 250,000 | ||
Common Stock, Dividends, Per Share, Cash Paid | $ 0.0852 | ||||
Dividends, Common Stock, Total | $ 285,703 | $ 127,800 | |||
Stock Issued During Period, Shares, New Issues | 15,000,000 | ||||
Payments of Stock Issuance Costs | $ 1,369,565 | $ 358,365 | $ 0 | ||
Noninterest Expense Offering Cost | $ 1,581,259 | ||||
Beneficial Ownership description | Our charter provides that, subject to certain exceptions, no person may beneficially or constructively own more than 9.8%, in value or in number of shares, whichever is more restrictive, of the outstanding shares of any class or series of our capital stock. On June 27, 2016, our board of directors approved a waiver of the 9.8% ownership limit in our charter allowing ZH USA, LLC to own up to 16.9% of our outstanding shares of common stock. | ||||
IPO [Member] | |||||
Stock Issued During Period, Shares, New Issues | 13,043,479 | ||||
Shares Issued, Price Per Share | $ 10 | $ 10 | |||
Stock Issued During Period, Value, New Issues | $ 130,434,790 | $ 130,434,790 | |||
Payments of Stock Issuance Costs | 9,661,160 | ||||
Proceeds from Issuance Initial Public Offering | $ 120,773,630 | ||||
Over-Allotment Option [Member] | |||||
Stock Issued During Period, Shares, New Issues | 1,956,521 | ||||
Shares Issued, Price Per Share | $ 10 | $ 10 | |||
Stock Issued During Period, Value, New Issues | $ 19,565,210 | ||||
Payments of Stock Issuance Costs | 1,369,565 | ||||
Proceeds from Issuance Initial Public Offering | 18,195,645 | ||||
Noninterest Expense Offering Cost | $ 1,581,259 | ||||
ZH USA, LLC [Member] | |||||
Debt Conversion, Original Debt, Amount | $ 15,000,000 | ||||
Debt Conversion, Converted Instrument, Shares Issued | 1,176,656 |
Convertible Debenture, due to M
Convertible Debenture, due to Majority Stockholder (Details) | 6 Months Ended | |
Jun. 30, 2016USD ($) | ||
Related Party Transaction [Line Items] | ||
Balance as of January 1, 2016 | $ 40,030,134 | |
Conversion of convertible debenture to common shares | (15,000,000) | [1] |
Balance as of June 30, 2016 | $ 25,030,134 | |
[1] | As disclosed in Note 5 “Stockholders’ Equity” on March 2, 2016, ZH USA, LLC converted $15,000,000 of principal under the Convertible Debenture into 1,176,656 shares of the Company’s unregistered common stock. |
Note Payable to Majority Stockh
Note Payable to Majority Stockholder (Details) - USD ($) | 6 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Related Party Transaction [Line Items] | ||
Balance as of January 1, 2016 | $ 421,000 | |
Proceeds received from majority stockholder | 0 | $ 350,000 |
Repayments of note payable | 0 | |
Balance as of June 30, 2016 | $ 421,000 |
Due to Related Parties, Net (De
Due to Related Parties, Net (Details) - USD ($) | 6 Months Ended | |||
Jun. 30, 2016 | Jun. 30, 2015 | |||
Related Party Transaction [Line Items] | ||||
Balance as of January 1, 2016 | $ 847,169 | |||
Management fees due to Advisor | [1] | (30,000) | ||
Funds loaned by Advisor | [2] | (152,894) | ||
Funds loaned to Other Related Party | 39,040 | [3] | $ 6,000 | |
Funds loaned by Other Related Party | [3] | (2,378) | ||
Funds loaned by ZH USA, LLC | (1,655,272) | $ (1,950) | ||
Balance as of June 30, 2016 | 2,493,401 | |||
Due From Advisor [Member] | ||||
Related Party Transaction [Line Items] | ||||
Balance as of January 1, 2016 | 178,111 | |||
Management fees due to Advisor | [1] | 0 | ||
Funds loaned by Advisor | [2] | 0 | ||
Funds loaned to Other Related Party | [3] | 0 | ||
Funds loaned by Other Related Party | [3] | 0 | ||
Funds loaned by ZH USA, LLC | [3] | 0 | ||
Balance as of June 30, 2016 | 178,111 | |||
Due To Advisor Mgmt Fees [Member] | ||||
Related Party Transaction [Line Items] | ||||
Balance as of January 1, 2016 | (630,000) | |||
Management fees due to Advisor | [1] | (30,000) | ||
Funds loaned by Advisor | [2] | 0 | ||
Funds loaned to Other Related Party | [3] | 0 | ||
Funds loaned by Other Related Party | [3] | 0 | ||
Funds loaned by ZH USA, LLC | [3] | 0 | ||
Balance as of June 30, 2016 | (660,000) | |||
Due To Advisor Other Funds [Member] | ||||
Related Party Transaction [Line Items] | ||||
Balance as of January 1, 2016 | (240,280) | |||
Management fees due to Advisor | [1] | 0 | ||
Funds loaned by Advisor | [2] | (152,894) | ||
Funds loaned to Other Related Party | [3] | 0 | ||
Funds loaned by Other Related Party | [3] | 0 | ||
Funds loaned by ZH USA, LLC | [3] | 0 | ||
Balance as of June 30, 2016 | (393,174) | |||
Due to from Other Related party [Member] | ||||
Related Party Transaction [Line Items] | ||||
Balance as of January 1, 2016 | (155,000) | |||
Management fees due to Advisor | [1] | 0 | ||
Funds loaned by Advisor | [2] | 0 | ||
Funds loaned to Other Related Party | [3] | 39,040 | ||
Funds loaned by Other Related Party | [3] | (2,378) | ||
Funds loaned by ZH USA, LLC | [3] | (1,500,000) | ||
Balance as of June 30, 2016 | $ (1,618,338) | |||
[1] | Consists of $180,000 of management fee expense less $150,000 that was paid. This amount represents a cash flow operating activity. | |||
[2] | Represents a total of $1,655,272, $1,500,000 of which was loaned by the Company's majority stockholder. Refer to Note 10 "Subsequent Events" for repayment information related to the $1,500,000. This is a cash flow financing activity. | |||
[3] | Funds loaned by the Company to a related party for their general use, which represents a cash flow investing activity. |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) | Mar. 02, 2016 | Nov. 10, 2014 | Jun. 05, 2014 | Jul. 31, 2016 | Jun. 30, 2016 | Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | Dec. 31, 2015 |
Related Party Transaction [Line Items] | ||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 5.22% | 5.22% | 5.22% | |||||||
Management Fee Expense | $ 90,000 | $ 90,000 | $ 180,000 | $ 180,000 | ||||||
Payment of Acquisition Fee | 150,000 | |||||||||
Convertible Debt | $ 25,030,134 | 25,030,134 | 25,030,134 | $ 40,030,134 | ||||||
Proceeds from Debt, Net of Issuance Costs | 1,500,000 | |||||||||
Proceeds from Issuance of Debt | 1,655,272 | |||||||||
Due to Related Parties | 2,493,401 | 2,493,401 | 2,493,401 | 847,169 | ||||||
Subsequent Event [Member] | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Property Management Fee, Percent Fee | 1.50% | |||||||||
Inter-American Management, LLC [Member] | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Interest Expense, Subordinated Notes and Debentures | 6,134 | |||||||||
Property Management Fee, Percent Fee | 2.00% | |||||||||
Management Fee Payable | $ 30,000 | |||||||||
Management Fee Expense | 90,000 | 90,000 | 180,000 | 180,000 | ||||||
Payment of Acquisition Fee | 754,000 | |||||||||
Due To Advisor Mgmt Fees [Member] | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Due to Related Parties | $ 660,000 | 660,000 | 660,000 | $ 630,000 | ||||||
Convertible Debt [Member] | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Interest and Debt Expense, Total | $ 498,206 | $ 108,625 | $ 1,197,985 | $ 216,054 | ||||||
Interest Bearing Notes Payable [Member] | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 4.00% | 4.00% | 4.00% | |||||||
Proceeds from Short-term Debt, Total | $ 450,000 | |||||||||
Interest Expense, Subordinated Notes and Debentures | $ 4,500 | |||||||||
ZH USA, LLC [Member] | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 8.00% | 8.00% | 8.00% | |||||||
Debt Instrument Convertible, Base for Conversion | $ 12.748 | |||||||||
Debt Conversion, Original Debt, Amount | $ 15,000,000 | |||||||||
Debt Conversion, Converted Instrument, Shares Issued | 1,176,656 | |||||||||
Debt Instrument, Convertible, Conversion Price | $ 12.748 | $ 12.748 | $ 12.748 | |||||||
Proceeds from Debt, Net of Issuance Costs | $ 1,500,000 | |||||||||
Debt Instrument, Maturity Date | Jul. 8, 2016 | |||||||||
ZH USA, LLC [Member] | Pay-Off Letter and Conversion Agreement [Member] | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Debt Conversion, Original Debt, Amount | $ 15,030,134 | |||||||||
Debt Conversion, Converted Instrument, Shares Issued | 1,179,019 | |||||||||
Convertible Debt | $ 25,030,134 | $ 25,030,134 | $ 25,030,134 | |||||||
ZH USA, LLC [Member] | Pay-Off Letter and Conversion Agreement [Member] | Subsequent Event [Member] | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Debt Instrument, Periodic Payment, Principal | $ 10,000,000 | |||||||||
Debt Instrument, Periodic Payment, Interest | 1,716,811 | |||||||||
Debt Instrument, Periodic Payment | $ 11,716,811 |
Schedule of Future Lease Paymen
Schedule of Future Lease Payments Receivables (Details) | Jun. 30, 2016USD ($) |
2,016 | $ 3,360,257 |
2,017 | 6,711,661 |
2,018 | 6,814,579 |
2,019 | 6,967,091 |
2,020 | 7,103,838 |
Thereafter | 62,948,013 |
Total | $ 93,905,439 |
Rental Revenue (Details)
Rental Revenue (Details) - Sales Revenue, Net [Member] | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Plano Facility [Member] | ||||
Concentration Risk, Percentage | 18.00% | 18.00% | ||
Omaha facility [Member] | ||||
Concentration Risk, Percentage | 23.00% | 88.00% | 28.00% | |
Tennessee facilities [Member] | ||||
Concentration Risk, Percentage | 20.00% | 23.00% | ||
Pittsburgh facility [Member] | ||||
Concentration Risk, Percentage | 12.00% | 14.00% | ||
Asheville facility [Member] | ||||
Concentration Risk, Percentage | 4.00% | 4.00% | 12.00% | |
Melbourne Facility [Member] | ||||
Concentration Risk, Percentage | 17.00% | 10.00% | ||
Westland Facility [Member] | ||||
Concentration Risk, Percentage | 6.00% | 3.00% |
Schedule Of Future Minimum Rent
Schedule Of Future Minimum Rental Payments (Details) | Jun. 30, 2016USD ($) |
2,016 | $ 29,939 |
2,017 | 59,877 |
2,018 | 63,619 |
2,019 | 67,362 |
2,020 | 67,362 |
Thereafter | 973,586 |
Total | $ 1,261,745 |
Omaha Land Lease Rent Expense41
Omaha Land Lease Rent Expense (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Lease Expiration Periods | 2,033 | |||
Percentage of annual lease rent | 12.50% | |||
Lessee Leasing Arrangements, Operating Leases, Renewal Term | 60 years | |||
Operating Leases, Rent Expense, Net, Total | $ 18,154 | $ 14,970 | $ 36,308 | $ 14,970 |
Subsequent Events (Details)
Subsequent Events (Details) | 1 Months Ended | 6 Months Ended | 12 Months Ended | |||||
Jul. 31, 2016USD ($)$ / sharesshares | Jul. 31, 2016USD ($)$ / sharesshares | Jun. 30, 2016USD ($)$ / sharesshares | Jun. 30, 2016USD ($)$ / shares | Jun. 30, 2015USD ($) | Dec. 31, 2015USD ($) | Jul. 20, 2016USD ($)a | Jun. 05, 2014 | |
Subsequent Event [Line Items] | ||||||||
Stock Issued During Period, Shares, New Issues | shares | 15,000,000 | |||||||
Payments of Stock Issuance Costs | $ 1,369,565 | $ 358,365 | $ 0 | |||||
Noninterest Expense Offering Cost | $ 1,581,259 | |||||||
Repayments of Notes Payable | $ 0 | |||||||
Debt Instrument, Interest Rate, Stated Percentage | 5.22% | 5.22% | ||||||
Payments to Acquire Property, Plant, and Equipment, Total | $ 37,946,139 | $ 0 | ||||||
Convertible Debt | $ 25,030,134 | 25,030,134 | $ 40,030,134 | |||||
ZH USA, LLC [Member] | Pay-Off Letter and Conversion Agreement [Member] | ||||||||
Subsequent Event [Line Items] | ||||||||
Convertible Debt | 25,030,134 | $ 25,030,134 | ||||||
Debt Conversion, Original Debt, Amount | $ 15,030,134 | |||||||
Debt Conversion, Converted Instrument, Shares Issued | shares | 1,179,019 | |||||||
Debt Instrument, Convertible, Conversion Price | $ / shares | $ 12.748 | $ 12.748 | ||||||
Omaha Note Payable [Member] | ||||||||
Subsequent Event [Line Items] | ||||||||
Debt Instrument, Periodic Payment, Principal | $ 160,636 | $ 311,536 | ||||||
Debt Instrument, Interest Rate, Stated Percentage | 4.91% | |||||||
IPO [Member] | ||||||||
Subsequent Event [Line Items] | ||||||||
Stock Issued During Period, Shares, New Issues | shares | 13,043,479 | |||||||
Shares Issued, Price Per Share | $ / shares | $ 10 | $ 10 | ||||||
Stock Issued During Period, Value, New Issues | $ 130,434,790 | $ 130,434,790 | ||||||
Payments of Stock Issuance Costs | 9,661,160 | |||||||
Proceeds from Issuance Initial Public Offering | $ 120,773,630 | |||||||
Over-Allotment Option [Member] | ||||||||
Subsequent Event [Line Items] | ||||||||
Stock Issued During Period, Shares, New Issues | shares | 1,956,521 | |||||||
Shares Issued, Price Per Share | $ / shares | $ 10 | $ 10 | ||||||
Stock Issued During Period, Value, New Issues | $ 19,565,210 | |||||||
Payments of Stock Issuance Costs | 1,369,565 | |||||||
Proceeds from Issuance Initial Public Offering | 18,195,645 | |||||||
Noninterest Expense Offering Cost | $ 1,581,259 | |||||||
Subsequent Event [Member] | ||||||||
Subsequent Event [Line Items] | ||||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Net, Total | $ 9,200,000 | |||||||
Stock Issued During Period, Shares, New Issues | shares | 15,000,000 | |||||||
Noninterest Expense Offering Cost | $ 1,581,259 | |||||||
Payment To Acquire Others | $ 84,200,000 | |||||||
Incentive Compensation Fee Percentage | 20.00% | |||||||
Property Management Fee, Percent Fee | 1.50% | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Percentage of Outstanding Stock Maximum | 7.00% | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | shares | 358,250 | |||||||
Common Stock, Capital Shares Reserved for Future Issuance | shares | 874,147 | 874,147 | ||||||
Subsequent Event [Member] | Equity Incentive Plan 2016 [Member] | ||||||||
Subsequent Event [Line Items] | ||||||||
Incentive Compensation Fee Percentage | 8.00% | |||||||
Subsequent Event [Member] | Wyomissing Facilities [Member] | ||||||||
Subsequent Event [Line Items] | ||||||||
Payments to Acquire Property, Plant, and Equipment, Total | $ 9,200,000 | |||||||
Subsequent Event [Member] | ZH USA, LLC [Member] | ||||||||
Subsequent Event [Line Items] | ||||||||
Repayments of Related Party Debt | 1,500,000 | |||||||
Subsequent Event [Member] | ZH USA, LLC [Member] | Pay-Off Letter and Conversion Agreement [Member] | ||||||||
Subsequent Event [Line Items] | ||||||||
Debt Instrument, Periodic Payment, Principal | $ 10,000,000 | |||||||
Debt Instrument, Interest Rate, Stated Percentage | 8.00% | 8.00% | ||||||
Debt Instrument, Periodic Payment, Interest | $ 1,716,811 | |||||||
Debt Instrument, Periodic Payment | 11,716,811 | |||||||
Subsequent Event [Member] | Omaha Note Payable [Member] | ||||||||
Subsequent Event [Line Items] | ||||||||
Payment Of Early termination Fee | 300,000 | |||||||
Repayments of Notes Payable | 14,900,000 | |||||||
Debt Instrument, Periodic Payment, Principal | $ 14,600,000 | |||||||
Debt Instrument, Interest Rate, Effective Percentage | 4.90% | 4.90% | ||||||
Subsequent Event [Member] | IPO [Member] | ||||||||
Subsequent Event [Line Items] | ||||||||
Stock Issued During Period, Shares, New Issues | shares | 13,043,479 | |||||||
Shares Issued, Price Per Share | $ / shares | $ 10 | $ 10 | ||||||
Stock Issued During Period, Value, New Issues | $ 130,434,790 | |||||||
Payments of Stock Issuance Costs | 9,661,160 | |||||||
Proceeds from Issuance Initial Public Offering | $ 120,773,630 | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Percentage of Outstanding Stock Maximum | 7.00% | |||||||
Subsequent Event [Member] | Over-Allotment Option [Member] | ||||||||
Subsequent Event [Line Items] | ||||||||
Stock Issued During Period, Shares, New Issues | shares | 1,956,521 | |||||||
Shares Issued, Price Per Share | $ / shares | $ 10 | $ 10 | ||||||
Stock Issued During Period, Value, New Issues | $ 19,565,210 | |||||||
Payments of Stock Issuance Costs | 1,369,565 | |||||||
Proceeds from Issuance Initial Public Offering | $ 18,195,645 | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Percentage of Outstanding Stock Maximum | 7.00% | |||||||
Subsequent Event [Member] | Eye Center [Member] | ||||||||
Subsequent Event [Line Items] | ||||||||
Area of Real Estate Property | a | 17,000 | |||||||
Subsequent Event [Member] | Surgery Center [Member] | ||||||||
Subsequent Event [Line Items] | ||||||||
Area of Real Estate Property | a | 6,500 |