Document And Entity Information
Document And Entity Information - shares | 3 Months Ended | |
Mar. 31, 2020 | May 01, 2020 | |
Document And Entity Information | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Mar. 31, 2020 | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q1 | |
Entity Registrant Name | CANTERBURY PARK HOLDING CORPORATION | |
Entity Central Index Key | 0001672909 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Non-accelerated Filer | |
Entity Common Stock, Shares Outstanding | 4,694,138 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Shell Company | false | |
Entity Small Business | true | |
Entity Emerging Growth Company | false |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) | Mar. 31, 2020 | Dec. 31, 2019 |
CURRENT ASSETS | ||
Cash and cash equivalents | $ 355,399 | |
Restricted cash | $ 3,081,073 | 2,308,955 |
Short-term investments | 103,886 | |
Accounts receivable, net of allowance of $19,250 for both periods | 364,353 | 302,037 |
Inventory | 288,878 | 390,118 |
Prepaid expenses | 528,000 | 501,493 |
Income taxes receivable | 88,075 | |
Total current assets | 4,350,379 | 3,961,888 |
LONG-TERM ASSETS | ||
Deposits | 49,500 | 49,500 |
Restricted cash - long-term portion | 1,262,744 | |
TIF receivable | 9,857,413 | 9,708,856 |
Related party receivable | 3,533,829 | 3,528,927 |
Operating lease right-of-use assets | 72,911 | 74,832 |
Equity investment | 2,992,633 | 2,992,633 |
Land, buildings and equipment, net | 44,241,167 | 43,833,702 |
TOTAL ASSETS | 65,097,832 | 65,413,082 |
CURRENT LIABILITIES | ||
Accounts payable | 4,754,400 | 3,495,238 |
Card Casino accruals | 1,655,005 | 2,167,056 |
Accrued wages and payroll taxes | 890,059 | 2,254,379 |
Cash dividend payable | 324,439 | |
Accrued property taxes | 1,274,571 | 1,019,658 |
Deferred revenue | 1,354,821 | 1,482,130 |
Payable to horsepersons | 448,175 | 557,696 |
Income taxes payable | 120,960 | |
Current portion of finance lease obligations | 24,807 | 24,500 |
Current portion of operating lease obligations | 27,855 | 29,776 |
Total current liabilities | 10,429,693 | 11,475,832 |
LONG-TERM LIABILITIES | ||
Deferred income taxes | 4,663,500 | 4,404,300 |
Finance lease obligations, net of current portion | 65,466 | 71,784 |
Operating lease obligations, net of current portion | 45,056 | 45,056 |
Total long-term liabilities | 4,774,022 | 4,521,140 |
TOTAL LIABILITIES | 15,203,715 | 15,996,972 |
STOCKHOLDERS’ EQUITY | ||
Common stock, $.01 par value, 10,000,000 shares authorized, 4,694,138 and 4,644,522 respectively, shares issued and outstanding | 46,941 | 46,445 |
Additional paid-in capital | 23,035,735 | 22,733,933 |
Retained earnings | 26,811,441 | 26,635,732 |
Total stockholders' equity | 49,894,117 | 49,416,110 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ 65,097,832 | $ 65,413,082 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) | Mar. 31, 2020 | Dec. 31, 2019 |
CONDENSED CONSOLIDATED BALANCE SHEETS | ||
Accounts receivable, allowance | $ 19,250 | $ 19,250 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 10,000,000 | 10,000,000 |
Common stock, shares issued | 4,694,138 | 4,644,522 |
Common stock, shares outstanding | 4,694,138 | 4,644,522 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
OPERATING REVENUES: | ||
Operating revenues | $ 10,948,959 | $ 11,590,798 |
OPERATING EXPENSES: | ||
Purse expense | 1,103,394 | 1,395,538 |
Minnesota Breeders' Fund | 189,744 | 217,695 |
Other pari-mutuel expenses | 220,849 | 268,366 |
Salaries and benefits | 5,577,893 | 5,745,287 |
Cost of food and beverage and other sales | 564,151 | 625,757 |
Depreciation and amortization | 716,853 | 625,520 |
Utilities | 290,611 | 322,115 |
Advertising and marketing | 183,988 | 190,329 |
Professional and contracted services | 972,324 | 966,386 |
Loss on disposal of assets | 113,437 | |
Other operating expenses | 987,457 | 1,143,129 |
Total Operating Expenses | 10,807,264 | 11,613,559 |
INCOME (LOSS) FROM OPERATIONS | 141,695 | (22,761) |
OTHER INCOME | ||
Interest income, net | 163,690 | 63,240 |
Net Other Income | 163,690 | 63,240 |
INCOME BEFORE INCOME TAXES | 305,385 | 40,479 |
INCOME TAX BENEFIT (EXPENSE) | (50,164) | 16,093 |
NET INCOME | $ 255,221 | $ 56,572 |
Basic earnings per share | $ 0.05 | $ 0.01 |
Diluted earnings per share | $ 0.05 | $ 0.01 |
Weighted Average Basic Shares Outstanding | 4,659,579 | 4,559,477 |
Weighted Average Diluted Shares | 4,662,675 | 4,613,245 |
Cash dividends declared per share | $ 0 | $ 0.07 |
Pari-mutuel | ||
OPERATING REVENUES: | ||
Operating revenues | $ 1,296,026 | $ 1,490,809 |
Card Casino | ||
OPERATING REVENUES: | ||
Operating revenues | 7,561,172 | 7,899,964 |
Food and beverage | ||
OPERATING REVENUES: | ||
Operating revenues | 1,118,995 | 1,352,801 |
Other | ||
OPERATING REVENUES: | ||
Operating revenues | $ 972,766 | $ 847,224 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY - USD ($) | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Total |
Balance at Dec. 31, 2018 | $ 45,277 | $ 21,420,886 | $ 25,268,187 | $ 46,734,350 |
Balance, shares at Dec. 31, 2018 | 4,527,685 | |||
Exercise of stock options | $ 281 | 172,111 | 172,392 | |
Exercise of stock options, shares | 28,060 | |||
Other share retirements | $ (59) | (27,915) | (62,023) | (89,997) |
Other share retirements, shares | (5,863) | |||
Stock-based compensation | 90,058 | 90,058 | ||
Dividend distribution | (320,226) | (320,226) | ||
401(K) stock match | $ 81 | 116,312 | 116,393 | |
401(K) stock match, shares | 8,111 | |||
Issuance of deferred stock awards | $ 110 | (55,044) | (54,934) | |
Issuance of deferred stock awards, shares | 10,968 | |||
Shares issued under Employee Stock Purchase Plan | $ 57 | 67,282 | 67,339 | |
Shares issued under Employee Stock Purchase Plan, shares | 5,697 | |||
Net income | 56,572 | 56,572 | ||
Balance at Mar. 31, 2019 | $ 45,747 | 21,783,690 | 24,942,510 | 46,771,947 |
Balance, shares at Mar. 31, 2019 | 4,574,658 | |||
Balance at Dec. 31, 2019 | $ 46,445 | 22,733,933 | 26,635,732 | 49,416,110 |
Balance, shares at Dec. 31, 2019 | 4,644,522 | |||
Exercise of stock options | $ 242 | 200,548 | 200,790 | |
Exercise of stock options, shares | 24,250 | |||
Other share retirements | $ (99) | (44,587) | (79,512) | (124,198) |
Other share retirements, shares | (9,920) | |||
Stock-based compensation | 57,606 | 57,606 | ||
401(K) stock match | $ 172 | 160,795 | 160,967 | |
401(K) stock match, shares | 17,179 | |||
Issuance of deferred stock awards | $ 181 | (72,560) | (72,379) | |
Issuance of deferred stock awards, shares | 18,107 | |||
Net income | 255,221 | 255,221 | ||
Balance at Mar. 31, 2020 | $ 46,941 | $ 23,035,735 | $ 26,811,441 | $ 49,894,117 |
Balance, shares at Mar. 31, 2020 | 4,694,138 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Operating Activities: | ||
Net income | $ 255,221 | $ 56,572 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation | 716,853 | 625,520 |
Stock-based compensation expense | 57,606 | 90,058 |
Stock-based employee match contribution | 160,967 | 116,312 |
Deferred income taxes | 259,200 | 94,800 |
Loss from equity investment | 2,377 | |
Loss on disposal of assets | 113,437 | |
Changes in operating assets and liabilities: | ||
Increase in accounts receivable | (67,218) | (69,385) |
Decrease (increase) in other current assets | 74,733 | (40,457) |
Increase (decrease) in income taxes receivable/payable | (645,771) | 357,158 |
Decrease in operating lease right-of-use assets | 1,921 | 1,939 |
Decrease in operating lease liabilities | (1,921) | (1,939) |
Increase in accounts payable | 960,781 | 302,777 |
Decrease in deferred revenue | (127,309) | (61,754) |
(Decrease) increase in Card Casino accruals | (512,051) | 417,322 |
Decrease in accrued wages and payroll taxes | (1,364,320) | (888,915) |
Increase in accrued property taxes | 254,913 | 222,443 |
Increase in payable to horsepersons | 327,215 | 122,454 |
Net cash provided by operating activities | 350,820 | 1,460,719 |
Investing Activities: | ||
Additions to land, buildings, and equipment | (825,937) | (3,101,381) |
Additions for TIF eligible improvements | (148,557) | (1,700,038) |
Proceeds from sale of investments | 103,886 | |
Net cash used in investing activities | (870,608) | (4,801,419) |
Financing Activities: | ||
Proceeds from issuance of common stock | 76,592 | 149,815 |
Payments against line of credit | (1,450,000) | |
Borrowings on line of credit | 1,450,000 | |
Cash dividend paid to shareholders | (324,439) | (316,938) |
Payments for taxes related to net share settlement of equity awards | (72,379) | (54,934) |
Principal payments on finance lease | (6,011) | (5,738) |
Net cash used in financing activities | (326,237) | (227,795) |
Net decrease in cash, cash equivalents, and restricted cash | (846,025) | (3,568,495) |
Cash, cash equivalents, and restricted cash at beginning of period | 3,927,098 | 11,203,998 |
Cash, cash equivalents, and restricted cash at end of period | 3,081,073 | 7,635,503 |
Schedule of non-cash investing and financing activities | ||
Additions to buildings and equipment funded through accounts payable | 298,000 | 227,000 |
Transfer of future TIF reimbursed costs from PP&E | 149,000 | 1,700,000 |
ROU assets obtained in exchange for operating lease obligations | 15,000 | |
Dividend declared | 320,000 | |
Supplemental disclosure of cash flow information: | ||
Interest paid | $ 11,000 | $ 2,000 |
OVERVIEW AND SUMMARY OF SIGNIFI
OVERVIEW AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 3 Months Ended |
Mar. 31, 2020 | |
OVERVIEW AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
OVERVIEW AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 1. OVERVIEW AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Business – The Company’s Racetrack operations are conducted at facilities located in Shakopee, Minnesota, approximately 25 miles southwest of downtown Minneapolis. In May 1994, the Company commenced year-round horse racing simulcast operations and hosted the first annual live race meet during the summer of 1995. The Company’s live racing operations are a seasonal business as it typically hosts live race meets each year from May until September. The Company earns additional pari-mutuel revenue by televising its live racing to out-of-state racetracks around the country. Canterbury Park’s Card Casino typically operates 24 hours a day, seven days a week and is limited by Minnesota State law to conducting card play on a maximum of 80 tables. The Card Casino currently offers a variety of poker and table games. The Company’s three largest sources of revenues include: Card Casino operations, pari-mutuel operations and food and beverage sales. The Company also derives revenues from related services and activities, such as admissions, advertising signage, publication sales, and from other entertainment events and activities held at the Racetrack. Additionally, the Company is developing approximately 140 acres of underutilized land surrounding the Racetrack in a project known as Canterbury Commons. The Company is pursuing several mixed-use development opportunities for this land, directly and through joint ventures. In January 2020, an outbreak of a respiratory illness caused by a new strain of coronavirus was identified. The disease has since spread rapidly across the world, causing the World Health Organization to declare the outbreak a pandemic (the “COVID-19 Pandemic”) on March 12, 2020. Since that time, measures have been taken to limit the impact of COVID-19, including shelter-in-place orders, social distancing measures, travel bans and restrictions, and business and government shutdowns. On March 16, 2020, the Company announced that, based on the advice of Minnesota state and regulatory bodies, it was temporarily suspending all card casino, simulcast, and special events operations at Canterbury Park in response to concerns about the COVID-19 Pandemic. Canterbury Park determined this voluntary suspension of activities was in the best interest of the health and safety of its guests and team members and would provide the Company an opportunity to review and update operational best practices and strategies based on what was currently known about this public health situation and future developments. Despite a strong start to the year, the disruptions arising from the COVID-19 Pandemic had a significant impact on the Company's financial condition and operations during the three months ended March 31, 2020. The duration and intensity of this global health emergency and related disruptions is uncertain. Given the dynamic nature of these circumstances, the impact on the Company’s consolidated results of operations, cash flows and financial condition in 2020 will be material, but cannot be reasonably estimated at this time as it is unknown when the COVID-19 Pandemic will end, when or how quickly the current travel restrictions will be modified or cease to be necessary and the resulting impact on the Company’s business and the willingness of customers to spend on entertainment. The Company has a consolidated balance sheet with no long-term debt and an $8 million credit line that is anticipated to provide the Company with the necessary liquidity and financial flexibility to manage through this challenging operating environment. We have taken significant actions to mitigate the effects of the COVID-19 Pandemic on our operations, including initiating workforce reductions and furloughs, suspending the Company’s quarterly cash dividend, reducing working capital, postponing non-essential capital expenditures, reducing operating costs, and substantially reducing discretionary spending. We expect these countermeasures to partially mitigate the impacts of COVID-19 on our full year 2020 financial results. As the impact of the COVID-19 Pandemic on the economy and our operations evolves, we will continue to assess the impact on the Company and respond accordingly. Basis of Presentation and Preparation – The accompanying condensed consolidated financial statements include the accounts of the Company (Canterbury Park Holding Corporation and its subsidiaries Canterbury Park Entertainment, LLC; Canterbury Park Concession, Inc.; and Canterbury Development, LLC). Intercompany accounts and transactions have been eliminated. The preparation of these condensed consolidated financial statements in conformity with accounting principles generally accepted in the United States of America (“GAAP”) requires management to make estimates and assumptions that affect the amounts reported in these condensed consolidated financial statements and accompanying notes. Actual results could differ materially from those estimates. These condensed consolidated financial statements and accompanying notes should be read in conjunction with the Company’s annual consolidated financial statements and the notes thereto for the fiscal year ended December 31, 2019, included in its Annual Report on Form 10‑K (the “2019 Form 10‑K”). The condensed consolidated balance sheets and the related condensed consolidated statements of operations, stockholders’ equity, and the cash flows for the periods ended March 31, 2020 and 2019 have been prepared by Company management. In the opinion of management, all adjustments (which include only normal recurring adjustments, except where noted) necessary to present fairly the financial position, results of operations, statement of stockholders’ equity, and cash flows at March 31, 2020 and 2019 and for the periods then ended have been made. Summary of Significant Accounting Policies – A detailed description of our significant accounting policies can be found in our most recent Annual Report on Form 10-K for the fiscal year ended December 31, 2019. There were no material changes in significant accounting policies during the quarter ended March 31, 2020. Restricted Cash – Restricted cash represents refundable deposits and amounts due to horsemen for purses, stakes and awards, and amounts accumulated in card game progressive jackpot pools, the player pool and poker promotional fund to be used to repay card players in the form of promotions, giveaways, prizes, or by other means. Restricted cash also includes a deposit related to its development operations. The Company deposited $1.2 million with a bank in December 2018 to assist Doran Canterbury I to complete financing for a construction loan. On May 1, 2020, the bank released the deposit back to the Company. Therefore, the Company classified this as short term restricted cash on its Condensed Consolidated Balance Sheet. Deferred Revenue – Deferred revenue includes advance sales related to racing, events and corporate partnerships. Revenue from these advance billings is recognized when the related event occurs or services have been performed. Deferred revenue also includes advanced Cooperative Marketing Agreement (“CMA”) promotional funds, for which revenue is recognized when expenses are incurred. Payable to Horsepersons - The Minnesota Pari-mutuel Horse Racing Act requires the Company to segregate a portion of funds (recorded as purse expense in the statements of operations) received from Card Casino operations and wagering on simulcast and live horse races, for future payment as purses for live horse races or other uses of the horsepersons’ association. Pursuant to an agreement with the Minnesota Horsemen’s Benevolent and Protective Association (“MHBPA”), the Company transferred into a trust account or paid directly to the MHBPA, $1,185,000 and $1,260,000 for the three months ended March 31, 2020 and 2019, respectively, related to thoroughbred races. Minnesota Statutes provide that amounts transferred into the trust account are the property of the trust and not of the Company, and therefore these amounts are not recorded on the Company’s Condensed Consolidated Balance Sheet. Checks Written in Excess of Cash Balance – For the three months ended March 31, 2020, the Company included $945,000 of checks written in excess of cash balance within accounts payable on the Condensed Consolidated Balance Sheet. There were no checks written in excess of cash balance as of December 31, 2019. Revenue Recognition – The Company’s primary revenues with customers consist of Card Casino operations, pari-mutuel wagering on simulcast and live horse races, and food and beverage transactions. We determine revenue recognition through the following steps: Identification of the contract, or contracts, with a customer Identification of the performance obligations in the contract Determination of the transaction price Allocation of the transaction price to the performance obligation in the contract Recognition of revenue when, or as, we satisfy a performance obligation The transaction price for a Card Casino contract is a set percentage of wagers and is recognized at the time that the wagering process is complete. The transaction price for pari-mutuel wagering is the commission received on a wager, exclusive of any track fees and is recognized upon occurrence of the live race that is presented for wagering and after that live race is made official by the respective state’s racing regulatory body. The transaction price for food and beverage contracts is the net amount collected from the customer for these goods. Food and beverage services have been determined to be separate, stand-alone performance obligations and the transaction price is recorded as revenue as the good is transferred to the customer when delivery is made. Contracts for Card Casino operations and pari-mutuel wagering involve two performance obligations for those customers earning points under the Company’s loyalty program and a single performance obligation for customers who do not participate in the program. The Company applies a practical expedient by accounting for its gaming contracts on a portfolio basis as these wagers have similar characteristics and the Company reasonably expects the effects on the financial statements of applying the revenue recognition guidance to the portfolio would not differ materially from what would result if the guidance were applied on an individual wagering contract. For purposes of allocating the transaction price in a wagering contract between the wagering performance obligation and the obligation associated with the loyalty points earned, the Company allocates an amount to the loyalty point contract liability based on the stand-alone redemption value of the points earned, which is determined by the value of a point that can be redeemed for a cash voucher, food and beverage voucher, racing admission, valet parking, or racing forms. Based on past experience, the majority of customers redeem their points for cash vouchers. Therefore, there are no further performance obligations by the Company. We have two general types of liabilities related to contracts with customers: (1) our MVP Loyalty Program and (2) outstanding chip liability. These are included in the line item Card Casino accruals on the consolidated balance sheet. We defer the full retail value of these complimentary reward items until the future revenue transaction occurs. The Company offers certain promotional allowances at no charge to patrons who participate in its player rewards program. We evaluate our on-track revenue, export revenue, and import revenue contracts to determine whether we are acting as the principal or as the agent when providing services, which we consider in determining if revenue should be reported gross or net. An entity is a principal if it controls the specified service before that service is transferred to a customer. The revenue we recognize for on-track revenue and import revenue is the commission we are entitled to retain for providing a wagering service to our customers. For these arrangements, we are the principal as we control the wagering service; therefore, any charges, including simulcast fees, we incur for delivering the wagering service are presented as operating expenses. For export revenue, our customer is the third party wagering site such as a racetrack, OTB, or advance deposit wagering provider. Therefore, the revenue we recognize for export revenue is the simulcast host fee we earn for exporting our racing signal to the third party wagering site. |
STOCK-BASED COMPENSATION
STOCK-BASED COMPENSATION | 3 Months Ended |
Mar. 31, 2020 | |
STOCK-BASED COMPENSATION | |
STOCK-BASED COMPENSATION | 2. STOCK-BASED COMPENSATION Long Term Incentive Plan and Award of Deferred Stock The Long Term Incentive Plan (the “LTI Plan”) authorizes the grant of Long Term Incentive Awards that provide an opportunity to Named Executive Officers (“NEOs”) and other Senior Executives to receive a payment in cash or shares of the Company’s common stock to the extent of achievement at the end of a period greater than one year (the “Performance Period”) as compared to Performance Goals established at the beginning of the Performance Period. Currently, there are two awards outstanding that are for three-year periods ending December 31, 2020 and 2021. As a result of the COVID-19 Pandemic, the Company has temporarily suspended its LTI Plan until there is more certainty about the Company’s reopening and future operations. Board of Directors Stock Option, Deferred Stock Awards, and Restricted Stock Grants The Company’s Stock Plan currently authorizes annual grants of restricted stock, deferred stock, stock options, or any combination of the three, to non-employee members of the Board of Directors at the time of the Company’s annual shareholders’ meeting as determined by the Board prior to each such meeting. Options granted under the Plan generally expire 10 years after the grant date. Restricted stock and deferred stock grants generally vest 100% one year after the date of the annual meeting at which they were granted, are subject to restrictions on resale for an additional year, and are subject to forfeiture if a board member terminates his or her board service prior to the shares vesting. The Board of Directors’ unvested deferred stock awards as of March 31, 2020 consisted of 12,604 shares with a weighted average fair value per share of $12.69. There were no unvested restricted stock or stock options outstanding at March 31, 2020. Stock-based compensation expense related to the LTI Plan, deferred stock awards and restricted stock awards is included on the Condensed Consolidated Statements of Operations and totaled $58,000 and $90,000 for the three months ended March 31, 2020 and 2019, respectively. Employee Stock Option Grants The Company has granted incentive stock options to employees pursuant to the Company’s Stock Plan with an exercise price equal to the market price on the date of grant. The options vest over a 42‑month period and expire in 10 years. A summary of stock option activity as of March 31, 2020 and changes during the three months then ended is presented below: Weighted Weighted Average Average Remaining Aggregate Number of Exercise Contractual Grant Date Stock Options Options Price Term Fair Value Outstanding at January 1, 2020 33,250 $ Granted - - Exercised (24,250) 8.28 Expired/Forfeited - - Outstanding at March 31, 2020 9,000 $ 0.8 Years $ 119,700 Exercisable at March 31, 2020 9,000 $ 0.8 Years $ 119,700 |
NET INCOME PER SHARE COMPUTATIO
NET INCOME PER SHARE COMPUTATIONS | 3 Months Ended |
Mar. 31, 2020 | |
NET INCOME PER SHARE COMPUTATIONS | |
NET INCOME PER SHARE COMPUTATIONS | 3. NET INCOME PER SHARE COMPUTATIONS The following is a reconciliation of the numerator and denominator of the earnings per common share computations for the three months ended March 31, 2020 and 2019: Three Months Ended March 31, 2020 2019 Net income (numerator) amounts used for basic and diluted per share computations: $ 255,221 $ 56,572 Weighted average shares (denominator) of common stock outstanding: Basic 4,659,579 4,559,477 Plus dilutive effect of stock options 3,096 53,768 Diluted 4,662,675 4,613,245 Net income per common share: Basic $ 0.05 $ 0.01 Diluted 0.05 0.01 Options to purchase 9,000 shares of common stock at an average price of $13.30 per share were outstanding but not included in the computation of diluted net income per share for the three months ended March 31, 2020 because the exercise price of the options exceeded the market price of the Company’s common stock at March 31, 2020. There were no out-of-the money options at March 31, 2019; thus, all outstanding options to purchase shares of common stock were included in the computation of diluted net income per share. |
GENERAL CREDIT AGREEMENT
GENERAL CREDIT AGREEMENT | 3 Months Ended |
Mar. 31, 2020 | |
GENERAL CREDIT AGREEMENT | |
GENERAL CREDIT AGREEMENT | 4. GENERAL CREDIT AGREEMENT The Company has a general credit and security agreement with a financial institution, which provides a revolving credit line up to $8,000,000 and allows for letters of credit in the aggregate amount of up to $2,000,000 to be issued under the credit agreement. The line of credit is collateralized by all receivables, inventory, equipment, and general intangibles of the Company. This agreement was amended as of September 30, 2019 to extend the maturity date to September 30, 2020. As of March 31, 2020, the outstanding balance on the line of credit was $0. |
OPERATING SEGMENTS
OPERATING SEGMENTS | 3 Months Ended |
Mar. 31, 2020 | |
OPERATING SEGMENTS | |
OPERATING SEGMENTS | 5. OPERATING SEGMENTS The Company has four reportable operating segments: horse racing, Card Casino, food and beverage, and development. The horse racing segment primarily represents simulcast and live horse racing operations. The Card Casino segment represents operations of Canterbury Park’s Card Casino, the food and beverage segment represents food and beverage operations provided during simulcast and live racing, in the Card Casino, and during special events. The development segment represents our real estate development operations. The Company’s reportable operating segments are strategic business units that offer different products and services. They are managed separately because the segments differ in the nature of the products and services provided as well as process to produce those products and services. The Minnesota Racing Commission regulates the horse racing and Card Casino segments. Depreciation, interest and income taxes are allocated to the segments, but no allocation is made to the food and beverage segment for shared facilities. However, the food and beverage segment pays approximately 25% of gross revenues earned on live racing and special event days to the horse racing segment for use of the facilities. The following tables represent a disaggregation of revenues from contracts with customers along with the Company’s operating segments (in 000’s): Three Months Ended March 31, 2020 Horse Racing Card Casino Food and Beverage Development Total Net revenues from external customers $ 2,197 $ 7,561 $ 1,182 $ 9 $ 10,949 Intersegment revenues 70 — 262 — 332 Net interest (expense) income (9) — — 173 164 Depreciation 398 261 58 — 717 Segment (loss) income before income taxes (896) 965 (160) 74 (17) Segment tax expense (benefit) (94) 158 (26) 12 50 March 31, 2020 Segment Assets $ 31,020 $ 3,252 $ 25,239 $ 29,302 $ 88,813 Three Months Ended March 31, 2019 Horse Racing Card Casino Food and Beverage Development Total Net revenues from external customers $ 2,292 $ 7,900 $ 1,399 $ - $ 11,591 Intersegment revenues 116 - 303 - 419 Net interest income 8 - - 55 63 Depreciation 578 4 44 - 626 Segment (loss) income before income taxes (1,176) 1,110 (88) (22) (176) Segment tax expense (benefit) (414) 441 (35) (8) (16) December 31, 2019 Segment Assets $ 31,618 $ 3,327 $ 25,430 $ 29,074 $ 89,449 The following are reconciliations of reportable segment revenues, income before income taxes, and assets, to the Company’s consolidated totals (in 000’s): Three Months Ended March 31, 2020 2020 2019 Revenues Total net revenue for reportable segments $ 11,281 $ 12,010 Elimination of intersegment revenues (332) (419) Total consolidated net revenues $ 10,949 $ 11,591 Income before income taxes Total segment income before income taxes $ (17) $ (176) Elimination of intersegment income before income taxes 322 216 Total consolidated income before income taxes $ 305 $ 40 March 31, December 31, 2020 2019 Assets Total assets for reportable segments $ 88,813 $ 89,449 Elimination of intercompany balances (23,715) (24,036) Total consolidated assets $ 65,098 $ 65,413 |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 3 Months Ended |
Mar. 31, 2020 | |
COMMITMENTS AND CONTINGENCIES [Abstract] | |
COMMITMENTS AND CONTINGENCIES | 6. COMMITMENTS AND CONTINGENCIES In accordance with an Earn Out Promissory Note given to the prior owner of the Racetrack as part of the consideration paid by the Company to acquire the Racetrack in 1994, if (i) off-track betting becomes legally permissible in the State of Minnesota and (ii) the Company begins to conduct off-track betting with respect to or in connection with its operations, the Company will be required to pay to the IMR Fund, L.P. the greater of (a) $700,000 per Operating Year, as defined, or (b) 20% of the Net Pretax Profit, as defined for each of five operating years. At this time, management believes that the likelihood that these two conditions will be met and that the Company would be required to pay these amounts is remote. At the date (if any) that these two conditions are met, the five minimum payments would be discounted back to their present value and the sum of those discounted payments would be capitalized as part of the purchase price in accordance with GAAP. The purchase price will be further increased if payments become due under the “20% of Net Pretax Profit” calculation. The first payment would be due 90 days after the end of the third Operating Year in which off-track betting is conducted by the Company. Remaining payments would be made within 90 days of the end of each of the next four Operating Years. The Company entered into a Cooperative Marketing Agreement (the “CMA”) with the Shakopee Mdewakanton Sioux Community (“SMSC”), which became effective March 4, 2012, was amended in the first quarter of each of 2015, 2016, 2017, and 2018, and will expire on December 31, 2022. The CMA contains certain covenants which, if breached, would trigger an obligation to repay a specified amount related to such covenant. At this time, management believes it unlikely that any breach of a covenant will occur, and that therefore the possibility that the Company will be required to pay the specified amount related to any covenant breach is remote. The Company is periodically involved in various claims and legal actions arising in the normal course of business. Management believes that the resolution of any pending claims and legal actions at March 31, 2020 and as of the date of this report, will not have a material impact on the Company’s consolidated financial positions or results of operations. In August 2018, the Company entered into a Contract for Private Redevelopment with the City of Shakopee in connection with a Tax Increment Financing District (“TIF District”). The Company is obligated to construct certain infrastructure improvements within the TIF District, and will be reimbursed by the City of Shakopee by future tax increment revenue generated from the developed property. The total amount of funding that Canterbury will be paid as reimbursement under the TIF program for these improvements is not guaranteed and will depend on future tax revenues generated from the developed property. |
COOPERATIVE MARKETING AGREEMENT
COOPERATIVE MARKETING AGREEMENT | 3 Months Ended |
Mar. 31, 2020 | |
COOPERATIVE MARKETING AGREEMENT | |
COOPERATIVE MARKETING AGREEMENT | 7. COOPERATIVE MARKETING AGREEMENT As discussed above in Note 6, on March 4, 2012, the Company entered into the CMA with the SMSC. The primary purpose of the CMA is to increase purses paid during live horse racing at Canterbury Park’s Racetrack in order to strengthen Minnesota’s thoroughbred and quarter horse industry. Under the CMA, as amended, this is achieved through “Purse Enhancement Payments to Horsemen” paid directly to the MHBPA. These payments have no direct impact on the Company’s consolidated financial statements or operations. Under the terms of the CMA, as amended, the SMSC made a payment of $7.4 million during the first three months of 2019, primarily for purse enhancements for the live race meet. As of the date of this filing, the SMSC has not made a payment for the 2020 live race meet. Under the CMA, as amended, SMSC also agreed to make “Marketing Payments” to the Company relating to joint marketing efforts for the mutual benefit of the Company and SMSC, including signage, joint promotions, player benefits, and events. In the respective first quarters of 2015, 2016, 2017, and 2018, the CMA was amended to adjust the payment amounts between the “Purse Enhancement Payments to Horsemen” and “Marketing Payments to Canterbury Park.” SMSC is currently obligated to make the following purse enhancement and marketing payments for 2021 through 2022: Purse Enhancement Payments to Marketing Payments to Year Horsemen (1) Canterbury Park 2021 7,380,000 1,620,000 2022 7,380,000 1,620,000 1 Includes $100,000 each year payable to various horsemen associations The amounts earned from the marketing payments are recorded as a component of other revenue and the related expenses are recorded as a component of advertising and marketing expense and depreciation in the Company’s condensed consolidated statements of operations. For the three months ended March 31, 2020, the Company recorded $68,000 in other revenue, incurred $30,000 in advertising and marketing expense, and incurred $38,000 in depreciation related to the SMSC marketing funds. For the three months ended March 31, 2019, the Company recorded $75,000 in other revenue and incurred $18,000 in advertising and marketing expense and $57,000 in depreciation related to the SMSC marketing funds. Under the CMA, the Company agreed for the term of the CMA, which is currently scheduled to terminate on December 31, 2022, that it would not promote or lobby the Minnesota legislature for expanded gambling authority and will support the SMSC’s lobbying efforts against expanding gambling authority. |
REAL ESTATE DEVELOPMENT
REAL ESTATE DEVELOPMENT | 3 Months Ended |
Mar. 31, 2020 | |
REAL ESTATE DEVELOPMENT | |
REAL ESTATE DEVELOPMENT | 8. REAL ESTATE DEVELOPMENT Equity Investment On April 2, 2018, the Company’s subsidiary Canterbury Development LLC, entered into an Operating Agreement (“Operating Agreement”) with an affiliate of Doran Companies (“Doran”), a national commercial and residential real estate developer, as the two members of a Minnesota limited liability company named Doran Canterbury I, LLC (Doran Canterbury I). Doran Canterbury I was formed as part of a joint venture between Doran and Canterbury Development LLC to construct an upscale apartment complex on land adjacent to the Company’s Racetrack (the “Project”). Doran Canterbury I is developing Phase I of the Project, which will include approximately 300 units, a heated parking ramp, and a clubhouse. On September 27, 2018, Canterbury Development LLC contributed approximately 13 acres of land as its equity contribution in the Doran Canterbury I joint venture and became a 27.4% equity member. On December 20, 2018, financing for Doran Canterbury I was secured. As the Company is able to assert significant influence, but not control, over Doran Canterbury I’s operational and financial policies, the Company accounts for the joint venture as an equity method investment. In connection with the execution of the Amended Doran Canterbury I Agreement, on August 18, 2018, Canterbury Development LLC entered into an Operating Agreement with Doran Shakopee, LLC as the two members of a Minnesota limited liability company entitled Doran Canterbury II, LLC (“Doran Canterbury II”). Under the Doran Canterbury II Operating Agreement, Doran Canterbury II will pursue development of Phase II of the Project, which is expected to begin upon rental stabilization of Phase I. Phase II will include an additional 300 apartment units. Canterbury Development’s equity contribution to Doran Canterbury II for Phase II will be approximately 10 acres of land. In connection with its contribution, Canterbury Development became a 27.4% equity member in Doran Canterbury II with Doran owning the remaining 72.6%. Tax Increment Financing On August 8, 2018, the City Council of the City of Shakopee, Minnesota approved a Contract for Private Redevelopment (“Redevelopment Agreement”) between the City of Shakopee Economic Development Authority (“Shakopee EDA”) and Canterbury Park Holding Corporation and its subsidiary Canterbury Development LLC in connection with a Tax Increment Financing District (“TIF District”) that the City had approved in April 2018. The City of Shakopee, the Shakopee EDA and the Company entered into the Redevelopment Agreement on August 10, 2018. Under the Redevelopment Agreement, the Company has agreed to undertake a number of specific infrastructure improvements within the TIF District, including the development of public streets, utilities, sidewalks, and other public infrastructure. More specifically, the Company is obligated to construct improvements on Shenandoah Drive and Barenscheer Boulevard with these improvements required to be substantially complete on or before December 31, 2019 and December 31, 2020, respectively. As of December 31, 2019, improvements to Shenandoah Drive were substantially complete. Under the Redevelopment Agreement, the City of Shakopee has agreed that a portion of the tax increment revenue generated from the developed property will be paid to the Company to reimburse it for its expense in constructing infrastructure improvements. The total estimated cost of TIF eligible improvements to be borne by the Company is $23,336,500. A detailed Schedule of the Public Improvements under the Redevelopment Agreement, the timeline for their construction and the source and amount of funding is set forth on Exhibit C of the Redevelopment Agreement, which was filed as Exhibit 10.1 to the Company’s Form 10-Q for the quarter ended March 31, 2018. The total amount of funding that Canterbury will be paid as reimbursement under the TIF program for these improvements is not guaranteed, however, and will depend on future tax revenues generated from the developed property. As of March 31, 2020, the Company recorded a TIF receivable of $9,857,000, which represents $9,580,000 of principal and $277,000 of interest. The Company expects to finance its improvements under the Redevelopment Agreement with funds from its current operating resources and existing credit facility and, potentially, third-party financing sources. Purchase and Sale Agreement On March 13, 2020, the Company entered into an agreement to sell approximately 12 acres of land on the East side of the Racetrack to a third party for total consideration of approximately $2.5 million. Closing is subject to the satisfaction of certain customary conditions. The Company expects the transaction to close in 2020. |
LEASES
LEASES | 3 Months Ended |
Mar. 31, 2020 | |
LEASES [Abstract] | |
LEASES | 9. LEASES The Company determines if an arrangement is a lease or contains a lease at inception. The Company leases certain office equipment under finance leases. We also lease equipment related to our horse racing operations under operating leases. For lease accounting purposes, we do not separate lease and nonlease components, nor do we record operating or finance lease assets and liabilities for short term leases. As our leases do not provide an implicit rate, we use our incremental borrowing rate based on the information available at commencement date to determine the present value of lease payments. We recognize expense for operating leases on a straight-line basis over the lease term. The Company’s lease agreements do not contain any variable lease payments, material residual value guarantees or any restrictive covenants. Lease costs related to operating leases were $2,031 and $2,127 for the three months ended March 31, 2020 and 2019, respectively. The total lease expenses for leases with a term of twelve months or less for which the Company elected not to recognize a lease asset or liability was $80,680 and $116,691 for the three months ended March 31, 2020 and 2019, respectively. Lease costs included in depreciation and amortization related to our finance leases were $5,949 for the three months ended March 31, 2020 and 2019. Interest expense related to our finance leases was immaterial. The following table shows the classification of the right of use assets on our consolidated balance sheets: Three Months Ended March 31, Balance Sheet Location 2020 2019 Assets Finance Land, buildings and equipment, net (1) $ 90,273 $ $ 115,254 Operating Operating lease right-of-use assets 72,911 13,074 Total Leased Assets $ 163,184 $ $ 128,328 1 – Finance lease assets are net of accumulated amortization of $29,744 and $5,949 as of March 31, 2020 and 2019, respectively. The following table shows the lease terms and discount rates related to our leases: Three Months Ended March 31, 2020 2019 Weighted average remaining lease term (in years): Finance Operating Weighted average discount rate (%): Finance Operating The maturity of operating leases and finance leases as of March 31, 2020 are as follows: Three Months Ended March 31, 2020 Operating leases Finance leases 2020 remaining $ 29,315 $ 21,557 2021 23,100 28,743 2022 23,100 28,743 2023 — 19,332 Total minimum lease obligations 75,515 98,375 Less: amounts representing interest (2,604) (8,102) Present value of minimum lease payments 72,911 90,273 Less: current portion (27,855) (24,807) Lease obligations, net of current portion $ 45,056 $ 65,466 |
RELATED PARTY RECEIVABLES
RELATED PARTY RECEIVABLES | 3 Months Ended |
Mar. 31, 2020 | |
RELATED PARTY RECEIVABLES | |
RELATED PARTY RECEIVABLES | 10. RELATED PARTY RECEIVABLES On December 20, 2018, the Company entered into a loan agreement with Doran Family Holdings, which is the controlling partner in the Doran Canterbury I joint venture. The Company loaned Doran Family Holdings $2,910,000 net of loan origination fees, and received a promissory note totaling $2,940,000 bearing interest at 5%. The note will mature at the earliest of (i) the date of closing by Doran Canterbury II, LLC on Phase II Project Financing; (ii) the closing on any purchase of the Phase II Land by Doran Shakopee, LLC pursuant to its option under Section 3.9(a) of the Doran Canterbury II Operating Agreement; (iii) the date of final determination that the Phase II Project will not be developed by Doran Canterbury II, LLC; or (iv) three (3) years following the date of the note. Management believes no allowance for doubtful accounts is necessary. In 2018, the Company incurred $268,000 of costs for preliminary grading work on parcels of land the Company has designated for Doran Canterbury II. The Company will be fully reimbursed for these costs upon the commencement of the Doran Canterbury II project and thus, recorded the amount as a receivable. Although there is a possibility Doran Canterbury II will not materialize, the Company currently believes this likelihood is remote. In 2019, the Company loaned money to the Doran Canterbury I joint venture in two separate loans in the amounts of $178,100 and $137,000, respectively. These member loans bear interest at the rate equal to the Prime Rate plus two percent per annum. The Company expects to be fully reimbursed for these member loans when the joint venture achieves positive cash flow. |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 3 Months Ended |
Mar. 31, 2020 | |
SUBSEQUENT EVENTS | |
SUBSEQUENT EVENTS | 11. SUBSEQUENT EVENTS As part of its development efforts, the Company has recently entered into two real estate purchase and sale agreements. On April 7, 2020, the Company entered into an agreement to sell approximately 11.3 acres of land on the West side of the Racetrack to a third party for total consideration of approximately $2,400,000. Closing is subject to the satisfaction of certain customary conditions. The Company expects the transaction to close in 2020. On April 15, 2020, the Company entered into an agreement to sell approximately 2.4 acres of land on the West side of the Racetrack to a third party for total consideration of approximately $1,100,000. Closing is subject to the satisfaction of certain customary conditions. The Company expects the transaction to close in 2020. |
OVERVIEW AND SUMMARY OF SIGNI_2
OVERVIEW AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 3 Months Ended |
Mar. 31, 2020 | |
OVERVIEW AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
Basis of Presentation and Preparation | Basis of Presentation and Preparation – The accompanying condensed consolidated financial statements include the accounts of the Company (Canterbury Park Holding Corporation and its subsidiaries Canterbury Park Entertainment, LLC; Canterbury Park Concession, Inc.; and Canterbury Development, LLC). Intercompany accounts and transactions have been eliminated. The preparation of these condensed consolidated financial statements in conformity with accounting principles generally accepted in the United States of America (“GAAP”) requires management to make estimates and assumptions that affect the amounts reported in these condensed consolidated financial statements and accompanying notes. Actual results could differ materially from those estimates. These condensed consolidated financial statements and accompanying notes should be read in conjunction with the Company’s annual consolidated financial statements and the notes thereto for the fiscal year ended December 31, 2019, included in its Annual Report on Form 10‑K (the “2019 Form 10‑K”). The condensed consolidated balance sheets and the related condensed consolidated statements of operations, stockholders’ equity, and the cash flows for the periods ended March 31, 2020 and 2019 have been prepared by Company management. In the opinion of management, all adjustments (which include only normal recurring adjustments, except where noted) necessary to present fairly the financial position, results of operations, statement of stockholders’ equity, and cash flows at March 31, 2020 and 2019 and for the periods then ended have been made. |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies – A detailed description of our significant accounting policies can be found in our most recent Annual Report on Form 10-K for the fiscal year ended December 31, 2019. There were no material changes in significant accounting policies during the quarter ended March 31, 2020. |
Restricted Cash | Restricted Cash – Restricted cash represents refundable deposits and amounts due to horsemen for purses, stakes and awards, and amounts accumulated in card game progressive jackpot pools, the player pool and poker promotional fund to be used to repay card players in the form of promotions, giveaways, prizes, or by other means. Restricted cash also includes a deposit related to its development operations. The Company deposited $1.2 million with a bank in December 2018 to assist Doran Canterbury I to complete financing for a construction loan. On May 1, 2020, the bank released the deposit back to the Company. Therefore, the Company classified this as short term restricted cash on its Condensed Consolidated Balance Sheet. |
Deferred Revenue | Deferred Revenue – Deferred revenue includes advance sales related to racing, events and corporate partnerships. Revenue from these advance billings is recognized when the related event occurs or services have been performed. Deferred revenue also includes advanced Cooperative Marketing Agreement (“CMA”) promotional funds, for which revenue is recognized when expenses are incurred. |
Payable to Horsepersons | Payable to Horsepersons - The Minnesota Pari-mutuel Horse Racing Act requires the Company to segregate a portion of funds (recorded as purse expense in the statements of operations) received from Card Casino operations and wagering on simulcast and live horse races, for future payment as purses for live horse races or other uses of the horsepersons’ association. Pursuant to an agreement with the Minnesota Horsemen’s Benevolent and Protective Association (“MHBPA”), the Company transferred into a trust account or paid directly to the MHBPA, $1,185,000 and $1,260,000 for the three months ended March 31, 2020 and 2019, respectively, related to thoroughbred races. Minnesota Statutes provide that amounts transferred into the trust account are the property of the trust and not of the Company, and therefore these amounts are not recorded on the Company’s Condensed Consolidated Balance Sheet. |
Checks Written in Excess of Cash Balance | Checks Written in Excess of Cash Balance – For the three months ended March 31, 2020, the Company included $945,000 of checks written in excess of cash balance within accounts payable on the Condensed Consolidated Balance Sheet. There were no checks written in excess of cash balance as of December 31, 2019. |
Revenue Recognition | Revenue Recognition – The Company’s primary revenues with customers consist of Card Casino operations, pari-mutuel wagering on simulcast and live horse races, and food and beverage transactions. We determine revenue recognition through the following steps: Identification of the contract, or contracts, with a customer Identification of the performance obligations in the contract Determination of the transaction price Allocation of the transaction price to the performance obligation in the contract Recognition of revenue when, or as, we satisfy a performance obligation The transaction price for a Card Casino contract is a set percentage of wagers and is recognized at the time that the wagering process is complete. The transaction price for pari-mutuel wagering is the commission received on a wager, exclusive of any track fees and is recognized upon occurrence of the live race that is presented for wagering and after that live race is made official by the respective state’s racing regulatory body. The transaction price for food and beverage contracts is the net amount collected from the customer for these goods. Food and beverage services have been determined to be separate, stand-alone performance obligations and the transaction price is recorded as revenue as the good is transferred to the customer when delivery is made. Contracts for Card Casino operations and pari-mutuel wagering involve two performance obligations for those customers earning points under the Company’s loyalty program and a single performance obligation for customers who do not participate in the program. The Company applies a practical expedient by accounting for its gaming contracts on a portfolio basis as these wagers have similar characteristics and the Company reasonably expects the effects on the financial statements of applying the revenue recognition guidance to the portfolio would not differ materially from what would result if the guidance were applied on an individual wagering contract. For purposes of allocating the transaction price in a wagering contract between the wagering performance obligation and the obligation associated with the loyalty points earned, the Company allocates an amount to the loyalty point contract liability based on the stand-alone redemption value of the points earned, which is determined by the value of a point that can be redeemed for a cash voucher, food and beverage voucher, racing admission, valet parking, or racing forms. Based on past experience, the majority of customers redeem their points for cash vouchers. Therefore, there are no further performance obligations by the Company. We have two general types of liabilities related to contracts with customers: (1) our MVP Loyalty Program and (2) outstanding chip liability. These are included in the line item Card Casino accruals on the consolidated balance sheet. We defer the full retail value of these complimentary reward items until the future revenue transaction occurs. The Company offers certain promotional allowances at no charge to patrons who participate in its player rewards program. We evaluate our on-track revenue, export revenue, and import revenue contracts to determine whether we are acting as the principal or as the agent when providing services, which we consider in determining if revenue should be reported gross or net. An entity is a principal if it controls the specified service before that service is transferred to a customer. The revenue we recognize for on-track revenue and import revenue is the commission we are entitled to retain for providing a wagering service to our customers. For these arrangements, we are the principal as we control the wagering service; therefore, any charges, including simulcast fees, we incur for delivering the wagering service are presented as operating expenses. For export revenue, our customer is the third party wagering site such as a racetrack, OTB, or advance deposit wagering provider. Therefore, the revenue we recognize for export revenue is the simulcast host fee we earn for exporting our racing signal to the third party wagering site. |
STOCK-BASED COMPENSATION (Table
STOCK-BASED COMPENSATION (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
STOCK-BASED COMPENSATION | |
Schedule of Stock Option Activity | Weighted Weighted Average Average Remaining Aggregate Number of Exercise Contractual Grant Date Stock Options Options Price Term Fair Value Outstanding at January 1, 2020 33,250 $ Granted - - Exercised (24,250) 8.28 Expired/Forfeited - - Outstanding at March 31, 2020 9,000 $ 0.8 Years $ 119,700 Exercisable at March 31, 2020 9,000 $ 0.8 Years $ 119,700 |
NET INCOME PER SHARE COMPUTAT_2
NET INCOME PER SHARE COMPUTATIONS (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
NET INCOME PER SHARE COMPUTATIONS | |
Schedule Of Earnings Per Share Reconciliation | Three Months Ended March 31, 2020 2019 Net income (numerator) amounts used for basic and diluted per share computations: $ 255,221 $ 56,572 Weighted average shares (denominator) of common stock outstanding: Basic 4,659,579 4,559,477 Plus dilutive effect of stock options 3,096 53,768 Diluted 4,662,675 4,613,245 Net income per common share: Basic $ 0.05 $ 0.01 Diluted 0.05 0.01 |
OPERATING SEGMENTS (Tables)
OPERATING SEGMENTS (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
OPERATING SEGMENTS | |
Schedule of the Company's Operating Segments | Three Months Ended March 31, 2020 Horse Racing Card Casino Food and Beverage Development Total Net revenues from external customers $ 2,197 $ 7,561 $ 1,182 $ 9 $ 10,949 Intersegment revenues 70 — 262 — 332 Net interest (expense) income (9) — — 173 164 Depreciation 398 261 58 — 717 Segment (loss) income before income taxes (896) 965 (160) 74 (17) Segment tax expense (benefit) (94) 158 (26) 12 50 March 31, 2020 Segment Assets $ 31,020 $ 3,252 $ 25,239 $ 29,302 $ 88,813 Three Months Ended March 31, 2019 Horse Racing Card Casino Food and Beverage Development Total Net revenues from external customers $ 2,292 $ 7,900 $ 1,399 $ - $ 11,591 Intersegment revenues 116 - 303 - 419 Net interest income 8 - - 55 63 Depreciation 578 4 44 - 626 Segment (loss) income before income taxes (1,176) 1,110 (88) (22) (176) Segment tax expense (benefit) (414) 441 (35) (8) (16) December 31, 2019 Segment Assets $ 31,618 $ 3,327 $ 25,430 $ 29,074 $ 89,449 |
Reconciliation of Revenues | Three Months Ended March 31, 2020 2020 2019 Revenues Total net revenue for reportable segments $ 11,281 $ 12,010 Elimination of intersegment revenues (332) (419) Total consolidated net revenues $ 10,949 $ 11,591 |
Reconciliation of Income Before Income Taxes | Income before income taxes Total segment income before income taxes $ (17) $ (176) Elimination of intersegment income before income taxes 322 216 Total consolidated income before income taxes $ 305 $ 40 |
Reconciliation of Assets | March 31, December 31, 2020 2019 Assets Total assets for reportable segments $ 88,813 $ 89,449 Elimination of intercompany balances (23,715) (24,036) Total consolidated assets $ 65,098 $ 65,413 |
COOPERATIVE MARKETING AGREEME_2
COOPERATIVE MARKETING AGREEMENT (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
COOPERATIVE MARKETING AGREEMENT | |
Purse Enhancement and Marketing Payments | Purse Enhancement Payments to Marketing Payments to Year Horsemen (1) Canterbury Park 2021 7,380,000 1,620,000 2022 7,380,000 1,620,000 1 Includes $100,000 each year payable to various horsemen associations |
LEASES (Tables)
LEASES (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
LEASES [Abstract] | |
Schedule of classification of right of use assets | Three Months Ended March 31, Balance Sheet Location 2020 2019 Assets Finance Land, buildings and equipment, net (1) $ 90,273 $ $ 115,254 Operating Operating lease right-of-use assets 72,911 13,074 Total Leased Assets $ 163,184 $ $ 128,328 1 – Finance lease assets are net of accumulated amortization of $29,744 and $5,949 as of March 31, 2020 and 2019, respectively. |
Schedule of lease terms and discount rates | Three Months Ended March 31, 2020 2019 Weighted average remaining lease term (in years): Finance Operating Weighted average discount rate (%): Finance Operating |
Schedule of maturities of finance leases | The maturity of operating leases and finance leases as of March 31, 2020 are as follows: Three Months Ended March 31, 2020 Operating leases Finance leases 2020 remaining $ 29,315 $ 21,557 2021 23,100 28,743 2022 23,100 28,743 2023 — 19,332 Total minimum lease obligations 75,515 98,375 Less: amounts representing interest (2,604) (8,102) Present value of minimum lease payments 72,911 90,273 Less: current portion (27,855) (24,807) Lease obligations, net of current portion $ 45,056 $ 65,466 |
OVERVIEW AND SUMMARY OF SIGNI_3
OVERVIEW AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Narrative) (Details) | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2020USD ($)aitem | Mar. 31, 2019USD ($) | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | |
Schedule of Equity Method Investments [Line Items] | ||||
Casino open, number of hours daily | 24 hours | |||
Casino open, number of days weekly | 7 days | |||
Minnesota State law, maximum number of game tables | item | 80 | |||
Numbers of acres to be developed | a | 140 | |||
Funds Due To Organization | $ 1,185,000 | $ 1,260,000 | ||
Restricted Cash, Noncurrent | $ 1,262,744 | |||
Check amount written in excess of cash balances | 945,000 | $ 0 | ||
Revolving Credit Facility | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Credit line maximum borrowing amount | $ 8,000,000 | |||
Doran Canterbury I [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Restricted Cash, Noncurrent | $ 1,200,000 |
STOCK-BASED COMPENSATION (Narra
STOCK-BASED COMPENSATION (Narrative) (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock-based compensation | $ 57,606 | $ 90,058 |
Minimum [Member] | CPHC Long Term Incentive Plan (LTI Plan) [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
LTI Plan performance period | 1 year | |
Stock Options [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Share-based compensation, expiration period | 10 years | |
Share-based compensation, vesting period | 42 months | |
Non-Employee Board Member Stock Options [Member] | Board of Directors [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Share-based compensation, expiration period | 10 years | |
Share-based compensation, nonvested number of shares | 12,604 | |
Non-Employee Board Member stock option and Restricted Stock [Member] | Board of Directors [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Vesting rights percentage | 100.00% | |
Share-based compensation, vesting period | 1 year | |
Non-Employee Board Member Deferred Stock [Member] | Board of Directors [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Share-based Compensation, nonvested, weighted average grant date fair value | $ 12.69 | |
Restricted Stock [Member] | Board of Directors [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Share-based compensation, nonvested number of shares | 0 |
STOCK-BASED COMPENSATION (Sched
STOCK-BASED COMPENSATION (Schedule of Stock Option Activity) (Details) | 3 Months Ended |
Mar. 31, 2020USD ($)$ / sharesshares | |
Number of Options | |
Outstanding, Beginning Balance, Number of Options | shares | 33,250 |
Granted, Number of Options | shares | |
Exercised, Number of Options | shares | (24,250) |
Outstanding, Ending Balance, Number of Options | shares | 9,000 |
Weighted Average Exercise Price | |
Outstanding, Beginning Balance, Weighted Average Exercise Price | $ / shares | $ 9.64 |
Granted, Weighted Average Exercise Price | $ / shares | |
Exercised, Weighted Average Exercise Price | $ / shares | 8.28 |
Outstanding, Ending Balance, Weighted Average Exercise Price | $ / shares | $ 13.30 |
Additional information | |
Options Outstanding, Weighted Average Remaining Contractual Term | 9 months 18 days |
Options outstanding at end of year, Aggregate grant date fair value | $ | $ 119,700 |
Options exercisable at end of year (in shares) | shares | 9,000 |
Options exercisable at end of year, Weighted Average Exercise Price | $ / shares | $ 13.30 |
Weighted average remaining contractual term | 9 months 18 days |
Intrinsic value of options exercisable | $ | $ 119,700 |
NET INCOME PER SHARE COMPUTAT_3
NET INCOME PER SHARE COMPUTATIONS (Narrative ) (Details) | 3 Months Ended |
Mar. 31, 2020$ / sharesshares | |
Granted, Weighted Average Exercise Price | |
Stock Options [Member] | |
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | shares | 9,000 |
Granted, Weighted Average Exercise Price | $ 13.30 |
NET INCOME PER SHARE COMPUTAT_4
NET INCOME PER SHARE COMPUTATIONS (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
NET INCOME PER SHARE COMPUTATIONS | ||
Net income (numerator) amounts used for basic and diluted per share computations: | $ 255,221 | $ 56,572 |
Weighted average shares (denominator) of common stock outstanding: | ||
Basic | 4,659,579 | 4,559,477 |
Plus dilutive effect of stock options | 3,096 | 53,768 |
Diluted | 4,662,675 | 4,613,245 |
Net income per common share: | ||
Basic | $ 0.05 | $ 0.01 |
Diluted | $ 0.05 | $ 0.01 |
GENERAL CREDIT AGREEMENT (Narra
GENERAL CREDIT AGREEMENT (Narrative) (Details) | Mar. 31, 2020USD ($) |
Short-term Debt [Line Items] | |
Borrowings under credit line | $ 0 |
Revolving Credit Facility | |
Short-term Debt [Line Items] | |
Credit line maximum borrowing amount | 8,000,000 |
Letter of Credit | |
Short-term Debt [Line Items] | |
Credit line maximum borrowing amount | $ 2,000,000 |
OPERATING SEGMENTS (Narrative)
OPERATING SEGMENTS (Narrative) (Details) | 3 Months Ended |
Mar. 31, 2020segment | |
OPERATING SEGMENTS | |
Number of reportable segments | 4 |
Number of operating segments | 4 |
Percent of gross concession segment revenue paid to horse racing segment | 25.00% |
OPERATING SEGMENTS (Schedule of
OPERATING SEGMENTS (Schedule of Operating Segments) (Details) - USD ($) | 3 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Dec. 31, 2019 | |
Segment Reporting Information [Line Items] | |||
Net revenues | $ 10,949,000 | $ 11,591,000 | |
Net interest (expense) income | (163,690) | (63,240) | |
Depreciation | 716,853 | 625,520 | |
Segment (loss) income before income taxes | 305,385 | 40,479 | |
Segment tax expense (benefit) | 50,164 | (16,093) | |
Segment Assets | 65,097,832 | $ 65,413,082 | |
External Customers [Member] | |||
Segment Reporting Information [Line Items] | |||
Net revenues | 10,949,000 | 11,591,000 | |
Reportable Segment [Member] | |||
Segment Reporting Information [Line Items] | |||
Net revenues | 11,281,000 | 12,010,000 | |
Net interest (expense) income | 164,000 | 63,000 | |
Depreciation | 717,000 | 626,000 | |
Segment (loss) income before income taxes | (17,000) | (176,000) | |
Segment tax expense (benefit) | 50,000 | (16,000) | |
Segment Assets | 88,813,000 | 89,449,000 | |
Intersegment [Member] | |||
Segment Reporting Information [Line Items] | |||
Net revenues | 332,000 | 419,000 | |
Horse Racing [Member] | External Customers [Member] | |||
Segment Reporting Information [Line Items] | |||
Net revenues | 2,197,000 | 2,292,000 | |
Horse Racing [Member] | Reportable Segment [Member] | |||
Segment Reporting Information [Line Items] | |||
Net interest (expense) income | (9,000) | 8,000 | |
Depreciation | 398,000 | 578,000 | |
Segment (loss) income before income taxes | (896,000) | (1,176,000) | |
Segment tax expense (benefit) | (94,000) | (414,000) | |
Segment Assets | 31,020,000 | 31,618,000 | |
Horse Racing [Member] | Intersegment [Member] | |||
Segment Reporting Information [Line Items] | |||
Net revenues | 70,000 | 116,000 | |
Card Casino [Member] | External Customers [Member] | |||
Segment Reporting Information [Line Items] | |||
Net revenues | 7,561,000 | 7,900,000 | |
Card Casino [Member] | Reportable Segment [Member] | |||
Segment Reporting Information [Line Items] | |||
Depreciation | 261,000 | 4,000 | |
Segment (loss) income before income taxes | 965,000 | 1,110,000 | |
Segment tax expense (benefit) | 158,000 | 441,000 | |
Segment Assets | 3,252,000 | 3,327,000 | |
Food and beverage | External Customers [Member] | |||
Segment Reporting Information [Line Items] | |||
Net revenues | 1,182,000 | 1,399,000 | |
Food and beverage | Reportable Segment [Member] | |||
Segment Reporting Information [Line Items] | |||
Depreciation | 58,000 | 44,000 | |
Segment (loss) income before income taxes | (160,000) | (88,000) | |
Segment tax expense (benefit) | (26,000) | (35,000) | |
Segment Assets | 25,239,000 | 25,430,000 | |
Food and beverage | Intersegment [Member] | |||
Segment Reporting Information [Line Items] | |||
Net revenues | 262,000 | 303,000 | |
Development [Member] | External Customers [Member] | |||
Segment Reporting Information [Line Items] | |||
Net revenues | 9,000 | ||
Development [Member] | Reportable Segment [Member] | |||
Segment Reporting Information [Line Items] | |||
Net interest (expense) income | 173,000 | 55,000 | |
Segment (loss) income before income taxes | 74,000 | (22,000) | |
Segment tax expense (benefit) | 12,000 | $ (8,000) | |
Segment Assets | $ 29,302,000 | $ 29,074,000 |
OPERATING SEGMENTS (Reconciliat
OPERATING SEGMENTS (Reconciliation Of Revenues) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Segment Reporting, Revenue Reconciling Item [Line Items] | ||
Total consolidated net revenues | $ 10,949 | $ 11,591 |
Reportable Segment [Member] | ||
Segment Reporting, Revenue Reconciling Item [Line Items] | ||
Total consolidated net revenues | 11,281 | 12,010 |
Elimination Of Intersegment [Member] | ||
Segment Reporting, Revenue Reconciling Item [Line Items] | ||
Total consolidated net revenues | $ (332) | $ (419) |
OPERATING SEGMENTS (Reconcili_2
OPERATING SEGMENTS (Reconciliation Of Income Before Income Taxes) (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||
Total consolidated income before income taxes | $ 305,385 | $ 40,479 |
Reportable Segment [Member] | ||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||
Total consolidated income before income taxes | (17,000) | (176,000) |
Elimination Of Intersegment [Member] | ||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||
Total consolidated income before income taxes | $ 322,000 | $ 216,000 |
OPERATING SEGMENTS (Reconcili_3
OPERATING SEGMENTS (Reconciliation Of Assets) (Details) - USD ($) | Mar. 31, 2020 | Dec. 31, 2019 |
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Total consolidated assets | $ 65,097,832 | $ 65,413,082 |
Reportable Segment [Member] | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Total consolidated assets | 88,813,000 | 89,449,000 |
Elimination Of Intersegment [Member] | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Total consolidated assets | $ (23,715,000) | $ (24,036,000) |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Details) | 3 Months Ended |
Mar. 31, 2020USD ($)item | |
COMMITMENTS AND CONTINGENCIES [Abstract] | |
Off-track betting payment to the IMR Fund, L.P., per operating year | $ | $ 700,000 |
Off-track betting payment to the IMR Fund, L.P. as percentage of net pretax profit | 20.00% |
Number of years defined by off-track betting agreement | 5 years |
Earn out note conditions | 2 |
Minimum number of payments to IMR Fund, L.P. | 5 |
Maximum term for first payment to be made to IMR Fund, L.P. | 90 days |
Maximum term for remaining payments to be made to the IMR Fund, L.P. | 90 days |
Remaining years, payments to the IMR Fund, L.P. | 4 years |
COOPERATIVE MARKETING AGREEME_3
COOPERATIVE MARKETING AGREEMENT (Narrative) (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Cooperative Marketing Agreement | ||
Operating revenues | $ 10,948,959 | $ 11,590,798 |
Advertising and marketing expense | 183,988 | 190,329 |
Depreciation | 716,853 | 625,520 |
Cooperative Marketing Agreement (CMA) | ||
Cooperative Marketing Agreement | ||
Advertising and marketing expense | 30,000 | |
Depreciation | 38,000 | |
SMSC | Cooperative Marketing Agreement (CMA) | ||
Cooperative Marketing Agreement | ||
Purse enhancements paid directly to horsemen | 7,400,000 | |
Other | ||
Cooperative Marketing Agreement | ||
Operating revenues | 972,766 | 847,224 |
Other | Cooperative Marketing Agreement (CMA) | ||
Cooperative Marketing Agreement | ||
Operating revenues | 68,000 | 75,000 |
Advertising and marketing expense | 18,000 | |
Depreciation | 57,000 | |
Pari-mutuel | ||
Cooperative Marketing Agreement | ||
Operating revenues | $ 1,296,026 | $ 1,490,809 |
COOPERATIVE MARKETING AGREEME_4
COOPERATIVE MARKETING AGREEMENT (Purse Enhancement And Marketing Payments) (Details) - SMSC | 3 Months Ended |
Mar. 31, 2020USD ($) | |
Cooperative Marketing Agreement (CMA) | |
Receivables due per agreement | |
Amount to various horsemen associations included each year in purse enhancement payments to horsemen | $ 100,000 |
Purse Enhancement Payments To Horsemen | |
Obligations due per agreement | |
2021 | 7,380,000 |
2022 | 7,380,000 |
Marketing Payments To Canterbury Park | |
Receivables due per agreement | |
2021 | 1,620,000 |
2022 | $ 1,620,000 |
REAL ESTATE DEVELOPMENT (Detail
REAL ESTATE DEVELOPMENT (Details) | Mar. 13, 2020USD ($)a | Mar. 31, 2020USD ($) | Dec. 31, 2019USD ($) | Sep. 27, 2018a | Aug. 18, 2018a |
Estimated TIF improvement costs to be borne by Company | $ 23,336,500 | ||||
TIF receivable | 9,857,413 | $ 9,708,856 | |||
Principle portion of TIF receivables | 9,580,000 | ||||
Accrued Interest on TIF receivables | $ 277,000 | ||||
Scenario, Plan [Member] | |||||
Area of Land | a | 12 | ||||
Proceeds from sale of land held-for-investment | $ 2,500,000 | ||||
Doran Canterbury II [Member] | |||||
Area of Land | a | 10 | ||||
Ownership percentage in investment project | 27.40% | ||||
Doran Canterbury I joint venture | |||||
Area of Land | a | 13 | ||||
Ownership percentage in investment project | 27.40% | ||||
Doran Canterbury II, LLC [Member] | Doran Canterbury II [Member] | |||||
Ownership percentage in investment project | 72.60% |
LEASES (Narrative) (Details)
LEASES (Narrative) (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Income and Expenses, Lessee [Abstract] | ||
Operating lease rent expense | $ 80,680 | $ 116,691 |
Capital lease obligation | 90,273 | |
Operating lease cost | 2,031 | 2,127 |
Total lease cost | 80,680 | 116,691 |
Amortization of finance lease | $ 5,949 | $ 5,949 |
LEASES (Schedule of classificat
LEASES (Schedule of classification of right of use assets) (Details) - USD ($) | Mar. 31, 2020 | Dec. 31, 2019 | Mar. 31, 2019 |
LEASES [Abstract] | |||
Land, buildings and equipment, net | $ 44,241,167 | $ 43,833,702 | |
Finance | $ 90,273 | $ 115,254 | |
Financial position-finance | us-gaap:PropertyPlantAndEquipmentNet | ||
Operating | $ 72,911 | $ 74,832 | 13,074 |
Financial position-operating | us-gaap:OperatingLeaseRightOfUseAsset | ||
Total Leased Assets | $ 163,184 | 128,328 | |
Accumulated amortization-finance | $ 29,744 | $ 5,949 |
LEASES (Schedule of lease terms
LEASES (Schedule of lease terms and discount rates) (Details) | Mar. 31, 2020 | Mar. 31, 2019 |
LEASES [Abstract] | ||
Finance - Weighted average remaining lease term (in years) | 3 years 4 months 24 days | 4 years 6 months |
Operating - Weighted average remaining lease term (in years) | 1 year 2 months 12 days | 1 year 9 months 18 days |
Finance - Weighted average discount rate (as a percent) | 5.00% | 5.00% |
Operating - Weighted average discount rate (as a percent) | 5.50% | 5.00% |
LEASES (Schedule of maturities
LEASES (Schedule of maturities of operating and financing leases) (Details) - USD ($) | Mar. 31, 2020 | Dec. 31, 2019 |
Operating leases | ||
2020 remaining | $ 29,315 | |
2021 | 23,100 | |
2022 | 23,100 | |
Total minimum lease obligations | 75,515 | |
Less: amounts representing interest | (2,604) | |
Present value of minimum lease payments | 72,911 | |
Less: current portion | (27,855) | $ (29,776) |
Lease obligations, net of current portion | 45,056 | 45,056 |
Finance leases | ||
2020 remaining | 21,557 | |
2021 | 28,743 | |
2022 | 28,743 | |
2023 | 19,332 | |
Total minimum lease obligations | 98,375 | |
Less: amounts representing interest | (8,102) | |
Present value of minimum lease payments | 90,273 | |
Less: current portion | (24,807) | (24,500) |
Lease obligations, net of current portion | $ 65,466 | $ 71,784 |
RELATED PARTY RECEIVABLES (Deta
RELATED PARTY RECEIVABLES (Details) - USD ($) | Dec. 20, 2018 | Mar. 31, 2020 | Mar. 31, 2019 | Dec. 31, 2019 | Dec. 31, 2018 |
Related Party Transaction [Line Items] | |||||
Interest income, net | $ 163,690 | $ 63,240 | |||
Doran family holding | |||||
Related Party Transaction [Line Items] | |||||
Costs incurred for preliminary grading work | $ 268,000 | ||||
Doran Canterbury I joint venture | |||||
Related Party Transaction [Line Items] | |||||
Debt instrument basis rate | Prime Rate | ||||
Doran Canterbury I joint venture | Doran family holding | |||||
Related Party Transaction [Line Items] | |||||
Loan receivable | $ 2,910,000 | ||||
Promissory note | $ 2,940,000 | ||||
Interest rate | 5.00% | ||||
Loan maturity term | 3 years | ||||
Allowance for doubtful accounts | $ 0 | ||||
Doran Canterbury I joint venture | Prime Rate [Member] | |||||
Related Party Transaction [Line Items] | |||||
Spread on interest rate | 2.00% | ||||
Dorian Canterbury Loan One [Member] | |||||
Related Party Transaction [Line Items] | |||||
Loan to related parties | $ 178,100 | ||||
Dorian Canterbury Loan Two [Member] | |||||
Related Party Transaction [Line Items] | |||||
Loan to related parties | $ 137,000 |
SUBSEQUENT EVENTS (Narrative) (
SUBSEQUENT EVENTS (Narrative) (Details) | Apr. 15, 2020USD ($)a | Apr. 07, 2020USD ($)a | Mar. 13, 2020USD ($)a |
Subsequent Event [Member] | |||
Subsequent Event [Line Items] | |||
Area of Land | a | 2.4 | ||
Proceeds from sale of land held-for-investment | $ | $ 1,100,000 | ||
Scenario, Plan [Member] | |||
Subsequent Event [Line Items] | |||
Area of Land | a | 12 | ||
Proceeds from sale of land held-for-investment | $ | $ 2,500,000 | ||
Scenario, Plan [Member] | Subsequent Event [Member] | |||
Subsequent Event [Line Items] | |||
Area of Land | a | 11.3 | ||
Proceeds from sale of land held-for-investment | $ | $ 2,400,000 |