Rich Uncles Real Estate Investment Trust I 10-Q 14 Aug 17 2017 Q2 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	6 Months Ended
	Jun. 30, 2017	Aug. 14, 2017
Document Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jun. 30, 2017
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q2
Entity Registrant Name	Rich Uncles Real Estate Investment Trust I
Entity Central Index Key	1,672,754
Current Fiscal Year End Date	--12-31
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		7,385,425

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($)	Jun. 30, 2017	Dec. 31, 2016
Real estate investments:
Land	$ 29,896,957	$ 27,738,010
Buildings and improvements	96,674,564	72,141,786
Tenant origination and absorption costs	12,699,134	9,380,693
Total real estate investments, cost	139,270,655	109,260,489
Accumulated depreciation and amortization	(6,311,898)	(3,797,990)
Total real estate investments, net	132,958,757	105,462,499
Cash and cash equivalents	7,024,197	12,341,682
Restricted cash	1,585,610	1,123,470
Tenant receivables	1,359,973	731,690
Above-market lease intangibles, net	834,842	249,967
Due from affiliates	145	48,950
Purchase and other deposits	0	1,250,000
Interest rate swap derivatives	184,923	180,759
Other assets	38,643	18,553
TOTAL ASSETS	143,987,090	121,407,570
LIABILITIES AND SHAREHOLDERS' EQUITY
Mortgage note payable, net	62,699,053	38,705,103
Accounts payable, accrued expenses and other liabilities	1,163,289	923,249
Sales deposit liability (Note 4)	1,000,000	1,000,000
Share repurchase payable	1,478,419	592,511
Below-market leases, net	4,403,750	4,841,757
Due to affiliates	132,747	644,277
Interest rate swap derivatives	85,108	106,840
TOTAL LIABILITIES	70,962,366	46,813,737
Redeemable common stock	656,348	1,229,644
Common stock $0.01 par value, 10,000,000 shares authorized, 8,358,474 shares issued and outstanding as of March 31, 2017 and 8,249,204 shares issued and outstanding as of December 31, 2016	83,579	82,492
Additional paid-in-capital	81,416,054	80,637,051
Cumulative distributions and net losses	(9,131,257)	(7,355,354)
TOTAL SHAREHOLDERS' EQUITY	72,368,376	73,364,189
Commitments and contingencies (Note 10)
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY	$ 143,987,090	$ 121,407,570

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares	Jun. 30, 2017	Dec. 31, 2016
Common Stock, Par or Stated Value Per Share	$ 0.01	$ 0.01
Common Stock, Shares Authorized	10,000,000	10,000,000
Common Stock, Shares, Issued	8,358,474	8,249,204
Common Stock, Shares, Outstanding	8,358,474	8,249,204

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Revenues:
Rental income	$ 2,829,432	$ 1,267,927	$ 5,222,228	$ 2,041,403
Tenant recoveries	678,519	172,530	1,011,990	203,956
Total revenue	3,507,951	1,440,457	6,234,218	2,245,359
Expenses:
Fees to affiliates (Note 9)	193,391	537,392	355,592	694,531
General and administrative	238,118	869,987	387,783	1,534,390
Depreciation and amortization	1,452,354	597,139	2,670,428	1,148,631
Interest expense	761,743	475,957	1,222,944	934,673
Property expenses	673,445	206,565	1,014,404	257,956
Acquisition costs	0	21,546	0	76,222
Total expenses	3,319,051	2,708,586	5,651,151	4,646,403
Other income:
Interest income	558	51	838	51
Gain on sale of real estate investment property, net (Note 5)	747,957	0	747,957	0
Total other income	748,515	51	748,795	51
Net income (loss)	$ 937,414	$ (1,268,078)	$ 1,331,862	$ (2,400,993)
Net income (loss) per share, basic and diluted	$ 0.11	$ (0.21)	$ 0.16	$ (0.46)
Weighted-average number of common shares outstanding, basic and diluted	8,381,613	6,062,281	8,348,625	5,178,411
Dividends declared per common share	$ 0.1875	$ 0.1875	$ 0.1875	$ 0.3750

Condensed Consolidated Stateme5

Condensed Consolidated Statement of Shareholders' Equity - 6 months ended Jun. 30, 2017 - USD ($)	Total	Common Stock [Member]	Additional Paid-in Capital [Member]	Cumulative Distributions and Net Losses [Member]
Balance at Dec. 31, 2016	$ 73,364,189	$ 82,492	$ 80,637,051	$ (7,355,354)
Balance (in shares) at Dec. 31, 2016		8,249,204
Issuance of common stock	2,174,712	$ 2,174	2,172,538	0
Issuance of common stock (in shares)		217,471
Dividends declared	(3,107,765)	$ 0	0	(3,107,765)
Common stock awarded for services	60,000	$ 55	59,945	0
Common stock awarded for services (in shares)		6,000
Repurchase of common stock	(1,142,010)	$ (1,142)	(1,140,868)	0
Repurchase of common stock (in shares)		(114,201)
Net income	1,331,862	$ 0	0	1,331,862
Transfer to redeemable common stock	(312,612)	0	(312,612)	0
Balance at Jun. 30, 2017	$ 72,368,376	$ 83,579	$ 81,416,054	$ (9,131,257)
Balance (in shares) at Jun. 30, 2017		8,358,474

Condensed Consolidated Stateme6

Condensed Consolidated Statements of Cash Flows - USD ($)	6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016
CASH FLOWS FROM OPERATING ACTIVITIES
Net income (loss)	$ 1,331,862	$ (2,400,993)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation and amortization	2,670,428	1,148,631
Common stock shares awarded for services	60,000	25,430
Straight-line rents	(358,410)	(106,285)
Amortization of deferred financing costs	145,776	49,560
Amortization of above-market lease	14,266	11,184
Amortization of below-market leases	(438,007)	(152,791)
Distributions from earnings in limited partnerships	0	21,193
Gain on sale of real estate investment, net	(747,957)	0
Unrealized (losses) gain on interest rate swaps	(30,892)	576,175
Expensed organization and offering costs	65,241	1,282,134
Expensed acquisition fees and costs	0	587,730
Changes in operating assets and liabilities:
Tenant receivables	(290,083)	0
Other assets	(20,478)	(31,997)
Accounts payable and accrued liabilities	510,205	202,364
Due to affiliates	(364,396)	134,760
Net cash provided by operating activities	2,547,555	1,347,095
CASH FLOWS FROM INVESTING ACTIVITIES
Acquisition of real estate investments	(30,664,507)	(24,255,037)
Additions to real estate investments	(367,771)	0
Payment of acquisition fees and costs	(677,029)	(481,871)
Payment of buyer holdback	(250,000)	0
Refundable purchase deposits	(250,000)	(1,826,480)
Proceeds from sale of real estate investment property	3,245,286	0
Distributions from sales proceeds in limited partnerships	0	1,230,858
Net cash used in investing activities	(28,964,021)	(25,332,530)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from mortgage notes payable	24,865,612	13,780,000
Cash held in escrow from mortgage financing	0	1,446,000
Repayments of mortgage notes payable	(523,514)	(89,143)
Refundable loan deposits	(85,380)	0
Repayments of unsecured credit facility	0	(8,044,432)
Payments of deferred financing costs	(545,958)	(499,235)
Proceeds from sale of an interest in real property recorded as a financing transaction	0	1,000,000
Payment of offering costs	(74,576)	(990,600)
Proceeds from issuance of common stock	0	39,074,619
Repurchase of common stock	(1,142,010)	(1,158,644)
Dividends paid to common shareholders	(933,053)	(374,769)
Net cash provided by financing activities	21,561,121	44,143,796
NET (DECREASE) INCREASE IN CASH, CASH EQUIVALENTS AND RESTRICTED CASH	(4,855,345)	20,158,361
CASH, CASH EQUIVALENTS AND RESTRICTED CASH AT BEGINNING OF PERIOD	13,465,152	2,102,868
CASH, CASH EQUIVALENTS AND RESTRICTED CASH AT END OF PERIOD	8,609,807	22,261,229
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:
Cash paid for interest	982,039	244,773
SUPPLEMENTAL SCHEDULE OF NONCASH INVESTING AND FINANCING ACTIVITIES:
Transfers to redeemable common stock	312,612	1,524,774
Increase in share redemptions payable	885,908	351,207
Reinvested dividends from common stock holders	2,174,711	985,464
Purchase deposits applied to acquisition of real estate	1,500,000	1,080,750
Security deposits assumed and prorations from acquisitions	$ 107,029	$ 200,213

BUSINESS AND ORGANIZATION

BUSINESS AND ORGANIZATION	6 Months Ended
	Jun. 30, 2017
Accounting Policies [Abstract]
Business Description and Basis of Presentation [Text Block]	NOTE 1. BUSINESS AND ORGANIZATION Rich Uncles Real Estate Investment Trust I (the “Company”) was formed on March 7, 2012. The Company is an unincorporated association under the laws of the State of California and is treated as a real estate investment trust (“REIT”). From April 2012 until July 20, 2016 (“Termination Date”), the Company was engaged in an offering of its shares of common stock. The Company continues to sell its shares to existing shareholders under the Company’s dividend reinvestment plan (the “Plan”). The number of shares authorized for issuance under the Company’s dividend reinvestment plan is 3,000,000 Additionally, no later than the 10 th On April 29, 2016, the Company filed a registration statement on Form 10 with the Securities and Exchange Commission (the “SEC”) to register its common stock under the Securities Exchange Act of 1934, as amended. The Form 10 registration statement became effective on May 29, 2016. The Company was formed to primarily invest, directly or indirectly through investments in real estate owning entities, in single-tenant income-producing corporate properties located 80% in California and 20% in other states, which are leased to creditworthy tenants under long-term net leases. The Company’s goal is to generate current income for investors and long-term capital appreciation in the value of its properties. The Company holds its investments directly and/or through special purpose wholly owned limited liability companies or other subsidiaries. The Company holds its 70.14 The Company is externally managed by its advisor and sponsor, Rich Uncles, LLC (the “Advisor” or the “Sponsor”) whose members include Harold Hofer, Howard Makler, and Ray Wirta. Rich Uncles, LLC is a Delaware limited liability company registered to do business in California. The Company has entered into an agreement (the “Advisory Agreement”) with the Advisor. The current term of the Advisory Agreement ends on March 8, 2018. The Advisory Agreement may be renewed for an unlimited number of successive one-year periods upon the mutual consent of the Company and the Advisor. The Advisor may terminate the Advisory Agreement for any reason and without penalty upon 60 days’ written notice; and we may terminate the Advisory Agreement for cause as defined in the Advisory Agreement. Upon termination of the Advisory Agreement, the Advisor may be entitled to a termination fee. This agreement entitles the Advisor to specified fees upon the provision of certain services with regard to the investment of funds in real estate investments, the management of those investments, among other services, and the disposition of investments, as well as entitles the Advisor to reimbursement of organization and offering costs incurred by the Advisor or Sponsor on behalf of the Company, such as expenses related to the offering, and certain costs incurred by the Advisor in providing services to the Company. In addition, the Advisor is entitled to certain other fees, including an incentive fee upon achieving certain performance goals, as detailed in the Advisory Agreement. The Advisor Agreement is terminable by a majority of the members of the Company’s independent Board of Trustees or the Advisor on 60 days’ written notice with or without cause. The Sponsor also serves as the sponsor for RW Holdings NNN REIT, Inc. The Company elected to be taxed as a REIT for U.S. federal income tax purposes under Sections 856 through 860 of the Internal Revenue Code of 1986, as amended, beginning with the year ended December 31, 2014.

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	6 Months Ended
	Jun. 30, 2017
Accounting Policies [Abstract]
Significant Accounting Policies [Text Block]	NOTE 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation and Principles of Consolidation The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information as contained in the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“Codification”), and in conjunction with rules and regulations of the SEC, including the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, the unaudited condensed consolidated financial statements do not include certain information and footnote disclosures required by GAAP for audited financial statements. In the opinion of management, the unaudited condensed consolidated financial statements reflect all adjustments which are of a normal and recurring nature, necessary for a fair and consistent presentation of the financial position and the results for the interim period presented. Operating results for the three and six months ended June 30, 2017 are not necessarily indicative of the results that may be expected for the year ended December 31, 2017. The accompanying unaudited interim financial information should be read in conjunction with our December 31, 2016 audited consolidated financial statements included in our Annual Report on Form 10-K filed with the SEC on July 14, 2017. The unaudited condensed consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. All significant intercompany balances and transactions are eliminated in consolidation. Cash, Cash Equivalents and Restricted Cash The Company considers all highly liquid investments purchased with an original maturity of three months or less to be cash equivalents. Cash equivalents may include cash and short-term investments. Cash, cash equivalents and restricted cash are stated at cost, which approximates fair value. The Company’s cash, cash equivalents and restricted cash balance may exceed federally insurable limits. The Company intends to mitigate this risk by depositing funds with major financial institutions; however these cash balances and restricted cash could be impacted if the underlying financial institutions fail or are subject to other adverse conditions in the financial markets. Other Comprehensive Loss For all periods presented, other comprehensive loss is the same as net loss. Use of Estimates The preparation of the unaudited condensed consolidated financial statements and the accompanying notes thereto in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the unaudited condensed consolidated financial statements and accompanying notes. Actual results may differ from those estimates. Recent Accounting Pronouncements New Accounting Standards Issued and Adopted In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments In August 2014, the FASB issued ASU No. 2014-15, Presentation of Financial Statements (Subtopic 205-40) Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern In January 2017, the FASB issued Accounting Standards Update (“ASU”) No. 2017-01 , Business Combinations (Topic 805): Clarifying the Definition of a Business New Accounting Standards Recently Issued and Not Yet Adopted In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) Revenue Recognition (Topic 605) Leases (Topic 840). Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842)

REAL ESTATE INVESTMENTS

REAL ESTATE INVESTMENTS	6 Months Ended
	Jun. 30, 2017
Real Estate [Abstract]
Real Estate Disclosure [Text Block]	NOTE 3. REAL ESTATE INVESTMENTS Property Location Acquisition Property Land, Tenant Accumulated Total Real Chase Bank & Great Clips Antioch, CA 8/22/2014 Retail $ 3,160,035 $ 668,200 $ (919,823) $ 2,908,412 Chevron Gas Station San Jose, CA 5/29/2015 Retail 2,775,000 - (82,371) 2,692,629 Levins Sacramento, CA 8/19/2015 Industrial 3,750,000 - (399,148) 3,350,852 Chevron Gas Station Roseville, CA 9/30/2015 Retail 2,800,000 - (171,221) 2,628,779 Island Pacific Supermarket Elk Grove, CA 10/1/2015 Retail 3,151,460 568,540 (292,744) 3,427,256 Dollar General Bakersfield, CA 11/11/2015 Retail 4,632,567 689,020 (312,064) 5,009,523 Rite Aid Lake Elsinore, CA 12/7/2015 Retail 6,663,446 968,286 (367,801) 7,263,931 PMI Preclinical San Carlos, CA 12/9/2015 Office 8,920,000 - (316,971) 8,603,029 EcoThrift Sacramento, CA 3/17/2016 Retail 4,486,993 541,729 (312,849) 4,715,873 GSA (MSHA) Vacaville, CA 4/5/2016 Office 2,998,232 456,645 (180,479) 3,274,398 PreK San Antonio San Antonio, TX 4/8/2016 Retail 11,851,540 1,593,451 (1,103,347) 12,341,644 Dollar Tree Morrow, GA 4/22/2016 Retail 1,294,943 206,844 (111,070) 1,390,717 Dinan Cars Morgan Hill, CA 6/21/2016 Industrial 4,651,845 654,155 (396,072) 4,909,928 Solar Turbines San Diego, CA 7/21/2016 Office 5,481,198 389,718 (257,917) 5,612,999 Amec Foster San Diego, CA 7/21/2016 Office 5,697,402 485,533 (181,281) 6,001,654 ITW Ripley El Dorado, CA 8/18/2016 Industrial 6,178,204 407,316 (187,041) 6,398,479 Dollar General Big Spring Big Spring, TX 11/4/2016 Retail 1,161,647 112,958 (18,984) 1,255,621 Gap Rocklin, CA 12/1/2016 Office 7,209,629 677,191 (173,021) 7,713,799 L-3 Communications San Diego, CA 12/23/2016 Office 10,783,426 961,107 (184,872) 11,559,661 Sutter Health Rancho Cordova, CA 3/15/2017 Office 24,256,632 2,870,258 (338,008) 26,788,882 Walgreens Santa Maria, CA 6/29/2017 Retail 4,667,322 448,183 (4,814) 5,110,691 $ 126,571,521 $ 12,699,134 $ (6,311,898) $ 132,958,757 Current Acquisitions Land, Building Tenant and Origination and Above Property Acquisition Date Improvements Absorption Costs Market Leases Total Sutter Health 3/15/2017 $ 24,256,632 $ 2,870,258 $ 474,091 $ 27,600,981 Walgreens 6/29/2017 4,667,322 448,183 125,050 5,240,555 $ 28,923,954 $ 3,318,441 $ 599,141 $ 32,841,536 Purchase price $ 32,841,536 Purchase deposits applied (1,500,000) Acquisition fees and costs (677,029) Cash paid for acquisition of real estate investments $ 30,664,507 The purchase price allocations reflected in the accompanying condensed consolidated financial statements are based upon estimates and assumptions that are subject to change that may impact the fair value of the assets and liabilities above (including real estate investments, other assets and accrued liabilities). The expiration of the leases of the properties acquired during the three and six months ended June 30, 2017 are as follows: Lease Expirations Sutter Health 10/31/2025 Walgreens 3/31/2062 The Company recognized $ 632,847 704,905 Operating Leases The Company’s real estate properties are primarily leased to tenants under triple-net leases for which terms and expirations vary. The Company monitors the credit of all tenants to stay abreast of any material changes in credit quality. The Company monitors tenant credit by (1) reviewing the credit ratings of tenants (or their parent companies or lease guarantors) that are rated by national recognized rating agencies; (2) reviewing financial statements and related metrics and information that are publicly available or that are required to be provided pursuant to the lease; (3) monitoring new reports and press releases regarding the tenants (or their parent companies or lease guarantors), and their underlying business and industry; and (4) monitoring the timeliness of rent collections. At June 30, 2017 and December 31, 2016, tenant receivables included $ 883,474 545,274 July 1, 2017 through December 31, 2017 $ 5,139,136 2018 10,215,833 2019 10,412,042 2020 10,613,223 2021 9,644,236 2022 8,099,412 Thereafter 33,138,176 $ 87,262,058 Revenue Concentration Percentage of Annualized Annualized Property and Location Base Rent* Base Rent Sutter Health, CA $ 2,247,366 $ 21.97 % * Effective Annualized Base Rent is calculated based on the monthly base rent at June 30, 2017 for twelve months. As of June 30, 2017, no other tenant accounted for more than 10% of annualized base rent. Intangibles Tenant Origination and Absorption Above-Market Below-Market Costs Leases Leases Cost $ 12,699,134 $ 872,408 $ (5,349,908) Accumulated amortization (1,976,458) (37,566) 946,158 Net amount $ 10,722,676 $ 834,842 $ (4,403,750) Tenant Origination and Absorption Above-Market Below-Market Costs Leases Leases Remaining 2017 $ 879,864 $ 17,660 $ (437,743) 2018 1,567,392 35,320 (860,165) 2019 1,567,392 35,320 (860,165) 2022 1,567,392 35,320 (860,165) 2021 1,320,274 35,320 (667,541) 2022 1,080,687 35,320 (201,982) Thereafter 2,739,675 640,582 (515,989) $ 10,722,676 $ 834,842 $ (4,403,750) Weighted Average Remaining Amortization Period 8.73 years 35.89 years 5.87 years

SALE OF INTEREST IN REAL ESTATE

SALE OF INTEREST IN REAL ESTATE INVESTMENT PROPERTY	6 Months Ended
	Jun. 30, 2017
Real Estate [Abstract]
Disposal Of Interest In Real Estate Property [Text Block]	NOTE 4. SALE OF INTEREST IN REAL ESTATE INVESTMENT PROPERTY In March 2016, the Company entered into a tenancy in common agreement and sold an undivided 29.86 1,000,000 13,751 13,751 27,501 18,028 29.86

SALE OF REAL ESATE INVESTMENT P

SALE OF REAL ESATE INVESTMENT PROPERTY	6 Months Ended
	Jun. 30, 2017
Real Estate [Abstract]
Sale Of Real Estate Investment Property Disclosure [Text Block]	NOTE 5. SALE OF REAL ESATE INVESTMENT PROPERTY On April 27, 2017, the Company sold the Chevron Gas Station property in Rancho Cordova, CA to a third party for $ 3,434,000 747,957 103,020 900,000

DEBT

DEBT	6 Months Ended
	Jun. 30, 2017
Debt Disclosure [Abstract]
Debt Disclosure [Text Block]	NOTE 6. DEBT Mortgage Notes Payable Deferred Effective Principal Financing Contractual Interest Loan Collateral Amount Costs Net Balance Interest Rate Rate (1) Maturity Chase Bank & Great Clips $ 1,906,709 $ (28,259) $ 1,878,450 4.37% fixed 4.37 % 2/5/2019 Levins 2,191,276 (43,115) $ 2,148,161 One-month LIBOR + 1.93% 3.74 % 1/5/2021 Island Pacific Supermarket 1,992,601 (41,748) $ 1,950,853 One-month LIBOR + 1.93% 3.74 % 1/5/2021 Dollar General Bakersfield 2,455,270 (67,330) $ 2,387,940 One-month LIBOR + 1.48% 3.38 % 3/5/2021 Rite Aid 3,867,940 (124,326) $ 3,743,614 One-month LIBOR + 1.50% 3.25 % 5/5/2021 PMI Preclinical 4,350,617 (154,551) $ 4,196,065 One-month LIBOR + 1.48% 3.38 % 3/5/2021 EcoThrift 2,795,600 (99,771) $ 2,695,829 One-month LIBOR + 1.21% 2.96 % 7/5/2021 GSA 1,901,607 (79,275) $ 1,822,332 One-month LIBOR + 1.25% 3.00 % 8/5/2021 PreK San Antonio 5,379,212 (182,202) $ 5,197,010 4.25% fixed 4.25 % 12/1/2021 Dinan Cars 2,841,914 (90,815) $ 2,751,099 One-month LIBOR + 2.27% 4.02 % 1/5/2022 ITW Sky Park 9,954,758 (272,471) $ 9,682,287 3.35% fixed 3.35 % 11/1/2026 L-3 Communications 5,514,658 (133,316) $ 5,381,342 4.5% fixed 4.50 % 4/1/2022 Gap 3,815,479 (96,417) $ 3,719,062 4.15% fixed 4.15 % 8/1/2023 Dollar General Big Spring (2) 636,916 (28,213) $ 608,703 4.69% fixed 4.69 % 3/13/2022 Sutter Health 14,756,188 (219,882) $ 14,536,306 4.5% fixed 4.50 % 3/9/2024 $ 64,360,745 $ (1,661,691) $ 62,699,053 (1) Contractual interest rate represents the interest rate in effect under the mortgage note payable as of June 30, 2017. Effective interest rate is calculated as the actual interest rate in effect as of June 30, 2017 (consisting of the contractual interest rate and the effect of the interest rate swap, if applicable). For further information regarding the Company’s derivative instruments, see Note 6. (2) The loan is cross-collateralized with the six Dollar General properties owned by RW Holdings NNN REIT, Inc. The deed of trust for the Company’s Dollar General Big Spring property and the deeds of trust for the RW Holdings NNN REIT, Inc.’s six Dollar General properties contain cross collateralization and cross default provisions. At June 30, 2017, the outstanding principal balance of the loans on RW Holdings NNN REIT, Inc.’s six Dollar General properties was $ 3,976,515 The mortgage notes payable provide for monthly payments of principal and interest. The mortgage loans payable have balloon payments that are due at loan maturity. Pursuant to the terms of the mortgage notes payable agreements, the Company is subject to certain financial loan covenants. The Company was in compliance with all terms and conditions of the mortgage loan agreements. April 1, 2017 through December 31, 2017 $ 597,661 2018 1,234,848 2019 3,094,244 2020 1,288,786 2021 23,881,428 2022 25,513,920 Thereafter 8,749,858 Total principal $ 64,360,745 Unsecured Credit Facility On January 13, 2015, the Company (“Borrower”), entered into a credit agreement (the “Unsecured Credit Agreement”) with Pacific Mercantile Bank (“Lender”). The line of credit was paid off in January 2016 and no amounts were drawn on the line after January 2016. The Company canceled its line of credit with Pacific Mercantile Bank in June 2016. Three Months Ended June 30, Six Months Ended June 30, 2017 2016 2017 2016 Mortgage Payable Interest expense incurred (1) $ 615,443 $ 132,921 $ 1,080,559 $ 238,559 Amortization of deferred financing costs 77,517 27,136 145,776 37,309 Unrealized loss (gain) on interest rate swaps 55,032 256,624 (30,892) 588,747 Unsecured Credit Facility Interest expense incurred - 45,524 - 39,779 Amortization of deferred financing costs - - - 12,250 Sales deposit liability (see Note 4) 13,751 13,751 27,501 18,028 Total interest expense $ 761,743 $ 475,957 $ 1,222,944 $ 934,673 (1) Includes $ 39,054 83,395 37,813 48,553 8,713 12,572

INTEREST RATE SWAP DERIVATIVES

INTEREST RATE SWAP DERIVATIVES	6 Months Ended
	Jun. 30, 2017
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivative Instruments and Hedging Activities Disclosure [Text Block]	NOTE 7. INTEREST RATE SWAP DERIVATIVES The primary goal of the Company’s risk management practices related to interest rate risk is to prevent changes in interest rates from adversely impacting the Company’s ability to achieve its investment return objectives. The Company does not enter into derivatives for speculative purposes. The Company enters into interest rate swaps as a fixed rate payer to mitigate its exposure to rising interest rates on its variable rate mortgage notes payable. The value of interest rate swaps is primarily impacted by interest rates, market expectations about interest rates, and the remaining life of the instrument. In general, increases in interest rates, or anticipated increases in interest rates, will increase the value of the fixed rate payer position and decrease the value of the variable rate payer position. As the remaining life of the interest rate swap decreases, the value of both positions will generally move towards zero. During 2016, the Company (or wholly owned LLCs) entered into interest rate swap agreements with amortizing notational amounts relating to eight of its mortgage notes payable. The following table summarizes the notional amount and other information related to the Company’s interest rate swaps as of June 30, 2017. June 30, 2017 December 31, 2016 Number Weighted Weighted Number Weighted Weighted of Reference Average Average of Reference Average Average Derivative Instru- Notional Rate as Fixed Remaining Instru- Notional Rate as Fixed Remaining Instruments ments Amount (1) of 6/30/2017 pay rate Term ments Amount (1) of 12/31/2016 pay rate Term Interest Rate Swap Derivatives 8 $ 22,396,825 One-month LIBOR/Fixed at 3.42% 4.09 years 8 $ 22,871,000 One-month LIBOR/Fixed at 3.28% 4.17 years (1) The notional amount of the Company’s swaps decreases each month to correspond to the outstanding principal balance on the related mortgage. The maximum notional amount is shown above. The minimum notional amount (outstanding principal balance at the maturity date) is $ 20,552,875 June 30, 2017 December 31, 2016 Number of Number of Derivative Instrument Balance Sheet Location Instruments Fair Value Instruments Fair Value Interest Rate Swaps Asset - Interest rate swap derivatives, at fair value 5 $ 181,242 5 $ 180,759 Interest Rate Swaps Liability – Interest rate swap derivatives, at fair value 3 $ (90,139) 3 $ (106,840) The change in fair value of a derivative instrument that is not designated as a cash flow hedge is recorded as interest expense in the accompanying consolidated statements of operations. None of the Company’s derivatives at June 30, 2017 or December 31, 2016 were designated as hedging instruments, therefore the net unrealized loss (gain) recognized on interest rate swaps of $ 595,616 257,608 (25,896) 576,175

FAIR VALUE DISCLOSURES

FAIR VALUE DISCLOSURES	6 Months Ended
	Jun. 30, 2017
Fair Value Disclosures [Abstract]
Fair Value Disclosures [Text Block]	NOTE 8. FAIR VALUE DISCLOSURES The fair value for certain financial instruments is derived using a combination of market quotes, pricing models, and other valuation techniques that involve significant management judgment. The price transparency of financial instruments is a key determinant of the degree of judgment involved in determining the fair value of the Company’s financial instruments. Financial instruments for which actively quoted prices or pricing parameters are available and for which markets contain orderly transactions will generally have a higher degree of price transparency than financial instruments for which markets are inactive or consist of non-orderly trades. The Company evaluates several factors when determining if a market is inactive or when market transactions are not orderly. The following is a summary of the methods and assumptions used by management in estimating the fair value of each class of financial instrument for which it is practicable to estimate the fair value: Cash and cash equivalents, restricted cash, tenant receivables, due from affiliates, purchase and other deposits, other assets, accounts payable, accrued expenses and other liabilities, sales deposit liability, share repurchase payable, and due to affiliates: These balances approximate their fair values due to the short maturities of these items. Derivative Instruments : The Company’s derivative instruments are presented at fair value in the accompanying consolidated balance sheet. The valuation of these instruments is determined using a proprietary model that utilizes observable inputs. As such, the Company classifies these inputs as Level 2 inputs. The proprietary model uses the contractual terms of the derivatives, including the period to maturity, as well as observable market-based inputs, including interest rate curves and volatility. The fair value of interest rate swaps are estimated using the market standard methodology of netting the discounted fixed cash payments and the discounted expected variable cash receipts. The variable cash receipts are based on an expectation of interest rates (forward curves) derived from observable market interest rate curves. In addition, credit valuation adjustments, which consider the impact of any credit risks to the contracts, are incorporated in the fair values to account for potential nonperformance risk. Mortgage Notes Payable: The fair value of the Company’s mortgage notes payable is estimated using a discounted cash flow analysis based on management’s estimates of current market interest rates for instruments with similar characteristics, including remaining loan term, loan-to-value ratio. Additionally, when determining the fair value of liabilities in circumstances in which a quoted price in an active market for an identical liability is not available, the Company measures fair value using (i) a valuation technique that uses the quoted price of the identical liability when traded as an asset or quoted prices for similar liabilities or similar liabilities when traded as assets or (ii) another valuation technique that is consistent with the principles of fair value measurement, such as the income approach or the market approach. The Company classifies these inputs as Level 3 inputs. June 30, 2017 December 31, 2016 Face value Carrying value Fair value Face Value Carrying Value Fair Value $ 64,360,745 $ 62,699,053 $ 63,330,615 $ 40,018,648 $ 38,705,103 $ 38,153,219 Disclosures of the fair values of financial instruments are based on pertinent information available to the Company as of June 30, 2017 and December 31, 2016 and require a significant amount of judgment. Low levels of transaction volume for certain financial instruments have made the estimation of fair values difficult and, therefore, both the actual results and the Company’s estimate of value at a future date could be materially different. The actual value could be materially different from the Company’s estimate of value. Quoted Prices in Active Markets for Significant Other Significant Identical Assets Observable Inputs Unobservable Inputs Recurring Basis Total (Level 1) (Level 2) (Level 3) June 30, 2017: $ 181,242 $ - $ 181,242 $ - Liability – Interest rate swap derivatives (90,139) - (90,139) December 31, 2016: 180,759 - 180,759 - Liabilities – Interest rate swap derivatives $ (106,840) $ - $ (106,840) $ -

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS	6 Months Ended
	Jun. 30, 2017
Related Party Transactions [Abstract]
Related Party Transactions Disclosure [Text Block]	NOTE 9. RELATED PARTY TRANSACTIONS The costs incurred by the Company pursuant to the Advisory Agreement for the three and six months ended June 30, 2017 and 2016 as well as the related amounts payable or receivable as of June 30, 2017 and December 31, 2016 are included in the table below. Three Six Three Six June 30, 2017 June 30, 2017 June 30, 2016 December 31, 2016 Incurred Incurred Receivable Payable Incurred Incurred Receivable Payable Expensed: Acquisition fees $ - $ - $ - $ - $ 416,769 $ 511,508 $ - $ - Asset management fees 193,391 355,592 - 170 90,623 153,023 - 43,993 Disposition fees - - - - 30,000 30,000 - - Fees to affiliates 193,391 355,592 537,392 694,531 Property management fees ** 24,776 42,642 - 17,100 1,063 2,125 - 21,267 Disposition fees** 103,020 103,020 - - - - - - Reimbursable organizational 32,462 65,241 - - 681,430 1,202,565 - 41,797 Capitalized: Acquisition fees 102,314 642,314 145 - - - 48,950 - Financing coordination fees - 100,156 - - 112,630 180,760 - 137,800 Other: Due to advisor for costs - 15,000 - 15,000 398,170 351,115 - 270,372 Due to other - SSLFO (1) - - - 100,477 - - - 100,477 Due to NNN (2) - - - 95,730 95,730 - 28,571 $ 455,963 $ 1,323,965 $ 145 $ 132,747 $ 1,826,415 $ 2,526,826 $ 48,950 $ 644,277 * Property management fees are presented as “property expenses” in the condensed consolidated statement of operations ** Disposition fees for the three and six months ended June 30, 2017 are presented as a reduction of gain on sale of real estate investment property (see Note 5). (1) These costs were incurred by SSLFO, an affiliate of the Sponsor, in connection with the organization and offering of the Company’s shares. (2) These costs were incurred in connection with the potential acquisition of a property by the Company. The property was acquired by RW Holdings NNN REIT, Inc.; therefore, the Company has a receivable from RW Holdings NNN REIT, Inc. Organizational and Offering Expenses During the offering, pursuant to the Advisory Agreement, the Company is obligated to reimburse the Sponsor or its affiliates for organizational and offering expenses paid by the Sponsor on behalf of the Company. The Company will reimburse the Sponsor for organizational and offering expenses up to 3.0% of gross offering proceeds. The Sponsor and affiliates will be responsible for any organizational and offering expenses related to the offering to the extent they exceed 3.0% of gross offering proceeds from the offering. As of June 30, 2017, the Sponsor has incurred organizational and offering expenses of $ 3,424,663 As of June 30, 2017 and December 31, 2016, the Company has reimbursed the Sponsor $ 2,621,108 2,514,070 2,621,108 2,555,867 0 41,797 Acquisition Fees The Company shall pay the Advisor a fee in an amount equal 3.0 6.0 Asset Management Fee The Company shall pay to the Advisor as compensation for the advisory services rendered to the Company, a monthly fee in an amount equal to 0.05 Financing Coordination Fee Other than with respect to any mortgage or other financing related to a property concurrent with its acquisition, if the Advisor or an affiliate provides a substantial amount of the services (as determined by a majority of the Company’s independent trust managers) in connection with the post-acquisition financing or refinancing of any debt that the Company obtains relative to a property, then the Company shall pay to the Advisor or such affiliate a financing coordination fee equal to 1.0 Property Management Fees If the Advisor or any of its affiliates provides a substantial amount of the property management services (as determined by a majority of the Company’s independent trust managers) for the Company’s properties, then the Company shall pay to the Advisor or such affiliate a property management fee equal to 1.5 Disposition Fees For substantial assistance in connection with the sale of properties, the Company shall pay to its Advisor or one of its affiliates 3.0 6 Leasing Commission Fees If the Advisor or any of its affiliates provides a substantial amount of the services (as determined by a majority of the Company’s independent trust managers) in connection with the Company’s leasing of its properties to unaffiliated third parties, then the Company shall pay to the Advisor or such affiliate leasing commissions equal to 6.0 3.0 Other Operating Expense Reimbursement Under the prospectus, total operating expenses of the Company are limited to the greater of 2 25

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	6 Months Ended
	Jun. 30, 2017
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies Disclosure [Text Block]	NOTE 10. COMMITMENTS AND CONTINGENCIES Economic Dependency The Company depends on its Sponsor and its Advisor for certain services that are essential to the Company, including the sale of the Company’s shares of common stock under the Plan, the identification, evaluation, negotiation, origination, acquisition and disposition of investments; management of the daily operations of the Company’s investment portfolio; and other general and administrative responsibilities. In the event that these companies are unable to provide the respective services, the Company will be required to obtain such services from other sources. Environmental As an owner of real estate, the Company is subject to various environmental laws of federal, state and local governments. Although there can be no assurance, the Company is not aware of any environmental liability that could have a material adverse effect on its financial condition or results of operations. However, changes in applicable environmental laws and regulations, the uses and conditions of properties in the vicinity of the Company’s properties, the activities of its tenants and other environmental conditions of which the Company is unaware with respect to the property could result in future environmental liabilities. Legal Matters From time to time, the Company may become party to legal proceedings that arise in the ordinary course of its business. The Company is not a party to any legal proceeding, nor is the Company aware of any pending or threatened litigation that could have a material adverse effect on the Company’s business, operating results, cash flows, or financial condition should such litigation be resolved unfavorably. The U.S. Securities and Exchange Commission (the “SEC”) is conducting an investigation related to the advertising and sale of securities by the Company in connection with the offering. The investigation is a non-public fact finding inquiry. It is neither an allegation of wrongdoing nor a finding that violations of law have occurred. In connection with the investigation, the Company and certain affiliates have received and responded to subpoenas from the SEC requesting documents and other information related to the Company and the offering. The SEC’s investigation is ongoing. The Company has cooperated and intends to continue to cooperate with the SEC in this matter. The Company is unable to predict the likely outcome of the investigation or determine its potential impact, if any, on the Company.

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	6 Months Ended
	Jun. 30, 2017
Subsequent Events [Abstract]
Subsequent Events [Text Block]	NOTE 11. SUBSEQUENT EVENTS The Company evaluates subsequent events up until the date the unaudited condensed consolidated financial statements are issued. Distributions On July 20, 2017 0.0020604 1,569,284 July 20, 2017 1,103,595 Repurchase of Common Stock For the period from July 1, 2017 through August 14, 2017, the Company repurchased 202,791

SUMMARY OF SIGNIFICANT ACCOUN18

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	6 Months Ended
	Jun. 30, 2017
Accounting Policies [Abstract]
Consolidation, Policy [Policy Text Block]	Basis of Presentation and Principles of Consolidation The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information as contained in the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“Codification”), and in conjunction with rules and regulations of the SEC, including the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, the unaudited condensed consolidated financial statements do not include certain information and footnote disclosures required by GAAP for audited financial statements. In the opinion of management, the unaudited condensed consolidated financial statements reflect all adjustments which are of a normal and recurring nature, necessary for a fair and consistent presentation of the financial position and the results for the interim period presented. Operating results for the three and six months ended June 30, 2017 are not necessarily indicative of the results that may be expected for the year ended December 31, 2017. The accompanying unaudited interim financial information should be read in conjunction with our December 31, 2016 audited consolidated financial statements included in our Annual Report on Form 10-K filed with the SEC on July 14, 2017. The unaudited condensed consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. All significant intercompany balances and transactions are eliminated in consolidation.
Cash and Cash Equivalents, Restricted Cash and Cash Equivalents, Policy [Policy Text Block]	Cash, Cash Equivalents and Restricted Cash The Company considers all highly liquid investments purchased with an original maturity of three months or less to be cash equivalents. Cash equivalents may include cash and short-term investments. Cash, cash equivalents and restricted cash are stated at cost, which approximates fair value. The Company’s cash, cash equivalents and restricted cash balance may exceed federally insurable limits. The Company intends to mitigate this risk by depositing funds with major financial institutions; however these cash balances and restricted cash could be impacted if the underlying financial institutions fail or are subject to other adverse conditions in the financial markets.
Comprehensive Income, Policy [Policy Text Block]	Other Comprehensive Loss For all periods presented, other comprehensive loss is the same as net loss.
Use of Estimates, Policy [Policy Text Block]	Use of Estimates The preparation of the unaudited condensed consolidated financial statements and the accompanying notes thereto in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the unaudited condensed consolidated financial statements and accompanying notes. Actual results may differ from those estimates.
New Accounting Pronouncements, Policy [Policy Text Block]	Recent Accounting Pronouncements New Accounting Standards Issued and Adopted In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments In August 2014, the FASB issued ASU No. 2014-15, Presentation of Financial Statements (Subtopic 205-40) Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern In January 2017, the FASB issued Accounting Standards Update (“ASU”) No. 2017-01 , Business Combinations (Topic 805): Clarifying the Definition of a Business New Accounting Standards Recently Issued and Not Yet Adopted In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) Revenue Recognition (Topic 605) Leases (Topic 840). Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842)

REAL ESTATE INVESTMENTS (Tables

REAL ESTATE INVESTMENTS (Tables)	6 Months Ended
	Jun. 30, 2017
Real Estate [Abstract]
Schedule of Real Estate Properties [Table Text Block]	Property Location Acquisition Property Land, Tenant Accumulated Total Real Chase Bank & Great Clips Antioch, CA 8/22/2014 Retail $ 3,160,035 $ 668,200 $ (919,823) $ 2,908,412 Chevron Gas Station San Jose, CA 5/29/2015 Retail 2,775,000 - (82,371) 2,692,629 Levins Sacramento, CA 8/19/2015 Industrial 3,750,000 - (399,148) 3,350,852 Chevron Gas Station Roseville, CA 9/30/2015 Retail 2,800,000 - (171,221) 2,628,779 Island Pacific Supermarket Elk Grove, CA 10/1/2015 Retail 3,151,460 568,540 (292,744) 3,427,256 Dollar General Bakersfield, CA 11/11/2015 Retail 4,632,567 689,020 (312,064) 5,009,523 Rite Aid Lake Elsinore, CA 12/7/2015 Retail 6,663,446 968,286 (367,801) 7,263,931 PMI Preclinical San Carlos, CA 12/9/2015 Office 8,920,000 - (316,971) 8,603,029 EcoThrift Sacramento, CA 3/17/2016 Retail 4,486,993 541,729 (312,849) 4,715,873 GSA (MSHA) Vacaville, CA 4/5/2016 Office 2,998,232 456,645 (180,479) 3,274,398 PreK San Antonio San Antonio, TX 4/8/2016 Retail 11,851,540 1,593,451 (1,103,347) 12,341,644 Dollar Tree Morrow, GA 4/22/2016 Retail 1,294,943 206,844 (111,070) 1,390,717 Dinan Cars Morgan Hill, CA 6/21/2016 Industrial 4,651,845 654,155 (396,072) 4,909,928 Solar Turbines San Diego, CA 7/21/2016 Office 5,481,198 389,718 (257,917) 5,612,999 Amec Foster San Diego, CA 7/21/2016 Office 5,697,402 485,533 (181,281) 6,001,654 ITW Ripley El Dorado, CA 8/18/2016 Industrial 6,178,204 407,316 (187,041) 6,398,479 Dollar General Big Spring Big Spring, TX 11/4/2016 Retail 1,161,647 112,958 (18,984) 1,255,621 Gap Rocklin, CA 12/1/2016 Office 7,209,629 677,191 (173,021) 7,713,799 L-3 Communications San Diego, CA 12/23/2016 Office 10,783,426 961,107 (184,872) 11,559,661 Sutter Health Rancho Cordova, CA 3/15/2017 Office 24,256,632 2,870,258 (338,008) 26,788,882 Walgreens Santa Maria, CA 6/29/2017 Retail 4,667,322 448,183 (4,814) 5,110,691 $ 126,571,521 $ 12,699,134 $ (6,311,898) $ 132,958,757
Schedule of Real Estate Property Acquisitions [Table Text Block]	During the six months ended June 30, 2017, the Company acquired the following properties: Land, Building Tenant and Origination and Above Property Acquisition Date Improvements Absorption Costs Market Leases Total Sutter Health 3/15/2017 $ 24,256,632 $ 2,870,258 $ 474,091 $ 27,600,981 Walgreens 6/29/2017 4,667,322 448,183 125,050 5,240,555 $ 28,923,954 $ 3,318,441 $ 599,141 $ 32,841,536
Schedule Of Real Estate Investment Property Purchase Price [Table Text Block]	Purchase price $ 32,841,536 Purchase deposits applied (1,500,000) Acquisition fees and costs (677,029) Cash paid for acquisition of real estate investments $ 30,664,507
Schedule Of Lease Expiration Date [Table Text Block]	Lease Expirations Sutter Health 10/31/2025 Walgreens 3/31/2062
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block]	As of June 30, 2017, the future minimum contractual rent payments due under the Company’s non-cancelable operating leases are as follows: July 1, 2017 through December 31, 2017 $ 5,139,136 2018 10,215,833 2019 10,412,042 2020 10,613,223 2021 9,644,236 2022 8,099,412 Thereafter 33,138,176 $ 87,262,058
Schedule of Revenue Concentration [Table Text Block]	Percentage of Annualized Annualized Property and Location Base Rent* Base Rent Sutter Health, CA $ 2,247,366 $ 21.97 % * Effective Annualized Base Rent is calculated based on the monthly base rent at June 30, 2017 for twelve months.
Schedule of Finite-Lived Intangible Assets [Table Text Block]	As of June 30, 2017, the Company’s intangibles were as follows: Tenant Origination and Absorption Above-Market Below-Market Costs Leases Leases Cost $ 12,699,134 $ 872,408 $ (5,349,908) Accumulated amortization (1,976,458) (37,566) 946,158 Net amount $ 10,722,676 $ 834,842 $ (4,403,750)
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block]	Amortization of intangible assets over the next five years is expected to be as follows: Tenant Origination and Absorption Above-Market Below-Market Costs Leases Leases Remaining 2017 $ 879,864 $ 17,660 $ (437,743) 2018 1,567,392 35,320 (860,165) 2019 1,567,392 35,320 (860,165) 2022 1,567,392 35,320 (860,165) 2021 1,320,274 35,320 (667,541) 2022 1,080,687 35,320 (201,982) Thereafter 2,739,675 640,582 (515,989) $ 10,722,676 $ 834,842 $ (4,403,750) Weighted Average Remaining Amortization Period 8.73 years 35.89 years 5.87 years

DEBT (Tables)

DEBT (Tables)	6 Months Ended
	Jun. 30, 2017
Debt Disclosure [Abstract]
Schedule of Long-term Debt Instruments [Table Text Block]	Deferred Effective Principal Financing Contractual Interest Loan Collateral Amount Costs Net Balance Interest Rate Rate (1) Maturity Chase Bank & Great Clips $ 1,906,709 $ (28,259) $ 1,878,450 4.37% fixed 4.37 % 2/5/2019 Levins 2,191,276 (43,115) $ 2,148,161 One-month LIBOR + 1.93% 3.74 % 1/5/2021 Island Pacific Supermarket 1,992,601 (41,748) $ 1,950,853 One-month LIBOR + 1.93% 3.74 % 1/5/2021 Dollar General Bakersfield 2,455,270 (67,330) $ 2,387,940 One-month LIBOR + 1.48% 3.38 % 3/5/2021 Rite Aid 3,867,940 (124,326) $ 3,743,614 One-month LIBOR + 1.50% 3.25 % 5/5/2021 PMI Preclinical 4,350,617 (154,551) $ 4,196,065 One-month LIBOR + 1.48% 3.38 % 3/5/2021 EcoThrift 2,795,600 (99,771) $ 2,695,829 One-month LIBOR + 1.21% 2.96 % 7/5/2021 GSA 1,901,607 (79,275) $ 1,822,332 One-month LIBOR + 1.25% 3.00 % 8/5/2021 PreK San Antonio 5,379,212 (182,202) $ 5,197,010 4.25% fixed 4.25 % 12/1/2021 Dinan Cars 2,841,914 (90,815) $ 2,751,099 One-month LIBOR + 2.27% 4.02 % 1/5/2022 ITW Sky Park 9,954,758 (272,471) $ 9,682,287 3.35% fixed 3.35 % 11/1/2026 L-3 Communications 5,514,658 (133,316) $ 5,381,342 4.5% fixed 4.50 % 4/1/2022 Gap 3,815,479 (96,417) $ 3,719,062 4.15% fixed 4.15 % 8/1/2023 Dollar General Big Spring (2) 636,916 (28,213) $ 608,703 4.69% fixed 4.69 % 3/13/2022 Sutter Health 14,756,188 (219,882) $ 14,536,306 4.5% fixed 4.50 % 3/9/2024 $ 64,360,745 $ (1,661,691) $ 62,699,053 (1) Contractual interest rate represents the interest rate in effect under the mortgage note payable as of June 30, 2017. Effective interest rate is calculated as the actual interest rate in effect as of June 30, 2017 (consisting of the contractual interest rate and the effect of the interest rate swap, if applicable). For further information regarding the Company’s derivative instruments, see Note 6. (2) The loan is cross-collateralized with the six Dollar General properties owned by RW Holdings NNN REIT, Inc. The deed of trust for the Company’s Dollar General Big Spring property and the deeds of trust for the RW Holdings NNN REIT, Inc.’s six Dollar General properties contain cross collateralization and cross default provisions. At June 30, 2017, the outstanding principal balance of the loans on RW Holdings NNN REIT, Inc.’s six Dollar General properties was $ 3,976,515
Schedule of Maturities of Long-term Debt [Table Text Block]	The following summarizes the future principal payments on the Company’s mortgage notes payable as of June 30, 2017: April 1, 2017 through December 31, 2017 $ 597,661 2018 1,234,848 2019 3,094,244 2020 1,288,786 2021 23,881,428 2022 25,513,920 Thereafter 8,749,858 Total principal $ 64,360,745
Schedule Of Interest Expenses Reconciliation [Table Text Block]	The following is a reconciliation of the components of interest expense for the three and six months ended June 30, 2017 and 2016: Three Months Ended June 30, Six Months Ended June 30, 2017 2016 2017 2016 Mortgage Payable Interest expense incurred (1) $ 615,443 $ 132,921 $ 1,080,559 $ 238,559 Amortization of deferred financing costs 77,517 27,136 145,776 37,309 Unrealized loss (gain) on interest rate swaps 55,032 256,624 (30,892) 588,747 Unsecured Credit Facility Interest expense incurred - 45,524 - 39,779 Amortization of deferred financing costs - - - 12,250 Sales deposit liability (see Note 4) 13,751 13,751 27,501 18,028 Total interest expense $ 761,743 $ 475,957 $ 1,222,944 $ 934,673 (1) Includes $ 39,054 83,395 37,813 48,553 8,713 12,572

INTEREST RATE SWAP DERIVATIVES

INTEREST RATE SWAP DERIVATIVES (Tables)	6 Months Ended
	Jun. 30, 2017
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Schedule of Derivative Instruments [Table Text Block]	The notional amount is an indication of the extent of the Company’s involvement in each instrument at that time, but does not represent exposure to credit, interest rate or market risks: June 30, 2017 December 31, 2016 Number Weighted Weighted Number Weighted Weighted of Reference Average Average of Reference Average Average Derivative Instru- Notional Rate as Fixed Remaining Instru- Notional Rate as Fixed Remaining Instruments ments Amount (1) of 6/30/2017 pay rate Term ments Amount (1) of 12/31/2016 pay rate Term Interest Rate Swap Derivatives 8 $ 22,396,825 One-month LIBOR/Fixed at 3.42% 4.09 years 8 $ 22,871,000 One-month LIBOR/Fixed at 3.28% 4.17 years (1) The notional amount of the Company’s swaps decreases each month to correspond to the outstanding principal balance on the related mortgage. The maximum notional amount is shown above. The minimum notional amount (outstanding principal balance at the maturity date) is $ 20,552,875
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value [Table Text Block]	The following table sets forth the fair value of the Company’s derivative instruments as well as their classification in the consolidated balance sheets as of June 30, 2017 and 2016, respectively. June 30, 2017 December 31, 2016 Number of Number of Derivative Instrument Balance Sheet Location Instruments Fair Value Instruments Fair Value Interest Rate Swaps Asset - Interest rate swap derivatives, at fair value 5 $ 181,242 5 $ 180,759 Interest Rate Swaps Liability – Interest rate swap derivatives, at fair value 3 $ (90,139) 3 $ (106,840)

FAIR VALUE DISCLOSURES (Tables)

FAIR VALUE DISCLOSURES (Tables)	6 Months Ended
	Jun. 30, 2017
Fair Value Disclosures [Abstract]
Fair Value, by Balance Sheet Grouping [Table Text Block]	The following were the face value, carrying amount and fair value of the Company’s mortgage notes payable as of June 30, 2017 and December 31, 2016: June 30, 2017 December 31, 2016 Face value Carrying value Fair value Face Value Carrying Value Fair Value $ 64,360,745 $ 62,699,053 $ 63,330,615 $ 40,018,648 $ 38,705,103 $ 38,153,219
Fair Value, Liabilities Measured on Recurring Basis [Table Text Block]	During the six months ended June 30, 2017 and year ended December 31, 2016, the Company measured the following assets and liabilities at fair value: Quoted Prices in Active Markets for Significant Other Significant Identical Assets Observable Inputs Unobservable Inputs Recurring Basis Total (Level 1) (Level 2) (Level 3) June 30, 2017: $ 181,242 $ - $ 181,242 $ - Liability – Interest rate swap derivatives (90,139) - (90,139) December 31, 2016: 180,759 - 180,759 - Liabilities – Interest rate swap derivatives $ (106,840) $ - $ (106,840) $ -

RELATED PARTY TRANSACTIONS (Tab

RELATED PARTY TRANSACTIONS (Tables)	6 Months Ended
	Jun. 30, 2017
Related Party Transactions [Abstract]
Schedule of Related Party Transactions [Table Text Block]	The amounts payable or receivable are presented in the unaudited condensed consolidated balance sheets as “Due to Affiliates” and “Due from Affiliates.” Three Six Three Six June 30, 2017 June 30, 2017 June 30, 2016 December 31, 2016 Incurred Incurred Receivable Payable Incurred Incurred Receivable Payable Expensed: Acquisition fees $ - $ - $ - $ - $ 416,769 $ 511,508 $ - $ - Asset management fees 193,391 355,592 - 170 90,623 153,023 - 43,993 Disposition fees - - - - 30,000 30,000 - - Fees to affiliates 193,391 355,592 537,392 694,531 Property management fees ** 24,776 42,642 - 17,100 1,063 2,125 - 21,267 Disposition fees** 103,020 103,020 - - - - - - Reimbursable organizational 32,462 65,241 - - 681,430 1,202,565 - 41,797 Capitalized: Acquisition fees 102,314 642,314 145 - - - 48,950 - Financing coordination fees - 100,156 - - 112,630 180,760 - 137,800 Other: Due to advisor for costs - 15,000 - 15,000 398,170 351,115 - 270,372 Due to other - SSLFO (1) - - - 100,477 - - - 100,477 Due to NNN (2) - - - 95,730 95,730 - 28,571 $ 455,963 $ 1,323,965 $ 145 $ 132,747 $ 1,826,415 $ 2,526,826 $ 48,950 $ 644,277 * Property management fees are presented as “property expenses” in the condensed consolidated statement of operations ** Disposition fees for the three and six months ended June 30, 2017 are presented as a reduction of gain on sale of real estate investment property (see Note 5). (1) These costs were incurred by SSLFO, an affiliate of the Sponsor, in connection with the organization and offering of the Company’s shares. (2) These costs were incurred in connection with the potential acquisition of a property by the Company. The property was acquired by RW Holdings NNN REIT, Inc.; therefore, the Company has a receivable from RW Holdings NNN REIT, Inc.

BUSINESS AND ORGANIZATION (Deta

BUSINESS AND ORGANIZATION (Details Textual)	Jun. 30, 2017USD ($)
Common Stock, Value, Subscriptions	$ 3,000,000
Noncontrolling Interest, Ownership Percentage by Parent	70.14%

REAL ESTATE INVESTMENTS (Detail

REAL ESTATE INVESTMENTS (Details) - USD ($)	6 Months Ended
	Jun. 30, 2017	Dec. 31, 2016
Land building and improvements	$ 126,571,521
Tenant origination and absorption costs	12,699,134	$ 9,380,693
Accumulated depreciation and amortization	(6,311,898)	(3,797,990)
Total real estate investments, net	$ 132,958,757	$ 105,462,499
Chase Bank Great Clips [Member] | Antioch, CA [Member]
Acquisition Date	Aug. 22, 2014
Chase Bank Great Clips [Member] | Antioch, CA [Member] | Retail Site [Member]
Land building and improvements	$ 3,160,035
Tenant origination and absorption costs	668,200
Accumulated depreciation and amortization	(919,823)
Total real estate investments, net	$ 2,908,412
Chevron Gas Station [Member] | San Jose, CA [Member]
Acquisition Date	May 29, 2015
Chevron Gas Station [Member] | San Jose, CA [Member] | Retail Site [Member]
Land building and improvements	$ 2,775,000
Tenant origination and absorption costs	0
Accumulated depreciation and amortization	(82,371)
Total real estate investments, net	$ 2,692,629
Chevron Gas Station [Member] | Roseville, CA [Member]
Acquisition Date	Sep. 30, 2015
Chevron Gas Station [Member] | Roseville, CA [Member] | Retail Site [Member]
Land building and improvements	$ 2,800,000
Tenant origination and absorption costs	0
Accumulated depreciation and amortization	(171,221)
Total real estate investments, net	$ 2,628,779
Levins [Member] | Sacramento, CA [Member]
Acquisition Date	Aug. 19, 2015
Levins [Member] | Sacramento, CA [Member] | Industrial Property [Member]
Land building and improvements	$ 3,750,000
Tenant origination and absorption costs	0
Accumulated depreciation and amortization	(399,148)
Total real estate investments, net	$ 3,350,852
Island Pacific Supermarket [Member] | Elk Grove, CA [Member]
Acquisition Date	Oct. 1, 2015
Island Pacific Supermarket [Member] | Elk Grove, CA [Member] | Retail Site [Member]
Land building and improvements	$ 3,151,460
Tenant origination and absorption costs	568,540
Accumulated depreciation and amortization	(292,744)
Total real estate investments, net	$ 3,427,256
Dollar General Bakersfield [Member] | Bakersfield, CA [Member]
Acquisition Date	Nov. 11, 2015
Dollar General Bakersfield [Member] | Bakersfield, CA [Member] | Retail Site [Member]
Land building and improvements	$ 4,632,567
Tenant origination and absorption costs	689,020
Accumulated depreciation and amortization	(312,064)
Total real estate investments, net	$ 5,009,523
Rite Aid [Member] | Lake Elsinore, CA [Member]
Acquisition Date	Dec. 7, 2015
Rite Aid [Member] | Lake Elsinore, CA [Member] | Retail Site [Member]
Land building and improvements	$ 6,663,446
Tenant origination and absorption costs	968,286
Accumulated depreciation and amortization	(367,801)
Total real estate investments, net	$ 7,263,931
PMI Preclinical [Member] | San Carlos, CA [Member]
Acquisition Date	Dec. 9, 2015
PMI Preclinical [Member] | San Carlos, CA [Member] | Office Building [Member]
Land building and improvements	$ 8,920,000
Tenant origination and absorption costs	0
Accumulated depreciation and amortization	(316,971)
Total real estate investments, net	$ 8,603,029
EcoThrift [Member] | Sacramento, CA [Member]
Acquisition Date	Mar. 17, 2016
EcoThrift [Member] | Sacramento, CA [Member] | Retail Site [Member]
Land building and improvements	$ 4,486,993
Tenant origination and absorption costs	541,729
Accumulated depreciation and amortization	(312,849)
Total real estate investments, net	$ 4,715,873
GSA MSHA [Member] | Vacaville, CA [Member]
Acquisition Date	Apr. 5, 2016
GSA MSHA [Member] | Vacaville, CA [Member] | Office Building [Member]
Land building and improvements	$ 2,998,232
Tenant origination and absorption costs	456,645
Accumulated depreciation and amortization	(180,479)
Total real estate investments, net	$ 3,274,398
PreK San Antonio [Member] | San Antonio, TX [Member]
Acquisition Date	Apr. 8, 2016
PreK San Antonio [Member] | San Antonio, TX [Member] | Retail Site [Member]
Land building and improvements	$ 11,851,540
Tenant origination and absorption costs	1,593,451
Accumulated depreciation and amortization	(1,103,347)
Total real estate investments, net	$ 12,341,644
Dollar Tree [Member] | Morrow, GA [Member]
Acquisition Date	Apr. 22, 2016
Dollar Tree [Member] | Morrow, GA [Member] | Retail Site [Member]
Land building and improvements	$ 1,294,943
Tenant origination and absorption costs	206,844
Accumulated depreciation and amortization	(111,070)
Total real estate investments, net	$ 1,390,717
Dinan Cars [Member] | Morgan Hill, CA [Member]
Acquisition Date	Jun. 21, 2016
Dinan Cars [Member] | Morgan Hill, CA [Member] | Industrial Property [Member]
Land building and improvements	$ 4,651,845
Tenant origination and absorption costs	654,155
Accumulated depreciation and amortization	(396,072)
Total real estate investments, net	$ 4,909,928
ITW Ripley [Member] | El Dorado, CA [Member]
Acquisition Date	Aug. 18, 2016
ITW Ripley [Member] | El Dorado, CA [Member] | Industrial Property [Member]
Land building and improvements	$ 6,178,204
Tenant origination and absorption costs	407,316
Accumulated depreciation and amortization	(187,041)
Total real estate investments, net	$ 6,398,479
Solar Turbines [Member] | San Diego, CA [Member]
Acquisition Date	Jul. 21, 2016
Solar Turbines [Member] | San Diego, CA [Member] | Office Building [Member]
Land building and improvements	$ 5,481,198
Tenant origination and absorption costs	389,718
Accumulated depreciation and amortization	(257,917)
Total real estate investments, net	$ 5,612,999
Amec Foster [Member] | San Diego, CA [Member]
Acquisition Date	Jul. 21, 2016
Amec Foster [Member] | San Diego, CA [Member] | Office Building [Member]
Land building and improvements	$ 5,697,402
Tenant origination and absorption costs	485,533
Accumulated depreciation and amortization	(181,281)
Total real estate investments, net	$ 6,001,654
Dollar General Big Spring [Member] | Big Spring, TX [Member]
Acquisition Date	Nov. 4, 2016
Dollar General Big Spring [Member] | Big Spring, TX [Member] | Retail Site [Member]
Land building and improvements	$ 1,161,647
Tenant origination and absorption costs	112,958
Accumulated depreciation and amortization	(18,984)
Total real estate investments, net	$ 1,255,621
Gap [Member] | Rocklin, CA [Member]
Acquisition Date	Dec. 1, 2016
Gap [Member] | Rocklin, CA [Member] | Office Building [Member]
Land building and improvements	$ 7,209,629
Tenant origination and absorption costs	677,191
Accumulated depreciation and amortization	(173,021)
Total real estate investments, net	$ 7,713,799
L-3 Communications | San Diego, CA [Member]
Acquisition Date	Dec. 23, 2016
L-3 Communications | San Diego, CA [Member] | Office Building [Member]
Land building and improvements	$ 10,783,426
Tenant origination and absorption costs	961,107
Accumulated depreciation and amortization	(184,872)
Total real estate investments, net	$ 11,559,661
Sutter Health [Member]
Acquisition Date	Mar. 15, 2017
Sutter Health [Member] | Rancho Cordova, CA [Member]
Acquisition Date	Mar. 15, 2017
Sutter Health [Member] | Rancho Cordova, CA [Member] | Office Building [Member]
Land building and improvements	$ 24,256,632
Tenant origination and absorption costs	2,870,258
Accumulated depreciation and amortization	(338,008)
Total real estate investments, net	$ 26,788,882
Walgreens [Member]
Acquisition Date	Jun. 29, 2017
Walgreens [Member] | Santa Maria, CA [Member]
Acquisition Date	Jun. 29, 2017
Walgreens [Member] | Santa Maria, CA [Member] | Retail Site [Member]
Land building and improvements	$ 4,667,322
Tenant origination and absorption costs	448,183
Accumulated depreciation and amortization	(4,814)
Total real estate investments, net	$ 5,110,691

REAL ESTATE INVESTMENTS (Deta26

REAL ESTATE INVESTMENTS (Details 1)	6 Months Ended
	Jun. 30, 2017USD ($)
Land, Buildings and Improvements	$ 28,923,954
Tenant origination and absorption costs	3,318,441
Purchase Price	32,841,536
Above Market Lease, Net	599,141
Sutter Health [Member]
Land, Buildings and Improvements	24,256,632
Tenant origination and absorption costs	2,870,258
Purchase Price	27,600,981
Above Market Lease, Net	$ 474,091
Acquisition Date	Mar. 15, 2017
Walgreens [Member]
Land, Buildings and Improvements	$ 4,667,322
Tenant origination and absorption costs	448,183
Purchase Price	5,240,555
Above Market Lease, Net	$ 125,050
Acquisition Date	Jun. 29, 2017

REAL ESTATE INVESTMENTS (Deta27

REAL ESTATE INVESTMENTS (Details 2) - USD ($)	6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016
Purchase price	$ 32,841,536
Purchase deposits applied	1,500,000	$ 1,080,750
Acquisition fees and costs	0	(587,730)
Cash paid for acquisition of real estate investments	30,664,507	$ 24,255,037
Real Estate Investment [Member]
Purchase price	32,841,536
Purchase deposits applied	(1,500,000)
Acquisition fees and costs	(677,029)
Cash paid for acquisition of real estate investments	$ 30,664,507

REAL ESTATE INVESTMENTS (Deta28

REAL ESTATE INVESTMENTS (Details 3)	6 Months Ended
	Jun. 30, 2017
Sutter Health [Member]
Lease Expiration Date	Oct. 31, 2025
Walgreens [Member]
Lease Expiration Date	Mar. 31, 2062

REAL ESTATE INVESTMENTS (Deta29

REAL ESTATE INVESTMENTS (Details 4)	Jun. 30, 2017USD ($)
July 1, 2017 through December 31, 2017	$ 5,139,136
2,018	10,215,833
2,019	10,412,042
2,020	10,613,223
2,021	9,644,236
2,022	8,099,412
Thereafter	33,138,176
Operating Leases, Future Minimum Payments Receivable	$ 87,262,058

REAL ESTATE INVESTMENTS (Deta30

REAL ESTATE INVESTMENTS (Details 5) - Sutter Health, CA [Member]	6 Months Ended
	Jun. 30, 2017USD ($)
Effective Annualized Base Rent	$ 2,247,366	[1]
Percentage of Annualized Base Rent	21.97%
[1]	Effective Annualized Base Rent is calculated based on the monthly base rent at June 30, 2017 for twelve months.

REAL ESTATE INVESTMENTS (Deta31

REAL ESTATE INVESTMENTS (Details 6) - USD ($)	Jun. 30, 2017	Dec. 31, 2016
Finite-Lived Intangible Assets, Net Amount	$ 10,722,676
Below-Market Leases, Cost	(5,349,908)
Below-Market Leases, Accumulated amortization	946,158
Below-Market Leases, Net Amount	4,403,750	$ 4,841,757
Tenant Origination and Absorption Costs [Member]
Finite-Lived Intangible Assets, Cost	12,699,134
Finite-Lived Intangible Assets, Accumulated Amortization	(1,976,458)
Finite-Lived Intangible Assets, Net Amount	10,722,676
Above-Market Leases [Member]
Finite-Lived Intangible Assets, Cost	872,408
Finite-Lived Intangible Assets, Accumulated Amortization	(37,566)
Finite-Lived Intangible Assets, Net Amount	$ 834,842

REAL ESTATE INVESTMENTS (Deta32

REAL ESTATE INVESTMENTS (Details 7) - USD ($)	6 Months Ended
	Jun. 30, 2017	Dec. 31, 2016
Finite-Lived Intangible Assets, Net	$ 10,722,676
Remaining 2,017	(437,743)
2,018	(860,165)
2,019	(860,165)
2,022	(860,165)
2,021	(667,541)
2,022	(201,982)
Thereafter	(515,989)
Below Market Lease, Net	4,403,750	$ 4,841,757
Tenant Origination and Absorption Costs [Member]
Remaining 2,017	879,864
2,018	1,567,392
2,019	1,567,392
2,022	1,567,392
2,021	1,320,274
2,022	1,080,687
Thereafter	2,739,675
Finite-Lived Intangible Assets, Net	$ 10,722,676
Weighted average remaining amortization period	8 years 8 months 23 days
Above-Market Leases [Member]
Remaining 2,017	$ 17,660
2,018	35,320
2,019	35,320
2,022	35,320
2,021	35,320
2,022	35,320
Thereafter	640,582
Finite-Lived Intangible Assets, Net	$ 834,842
Weighted average remaining amortization period	35 years 10 months 20 days
Below-Market Leases [Member]
Weighted average remaining amortization period	5 years 10 months 13 days

REAL ESTATE INVESTMENTS (Deta33

REAL ESTATE INVESTMENTS (Details Textual) - USD ($)	3 Months Ended	6 Months Ended
	Jun. 30, 2017	Jun. 30, 2017	Dec. 31, 2016
Accounts Receivable, Net	$ 883,474	$ 883,474	$ 545,274
Advisory Agreement [Member]
Business Combination, Pro Forma Information, Revenue of Acquiree since Acquisition Date, Actual	$ 632,847	$ 704,905

SALE OF INTEREST IN REAL ESTA34

SALE OF INTEREST IN REAL ESTATE INVESTMENT PROPERTY (Details Textual) - USD ($)	1 Months Ended	3 Months Ended		6 Months Ended
	Mar. 31, 2016	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Proceeds from Sale of Real Estate	$ 1,000,000			$ 0	$ 1,000,000
Interest Expense, Customer Deposits		$ 13,751	$ 13,751	$ 27,501	$ 18,028
Chevron Gas Station [Member]
Equity Method Investment, Ownership Percentage	29.86%	29.86%		29.86%

SALE OF REAL ESATE INVESTMENT35

SALE OF REAL ESATE INVESTMENT PROPERTY (Details Textual) - USD ($)	1 Months Ended	3 Months Ended		6 Months Ended
	Apr. 27, 2017	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Proceeds from Sale of Real Estate Held-for-investment				$ 3,245,286	$ 0
Gains (Losses) on Sales of Investment Real Estate		$ 747,957	$ 0	747,957	0
Related Party Transaction, Expenses from Transactions with Related Party		$ 455,963	$ 1,826,415	$ 1,323,965	$ 2,526,826
Deferred Taxable Gain On Sale Of Real Estate	$ 900,000
Chevron Gas Station [Member]
Proceeds from Sale of Real Estate Held-for-investment	3,434,000
Gains (Losses) on Sales of Investment Real Estate	747,957
Related Party Transaction, Expenses from Transactions with Related Party	$ 103,020

DEBT (Details)

DEBT (Details) - USD ($)		6 Months Ended
		Jun. 30, 2017	Dec. 31, 2016
Principal Amount		$ 62,699,053	$ 38,705,103
Mortgages [Member]
Principal Amount		64,360,745
Deferred Financing Costs		(1,661,691)
Net Balance		62,699,053
Mortgages [Member] | Chase Bank Great Clips [Member]
Principal Amount		1,906,709
Deferred Financing Costs		(28,259)
Net Balance		$ 1,878,450
Contractual Interest Rate		4.37% fixed
Effective Interest Rate	[1]	4.37%
Loan Maturity		Feb. 5, 2019
Mortgages [Member] | Levins [Member]
Principal Amount		$ 2,191,276
Deferred Financing Costs		(43,115)
Net Balance		$ 2,148,161
Contractual Interest Rate		One-month LIBOR + 1.93%
Effective Interest Rate	[1]	3.74%
Loan Maturity		Jan. 5, 2021
Mortgages [Member] | Island Pacific Supermarket [Member]
Principal Amount		$ 1,992,601
Deferred Financing Costs		(41,748)
Net Balance		$ 1,950,853
Contractual Interest Rate		One-month LIBOR + 1.93%
Effective Interest Rate	[1]	3.74%
Loan Maturity		Jan. 5, 2021
Mortgages [Member] | Dollar General Bakersfield [Member]
Principal Amount		$ 2,455,270
Deferred Financing Costs		(67,330)
Net Balance		$ 2,387,940
Contractual Interest Rate		One-month LIBOR + 1.48%
Effective Interest Rate	[1]	3.38%
Loan Maturity		Mar. 5, 2021
Mortgages [Member] | Rite Aid [Member]
Principal Amount		$ 3,867,940
Deferred Financing Costs		(124,326)
Net Balance		$ 3,743,614
Contractual Interest Rate		One-month LIBOR + 1.50%
Effective Interest Rate	[1]	3.25%
Loan Maturity		May 5, 2021
Mortgages [Member] | PMI Preclinical [Member]
Principal Amount		$ 4,350,617
Deferred Financing Costs		(154,551)
Net Balance		$ 4,196,065
Contractual Interest Rate		One-month LIBOR + 1.48%
Effective Interest Rate	[1]	3.38%
Loan Maturity		Mar. 5, 2021
Mortgages [Member] | EcoThrift [Member]
Principal Amount		$ 2,795,600
Deferred Financing Costs		(99,771)
Net Balance		$ 2,695,829
Contractual Interest Rate		One-month LIBOR + 1.21%
Effective Interest Rate	[1]	2.96%
Loan Maturity		Jul. 5, 2021
Mortgages [Member] | PreK San Antonio [Member]
Principal Amount		$ 5,379,212
Deferred Financing Costs		(182,202)
Net Balance		$ 5,197,010
Contractual Interest Rate		4.25% fixed
Effective Interest Rate	[1]	4.25%
Loan Maturity		Dec. 1, 2021
Mortgages [Member] | GSA [Member]
Principal Amount		$ 1,901,607
Deferred Financing Costs		(79,275)
Net Balance		$ 1,822,332
Contractual Interest Rate		One-month LIBOR + 1.25%
Effective Interest Rate	[1]	3.00%
Loan Maturity		Aug. 5, 2021
Mortgages [Member] | Dinan Cars [Member]
Principal Amount		$ 2,841,914
Deferred Financing Costs		(90,815)
Net Balance		$ 2,751,099
Contractual Interest Rate		One-month LIBOR + 2.27%
Effective Interest Rate	[1]	4.02%
Loan Maturity		Jan. 5, 2022
Mortgages [Member] | ITW Sky Park [Member]
Principal Amount		$ 9,954,758
Deferred Financing Costs		(272,471)
Net Balance		$ 9,682,287
Contractual Interest Rate		3.35% fixed
Effective Interest Rate	[1]	3.35%
Loan Maturity		Nov. 1, 2026
Mortgages [Member] | Dollar General Big Spring [Member]
Principal Amount	[2]	$ 636,916
Deferred Financing Costs	[2]	(28,213)
Net Balance	[2]	$ 608,703
Contractual Interest Rate	[2]	4.69% fixed
Effective Interest Rate	[1],[2]	4.69%
Loan Maturity	[2]	Mar. 13, 2022
Mortgages [Member] | L-3 Communications
Principal Amount		$ 5,514,658
Deferred Financing Costs		(133,316)
Net Balance		$ 5,381,342
Contractual Interest Rate		4.5% fixed
Effective Interest Rate	[1]	4.50%
Loan Maturity		Apr. 1, 2022
Mortgages [Member] | Sutter Health [Member]
Principal Amount		$ 14,756,188
Deferred Financing Costs		(219,882)
Net Balance		$ 14,536,306
Contractual Interest Rate		4.5% fixed
Effective Interest Rate	[1]	4.50%
Loan Maturity		Mar. 9, 2024
Mortgages [Member] | Gap [Member]
Principal Amount		$ 3,815,479
Deferred Financing Costs		(96,417)
Net Balance		$ 3,719,062
Contractual Interest Rate		4.15% fixed
Effective Interest Rate	[1]	4.15%
Loan Maturity		Aug. 1, 2023
[1]	Contractual interest rate represents the interest rate in effect under the mortgage note payable as of June 30, 2017. Effective interest rate is calculated as the actual interest rate in effect as of June 30, 2017 (consisting of the contractual interest rate and the effect of the interest rate swap, if applicable). For further information regarding the Company’s derivative instruments, see Note 6.
[2]	The loan is cross-collateralized with the six Dollar General properties owned by RW Holdings NNN REIT, Inc. The deed of trust for the Company’s Dollar General Big Spring property and the deeds of trust for the RW Holdings NNN REIT, Inc.’s six Dollar General properties contain cross collateralization and cross default provisions. At June 30, 2017, the outstanding principal balance of the loans on RW Holdings NNN REIT, Inc.’s six Dollar General properties was $3,976,515.

DEBT (Details 1)

DEBT (Details 1) - Secured Debt [Member]	Jun. 30, 2017USD ($)
April 1, 2017 through December 31, 2017	$ 597,661
2,018	1,234,848
2,019	3,094,244
2,020	1,288,786
2,021	23,881,428
2,022	25,513,920
Thereafter	8,749,858
Total principal	$ 64,360,745

DEBT (Details 2)

DEBT (Details 2) - USD ($)		3 Months Ended		6 Months Ended
		Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Unrealized loss (gain) on interest rate swaps (see Note 6)				$ 30,892	$ (576,175)
Sales deposit liability (See Note 4)		$ 13,751	$ 13,751	27,501	18,028
Total interest expense		761,743	475,957	1,222,944	934,673
Unsecured Debt [Member]
Interest expense incurred		0	45,524	0	39,779
Amortization of deferred financing costs		0	0	0	12,250
Sales deposit liability (See Note 4)		13,751	13,751	27,501	18,028
Total interest expense		761,743	475,957	1,222,944	934,673
Secured Debt [Member]
Interest expense incurred	[1]	615,443	132,921	1,080,559	238,559
Amortization of deferred financing costs		77,517	27,136	145,776	37,309
Unrealized loss (gain) on interest rate swaps (see Note 6)		$ 55,032	$ 256,624	$ (30,892)	$ 588,747
[1]	Includes $39,054 and $83,395 for the three and six months ended June 30, 2017, respectively and $37,813 and $48,553 for the three and six months ended June 30, 2016, respectively, of monthly payments to settle the Company’s interest rate swaps and $8,713 and $12,572 of accrued interest payable at June 30, 2017 and 2016, respectively, representing the unsettled portion of the interest rate swaps for the period from the most recent settlement date through June 30, 2017 and 2016, respectively.

DEBT (Details Textual)

DEBT (Details Textual) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016	Dec. 31, 2016
Interest Expenses, Interest Rate Swap	$ 39,054	$ 37,813	$ 83,395	$ 48,553
Interest Payable	8,713	$ 12,572	8,713	$ 12,572
Debt Instrument, Face Amount	64,360,745		64,360,745		$ 40,018,648
Mortgages [Member]
Debt Instrument, Face Amount	$ 3,976,515		$ 3,976,515

INTEREST RATE SWAP DERIVATIVE40

INTEREST RATE SWAP DERIVATIVES (Details) - Interest Rate Swap [Member]		6 Months Ended	12 Months Ended
		Jun. 30, 2017USD ($)Numbers	Dec. 31, 2016USD ($)Numbers
Derivative Instruments, Number of Instruments | Numbers		8	8
Derivative Instruments, Notional Amount | $	[1]	$ 22,396,825	$ 22,871,000
Derivative Instruments, Reference Rate		1.21%-2.27%	1.21%-2.27%
Derivative Instruments, Weighted Average Fixed Pay Rate		3.42%	3.28%
Derivative Instruments, Weighted Average Remaining Term		4 years 1 month 2 days	4 years 2 months 1 day
[1]	The notional amount of the Company’s swaps are reduced monthly to correspond to the outstanding principal balance on the related mortgage. The maximum notional amount is shown above. The minimum notional amount (outstanding principal balance at the maturity date) is $22,614,830.

INTEREST RATE SWAP DERIVATIVE41

INTEREST RATE SWAP DERIVATIVES (Details 1)	6 Months Ended
	Jun. 30, 2017USD ($)Numbers	Dec. 31, 2016USD ($)Numbers
Derivative Instrument, Fair Value | $	$ 85,108	$ 106,840
Interest Rate Swap [Member]
Derivative Instruments, Number of Instruments | Numbers	8	8
Interest Rate Swap [Member] | Liability [Member]
Derivative Instrument, Balance Sheet Location	Liability – Interest rate swap derivatives, at fair value
Derivative Instruments, Number of Instruments | Numbers	3	3
Derivative Instrument, Fair Value | $	$ (90,139)	$ (106,840)
Interest Rate Swap [Member] | Assets [Member]
Derivative Instrument, Balance Sheet Location	Asset - Interest rate swap derivatives, at fair value
Derivative Instruments, Number of Instruments | Numbers	5	5
Derivative Instrument, Fair Value | $	$ 181,242	$ 180,759

INTEREST RATE SWAP DERIVATIVE42

INTEREST RATE SWAP DERIVATIVES (Details Textual) - USD ($)		3 Months Ended		6 Months Ended
		Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016	Dec. 31, 2016
Unrealized (Gain) Loss on Derivatives				$ 30,892	$ (576,175)
Interest Rate Swap [Member]
Derivative, Notional Amount	[1]	$ 22,396,825		22,396,825		$ 22,871,000
Unrealized (Gain) Loss on Derivatives		595,616	$ 257,608	(25,896)	$ 576,175
Maximum [Member]
Derivative, Notional Amount		$ 20,552,875		$ 20,552,875
[1]	The notional amount of the Company’s swaps are reduced monthly to correspond to the outstanding principal balance on the related mortgage. The maximum notional amount is shown above. The minimum notional amount (outstanding principal balance at the maturity date) is $22,614,830.

FAIR VALUE DISCLOSURES (Details

FAIR VALUE DISCLOSURES (Details) - USD ($)	Jun. 30, 2017	Dec. 31, 2016
Debt Instrument, Face Value	$ 64,360,745	$ 40,018,648
Debt Instrument, Carrying Value	62,699,053	38,705,103
Debt Instrument, Fair Value	$ 63,330,615	$ 38,153,219

FAIR VALUE DISCLOSURES (Detai44

FAIR VALUE DISCLOSURES (Details 1) - USD ($)	Jun. 30, 2017	Dec. 31, 2016
Asset - Interest rate swap derivatives	$ 184,923	$ 180,759
Liability - Interest rate swap derivatives	85,108	106,840
Fair Value, Measurements, Recurring [Member]
Asset - Interest rate swap derivatives	181,242	180,759
Liability - Interest rate swap derivatives	(90,139)	(106,840)
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member]
Asset - Interest rate swap derivatives	0	0
Liability - Interest rate swap derivatives	0	0
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member]
Asset - Interest rate swap derivatives	181,242	180,759
Liability - Interest rate swap derivatives	(90,139)	(106,840)
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 3 [Member]
Asset - Interest rate swap derivatives	$ 0	0
Liability - Interest rate swap derivatives		$ 0

RELATED PARTY TRANSACTIONS (Det

RELATED PARTY TRANSACTIONS (Details) - USD ($)		3 Months Ended			6 Months Ended
		Jun. 30, 2017		Jun. 30, 2016	Jun. 30, 2017		Jun. 30, 2016	Dec. 31, 2016
Related Party Transaction, Expenses from Transactions with Related Party		$ 455,963		$ 1,826,415	$ 1,323,965		$ 2,526,826
Due to Related Parties		132,747			132,747			$ 644,277
Due from Related Parties		145			145			48,950
Advisor fees, Acquisition fees [Member]
Related Party Transaction, Expenses from Transactions with Related Party		0		416,769	0		511,508
Due to Related Parties		0			0			0
Due from Related Parties		0			0			0
Advisor fees, Asset management fees [Member]
Related Party Transaction, Expenses from Transactions with Related Party		193,391		90,623	355,592		153,023
Due to Related Parties		170			170			43,993
Due from Related Parties		0			0			0
Advisor fees, Property management fees [Member]
Related Party Transaction, Expenses from Transactions with Related Party	[1]	24,776		1,063	42,642		2,125
Due to Related Parties	[1]	17,100			17,100			21,267
Due from Related Parties	[1]	0			0			0
Advisor fees, Disposition fees [Member]
Related Party Transaction, Expenses from Transactions with Related Party		103,020	[2]	30,000	103,020	[2]	30,000
Due to Related Parties		0			0			0
Due from Related Parties		0			0			0
Reimbursable organizational and offering expenses [Member]
Related Party Transaction, Expenses from Transactions with Related Party		32,462		681,430	65,241		1,202,565
Due to Related Parties		0			0			41,797
Due from Related Parties		0			0			0
Fees To Affliates [Member]
Related Party Transaction, Expenses from Transactions with Related Party		193,391		537,392	355,592		694,531
Capitalized Acquisition Fees [Member]
Related Party Transaction, Expenses from Transactions with Related Party		102,314		0	642,314		0
Due to Related Parties		0			0			0
Due from Related Parties		145			145			48,950
Financing Coordination Fees [Member]
Related Party Transaction, Expenses from Transactions with Related Party		0		112,630	100,156		180,760
Due to Related Parties		0			0			137,800
Due from Related Parties		0			0			0
Due to advisor [Member]
Related Party Transaction, Expenses from Transactions with Related Party		0		398,170	15,000		351,115
Due to Related Parties		15,000			15,000			270,372
Due from Related Parties		0			0			0
Due to other SSLFO [Member]
Related Party Transaction, Expenses from Transactions with Related Party		0		0	0		0
Due to Related Parties		100,477			100,477			100,477
Due from Related Parties		0			0			0
Due to NNN [Member]
Related Party Transaction, Expenses from Transactions with Related Party	[3]	0		$ 95,730	0		$ 95,730
Due to Related Parties	[3]	$ 0			$ 0			28,571
Due from Related Parties	[3]							$ 0
[1]	These costs were incurred in connection with the potential acquisition of a property by the Company. The property was acquired by RW Holdings NNN REIT, Inc.; therefore, the Company has a receivable from RW Holdings NNN REIT, Inc.
[2]	Disposition fees for the three and six months ended June 30, 2017 are presented as a reduction of gain on sale of real estate investment property (see Note 5).
[3]	These costs were incurred in connection with the potential acquisition of a property by the Company. The property was acquired by Rich Uncles NNN REIT, Inc.; therefore, the Company has a receivable from Rich Uncles NNN REIT, Inc.

RELATED PARTY TRANSACTIONS (D46

RELATED PARTY TRANSACTIONS (Details Textual) - USD ($)		3 Months Ended			6 Months Ended			12 Months Ended
		Jun. 30, 2017		Jun. 30, 2016	Jun. 30, 2017		Jun. 30, 2016	Dec. 31, 2016
Related Party Transaction, Expenses from Transactions with Related Party		$ 455,963		$ 1,826,415	$ 1,323,965		$ 2,526,826
Organization and Offering Expenses		3,424,663			3,424,663
Organization and Offering Expenses [Member]
Related Party Transaction, Expenses from Transactions with Related Party					2,621,108			$ 2,555,867
Organization and Offering Expenses Payable		0			0
Organization and Offering Expenses Receivable								41,797
Advisor fees, Acquisition fees [Member]
Related Party Transaction, Expenses from Transactions with Related Party		0		416,769	$ 0		511,508
Related Party Transaction, Rate					3.00%
Advisor fees, Acquisition fees [Member] | Maximum [Member]
Related Party Transaction, Rate					6.00%
Advisor fees, Asset management fees [Member]
Related Party Transaction, Expenses from Transactions with Related Party		193,391		90,623	$ 355,592		153,023
Related Party Transaction, Rate					0.05%
Advisor fees, Financing fee [Member]
Related Party Transaction, Rate					1.00%
Advisor fees, Property management fees [Member]
Related Party Transaction, Expenses from Transactions with Related Party	[1]	24,776		1,063	$ 42,642		2,125
Related Party Transaction, Rate					1.50%
Advisor fees, Disposition fees [Member]
Related Party Transaction, Expenses from Transactions with Related Party		$ 103,020	[2]	$ 30,000	$ 103,020	[2]	$ 30,000
Related Party Transaction, Rate					6.00%
Advisor fees, Disposition fees [Member] | Maximum [Member]
Related Party Transaction, Rate					6.00%
Leasing Commission Fees [Member]
Related Party Transaction, Rate					3.00%
Operating Expenses [Member]
Related Party Transaction, Expense Reimbursement Percentage to Average Invested Assets					2.00%
Related Party Transaction, Expense Reimbursement Percentage to Net Income					25.00%
Rich Uncles, LLC [Member]
Repayments of Related Party Debt					$ 2,621,108			$ 2,514,070
Advisor or Affiliates [Member] | Advisor fees, Disposition fees [Member]
Related Party Transaction, Rate					3.00%
[1]	These costs were incurred in connection with the potential acquisition of a property by the Company. The property was acquired by RW Holdings NNN REIT, Inc.; therefore, the Company has a receivable from RW Holdings NNN REIT, Inc.
[2]	Disposition fees for the three and six months ended June 30, 2017 are presented as a reduction of gain on sale of real estate investment property (see Note 5).

SUBSEQUENT EVENTS (Details Text

SUBSEQUENT EVENTS (Details Textual) - Subsequent Event [Member] - USD ($)	1 Months Ended
	Aug. 14, 2017	Jul. 20, 2017
Dividends Payable, Date Declared		Jul. 20, 2017
Dividends Payable, Amount Per Share		$ 0.0020604
Dividends Payable		$ 1,569,284
Dividends Payable, Date to be Paid		Jul. 20, 2017
Dividend Reinvested		$ 1,103,595
Stock Repurchased During Period, Value	$ 2,027,911
Mortgages [Member]
Stock Repurchased During Period, Shares	202,791