Lightstone Value Plus REIT III (LVVR) 10-Q 15 May 17 2017 Q1 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares shares in Millions	3 Months Ended
	Mar. 31, 2017	May 08, 2017
Document Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Mar. 31, 2017
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q1
Entity Registrant Name	Lightstone Value Plus Real Estate Investment Trust III, Inc.
Entity Central Index Key	1,563,756
Current Fiscal Year End Date	--12-31
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		13.6

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($)	Mar. 31, 2017	Dec. 31, 2016
Investment property:
Land and improvements	$ 22,284,030	$ 22,283,209
Building and improvements	103,382,387	103,080,704
Furniture and fixtures	15,729,131	15,133,479
Construction in progress	86,704	130,249
Gross investment property	141,482,252	140,627,641
Less accumulated depreciation	(5,167,531)	(3,862,125)
Net investment property	136,314,721	136,765,516
Investment in unconsolidated affiliated real estate entity	20,097,888	0
Cash	50,503,801	55,064,507
Restricted escrows	935,409	851,441
Accounts receivable and other assets	2,924,927	2,634,675
Total Assets	210,776,746	195,316,139
Liabilities and Stockholders' Equity
Accounts payable and other accrued expenses	3,522,291	2,684,346
Mortgages payable, net	86,878,595	86,870,343
Due to related parties	211,058	109,532
Distributions payable	672,541	583,113
Total liabilities	91,284,485	90,247,334
Commitments and Contingencies
Company's stockholders' equity:
Preferred stock, $0.01 par value; 50,000,000 shares authorized, none issued and outstanding	0	0
Common stock, $0.01 par value; 200,000,000 shares authorized, 13,635,803 and 11,656,877 shares issued and outstanding, respectively	136,358	116,569
Additional paid-in-capital	117,097,895	99,309,774
Subscription receivable	(530,406)	(105,000)
Accumulated deficit	(9,304,115)	(6,345,110)
Total Company stockholders' equity	107,399,732	92,976,233
Noncontrolling interests	12,092,529	12,092,572
Total Stockholders' Equity	119,492,261	105,068,805
Total Liabilities and Stockholders' Equity	$ 210,776,746	$ 195,316,139

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Mar. 31, 2017	Dec. 31, 2016
Preferred Stock, par value per share	$ 0.01	$ 0.01
Preferred Stock, shares authorized	50,000,000	50,000,000
Preferred Stock, shares issued	0	0
Preferred Stock, shares outstanding	0	0
Common Stock, par value per share	$ 0.01	$ 0.01
Common Stock, shares authorized	200,000,000	200,000,000
Common Stock, shares issued	13,635,803	11,656,877
Common Stock, shares outstanding	13,635,803	11,656,877

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($)	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Revenues	$ 7,720,597	$ 1,971,445
Expenses:
Property operating expenses	4,798,384	1,299,141
Real estate taxes	363,147	99,354
General and administrative costs	439,713	604,928
Depreciation and amortization	1,324,963	278,316
Total operating expenses	6,926,207	2,281,739
Operating income/(loss)	794,390	(310,294)
Interest expense	(1,345,311)	(89,964)
Loss from investment in unconsolidated affiliated real estate entity	(512,707)	0
Other expense, net	(32,992)	(1,353)
Net loss	(1,096,620)	(401,611)
Less: net loss attributable to noncontrolling interests	13	10
Net loss applicable to Company's common shares	$ (1,096,607)	$ (401,601)
Net loss per Company's common shares, basic and diluted	$ (0.09)	$ (0.08)
Weighted average number of common shares outstanding, basic and diluted	12,591,058	4,827,293

CONSOLIDATED STATEMENT OF STOCK

CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY - 3 months ended Mar. 31, 2017 - USD ($)	Total	Common Shares [Member]	Additional Paid-In Capital [Member]	Subscription Receivable [Member]	Accumulated Deficit [Member]	Total Noncontrolling Interests [Member]
BALANCE at Dec. 31, 2016	$ 105,068,805	$ 116,569	$ 99,309,774	$ (105,000)	$ (6,345,110)	$ 12,092,572
BALANCE, shares at Dec. 31, 2016		11,656,877
Net loss	(1,096,620)	$ 0	0	0	(1,096,607)	(13)
Distributions declared	(1,862,398)	0	0	0	(1,862,398)	0
Distributions paid to noncontrolling interests	(30)	0	0	0	0	(30)
Proceeds from offering	18,413,803	$ 18,972	18,820,237	(425,406)	0	0
Proceeds from offering, shares		1,897,183
Selling commissions and dealer manager fees	(1,761,461)	$ 0	(1,761,461)	0	0	0
Other offering costs	(44,267)	0	(44,267)	0	0	0
Shares issued from distribution reinvestment program	816,948	$ 860	816,088	0	0	0
Shares issued from distribution reinvestment program, Shares		85,995
Redemption and cancellation of shares	(42,519)	$ (43)	(42,476)	0	0	0
Redemption and cancellation of shares, shares		(4,252)
BALANCE at Mar. 31, 2017	$ 119,492,261	$ 136,358	$ 117,097,895	$ (530,406)	$ (9,304,115)	$ 12,092,529
BALANCE, shares at Mar. 31, 2017		13,635,803

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss	$ (1,096,620)	$ (401,611)
Adjustments to reconcile net loss to net cash provided by operating activities:
Loss from investment in unconsolidated affiliated real estate entity	512,707	0
Depreciation and amortization	1,324,963	278,316
Amortization of deferred financing costs	112,615	40,834
Other non-cash adjustments	28,501	2,849
Changes in assets and liabilities:
Increase in accounts receivable and other assets	(338,311)	(401,551)
Increase in accounts payable and other accrued expenses	602,801	588,667
Increase in due to related party	101,526	134,823
Net cash provided by operating activities	1,248,182	242,327
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchase of investment property	(830,851)	(23,088,810)
Investment in unconsolidated affiliated real estate entity	(20,610,595)	0
Refundable escrow deposits	0	(500,000)
Funding of restricted escrows	(83,969)	0
Cash used in investing activities	(21,525,415)	(23,588,810)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from revolving promissory notes payable - related party	0	8,000,000
Payments on mortgage payable	(108,763)	0
Refund of loan fees and expenses	4,400	0
Proceeds from issuance of common stock	18,413,803	17,112,280
Payment of commissions and offering costs	(1,594,342)	(2,794,050)
Contributions from noncontrolling interests	0	3,942,870
Distributions to noncontrolling interests	(30)	(30)
Distributions to common stockholders	(956,022)	(324,908)
Redemption and cancellation of common shares	(42,519)	0
Net cash provided by financing activities	15,716,527	25,936,162
Net change in cash	(4,560,706)	2,589,679
Cash, beginning of year	55,064,507	6,747,401
Cash, end of period	50,503,801	9,337,080
Supplemental cash flow information for the periods indicated is as follows:
Cash paid for interest	1,220,426	5,476
Distributions declared, but not paid	672,541	274,467
Commissions and other offering costs accrued but not paid	320,926	409,704
Subscription receivable	425,406	(116,271)
Value of shares issued from distribution reinvestment program	816,948	311,039
Application of deposit to acquisition of investment property	0	1,000,000
Investment property acquired but not paid	$ 23,760	$ 393,968

Organization

Organization	3 Months Ended
	Mar. 31, 2017
Organization [Abstract]
Organization	1. Organization Lightstone Value Plus Real Estate Investment Trust III, Inc. (‘‘Lightstone REIT III’’), incorporated on October 5, 2012, in Maryland, elected to qualify to be taxed as a real estate investment trust (‘‘REIT’’) for U.S. federal income tax purposes beginning with the taxable year ended December 31, 2015. The Company has and will continue to seek to acquire hotels and other commercial real estate assets primarily located in the United States. All such properties may be acquired and operated by the Company alone or jointly with another party. The Company may also originate or acquire mortgage loans secured by real estate. The Lightstone REIT III is structured as an umbrella partnership REIT, or UPREIT, and substantially all of its current and future business will be conducted through Lightstone Value Plus REIT III LP, a Delaware limited partnership (the ‘‘Operating Partnership’’). Lightstone REIT III and the Operating Partnership and its subsidiaries are collectively referred to as the “Company” and the use of “we,” “our,” “us” or similar pronouns refers to Lightstone REIT III, its Operating Partnership or the Company as required by the context in such pronoun used. Lightstone REIT III sold 20,000 10.00 Subject to the oversight of the Company’s board of directors (the “Board of Directors”), the Advisor has primary responsibility for making investment decisions and managing the Company’s day-to-day operations. Through his ownership and control of The Lightstone Group, Mr. Lichtenstein is the indirect owner of the Advisor and the indirect owner and manager of Lightstone SLP III LLC, which has subordinated participation interests in the Operating Partnership. Mr. Lichtenstein also acts as the Company’s Chairman and Chief Executive Officer. As a result, he exerts influence over but does not control Lightstone REIT III or the Operating Partnership. Lightstone REIT III invested the proceeds received from the Advisor in the Operating Partnership, and as a result, held a 99 The Company’s registration statement on Form S-11 (the “Offering”), pursuant to which it offered to sell up to 30,000,000 par value $ 0.01 10.00 10,000,000 95 9.50 10.00 10.00 The Offering, which terminated on March 31, 2017, raised aggregate gross proceeds of approximately $ 131.2 13.4 2.0 9.00 100 12.1 12.2 4.8 126.3 0.3 2.9 On April 21, 2017, the Company’s board of directors terminated the DRIP effective May 15, 2017. Previously, the Company’s stockholders had an option to elect the receipt of shares of the Company’s common stock in lieu of cash distributions under the Company’s DRIP, however, all future distributions will be in the form of cash. As of March 31, 2017, on a collective basis, the Company wholly owned and consolidated the operating results and financial condition of nine hospitality properties, or select services hotels, containing a total of 999 rooms. Additionally, as of March 31, 2017, the Company held a 22.5 owns and operates The Cove at Tiburon (“the Cove”), a multi-family residential property containing 281 units (see Note 3) that the Company does not consolidate but rather accounts for under the equity method of accounting. All of the Company’s properties are located within the United States. As of March 31, 2017, the hospitality properties’ average revenue per available room (“RevPAR”) was $ 82.87 71 81.1 The Company has no employees. The Company has retained the Advisor to manage its affairs on a day-to-day basis. Beacon Property Management Limited Liability Company and Paragon Retail Property Management LLC (the ‘‘Property Managers’’), both affiliates of the Sponsor, may serve as property managers and/or the Company may utilize third-party property managers. Orchard Securities, LLC (the ‘‘Dealer Manager’’), a third-party not affiliated with the Company, the Sponsor or the Advisor, served as the dealer manager of the Offering until their termination on March 31, 2017, as a result of the termination of the Offering. In addition to the Property Managers, the Advisor is also an affiliate of the Sponsor. These related parties receive compensation and fees for services related to the investment and management of the Company’s assets. Noncontrolling Interests Partners of Operating Partnership On July 16, 2014, the Advisor contributed $ 2,000 200 Lightstone SLP III LLC (the ‘‘Special Limited Partner’’), a Delaware limited liability company of which Mr. Lichtenstein is the majority owner, is a special limited partner in the Operating Partnership and committed to make a significant equity investment (the “Contribution Agreement”) in the Company of up to $ 36.0 12.0 300.0 50,000 . Through March 31, 2017 (the termination date of the Offering), the Special Limited Partner purchased an aggregate of approximately 242 12.1

Summary of Significant Accounti

Summary of Significant Accounting Policies	3 Months Ended
	Mar. 31, 2017
Summary of Significant Accounting Policies [Abstract]
Summary of Significant Accounting Policies	2. Summary of Significant Accounting Policies The accompanying unaudited interim consolidated financial statements and related notes should be read in conjunction with the audited Consolidated Financial Statements of the Company and related notes as contained in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2016. The unaudited interim financial statements include all adjustments (consisting only of normal recurring adjustments) and accruals necessary in the judgment of management for a fair statement of the results for the periods presented. The accompanying unaudited consolidated financial statements of the Lightstone Value Plus Real Estate Investment Trust III, Inc. and its Subsidiaries have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information and with the instructions to Form 10-Q and Rule 8-03 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by accounting principles generally accepted in the United States of America for complete financial statements. The consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). GAAP requires the Company’s management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities and the reported amounts of revenues and expenses during a reporting period. The most significant assumptions and estimates relate to the valuation of real estate, depreciable lives, and revenue recognition. Application of these assumptions requires the exercise of judgment as to future uncertainties and, as a result, actual results could differ from these estimates. The unaudited consolidated statements of operations for interim periods are not necessarily indicative of results for the full year or any other period. To qualify or maintain our qualification as a REIT, we engage in certain activities through wholly-owned taxable REIT subsidiaries (“TRS”). As such, we are subject to U.S. federal and state income and franchise taxes from these activities. The consolidated financial statements include the accounts of Lightstone REIT III and the Operating Partnership and its subsidiaries (over which the Company exercises financial and operating control). As of March 31, 2017, Lightstone REIT III had a 99 All inter-company accounts and transactions have been eliminated in consolidation. In determining whether the Company has a controlling financial interest in a joint venture and the requirement to consolidate the accounts of that entity, management considers factors such as ownership interest, authority to make decisions and contractual and substantive participating rights of the other partners or members as well as whether the entity is a variable interest entity for which the Company is the primary beneficiary. The following table provides unaudited pro forma results of operations for the periods indicated, as if the Company’s acquisitions of the Hampton Inn – Lansing (acquired on March 10, 2016), Courtyard – Warwick (acquired on March 23, 2016), SpringHill Suites – Green Bay (acquired on May 2, 2016), Home2 Suites Hotel Portfolio (acquired on August 2, 2016), Fairfield Inn – Austin (acquired on September 16, 2016), Staybridge Suites – Austin (acquired on October 7, 2016) and its 22.5 For the Three Months Ended March 31, 2017 2016 Pro forma rental revenue $ 7,720,597 $ 7,778,659 Pro forma net loss (1) $ (1,365,995) $ (501,778) Pro forma net loss per Company's common share, basic and diluted (1) $ (0.11) $ (0.10) (1) Includes acquisition fees and acquisition-related expenses aggregating $ 465,840 In January 2017, the Financial Accounting Standards Board (“FASB”) issued guidance that clarifies the definition of a business and assists in the evaluation of whether a transaction will be accounted for as an acquisition of an asset or as a business combination. The guidance provides a test to determine when a set of assets and activities acquired is not a business. When substantially all of the fair value of the gross assets acquired is concentrated in a single identifiable asset or group of similar identifiable assets, the set is not a business. Under the updated guidance, an acquisition of a single property will likely be treated as an asset acquisition as opposed to a business combination and associated transaction costs will be capitalized rather than expensed as incurred. Additionally, assets acquired, liabilities assumed, and any noncontrolling interest will be measured at their relative fair values. This guidance is effective for fiscal years and interim periods within those years beginning after December 15, 2017, with early adoption permitted. The Company is currently evaluating the requirements and impact of this update on its financial statements. In November 2016, the FASB issued guidance that requires amounts that are generally described as restricted cash and restricted cash equivalents to be included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the statement of cash flows. This guidance is effective for public companies for interim and annual reporting periods beginning after December 15, 2017. Early adoption is permitted and the pronouncement requires a retrospective transition method of adoption. This guidance is not expected to have a material impact on the Company’s consolidated financial statements. In August 2016, the FASB issued an accounting standards update which provides guidance on the classification of certain cash receipts and cash payments in the statement of cash flows, including those related to debt prepayment or debt extinguishment costs, contingent consideration payments made after a business combination, proceeds from the settlement of insurance claims, proceeds from the settlement of corporate-owned life insurance, and distributions received from equity method investees. This guidance is effective for fiscal years beginning after December 15, 2017, and for interim periods within those fiscal years. The guidance must be adopted on a retrospective basis and must be applied to all periods presented, but may be applied prospectively if retrospective application would be impracticable. This guidance will not have a material impact on the Company’s consolidated financial statements. In May 2014, the FASB issued an accounting standards update that provides for a single five-step model to be applied to all revenue contracts with customers as well as requires additional financial statement disclosures that will enable users to understand the nature, amount, timing, and uncertainty of revenue and cash flows relating to customer contracts. Companies have an option to use either a retrospective approach or cumulative effect adjustment approach to implement the standard. This guidance is effective for annual reporting periods beginning after December 15, 2017, including interim periods within that reporting period. The Company does not expect the adoption of this standard to have a material impact on its consolidated financial position, results of operations or cash flows. The Company has reviewed and determined that other recently issued accounting pronouncements will not have a material impact on its financial position, results of operations and cash flows, or do not apply to its current operations.

Investment in Unconsolidated Af

Investment in Unconsolidated Affiliated Real Estate Entity	3 Months Ended
	Mar. 31, 2017
Equity Method Investments and Joint Ventures [Abstract]
Investment in Unconsolidated Affiliated Real Estate Entity	3. Investment in Unconsolidated Affiliated Real Estate Entity The entity listed below is partially owned by the Company. The Company accounts for this investment under the equity method of accounting as the Company exercises significant influence, but does not exercise financial and operating control, and is not considered to be the primary beneficiary of this entity. As of Entity Date of Ownership Ownership % March 31, 2017 December 31, 2016 RP Maximus Cove, L.L.C. (the "Cove Joint Venture") January 31, 2017 22.50 % $ 20,097,888 $ - The Cove Joint Venture On January 31, 2017, the Company, through a subsidiary of the Operating Partnership, REIT III COVE LLC (“REIT III Cove”) and REIT IV COVE LLC (“REIT IV Cove”), a wholly owned subsidiary of Lightstone Real Estate Income Trust, Inc. (“Lightstone IV”), a real estate investment trust also sponsored by the Sponsor and a related party, collectively, the “Assignees”, entered into an Assignment and Assumption Agreement (the “Assignment”) with another of the Lightstone IV’s wholly owned subsidiaries, REIT COVE LLC (the “Assignor”). Under the terms of the Assignment, the Assignees were assigned the rights and obligations of the Assignor with respect to that certain Sale and Purchase Agreement (the “Purchase Agreement”), dated September 29, 2016, made between the Assignor, as the purchaser, LSG Cove LLC (“LSG Cove”), an affiliate of the Sponsor and a related party, and Maximus Cove Investor LLC (“Maximus”), an unrelated third party (collectively, the “Buyer”), and RP Cove, L.L.C (the “Seller”) an unrelated third party, pursuant to which the Buyer would acquire the Seller’s membership interest in RP Maximus Cove, L.L.C. (the “Cove Joint Venture”) for approximately $255.0 million (the “Cove Transaction”). The Cove Joint Venture owns and operates The Cove at Tiburon (“the Cove”), a 281-unit, luxury waterfront multifamily rental property located in Tiburon, California. Prior to entering into the Cove Transaction, Maximus previously owned a separate noncontrolling interest in the Joint Venture. On January 31, 2017, REIT IV Cove, REIT III Cove, LSG Cove, and Maximus (the “Members”) completed the Cove Transaction for aggregate consideration of approximately $ 255.0 80 175 20.0 22.5 573,750 1.0 In connection with the closing of the Cove Transaction, the Cove Joint Venture simultaneously entered into a $ 175.0 January 31, 2020 43.8 10.9 Starting in 2013, the Cove has been undergoing an extensive refurbishment which is substantially completed. The Members intend to use remaining proceeds from the Loan and to invest additional capital if necessary to complete the remainder of the refurbishment. The Guarantor provided an additional guarantee of up to approximately $ 13.4 3.3 The Company has determined that the fair value of both the Loan Guarantee and the Refurbishment Guarantee are immaterial. The Cove Joint Venture Condensed Financial Information The Company’s carrying value of its interest in the Cove Joint Venture differs from its share of member’s equity reported in the condensed balance sheet of the Cove Joint Venture due to the Company’s basis of its investment in excess of the historical net book value of the Cove Joint Venture. The Company’s additional basis allocated to depreciable assets is being recognized on a straight-line basis over the lives of the appropriate assets. For the Period January 31, (amounts in thousands) 2017 (date of investment) Revenue $ 2,074 Property operating expenses 633 General and administrative costs 126 Depreciation and amortization 1,584 Operating loss (269) Interest expense and other, net (1,477) Net loss $ (1,746) Company's share of net loss (22.50%) $ (393) Additional depreciation and amortization expense (1) (120) Company's loss from investment $ (513) As of (amounts in thousands) March 31, 2017 Real estate, at cost (net) $ 154,940 Cash and restricted cash 3,638 Other assets 1,020 Total assets $ 159,598 Mortgage payable, net $ 172,892 Other liabilities 1,439 Members' deficit (1) (14,733) Total liabilities and members' deficit $ 159,598 (1) Additional depreciation and amortization expense relates to the difference between the Company’s basis in the Cove Joint Venture and the amount of the underlying equity in net assets of the Cove Joint Venture.

Mortgage payable, net

Mortgage payable, net	3 Months Ended
	Mar. 31, 2017
Loans Payable [Abstract]
Mortgage payable, net	4. Mortgage payable, net Mortgages payable, net consists of the following: Weighted Average Interest Rate as of Interest March 31, Maturity Amount Due As of As of Description Rate 2017 Date at Maturity March 31, 2017 December 31, 2016 Revolving Credit Facility, secured by seven properties LIBOR + 4.95% 6.03 % July 2019 $ 59,696,000 $ 59,696,000 $ 59,696,000 Promissory Note, secured by two properties 4.73% 4.73 % October 2021 26,127,572 28,223,117 28,331,880 Total mortgages payable 5.61 % $ 85,823,572 $ 87,919,117 $ 88,027,880 Less: Deferred financing costs (1,040,522) (1,157,537) Total mortgage payable, net $ 86,878,595 $ 86,870,343 Principal Maturities Remainder of 2017 2018 2019 2020 2021 Thereafter Total Principal maturities $ 315,489 $ 445,052 $ 60,162,871 $ 486,092 $ 26,509,613 $ - $ 87,919,117 Less: Deferred financing costs (1,040,522) Total principal maturiteis, net $ 86,878,595 Debt Compliance The Revolving Credit Facility requires the maintenance of certain ratios, including debt service coverage and fixed leverage charge ratio. The Company is currently in compliance with respect to all of its financial debt covenants.

Selling Commissions, Dealer Man

Selling Commissions, Dealer Manager Fees and Other Offering Costs	3 Months Ended
	Mar. 31, 2017
Selling Commission, Dealer Manager Fees And Other Offering Costs [Abstract]
Selling Commissions, Dealer Manager Fees and Other Offering Costs	5. Selling Commissions, Dealer Manager Fees and Other Offering Costs Selling commissions and dealer manager fees were paid to the Dealer Manager, pursuant to various agreements which were terminated on March 31, 2017 as a result of the termination of the Offering, and other third-party offering costs such as registration fees, due diligence fees, marketing costs, and professional fees are accounted for as a reduction against additional paid-in capital (“APIC”) as costs are incurred. Organizational costs are expensed as general and administrative costs. For the Three Months Ended March 31, 2017 2016 Selling commissions and dealer manager fees $ 1,761,461 $ 1,611,877 Other offering costs $ 44,267 $ 124,360 Since the Company’s inception through March 31, 2017 (the termination date of the Offering), it has incurred approximately $ 12.2 4.8

Earnings per Share

Earnings per Share	3 Months Ended
	Mar. 31, 2017
Earnings Per Share [Abstract]
Earnings per Share	6. Earnings per Share The Company had no potentially dilutive securities outstanding during the periods presented. Accordingly, basic and diluted earnings per share is calculated by dividing earnings attributable to common shareholders by the weighted-average number of shares of common stock outstanding during the applicable period.

Related Party Transactions

Related Party Transactions	3 Months Ended
	Mar. 31, 2017
Related Party Transactions [Abstract]
Related Party Transactions	7. Related Party Transactions Due to related parties and other transactions In addition to certain agreements with the Sponsor (see Note 1) and Dealer Manager (see Note 5), the Company has agreements with the Advisor to pay certain fees in exchange for services performed by the Advisor and/or its affiliated entities. Additionally, the Company’s ability to secure financing and its real estate operations are dependent upon its Advisor and its affiliates to perform such services as provided in these agreements. During the three months ended March 31, 2017 and 2016, the Company paid the Advisor acquisition fees of approximately $ 573,750 229,000 2,003 573,750 From time to time, the Company may purchase title insurance from an agency in which its Sponsor owns a 50% limited partnership interest (the “Affiliated Title Insurance Agency”). Because the Affiliated Title Insurance Agency receives fees for providing title insurance, our Advisor may face a conflict of interest when considering the terms of purchasing title insurance from the Affiliated Title Insurance Agency. However, before the Company purchases any title insurance, an independent title consultant with more than 25 years of experience in the title insurance industry reviews the transaction, and performs market research and competitive analysis on our behalf. During the three months ended March 31, 2016 the Company paid $ 34,875

Financial Instruments

Financial Instruments	3 Months Ended
	Mar. 31, 2017
Financial Instruments, Owned, at Fair Value [Abstract]
Financial Instruments	8. Financial Instruments The carrying amounts reported in the consolidated balance sheets for cash, deposits, accounts receivable and other assets, accounts payable and other accrued expenses and due to/from related parties approximated their fair values because of the short maturity of these instruments. As of March 31, 2017 As of December 31, 2016 Carrying Amount Estimated Fair Value Carrying Amount Estimated Fair Value Mortgages payable $ 87,919,117 $ 87,180,396 $ 88,027,880 $ 87,252,072 The fair value of our mortgages payable was determined by discounting the future contractual interest and principal payments by market interest rates.

Commitments and Contingencies

Commitments and Contingencies	3 Months Ended
	Mar. 31, 2017
Commitments and Contingencies [Abstract]
Commitments and Contingencies	Commitments and Contingencies Legal Proceedings From time to time in the ordinary course of business, the Company may become subject to legal proceedings, claims or disputes. As of the date hereof, we are not a party to any material pending legal proceedings.

Distributions

Distributions	3 Months Ended
	Mar. 31, 2017
Distributions [Abstract]
Distributions	10. Distributions Distribution Payments On February 15, 2017, March 15, 2017 and April 14, 2017, the Company paid distributions for the months ended January 31, 2017, February 28, 2017 and March 31, 2017, respectively, of $ 1,862,398 90,955 9.50 998,326 54 864,073 46 Distribution Declaration On May 12, 2017, the Board of Directors authorized and the Company declared a distribution for each month during the three-month period ending September 30, 2017. The distributions will be calculated based on shareholders of record each day during the month at a rate of $ 0.00164383 365 6.0 10.00

Summary of Significant Accoun17

Summary of Significant Accounting Policies (Policies)	3 Months Ended
	Mar. 31, 2017
Summary of Significant Accounting Policies [Abstract]
Principles of Consolidation and Basis of Presentation	The consolidated financial statements include the accounts of Lightstone REIT III and the Operating Partnership and its subsidiaries (over which the Company exercises financial and operating control). As of March 31, 2017, Lightstone REIT III had a 99 All inter-company accounts and transactions have been eliminated in consolidation. In determining whether the Company has a controlling financial interest in a joint venture and the requirement to consolidate the accounts of that entity, management considers factors such as ownership interest, authority to make decisions and contractual and substantive participating rights of the other partners or members as well as whether the entity is a variable interest entity for which the Company is the primary beneficiary. The following table provides unaudited pro forma results of operations for the periods indicated, as if the Company’s acquisitions of the Hampton Inn – Lansing (acquired on March 10, 2016), Courtyard – Warwick (acquired on March 23, 2016), SpringHill Suites – Green Bay (acquired on May 2, 2016), Home2 Suites Hotel Portfolio (acquired on August 2, 2016), Fairfield Inn – Austin (acquired on September 16, 2016), Staybridge Suites – Austin (acquired on October 7, 2016) and its 22.5 For the Three Months Ended March 31, 2017 2016 Pro forma rental revenue $ 7,720,597 $ 7,778,659 Pro forma net loss (1) $ (1,365,995) $ (501,778) Pro forma net loss per Company's common share, basic and diluted (1) $ (0.11) $ (0.10) (1) Includes acquisition fees and acquisition-related expenses aggregating $ 465,840
New Accounting Pronouncements	New Accounting Pronouncements In January 2017, the Financial Accounting Standards Board (“FASB”) issued guidance that clarifies the definition of a business and assists in the evaluation of whether a transaction will be accounted for as an acquisition of an asset or as a business combination. The guidance provides a test to determine when a set of assets and activities acquired is not a business. When substantially all of the fair value of the gross assets acquired is concentrated in a single identifiable asset or group of similar identifiable assets, the set is not a business. Under the updated guidance, an acquisition of a single property will likely be treated as an asset acquisition as opposed to a business combination and associated transaction costs will be capitalized rather than expensed as incurred. Additionally, assets acquired, liabilities assumed, and any noncontrolling interest will be measured at their relative fair values. This guidance is effective for fiscal years and interim periods within those years beginning after December 15, 2017, with early adoption permitted. The Company is currently evaluating the requirements and impact of this update on its financial statements. In November 2016, the FASB issued guidance that requires amounts that are generally described as restricted cash and restricted cash equivalents to be included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the statement of cash flows. This guidance is effective for public companies for interim and annual reporting periods beginning after December 15, 2017. Early adoption is permitted and the pronouncement requires a retrospective transition method of adoption. This guidance is not expected to have a material impact on the Company’s consolidated financial statements. In August 2016, the FASB issued an accounting standards update which provides guidance on the classification of certain cash receipts and cash payments in the statement of cash flows, including those related to debt prepayment or debt extinguishment costs, contingent consideration payments made after a business combination, proceeds from the settlement of insurance claims, proceeds from the settlement of corporate-owned life insurance, and distributions received from equity method investees. This guidance is effective for fiscal years beginning after December 15, 2017, and for interim periods within those fiscal years. The guidance must be adopted on a retrospective basis and must be applied to all periods presented, but may be applied prospectively if retrospective application would be impracticable. This guidance will not have a material impact on the Company’s consolidated financial statements. In May 2014, the FASB issued an accounting standards update that provides for a single five-step model to be applied to all revenue contracts with customers as well as requires additional financial statement disclosures that will enable users to understand the nature, amount, timing, and uncertainty of revenue and cash flows relating to customer contracts. Companies have an option to use either a retrospective approach or cumulative effect adjustment approach to implement the standard. This guidance is effective for annual reporting periods beginning after December 15, 2017, including interim periods within that reporting period. The Company does not expect the adoption of this standard to have a material impact on its consolidated financial position, results of operations or cash flows. The Company has reviewed and determined that other recently issued accounting pronouncements will not have a material impact on its financial position, results of operations and cash flows, or do not apply to its current operations.

Summary of Significant Accoun18

Summary of Significant Accounting Policies (Tables)	3 Months Ended
	Mar. 31, 2017
Summary of Significant Accounting Policies [Abstract]
Schedule of Pro Forma Results of Operations	For the Three Months Ended March 31, 2017 2016 Pro forma rental revenue $ 7,720,597 $ 7,778,659 Pro forma net loss (1) $ (1,365,995) $ (501,778) Pro forma net loss per Company's common share, basic and diluted (1) $ (0.11) $ (0.10) (1) Includes acquisition fees and acquisition-related expenses aggregating $ 465,840

Investment in Unconsolidated 19

Investment in Unconsolidated Affiliated Real Estate Entity (Tables)	3 Months Ended
	Mar. 31, 2017
Equity Method Investments and Joint Ventures [Abstract]
Investment in Unconsolidated Affiliated Entity	A summary of the Company’s investment in the unconsolidated affiliated entity is as follows: As of Entity Date of Ownership Ownership % March 31, 2017 December 31, 2016 RP Maximus Cove, L.L.C. (the "Cove Joint Venture") January 31, 2017 22.50 % $ 20,097,888 $ -
Condensed Income Statement	The following table represents the unaudited condensed income statement for the Cove Joint Venture: For the Period January 31, (amounts in thousands) 2017 (date of investment) Revenue $ 2,074 Property operating expenses 633 General and administrative costs 126 Depreciation and amortization 1,584 Operating loss (269) Interest expense and other, net (1,477) Net loss $ (1,746) Company's share of net loss (22.50%) $ (393) Additional depreciation and amortization expense (1) (120) Company's loss from investment $ (513)
Condensed Balance Sheet	As of (amounts in thousands) March 31, 2017 Real estate, at cost (net) $ 154,940 Cash and restricted cash 3,638 Other assets 1,020 Total assets $ 159,598 Mortgage payable, net $ 172,892 Other liabilities 1,439 Members' deficit (1) (14,733) Total liabilities and members' deficit $ 159,598 (1) Additional depreciation and amortization expense relates to the difference between the Company’s basis in the Cove Joint Venture and the amount of the underlying equity in net assets of the Cove Joint Venture.

Mortgage payable, net (Tables)

Mortgage payable, net (Tables)	3 Months Ended
	Mar. 31, 2017
Loans Payable [Abstract]
Mortgages Payable, Net	Mortgages payable, net consists of the following: Weighted Average Interest Rate as of Interest March 31, Maturity Amount Due As of As of Description Rate 2017 Date at Maturity March 31, 2017 December 31, 2016 Revolving Credit Facility, secured by seven properties LIBOR + 4.95% 6.03 % July 2019 $ 59,696,000 $ 59,696,000 $ 59,696,000 Promissory Note, secured by two properties 4.73% 4.73 % October 2021 26,127,572 28,223,117 28,331,880 Total mortgages payable 5.61 % $ 85,823,572 $ 87,919,117 $ 88,027,880 Less: Deferred financing costs (1,040,522) (1,157,537) Total mortgage payable, net $ 86,878,595 $ 86,870,343
Schedule of Maturities of Long-term Debt	The following table, based on the initial terms of the mortgage, sets forth their aggregate estimated contractual principal maturities, including balloon payments due at maturity, as of March 31, 2017: Remainder of 2017 2018 2019 2020 2021 Thereafter Total Principal maturities $ 315,489 $ 445,052 $ 60,162,871 $ 486,092 $ 26,509,613 $ - $ 87,919,117 Less: Deferred financing costs (1,040,522) Total principal maturiteis, net $ 86,878,595

Selling Commissions, Dealer M21

Selling Commissions, Dealer Manager Fees and Other Offering Costs (Tables)	3 Months Ended
	Mar. 31, 2017
Selling Commission, Dealer Manager Fees And Other Offering Costs [Abstract]
Summary of Selling Commission, Dealer Manager Fees and Other Offering Costs	The following table represents the selling commissions and dealer manager fees and other offering costs for the periods indicated: For the Three Months Ended March 31, 2017 2016 Selling commissions and dealer manager fees $ 1,761,461 $ 1,611,877 Other offering costs $ 44,267 $ 124,360

Financial Instruments (Tables)

Financial Instruments (Tables)	3 Months Ended
	Mar. 31, 2017
Financial Instruments, Owned, at Fair Value [Abstract]
Schedule Of Mortgage Payable	The estimated fair value of our mortgages payable is as follows: As of March 31, 2017 As of December 31, 2016 Carrying Amount Estimated Fair Value Carrying Amount Estimated Fair Value Mortgages payable $ 87,919,117 $ 87,180,396 $ 88,027,880 $ 87,252,072

Organization (Details Textual)

Organization (Details Textual)	Jul. 15, 2014$ / sharesshares	Mar. 31, 2017USD ($)$ / shares$ / Roomshares	Dec. 31, 2016$ / shares	Sep. 30, 2016$ / shares	Jul. 25, 2016$ / shares	Jul. 16, 2014USD ($)shares	Dec. 24, 2012$ / sharesshares	Mar. 31, 2017USD ($)$ / shares$ / Roomshares	Mar. 31, 2016USD ($)
Organization Consolidation And Presentation Of Financial Statements [Line Items]
Issuance of common shares, value								$ 18,413,803
General partner ownership interest								99.00%
Common Stock, Par Value | $ / shares		$ 0.01	$ 0.01					$ 0.01
Equity Method investment ,Percentage of Maximum Offering cost								12.00%
Maximum Amount of Offering								$ 300,000,000
Equity Method Investment, Aggregate Cost		$ 36,000,000						36,000,000
Issuance of Subordinated Participation Interest for Each Partner		$ 50,000						50,000
Adjustments to Additional Paid in Capital, Stock Issued, Issuance Costs								1,761,461	$ 1,611,877
Payments of Stock Issuance Costs								1,594,342	$ 2,794,050
Stock Issued During Period, Value, Dividend Reinvestment Plan								$ 816,948
Distribution Reinvestment Offered Discounted Percentage	95.00%
RP Maximus Cove LLC [Member]
Organization Consolidation And Presentation Of Financial Statements [Line Items]
Equity Method Investment, Ownership Percentage		22.50%						22.50%
Hospitality Property Average Revenue Per Available Room | $ / Room		82.87						82.87
Percentage of Occupancy								71.00%
Percentage Of Acquisition		81.10%						81.10%
General Partner [Member]
Organization Consolidation And Presentation Of Financial Statements [Line Items]
Contribution from advisor						$ 2,000
Number of limited partner units issued to advisor | shares						200
Limited Partner [Member]
Organization Consolidation And Presentation Of Financial Statements [Line Items]
Partners' Capital Account, Contributions								$ 12,100,000
Partners' Capital Account, Units, Contributed | shares								242
Lightstone Value Plus REIT III LLC [Member]
Organization Consolidation And Presentation Of Financial Statements [Line Items]
Issuance of common shares, shares | shares							20,000	13,400,000
Issuance of common shares, value								$ 131,200,000
Shares issued, price per share | $ / shares							$ 10
General partner ownership interest								99.00%
Company owned by David Lichtenstein [Member]
Organization Consolidation And Presentation Of Financial Statements [Line Items]
Issuance of common shares, value								$ 2,000,000
Shares issued, price per share | $ / shares		$ 9						$ 9
Equity Method investment ,Percentage of Maximum Offering cost								100.00%
Stock Offering [Member]
Organization Consolidation And Presentation Of Financial Statements [Line Items]
Shares reserved for issuance | shares	30,000,000
Shares reserved for issuance, price per share | $ / shares	$ 10		$ 10	$ 10	$ 10
Common Stock, Par Value | $ / shares	$ 0.01
Proceeds from Contributions from Affiliates		$ 12,100,000
Adjustments to Additional Paid in Capital, Stock Issued, Issuance Costs		12,200,000
Payments of Stock Issuance Costs		4,800,000
Proceeds from Issuance Initial Public Offering		$ 126,300,000
Stock Issued During Period, Shares, Dividend Reinvestment Plan | shares		300,000
Stock Issued During Period, Value, Dividend Reinvestment Plan		$ 2,900,000
Distribution Reinvestment Plan [Member]
Organization Consolidation And Presentation Of Financial Statements [Line Items]
Shares reserved for issuance | shares	10,000,000
Shares reserved for issuance, price per share | $ / shares	$ 9.50

Summary of Significant Accoun24

Summary of Significant Accounting Policies (Details) - USD ($)		3 Months Ended
		Mar. 31, 2017	Mar. 31, 2016
Pro forma rental revenue		$ 7,720,597	$ 7,778,659
Pro forma net loss	[1]	$ (1,365,995)	$ (501,778)
Pro forma net income per Company's common share, basic and diluted	[1]	$ (0.11)	$ (0.10)
[1]	Includes acquisition fees and acquisition-related expenses aggregating $ 465,840 during the three months ended March 31, 2016.

Summary of Significant Accoun25

Summary of Significant Accounting Policies (Details Textual) - USD ($)	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Accounting Policies [Line Items]
General partner ownership interest	99.00%
Business Combination, Acquisition Related Costs		$ 465,840
RP Maximus Cove LLC [Member]
Accounting Policies [Line Items]
Equity Method Investment, Ownership Percentage	22.50%

Investment in Unconsolidated 26

Investment in Unconsolidated Affiliated Real Estate Entity (Details) - USD ($)	3 Months Ended
	Mar. 31, 2017	Dec. 31, 2016
Schedule of Equity Method Investments [Line Items]
Equity Method Investments	$ 20,097,888	$ 0
RP Maximus Cove LLC [Member]
Schedule of Equity Method Investments [Line Items]
Business Acquisition, Date of Acquisition Agreement	Jan. 31, 2017
Equity Method Investment, Ownership Percentage	22.50%
Equity Method Investments	$ 20,097,888	$ 0

Investment in Unconsolidated 27

Investment in Unconsolidated Affiliated Real Estate Entity (Details 1) - USD ($)		2 Months Ended	3 Months Ended
		Mar. 31, 2017	Mar. 31, 2017	Mar. 31, 2016
Schedule of Equity Method Investments [Line Items]
Company's loss from investment			$ (512,707)	$ 0
RP Maximus Cove LLC [Member]
Schedule of Equity Method Investments [Line Items]
Revenue		$ 2,074,000
Property operating expenses		633,000
General and administrative costs		126,000
Depreciation and amortization		1,584,000
Operating loss		(269,000)
Interest expense and other, net		(1,477,000)
Net loss		(1,746,000)
Company's share of net loss (22.50%)		(393,000)
Additional depreciation and amortization expense	[1]	(120,000)
Company's loss from investment		$ (513,000)
[1]	Additional depreciation and amortization expense relates to the difference between the Company’s basis in the Cove Joint Venture and the amount of the underlying equity in net assets of the Cove Joint Venture.

Investment in Unconsolidated 28

Investment in Unconsolidated Affiliated Real Estate Entity (Details 2) $ in Thousands	Mar. 31, 2017USD ($)
Schedule of Equity Method Investments [Line Items]
Equity Method Investment, Summarized Financial Information, Assets	$ 159,598
Members' deficit	(14,733)	[1]
Total liabilities and members' deficit	159,598
Cash and restricted cash [Member]
Schedule of Equity Method Investments [Line Items]
Equity Method Investment, Summarized Financial Information, Assets	3,638
Other Assets [Member]
Schedule of Equity Method Investments [Line Items]
Equity Method Investment, Summarized Financial Information, Assets	1,020
Other Liabilities [Member]
Schedule of Equity Method Investments [Line Items]
Equity Method Investment, Summarized Financial Information, Liabilities	1,439
Real Estate [Member]
Schedule of Equity Method Investments [Line Items]
Equity Method Investment, Summarized Financial Information, Assets	154,940
Mortgage payable [Member]
Schedule of Equity Method Investments [Line Items]
Equity Method Investment, Summarized Financial Information, Liabilities	$ 172,892
[1]	Additional depreciation and amortization expense relates to the difference between the Company’s basis in the Cove Joint Venture and the amount of the underlying equity in net assets of the Cove Joint Venture.

Investment in Unconsolidated 29

Investment in Unconsolidated Affiliated Real Estate Entity (Details Textual) - USD ($)	1 Months Ended	3 Months Ended
	Jan. 31, 2017	Mar. 31, 2017
Subsequent Event [Line Items]
Guarantor Obligations, Current Carrying Value	$ 43,800,000
Debt Instrument, Description of Variable Rate Basis	The Loan bears interest at Libor plus 3.85% through its initial maturity and Libor plus 4.15% during each of the extension periods.
Investment Advisory Fees		$ 573,750
Business Acquisition Fee Percentage		1.00%
Refurbishment Guarantee [Member]
Subsequent Event [Line Items]
Guarantor Obligations, Current Carrying Value	$ 13,400,000
Parent Company [Member]
Subsequent Event [Line Items]
Guarantor Obligations, Current Carrying Value	10,900,000
Cove Transaction [Member]
Subsequent Event [Line Items]
Aggregate purchase price	255,000,000
Offering funds used in acquisition	80,000,000
Proceeds from Issuance of Debt	$ 175,000,000
Business Acquisition, Percentage of Voting Interests Acquired	22.50%
Cove Transaction [Member] | Parent Company [Member]
Subsequent Event [Line Items]
Offering funds used in acquisition	$ 20,000,000
Revolving Promissory Note [Member] | Refurbishment Guarantee [Member]
Subsequent Event [Line Items]
Guarantor Obligations, Current Carrying Value	3,300,000
Loan [Member]
Subsequent Event [Line Items]
Face amount	$ 175,000,000
Debt Instrument, Maturity Date	Jan. 31, 2020

Mortgage payable, net (Details)

Mortgage payable, net (Details) - USD ($)	3 Months Ended
	Mar. 31, 2017	Dec. 31, 2016
Revolving Credit Facility	$ 87,919,117	$ 88,027,880
Less: Deferred financing costs	(1,040,522)	(1,157,537)
Total mortgage payable, net	$ 86,878,595	86,870,343
Revolving Credit Facility, secured by seven properties, Weighted Average Interest Rate	5.61%
Revolving Credit Facility, secured by seven properties, Amount Due at Maturity	$ 85,823,572
Revolving Credit Facility [Member]
Revolving Credit Facility	$ 59,696,000	59,696,000
Revolving Credit Facility, secured by seven properties, Interest Rate	LIBOR + 4.95%
Revolving Credit Facility, secured by seven properties, Weighted Average Interest Rate	6.03%
Revolving Credit Facility, secured by seven properties, Maturity Date	July 2,019
Revolving Credit Facility, secured by seven properties, Amount Due at Maturity	$ 59,696,000
Promissory Note [Member]
Revolving Credit Facility	$ 28,223,117	$ 28,331,880
Revolving Credit Facility, secured by seven properties, Interest Rate	4.73%
Revolving Credit Facility, secured by seven properties, Weighted Average Interest Rate	4.73%
Revolving Credit Facility, secured by seven properties, Maturity Date	October 2,021
Revolving Credit Facility, secured by seven properties, Amount Due at Maturity	$ 26,127,572

Mortgage payable, net (Details

Mortgage payable, net (Details 1) - USD ($)	Mar. 31, 2017	Dec. 31, 2016
Principal maturities, Repayments of Principal in 2017	$ 315,489
Principal maturities, Repayments of Principal in 2018	445,052
Principal maturities, Repayments of Principal in 2019	60,162,871
Principal maturities, Repayments of Principal in 2020	486,092
Principal maturities, Repayments of Principal in 2021	26,509,613
Principal maturities, Repayments of Principal Thereafter	0
Principal maturities	87,919,117	$ 88,027,880
Less: Deferred financing costs	(1,040,522)	(1,157,537)
Total principal maturiteis, net	$ 86,878,595	$ 86,870,343

Selling Commissions, Dealer M32

Selling Commissions, Dealer Manager Fees and Other Offering Costs (Details) - USD ($)	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Selling Commission, Dealer Manager Fees and Other Offering Costs [Line Items]
Selling commissions and dealer manager fees	$ 1,761,461	$ 1,611,877
Other offering costs	$ 44,267	$ 124,360

Selling Commissions, Dealer M33

Selling Commissions, Dealer Manager Fees and Other Offering Costs (Details Textual) $ in Millions	3 Months Ended
	Mar. 31, 2017USD ($)
Related Party Transaction [Line Items]
Selling commissions and dealer manager fees	$ 12.2
Debt Related Commitment Fees and Debt Issuance Costs	$ 4.8

Related Party Transactions (Det

Related Party Transactions (Details Textual) - USD ($)	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Related Party Transaction [Line Items]
Business Combination, Acquisition Related Costs		$ 465,840
Capitalized Acquisition Related Costs	$ 573,750
Advisor [Member]
Related Party Transaction [Line Items]
Business Combination, Acquisition Related Costs	573,750	229,000
Payment for Management Fee	$ 2,003
Insurance Agency [Member]
Related Party Transaction [Line Items]
Payments For Insurance Advisory Fee		$ 34,875

Financial Instruments (Details)

Financial Instruments (Details) - USD ($)	Mar. 31, 2017	Dec. 31, 2016
Mortgages payable, Estimated Fair Value	$ 87,180,396	$ 87,252,072
Revolving Credit Facility	$ 87,919,117	$ 88,027,880

Distributions (Details Textual)

Distributions (Details Textual) - USD ($)	May 12, 2017	Mar. 31, 2017	Mar. 31, 2016
Distributions [Line Items]
Distribution paid		$ 956,022	$ 324,908
Value of common stock issued pursuant to Distribution Reinvestment Program		816,948
Net Cash Provided by (Used in) Operating Activities, Continuing Operations		1,248,182	$ 242,327
Subsequent Event [Member]
Distributions [Line Items]
Distribution on per day basis	$ 0.00164383
Number of days used to calculate daily amount of distribution	365 days
Annualized rate of dividend	6.00%
Face value of share	$ 10
Distribution declared	May 12, 2017
Dividend Paid [Member]
Distributions [Line Items]
Distribution paid		$ 1,862,398
Shares of common stock issued pursuant to Distribution Reinvestment Program		90,955
Discounted price per share		$ 9.50
Value of common stock issued pursuant to Distribution Reinvestment Program		$ 864,073
Percentage Of Distribution Paid From Offering Proceeds		54.00%
Percentage Of Distribution Paid From Issuance Of Common Stock Through DRIP		46.00%
Net Cash Provided by (Used in) Operating Activities, Continuing Operations		$ 998,326