Terra Property Trust, Inc. 6.00 (TPTA) 10-Q 10 Aug 20 2020 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information Document - shares	6 Months Ended
	Jun. 30, 2020	Aug. 10, 2020
Cover [Abstract]
Entity Registrant Name	Terra Property Trust, Inc.
Entity Central Index Key	0001674356
Current Fiscal Year End Date	--12-31
Entity Filer Category	Non-accelerated Filer
Document Type	10-Q
Document Period End Date	Jun. 30, 2020
Entity File Number	000-56117
Entity Tax Identification Number	81-0963486
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q2
Amendment Flag	false
Entity Ex Transition Period	true
Entity Current Reporting Status	Yes
Entity Small Business	true
Entity Emerging Growth Company	true
Entity Shell Company	false
Entity Incorporation, State or Country Code	MD
Entity Address, Address Line One	550 Fifth Avenue
Entity Address, Address Line Two	6th Floor
Entity Address, City or Town	New York
Entity Address, State or Province	NY
Entity Address, Postal Zip Code	10036
City Area Code	212
Local Phone Number	753-5100
Title of 12(g) Security	Common Stock $0.01 par value per share
Document Transition Report	false
Document Quarterly Report	true
Entity Interactive Data Current	Yes
Entity Common Stock, Shares Outstanding		19,487,460

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($)	Jun. 30, 2020	Dec. 31, 2019
Assets
Cash and cash equivalents	$ 82,553,933	$ 29,609,484
Restricted Cash	18,459,391	18,542,163
Cash held in escrow by lender	1,931,976	2,398,053
Marketable securities	236,085	0
Loans Held for Investment, Carrying value	414,448,282	378,612,768
Real estate owned, Net
Land, building and building improvements, net	63,966,026	64,751,247
Lease intangible assets, net	11,728,682	12,845,228
Operating lease right-of-use assets	16,109,476	16,112,925
Interest receivable	2,566,443	1,876,799
Other assets	2,231,969	2,594,411
Total assets	614,232,263	527,343,078
Liabilities
Obligations under participation agreements (Note 7)	78,246,519	103,186,327
Repurchase agreement payable, net of deferred financing fees	94,571,367	79,608,437
Mortgage loan payable, net of deferred financing fees and other	44,753,239	44,753,633
Revolving credit facility payable	35,000,000	0
Interest reserve and other deposits held on investments	18,459,391	18,542,163
Operating lease liabilities	16,109,476	16,112,925
Lease intangible liabilities, net (Note 5)	11,127,360	11,424,809
Due to Manager (Note 7)	1,895,105	1,037,168
Interest payable	1,154,023	1,076,231
Accounts payable and accrued expenses	2,273,686	1,749,525
Unearned income	334,290	624,021
Other liabilities	1,078,934	1,684,106
Total liabilities	305,003,390	279,799,345
Commitments and Contingencies
Equity
Preferred stock, $0.01 par value, 50,000,000 shares authorized and none issued	0	0
Common stock, $0.01 par value, 450,000,000 shares authorized and 19,487,460 and 15,125,681 shares issued and outstanding at June 30, 2020 and December 31, 2019, respectively	194,875	151,257
Additional paid-in capital	373,443,672	301,727,297
Accumulated deficit	(64,534,674)	(54,459,821)
Total equity	309,228,873	247,543,733
Total liabilities and equity	614,232,263	527,343,078
Loans Held for Investment
Assets
Loans Held for Investment, Carrying value	410,150,293	375,462,222
Loans Held For Investment Acquired Through Participation
Assets
Loans Held for Investment, Carrying value	4,297,989	3,150,546
Cumulative Preferred Stock
Equity
Preferred stock, $0.01 par value, 50,000,000 shares authorized and none issued	$ 125,000	$ 125,000

Consolidated Balance Sheet (Par

Consolidated Balance Sheet (Parentheticals) - $ / shares	6 Months Ended	12 Months Ended
	Jun. 30, 2020	Dec. 31, 2019
Preferred Stock, Par or Stated Value Per Share	$ 0.01	$ 0.01
Preferred Stock, Shares Authorized	50,000,000	50,000,000
Preferred Stock, Shares Issued	0	0
Preferred Stock, Shares Outstanding	0	0
Common Stock, No Par Value	$ 0.01	$ 0.01
Common Stock, Shares Authorized	450,000,000	450,000,000
Common Stock, Shares, Issued	19,487,460	15,125,681
Common Stock, Shares, Outstanding	19,487,460	15,125,681
Cumulative Preferred Stock
Preferred Stock, Shares Authorized	125	125
Preferred Stock, Shares Issued	125	125
Preferred Stock, Shares Outstanding	125	125
Preferred Stock, Dividend Rate, Percentage	12.50%	12.50%

Consolidated Statements of Oper

Consolidated Statements of Operations - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Revenues [Abstract]
Interest income	$ 9,585,175	$ 10,805,438	$ 19,237,040	$ 21,014,402
Real estate operating income	2,251,095	2,527,256	4,564,146	4,848,494
Prepayment fee income	0	0	0	98,775
Other operating income	228,359	0	341,014	108,957
Total	12,064,629	13,332,694	24,142,200	26,070,628
Operating expenses
Operating expenses reimbursed to Manager	1,694,875	1,213,314	3,062,064	2,328,518
Asset management fee	1,140,426	956,985	2,169,959	1,837,340
Asset serving fee	253,316	226,764	487,524	431,241
Provision for loan losses	169,300	0	1,314,294	0
Real estate operating expenses	871,207	764,108	1,815,725	1,519,963
Depreciation and amortization	946,494	946,494	1,892,988	1,892,988
Impairment charge	0	1,550,000	0	1,550,000
Professional Fees	373,098	2,545,321	667,859	2,718,107
Directors Fee	33,750	83,750	117,500	167,500
Other	267,702	75,694	332,651	93,278
Total Operating Expenses	5,750,168	8,362,430	11,860,564	12,538,935
Operating Income	6,314,461	4,970,264	12,281,636	13,531,693
Other Income and expense
Interest expense from obligations under participation agreements	(1,992,743)	(2,974,837)	(4,593,501)	(5,899,147)
Interest expense on repurchase agreement payable	(1,469,669)	(1,366,562)	(3,020,939)	(2,300,535)
Interest expense on mortgage loan payable	(749,753)	(782,350)	(1,500,389)	(1,562,621)
Interest expense on revolving credit facility	(599,989)	0	(774,978)	0
Net loss on extinguishment of obligations under participation agreements	0	0	(319,453)	0
Realized gains on marketable securities	1,076,213	0	1,085,107	0
Unrealized gains on marketable securities	67,522	0	67,522	0
Other income and expense	(3,668,419)	(5,123,749)	(9,056,631)	(9,762,303)
Net income (loss)	2,646,042	(153,485)	3,225,005	3,769,390
Preferred stock dividend declared	(3,906)	(3,906)	(7,812)	(7,812)
Net income (loss) allocable to common stock	$ 2,642,136	$ (157,391)	$ 3,217,193	$ 3,761,578
Earnings (loss) per share — basic and diluted	$ 0.14	$ (0.01)	$ 0.18	$ 0.25
Weighted-average shares — basic and diluted	19,555,241	14,912,990	18,131,260	14,912,990
Dividends declared per common share	$ 0.23	$ 0.51	$ 0.76	$ 1.02

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income Statement - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Statement of Other Comprehensive Income [Abstract]
Net income (loss)	$ 2,646,042	$ (153,485)	$ 3,225,005	$ 3,769,390
Other comprehensive income (loss)
Net unrealized gains on marketable securities	0	0	192,919	0
Reclassification of net realized gains on marketable securities into earnings	(184,025)	0	(192,919)	0
Other comprehensive income	(184,025)	0	0	0
Total comprehensive Income	2,462,017	(153,485)	3,225,005	3,769,390
Preferred stock dividend declared	(3,906)	(3,906)	(7,812)	(7,812)
Comprehensive income (loss) attributable to common shares	$ 2,458,111	$ (157,391)	$ 3,217,193	$ 3,761,578

Consolidated Statements of Chan

Consolidated Statements of Changes in Equity - USD ($)	Total	Cumulative Preferred Stock	Preferred Stock	Common Stock	Additional Paid-in Capital	Accumulated Deficit	Accumulated Other Comprehensive Income
Balance at beginning (Share) at Dec. 31, 2018		125		14,912,990
Balance beginning at Dec. 31, 2018	$ 265,292,359	$ 125,000	$ 0	$ 149,130	$ 298,109,424	$ (33,091,195)	$ 0
Payment for repurchase of common stock	0
Distribution declared on common share	(15,182,916)					(15,182,916)
Distributions declared on preferred shares	(7,812)					(7,812)
Net income (loss)	3,769,390					3,769,390
Net unrealized gains on marketable securities	0						0
Reclassification of net realized gains on marketable securities into earnings	0						0
Balance at ending (Share) at Jun. 30, 2019		125		14,912,990
Balance ending at Jun. 30, 2019	253,871,021	$ 125,000	0	$ 149,130	298,109,424	(44,512,533)	0
Balance at beginning (Share) at Mar. 31, 2019		125		14,912,990
Balance beginning at Mar. 31, 2019	261,654,915	$ 125,000	0	$ 149,130	298,109,424	(36,728,639)	0
Distribution declared on common share	(7,626,503)					(7,626,503)
Distributions declared on preferred shares	(3,906)					(3,906)
Net income (loss)	(153,485)					(153,485)
Net unrealized gains on marketable securities	0						0
Reclassification of net realized gains on marketable securities into earnings	0						0
Balance at ending (Share) at Jun. 30, 2019		125		14,912,990
Balance ending at Jun. 30, 2019	253,871,021	$ 125,000	0	$ 149,130	298,109,424	(44,512,533)	0
Balance at beginning (Share) at Dec. 31, 2019		125		15,125,681
Balance beginning at Dec. 31, 2019	247,543,733	$ 125,000	0	$ 151,257	301,727,297	(54,459,821)	0
Issuance of common stock (Shares)				4,574,470
Issuance of common stock	75,379,993			$ 45,745	75,334,248
Number of Common Stock Repurchased				(212,691)
Payment for repurchase of common stock	(3,620,000)			$ (2,127)	(3,617,873)
Distribution declared on common share	(13,292,046)					(13,292,046)
Distributions declared on preferred shares	(7,812)					(7,812)
Net income (loss)	3,225,005					3,225,005
Net unrealized gains on marketable securities	192,919						192,919
Reclassification of net realized gains on marketable securities into earnings	(192,919)						(192,919)
Balance at ending (Share) at Jun. 30, 2020		125		19,487,460
Balance ending at Jun. 30, 2020	309,228,873	$ 125,000	0	$ 194,875	373,443,672	(64,534,674)	0
Balance at beginning (Share) at Mar. 31, 2020		125		19,700,151
Balance beginning at Mar. 31, 2020	314,850,737	$ 125,000	0	$ 197,002	377,061,545	(62,716,835)	184,025
Issuance of common stock (Shares)				0
Issuance of common stock	0			$ 0
Number of Common Stock Repurchased				(212,691)
Payment for repurchase of common stock	(3,620,000)			$ (2,127)	(3,617,873)
Distribution declared on common share	(4,459,975)					(4,459,975)
Distributions declared on preferred shares	(3,906)					(3,906)
Net income (loss)	2,646,042					(2,646,042)
Net unrealized gains on marketable securities	0						0
Reclassification of net realized gains on marketable securities into earnings	(184,025)						(184,025)
Balance at ending (Share) at Jun. 30, 2020		125		19,487,460
Balance ending at Jun. 30, 2020	$ 309,228,873	$ 125,000	$ 0	$ 194,875	$ 373,443,672	$ (64,534,674)	$ 0

Consolidated Statements of Shar

Consolidated Statements of Shareholder Equity (Parentheticals) - $ / shares	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Dividends declared per common share	$ 0.23	$ 0.51	$ 0.76	$ 1.02

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($)	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019
Net income (loss)	$ 3,225,005	$ 3,769,390
Adjustments to reconcile net income to net cash provided by operating activities:
Paid-in-kind interest income, net	(736,204)	(1,388,688)
Depreciation and amortization	1,892,988	1,892,988
Provision for loan losses	1,314,294	0
Impairment charge	0	1,550,000
Amortization of net purchase premiums on loans	26,460	62,338
Straight-line rent adjustments	(402,956)	(241,944)
Amortization of deferred financing costs	1,109,771	867,181
Net loss on extinguishment of obligations under participation agreements	319,453	0
Amortization of above- and below-market rent intangibles	(223,497)	(223,499)
Amortization and accretion of investment-related fees, net	(4,140)	(177,773)
Amortization of above-market rent ground lease	(65,174)	(65,174)
Realized gains on marketable securities	(1,085,107)	0
Unrealized gains on marketable securities	(67,522)	0
Changes in operating assets and liabilities:
Interest receivable	(689,644)	(134,763)
Other assets	389,123	2,383,836
Due to Manager	537,530	(69,607)
Unearned income	(588,675)	100,130
Interest payable	77,792	(99,896)
Accounts payable and accrued expenses	550,330	(340,883)
Other liabilities	(605,172)	283,907
Net cash provided by operating activities	4,974,655	8,167,543
Cash flows from investing activities:
Origination and purchase of loans	(54,342,488)	(85,334,573)
Proceeds from repayments of loans	18,990,175	70,136,722
Purchase of marketable securities	(4,863,561)	0
Proceeds from sale of marketable securities	5,780,105	0
Capital expenditures on real estate	0	(242,071)
Net cash used in investing activities	(34,435,769)	(15,439,922)
Cash flows from financing activities:
Proceeds from borrowings under revolving credit facility	35,000,000	0
Proceeds from borrowings under repurchase agreement	17,617,665	47,852,175
Distributions Paid	(13,299,858)	(15,190,728)
Proceeds from obligations under participation agreements	24,817,862	9,150,838
Repayment of borrowings under repurchase agreement	(3,395,740)	0
Payment for repurchase of common stock	(3,620,000)	0
Change in interest reserve and other deposits held on investments	(82,772)	2,259,688
Repayment of mortgage principal	(132,625)	(126,480)
Payment of financing costs	(98,225)	(239,261)
Repayments of obligations under participation agreements	(446,667)	(24,918,486)
Net cash provided by financing activities	81,856,714	18,787,746
Net increase in cash, cash equivalents and restricted cash	52,395,600	11,515,367
Cash, cash equivalents and restricted cash at beginning of period	50,549,700	28,538,853
Cash, cash equivalents and restricted cash at end of period (Note 2)	102,945,300	40,054,220
Terra Property Trust 2 Inc
Cash flows from financing activities:
Proceeds from issuance of common stock	16,897,074	0
Terra International Fund 3
Cash flows from financing activities:
Proceeds from issuance of common stock	$ 8,600,000	$ 0

Consolidated Statements of Ca_2

Consolidated Statements of Cash Flows Consolidated Statement of Cash Flows - Supplemental cash information - (Parenthetical) - USD ($)	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019
Statement of Cash Flows [Abstract]
Interest Paid, Including Capitalized Interest, Operating and Investing Activities	$ 8,193,891	$ 8,652,716

Consolidated Statement of Cash

Consolidated Statement of Cash Flow - Merger (Parenthetical) - Terra Property Trust 2 Inc	Mar. 01, 2020USD ($)$ / sharesshares
Equity issued in the Merger	$ 34,630,615
Cash and cash equivalents acquired in Merger	16,897,074
Business Combination Consideration	17,733,541
Loans held for investment acquired through participation interest	17,688,741
Interest receivable	134,543
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Assets, Other	18,384
Accounts payable and accrued expenses	(57,433)
Due to Manager	(50,694)
Net Assets Exchanged	$ 17,733,541
Business Combination Common Stock Shares | shares	2,116,785.76
Common Stock, Par Value | $ / shares	$ 0.01

Consolidated Statements of Ca_3

Consolidated Statements of Cash Flows - Non-cash Proceeds from Issuance of Common Stock to TIF3 REIT (Parenthetical)	Mar. 02, 2020USD ($)
Terra International Fund 3
Equity issued in the Merger	$ 40,749,378
Business Combination, Contingent Consideration, Asset, Current	8,600,000
Business Combination Consideration	32,149,378
Loans held for investment acquired through participation interest	32,112,257
Interest receivable	270,947
Due to Manager	(233,826)
Net Assets Exchanged	$ 32,149,378

Consolidated Statements of Ca_4

Consolidated Statements of Cash Flows - Non-cash Proceeds from Issuance of Common Stock to TIF3 REIT Narrative (Parenthetical) - Terra International Fund 3 - USD ($)	Mar. 02, 2020	Feb. 27, 2020
Business Combination Common Stock Shares	2,457,684.59
Loans held for investment acquired through participation	$ 32,112,257
Proceeds from issuance of common stock	$ 8,600,000	$ 8,600,000

Consolidated Statements of Ca_5

Consolidated Statements of Cash Flows Consolidated Statements of Cash Flows - Supplemental Non-Cash Investing Activities (Parenthetical)	Jun. 30, 2020USD ($)	Dec. 31, 2019USD ($)	Jan. 09, 2019USD ($)a
Carrying Value	$ 414,448,282	$ 378,612,768
Interest receivable	$ 2,566,443	$ 1,876,799
Area of Land | a			4.9
First Mortgage
Carrying Value			$ 14,325,000
Interest receivable			439,300
Restricted Cash and Investments			(60,941)
Land Available-for-sale			$ 14,703,359
Area of Land | a			4.9
Mortgage Loans in Process of Foreclosure, Amount			$ 14,300,000
Land
Land			$ 14,703,359

Business

Business	6 Months Ended
	Jun. 30, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block]	Note 1. Business Terra Property Trust, Inc. (and, together with its consolidated subsidiaries, the “Company” or “Terra Property Trust”) was incorporated under the general corporation laws of the State of Maryland on December 31, 2015. Terra Property Trust is a real estate credit focused company that originates, structures, funds and manages commercial real estate investments, including mezzanine loans, first mortgage loans, subordinated mortgage loans and preferred equity investments. The Company’s loans finance the acquisition, construction, development or redevelopment of quality commercial real estate in the United States. The Company focuses on the origination of middle market loans in the approximately $10 million to $50 million range, to finance properties in primary and secondary markets. The Company believes these loans are subject to less competition and offer higher risk adjusted returns than larger loans with similar risk/return metrics. On January 1, 2016, Terra Secured Income Fund 5, LLC (“Terra Fund 5”), the Company’s then parent, contributed its consolidated portfolio of net assets to the Company pursuant to a contribution agreement in exchange for shares of the Company’s common stock. Upon receipt of the contribution of the consolidated portfolio of net assets from Terra Fund 5, the Company commenced its operations on January 1, 2016. On March 2, 2020, the Company engaged in a series of transactions pursuant to which the Company issued an aggregate of 4,574,470.35 shares of our common stock in exchange for the settlement of an aggregate of $49.8 million of participation interests in loans held by the Company, cash of $25.5 million and other working capital. As of June 30, 2020, Terra JV, LLC (“Terra JV”) held 87.4% of the issued and outstanding shares of the Company's common stock with the remainder held by TIF3 REIT ( Note 3 ). The Company has elected to be taxed, and to qualify annually thereafter, as a real estate investment trust (“REIT”) under Sections 856 through 860 of the Internal Revenue Code of 1986, as amended (the “Internal Revenue Code”), commencing with the taxable year ended December 31, 2016. As a REIT, the Company is not subject to federal income taxes on income and gains distributed to the stockholders as long as certain requirements are satisfied, principally relating to the nature of income and the level of distributions, as well as other factors. The Company also operates its business in a manner that permits it to maintain its exclusion from registration under the Investment Company Act of 1940, as amended. The Company’s investment activities are externally managed by Terra REIT Advisors, LLC (“Terra REIT Advisors” or the “Manager”), a subsidiary of the Company’s sponsor, Terra Capital Partners, LLC, pursuant to a management agreement (the “Management Agreement”), under the oversight of the Company’s board of directors ( Note 7 ). The Company does not currently have any employees and does not expect to have any employees. Services necessary for the Company’s business are provided by individuals who are employees of the Manager or by individuals who were contracted by the Company or by the Manager to work on behalf of the Company pursuant to the terms of the Management Agreement.

Summary of Significant Accounti

Summary of Significant Accounting Policies	6 Months Ended
	Jun. 30, 2020
Accounting Policies [Abstract]
Significant Accounting Policies [Text Block]	Note 2. Summary of Significant Accounting Policies Basis of Presentation and Principles of Consolidation The interim consolidated financial statements have been prepared in accordance with United States generally accepted accounting principles (“U.S. GAAP”) and include all of the Company’s accounts and those of its consolidated subsidiaries. The accompanying interim financial statements of the Company and related financial information have been prepared pursuant to the requirements for reporting on Form 10-Q and Articles 6 or 10 of Regulation S-X. All intercompany balances and transactions have been eliminated. Loans Held for Investment The Company originates, acquires, and structures real estate-related loans generally to be held to maturity. Loans held for investment are carried at the principal amount outstanding, adjusted for the accretion of discounts on investments and exit fees, and the amortization of premiums on investments and origination fees. The Company’s preferred equity investments, which are economically similar to mezzanine loans and subordinate to any loans but senior to common equity, are accounted for as loans held for investment. Loans are carried at cost less allowance for loan losses. Allowance for Loan Losses The Company’s loans are typically collateralized by either the sponsors’ equity interest in the real estate properties or the underlying real estate properties. As a result, the Company regularly evaluates the extent and impact of any credit migration associated with the performance and/or value of the underlying collateral property as well as the financial and operating capability of the borrower/sponsor on a loan-by-loan basis. Specifically, a property’s operating results and any cash reserves are analyzed and used to assess (i) whether cash from operations and/or reserve balances are sufficient to cover the debt service requirements currently and into the future; (ii) the ability of the borrower to refinance the loan; and/or (iii) the property’s liquidation value. The Company also evaluates the financial wherewithal of the sponsor as well as its competency in managing and operating the real estate property. In addition, the Company considers the overall economic environment, real estate sector, and geographic sub-market in which the borrower operates. Such analyses are completed and reviewed by asset management and finance personnel, who utilize various data sources, including (i) periodic financial data such as debt service coverage ratio, property occupancy, tenant profile, rental rates, operating expenses, the borrower’s exit plan, the capitalization and discount rates; (ii) site inspections; and (iii) current credit spreads and discussions with market participants. The Manager performs a quarterly evaluation for possible impairment of the Company’s portfolio of loans. A loan is impaired if it is deemed probable that the Company will not be able to collect all amounts due according to the contractual terms of the loan. Impairment is measured based on the present value of expected future cash flows or the fair value of the collateral, if the loan is collateral dependent. Upon measurement of impairment, the Company records an allowance to reduce the carrying value of the loan with a corresponding charge to net income. In conjunction with the quarterly evaluation of loans not considered impaired, the Manager assesses the risk factors of each loan and assigns each loan a risk rating between 1 and 5, which is an average of the numerical ratings in the following categories: (i) sponsor capability and financial condition; (ii) loan and collateral performance relative to underwriting; (iii) quality and stability of collateral cash flows and/or reserve balances; and (iv) loan to value. Based on a 5-point scale, the Company’s loans are rated “1” through “5”, from less risk to greater risk, as follows: Risk Rating Description 1 Very low risk 2 Low risk 3 Moderate/average risk 4 Higher risk 5 Highest risk The Company records an allowance for loan losses equal to (i) 1.5% of the aggregate carrying amount of loans rated as a “4”, plus (ii) 5% of the aggregate carrying amount of loans rated as a “5”, plus (iii) impaired loan reserves, if any. There may be circumstances where the Company modifies a loan by granting the borrower a concession that it might not otherwise consider when a borrower is experiencing financial difficulty or is expected to experience financial difficulty in the foreseeable future. Such concessionary modifications are classified as troubled debt restructurings (“TDR”s) unless the modification solely results in a delay in a payment that is insignificant. Loans classified as TDRs are considered impaired loans for reporting and measurement purposes. Marketable Securities The Company from time to time invests in short term debt and equity securities. These securities are classified as available-for-sale and are carried at fair value. Changes in the fair value of equity securities are recognized in earnings. Changes in the fair value of debt securities are reported in other comprehensive income until a gain or loss on the securities is realized. Real Estate Owned, Net Real estate acquired is recorded at its estimated fair value at acquisition and is shown net of accumulated depreciation and impairment charges. Acquisition of properties generally are accounted for as asset acquisitions. Under asset acquisition accounting, the costs to acquire real estate, including transaction costs, are accumulated and then allocated to individual assets and liabilities acquired based upon their relative fair value. The Company allocates the purchase price of its real estate acquisitions to land, building, tenant improvements, acquired in-place leases, intangibles for the value of any above or below market leases at fair value and to any other identified intangible assets or liabilities. The Company amortizes the value allocated to in-place leases over the remaining lease term, which is reported in depreciation and amortization expense on its consolidated statements of operations. The value allocated to above or below market leases are amortized over the remaining lease term as an adjustment to rental income. Real estate assets are depreciated using the straight-line method over their estimated useful lives: buildings and improvements - not to exceed 40 years, and tenant improvements - shorter of the lease term or life of the asset. Ordinary repairs and maintenance which are not reimbursed by the tenants are expensed as incurred. Major replacements and betterments which improve or extend the life of the asset are capitalized and depreciated over their estimated useful life. Management reviews the Company’s real estate for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. The review of recoverability is based on estimated future cash flows and the estimated liquidation value of such real estate assets, and provide for impairment if such undiscounted cash flows are insufficient to recover the carrying amount of the real estate assets. If impaired, the real estate asset will be written down to its estimated fair value. Leases The Company determines if an arrangement is a lease at inception. Operating leases in which the Company is the lessee are included in operating lease right-of-use (“ROU”) assets and operating lease liabilities in the consolidated balance sheets. ROU assets represent the Company’s right to use an underlying asset for the lease term and lease liabilities represent its obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. As the Company’s lease typically does not provide an implicit rate, the Company uses its incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. The Company uses the implicit rate when readily determinable. The operating lease ROU asset also includes any lease payments made in advance and excludes lease incentives if there were any. The Company’s lease term may include options to extend or terminate the lease when it is reasonably certain that it will exercise that option. Lease expense for lease payments is recognized on a straight-line basis over the lease term. Revenue Recognition Revenue is recognized to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. Interest Income: Interest income is accrued based upon the outstanding principal amount and contractual terms of the loans and preferred equity investments that the Company expects to collect and it is accrued and recorded on a daily basis. Discounts and premiums on investments purchased are accreted or amortized over the expected life of the respective loan using the effective yield method, and are included in interest income in the consolidated statements of operations. Loan origination fees and exit fees, net of portions attributable to obligations under participation agreements, are capitalized and amortized or accreted to interest income over the life of the investment using the effective interest method. Income accrual is generally suspended for loans at the earlier of the date at which payments become 90 days past due or when, in the opinion of the Manager, recovery of income and principal becomes doubtful. Outstanding interest receivable is assessed for recoverability. Interest is then recorded on the basis of cash received until accrual is resumed when the loan becomes contractually current and performance is demonstrated to be resumed. Interest payments received on non-accrual loans may be recognized as income or applied to principal depending upon management’s judgment regarding collectability. The Company holds loans in its portfolio that contain paid-in-kind (“PIK”) interest provisions. The PIK interest, which represents contractually deferred interest that is added to the principal balance that is due at maturity, is recorded on the accrual basis. Real Estate Operating Revenues: Real estate operating revenue is derived from leasing of space to various types of tenants. The leases are for fixed terms of varying length and generally provide for annual rent increases and expense reimbursements to be paid in monthly installments. Lease revenue, or rental income from leases, is recognized on a straight-line basis over the term of the respective leases. Additionally, the Company recorded above- and below-market lease intangibles, which are included in real estate owned, net, in connection with the acquisition of the real estate properties. These intangible assets and liabilities are amortized to lease revenue over the remaining contractual lease term. Other Revenues: Prepayment fee income is recognized as prepayments occur. All other income is recognized when earned. Cash, Cash Equivalents and Restricted Cash The Company considers all highly liquid investments, with original maturities of ninety days or less when purchased, as cash equivalents. Cash and cash equivalents are exposed to concentrations of credit risk. The Company maintains all of its cash at financial institutions which, at times, may exceed the amount insured by the Federal Deposit Insurance Corporation. Restricted cash represents cash held as additional collateral by the Company on behalf of the borrowers related to the investments in loans or preferred equity instruments for the purpose of such borrowers making interest and property-related operating payments. Restricted cash is not available for general corporate purposes. The related liability is recorded in “ Interest reserve and other deposits held on investments ” on the consolidated balance sheets. Cash held in escrow by lender represents amounts funded to an escrow account for debt services and tenant improvements. The following table provides a reconciliation of cash, cash equivalents and restricted cash in the Company’s consolidated balance sheets to the total amount shown in its consolidated statements of cash flows: June 30, 2020 June 30, 2019 Cash and cash equivalents $ 82,553,933 $ 18,334,372 Restricted cash 18,459,391 19,630,350 Cash held in escrow by lender 1,931,976 2,089,498 Total cash, cash equivalents and restricted cash shown in the consolidated $ 102,945,300 $ 40,054,220 Participation Interests Loan participations from the Company which do not qualify for sale treatment remain on the Company’s consolidated balance sheets and the proceeds are recorded as obligations under participation agreements. For the investments for which participation has been granted, the interest earned on the entire loan balance is recorded within “ Interest income ” and the interest related to the participation interest is recorded within “ Interest expense from obligations under participation agreements ” in the consolidated statements of operations. Interest expense from obligations under participation agreement is reversed when recovery of interest income on the related loan becomes doubtful. See “ Obligations under Participation Agreements ” in Note 8 for additional information. Repurchase Agreement The Company finances certain of its senior loans through repurchase transactions under a master repurchase agreement. The Company accounts for the repurchase transactions as secured borrowing transactions, which are carried at their contractual amounts (cost), net of unamortized deferred financing fees. Fair Value Measurements U.S. GAAP establishes market-based or observable inputs as the preferred source of values, followed by valuation models using management assumptions in the absence of market inputs. The Company has not elected the fair value option for its financial instruments, including loans held for investment, loans held for investment acquired through participation, obligations under participation agreements, mortgage loan payable, repurchase agreement payable and revolving credit facility payable. Such financial instruments are carried at cost, less impairment, where applicable. Marketable securities are financial instruments that are reported at fair value. Deferred Financing Costs Deferred financing costs represent fees and expenses incurred in connection with obtaining financing for investments. These costs are presented in the consolidated balance sheets as a direct deduction of the debt liability to which the costs pertain. These costs are amortized using the effective interest method and are included in interest expense on the applicable borrowings in the consolidated statements of operations over the life of the borrowings. Income Taxes The Company has elected to be taxed as a REIT under Sections 856 through 860 of the Internal Revenue Code commencing with the taxable year ended December 31, 2016. In order to qualify as a REIT, the Company is required, among other things, to distribute at least 90% of its REIT net taxable income to the stockholders and meet certain tests regarding the nature of its income and assets. As a REIT, the Company is not subject to federal income taxes on income and gains distributed to the stockholders as long as certain requirements are satisfied, principally relating to the nature of income and the level of distributions, as well as other factors. If the Company fails to continue to qualify as a REIT in any taxable year and does not qualify for certain statutory relief provisions, the Company will be subject to U.S. federal and state income taxes at regular corporate rates (including any applicable alternative minimum tax for taxable years before 2018) beginning with the year in which it fails to qualify and may be precluded from being able to elect to be treated as a REIT for the Company’s four subsequent taxable years. Any gains from the sale of foreclosed properties within two years are subject to U.S. federal and state income taxes at regular corporate rates. As of June 30, 2020, the Company has satisfied all the requirements for a REIT. No provision for federal income taxes has been included in the consolidated financial statements for the three and six months ended June 30, 2020 and 2019. The Company did not have any uncertain tax positions that met the recognition or measurement criteria of Accounting Standards Codification (“ASC”) 740-10-25, Income Taxes , nor did the Company have any unrecognized tax benefits as of the periods presented herein. The Company recognizes interest and penalties, if any, related to unrecognized tax liabilities as income tax expense in its consolidated statements of operations. For the three and six months ended June 30, 2020 and 2019, the Company did not incur any interest or penalties. Although the Company files federal and state tax returns, its major tax jurisdiction is federal. The Company’s inception-to-date federal tax returns remain subject to examination by the Internal Revenue Service. Earnings Per Share The Company has a simple equity capital structure with only common stock and preferred stock outstanding. As a result, earnings per share, as presented, represent both basic and dilutive per-share amounts for the periods presented in the consolidated financial statements. Income per basic share of common stock is calculated by dividing net income allocable to common stock by the weighted-average number of shares of common stock issued and outstanding during such period. Use of Estimates The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. During the first half of 2020, there was a global outbreak of a novel coronavirus (“COVID-19”), which has spread to over 200 countries and territories, including the United States, and has spread to every state in the United States. The World Health Organization has designated COVID-19 as a pandemic, and numerous countries, including the United States, have declared national emergencies with respect to COVID-19. The global impact of the outbreak has been rapidly evolving, and as cases of COVID-19 have continued to be identified in additional countries, many countries have reacted by instituting quarantines and restrictions on travel, closing financial markets and/or restricting trading and operations of non-essential offices and retail centers. Such actions are creating disruption in global supply chains, and adversely impacting many industries. The outbreak could have a continued adverse impact on economic and market conditions and trigger a period of global economic slowdown. The rapid development and fluidity of this situation precludes any prediction as to the ultimate adverse impact of COVID-19 on economic and market conditions. The Company believes the estimates and assumptions underlying its consolidated financial statements are reasonable and supportable based on the information available as of June 30, 2020, however uncertainty over the ultimate impact COVID-19 will have on the global economy generally, and the Company’s business in particular, makes any estimates and assumptions as of June 30, 2020 inherently less certain than they would be absent the current and potential impacts of COVID-19. Actual results may ultimately differ from those estimates. Segment Information The Company’s primary business is originating, acquiring and structuring real estate-related loans related to high quality commercial real estate. From time to time, the Company may acquire real estate encumbering the senior loans through foreclosure. However, management treats the operations of the real estate acquired through foreclosure as the continuation of the original senior loans. The Company operates in a single segment focused on mezzanine loans, other loans and preferred equity investments, and to a lesser extent, owning and managing real estate. Recent Accounting Pronouncements In June 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-13, Financial Instruments — Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”). ASU 2016-13 introduces a new model for recognizing credit losses on financial instruments based on an estimate of current expected credit losses. In April 2019, the FASB issued additional amendments to clarify the scope of ASU 2016-13 and address issues related to accrued interest receivable balances, recoveries, variable interest rates and prepayments, among other things. In May 2019, the FASB issued ASU 2019-05 — Targeted Transition Relief, which provides an option to irrevocably elect the fair value option for certain financial assets previously measured at amortized cost basis. In October 2019, the FASB decided that for smaller reporting companies, ASU 2016-13 and related amendments will be effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. The Company meets the definition of a smaller reporting company under the regulation of the Securities and Exchange Commission. As such, the Company will adopt this ASU and related amendments on January 1, 2023. Management is currently evaluating the impact this change will have on the Company’s consolidated financial statements and disclosures. In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820): Disclosure framework — Changes to the Disclosure Requirements for Fair Value Measurement (“ASU 2018-13”). The objective of ASU 2018-13 is to improve the effectiveness of disclosures in the notes to financial statements by facilitating clear communication of information required by U.S. GAAP. The amendments in ASU 2018-13 added, removed and modified certain fair value measurement disclosure requirements. ASU 2018-13 is effective for all entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. The amendments on changes in unrealized gains and losses, the range and weighted average of significant unobservable inputs used to develop Level 3 fair value measurements, and the narrative description of measurement uncertainty should be applied prospectively for only the most recent interim or annual period presented in the initial fiscal year of adoption. All other amendments should be applied retrospectively to all periods presented upon their effective date. The Company adopted ASU 2018-13 on January 1, 2020. The adoption of ASU 2018-13 did not have a material impact on its consolidated financial statements and disclosures. London Interbank Offered Rate (“LIBOR”) is a benchmark interest rate referenced in a variety of agreements that are used by all types of entities. At the end of 2021, banks will no longer be required to report information that is used to determine LIBOR. As a result, LIBOR could be discontinued. Other interest rates used globally could also be discontinued for similar reasons. In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848) — Facilitation of the Effects of Reference Rate Reform on Financial Reporting (“ASU 2020-04”). The amendments in ASU 2020-04 provide companies with optional guidance to ease the potential accounting burden associated with transitioning away from reference rates that are expected to be discontinued. The provisions of optional relief include: (i) contract modifications - account for the modification as a continuation of the existing contract without additional analysis; (ii) hedging accounting - continue hedge accounting when certain critical terms of a hedging relationship change; and (iii) held-to-maturity (HTM) debt securities - one-time sale and/or transfer to available for sale or trading may be made for HTM debt securities that both reference an eligible reference rate and were classified as HTM before January 1, 2020. Companies can apply the amendments in ASU 2020-04 immediately. However, ASU 2020-04 will only be available for a limited time (generally through December 31, 2022). The Company is currently evaluating the impact of the reference rate reform and ASU 2020-04 on its consolidated financial statements and disclosures.

Merger and Asset Contribution

Merger and Asset Contribution	6 Months Ended
	Jun. 30, 2020
Business Combinations [Abstract]
Business Combination Disclosure	Note 3. Merger and Issuance of Common Stock to TIF3 REIT Merger On February 28, 2020, the Company entered into the Merger Agreement pursuant to which TPT2 was merged with and into the Company, with the Company continuing as the surviving corporation, effective March 1, 2020. In connection with the Merger, each share of common stock, par value $0.01 per share, of TPT2 issued and outstanding immediately prior to the effective time of the Merger was converted into the right to receive from the Company a number of shares of common stock, par value $0.01 per share, of the Company equal to an exchange ratio, which was 1.2031. The exchange ratio was based on the relative net asset values of the Company and TPT2 as of December 31, 2019 as adjusted to reflect changes in the net working capital of each of the Company and TPT2 during the period from January 1, 2020 through March 1, 2020, the effective time for the Merger. For purposes of determining the respective fair values of the Company and TPT2, the value of the loans (or participation interests therein) held by each of the Company and TPT2 was the value of such loans (or participation interests) as set forth in the audited financial statements of the Company as of and for the year ended December 31, 2019. As a result, Terra Fund 7, the sole stockholder of TPT2, received 2,116,785.76 shares of common stock of the Company as consideration in the Merger. The shares of common stock were issued in a private placement in reliance on Section 4(a)(2) under the Securities Act of 1933, as amended (the “Securities Act”), and the rules and regulations promulgated thereunder. The following table presents a summary of the consideration exchanged and settlement of the Company’s obligations under participation agreements as a result of the Merger: Total Consideration Equity issued in the Merger $ 34,630,615 $ 34,630,615 Net Assets of TPT2 Received in the Merger Loans held for investment acquired through participation $ 17,688,741 Cash and cash equivalents 16,897,074 Interest receivable 134,543 Other assets 18,384 Accounts payable and accrued expenses (57,433) Due to Manager (50,694) Total identifiable net assets $ 34,630,615 The fair value of the 2,116,785.76 shares of the Company’s stock issued in the Merger as consideration paid for TPT2 was derived from the fair value per share of the Company as of December 31, 2019 as adjusted to reflect the change in the net working capital of the Company during the period from January 1, 2020 through March 1, 2020, the effective time of the Merger. In connection with the Merger, the size of the board of directors of the Company was reduced from eight directors to four directors, with Andrew M. Axelrod, Vikram S. Uppal, Roger H. Beless and Michael L. Evans continuing as directors of the Company. Issuance of Common Stock to TIF3 REIT In addition, on March 2, 2020, the Company entered into two separate contribution agreements, one by and among the Company, TIF3 REIT and Terra Income Fund International, and another by and among the Company, TIF3 REIT and Terra Secured Income Fund 5 International, pursuant to which the Company issued 2,457,684.59 shares of common stock of the Company to TIF3 REIT in exchange for the settlement of $32.1 million of participation interests in loans also held by the Company, $8.6 million in cash and other net working capital. The shares of common stock were issued in a private placement in reliance on Section 4(a)(2) under the Securities Act and the rules and regulations promulgated thereunder. The fair value of the 2,457,684.59 shares of the Company’s stock issued in the transaction as consideration paid for TIF3 REIT was derived from the fair value per share of the Company as of December 31, 2019, which was the most recently determined fair value per share of the Company. The following table presents a summary of the consideration exchanged and settlement of the Company’s obligations under participation agreements as a result of the Issuance of Common Stock to TIF3 REIT: Total Consideration Equity issued to TIF3 REIT $ 40,749,378 $ 40,749,378 Net Assets of TIF3 REIT Received Investments through participation interest, at fair value $ 32,112,257 Cash and cash equivalents 8,600,000 Interest receivable 270,947 Due to Manager (233,826) Total identifiable net assets $ 40,749,378 On April 29, 2020, the Company repurchased 212,691 shares of common stock that the Company had previously sold to TIF3 REIT on September 30, 2019. Terra JV, LLC Prior to the completion of the Merger and the Issuance of Common Stock to TIF3 REIT transactions described above, Terra Fund 5 owned approximately 98.6% of the issued and outstanding shares of the Company’s common stock indirectly through its wholly owned subsidiary, Terra JV, of which Terra Fund 5 was the sole managing member, and the remaining issued and outstanding shares of the Company’s common stock were owned by TIF3 REIT. As described above, the Company acquired TPT2 in the Merger and, in connection with such transaction, Terra Fund 7 contributed the shares of the Company’s common stock received as consideration in the Merger to Terra JV and became a co-managing member of Terra JV pursuant to the amended and restated operating agreement of Terra JV, dated March 2, 2020 (the “JV Agreement”). The JV Agreement and related stockholders agreement between Terra JV and the Company, dated March 2, 2020, provide for the joint approval of Terra Fund 5 and Terra Fund 7 with respect to certain major decisions that are taken by Terra JV and the Company. On March 2, 2020, the Company, Terra Fund 5, Terra JV and Terra REIT Advisors also entered into the Amended and Restated Voting Agreement (the “Voting Agreement”), pursuant to which Terra Fund 5 assigned its rights and obligations under the Voting Agreement to Terra JV. Consistent with the original voting agreement dated February 8, 2018, for the period that Terra REIT Advisors remains the external manager of the Company, Terra REIT Advisors will have the right to nominate two individuals to serve as directors of the Company and, until Terra JV no longer holds at least 10% of the outstanding shares of the Company’s common stock, Terra JV will have the right to nominate one individual to serve as a director of the Company. As of June 30, 2020, Terra JV owns 87.4% of the issued and outstanding shares of the Company’s common stock with the remainder held by TIF3 REIT, and Terra Fund 5 and Terra Fund 7 own an 87.6% and 12.4% interest, respectively, in Terra JV. Net Loss on Extinguishment of Obligations Under Participation Agreements As discussed in Note 7 , in the normal course of business, the Company may enter into participation agreements with related parties, primarily other affiliated funds managed by the Manager, and to a lesser extent, unrelated parties. The obligations under participation agreements were released as a result of the Merger and the Issuance of Common Stock to TIF3 REIT. In connection with these transactions, the Company recognized a net loss of $0.3 million for the three months ended March 31, 2020, which was primarily related to transaction costs incurred in connection with both transactions.

Loans Held for Investment

Loans Held for Investment	6 Months Ended
	Jun. 30, 2020
Receivables [Abstract]
Investment	Note 4. Loans Held for Investment Portfolio Summary The following table provides a summary of the Company’s loan portfolio as of June 30, 2020 and December 31, 2019: June 30, 2020 December 31, 2019 Fixed Rate Floating Rate (1)(2)(3) Total Fixed Rate Floating Rate (1)(2)(3) Total Number of loans 9 13 22 8 15 23 Principal balance $ 101,693,122 $ 312,410,817 $ 414,103,939 $ 70,692,767 $ 306,695,550 $ 377,388,317 Carrying value $ 102,402,613 $ 312,045,669 $ 414,448,282 $ 71,469,137 $ 307,143,631 $ 378,612,768 Fair value $ 102,651,392 $ 310,024,461 $ 412,675,853 $ 71,516,432 $ 307,643,983 $ 379,160,415 Weighted-average coupon rate 10.29 % 8.91 % 9.25 % 11.93 % 9.13 % 9.65 % Weighted-average remaining 1.33 1.92 1.77 2.28 2.09 2.13 _______________ (1) These loans pay a coupon rate of LIBOR plus a fixed spread. Coupon rate shown was determined using LIBOR of 0.16% and 1.76% as of June 30, 2020 and December 31, 2019, respectively. (2) As of June 30, 2020 and December 31, 2019, amounts included $142.8 million and $114.8 million, respectively, of senior mortgages used as collateral for $95.4 million and $81.1 million, respectively, of borrowings under a repurchase agreement ( Note 8 ). These borrowings bear interest at an annual rate of LIBOR plus a spread ranging from 2.00% to 2.50% as of June 30, 2020 and LIBOR plus a spread ranging from 2.25% to 2.50% as of December 31, 2019. (3) As of June 30, 2020 and December 31, 2019, eleven and twelve of these loans, respectively, are subject to a LIBOR floor. Lending Activities The following table presents the activities of the Company’s loan portfolio for the six months ended June 30, 2020 and 2019: Loans Held for Investment Loans Held for Investment through Participation Interests Total Balance, January 1, 2020 $ 375,462,222 $ 3,150,546 $ 378,612,768 New loans made 53,213,376 1,129,112 54,342,488 Principal repayments received (18,990,175) — (18,990,175) PIK interest (1) 1,363,310 — 1,363,310 Net amortization of premiums on loans (30,696) — (30,696) Accrual, payment and accretion of investment-related fees and other, 446,550 18,331 464,881 Provision for loan losses (1,314,294) — (1,314,294) Balance, June 30, 2020 $ 410,150,293 $ 4,297,989 $ 414,448,282 Loans Held for Investment Loans Held for Investment through Participation Interests Total Balance, January 1, 2019 $ 388,243,974 $ — $ 388,243,974 New loans made 84,588,421 746,152 85,334,573 Principal repayments received (70,136,722) — (70,136,722) Foreclosure of collateral (2) (14,325,000) — (14,325,000) PIK interest (1) 1,766,213 — 1,766,213 Net amortization of premiums on loans (73,730) — (73,730) Accrual, payment and accretion of investment-related fees, net (3) (1,005,797) (15,703) (1,021,500) Balance, June 30, 2019 $ 389,057,359 $ 730,449 $ 389,787,808 _______________ (1) Certain loans in the Company’s portfolio contain PIK interest provisions. The PIK interest represents contractually deferred interest that is added to the principal balance. PIK interest related to obligations under participation agreements amounted to $0.6 million and $0.4 million for the six months ended June 30, 2020 and 2019, respectively. (2) On January 9, 2019, the Company acquired 4.9 acres of adjacent land encumbering a $14.3 million first mortgage via deed in lieu of foreclosure in exchange for the relief of the first mortgage and related fees and expenses ( Note 5 ). (3) Amount for the six months ended June 30, 2019 included $0.5 million of deferred origination fees that were previously recorded as unearned income. Portfolio Information The tables below detail the types of loans in the Company’s loan portfolio, as well as the property type and geographic location of the properties securing these loans as of June 30, 2020 and December 31, 2019: June 30, 2020 December 31, 2019 Loan Structure Principal Balance Carrying Value % of Total Principal Balance Carrying Value % of Total First mortgages $ 222,314,510 $ 222,901,117 53.8 % $ 178,130,623 $ 178,203,675 47.1 % Preferred equity investments 155,216,422 155,798,883 37.6 % 157,144,040 157,737,763 41.6 % Mezzanine loans 36,573,007 37,062,576 8.9 % 42,113,654 42,671,330 11.3 % Allowance for loan losses — (1,314,294) (0.3) % — — — % Total $ 414,103,939 $ 414,448,282 100.0 % $ 377,388,317 $ 378,612,768 100.0 % June 30, 2020 December 31, 2019 Property Type Principal Balance Carrying Value % of Total Principal Balance Carrying Value % of Total Office $ 151,307,119 $ 151,380,556 36.5 % $ 142,055,845 $ 141,870,355 37.5 % Multifamily 115,668,971 116,325,996 28.1 % 76,640,369 77,136,016 20.4 % Student housing 45,920,115 46,343,726 11.2 % 58,049,717 58,553,496 15.5 % Hotel 50,848,687 51,074,169 12.3 % 46,598,011 46,731,939 12.3 % Infill land 32,759,047 32,939,047 7.9 % 36,444,375 36,624,375 9.7 % Condominium 10,600,000 10,699,082 2.6 % 10,600,000 10,696,587 2.8 % Industrial 7,000,000 7,000,000 1.7 % 7,000,000 7,000,000 1.8 % Allowance for loan losses — (1,314,294) (0.3) % — — — % Total $ 414,103,939 $ 414,448,282 100.0 % $ 377,388,317 $ 378,612,768 100.0 % June 30, 2020 December 31, 2019 Geographic Location Principal Balance Carrying Value % of Total Principal Balance Carrying Value % of Total United States California $ 186,233,959 $ 186,692,977 45.0 % $ 150,988,463 $ 151,108,109 39.9 % New York 73,996,576 74,129,631 17.9 % 79,734,323 79,896,663 21.1 % Georgia 68,980,282 69,295,471 16.7 % 61,772,764 61,957,443 16.4 % North Carolina 32,810,007 32,993,616 8.0 % 32,592,767 32,766,311 8.7 % Washington 23,500,000 23,671,815 5.7 % 23,500,000 23,661,724 6.2 % Massachusetts 7,000,000 7,000,000 1.7 % 7,000,000 7,000,000 1.8 % Texas 3,613,000 3,647,936 0.9 % 3,500,000 3,531,776 0.9 % Illinois 3,404,877 3,433,814 0.8 % 8,004,877 8,071,562 2.1 % Kansas 3,098,139 3,124,469 0.8 % 6,200,000 6,251,649 1.7 % Other (1) 11,467,099 11,772,847 2.8 % 4,095,123 4,367,531 1.2 % Allowance for loan losses — (1,314,294) (0.3) % — — — % Total $ 414,103,939 $ 414,448,282 100.0 % $ 377,388,317 $ 378,612,768 100.0 % _______________ (1) Other includes $8.5 million and $1.1 million of the unused portion of a credit facility at June 30, 2020 and December 31, 2019, respectively. Other also includes a $3.0 million loan with collateral located in South Carolina at both June 30, 2020 and December 31, 2019. Loan Risk Rating As described in Note 2 , the Manager evaluates the Company’s loan portfolio on a quarterly basis or more frequently as needed. In conjunction with the quarterly review of the Company’s loan portfolio, the Manager assesses the risk factors of each loan, and assigns a risk rating based on a five-point scale with “1” being the lowest risk and “5” being the greatest risk. The following table allocates the principal balance and the carrying value of the Company’s loans based on the loan risk rating as of June 30, 2020 and December 31, 2019: June 30, 2020 December 31, 2019 Loan Risk Rating Number of Loans Principal Balance Carrying Value % of Total Number of Loans Principal Balance Carrying Value % of Total 1 0 $ — $ — — % — $ — $ — — % 2 2 25,000,000 25,180,000 6.1 % 5 50,000,000 50,284,751 13.3 % 3 15 301,484,356 302,707,562 72.8 % 17 322,648,317 323,588,017 85.4 % 4 (1) 5 87,619,583 87,875,014 21.1 % — — — — % 5 0 — — — % — — — — % Other (2) 0 — — — % 1 4,740,000 4,740,000 1.3 % 22 $ 414,103,939 415,762,576 100.0 % 23 $ 377,388,317 378,612,768 100.0 % Allowance for loan losses (1,314,294) — Total, net of allowance for loan losses $ 414,448,282 $ 378,612,768 _______________ (1) The increase in number of loans with a loan risk rating of “4” was due to the higher risk in loans collateralized by hospitality and select other asset classes that are particularly negatively impacted by the COVID-19 pandemic. (2) This loan was deemed impaired and removed from the pool of loans on which a general allowance is calculated. As of December 31, 2019, no specific reserve for loan losses was recorded on this loan because the fair value of the collateral was greater than carrying value of the loan. In March 2020, this loan was repaid in full. As of June 30, 2020, the Company had five loans with a loan risk rating of “4” and recorded a general allowance for loan losses of $1.3 million. The following table presents the activity in the Company’s allowance for loan losses for the six months ended June 30, 2020 and 2019: Six Months Ended June 30, 2020 2019 Allowance for loan losses, beginning of period $ — $ — Provision for loan losses 1,314,294 — Charge-offs — — Recoveries — — Allowance for loan losses, end of period $ 1,314,294 $ — The allowance for loan losses reserve reflects the macroeconomic impact of the COVID-19 pandemic on commercial real estate markets generally and is not specific to any loan losses or impairments in our portfolio. See Note 2

Real Estate Owned, Net

Real Estate Owned, Net	6 Months Ended
	Jun. 30, 2020
Real Estate [Abstract]
Real Estate Disclosure	Note 5. Real Estate Owned, Net Acquisition of Real Estate 2019 — On January 9, 2019, the Company acquired 4.9 acres of adjacent land encumbering a first mortgage via deed in lieu of foreclosure in exchange for the payment of the first mortgage and related fees and expenses. The following table summarizes the carrying value of the first mortgage prior to the deed in lieu of foreclosure on January 9, 2019: Carrying Value of First Mortgage Loan held for investment $ 14,325,000 Interest receivable 439,300 Restricted cash applied against loan principal amount (60,941) $ 14,703,359 The table below summarizes the allocation of the estimated fair value of the real estate acquired on January 9, 2019 based on the policy described in Note 2 : Assets Acquired Real estate owned: Land $ 14,703,359 The Company capitalized transaction costs of approximately $0.2 million to land. For the three and six months ended June 30, 2019, the Company recorded an impairment charge of $1.6 million on the land in order to reduce the carrying value of the land to its estimated fair value, which is the estimated selling price less the cost of sale. Real Estate Owned, Net Real estate owned is comprised of 4.9 acres of adjacent land located in Pennsylvania and a multi-tenant office building, with lease intangible assets and liabilities, located in California. The following table presents the components of real estate owned, net: June 30, 2020 December 31, 2019 Cost Accumulated Depreciation/Amortization Net Cost Accumulated Depreciation/Amortization Net Real estate: Land $ 13,395,430 $ — $ 13,395,430 $ 13,395,430 $ — $ 13,395,430 Building and building 51,725,969 (2,478,562) 49,247,407 51,725,969 (1,831,980) 49,893,989 Tenant improvements 1,854,640 (531,451) 1,323,189 1,854,640 (392,812) 1,461,828 Total real estate 66,976,039 (3,010,013) 63,966,026 66,976,039 (2,224,792) 64,751,247 Lease intangible assets: In-place lease 15,852,232 (4,246,443) 11,605,789 15,852,232 (3,138,675) 12,713,557 Above-market rent 156,542 (33,649) 122,893 156,542 (24,871) 131,671 Total intangible assets 16,008,774 (4,280,092) 11,728,682 16,008,774 (3,163,546) 12,845,228 Lease intangible liabilities: Below-market rent (3,371,314) 890,390 (2,480,924) (3,371,314) 658,115 (2,713,199) Above-market ground lease (8,896,270) 249,834 (8,646,436) (8,896,270) 184,660 (8,711,610) Total intangible liabilities (12,267,584) 1,140,224 (11,127,360) (12,267,584) 842,775 (11,424,809) Total real estate $ 70,717,229 $ (6,149,881) $ 64,567,348 $ 70,717,229 $ (4,545,563) $ 66,171,666 Real Estate Operating Revenues and Expenses The following table presents the components of real estate operating revenues and expenses that are included in the consolidated statements of operations: Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Real estate operating revenues: Lease revenue $ 1,922,077 $ 1,922,487 $ 3,844,205 $ 3,845,025 Other operating income 329,018 604,769 719,941 1,003,469 Total $ 2,251,095 $ 2,527,256 $ 4,564,146 $ 4,848,494 Real estate operating expenses: Utilities $ 34,008 $ 35,838 $ 73,030 $ 69,600 Real estate taxes 232,875 80,359 465,750 160,719 Repairs and maintenances 159,429 207,882 396,561 417,725 Management fees 58,076 61,611 114,777 122,960 Lease expense, including amortization of above-market ground lease 283,538 283,538 567,076 567,076 Other operating expenses 103,281 94,880 198,531 181,883 Total $ 871,207 $ 764,108 $ 1,815,725 $ 1,519,963 Leases On July 30, 2018, the Company foreclosed on a multi-tenant office building in full satisfaction of a first mortgage and related fees and expenses. In connection with the foreclosure, the Company assumed four leases whereby the Company is the lessor to the leases. These four tenant leases had remaining lease terms ranging from 6.3 years to 8.8 years as of July 30, 2018 and provide for annual fixed rent increase. Three of the tenant leases each provides two options to renew the lease for five years each and the remaining tenant lease provides one option to renew the lease for five years. In addition, the Company assumed a ground lease whereby the Company is the lessee (or a tenant) to the ground lease. The ground lease had a remaining lease term of 68.3 years and provides for a new base rent every 5 years based on the greater of the annual base rent for the prior lease year or 9% of the fair market value of the land. The next rent reset on the ground lease is scheduled for November 1, 2020. Since future rent increase on the ground lease is unknown, the Company did not include the future rent increase in calculating the present value of future rent payments. The ground lease does not provide for renewal options. On the date of foreclosure, the Company performed lease classification test on the tenant leases as well as the ground lease in accordance with ASC 840. The result of the lease classification test indicated that the tenant leases and the ground lease shall be classified as operating leases on the date of foreclosure. On January 1, 2019, the Company adopted ASU 2016-02 using a modified retrospective transition approach and chose not to adjust comparable periods ( Note 2 ). The Company elected to use the package of practical expedients for its existing leases whereby the Company did not need to reassess whether a contract is or contains a lease, lease classification and initial direct costs. As a result, the leases continue to be classified as operating leases under ASC 842, Leases . The adoption of ASU 2016-02 did not have any impact on the tenant leases; however, for the ground lease, the Company recognized $16.1 million of both operating lease right-of-use assets and operating lease liabilities on its consolidated balance sheets. No cumulative effect adjustment was recorded because there was no change to operating lease cost. In addition, as of January 1, 2019, the Company had $0.5 million of unamortized leasing commission (initial direct costs) on the tenant leases. The Company elected to continue to amortize the remaining leasing commission through the end of the lease terms. Scheduled Future Minimum Rent Income Scheduled future minimum rents, exclusive of renewals and expenses paid by tenants, under non-cancelable operating leases at June 30, 2020 are as follows: Years Ending December 31, Total 2020 (July 1 through December 31) $ 3,305,851 2021 7,025,413 2022 7,547,261 2023 7,787,842 2024 8,026,943 Thereafter 5,836,010 Total $ 39,529,320 Scheduled Annual Net Amortization of Intangibles Based on the intangible assets and liabilities recorded at June 30, 2020, scheduled annual net amortization of intangibles for each of the next five calendar years and thereafter is as follows: Years Ending December 31, Net Decrease in Real Estate Operating Revenue (1) Increase in Depreciation and Amortization (1) Decrease in Rent Expense (1) Total 2020 (July 1 through December 31) $ (223,499) $ 1,107,768 $ (65,174) $ 819,095 2021 (446,995) 2,215,536 (130,348) 1,638,193 2022 (446,995) 2,215,536 (130,348) 1,638,193 2023 (446,995) 2,215,536 (130,348) 1,638,193 2024 (446,995) 2,215,536 (130,348) 1,638,193 Thereafter (346,552) 1,635,877 (8,059,870) (6,770,545) Total $ (2,358,031) $ 11,605,789 $ (8,646,436) $ 601,322 _______________ (1) Amortization of below-market rent and above-market rent intangibles is recorded as an adjustment to lease revenues; amortization of in-place lease intangibles is included in depreciation and amortization; and amortization of above-market ground lease is recorded as a reduction to rent expense. Supplemental Ground Lease Disclosures Supplemental balance sheet information related to the ground lease was as follows: June 30, 2020 December 31, 2019 Operating lease Operating lease right-of-use assets $ 16,109,476 $ 16,112,925 Operating lease liabilities $ 16,109,476 $ 16,112,925 Weighted average remaining lease term — operating lease (years) 66.3 66.8 Weighted average discount rate — operating lease 7.9 % 7.9 % The component of lease expense for the ground lease was as follows: Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Operating lease cost $ 316,125 $ 316,125 $ 632,250 $ 632,250 Supplemental non-cash information related to the ground lease was as follows: Six Months Ended June 30, 2020 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 632,250 $ 632,250 Right-of-use assets obtained in exchange for lease obligations Operating leases $ 632,250 $ 632,250 Maturities of operating lease liabilities are as follows: Years Ending December 31, Operating Lease 2020 (July 1 through December 31) (Year of rent reset) $ 632,250 2021 1,264,500 2022 1,264,500 2023 1,264,500 2024 1,264,500 Thereafter 78,135,563 Total lease payments 83,825,813 Less: Imputed interest (67,716,337) Total $ 16,109,476

Fair Value Measurements

Fair Value Measurements	6 Months Ended
	Jun. 30, 2020
Fair Value Disclosures [Abstract]
Fair Value Measurement and Measurement Inputs, Recurring and Nonrecurring [Text Block]	Note 6. Fair Value Measurements The Company adopted the provisions of ASC 820, Fair Value Measurement (“ASC 820”), which defines fair value, establishes a framework for measuring fair value, and expands disclosures about fair value measurements. ASC 820 established a fair value hierarchy that prioritizes and ranks the level of market price observability used in measuring investments at fair value. Market price observability is impacted by a number of factors, including the type of investment, the characteristics specific to the investment, and the state of the marketplace (including the existence and transparency of transactions between market participants). Investments with readily available, actively quoted prices or for which fair value can be measured from actively quoted prices in an orderly market will generally have a higher degree of market price observability and a lesser degree of judgment used in measuring fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). Investments measured and reported at fair value are classified and disclosed into one of the following categories based on the inputs as follows: Level 1 — Quoted prices (unadjusted) in active markets for identical assets and liabilities that the Company has the ability to access. Level 2 — Pricing inputs are other than quoted prices in active markets, including, but not limited to, quoted prices for similar assets and liabilities in markets that are active, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the assets or liabilities (such as interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and default rates) or other market corroborated inputs. Level 3 — Significant unobservable inputs are based on the best information available in the circumstances, to the extent observable inputs are not available, including the Company’s own assumptions used in determining the fair value of investments. Fair value for these investments are determined using valuation methodologies that consider a range of factors, including but not limited to the price at which the investment was acquired, the nature of the investment, local market conditions, trading values on public exchanges for comparable securities, current and projected operating performance, and financing transactions subsequent to the acquisition of the investment. The inputs into the determination of fair value require significant management judgment. In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, an investment’s level within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. The Company’s assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment, and considers factors specific to the investment. As of June 30, 2020 and December 31, 2019, the Company has not elected the fair value option for its financial instruments, including loans held for investment, loans held for investment acquired through participation, obligations under participation agreements, mortgage loan payable, repurchase agreement payable and revolving credit facility payable. Such financial instruments are carried at cost, less impairment, where applicable. Marketable securities are financial instruments that are reported at fair value. Financial Instruments Carried at Fair Value on a Recurring Basis From time to time, the Company may invest in short-term debt and equity securities which are classified as available-for-sale securities, which are presented at fair value on the consolidated balance sheet. Changes in the fair value of equity securities are recognized in earnings. Changes in the fair value of debt securities are reported in other comprehensive income until the securities are realized. The following tables present fair value measurements of marketable securities, by major class, as of June 30, 2020, according to the fair value hierarchy: June 30, 2020 Fair Value Measurements Level 1 Level 2 Level 3 Total Marketable Securities: Equity securities $ 236,085 $ — $ — $ 236,085 Debt securities — — — — Total $ 236,085 $ — $ — $ 236,085 The following table presents the activities of the marketable securities for the periods presented. Six Months Ended June 30, 2020 2019 Beginning balance $ — $ — Purchases 4,863,561 — Proceeds from sale (5,780,105) — Realized gains on marketable securities 1,085,107 — Unrealized gains on marketable securities 67,522 — Ending balance $ 236,085 $ — Financial Instruments Not Carried at Fair Value The following table presents the carrying value, which represents the principal amount outstanding, adjusted for the accretion of purchase discounts on loans and exit fees, and the amortization of purchase premiums on loans and origination fees, and estimated fair value of the Company’s financial instruments that are not carried at fair value on the consolidated balance sheets: June 30, 2020 December 31, 2019 Level Principal Amount Carrying Value Fair Value Principal Amount Carrying Value Fair Value Loans: Loans held for investment, net 3 $ 409,853,939 $ 411,464,587 $ 408,378,123 $ 374,267,430 $ 375,462,222 $ 375,956,154 Loans held for investment 3 4,250,000 4,297,989 4,297,730 3,120,887 3,150,546 3,204,261 Allowance for loan losses — (1,314,294) — — — — Total loans $ 414,103,939 $ 414,448,282 $ 412,675,853 $ 377,388,317 $ 378,612,768 $ 379,160,415 Liabilities: Obligations under participation 3 $ 78,116,748 $ 78,246,519 $ 77,898,387 $ 102,564,795 $ 103,186,327 $ 103,188,783 Mortgage loan payable 3 44,481,855 44,753,239 44,812,068 44,614,480 44,753,633 44,947,378 Repurchase agreement payable 3 95,356,360 94,571,367 95,356,360 81,134,436 79,608,437 81,134,436 Revolving credit facility 3 35,000,000 35,000,000 35,000,000 — — — Total liabilities $ 252,954,963 $ 252,571,125 $ 253,066,815 $ 228,313,711 $ 227,548,397 $ 229,270,597 The Company estimated that its other financial assets and liabilities, not included in the tables above, had fair values that approximated their carrying values at both June 30, 2020 and December 31, 2019 due to their short-term nature. Valuation Process for Fair Value Measurement The fair value of the Company’s investment in equity securities is determined based on quoted prices in an active market and is classified as Level 1 of the fair value hierarchy. Market quotations are not readily available for the Company’s real estate-related loan investments, all of which are included in Level 3 of the fair value hierarchy, and therefore these investments are valued utilizing a yield approach, i.e. a discounted cash flow methodology to arrive at an estimate of the fair value of each respective investment in the portfolio using an estimated market yield. In following this methodology, investments are evaluated individually, and management takes into account, in determining the risk-adjusted discount rate for each of the Company’s investments, relevant factors, including available current market data on applicable yields of comparable debt/preferred equity instruments; market credit spreads and yield curves; the investment’s yield; covenants of the investment, including prepayment provisions; the portfolio company’s ability to make payments, net operating income and debt-service coverage ratio; construction progress reports and construction budget analysis; the nature, quality and realizable value of any collateral (and loan-to-value ratio); the forces that influence the local markets in which the asset (the collateral) is purchased and sold, such as capitalization rates, occupancy rates, rental rates and replacement costs; and the anticipated duration of each real estate-related loan investment. The Manager designates a valuation committee to oversee the entire valuation process of the Company’s Level 3 loans. The valuation committee is comprised of members of the Manager’s senior management, deal and portfolio management teams, who meet on a quarterly basis, or more frequently as needed, to review the Company investments being valued as well as the inputs used in the proprietary valuation model. Valuations determined by the valuation committee are supported by pertinent data and, in addition to a proprietary valuation model, are based on market data, industry accepted third-party valuation models and discount rates or other methods the valuation committee deems to be appropriate. Because there is no readily available market for these investments, the fair values of these investments are approved in good faith by the Manager pursuant to the Company’s valuation policy. The fair values of the Company’s mortgage loan payable, repurchase agreement payable and revolving credit facility payable are determined by discounting the contractual cash flows at the interest rate the Company estimates such arrangements would bear if executed in the current market. The following table summarizes the valuation techniques and significant unobservable inputs used by the Company to value the Level 3 loans as of June 30, 2020 and December 31, 2019. The tables are not intended to be all-inclusive, but instead identify the significant unobservable inputs relevant to the determination of fair values. Fair Value at June 30, 2020 Primary Valuation Technique Unobservable Inputs June 30, 2020 Asset Category Minimum Maximum Weighted Average Assets: Loans held for investment, net $ 408,378,123 Discounted cash flow Discount rate 4.45 % 19.05 % 11.02 % Loans held for investment acquired through 4,297,730 Discounted cash flow Discount rate 12.95 % 12.95 % 12.95 % Total Level 3 Assets $ 412,675,853 Liabilities: Obligations under Participation Agreements $ 77,898,387 Discounted cash flow Discount rate 9.76 % 19.05 % 13.06 % Mortgage loan payable 44,812,068 Discounted cash flow Discount rate 6.08 % 6.08 % 6.08 % Repurchase agreement payable 95,356,360 Discounted cash flow Discount rate 2.51 % 5.80 % 3.79 % Revolving credit facility payable 35,000,000 Discounted cash flow Discount rate 6.00 % 6.00 % 6.00 % Total Level 3 Liabilities $ 253,066,815 Fair Value at December 31, 2019 Primary Valuation Technique Unobservable Inputs December 31, 2019 Asset Category Minimum Maximum Weighted Average Assets: Loans held for investment, net $ 375,956,154 Discounted cash flow Discount rate 4.71 % 14.95 % 9.77 % Loans held for investment acquired 3,204,261 Discounted cash flow Discount rate 11.90 % 11.90 % 11.90 % Total Level 3 Assets $ 379,160,415 Liabilities: Obligations under Participation Agreements $ 103,188,783 Discounted cash flow Discount rate 9.00 % 14.95 % 11.99 % Mortgage loan 44,947,378 Discounted cash flow Discount rate 6.08 % 6.08 % 6.08 % Repurchase agreement payable 81,134,436 Discounted cash flow Discount rate 4.11 % 4.75 % 4.33 % Total Level 3 Liabilities $ 229,270,597

Related Party Transactions

Related Party Transactions	6 Months Ended
	Jun. 30, 2020
Related Party Transactions [Abstract]
Related Party Transactions Disclosure	Note 7. Related Party Transactions Management Agreement The Company entered into a Management Agreement with the Manager whereby the Manager is responsible for its day-to-day operations. The Management Agreement runs co-terminus with the amended and restated operating agreement for Terra Fund 5, which is scheduled to terminate on December 31, 2023 unless Terra Fund 5 is dissolved earlier. The following table presents a summary of fees paid and costs reimbursed to the Manager in connection with providing services to the Company that are included on the consolidated statements of operations: Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Origination and extension fee expense (1) $ 250,601 $ 117,380 $ 688,218 $ 800,552 Asset management fee 1,140,426 956,985 2,169,959 1,837,340 Asset servicing fee 253,316 226,764 487,524 431,241 Operating expenses reimbursed to Manager 1,694,875 1,213,314 3,062,064 2,328,518 Disposition fee (2) 220,424 167,091 295,944 637,024 Total $ 3,559,642 $ 2,681,534 $ 6,703,709 $ 6,034,675 _______________ (1) Origination and extension fee expense is generally offset with origination and extension fee income. Any excess is deferred and amortized to interest income over the term of the loan. (2) Disposition fee is generally offset with exit fee income and included in interest income on the consolidated statements of operations. Origination and Extension Fee Expense Pursuant to the Management Agreement, the Manager or its affiliates receives an origination fee in the amount of 1% of the amount used to originate, fund, acquire or structure real estate-related loans, including any third-party expenses related to such loans. In the event that the term of any real estate-related loan held by the Company is extended, the Manager also receives an extension fee equal to the lesser of (i) 1% of the principal amount of the loan being extended or (ii) the amount of fee paid to the Company by the borrower in connection with such extension. Asset Management Fee Under the terms of the Management Agreement, the Manager or its affiliates provides the Company with certain investment management services in return for a management fee. The Company pays a monthly asset management fee at an annual rate of 1% of the aggregate funds under management, which includes the loan origination price or aggregate gross acquisition price, as defined in the Management Agreement, for each real estate related loan and cash held by the Company. Asset Servicing Fee The Manager or its affiliates receives from the Company a monthly servicing fee at an annual rate of 0.25% of the aggregate gross origination price or acquisition price, as defined in the Management Agreement, for each real estate-related loan held by the Company. Transaction Breakup Fee In the event that the Company receives any “breakup fees,” “busted-deal fees,” termination fees, or similar fees or liquidated damages from a third-party in connection with the termination or non-consummation of any loan or disposition transaction, the Manager will be entitled to receive one-half of such amounts, in addition to the reimbursement of all out-of-pocket fees and expenses incurred by the Manager with respect to its evaluation and pursuit of such transactions. As of June 30, 2020, the Company has not received any breakup fees. Operating Expenses The Company reimburses the Manager for operating expenses incurred in connection with services provided to the operations of the Company, including the Company’s allocable share of the Manager’s overhead, such as rent, employee costs, utilities, and technology costs. Disposition Fee Pursuant to the Management Agreement, the Manager or its affiliates receives a disposition fee in the amount of 1% of the gross sale price received by the Company from the disposition of any real estate-related loan, or any portion of, or interest in, any real estate-related loan. The disposition fee is paid concurrently with the closing of any such disposition of all or any portion of any real estate-related loan or any interest therein, which is the lesser of (i) 1% of the principal amount of the loan or debt-related loan prior to such transaction or (ii) the amount of the fee paid by the borrower in connection with such transaction. If the Company takes ownership of a property as a result of a workout or foreclosure of a loan, the Company will pay a disposition fee upon the sale of such property equal to 1% of the sales price. Distributions Paid For the three and six months ended June 30, 2020, the Company made distributions to Terra Fund 5, Terra JV and TIF3 REIT in the aggregate of $4.5 million and $13.3 million, respectively, of which $1.8 million and $10.1 million were returns of capital, respectively ( Note 10 ). For the three and six months ended June 30, 2019, the Company made distributions to Terra Fund 5 totaling $7.6 million and $15.2 million, respectively, of which $7.6 million and $11.3 million were returns of capital, respectively ( Note 10 ). Due to Manager As of June 30, 2020 and December 31, 2019, approximately $1.9 million and $1.0 million was due to the Manager, respectively, as reflected on the consolidated balance sheets, primarily related to the present value of the disposition fees on individual loans due to the Manager. Merger and Issuance of Common Stock to TIF3 REIT As discussed in Note 3 , on March 1, 2020, TPT2 merged with and into the Company with the Company continuing as the surviving company. In connection with the Merger, the Company issued 2,116,785.76 shares of common stock of the Company to Terra Fund 7, the sole stockholder of TPT2, as consideration in the Merger. In addition, on March 2, 2020, TIF3 REIT contributed cash and released obligations under the participation agreements to the Company ( Note 3 ) in exchange for the issuance of 2,457,684.59 shares of common stock of the Company. As described in Note 3 , Terra Fund 7 contributed the shares of the Company’s common stock received as consideration in the Merger to Terra JV and became a co-managing member of Terra JV pursuant to the JV Agreement. The JV Agreement and related stockholders agreement between Terra JV and the Company, dated March 2, 2020, provide for the joint approval of Terra Fund 5 and Terra Fund 7 with respect to certain major decisions that are taken by Terra JV and the Company. As of June 30, 2020, Terra JV owns 87.4% of the issued and outstanding shares of the Company’s common stock with the remainder held by TIF3 REIT, and Terra Fund 5 and Terra Fund 7 own an 87.6% and 12.4% interest, respectively, in Terra JV. Terra International 3 On September 30, 2019, the Company entered into a Contribution and Repurchase Agreement with Terra International Fund 3, L.P. (“Terra International 3”) and TIF3 REIT, a wholly-owned subsidiary of Terra International 3. Pursuant to this agreement, Terra International 3, through TIF3 REIT, contributed cash in the amount of $3.6 million to the Company in exchange for 212,691 shares of common stock, at a price of $17.02 per share. In addition, Terra International 3 agreed to contribute to the Company future cash proceeds, if any, raised from time to time by it, and the Company agreed to issue shares of common stock to International Fund 3 in exchange for any such future cash proceeds, in each case pursuant to and in accordance with the terms and conditions specified in the agreement. The shares were issued in a private placement in reliance on Section 4(a)(2) of the Securities Act and the rules and regulations promulgated thereunder. Under Cayman securities law, when there is a change in the terms of the offering, previously admitted partners have rights to rescind their subscription. On September 24, 2019, Terra International 3 amended its private placement memorandum to change its term from finite life to perpetual life with limited opportunity for liquidity, as well as to change the selling commission structure and to provide for a dividend reinvestment plan. As a result of the change in the terms of the offering, Terra International 3 received requests to rescind all of the units of its limited partnership interest at a price of $100,000 per unit. On April 29, 2020, the Company repurchased, at a price of $17.02 per share, the 212,691 shares of common stock that the Company had previously sold to TIF3 REIT on September 30, 2019. Terra International 3 honored all of the rescission requests that it had received with proceeds from the repurchase. Participation Agreements In the normal course of business, the Company may enter into participation agreements (“PAs”) with related parties, primarily other affiliated funds managed by the Manager, and to a lesser extent, unrelated parties (the “Participants”). The purpose of the PAs is to allow the Company and an affiliate to originate a specified loan when, individually, the Company does not have the liquidity to do so or to achieve a certain level of portfolio diversification. The Company may transfer portions of its investments to other Participants or it may be a Participant to a loan held by another entity. ASC 860, Transfers and Servicing (“ASC 860”) , establishes accounting and reporting standards for transfers of financial assets. ASC 860-10 provides consistent standards for distinguishing transfers of financial assets that are sales from transfers that are secured borrowings. The Company has determined that the participation agreements it enters into are accounted for as secured borrowings under ASC 860 (See “ Participation interests ” in Note 2 and “ Obligations under Participation Agreements ” in ( Note 7 ). Participation Interests Purchased by the Company The below table lists the loan interests participated in by the Company via PAs as of June 30, 2020 and December 31, 2019. In accordance with the terms of each PA, each Participant’s rights and obligations, as well as the proceeds received from the related borrower/issuer of the loan, are based upon their respective pro rata participation interest in the loan. June 30, 2020 December 31, 2019 Participating Interests Principal Balance Carrying Value Participating Interests Principal Balance Carrying Value LD Milpitas Mezz, LP (1) 25.00% 4,250,000 4,297,989 25.00% 3,120,887 3,150,546 ________________ (1) On June 27, 2018, the Company entered into a participation agreement with Terra Income Fund 6, Inc. (“Terra Fund 6”) to purchase a 25% participation interest, or $4.3 million, in a $17.0 million mezzanine loan. As of June 30, 2020, all of the commitment has been funded. Transfers of Participation Interest by the Company The following tables summarize the loans that were subject to PAs with affiliated entities as of June 30, 2020 and December 31, 2019: Transfers Treated as Obligations Under Participation Agreements as of Principal Balance Carrying Value % Transferred Principal Balance (6) Carrying Value (6) 14th & Alice Street Owner, LLC (5) $ 24,510,905 $ 24,689,333 80.00 % $ 19,608,724 $ 19,689,912 370 Lex Part Deux, LLC (2) 51,037,529 51,094,313 35.00 % 17,863,135 17,863,135 City Gardens 333 LLC (2) 27,449,731 27,461,070 14.00 % 3,842,964 3,844,468 NB Private Capital, LLC (2) 19,670,115 19,837,285 16.67 % 3,282,565 3,310,427 Orange Grove Property Investors, LLC (2) 10,600,000 10,699,082 80.00 % 8,480,000 8,559,225 RS JZ Driggs, LLC (2) 8,200,000 8,276,271 50.00 % 4,100,000 4,138,136 Stonewall Station Mezz LLC (2) 10,010,007 10,097,447 44.00 % 4,404,403 4,442,374 The Bristol at Southport, LLC (5) 23,500,000 23,671,815 21.28 % 5,000,000 5,036,556 TSG-Parcel 1, LLC (2) 18,000,000 18,180,000 11.11 % 2,000,000 2,020,000 Windy Hill PV Five CM, LLC (5) 13,797,643 13,498,117 69.11 % 9,534,957 9,342,286 $ 206,775,930 $ 207,504,733 $ 78,116,748 $ 78,246,519 Transfers Treated as Obligations Under Participation Agreements as of Principal Balance Carrying Value % Transferred Principal Balance (6) Carrying Value (6) 14th & Alice Street Owner, LLC (5) $ 12,932,034 $ 12,957,731 80.00 % $ 10,345,627 $ 10,387,090 2539 Morse, LLC (1)(3)(7) 7,000,000 7,067,422 40.00 % 2,800,001 2,825,519 370 Lex Part Deux, LLC (2)(4)(7) 48,349,948 48,425,659 47.00 % 22,724,476 22,724,476 Austin H. I. Owner LLC (1)(7) 3,500,000 3,531,776 30.00 % 1,050,000 1,059,532 City Gardens 333 LLC (1)(2)(3)(4)(7) 28,049,717 28,056,179 47.00 % 13,182,584 13,184,648 High Pointe Mezzanine Investments, LLC (3)(7) 3,000,000 3,263,285 37.20 % 1,116,000 1,217,160 NB Private Capital, LLC (1)(2)(3)(4)(7) 20,000,000 20,166,610 72.40 % 14,480,392 14,601,021 Orange Grove Property Investors, LLC (2) 10,600,000 10,696,587 80.00 % 8,480,000 8,557,205 RS JZ Driggs, LLC (2) 8,200,000 8,286,629 50.00 % 4,100,000 4,142,264 SparQ Mezz Borrower, LLC (1)(3)(7) 8,700,000 8,783,139 36.81 % 3,202,454 3,231,689 Stonewall Station Mezz LLC (2) 9,792,767 9,875,162 44.00 % 4,308,817 4,344,635 The Bristol at Southport, LLC (1)(3)(4)(7) 23,500,000 23,661,724 42.44 % 9,974,444 10,043,088 TSG-Parcel 1, LLC (1)(2)(7) 18,000,000 18,180,000 37.78 % 6,800,000 6,868,000 $ 201,624,466 $ 202,951,903 $ 102,564,795 $ 103,186,327 ________________ (1) Participant was Terra Secured Income Fund 5 International, an affiliated fund advised by the Manager. (2) Participant is Terra Fund 6, an affiliated fund advised by Terra Income Advisors. (3) Participant was Terra Income Fund International, an affiliated fund advised by the Manager. (4) Participant was TPT2, an affiliated fund managed by the Manager. (5) Participant is a third-party. (6) Amounts transferred may not agree to the proportionate share of the principal balance and fair value due to the rounding of percentage transferred. (7) As discussed in Note 3 , in March 2020, the Company settled an aggregate of $49.8 million of participation interests in loans held by the Company with TPT2 and TIF3 REIT, which TIF3 REIT received from Terra Secured Income Fund 5 International and Terra Income Fund International. In connection with the Merger and the Issuance of Common Stock to TIF3 REIT, the related participation obligations were settled. These investments are held in the name of the Company, but each of the Participant’s rights and obligations, including interest income and other income ( e.g. , exit fee, prepayment income) and related fees/expenses ( e.g. , disposition fees, asset management and asset servicing fees), are based upon their respective pro rata participation interest in such participated investments, as specified in the respective PA. The Participants’ share of the investments is repayable only from the proceeds received from the related borrower/issuer of the investments and, therefore, the Participants also are subject to credit risk ( i.e. , risk of default by the underlying borrower/issuer). Pursuant to the PAs with these entities, the Company receives and allocates the interest income and other related investment income to the Participants based on their respective pro rata participation interest. The Participants pay any expenses, including any fees to the Manager, only on their respective pro rata participation interest, subject to the terms of the respective governing fee arrangements. Co-investment

Debt

Debt	6 Months Ended
	Jun. 30, 2020
Debt Disclosure [Abstract]
Debt Disclosure	Note 8. Debt Repurchase Agreement On December 12, 2018, Terra Mortgage Capital I, LLC (the “Seller”), a special-purpose indirect wholly-owned subsidiary of the Company, entered into an Uncommitted Master Repurchase Agreement (the “Master Repurchase Agreement”) with Goldman Sachs Bank USA (the “Buyer”). The Master Repurchase Agreement provides for advances of up to $150.0 million in the aggregate, which the Company expects to use to finance certain secured performing commercial real estate loans. Advances under the Master Repurchase Agreement accrue interest at a per annum pricing rate equal to the sum of (i) the 30-day LIBOR and (ii) the applicable spread, and have a maturity date of December 12, 2020. The actual terms of financing for each asset will be determined at the time of financing in accordance with the Master Repurchase Agreement. Subject to satisfaction of certain conditions, the Seller may extend the maturity date of the Master Repurchase Agreement for a period of one year. The Master Repurchase Agreement contains margin call provisions that provide the Buyer with certain rights in the event of a decline in the market value of the assets purchased under the Master Repurchase Agreement. Upon the occurrence of a margin deficit event, the Buyer may require the Seller to make a payment to reduce the outstanding obligation to eliminate any margin deficit. During the six months ended June 30, 2020, the Company received a margin call on one of the borrowings and as a result, made a repayment of $3.4 million to reduce the outstanding obligation under the Master Repurchase Agreement. In connection with the Master Repurchase Agreement, the Company entered into a Guarantee Agreement in favor of the Buyer (the “Guarantee Agreement”), pursuant to which the Company will guarantee the obligations of the Seller under the Master Repurchase Agreement. Subject to certain exceptions, the maximum liability under the Master Repurchase Agreement will not exceed 50% of the then currently outstanding repurchase obligations under the Master Repurchase Agreement. Under the Master Repurchase Agreement, on the second anniversary of the closing date and on each anniversary thereafter, the Company is required to pay the Buyer the difference, if positive, between $4.2 million and the interest paid during the immediately preceding 12-month period. The Company currently expects the actual interest paid in calendar year 2020 on borrowings under the Master Repurchase Agreement to be less than $4.2 million. As a result, the Company accrued approximately $0.3 million for the six months ended June 30, 2020 to make up for the difference between the actual interest paid and the $4.2 million. The Master Repurchase Agreement and the Guarantee Agreement contain various representations, warranties, covenants, conditions precedent to funding, events of default and indemnities that are customary for agreements of these types. In addition, the Guarantee Agreement contains financial covenants, which require the Company to maintain: (i) liquidity of at least 10% of the then-current outstanding amount under the Master Repurchase Agreement; (ii) cash liquidity of at least the greater of $5 million or 5% of the then-current outstanding amount under the Master Repurchase Agreement; (iii) tangible net worth at an amount equal to or greater than 75% of the Company’s tangible net worth as of December 12, 2018, plus 75% of new capital contributions thereafter; (iv) an EBITDA to interest expense ratio of not less than 1.50 to 1.00; and (v) a total indebtedness to tangible net worth ratio of not more than 3.00 to 1.00. As of June 30, 2020 and December 31, 2019, the Company is in compliance with these covenants. In connection with entering into the Master Repurchase Agreement, the Company incurred $2.8 million of deferred financing costs, which are being amortized to interest expense over the term of the facility. As of June 30, 2020 and December 31, 2019, unamortized deferred financing costs were $0.8 million and $1.5 million, respectively. The following tables present summary information with respect to the Company’s outstanding borrowing under the Master Repurchase Agreement as of June 30, 2020 and December 31, 2019: June 30, 2020 Arrangement Weighted Average Rate (1) Amount Outstanding Amount Weighted Average Term (2) Master Repurchase Agreement 3.8 % $ 95,356,360 $ 54,643,640 1.47 years December 31, 2019 Arrangement Weighted Average Rate (1) Amount Outstanding Amount Weighted Average Term (2) Master Repurchase Agreement 4.3 % $ 81,134,436 $ 68,865,564 1.55 years _______________ (1) Amount is calculated using LIBOR of 0.16% and 1.76% as of June 30, 2020 and December 31, 2019, respectively. (2) The weighted average term is determined based on the current maturity of the corresponding loan. Each transaction under the facility has its own specific term. The Company may extend the maturity date of the Master Repurchase Agreement for a period of one year, subject to satisfaction of certain conditions. The following tables present detailed information with respect to each borrowing under the Master Repurchase Agreement as of June 30, 2020 and December 31, 2019: June 30, 2020 Collateral Borrowings Under Master Repurchase Agreement Principal Amount Carrying Value Fair Borrowing Date Principal Amount Interest 330 Tryon DE LLC $ 22,800,000 $ 22,896,169 $ 22,898,866 02/15/2019 $ 17,100,000 LIBOR+2.25% (LIBOR floor of 2.52%) 1389 Peachtree St, LP; 45,671,947 45,853,379 45,821,197 3/7/2019 24,448,101 LIBOR+2.35% 2,489,416 LIBOR+3.85% 26,937,517 AGRE DCP Palm Springs, LLC 32,975,680 33,030,797 33,084,469 12/23/2019 19,242,798 LIBOR+2.50% (LIBOR floor of 1.8%) 320,145 LIBOR+4.00% (LIBOR floor of 1.8%) 19,562,943 MSC Fields Peachtree Retreat, LLC 23,308,335 23,442,092 23,108,448 3/25/2019 17,355,900 LIBOR+2.25% (LIBOR floor of 2.00%) Patrick Henry Recovery 18,000,000 18,038,578 17,845,715 1/6/2020 14,400,000 LIBOR + 2.00% (1.5% Floor) $ 142,755,962 $ 143,261,015 $ 142,758,695 $ 95,356,360 December 31, 2019 Collateral Borrowings Under Master Repurchase Agreement Principal Amount Carrying Value Fair Borrowing Date Principal Amount Interest 330 Tryon DE LLC $ 22,800,000 $ 22,891,149 $ 22,906,207 2/15/2019 $ 17,100,000 LIBOR+2.25% (LIBOR floor of 2.49%) 1389 Peachtree St, LP; 38,464,429 38,510,650 38,655,000 3/7/2019 24,040,268 LIBOR+2.35% AGRE DCP Palm Springs, LLC 30,184,357 30,174,455 30,326,076 12/23/2019 22,638,268 LIBOR+2.50% (LIBOR floor of 1.8%) MSC Fields Peachtree Retreat, LLC 23,308,335 23,446,793 23,418,996 3/25/2019 17,355,900 LIBOR+2.25% (LIBOR floor of 2.00%) $ 114,757,121 $ 115,023,047 $ 115,306,279 $ 81,134,436 For the six months ended June 30, 2020 and 2019, the Company borrowed $17.6 million and $47.9 million under the Master Repurchase Agreement, respectively, for the financing of new and follow-on investments. For the six months ended June 30, 2020, the Company made a repayment of $3.4 million as a result of a margin call described above. For the six months ended June 30, 2019, there was no repayment on borrowings under the Master Repurchase Agreement and no margin call. Revolving Credit Facility On June 20, 2019, Terra LOC Portfolio I, LLC, a special-purpose indirect wholly-owned subsidiary of the Company, entered into a credit agreement with Israel Discount Bank of New York to provide for revolving credit loans of up to $35.0 million in the aggregate (“Revolving Credit Facility”), which the Company expects to use for short term financing needed to bridge the timing of anticipated loans repayments and funding obligations. Borrowings under the Revolving Credit Facility can be either prime rate loans or LIBOR rate loans and accrue interest at an annual rate of prime rate plus 1% or LIBOR plus 4% with a floor of 6%. Each loan made under the Revolving Credit Facility shall be in a minimum aggregate principal amount of the lesser of $1.0 million or the then unused amount under the facility and cannot be more than $25.0 million in the aggregate with respect to each asset purchased with the proceeds from the Revolving Credit Facility. The Revolving Credit Facility was scheduled to mature on June 20, 2020. In June and July 2020, the Company amended the Credit Facility twice to extend the maturity of the Credit Facility to September 3, 2020. In connection with obtaining the Revolving Credit Facility, the Company incurred deferred financing costs of $0.3 million, which are being amortized to interest expense over the term of the facility. As of June 30, 2020, the amount outstanding under the Revolving Credit Facility was $35.0 million. The Revolving Credit Facility requires the Company to maintain: (i) an EBITDA to interest expense ratio of not less than 1.00; (ii) cash liquidity of at least $7.0 million; (iii) tangible net worth of at least $200.0 million; and (iii) a total indebtedness to tangible net worth ratio of not more than 1.75 to 1.00. Additionally, the Revolving Credit Facility requires Terra LOC Portfolio I, LLC to maintain a tangible net worth of at least $100.0 million. As of June 30, 2020 and December 31, 2019, both the Company and Terra LOC Portfolio I, LLC are in compliance with these covenants. For the six months ended June 30, 2020, the Company borrowed $35.0 million under the Revolving Credit Facility. There was no outstanding balance on the Revolving Credit Facility for the six months ended June 30, 2019. Mortgage Loan Payable As of June 30, 2020, the Company had a $44.5 million mortgage loan payable collateralized by a multi-tenant office building that the Company acquired through foreclosure. The following table presents certain information about the mortgage loan payable as of June 30, 2020 and December 31, 2019: June 30, 2020 December 31, 2019 Lender Current Maturity Date (1) Principal Amount Carrying Value Carrying Value of Carrying Value Carrying Value of Centennial Bank LIBOR + 3.85% September 27, 2020 $ 44,481,855 $ 44,753,239 $ 51,171,918 $ 44,753,633 $ 52,776,236 _______________ (1) The Company has an option to extend the maturity of the mortgage loan payable by two years subject to certain conditions provided in the credit and security agreement. Scheduled Debt Principal Payments Scheduled debt principal payments for each of the five calendar years following June 30, 2020 are as follows: Years Ending December 31, Total 2020 (July 1 through December 31) $ 174,838,215 2021 — 2022 — 2023 — 2024 — 174,838,215 Unamortized deferred financing costs (513,609) Total $ 174,324,606 At June 30, 2020 and December 31, 2019, the unamortized deferred financing costs were $0.5 million and $1.4 million, respectively. Obligations Under Participation Agreements As discussed in Note 2 , the Company follows the guidance in ASC 860 when accounting for loan participations. Such guidance requires participation interests meet certain criteria in order for the interest transaction to be recorded as a sale. Loan participations from the Company which do not qualify for sale treatment remain on the Company’s consolidated balance sheets and the proceeds are recorded as obligations under participation agreements. As of June 30, 2020 and December 31, 2019, obligations under participation agreements had a carrying value of approximately $78.2 million and $103.2 million, respectively, and the carrying value of the loans that are associated with these obligations under participation agreements was approximately $207.5 million and $203.0 million, respectively, (see “ Participation Agreements ” in Note 7

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2020
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies Disclosure	Note 9. Commitments and Contingencies Impact of COVID-19 As further discussed in Note 2 , the full extent of the impact of COVID-19 on the global economy generally, and the Company’s business in particular, is uncertain. As of June 30, 2020, no contingencies have been recorded on the Company’s consolidated balance sheet as a result of COVID-19, however as the global pandemic continues and the economic implications worsen, it may have long-term impacts on the Company’s financial condition, results of operations, and cash flows. Refer to Note 2 for further discussion of COVID-19. Unfunded Commitments on Loans Held for Investment Certain of the Company’s loans contain provisions for future fundings, which are subject to the borrower meeting certain performance-related metrics that are monitored by the Company. These fundings amounted to approximately $92.7 million and $116.7 million as of June 30, 2020 and December 31, 2019, respectively. The Company expects to maintain sufficient cash on hand to fund such unfunded commitments, primarily through matching these commitments with principal repayments on outstanding loans and proceeds from the Revolving Credit Facility. Other The Company enters into contracts that contain a variety of indemnification provisions. The Company’s maximum exposure under these arrangements is unknown; however, the Company has not had prior claims or losses pursuant to these contracts. The Manager has reviewed the Company’s existing contracts and expects the risk of loss to the Company to be remote. The Company is not currently subject to any material legal proceedings and, to the Company’s knowledge, no material legal proceedings are threatened against the Company. From time to time, the Company may be a party to certain legal proceedings in the ordinary course of business, including proceedings relating to the enforcement of the Company’s rights under contracts with its portfolio companies. While the outcome of any legal proceedings cannot be predicted with certainty, the Company does not expect that any such proceedings will have a material adverse effect upon its financial condition or results of operations. See Note 7 for a discussion of the Company’s commitments to the Manager.

Equity

Equity	6 Months Ended
	Jun. 30, 2020
Equity [Abstract]
Stockholders' Equity Note Disclosure [Text Block]	Note 10. Equity Earnings Per Share The following table presents earnings per share for the three and six months ended June 30, 2020 and June 30, 2019: Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Net income (loss) $ 2,646,042 $ (153,485) $ 3,225,005 $ 3,769,390 Preferred stock dividend declared (3,906) (3,906) (7,812) (7,812) Net income (loss) allocable to common stock $ 2,642,136 $ (157,391) $ 3,217,193 $ 3,761,578 Weighted-average shares outstanding - basic 19,555,241 14,912,990 18,131,260 14,912,990 Earnings (loss) per share - basic and diluted $ 0.14 $ (0.01) $ 0.18 $ 0.25 Preferred Stock Classes Preferred Stock The Company’s charter gives it authority to issue 50,000,000 shares of preferred stock, $0.01 par value per share (“Preferred Stock”). The Company’s board of directors may classify any unissued shares of Preferred Stock and reclassify any previously classified but unissued shares of Preferred Stock of any series from time to time, into one or more classes or series of stock. As of June 30, 2020 and December 31, 2019, there were no Preferred Stock issued or outstanding. Series A Preferred Stock On November 30, 2016, the Company’s board of directors classified and designated 125 shares of preferred stock as a separate class of preferred stock to be known as the 12.5% Series A Redeemable Cumulative Preferred Stock, $1,000 liquidation value per share (“Series A Preferred Stock”). In December 2016, the Company sold 125 shares of the Series A Preferred Stock for $125,000. The Series A Preferred Stock pays dividends at an annual rate of 12.5% of the liquidation preference. These dividends are cumulative and payable semi-annually in arrears on June 30 and December 31 of each year. The Series A Preferred Stock, with respect to dividend rights and rights upon liquidation, dissolution or winding up of the Company, rank senior to common stock. The Company, at its option, may redeem the shares, with written notice, at a redemption price of $1,000 per share, plus any accrued unpaid distribution through the date of the redemption. The Series A Preferred Stock carries a redemption premium of $50 per share if redeemed prior to January 1, 2019. The Series A Preferred Stock generally has no voting rights. However, the Series A Preferred Stock holders’ voting is required if (i) authorization or issuance of any securities senior to the Series A Preferred Stock; (ii) an amendment to the Company’s charter that has a material adverse effect on the rights and preference of the Series A Preferred Stock; and (iii) any reclassification of the Series A Preferred Stock. Common Stock As discussed in Note 3 , on March 1, 2020, TPT2 merged with and into the Company with the Company continuing as the surviving corporation. In connection with the Merger, the Company issued 2,116,785.76 shares of common stock of the Company to Terra Fund 7, the sole stockholder of TPT2, as consideration in the Merger. In addition, on March 2, 2020, the Company issued 2,457,684.59 shares of common stock of the Company in exchange for the settlement of certain participation interests in loans held by the Company and cash. As described in Note 3 , Terra Fund 7 contributed the shares of the Company’s common stock received as consideration in the Merger to Terra JV and became a co-managing member of Terra JV pursuant to the JV Agreement. The JV Agreement and related stockholders agreement between Terra JV and the Company, dated March 2, 2020, provide for the joint approval of Terra Fund 5 and Terra Fund 7 with respect to certain major decisions that are taken by Terra JV and the Company. As of June 30, 2020, Terra JV owns 87.4% of the issued and outstanding shares of the Company’s common stock with the remainder held by TIF3 REIT, and Terra Fund 5 and Terra Fund 7 own an 87.6% and 12.4% interest, respectively, in Terra JV. On September 30, 2019, the Company issued 212,691 shares of its common stock to TIF3 REIT at a price of $17.02 per share for total proceeds of $3.6 million. On April 29, 2020, the Company repurchased, at a price of $17.02 per share, the 212,691 shares it previously sold to TIF3 REIT ( Note 7 ). Distributions The Company generally intends to distribute substantially all of its taxable income, which does not necessarily equal net income as calculated in accordance with U.S. GAAP, to its stockholders each year to comply with the REIT provisions of the Internal Revenue Code. All distributions will be made at the discretion of the Company’s board of directors and will depend upon its taxable income, financial condition, maintenance of REIT status, applicable law, and other factors as its board of directors deems relevant.

Subsequent Events

Subsequent Events	6 Months Ended
	Jun. 30, 2020
Subsequent Events [Abstract]
Subsequent Events	Note 11. Subsequent Events Management has evaluated subsequent events through the date the consolidated financial statements were available to be issued. Management has determined that there are no material events that would require adjustment to, or disclosure in, the Company’s consolidated financial statements.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2020
Accounting Policies [Abstract]
Consolidation	Basis of Presentation and Principles of Consolidation        The interim consolidated financial statements have been prepared in accordance with United States generally accepted accounting principles (“U.S. GAAP”) and include all of the Company’s accounts and those of its consolidated subsidiaries. The accompanying interim financial statements of the Company and related financial information have been prepared pursuant to the requirements for reporting on Form 10-Q and Articles 6 or 10 of Regulation S-X. All intercompany balances and transactions have been eliminated.
Finance Receivable Policy	Loans Held for Investment The Company originates, acquires, and structures real estate-related loans generally to be held to maturity. Loans held for investment are carried at the principal amount outstanding, adjusted for the accretion of discounts on investments and exit fees, and the amortization of premiums on investments and origination fees. The Company’s preferred equity investments, which are economically similar to mezzanine loans and subordinate to any loans but senior to common equity, are accounted for as loans held for investment. Loans are carried at cost less allowance for loan losses.
Allowance for Loan Losses Policy	Allowance for Loan Losses The Company’s loans are typically collateralized by either the sponsors’ equity interest in the real estate properties or the underlying real estate properties. As a result, the Company regularly evaluates the extent and impact of any credit migration associated with the performance and/or value of the underlying collateral property as well as the financial and operating capability of the borrower/sponsor on a loan-by-loan basis. Specifically, a property’s operating results and any cash reserves are analyzed and used to assess (i) whether cash from operations and/or reserve balances are sufficient to cover the debt service requirements currently and into the future; (ii) the ability of the borrower to refinance the loan; and/or (iii) the property’s liquidation value. The Company also evaluates the financial wherewithal of the sponsor as well as its competency in managing and operating the real estate property. In addition, the Company considers the overall economic environment, real estate sector, and geographic sub-market in which the borrower operates. Such analyses are completed and reviewed by asset management and finance personnel, who utilize various data sources, including (i) periodic financial data such as debt service coverage ratio, property occupancy, tenant profile, rental rates, operating expenses, the borrower’s exit plan, the capitalization and discount rates; (ii) site inspections; and (iii) current credit spreads and discussions with market participants. The Manager performs a quarterly evaluation for possible impairment of the Company’s portfolio of loans. A loan is impaired if it is deemed probable that the Company will not be able to collect all amounts due according to the contractual terms of the loan. Impairment is measured based on the present value of expected future cash flows or the fair value of the collateral, if the loan is collateral dependent. Upon measurement of impairment, the Company records an allowance to reduce the carrying value of the loan with a corresponding charge to net income. In conjunction with the quarterly evaluation of loans not considered impaired, the Manager assesses the risk factors of each loan and assigns each loan a risk rating between 1 and 5, which is an average of the numerical ratings in the following categories: (i) sponsor capability and financial condition; (ii) loan and collateral performance relative to underwriting; (iii) quality and stability of collateral cash flows and/or reserve balances; and (iv) loan to value. Based on a 5-point scale, the Company’s loans are rated “1” through “5”, from less risk to greater risk, as follows: Risk Rating Description 1 Very low risk 2 Low risk 3 Moderate/average risk 4 Higher risk 5 Highest risk The Company records an allowance for loan losses equal to (i) 1.5% of the aggregate carrying amount of loans rated as a “4”, plus (ii) 5% of the aggregate carrying amount of loans rated as a “5”, plus (iii) impaired loan reserves, if any. There may be circumstances where the Company modifies a loan by granting the borrower a concession that it might not otherwise consider when a borrower is experiencing financial difficulty or is expected to experience financial difficulty in the foreseeable future. Such concessionary modifications are classified as troubled debt restructurings (“TDR”s) unless the modification solely results in a delay in a payment that is insignificant. Loans classified as TDRs are considered impaired loans for reporting and measurement purposes.
Marketable Securities Policy	Marketable Securities        The Company from time to time invests in short term debt and equity securities. These securities are classified as available-for-sale and are carried at fair value. Changes in the fair value of equity securities are recognized in earnings. Changes in the fair value of debt securities are reported in other comprehensive income until a gain or loss on the securities is realized.
Real Estate Owned	Real Estate Owned, Net Real estate acquired is recorded at its estimated fair value at acquisition and is shown net of accumulated depreciation and impairment charges. Acquisition of properties generally are accounted for as asset acquisitions. Under asset acquisition accounting, the costs to acquire real estate, including transaction costs, are accumulated and then allocated to individual assets and liabilities acquired based upon their relative fair value. The Company allocates the purchase price of its real estate acquisitions to land, building, tenant improvements, acquired in-place leases, intangibles for the value of any above or below market leases at fair value and to any other identified intangible assets or liabilities. The Company amortizes the value allocated to in-place leases over the remaining lease term, which is reported in depreciation and amortization expense on its consolidated statements of operations. The value allocated to above or below market leases are amortized over the remaining lease term as an adjustment to rental income. Real estate assets are depreciated using the straight-line method over their estimated useful lives: buildings and improvements - not to exceed 40 years, and tenant improvements - shorter of the lease term or life of the asset. Ordinary repairs and maintenance which are not reimbursed by the tenants are expensed as incurred. Major replacements and betterments which improve or extend the life of the asset are capitalized and depreciated over their estimated useful life.
Lessee, Leases Policy	Leases The Company determines if an arrangement is a lease at inception. Operating leases in which the Company is the lessee are included in operating lease right-of-use (“ROU”) assets and operating lease liabilities in the consolidated balance sheets. ROU assets represent the Company’s right to use an underlying asset for the lease term and lease liabilities represent its obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. As the Company’s lease typically does not provide an implicit rate, the Company uses its incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. The Company uses the implicit rate when readily determinable. The operating lease ROU asset also includes any lease payments made in advance and excludes lease incentives if there were any. The Company’s lease term may include options to extend or terminate the lease when it is reasonably certain that it will exercise that option. Lease expense for lease payments is recognized on a straight-line basis over the lease term.
Revenue Recognition	Revenue Recognition Revenue is recognized to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. Interest Income: Interest income is accrued based upon the outstanding principal amount and contractual terms of the loans and preferred equity investments that the Company expects to collect and it is accrued and recorded on a daily basis. Discounts and premiums on investments purchased are accreted or amortized over the expected life of the respective loan using the effective yield method, and are included in interest income in the consolidated statements of operations. Loan origination fees and exit fees, net of portions attributable to obligations under participation agreements, are capitalized and amortized or accreted to interest income over the life of the investment using the effective interest method. Income accrual is generally suspended for loans at the earlier of the date at which payments become 90 days past due or when, in the opinion of the Manager, recovery of income and principal becomes doubtful. Outstanding interest receivable is assessed for recoverability. Interest is then recorded on the basis of cash received until accrual is resumed when the loan becomes contractually current and performance is demonstrated to be resumed. Interest payments received on non-accrual loans may be recognized as income or applied to principal depending upon management’s judgment regarding collectability. The Company holds loans in its portfolio that contain paid-in-kind (“PIK”) interest provisions. The PIK interest, which represents contractually deferred interest that is added to the principal balance that is due at maturity, is recorded on the accrual basis. Real Estate Operating Revenues: Real estate operating revenue is derived from leasing of space to various types of tenants. The leases are for fixed terms of varying length and generally provide for annual rent increases and expense reimbursements to be paid in monthly installments. Lease revenue, or rental income from leases, is recognized on a straight-line basis over the term of the respective leases. Additionally, the Company recorded above- and below-market lease intangibles, which are included in real estate owned, net, in connection with the acquisition of the real estate properties. These intangible assets and liabilities are amortized to lease revenue over the remaining contractual lease term. Other Revenues: Prepayment fee income is recognized as prepayments occur. All other income is recognized when earned.
Cash and Cash Equivalents, Restricted Cash and Cash Equivalents	Cash, Cash Equivalents and Restricted Cash The Company considers all highly liquid investments, with original maturities of ninety days or less when purchased, as cash equivalents. Cash and cash equivalents are exposed to concentrations of credit risk. The Company maintains all of its cash at financial institutions which, at times, may exceed the amount insured by the Federal Deposit Insurance Corporation. Restricted cash represents cash held as additional collateral by the Company on behalf of the borrowers related to the investments in loans or preferred equity instruments for the purpose of such borrowers making interest and property-related operating payments. Restricted cash is not available for general corporate purposes. The related liability is recorded in “ Interest reserve and other deposits held on investments ” on the consolidated balance sheets. Cash held in escrow by lender represents amounts funded to an escrow account for debt services and tenant improvements. The following table provides a reconciliation of cash, cash equivalents and restricted cash in the Company’s consolidated balance sheets to the total amount shown in its consolidated statements of cash flows: June 30, 2020 June 30, 2019 Cash and cash equivalents $ 82,553,933 $ 18,334,372 Restricted cash 18,459,391 19,630,350 Cash held in escrow by lender 1,931,976 2,089,498 Total cash, cash equivalents and restricted cash shown in the consolidated $ 102,945,300 $ 40,054,220
Participation Interests	Participation Interests Loan participations from the Company which do not qualify for sale treatment remain on the Company’s consolidated balance sheets and the proceeds are recorded as obligations under participation agreements. For the investments for which participation has been granted, the interest earned on the entire loan balance is recorded within “ Interest income ” and the interest related to the participation interest is recorded within “ Interest expense from obligations under participation agreements ” in the consolidated statements of operations. Interest expense from obligations under participation agreement is reversed when recovery of interest income on the related loan becomes doubtful. See “ Obligations under Participation Agreements ” in Note 8 for additional information.
Repurchase Agreements	Repurchase Agreement  The Company finances certain of its senior loans through repurchase transactions under a master repurchase agreement. The Company accounts for the repurchase transactions as secured borrowing transactions, which are carried at their contractual amounts (cost), net of unamortized deferred financing fees.
Fair Value Measurement Policy	Fair Value Measurements U.S. GAAP establishes market-based or observable inputs as the preferred source of values, followed by valuation models using management assumptions in the absence of market inputs. The Company has not elected the fair value option for its financial instruments, including loans held for investment, loans held for investment acquired through participation, obligations under participation agreements, mortgage loan payable, repurchase agreement payable and revolving credit facility payable. Such financial instruments are carried at cost, less impairment, where applicable. Marketable securities are financial instruments that are reported at fair value. Fair Value Measurement (“ASC 820”), which defines fair value, establishes a framework for measuring fair value, and expands disclosures about fair value measurements. ASC 820 established a fair value hierarchy that prioritizes and ranks the level of market price observability used in measuring investments at fair value. Market price observability is impacted by a number of factors, including the type of investment, the characteristics specific to the investment, and the state of the marketplace (including the existence and transparency of transactions between market participants). Investments with readily available, actively quoted prices or for which fair value can be measured from actively quoted prices in an orderly market will generally have a higher degree of market price observability and a lesser degree of judgment used in measuring fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). Investments measured and reported at fair value are classified and disclosed into one of the following categories based on the inputs as follows: Level 1 — Quoted prices (unadjusted) in active markets for identical assets and liabilities that the Company has the ability to access. Level 2 — Pricing inputs are other than quoted prices in active markets, including, but not limited to, quoted prices for similar assets and liabilities in markets that are active, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the assets or liabilities (such as interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and default rates) or other market corroborated inputs. Level 3 — Significant unobservable inputs are based on the best information available in the circumstances, to the extent observable inputs are not available, including the Company’s own assumptions used in determining the fair value of investments. Fair value for these investments are determined using valuation methodologies that consider a range of factors, including but not limited to the price at which the investment was acquired, the nature of the investment, local market conditions, trading values on public exchanges for comparable securities, current and projected operating performance, and financing transactions subsequent to the acquisition of the investment. The inputs into the determination of fair value require significant management judgment. In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, an investment’s level within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. The Company’s assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment, and considers factors specific to the investment. As of June 30, 2020 and December 31, 2019, the Company has not elected the fair value option for its financial instruments, including loans held for investment, loans held for investment acquired through participation, obligations under participation agreements, mortgage loan payable, repurchase agreement payable and revolving credit facility payable. Such financial instruments are carried at cost, less impairment, where applicable. Marketable securities are financial instruments that are reported at fair value.
Deferred Financing Costs Policy	Deferred Financing Costs        Deferred financing costs represent fees and expenses incurred in connection with obtaining financing for investments. These costs are presented in the consolidated balance sheets as a direct deduction of the debt liability to which the costs pertain. These costs are amortized using the effective interest method and are included in interest expense on the applicable borrowings in the consolidated statements of operations over the life of the borrowings.
Income Tax Policy	Income Taxes The Company has elected to be taxed as a REIT under Sections 856 through 860 of the Internal Revenue Code commencing with the taxable year ended December 31, 2016. In order to qualify as a REIT, the Company is required, among other things, to distribute at least 90% of its REIT net taxable income to the stockholders and meet certain tests regarding the nature of its income and assets. As a REIT, the Company is not subject to federal income taxes on income and gains distributed to the stockholders as long as certain requirements are satisfied, principally relating to the nature of income and the level of distributions, as well as other factors. If the Company fails to continue to qualify as a REIT in any taxable year and does not qualify for certain statutory relief provisions, the Company will be subject to U.S. federal and state income taxes at regular corporate rates (including any applicable alternative minimum tax for taxable years before 2018) beginning with the year in which it fails to qualify and may be precluded from being able to elect to be treated as a REIT for the Company’s four subsequent taxable years. Any gains from the sale of foreclosed properties within two years are subject to U.S. federal and state income taxes at regular corporate rates. As of June 30, 2020, the Company has satisfied all the requirements for a REIT. No provision for federal income taxes has been included in the consolidated financial statements for the three and six months ended June 30, 2020 and 2019. The Company did not have any uncertain tax positions that met the recognition or measurement criteria of Accounting Standards Codification (“ASC”) 740-10-25, Income Taxes
Earnings Per Share Policy	Earnings Per Share The Company has a simple equity capital structure with only common stock and preferred stock outstanding. As a result, earnings per share, as presented, represent both basic and dilutive per-share amounts for the periods presented in the consolidated financial statements. Income per basic share of common stock is calculated by dividing net income allocable to common stock by the weighted-average number of shares of common stock issued and outstanding during such period.
Use of Estimates Policy	Use of Estimates The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. During the first half of 2020, there was a global outbreak of a novel coronavirus (“COVID-19”), which has spread to over 200 countries and territories, including the United States, and has spread to every state in the United States. The World Health Organization has designated COVID-19 as a pandemic, and numerous countries, including the United States, have declared national emergencies with respect to COVID-19. The global impact of the outbreak has been rapidly evolving, and as cases of COVID-19 have continued to be identified in additional countries, many countries have reacted by instituting quarantines and restrictions on travel, closing financial markets and/or restricting trading and operations of non-essential offices and retail centers. Such actions are creating disruption in global supply chains, and adversely impacting many industries. The outbreak could have a continued adverse impact on economic and market conditions and trigger a period of global economic slowdown. The rapid development and fluidity of this situation precludes any prediction as to the ultimate adverse impact of COVID-19 on economic and market conditions. The Company believes the estimates and assumptions underlying its consolidated financial statements are reasonable and supportable based on the information available as of June 30, 2020, however uncertainty over the ultimate impact COVID-19 will have on the global economy generally, and the Company’s business in particular, makes any estimates and assumptions as of June 30, 2020 inherently less certain than they would be absent the current and potential impacts of COVID-19. Actual results may ultimately differ from those estimates.
Segment Reporting Policy	Segment Information        The Company’s primary business is originating, acquiring and structuring real estate-related loans related to high quality commercial real estate. From time to time, the Company may acquire real estate encumbering the senior loans through foreclosure. However, management treats the operations of the real estate acquired through foreclosure as the continuation of the original senior loans. The Company operates in a single segment focused on mezzanine loans, other loans and preferred equity investments, and to a lesser extent, owning and managing real estate.
New Accounting Pronouncements Policy	Recent Accounting Pronouncements In June 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-13, Financial Instruments — Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”). ASU 2016-13 introduces a new model for recognizing credit losses on financial instruments based on an estimate of current expected credit losses. In April 2019, the FASB issued additional amendments to clarify the scope of ASU 2016-13 and address issues related to accrued interest receivable balances, recoveries, variable interest rates and prepayments, among other things. In May 2019, the FASB issued ASU 2019-05 — Targeted Transition Relief, which provides an option to irrevocably elect the fair value option for certain financial assets previously measured at amortized cost basis. In October 2019, the FASB decided that for smaller reporting companies, ASU 2016-13 and related amendments will be effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. The Company meets the definition of a smaller reporting company under the regulation of the Securities and Exchange Commission. As such, the Company will adopt this ASU and related amendments on January 1, 2023. Management is currently evaluating the impact this change will have on the Company’s consolidated financial statements and disclosures. In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820): Disclosure framework — Changes to the Disclosure Requirements for Fair Value Measurement (“ASU 2018-13”). The objective of ASU 2018-13 is to improve the effectiveness of disclosures in the notes to financial statements by facilitating clear communication of information required by U.S. GAAP. The amendments in ASU 2018-13 added, removed and modified certain fair value measurement disclosure requirements. ASU 2018-13 is effective for all entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. The amendments on changes in unrealized gains and losses, the range and weighted average of significant unobservable inputs used to develop Level 3 fair value measurements, and the narrative description of measurement uncertainty should be applied prospectively for only the most recent interim or annual period presented in the initial fiscal year of adoption. All other amendments should be applied retrospectively to all periods presented upon their effective date. The Company adopted ASU 2018-13 on January 1, 2020. The adoption of ASU 2018-13 did not have a material impact on its consolidated financial statements and disclosures. London Interbank Offered Rate (“LIBOR”) is a benchmark interest rate referenced in a variety of agreements that are used by all types of entities. At the end of 2021, banks will no longer be required to report information that is used to determine LIBOR. As a result, LIBOR could be discontinued. Other interest rates used globally could also be discontinued for similar reasons. In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848) — Facilitation of the Effects of Reference Rate Reform on Financial Reporting (“ASU 2020-04”). The amendments in ASU 2020-04 provide companies with optional guidance to ease the potential accounting burden associated with transitioning away from reference rates that are expected to be discontinued. The provisions of optional relief include: (i) contract modifications - account for the modification as a continuation of the existing contract without additional analysis; (ii) hedging accounting - continue hedge accounting when certain critical terms of a hedging relationship change; and (iii) held-to-maturity (HTM) debt securities - one-time sale and/or transfer to available for sale or trading may be made for HTM debt securities that both reference an eligible reference rate and were classified as HTM before January 1, 2020. Companies can apply the amendments in ASU 2020-04 immediately. However, ASU 2020-04 will only be available for a limited time (generally through December 31, 2022). The Company is currently evaluating the impact of the reference rate reform and ASU 2020-04 on its consolidated financial statements and disclosures.

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Tables)	6 Months Ended
	Jun. 30, 2020
Accounting Policies [Abstract]
Cash, Cash Equivalents and Investments [Table Text Block]	The following table provides a reconciliation of cash, cash equivalents and restricted cash in the Company’s consolidated balance sheets to the total amount shown in its consolidated statements of cash flows: June 30, 2020 June 30, 2019 Cash and cash equivalents $ 82,553,933 $ 18,334,372 Restricted cash 18,459,391 19,630,350 Cash held in escrow by lender 1,931,976 2,089,498 Total cash, cash equivalents and restricted cash shown in the consolidated $ 102,945,300 $ 40,054,220

Merger and Asset Contribution (

Merger and Asset Contribution (Tables)	6 Months Ended
	Jun. 30, 2020
Business Combinations [Abstract]
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed [Table Text Block]	Total Consideration Equity issued in the Merger $ 34,630,615 $ 34,630,615 Net Assets of TPT2 Received in the Merger Loans held for investment acquired through participation $ 17,688,741 Cash and cash equivalents 16,897,074 Interest receivable 134,543 Other assets 18,384 Accounts payable and accrued expenses (57,433) Due to Manager (50,694) Total identifiable net assets $ 34,630,615 Total Consideration Equity issued to TIF3 REIT $ 40,749,378 $ 40,749,378 Net Assets of TIF3 REIT Received Investments through participation interest, at fair value $ 32,112,257 Cash and cash equivalents 8,600,000 Interest receivable 270,947 Due to Manager (233,826) Total identifiable net assets $ 40,749,378

Loans Held for Investment (Tabl

Loans Held for Investment (Tables)	6 Months Ended
	Jun. 30, 2020
Receivables [Abstract]
Summary Investment Holdings	Portfolio Summary The following table provides a summary of the Company’s loan portfolio as of June 30, 2020 and December 31, 2019: June 30, 2020 December 31, 2019 Fixed Rate Floating Rate (1)(2)(3) Total Fixed Rate Floating Rate (1)(2)(3) Total Number of loans 9 13 22 8 15 23 Principal balance $ 101,693,122 $ 312,410,817 $ 414,103,939 $ 70,692,767 $ 306,695,550 $ 377,388,317 Carrying value $ 102,402,613 $ 312,045,669 $ 414,448,282 $ 71,469,137 $ 307,143,631 $ 378,612,768 Fair value $ 102,651,392 $ 310,024,461 $ 412,675,853 $ 71,516,432 $ 307,643,983 $ 379,160,415 Weighted-average coupon rate 10.29 % 8.91 % 9.25 % 11.93 % 9.13 % 9.65 % Weighted-average remaining 1.33 1.92 1.77 2.28 2.09 2.13 _______________ (1) These loans pay a coupon rate of LIBOR plus a fixed spread. Coupon rate shown was determined using LIBOR of 0.16% and 1.76% as of June 30, 2020 and December 31, 2019, respectively. (2) As of June 30, 2020 and December 31, 2019, amounts included $142.8 million and $114.8 million, respectively, of senior mortgages used as collateral for $95.4 million and $81.1 million, respectively, of borrowings under a repurchase agreement ( Note 8 ). These borrowings bear interest at an annual rate of LIBOR plus a spread ranging from 2.00% to 2.50% as of June 30, 2020 and LIBOR plus a spread ranging from 2.25% to 2.50% as of December 31, 2019. (3) As of June 30, 2020 and December 31, 2019, eleven and twelve of these loans, respectively, are subject to a LIBOR floor. Lending Activities The following table presents the activities of the Company’s loan portfolio for the six months ended June 30, 2020 and 2019: Loans Held for Investment Loans Held for Investment through Participation Interests Total Balance, January 1, 2020 $ 375,462,222 $ 3,150,546 $ 378,612,768 New loans made 53,213,376 1,129,112 54,342,488 Principal repayments received (18,990,175) — (18,990,175) PIK interest (1) 1,363,310 — 1,363,310 Net amortization of premiums on loans (30,696) — (30,696) Accrual, payment and accretion of investment-related fees and other, 446,550 18,331 464,881 Provision for loan losses (1,314,294) — (1,314,294) Balance, June 30, 2020 $ 410,150,293 $ 4,297,989 $ 414,448,282 Loans Held for Investment Loans Held for Investment through Participation Interests Total Balance, January 1, 2019 $ 388,243,974 $ — $ 388,243,974 New loans made 84,588,421 746,152 85,334,573 Principal repayments received (70,136,722) — (70,136,722) Foreclosure of collateral (2) (14,325,000) — (14,325,000) PIK interest (1) 1,766,213 — 1,766,213 Net amortization of premiums on loans (73,730) — (73,730) Accrual, payment and accretion of investment-related fees, net (3) (1,005,797) (15,703) (1,021,500) Balance, June 30, 2019 $ 389,057,359 $ 730,449 $ 389,787,808 _______________ (1) Certain loans in the Company’s portfolio contain PIK interest provisions. The PIK interest represents contractually deferred interest that is added to the principal balance. PIK interest related to obligations under participation agreements amounted to $0.6 million and $0.4 million for the six months ended June 30, 2020 and 2019, respectively. (2) On January 9, 2019, the Company acquired 4.9 acres of adjacent land encumbering a $14.3 million first mortgage via deed in lieu of foreclosure in exchange for the relief of the first mortgage and related fees and expenses ( Note 5 ). (3) Amount for the six months ended June 30, 2019 included $0.5 million of deferred origination fees that were previously recorded as unearned income.
Schedule of Accounts, Notes, Loans and Financing Receivable	The tables below detail the types of loans in the Company’s loan portfolio, as well as the property type and geographic location of the properties securing these loans as of June 30, 2020 and December 31, 2019: June 30, 2020 December 31, 2019 Loan Structure Principal Balance Carrying Value % of Total Principal Balance Carrying Value % of Total First mortgages $ 222,314,510 $ 222,901,117 53.8 % $ 178,130,623 $ 178,203,675 47.1 % Preferred equity investments 155,216,422 155,798,883 37.6 % 157,144,040 157,737,763 41.6 % Mezzanine loans 36,573,007 37,062,576 8.9 % 42,113,654 42,671,330 11.3 % Allowance for loan losses — (1,314,294) (0.3) % — — — % Total $ 414,103,939 $ 414,448,282 100.0 % $ 377,388,317 $ 378,612,768 100.0 % June 30, 2020 December 31, 2019 Property Type Principal Balance Carrying Value % of Total Principal Balance Carrying Value % of Total Office $ 151,307,119 $ 151,380,556 36.5 % $ 142,055,845 $ 141,870,355 37.5 % Multifamily 115,668,971 116,325,996 28.1 % 76,640,369 77,136,016 20.4 % Student housing 45,920,115 46,343,726 11.2 % 58,049,717 58,553,496 15.5 % Hotel 50,848,687 51,074,169 12.3 % 46,598,011 46,731,939 12.3 % Infill land 32,759,047 32,939,047 7.9 % 36,444,375 36,624,375 9.7 % Condominium 10,600,000 10,699,082 2.6 % 10,600,000 10,696,587 2.8 % Industrial 7,000,000 7,000,000 1.7 % 7,000,000 7,000,000 1.8 % Allowance for loan losses — (1,314,294) (0.3) % — — — % Total $ 414,103,939 $ 414,448,282 100.0 % $ 377,388,317 $ 378,612,768 100.0 % June 30, 2020 December 31, 2019 Geographic Location Principal Balance Carrying Value % of Total Principal Balance Carrying Value % of Total United States California $ 186,233,959 $ 186,692,977 45.0 % $ 150,988,463 $ 151,108,109 39.9 % New York 73,996,576 74,129,631 17.9 % 79,734,323 79,896,663 21.1 % Georgia 68,980,282 69,295,471 16.7 % 61,772,764 61,957,443 16.4 % North Carolina 32,810,007 32,993,616 8.0 % 32,592,767 32,766,311 8.7 % Washington 23,500,000 23,671,815 5.7 % 23,500,000 23,661,724 6.2 % Massachusetts 7,000,000 7,000,000 1.7 % 7,000,000 7,000,000 1.8 % Texas 3,613,000 3,647,936 0.9 % 3,500,000 3,531,776 0.9 % Illinois 3,404,877 3,433,814 0.8 % 8,004,877 8,071,562 2.1 % Kansas 3,098,139 3,124,469 0.8 % 6,200,000 6,251,649 1.7 % Other (1) 11,467,099 11,772,847 2.8 % 4,095,123 4,367,531 1.2 % Allowance for loan losses — (1,314,294) (0.3) % — — — % Total $ 414,103,939 $ 414,448,282 100.0 % $ 377,388,317 $ 378,612,768 100.0 % _______________ (1) Other includes $8.5 million and $1.1 million of the unused portion of a credit facility at June 30, 2020 and December 31, 2019, respectively. Other also includes a $3.0 million loan with collateral located in South Carolina at both June 30, 2020 and December 31, 2019. June 30, 2020 December 31, 2019 Loan Risk Rating Number of Loans Principal Balance Carrying Value % of Total Number of Loans Principal Balance Carrying Value % of Total 1 0 $ — $ — — % — $ — $ — — % 2 2 25,000,000 25,180,000 6.1 % 5 50,000,000 50,284,751 13.3 % 3 15 301,484,356 302,707,562 72.8 % 17 322,648,317 323,588,017 85.4 % 4 (1) 5 87,619,583 87,875,014 21.1 % — — — — % 5 0 — — — % — — — — % Other (2) 0 — — — % 1 4,740,000 4,740,000 1.3 % 22 $ 414,103,939 415,762,576 100.0 % 23 $ 377,388,317 378,612,768 100.0 % Allowance for loan losses (1,314,294) — Total, net of allowance for loan losses $ 414,448,282 $ 378,612,768 _______________ (1) The increase in number of loans with a loan risk rating of “4” was due to the higher risk in loans collateralized by hospitality and select other asset classes that are particularly negatively impacted by the COVID-19 pandemic. (2) This loan was deemed impaired and removed from the pool of loans on which a general allowance is calculated. As of December 31, 2019, no specific reserve for loan losses was recorded on this loan because the fair value of the collateral was greater than carrying value of the loan. In March 2020, this loan was repaid in full.
Financing Receivable, Allowance for Credit Loss	The following table presents the activity in the Company’s allowance for loan losses for the six months ended June 30, 2020 and 2019: Six Months Ended June 30, 2020 2019 Allowance for loan losses, beginning of period $ — $ — Provision for loan losses 1,314,294 — Charge-offs — — Recoveries — — Allowance for loan losses, end of period $ 1,314,294 $ —

Real Estate Owned, Net (Tables)

Real Estate Owned, Net (Tables)	6 Months Ended
	Jun. 30, 2020
Real Estate [Abstract]
Real Estate Investment Financial Statements, Disclosure [Table Text Block]	The following table summarizes the carrying value of the first mortgage prior to the deed in lieu of foreclosure on January 9, 2019: Carrying Value of First Mortgage Loan held for investment $ 14,325,000 Interest receivable 439,300 Restricted cash applied against loan principal amount (60,941) $ 14,703,359 The table below summarizes the allocation of the estimated fair value of the real estate acquired on January 9, 2019 based on the policy described in Note 2 : Assets Acquired Real estate owned: Land $ 14,703,359
Schedule of Real Estate Properties [Table Text Block]	The following table presents the components of real estate owned, net: June 30, 2020 December 31, 2019 Cost Accumulated Depreciation/Amortization Net Cost Accumulated Depreciation/Amortization Net Real estate: Land $ 13,395,430 $ — $ 13,395,430 $ 13,395,430 $ — $ 13,395,430 Building and building 51,725,969 (2,478,562) 49,247,407 51,725,969 (1,831,980) 49,893,989 Tenant improvements 1,854,640 (531,451) 1,323,189 1,854,640 (392,812) 1,461,828 Total real estate 66,976,039 (3,010,013) 63,966,026 66,976,039 (2,224,792) 64,751,247 Lease intangible assets: In-place lease 15,852,232 (4,246,443) 11,605,789 15,852,232 (3,138,675) 12,713,557 Above-market rent 156,542 (33,649) 122,893 156,542 (24,871) 131,671 Total intangible assets 16,008,774 (4,280,092) 11,728,682 16,008,774 (3,163,546) 12,845,228 Lease intangible liabilities: Below-market rent (3,371,314) 890,390 (2,480,924) (3,371,314) 658,115 (2,713,199) Above-market ground lease (8,896,270) 249,834 (8,646,436) (8,896,270) 184,660 (8,711,610) Total intangible liabilities (12,267,584) 1,140,224 (11,127,360) (12,267,584) 842,775 (11,424,809) Total real estate $ 70,717,229 $ (6,149,881) $ 64,567,348 $ 70,717,229 $ (4,545,563) $ 66,171,666 Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Real estate operating revenues: Lease revenue $ 1,922,077 $ 1,922,487 $ 3,844,205 $ 3,845,025 Other operating income 329,018 604,769 719,941 1,003,469 Total $ 2,251,095 $ 2,527,256 $ 4,564,146 $ 4,848,494 Real estate operating expenses: Utilities $ 34,008 $ 35,838 $ 73,030 $ 69,600 Real estate taxes 232,875 80,359 465,750 160,719 Repairs and maintenances 159,429 207,882 396,561 417,725 Management fees 58,076 61,611 114,777 122,960 Lease expense, including amortization of above-market ground lease 283,538 283,538 567,076 567,076 Other operating expenses 103,281 94,880 198,531 181,883 Total $ 871,207 $ 764,108 $ 1,815,725 $ 1,519,963
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block]	Scheduled future minimum rents, exclusive of renewals and expenses paid by tenants, under non-cancelable operating leases at June 30, 2020 are as follows: Years Ending December 31, Total 2020 (July 1 through December 31) $ 3,305,851 2021 7,025,413 2022 7,547,261 2023 7,787,842 2024 8,026,943 Thereafter 5,836,010 Total $ 39,529,320
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block]	Based on the intangible assets and liabilities recorded at June 30, 2020, scheduled annual net amortization of intangibles for each of the next five calendar years and thereafter is as follows: Years Ending December 31, Net Decrease in Real Estate Operating Revenue (1) Increase in Depreciation and Amortization (1) Decrease in Rent Expense (1) Total 2020 (July 1 through December 31) $ (223,499) $ 1,107,768 $ (65,174) $ 819,095 2021 (446,995) 2,215,536 (130,348) 1,638,193 2022 (446,995) 2,215,536 (130,348) 1,638,193 2023 (446,995) 2,215,536 (130,348) 1,638,193 2024 (446,995) 2,215,536 (130,348) 1,638,193 Thereafter (346,552) 1,635,877 (8,059,870) (6,770,545) Total $ (2,358,031) $ 11,605,789 $ (8,646,436) $ 601,322 _______________ (1) Amortization of below-market rent and above-market rent intangibles is recorded as an adjustment to lease revenues; amortization of in-place lease intangibles is included in depreciation and amortization; and amortization of above-market ground lease is recorded as a reduction to rent expense.
Ground Lease Disclosure [Table Text Block]	Supplemental balance sheet information related to the ground lease was as follows: June 30, 2020 December 31, 2019 Operating lease Operating lease right-of-use assets $ 16,109,476 $ 16,112,925 Operating lease liabilities $ 16,109,476 $ 16,112,925 Weighted average remaining lease term — operating lease (years) 66.3 66.8 Weighted average discount rate — operating lease 7.9 % 7.9 % Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Operating lease cost $ 316,125 $ 316,125 $ 632,250 $ 632,250 Six Months Ended June 30, 2020 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 632,250 $ 632,250 Right-of-use assets obtained in exchange for lease obligations Operating leases $ 632,250 $ 632,250
Lessee, Operating Lease, Liability, Maturity [Table Text Block]	Maturities of operating lease liabilities are as follows: Years Ending December 31, Operating Lease 2020 (July 1 through December 31) (Year of rent reset) $ 632,250 2021 1,264,500 2022 1,264,500 2023 1,264,500 2024 1,264,500 Thereafter 78,135,563 Total lease payments 83,825,813 Less: Imputed interest (67,716,337) Total $ 16,109,476

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	6 Months Ended
	Jun. 30, 2020
Fair Value Disclosures [Abstract]
Fair Value Of Marketable Securities	The following tables present fair value measurements of marketable securities, by major class, as of June 30, 2020, according to the fair value hierarchy: June 30, 2020 Fair Value Measurements Level 1 Level 2 Level 3 Total Marketable Securities: Equity securities $ 236,085 $ — $ — $ 236,085 Debt securities — — — — Total $ 236,085 $ — $ — $ 236,085
Marketable Securities	The following table presents the activities of the marketable securities for the periods presented. Six Months Ended June 30, 2020 2019 Beginning balance $ — $ — Purchases 4,863,561 — Proceeds from sale (5,780,105) — Realized gains on marketable securities 1,085,107 — Unrealized gains on marketable securities 67,522 — Ending balance $ 236,085 $ —
Fair Value Measurements, Nonrecurring	The following table presents the carrying value, which represents the principal amount outstanding, adjusted for the accretion of purchase discounts on loans and exit fees, and the amortization of purchase premiums on loans and origination fees, and estimated fair value of the Company’s financial instruments that are not carried at fair value on the consolidated balance sheets: June 30, 2020 December 31, 2019 Level Principal Amount Carrying Value Fair Value Principal Amount Carrying Value Fair Value Loans: Loans held for investment, net 3 $ 409,853,939 $ 411,464,587 $ 408,378,123 $ 374,267,430 $ 375,462,222 $ 375,956,154 Loans held for investment 3 4,250,000 4,297,989 4,297,730 3,120,887 3,150,546 3,204,261 Allowance for loan losses — (1,314,294) — — — — Total loans $ 414,103,939 $ 414,448,282 $ 412,675,853 $ 377,388,317 $ 378,612,768 $ 379,160,415 Liabilities: Obligations under participation 3 $ 78,116,748 $ 78,246,519 $ 77,898,387 $ 102,564,795 $ 103,186,327 $ 103,188,783 Mortgage loan payable 3 44,481,855 44,753,239 44,812,068 44,614,480 44,753,633 44,947,378 Repurchase agreement payable 3 95,356,360 94,571,367 95,356,360 81,134,436 79,608,437 81,134,436 Revolving credit facility 3 35,000,000 35,000,000 35,000,000 — — — Total liabilities $ 252,954,963 $ 252,571,125 $ 253,066,815 $ 228,313,711 $ 227,548,397 $ 229,270,597
Fair Value Measurement Inputs and Valuation Techniques	The following table summarizes the valuation techniques and significant unobservable inputs used by the Company to value the Level 3 loans as of June 30, 2020 and December 31, 2019. The tables are not intended to be all-inclusive, but instead identify the significant unobservable inputs relevant to the determination of fair values. Fair Value at June 30, 2020 Primary Valuation Technique Unobservable Inputs June 30, 2020 Asset Category Minimum Maximum Weighted Average Assets: Loans held for investment, net $ 408,378,123 Discounted cash flow Discount rate 4.45 % 19.05 % 11.02 % Loans held for investment acquired through 4,297,730 Discounted cash flow Discount rate 12.95 % 12.95 % 12.95 % Total Level 3 Assets $ 412,675,853 Liabilities: Obligations under Participation Agreements $ 77,898,387 Discounted cash flow Discount rate 9.76 % 19.05 % 13.06 % Mortgage loan payable 44,812,068 Discounted cash flow Discount rate 6.08 % 6.08 % 6.08 % Repurchase agreement payable 95,356,360 Discounted cash flow Discount rate 2.51 % 5.80 % 3.79 % Revolving credit facility payable 35,000,000 Discounted cash flow Discount rate 6.00 % 6.00 % 6.00 % Total Level 3 Liabilities $ 253,066,815 Fair Value at December 31, 2019 Primary Valuation Technique Unobservable Inputs December 31, 2019 Asset Category Minimum Maximum Weighted Average Assets: Loans held for investment, net $ 375,956,154 Discounted cash flow Discount rate 4.71 % 14.95 % 9.77 % Loans held for investment acquired 3,204,261 Discounted cash flow Discount rate 11.90 % 11.90 % 11.90 % Total Level 3 Assets $ 379,160,415 Liabilities: Obligations under Participation Agreements $ 103,188,783 Discounted cash flow Discount rate 9.00 % 14.95 % 11.99 % Mortgage loan 44,947,378 Discounted cash flow Discount rate 6.08 % 6.08 % 6.08 % Repurchase agreement payable 81,134,436 Discounted cash flow Discount rate 4.11 % 4.75 % 4.33 % Total Level 3 Liabilities $ 229,270,597

Related Party Transactions (Tab

Related Party Transactions (Tables)	6 Months Ended
	Jun. 30, 2020
Related Party Transactions [Abstract]
Schedule of Related Party Transactions	The following table presents a summary of fees paid and costs reimbursed to the Manager in connection with providing services to the Company that are included on the consolidated statements of operations: Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Origination and extension fee expense (1) $ 250,601 $ 117,380 $ 688,218 $ 800,552 Asset management fee 1,140,426 956,985 2,169,959 1,837,340 Asset servicing fee 253,316 226,764 487,524 431,241 Operating expenses reimbursed to Manager 1,694,875 1,213,314 3,062,064 2,328,518 Disposition fee (2) 220,424 167,091 295,944 637,024 Total $ 3,559,642 $ 2,681,534 $ 6,703,709 $ 6,034,675 _______________ (1) Origination and extension fee expense is generally offset with origination and extension fee income. Any excess is deferred and amortized to interest income over the term of the loan. (2) Disposition fee is generally offset with exit fee income and included in interest income on the consolidated statements of operations. The below table lists the loan interests participated in by the Company via PAs as of June 30, 2020 and December 31, 2019. In accordance with the terms of each PA, each Participant’s rights and obligations, as well as the proceeds received from the related borrower/issuer of the loan, are based upon their respective pro rata participation interest in the loan. June 30, 2020 December 31, 2019 Participating Interests Principal Balance Carrying Value Participating Interests Principal Balance Carrying Value LD Milpitas Mezz, LP (1) 25.00% 4,250,000 4,297,989 25.00% 3,120,887 3,150,546 ________________ (1) On June 27, 2018, the Company entered into a participation agreement with Terra Income Fund 6, Inc. (“Terra Fund 6”) to purchase a 25% participation interest, or $4.3 million, in a $17.0 million mezzanine loan. As of June 30, 2020, all of the commitment has been funded. Transfers Treated as Obligations Under Participation Agreements as of Principal Balance Carrying Value % Transferred Principal Balance (6) Carrying Value (6) 14th & Alice Street Owner, LLC (5) $ 24,510,905 $ 24,689,333 80.00 % $ 19,608,724 $ 19,689,912 370 Lex Part Deux, LLC (2) 51,037,529 51,094,313 35.00 % 17,863,135 17,863,135 City Gardens 333 LLC (2) 27,449,731 27,461,070 14.00 % 3,842,964 3,844,468 NB Private Capital, LLC (2) 19,670,115 19,837,285 16.67 % 3,282,565 3,310,427 Orange Grove Property Investors, LLC (2) 10,600,000 10,699,082 80.00 % 8,480,000 8,559,225 RS JZ Driggs, LLC (2) 8,200,000 8,276,271 50.00 % 4,100,000 4,138,136 Stonewall Station Mezz LLC (2) 10,010,007 10,097,447 44.00 % 4,404,403 4,442,374 The Bristol at Southport, LLC (5) 23,500,000 23,671,815 21.28 % 5,000,000 5,036,556 TSG-Parcel 1, LLC (2) 18,000,000 18,180,000 11.11 % 2,000,000 2,020,000 Windy Hill PV Five CM, LLC (5) 13,797,643 13,498,117 69.11 % 9,534,957 9,342,286 $ 206,775,930 $ 207,504,733 $ 78,116,748 $ 78,246,519 Transfers Treated as Obligations Under Participation Agreements as of Principal Balance Carrying Value % Transferred Principal Balance (6) Carrying Value (6) 14th & Alice Street Owner, LLC (5) $ 12,932,034 $ 12,957,731 80.00 % $ 10,345,627 $ 10,387,090 2539 Morse, LLC (1)(3)(7) 7,000,000 7,067,422 40.00 % 2,800,001 2,825,519 370 Lex Part Deux, LLC (2)(4)(7) 48,349,948 48,425,659 47.00 % 22,724,476 22,724,476 Austin H. I. Owner LLC (1)(7) 3,500,000 3,531,776 30.00 % 1,050,000 1,059,532 City Gardens 333 LLC (1)(2)(3)(4)(7) 28,049,717 28,056,179 47.00 % 13,182,584 13,184,648 High Pointe Mezzanine Investments, LLC (3)(7) 3,000,000 3,263,285 37.20 % 1,116,000 1,217,160 NB Private Capital, LLC (1)(2)(3)(4)(7) 20,000,000 20,166,610 72.40 % 14,480,392 14,601,021 Orange Grove Property Investors, LLC (2) 10,600,000 10,696,587 80.00 % 8,480,000 8,557,205 RS JZ Driggs, LLC (2) 8,200,000 8,286,629 50.00 % 4,100,000 4,142,264 SparQ Mezz Borrower, LLC (1)(3)(7) 8,700,000 8,783,139 36.81 % 3,202,454 3,231,689 Stonewall Station Mezz LLC (2) 9,792,767 9,875,162 44.00 % 4,308,817 4,344,635 The Bristol at Southport, LLC (1)(3)(4)(7) 23,500,000 23,661,724 42.44 % 9,974,444 10,043,088 TSG-Parcel 1, LLC (1)(2)(7) 18,000,000 18,180,000 37.78 % 6,800,000 6,868,000 $ 201,624,466 $ 202,951,903 $ 102,564,795 $ 103,186,327 ________________ (1) Participant was Terra Secured Income Fund 5 International, an affiliated fund advised by the Manager. (2) Participant is Terra Fund 6, an affiliated fund advised by Terra Income Advisors. (3) Participant was Terra Income Fund International, an affiliated fund advised by the Manager. (4) Participant was TPT2, an affiliated fund managed by the Manager. (5) Participant is a third-party. (6) Amounts transferred may not agree to the proportionate share of the principal balance and fair value due to the rounding of percentage transferred. (7) As discussed in Note 3 , in March 2020, the Company settled an aggregate of $49.8 million of participation interests in loans held by the Company with TPT2 and TIF3 REIT, which TIF3 REIT received from Terra Secured Income Fund 5 International and Terra Income Fund International. In connection with the Merger and the Issuance of Common Stock to TIF3 REIT, the related participation obligations were settled.

Debt (Tables)

Debt (Tables)	6 Months Ended
	Jun. 30, 2020
Debt Disclosure [Abstract]
Schedule of Debt [Table Text Block]	The following tables present summary information with respect to the Company’s outstanding borrowing under the Master Repurchase Agreement as of June 30, 2020 and December 31, 2019: June 30, 2020 Arrangement Weighted Average Rate (1) Amount Outstanding Amount Weighted Average Term (2) Master Repurchase Agreement 3.8 % $ 95,356,360 $ 54,643,640 1.47 years December 31, 2019 Arrangement Weighted Average Rate (1) Amount Outstanding Amount Weighted Average Term (2) Master Repurchase Agreement 4.3 % $ 81,134,436 $ 68,865,564 1.55 years _______________ (1) Amount is calculated using LIBOR of 0.16% and 1.76% as of June 30, 2020 and December 31, 2019, respectively. (2) The weighted average term is determined based on the current maturity of the corresponding loan. Each transaction under the facility has its own specific term. The Company may extend the maturity date of the Master Repurchase Agreement for a period of one year, subject to satisfaction of certain conditions. June 30, 2020 Collateral Borrowings Under Master Repurchase Agreement Principal Amount Carrying Value Fair Borrowing Date Principal Amount Interest 330 Tryon DE LLC $ 22,800,000 $ 22,896,169 $ 22,898,866 02/15/2019 $ 17,100,000 LIBOR+2.25% (LIBOR floor of 2.52%) 1389 Peachtree St, LP; 45,671,947 45,853,379 45,821,197 3/7/2019 24,448,101 LIBOR+2.35% 2,489,416 LIBOR+3.85% 26,937,517 AGRE DCP Palm Springs, LLC 32,975,680 33,030,797 33,084,469 12/23/2019 19,242,798 LIBOR+2.50% (LIBOR floor of 1.8%) 320,145 LIBOR+4.00% (LIBOR floor of 1.8%) 19,562,943 MSC Fields Peachtree Retreat, LLC 23,308,335 23,442,092 23,108,448 3/25/2019 17,355,900 LIBOR+2.25% (LIBOR floor of 2.00%) Patrick Henry Recovery 18,000,000 18,038,578 17,845,715 1/6/2020 14,400,000 LIBOR + 2.00% (1.5% Floor) $ 142,755,962 $ 143,261,015 $ 142,758,695 $ 95,356,360 December 31, 2019 Collateral Borrowings Under Master Repurchase Agreement Principal Amount Carrying Value Fair Borrowing Date Principal Amount Interest 330 Tryon DE LLC $ 22,800,000 $ 22,891,149 $ 22,906,207 2/15/2019 $ 17,100,000 LIBOR+2.25% (LIBOR floor of 2.49%) 1389 Peachtree St, LP; 38,464,429 38,510,650 38,655,000 3/7/2019 24,040,268 LIBOR+2.35% AGRE DCP Palm Springs, LLC 30,184,357 30,174,455 30,326,076 12/23/2019 22,638,268 LIBOR+2.50% (LIBOR floor of 1.8%) MSC Fields Peachtree Retreat, LLC 23,308,335 23,446,793 23,418,996 3/25/2019 17,355,900 LIBOR+2.25% (LIBOR floor of 2.00%) $ 114,757,121 $ 115,023,047 $ 115,306,279 $ 81,134,436
Mortgage Loan Payable [Table Text Block]	The following table presents certain information about the mortgage loan payable as of June 30, 2020 and December 31, 2019: June 30, 2020 December 31, 2019 Lender Current Maturity Date (1) Principal Amount Carrying Value Carrying Value of Carrying Value Carrying Value of Centennial Bank LIBOR + 3.85% September 27, 2020 $ 44,481,855 $ 44,753,239 $ 51,171,918 $ 44,753,633 $ 52,776,236 _______________
Schedule of Long-term Debt Instruments [Table Text Block]	Scheduled debt principal payments for each of the five calendar years following June 30, 2020 are as follows: Years Ending December 31, Total 2020 (July 1 through December 31) $ 174,838,215 2021 — 2022 — 2023 — 2024 — 174,838,215 Unamortized deferred financing costs (513,609) Total $ 174,324,606

Equity (Tables)

Equity (Tables)	6 Months Ended
	Jun. 30, 2020
Equity [Abstract]
Schedule of Earnings Per Share, Basic and Diluted	The following table presents earnings per share for the three and six months ended June 30, 2020 and June 30, 2019: Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Net income (loss) $ 2,646,042 $ (153,485) $ 3,225,005 $ 3,769,390 Preferred stock dividend declared (3,906) (3,906) (7,812) (7,812) Net income (loss) allocable to common stock $ 2,642,136 $ (157,391) $ 3,217,193 $ 3,761,578 Weighted-average shares outstanding - basic 19,555,241 14,912,990 18,131,260 14,912,990 Earnings (loss) per share - basic and diluted $ 0.14 $ (0.01) $ 0.18 $ 0.25

Business (Details)

Business (Details) - USD ($)	6 Months Ended
	Jun. 30, 2020	Mar. 02, 2020	Dec. 31, 2019
Investment Company, Financial Highlights [Line Items]
Loans Held for Investment, Carrying value	$ 414,448,282		$ 378,612,768
Cash		$ 25,500,000
Operations Commenced Date	Jan. 1, 2016
Common Stock, Shares, Issued	19,487,460	4,574,470.35	15,125,681
Participating Mortgage Loans, Participation Liabilities, Amount		$ 49,800,000
Minimum
Investment Company, Financial Highlights [Line Items]
Loans Held for Investment, Carrying value	$ 10,000,000
Maximum
Investment Company, Financial Highlights [Line Items]
Loans Held for Investment, Carrying value	$ 50,000,000
Partnership interest
Investment Company, Financial Highlights [Line Items]
Equity Method Investment, Ownership Percentage	87.40%

Summary of Significant Accoun_4

Summary of Significant Accounting Policies (Details) - USD ($)	Jun. 30, 2020	Dec. 31, 2019	Jun. 30, 2019	Dec. 31, 2018
Accounting Policies [Abstract]
Cash and cash equivalents	$ 82,553,933	$ 29,609,484	$ 18,334,372
Restricted cash			19,630,350
Cash held in escrow by lender	1,931,976	2,398,053	2,089,498
Total cash, cash equivalents and restricted cash shown in the consolidated statements of cash flows	$ 102,945,300	$ 50,549,700	$ 40,054,220	$ 28,538,853

Merger and Asset Contribution -

Merger and Asset Contribution - Narratives - Mergers (Details)	Mar. 01, 2020$ / sharesshares
Terra PropertyTrust
Business Acquisition
Common Stock, Par Value	$ 0.01
Common Stock | Terra Fund 7
Business Acquisition
Business Combination Common Stock Shares | shares	2,116,785.76
Terra Property Trust 2 Inc
Business Acquisition
Business Combination Common Stock Shares | shares	2,116,785.76
Common Stock, Par Value	$ 0.01
Terra Property Trust 2 Inc | Common Stock
Business Acquisition
Business Acquisition Share Conversion Rate	$ 1.2031

Merger and Aset Contribution -

Merger and Aset Contribution - Summary of the assets acquired and liabilities assumed (Details) - Terra Property Trust 2 Inc	Mar. 01, 2020USD ($)
Business Acquisition
Equity issued in the Merger	$ 34,630,615
Total Consideration	34,630,615
Net Assets of TPT2 Received in the Merger
Loans held for investment acquired through participation	17,688,741
Cash and cash equivalents	16,897,074
Interest receivable	134,543
Other assets	18,384
Accounts payable and accrued expenses	(57,433)
Due to Manager	(50,694)
Total identifiable net assets	$ 34,630,615

Mergers and Asset Contribution

Mergers and Asset Contribution - Narratives - Issuance of Common Stock to TIF3 REIT (Details) - USD ($)	Apr. 29, 2020	Mar. 02, 2020	Mar. 01, 2020	Feb. 27, 2020	Jun. 30, 2020	Dec. 31, 2019
Business Acquisition
Common Stock, Shares, Issued		4,574,470.35			19,487,460	15,125,681
Stock Repurchased During Period, Shares	212,691
Terra Property Trust 2 Inc
Business Acquisition
Stock issued in the transaction as consideration			2,116,785.76
Terra International Fund 3
Business Acquisition
Settlement of participation interests in loans held		$ 32,100,000
Proceeds from issuance of common stock		$ 8,600,000		$ 8,600,000
Stock issued in the transaction as consideration		2,457,684.59
Common Stock, Shares, Issued		2,457,684.59

Merger and Asset Contribution_2

Merger and Asset Contribution - Issuance of Common Stock to TIF3 REIT (Details) - Terra International Fund 3	Mar. 02, 2020USD ($)
Business Acquisition
Equity issued in the Merger	$ 40,749,378
Total Consideration	40,749,378
Loans held for investment acquired through participation interest	32,112,257
Cash and cash equivalents acquired in Merger	8,600,000
Interest receivable	270,947
Due to Manager	(233,826)
Total identifiable net assets	$ 40,749,378

Merger and Asset Contribution_3

Merger and Asset Contribution - Narratives - Terra JV, LLC (Details)	6 Months Ended
	Jun. 30, 2020	Mar. 02, 2020	Feb. 28, 2020
Terra JV
Business Acquisition
Equity Method Investment, Ownership Percentage	87.40%
Terra Fund 5
Business Acquisition
Percent Of Ownership In Joint Venture			98.60%
Terra Fund 5 | Terra JV
Business Acquisition
Limited Liability Company or Limited Partnership, Members or Limited Partners, Ownership Interest	87.60%
Threshold For Nomination Rights		10.00%
Terra Fund 7 | Terra JV
Business Acquisition
Limited Liability Company or Limited Partnership, Members or Limited Partners, Ownership Interest	12.40%

Merger and Asset Contribution_4

Merger and Asset Contribution - Narratives - Net loss on Obligations Under Participation Agreement (Details)	3 Months Ended
	Mar. 31, 2020USD ($)
Business Combination, Separately Recognized Transactions [Line Items]
Net loss recognized	$ (300,000)

Loans Held for Investment - Sum

Loans Held for Investment - Summary of the Companys loan portfolio (Details)	6 Months Ended	12 Months Ended
	Jun. 30, 2020USD ($)Loans	Dec. 31, 2019USD ($)Loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number Of Loans | Loans	22	23
Principal Balance	$ 414,103,939	$ 377,388,317
Carrying Value	414,448,282	378,612,768
Fair Value	$ 412,675,853	$ 379,160,415
Weighted-average coupon rate	9.25%	9.65%
Weighted-average remaining term (years)	1 year 9 months 7 days	2 years 1 month 17 days
Fixed Rate
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number Of Loans | Loans	9	8
Principal Balance	$ 101,693,122	$ 70,692,767
Loans Receivable with Fixed Rates of Interest	102,402,613	71,469,137
Fair Value	$ 102,651,392	$ 71,516,432
Weighted-average coupon rate	10.29%	11.93%
Weighted-average remaining term (years)	1 year 3 months 29 days	2 years 3 months 10 days
Floating rate
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number Of Loans | Loans	13	15
Principal Balance	$ 312,410,817	$ 306,695,550
Loans Receivable with Variable Rates of Interest	312,045,669	307,143,631
Fair Value	$ 310,024,461	$ 307,643,983
Weighted-average coupon rate	8.91%	9.13%
Weighted-average remaining term (years)	1 year 11 months 1 day	2 years 1 month 2 days

Loans Held for Investment - S_2

Loans Held for Investment - Summary of the Company's loan portfolio - subnote (Details)	Jun. 30, 2020USD ($)Loans	Dec. 31, 2019USD ($)Loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Carrying Value	$ 414,448,282	$ 378,612,768
Repurchase agreement payable, net of deferred financing fees	$ 94,571,367	$ 79,608,437
Number Of Loans | Loans	22	23
Floating rate | LIBOR
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans Receivable, Basis Spread on Variable Rate	0.16%	1.76%
Number Of Loans | Loans	11	12
Minimum
Accounts, Notes, Loans and Financing Receivable [Line Items]
Carrying Value	$ 10,000,000
Minimum | Floating rate | LIBOR
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans Receivable, Basis Spread on Variable Rate	2.00%	2.25%
Maximum
Accounts, Notes, Loans and Financing Receivable [Line Items]
Carrying Value	$ 50,000,000
Maximum | Floating rate | LIBOR
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans Receivable, Basis Spread on Variable Rate	2.50%	2.50%
Repurchase Agreements | Floating rate
Accounts, Notes, Loans and Financing Receivable [Line Items]
Repurchase agreement payable, net of deferred financing fees	$ 95,400,000	$ 81,100,000
Collateralized Mortgage Obligations | Floating rate
Accounts, Notes, Loans and Financing Receivable [Line Items]
Carrying Value	$ 142,800,000	$ 114,800,000

Loans Held for Investment - Act

Loans Held for Investment - Activities of the Companys loan portfolio (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Accounts, Notes, Loans and Financing Receivable [Line Items]
Beginning balance			$ 378,612,768
Paid-in-Kind Interest			736,204	$ 1,388,688
Provision for loan losses	$ (169,300)	$ 0	(1,314,294)	0
Ending balance	414,448,282		414,448,282
Real Estate Loan
Accounts, Notes, Loans and Financing Receivable [Line Items]
Beginning balance			378,612,768	388,243,974
New loans made			54,342,488	85,334,573
Principal repayments received			(18,990,175)	(70,136,722)
Foreclosure of collateral				(14,325,000)
Paid-in-Kind Interest			1,363,310	1,766,213
Net amortization of premiums on loans			(30,696)	(73,730)
Accrual, payment and accretion of investment related fees, net			464,881	(1,021,500)
Provision for loan losses			(1,314,294)
Ending balance	414,448,282	389,787,808	414,448,282	389,787,808
Loans Held for Investment | Real Estate Loan
Accounts, Notes, Loans and Financing Receivable [Line Items]
Beginning balance			375,462,222	388,243,974
New loans made			53,213,376	84,588,421
Principal repayments received			(18,990,175)	(70,136,722)
Foreclosure of collateral				(14,325,000)
Paid-in-Kind Interest			1,363,310	1,766,213
Net amortization of premiums on loans			(30,696)	(73,730)
Accrual, payment and accretion of investment related fees, net			446,550	(1,005,797)
Provision for loan losses			(1,314,294)
Ending balance	410,150,293	389,057,359	410,150,293	389,057,359
Loans Held For Investment Acquired Through Participation | Real Estate Loan
Accounts, Notes, Loans and Financing Receivable [Line Items]
Beginning balance			3,150,546	0
New loans made			1,129,112	746,152
Principal repayments received			0	0
Foreclosure of collateral				0
Paid-in-Kind Interest			0	0
Net amortization of premiums on loans			0	0
Accrual, payment and accretion of investment related fees, net			18,331	(15,703)
Provision for loan losses			0
Ending balance	$ 4,297,989	$ 730,449	$ 4,297,989	$ 730,449

Loans Held for Investment - A_2

Loans Held for Investment - Activity of loan receivables - subnote (Details)	6 Months Ended
	Jun. 30, 2020USD ($)	Jun. 30, 2019USD ($)	Jan. 09, 2019USD ($)a
Accounts, Notes, Loans and Financing Receivable [Line Items]
Paid-in-Kind Interest	$ 736,204	$ 1,388,688
Area of Land | a			4.9
Accretion (Amortization) of Discounts and Premiums, Investments	4,140	177,773
Loans Held for Investment
Accounts, Notes, Loans and Financing Receivable [Line Items]
Accretion (Amortization) of Discounts and Premiums, Investments		500,000
Obligations Under Participation Agreements
Accounts, Notes, Loans and Financing Receivable [Line Items]
Paid-in-Kind Interest	$ 600,000	$ 400,000
First Mortgage
Accounts, Notes, Loans and Financing Receivable [Line Items]
Area of Land | a			4.9
Mortgage Loans in Process of Foreclosure, Amount			$ 14,300,000

Loans Held for Investment - Loa

Loans Held for Investment - Loan Structure (Details) - USD ($)	Jun. 30, 2020	Dec. 31, 2019
Accounts, Notes, Loans and Financing Receivable [Line Items]
Principal Balance	$ 414,103,939	$ 377,388,317
Carrying value	$ 414,448,282	$ 378,612,768
% of Total	100.00%	100.00%
Allowance for Loan and Lease Losses, Real Estate	$ (1,314,294)	$ 0
Percent Of Allowance Of Loan Losses	(0.30%)	0.00%
First Mortgage
Accounts, Notes, Loans and Financing Receivable [Line Items]
Principal Balance	$ 222,314,510	$ 178,130,623
Carrying value	$ 222,901,117	$ 178,203,675
% of Total	53.80%	47.10%
Equity Securities, Investment Summary
Accounts, Notes, Loans and Financing Receivable [Line Items]
Principal Balance	$ 155,216,422	$ 157,144,040
Carrying value	$ 155,798,883	$ 157,737,763
% of Total	37.60%	41.60%
Mezzanine Loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Principal Balance	$ 36,573,007	$ 42,113,654
Carrying value	$ 37,062,576	$ 42,671,330
% of Total	8.90%	11.30%

Loans Held for Investment - Pro

Loans Held for Investment - Property Type (Details) - USD ($)	Jun. 30, 2020	Dec. 31, 2019
Accounts, Notes, Loans and Financing Receivable [Line Items]
Principal Balance	$ 414,103,939	$ 377,388,317
Carrying value	$ 414,448,282	$ 378,612,768
% of Total	100.00%	100.00%
Allowance for Loan and Lease Losses, Real Estate	$ (1,314,294)	$ 0
Percent Of Allowance Of Loan Losses	(0.30%)	0.00%
Office
Accounts, Notes, Loans and Financing Receivable [Line Items]
Principal Balance	$ 151,307,119	$ 142,055,845
Carrying value	$ 151,380,556	$ 141,870,355
% of Total	36.50%	37.50%
Multifamily
Accounts, Notes, Loans and Financing Receivable [Line Items]
Principal Balance	$ 115,668,971	$ 76,640,369
Carrying value	$ 116,325,996	$ 77,136,016
% of Total	28.10%	20.40%
Student housing
Accounts, Notes, Loans and Financing Receivable [Line Items]
Principal Balance	$ 45,920,115	$ 58,049,717
Carrying value	$ 46,343,726	$ 58,553,496
% of Total	11.20%	15.50%
Hotel
Accounts, Notes, Loans and Financing Receivable [Line Items]
Principal Balance	$ 50,848,687	$ 46,598,011
Carrying value	$ 51,074,169	$ 46,731,939
% of Total	12.30%	12.30%
Infill land
Accounts, Notes, Loans and Financing Receivable [Line Items]
Principal Balance	$ 32,759,047	$ 36,444,375
Carrying value	$ 32,939,047	$ 36,624,375
% of Total	7.90%	9.70%
Condominium
Accounts, Notes, Loans and Financing Receivable [Line Items]
Principal Balance	$ 10,600,000	$ 10,600,000
Carrying value	$ 10,699,082	$ 10,696,587
% of Total	2.60%	2.80%
Industrial
Accounts, Notes, Loans and Financing Receivable [Line Items]
Principal Balance	$ 7,000,000	$ 7,000,000
Carrying value	$ 7,000,000	$ 7,000,000
% of Total	1.70%	1.80%

Loans Held for Investment - Geo

Loans Held for Investment - Geographic Locations (Details) - USD ($)	Jun. 30, 2020	Dec. 31, 2019
Accounts, Notes, Loans and Financing Receivable [Line Items]
Principal Balance	$ 414,103,939	$ 377,388,317
Carrying value	$ 414,448,282	$ 378,612,768
% of Total	100.00%	100.00%
Allowance for Loan and Lease Losses, Real Estate	$ (1,314,294)	$ 0
Percent Of Allowance Of Loan Losses	(0.30%)	0.00%
California
Accounts, Notes, Loans and Financing Receivable [Line Items]
Principal Balance	$ 186,233,959	$ 150,988,463
Carrying value	$ 186,692,977	$ 151,108,109
% of Total	45.00%	39.90%
New York
Accounts, Notes, Loans and Financing Receivable [Line Items]
Principal Balance	$ 73,996,576	$ 79,734,323
Carrying value	$ 74,129,631	$ 79,896,663
% of Total	17.90%	21.10%
Georgia
Accounts, Notes, Loans and Financing Receivable [Line Items]
Principal Balance	$ 68,980,282	$ 61,772,764
Carrying value	$ 69,295,471	$ 61,957,443
% of Total	16.70%	16.40%
North Carolina
Accounts, Notes, Loans and Financing Receivable [Line Items]
Principal Balance	$ 32,810,007	$ 32,592,767
Carrying value	$ 32,993,616	$ 32,766,311
% of Total	8.00%	8.70%
Washington
Accounts, Notes, Loans and Financing Receivable [Line Items]
Principal Balance	$ 23,500,000	$ 23,500,000
Carrying value	$ 23,671,815	$ 23,661,724
% of Total	5.70%	6.20%
Illinois
Accounts, Notes, Loans and Financing Receivable [Line Items]
Principal Balance	$ 3,404,877	$ 8,004,877
Carrying value	$ 3,433,814	$ 8,071,562
% of Total	0.80%	2.10%
Massachusetts
Accounts, Notes, Loans and Financing Receivable [Line Items]
Principal Balance	$ 7,000,000	$ 7,000,000
Carrying value	$ 7,000,000	$ 7,000,000
% of Total	1.70%	1.80%
Kansas
Accounts, Notes, Loans and Financing Receivable [Line Items]
Principal Balance	$ 3,098,139	$ 6,200,000
Carrying value	$ 3,124,469	$ 6,251,649
% of Total	0.80%	1.70%
Texas
Accounts, Notes, Loans and Financing Receivable [Line Items]
Principal Balance	$ 3,613,000	$ 3,500,000
Carrying value	$ 3,647,936	$ 3,531,776
% of Total	0.90%	0.90%
Other (1)
Accounts, Notes, Loans and Financing Receivable [Line Items]
Principal Balance	$ 11,467,099	$ 4,095,123
Carrying value	$ 11,772,847	$ 4,367,531
% of Total	2.80%	1.20%

Loans Held for Investment - G_2

Loans Held for Investment - Geographic Locations - Subnotes (Details) - USD ($)	Jun. 30, 2020	Dec. 31, 2019
Accounts, Notes, Loans and Financing Receivable [Line Items]
Carrying value	$ 414,448,282	$ 378,612,768
Other
Accounts, Notes, Loans and Financing Receivable [Line Items]
Line of Credit Facility, Remaining Borrowing Capacity	8,500,000	1,100,000
Carrying value	11,772,847	4,367,531
South Carolina
Accounts, Notes, Loans and Financing Receivable [Line Items]
Carrying value	$ 3,000,000	$ 3,000,000

Loans Held for Investment - L_2

Loans Held for Investment - Loan risk rating (Details)	Jun. 30, 2020USD ($)Loans	Dec. 31, 2019USD ($)Loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number Of Loans | Loans	22	23
Principal Balance	$ 414,103,939	$ 377,388,317
Carrying Value	$ 415,762,576	$ 378,612,768
% of Total	100.00%	100.00%
Allowance for Loan and Lease Losses, Real Estate	$ (1,314,294)	$ 0
Total, net of allowance for loan losses	$ 414,448,282	$ 378,612,768
1
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number Of Loans | Loans	0	0
Principal Balance	$ 0	$ 0
Carrying Value	$ 0	$ 0
% of Total	0.00%	0.00%
2
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number Of Loans | Loans	2	5
Principal Balance	$ 25,000,000	$ 50,000,000
Carrying Value	$ 25,180,000	$ 50,284,751
% of Total	6.10%	13.30%
3
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number Of Loans | Loans	15	17
Principal Balance	$ 301,484,356	$ 322,648,317
Carrying Value	$ 302,707,562	$ 323,588,017
% of Total	72.80%	85.40%
4
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number Of Loans | Loans	5	0
Principal Balance	$ 87,619,583	$ 0
Carrying Value	$ 87,875,014	$ 0
% of Total	21.10%	0.00%
5
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number Of Loans | Loans	0	0
Principal Balance	$ 0	$ 0
Carrying Value	$ 0	$ 0
% of Total	0.00%	0.00%
Other
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number Of Loans | Loans	0	1
Principal Balance	$ 0	$ 4,740,000
Carrying Value	$ 0	$ 4,740,000
% of Total	0.00%	1.30%

Loans Held for Investment - All

Loans Held for Investment - Allowance for loan losses (Details) - USD ($)	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019
Receivables [Abstract]
Allowance for loan losses, beginning of period	$ 0	$ 0
Provision for loan losses	1,314,294	0
Charge-offs	0	0
Recoveries	0	0
Allowance for loan losses, end of period	$ 1,314,294	$ 0

Loans Held for Investment - Nar

Loans Held for Investment - Narratives - Allowance for loan losses (Details)	6 Months Ended
	Jun. 30, 2020USD ($)Loans	Jun. 30, 2019USD ($)	Dec. 31, 2019USD ($)Loans	Dec. 31, 2018USD ($)
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number Of Loans | Loans	22		23
Provision for loan losses	$ 1,314,294	$ 0
Loans and Leases Receivable, Allowance	$ 1,314,294	$ 0	$ 0	$ 0
4
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number Of Loans | Loans	5		0
Provision for loan losses	$ 1,300,000

Real Estate Owned, Net - Carryi

Real Estate Owned, Net - Carrying value of first mortgage (Details)	Jun. 30, 2020USD ($)	Dec. 31, 2019USD ($)	Jan. 09, 2019USD ($)a
Real Estate
Carrying Value	$ 414,448,282	$ 378,612,768
Interest receivable	$ 2,566,443	$ 1,876,799
Area of Land | a			4.9
First Mortgage
Real Estate
Carrying Value			$ 14,325,000
Interest receivable			439,300
Restricted Cash and Investments			(60,941)
Land Available-for-sale			$ 14,703,359
Area of Land | a			4.9

Real Estate Owned, Net Real Est

Real Estate Owned, Net Real Estate Owned, Net - Fair value of the real estate acquired (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019	Jan. 09, 2019
Real Estate
Impairment charge	$ 0	$ 1,550,000	$ 0	$ 1,550,000
Land
Real Estate
Payments to Acquire Land					$ 14,703,359
Impairment charge		$ 1,600,000		$ 1,600,000
Investment in Real Estate and Accumulated Depreciation, Cost Capitalized Subsequent to Acquisition, Land					$ 200,000

Real Estate Owned, Net - Real E

Real Estate Owned, Net - Real Estate Owned Net (Details) - USD ($)	Jun. 30, 2020	Dec. 31, 2019
Real Estate
Real Estate Investment Property, Net	$ 63,966,026	$ 64,751,247
Finite-Lived Intangible Assets, Net	601,322
Below Market Lease, Net	11,127,360	11,424,809
Real Estate Investment
Real Estate
Real Estate Investment Property, at Cost	70,717,229	70,717,229
Real Estate Investment Property, Accumulated Depreciation	(6,149,881)	(4,545,563)
Real Estate Investment Property, Net	64,567,348	66,171,666
Finite-Lived Intangible Assets, Gross	16,008,774	16,008,774
Finite-Lived Intangible Assets, Accumulated Amortization	(4,280,092)	(3,163,546)
Finite-Lived Intangible Assets, Net	11,728,682	12,845,228
Finite Lived Intangible Liabilities Gross	(12,267,584)	(12,267,584)
Finite Lived Intangible Liabilities Accumulated Amortization	1,140,224	842,775
Finite Lived Intangible Liability Net	(11,127,360)	(11,424,809)
Real Estate Investment | Real Estate
Real Estate
Real Estate Investment Property, at Cost	66,976,039	66,976,039
Real Estate Investment Property, Accumulated Depreciation	(3,010,013)	(2,224,792)
Real Estate Investment Property, Net	63,966,026	64,751,247
Real Estate Investment | Land
Real Estate
Real Estate Investment Property, at Cost	13,395,430	13,395,430
Real Estate Investment Property, Accumulated Depreciation	0	0
Real Estate Investment Property, Net	13,395,430	13,395,430
Real Estate Investment | Building and Building Improvements
Real Estate
Real Estate Investment Property, at Cost	51,725,969	51,725,969
Real Estate Investment Property, Accumulated Depreciation	(2,478,562)	(1,831,980)
Real Estate Investment Property, Net	49,247,407	49,893,989
Real Estate Investment | Tenant Improvement
Real Estate
Real Estate Investment Property, at Cost	1,854,640	1,854,640
Real Estate Investment Property, Accumulated Depreciation	(531,451)	(392,812)
Real Estate Investment Property, Net	1,323,189	1,461,828
Real Estate Investment | Increase in Depreciation and Amortization
Real Estate
Finite-Lived Intangible Assets, Gross	15,852,232	15,852,232
Finite-Lived Intangible Assets, Accumulated Amortization	(4,246,443)	(3,138,675)
Finite-Lived Intangible Assets, Net	11,605,789	12,713,557
Real Estate Investment | Above Market Leases
Real Estate
Finite-Lived Intangible Assets, Gross	156,542	156,542
Finite-Lived Intangible Assets, Accumulated Amortization	(33,649)	(24,871)
Finite-Lived Intangible Assets, Net	122,893	131,671
Real Estate Investment | Below Market Rent
Real Estate
Finite Lived Intangible Liabilities Gross	(3,371,314)	(3,371,314)
Finite Lived Intangible Liabilities Accumulated Amortization	890,390	658,115
Finite Lived Intangible Liability Net	(2,480,924)	(2,713,199)
Real Estate Investment | Above Market Ground Lease
Real Estate
Finite Lived Intangible Liabilities Gross	(8,896,270)	(8,896,270)
Finite Lived Intangible Liabilities Accumulated Amortization	249,834	184,660
Finite Lived Intangible Liability Net	$ (8,646,436)	$ (8,711,610)

Real Estate Owned, Net - Compon

Real Estate Owned, Net - Components of real estate operating revenues and expenses (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Real Estate
Real estate operating income	$ 2,251,095	$ 2,527,256	$ 4,564,146	$ 4,848,494
Total	12,064,629	13,332,694	24,142,200	26,070,628
Real estate operating expenses
Asset management fee	1,140,426	956,985	2,169,959	1,837,340
Real Estate Operating Expenses	871,207	764,108	1,815,725	1,519,963
Real Estate Investment
Real Estate
Lease revenue	1,922,077	1,922,487	3,844,205	3,845,025
Other operating income	329,018	604,769	719,941	1,003,469
Real estate operating income	2,251,095	2,527,256	4,564,146	4,848,494
Real estate operating expenses
Utilities	34,008	35,838	73,030	69,600
Real estate taxes	232,875	80,359	465,750	160,719
Repairs and maintenances	159,429	207,882	396,561	417,725
Asset management fee	58,076	61,611	114,777	122,960
Lease expense, including amortization of above-market ground lease	283,538	283,538	567,076	567,076
Other operating expenses	103,281	94,880	198,531	181,883
Real Estate Operating Expenses	$ 871,207	$ 764,108	$ 1,815,725	$ 1,519,963

Real Estate Owned, Net - Future

Real Estate Owned, Net - Future Minimum Rent Income (Details)	Jun. 30, 2020USD ($)
Real Estate [Abstract]
2020 (July 1 through December 31)	$ 3,305,851
2021	7,025,413
2022	7,547,261
2023	7,787,842
2024	8,026,943
Thereafter	5,836,010
Total	$ 39,529,320

Real Estate Owned, Net - Annual

Real Estate Owned, Net - Annual Net Amortization of Intangibles (Details)	Jun. 30, 2020USD ($)
Real Estate
2020 (July 1 through December 31)	$ 819,095
2021	1,638,193
2022	1,638,193
2023	1,638,193
2024	1,638,193
Thereafter	(6,770,545)
Total	601,322
Net Decrease in Real Estate Operating Revenue
Real Estate
2020 (July 1 through December 31)	(223,499)
2021	(446,995)
2022	(446,995)
2023	(446,995)
2024	(446,995)
Thereafter	(346,552)
Total	(2,358,031)
Increase in Depreciation and Amortization
Real Estate
2020 (July 1 through December 31)	1,107,768
2021	2,215,536
2022	2,215,536
2023	2,215,536
2024	2,215,536
Thereafter	1,635,877
Total	11,605,789
Decrease in rent expense
Real Estate
2020 (July 1 through December 31)	(65,174)
2021	(130,348)
2022	(130,348)
2023	(130,348)
2024	(130,348)
Thereafter	(8,059,870)
Total	$ (8,646,436)

Real Estate Owned, Net - Supple

Real Estate Owned, Net - Supplemental ground lease balance sheet information (Details) - USD ($)	Jun. 30, 2020	Dec. 31, 2019	Jan. 01, 2019	Jul. 30, 2018
Real Estate
Operating lease right-of-use assets	$ 16,109,476	$ 16,112,925
Operating lease liabilities	16,109,476	16,112,925
Ground Lease
Real Estate
Operating lease right-of-use assets	16,109,476	16,112,925	$ 16,100,000
Operating lease liabilities	$ 16,109,476	$ 16,112,925
Weighted average remaining lease term — operating lease (years)	66 years 3 months 18 days	66 years 9 months 18 days		68 years 3 months 18 days
Weighted average discount rate — operating lease	7.90%	7.90%

Real Estate Owned, Net - Comp_2

Real Estate Owned, Net - Component of lease expense (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Ground Lease
Real Estate
Operating lease cost	$ 316,125	$ 316,125	$ 632,250	$ 632,250

Real Estate Owned, Net - Cash i

Real Estate Owned, Net - Cash information related to the ground lease (Details) - USD ($)	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019
Real Estate [Abstract]
Operating cash flows from operating leases	$ 632,250	$ 632,250
Right-of-use assets obtained in exchange for lease obligations, Operating leases	$ 632,250	$ 632,250

Real Estate Owned, Net - Maturi

Real Estate Owned, Net - Maturities of operating lease liabilities (Details) - USD ($)	Jun. 30, 2020	Dec. 31, 2019
Real Estate [Abstract]
2020 (July 1 through December 31) (Year of rent reset)	$ 632,250
2021	1,264,500
2022	1,264,500
2023	1,264,500
2024	1,264,500
Thereafter	78,135,563
Total lease payment	83,825,813
Receivable with Imputed Interest, Discount	(67,716,337)
Operating lease liabilities	$ 16,109,476	$ 16,112,925

Real Estate Owned, Net - Narrat

Real Estate Owned, Net - Narratives - Leases (Details)	6 Months Ended
	Jun. 30, 2020USD ($)a	Dec. 31, 2019USD ($)	Jan. 09, 2019a	Jan. 01, 2019USD ($)	Jul. 30, 2018lease
Real Estate
Number Of Lease Remaining | lease					4
BaseRentRenewalTerm	5 years
Operating lease right-of-use assets	$ 16,109,476	$ 16,112,925
Operating Leases, Income Statement, Initial Direct Costs				$ 500,000
Area of Land | a			4.9
Real Estate Investment
Real Estate
Area of Land | a	4.9
Ground Lease
Real Estate
Operating Lease, Weighted Average Remaining Lease Term	66 years 3 months 18 days	66 years 9 months 18 days			68 years 3 months 18 days
Percent of Fair Market Value of Land	9.00%
Operating lease right-of-use assets	$ 16,109,476	$ 16,112,925		$ 16,100,000
Multi Tenant Office Building | Minimum
Real Estate
Operating Lease, Weighted Average Remaining Lease Term					6 years 3 months 18 days
Multi Tenant Office Building | Maximum
Real Estate
Operating Lease, Weighted Average Remaining Lease Term					8 years 9 months 18 days

Fair Value Measurements - Fair

Fair Value Measurements - Fair value measurements of marketable securities (Details) - USD ($)	Jun. 30, 2020	Dec. 31, 2019	Jun. 30, 2019	Dec. 31, 2018
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities	$ 236,085	$ 0	$ 0	$ 0
Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities	236,085
Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities	0
Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities	0
Equity securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities	236,085
Equity securities | Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities	236,085
Equity securities | Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities	0
Equity securities | Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities	0
Debt securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities	0
Debt securities | Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities	0
Debt securities | Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities	0
Debt securities | Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities	$ 0

Fair Value Measurements - Activ

Fair Value Measurements - Activities of the marketable securities (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Fair value measurement [Abstract]
Beginning balance			$ 0	$ 0
Purchases			4,863,561	0
Proceeds from sale			(5,780,105)	0
Realized gains on marketable securities	$ 1,076,213	$ 0	1,085,107	0
Unrealized gains on marketable securities	67,522	0	67,522	0
Ending balance	$ 236,085	$ 0	$ 236,085	$ 0

Fair value measurement - Not ca

Fair value measurement - Not carried at Fair Value (Details) - USD ($)	Jun. 30, 2020	Dec. 31, 2019
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Principal Balance	$ 414,103,939	$ 377,388,317
Fair Value	412,675,853	379,160,415
Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Principal Balance	414,103,939	377,388,317
Carrying Value	414,448,282	378,612,768
Fair Value	412,675,853	379,160,415
Allowance for loan losses	(1,314,294)	0
Principal Balance	252,954,963	228,313,711
Carrying Value	252,571,125	227,548,397
Fair Value	253,066,815	229,270,597
Level 3 | Mortgage Agreement Payable
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Principal Balance	44,481,855	44,614,480
Carrying Value	44,753,239	44,753,633
Fair Value	44,812,068	44,947,378
Level 3 | Loans Held for Investment
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Principal Balance	409,853,939	374,267,430
Carrying Value	411,464,587	375,462,222
Fair Value	408,378,123	375,956,154
Level 3 | Loans Held For Investment Acquired Through Participation
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Principal Balance	4,250,000	3,120,887
Carrying Value	4,297,989	3,150,546
Fair Value	4,297,730	3,204,261
Level 3 | Obligations Under Participation Agreements
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Principal Balance	78,116,748	102,564,795
Carrying Value	78,246,519	103,186,327
Fair Value	77,898,387	103,188,783
Level 3 | Repurchase Agreement Payable
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Principal Balance	95,356,360	81,134,436
Carrying Value	94,571,367	79,608,437
Fair Value	95,356,360	81,134,436
Level 3 | Revolving credit facility payable
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Principal Balance	35,000,000	0
Carrying Value	35,000,000	0
Fair Value	$ 35,000,000	$ 0

Fair Value Measurements - Valua

Fair Value Measurements - Valuation techniques (Details)	Jun. 30, 2020USD ($)	Dec. 31, 2019USD ($)
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Fair Value	$ 412,675,853	$ 379,160,415
Level 3
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Fair Value	412,675,853	379,160,415
Long-term Debt, Fair Value	253,066,815	229,270,597
Level 3 | Loans Held for Investment
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Fair Value	408,378,123	375,956,154
Level 3 | Loans Held For Investment Acquired Through Participation
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Fair Value	4,297,730	3,204,261
Level 3 | Obligations Under Participation Agreements
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Long-term Debt, Fair Value	77,898,387	103,188,783
Level 3 | Revolving credit facility payable
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Long-term Debt, Fair Value	35,000,000	0
Level 3 | Mortgage Agreement Payable
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Long-term Debt, Fair Value	44,812,068	44,947,378
Level 3 | Repurchase Agreement Payable
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Long-term Debt, Fair Value	95,356,360	81,134,436
Level 3 | Discounted Cash Flow | Discount Rate
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Fair Value	412,675,853	379,160,415
Long-term Debt, Fair Value	253,066,815	229,270,597
Level 3 | Discounted Cash Flow | Discount Rate | Loans Held for Investment
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Fair Value	$ 408,378,123	$ 375,956,154
Level 3 | Discounted Cash Flow | Discount Rate | Loans Held for Investment | Minimum
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Measurement Input	0.0445	0.0471
Level 3 | Discounted Cash Flow | Discount Rate | Loans Held for Investment | Maximum
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Measurement Input	0.1905	0.1495
Level 3 | Discounted Cash Flow | Discount Rate | Loans Held for Investment | Weighted average
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Measurement Input	0.1102	0.0977
Level 3 | Discounted Cash Flow | Discount Rate | Loans Held For Investment Acquired Through Participation
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Fair Value	$ 4,297,730	$ 3,204,261
Level 3 | Discounted Cash Flow | Discount Rate | Loans Held For Investment Acquired Through Participation | Minimum
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Measurement Input	0.1295	0.1190
Level 3 | Discounted Cash Flow | Discount Rate | Loans Held For Investment Acquired Through Participation | Maximum
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Measurement Input	0.1295	0.1190
Level 3 | Discounted Cash Flow | Discount Rate | Loans Held For Investment Acquired Through Participation | Weighted average
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Measurement Input	0.1295	0.1190
Level 3 | Discounted Cash Flow | Discount Rate | Obligations Under Participation Agreements
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Long-term Debt, Fair Value	$ 77,898,387	$ 103,188,783
Level 3 | Discounted Cash Flow | Discount Rate | Obligations Under Participation Agreements | Minimum
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Measurement Input	0.0976	0.0900
Level 3 | Discounted Cash Flow | Discount Rate | Obligations Under Participation Agreements | Maximum
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Measurement Input	0.1905	0.1495
Level 3 | Discounted Cash Flow | Discount Rate | Obligations Under Participation Agreements | Weighted average
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Measurement Input	0.1306	0.1199
Level 3 | Discounted Cash Flow | Discount Rate | Revolving credit facility payable
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Long-term Debt, Fair Value	$ 35,000,000
Level 3 | Discounted Cash Flow | Discount Rate | Revolving credit facility payable | Minimum
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Measurement Input	0.0600
Level 3 | Discounted Cash Flow | Discount Rate | Revolving credit facility payable | Maximum
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Measurement Input	0.0600
Level 3 | Discounted Cash Flow | Discount Rate | Revolving credit facility payable | Weighted average
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Measurement Input	0.0600
Level 3 | Discounted Cash Flow | Discount Rate | Mortgage Agreement Payable
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Long-term Debt, Fair Value	$ 44,812,068	$ 44,947,378
Level 3 | Discounted Cash Flow | Discount Rate | Mortgage Agreement Payable | Minimum
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Measurement Input	0.0608	0.0608
Level 3 | Discounted Cash Flow | Discount Rate | Mortgage Agreement Payable | Maximum
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Measurement Input	0.0608	0.0608
Level 3 | Discounted Cash Flow | Discount Rate | Mortgage Agreement Payable | Weighted average
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Measurement Input	0.0608	0.0608
Level 3 | Discounted Cash Flow | Discount Rate | Repurchase Agreement Payable
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Long-term Debt, Fair Value	$ 95,356,360	$ 81,134,436
Level 3 | Discounted Cash Flow | Discount Rate | Repurchase Agreement Payable | Minimum
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Measurement Input	0.0251	0.0411
Level 3 | Discounted Cash Flow | Discount Rate | Repurchase Agreement Payable | Maximum
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Measurement Input	0.0580	0.0475
Level 3 | Discounted Cash Flow | Discount Rate | Repurchase Agreement Payable | Weighted average
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Measurement Input	0.0379	0.0433

Related Party Transactions - Su

Related Party Transactions - Summary of fees paid and costs reimbursed to the Manager (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Related Party Transaction
Origination And Extension Fee Expense	$ 250,601	$ 117,380	$ 688,218	$ 800,552
Asset management fee	1,140,426	956,985	2,169,959	1,837,340
Asset servicing fee	253,316	226,764	487,524	431,241
Operating expenses reimbursed to Manager	1,694,875	1,213,314	3,062,064	2,328,518
Disposition Fee	220,424	167,091	295,944	637,024
Total expenses	$ 3,559,642	$ 2,681,534	$ 6,703,709	$ 6,034,675

Related Party Transactions - Pa

Related Party Transactions - Participation Interests Purchased (Details) - USD ($)	Jun. 30, 2020	Dec. 31, 2019
Related Party Transaction
Principal Balance	$ 414,103,939	$ 377,388,317
Carrying Value	$ 414,448,282	$ 378,612,768
LD Milpitas Mezz, LP
Related Party Transaction
Participating Interests	25.00%	25.00%
Principal Balance	$ 4,250,000	$ 3,120,887
Carrying Value	$ 4,297,989	$ 3,150,546

Related Party Transactions - _2

Related Party Transactions - Participation Interests Purchased - Subnote (Details) - USD ($)	Jun. 30, 2020	Mar. 02, 2020	Dec. 31, 2019	Jun. 27, 2018
Related Party Transaction
Participating Mortgage Loans, Participation Liabilities, Amount		$ 49,800,000
Unfunded Commitment Outstanding	$ 92,700,000		$ 116,700,000
Principal Balance	$ 414,103,939		$ 377,388,317
Terra Income Fund Six Inc
Related Party Transaction
Participating Interests				25.00%
Principal Balance				$ 4,300,000
Terra Income Fund Six Inc | Mezzanine Loans
Related Party Transaction
Principal Balance				$ 17,000,000

Related Party Transactions - Tr

Related Party Transactions - Transfers of Participation Interest (Details) - USD ($)	Jun. 30, 2020	Dec. 31, 2019
Related Party Transaction
Principal Balance	$ 414,103,939	$ 377,388,317
Carrying Value	414,448,282	378,612,768
Participating Mortgage Loan
Related Party Transaction
Principal Balance	206,775,930	201,624,466
Carrying Value	207,504,733	202,951,903
Principal Balance	78,116,748	102,564,795
Carrying Value	78,246,519	103,186,327
Participating Mortgage Loan | 14th & Alice Street Owner, LLC
Related Party Transaction
Principal Balance	24,510,905	12,932,034
Carrying Value	$ 24,689,333	$ 12,957,731
% Transferred	80.00%	80.00%
Principal Balance	$ 19,608,724	$ 10,345,627
Carrying Value	19,689,912	10,387,090
Participating Mortgage Loan | 2539 Morse, LLC
Related Party Transaction
Principal Balance		7,000,000
Carrying Value		$ 7,067,422
% Transferred		40.00%
Principal Balance		$ 2,800,001
Carrying Value		2,825,519
Participating Mortgage Loan | 370 Lex Part Deux, LLC
Related Party Transaction
Principal Balance	51,037,529	48,349,948
Carrying Value	$ 51,094,313	$ 48,425,659
% Transferred	35.00%	47.00%
Principal Balance	$ 17,863,135	$ 22,724,476
Carrying Value	17,863,135	22,724,476
Participating Mortgage Loan | Austin H. I. Owner LLC
Related Party Transaction
Principal Balance		3,500,000
Carrying Value		$ 3,531,776
% Transferred		30.00%
Principal Balance		$ 1,050,000
Carrying Value		1,059,532
Participating Mortgage Loan | City Gardens 333 LLC (2)
Related Party Transaction
Principal Balance	27,449,731	28,049,717
Carrying Value	$ 27,461,070	$ 28,056,179
% Transferred	14.00%	47.00%
Principal Balance	$ 3,842,964	$ 13,182,584
Carrying Value	3,844,468	13,184,648
Participating Mortgage Loan | High Pointe Mezzanine Investments, LLC
Related Party Transaction
Principal Balance		3,000,000
Carrying Value		$ 3,263,285
% Transferred		37.20%
Principal Balance		$ 1,116,000
Carrying Value		1,217,160
Participating Mortgage Loan | NB Private Capital, LLC
Related Party Transaction
Principal Balance	19,670,115	20,000,000
Carrying Value	$ 19,837,285	$ 20,166,610
% Transferred	16.67%	72.40%
Principal Balance	$ 3,282,565	$ 14,480,392
Carrying Value	3,310,427	14,601,021
Participating Mortgage Loan | Orange Grove Property Investors, LLC
Related Party Transaction
Principal Balance	10,600,000	10,600,000
Carrying Value	$ 10,699,082	$ 10,696,587
% Transferred	80.00%	80.00%
Principal Balance	$ 8,480,000	$ 8,480,000
Carrying Value	8,559,225	8,557,205
Participating Mortgage Loan | RS JZ Driggs, LLC
Related Party Transaction
Principal Balance	8,200,000	8,200,000
Carrying Value	$ 8,276,271	$ 8,286,629
% Transferred	50.00%	50.00%
Principal Balance	$ 4,100,000	$ 4,100,000
Carrying Value	4,138,136	4,142,264
Participating Mortgage Loan | SparQ Mezz Borrower, LLC
Related Party Transaction
Principal Balance		8,700,000
Carrying Value		$ 8,783,139
% Transferred		36.81%
Principal Balance		$ 3,202,454
Carrying Value		3,231,689
Participating Mortgage Loan | Stonewall Station Mezz LLC
Related Party Transaction
Principal Balance	10,010,007	9,792,767
Carrying Value	$ 10,097,447	$ 9,875,162
% Transferred	44.00%	44.00%
Principal Balance	$ 4,404,403	$ 4,308,817
Carrying Value	4,442,374	4,344,635
Participating Mortgage Loan | The Bristol at Southport, LLC
Related Party Transaction
Principal Balance	23,500,000	23,500,000
Carrying Value	$ 23,671,815	$ 23,661,724
% Transferred	21.28%	42.44%
Principal Balance	$ 5,000,000	$ 9,974,444
Carrying Value	5,036,556	10,043,088
Participating Mortgage Loan | TSG-Parcel 1, LLC
Related Party Transaction
Principal Balance	18,000,000	18,000,000
Carrying Value	$ 18,180,000	$ 18,180,000
% Transferred	11.11%	37.78%
Principal Balance	$ 2,000,000	$ 6,800,000
Carrying Value	2,020,000	$ 6,868,000
Participating Mortgage Loan | Windy Hill PV Five CM, LLC
Related Party Transaction
Principal Balance	13,797,643
Carrying Value	$ 13,498,117
% Transferred	69.11%
Principal Balance	$ 9,534,957
Carrying Value	$ 9,342,286

Related Party Transactions - _3

Related Party Transactions - Transfers of Participation Interest - Subnote (Details) - USD ($)	Mar. 31, 2020	Mar. 02, 2020
Related Party Transaction
Participating Mortgage Loans, Participation Liabilities, Amount		$ 49,800,000
TPT 2 and TIF 3 REIT
Related Party Transaction
Participating Mortgage Loans, Participation Liabilities, Amount	$ 49,800,000

Related Party Transactions - Na

Related Party Transactions - Narratives (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019	Mar. 31, 2020	Dec. 31, 2019
Related Party Transaction
Asset Servicing Fee Annual Rate	0.25%		0.25%
Property Management Fee, Percent Fee			1.00%
Distribution Paid
Dividends, Common Stock	$ 4,459,975	$ 7,626,503	$ 13,292,046	$ 15,182,916
Due to Manager (Note 7)	1,895,105	1,900,000	1,895,105	1,900,000		$ 1,037,168
Terra Fund 5
Distribution Paid
Dividends, Common Stock		7,600,000		15,200,000
Investment Company, Return of Capital Distribution		$ 7,600,000		$ 11,300,000
Terra Fund 5, Terra JV and TIF3
Distribution Paid
Dividends, Common Stock	4,500,000		13,300,000
Investment Company, Return of Capital Distribution	$ 1,800,000		$ 10,100,000
Limited Partner
Related Party Transaction
Percent of Origination Fees Payable	1.00%		1.00%
Loans Disposition Fee Due to Manager Percent					1.00%
Disposition and Extension Fee Payment Term			The disposition fee is paid concurrently with the closing of any such disposition of all or any portion of any real estate-related loan or any interest therein, which is the lesser of (i) 1% of the principal amount of the loan or debt-related loan prior to such transaction or (ii) the amount of the fee paid by the borrower in connection with such transaction. If the Company takes ownership of a property as a result of a workout or foreclosure of a loan, the Company will pay a disposition fee upon the sale of such property equal to 1% of the sales price.

Related Party Transactions - Me

Related Party Transactions - Merger and Asset Contribution (Details) - shares	Jun. 30, 2020	Mar. 02, 2020	Mar. 01, 2020	Dec. 31, 2019
Related Party Transaction
Common Stock, Shares, Issued	19,487,460	4,574,470.35		15,125,681
Terra Fund 7
Related Party Transaction
Common Stock, Shares, Issued			2,116,785.76
Terra International Fund 3
Related Party Transaction
Common Stock, Shares, Issued		2,457,684.59
Terra JV
Related Party Transaction
Equity Method Investment, Ownership Percentage	87.40%
Terra JV | Terra Fund 5
Related Party Transaction
Percent Of Ownership In Joint Venture	87.60%
Terra JV | Terra Fund 7
Related Party Transaction
Percent Of Ownership In Joint Venture	12.40%

Related Party Transactions - _4

Related Party Transactions - Narratives - Terra International 3 (Details) - USD ($)	Apr. 29, 2020	Sep. 30, 2019
Related Party Transaction
Stock Repurchased During Period, Shares	212,691
Terra International Fund 3
Related Party Transaction
Proceeds from Contributed Capital		$ 3,600,000
Investment Owned, Balance, Shares		212,691
Stock Repurchased During Period, Shares	212,691
Share Price	$ 17.02	$ 17.02
Shares Issued, Price Per Share	$ 100,000

Related Party Transactions - _5

Related Party Transactions - Narratives - Co-investment (Details) - USD ($)	Jun. 30, 2020	Dec. 31, 2019	Jan. 31, 2018
Related Party Transaction
Principal Balance	$ 414,103,939	$ 377,388,317
Co-venturer [Member]
Related Party Transaction
Debt Instrument, Interest Rate, Stated Percentage			12.75%
Principal Balance			$ 8,900,000

Debt - Outstanding borrowing un

Debt - Outstanding borrowing under the Master Repurchase Agreement (Details) - USD ($)	6 Months Ended	12 Months Ended
	Jun. 30, 2020	Dec. 31, 2019
Debt Instrument
Amount Outstanding	$ 94,571,367	$ 79,608,437
Master Repurchase Agreement
Debt Instrument
Weighted Average Rate	3.80%	4.30%
Amount Outstanding	$ 95,356,360	$ 81,134,436
Amount Remaining Available	$ 54,643,640	$ 68,865,564
Debt Instrument Weighted Average Term	1 year 5 months 19 days	1 year 6 months 18 days

Debt - Outstanding Borrowing _2

Debt - Outstanding Borrowing under Master purchase agreement - Subnote (Details)	Jun. 30, 2020	Dec. 31, 2019
Master Repurchase Agreement | LIBOR
Debt Instrument
Long-term Debt, Percentage Bearing Variable Interest, Percentage Rate	0.16%	1.76%

Debt - Details of each borrowin

Debt - Details of each borrowing under the Master Repurchase Agreement (Details) - USD ($)	6 Months Ended	12 Months Ended
	Jun. 30, 2020	Dec. 31, 2019	Jan. 09, 2019
Debt Instrument
Fair Value	$ 412,675,853	$ 379,160,415
Carrying Value	414,448,282	378,612,768
Principal Balance	414,103,939	377,388,317
First Mortgage
Debt Instrument
Carrying Value			$ 14,325,000
Principal Balance	222,314,510	178,130,623
Collateral
Debt Instrument
Fair Value	142,758,695	115,306,279
Carrying Value	143,261,015	115,023,047
Principal Balance	142,755,962	114,757,121
Master Repurchase Agreement
Debt Instrument
Debt Instrument, Face Amount	$ 95,356,360	81,134,436
Line of Credit Facility, Expiration Date	Dec. 12, 2020
330 Tryon DE LLC | Collateral
Debt Instrument
Fair Value	$ 22,898,866	22,906,207
Carrying Value	22,896,169	22,891,149
Principal Balance	$ 22,800,000	$ 22,800,000
330 Tryon DE LLC | Master Repurchase Agreement
Debt Instrument
Debt Instrument, Description of Variable Rate Basis	LIBOR	LIBOR
Debt Instrument, Face Amount	$ 17,100,000	$ 17,100,000
Debt Instrument, Issuance Date	Feb. 15, 2019	Feb. 15, 2019
330 Tryon DE LLC | Master Repurchase Agreement | LIBOR
Debt Instrument
Debt Instrument, Basis Spread on Variable Rate	2.25%	2.25%
330 Tryon DE LLC | Master Repurchase Agreement | Floor rate | LIBOR
Debt Instrument
Debt Instrument, Basis Spread on Variable Rate	2.52%	2.52%
1389 Peachtree St, L.P. and Others | Collateral
Debt Instrument
Fair Value	$ 45,821,197	$ 38,655,000
Carrying Value	45,853,379	38,510,650
Principal Balance	45,671,947	$ 38,464,429
1389 Peachtree St, L.P. and Others | Master Repurchase Agreement
Debt Instrument
Debt Instrument, Description of Variable Rate Basis		LIBOR
Debt Instrument, Face Amount	$ 26,937,517	$ 24,040,268
Debt Instrument, Issuance Date		Mar. 7, 2019
1389 Peachtree St, L.P. and Others | Master Repurchase Agreement | First Mortgage
Debt Instrument
Debt Instrument, Description of Variable Rate Basis	LIBOR
Debt Instrument, Face Amount	$ 24,448,101
Debt Instrument, Issuance Date	Mar. 7, 2019
1389 Peachtree St, L.P. and Others | Master Repurchase Agreement | Second Mortgage
Debt Instrument
Debt Instrument, Description of Variable Rate Basis	LIBOR
Debt Instrument, Face Amount	$ 2,489,416
1389 Peachtree St, L.P. and Others | Master Repurchase Agreement | LIBOR
Debt Instrument
Debt Instrument, Basis Spread on Variable Rate		2.35%
1389 Peachtree St, L.P. and Others | Master Repurchase Agreement | LIBOR | First Mortgage
Debt Instrument
Debt Instrument, Basis Spread on Variable Rate	2.35%
1389 Peachtree St, L.P. and Others | Master Repurchase Agreement | LIBOR | Second Mortgage
Debt Instrument
Debt Instrument, Basis Spread on Variable Rate	3.85%
AGRE DCP Palm Springs LLC | Collateral
Debt Instrument
Fair Value	$ 33,084,469	$ 30,326,076
Carrying Value	33,030,797	30,174,455
Principal Balance	32,975,680	$ 30,184,357
AGRE DCP Palm Springs LLC | Master Repurchase Agreement
Debt Instrument
Debt Instrument, Description of Variable Rate Basis		LIBOR
Debt Instrument, Face Amount	$ 19,562,943	$ 22,638,268
Debt Instrument, Issuance Date		Dec. 23, 2019
AGRE DCP Palm Springs LLC | Master Repurchase Agreement | First Mortgage
Debt Instrument
Debt Instrument, Description of Variable Rate Basis	LIBOR
Debt Instrument, Face Amount	$ 19,242,798
Debt Instrument, Issuance Date	Dec. 23, 2019
AGRE DCP Palm Springs LLC | Master Repurchase Agreement | Second Mortgage
Debt Instrument
Debt Instrument, Description of Variable Rate Basis	LIBOR
Debt Instrument, Face Amount	$ 320,145
AGRE DCP Palm Springs LLC | Master Repurchase Agreement | LIBOR
Debt Instrument
Debt Instrument, Basis Spread on Variable Rate		2.50%
AGRE DCP Palm Springs LLC | Master Repurchase Agreement | LIBOR | First Mortgage
Debt Instrument
Debt Instrument, Basis Spread on Variable Rate	2.50%
AGRE DCP Palm Springs LLC | Master Repurchase Agreement | LIBOR | Second Mortgage
Debt Instrument
Debt Instrument, Basis Spread on Variable Rate	4.00%
AGRE DCP Palm Springs LLC | Master Repurchase Agreement | Floor rate | LIBOR
Debt Instrument
Debt Instrument, Basis Spread on Variable Rate		1.80%
AGRE DCP Palm Springs LLC | Master Repurchase Agreement | Floor rate | LIBOR | First Mortgage
Debt Instrument
Debt Instrument, Basis Spread on Variable Rate	1.80%
AGRE DCP Palm Springs LLC | Master Repurchase Agreement | Floor rate | LIBOR | Second Mortgage
Debt Instrument
Debt Instrument, Basis Spread on Variable Rate	1.80%
MSC Fields Peachtree Retreat LLC | Collateral
Debt Instrument
Fair Value	$ 23,108,448	$ 23,418,996
Carrying Value	23,442,092	23,446,793
Principal Balance	$ 23,308,335	$ 23,308,335
MSC Fields Peachtree Retreat LLC | Master Repurchase Agreement
Debt Instrument
Debt Instrument, Description of Variable Rate Basis	LIBOR	LIBOR
Debt Instrument, Face Amount	$ 17,355,900	$ 17,355,900
Debt Instrument, Issuance Date	Mar. 25, 2019	Mar. 25, 2019
MSC Fields Peachtree Retreat LLC | Master Repurchase Agreement | LIBOR
Debt Instrument
Debt Instrument, Basis Spread on Variable Rate	2.25%	2.25%
MSC Fields Peachtree Retreat LLC | Master Repurchase Agreement | Floor rate | LIBOR
Debt Instrument
Debt Instrument, Basis Spread on Variable Rate	2.00%	2.00%
Patrick Henry Recovery Acquisition LLC | Collateral
Debt Instrument
Fair Value	$ 17,845,715
Carrying Value	18,038,578
Principal Balance	$ 18,000,000
Patrick Henry Recovery Acquisition LLC | Master Repurchase Agreement
Debt Instrument
Debt Instrument, Description of Variable Rate Basis	LIBOR
Debt Instrument, Face Amount	$ 14,400,000
Debt Instrument, Issuance Date	Jan. 6, 2020
Patrick Henry Recovery Acquisition LLC | Master Repurchase Agreement | LIBOR
Debt Instrument
Debt Instrument, Basis Spread on Variable Rate	2.00%
Patrick Henry Recovery Acquisition LLC | Master Repurchase Agreement | Floor rate | LIBOR
Debt Instrument
Debt Instrument, Basis Spread on Variable Rate	1.50%

Debt - Mortgage Loan Payable (D

Debt - Mortgage Loan Payable (Details) - USD ($)	6 Months Ended
	Jun. 30, 2020	Dec. 31, 2019
Debt Instrument
Obligation under participation agreement	$ 78,246,519	$ 103,186,327
Centennial Bank
Debt Instrument
Debt Instrument, Description of Variable Rate Basis	LIBOR
Maturity Date	Sep. 27, 2020
Mortgage Loans on Real Estate Carrying value	$ 44,753,239	44,753,633
Loans Pledged as Collateral	51,171,918	$ 52,776,236
Carrying Value	$ 44,481,855
Centennial Bank | LIBOR
Debt Instrument
Debt Instrument, Basis Spread on Variable Rate	3.85%
Floor rate | Centennial Bank | LIBOR
Debt Instrument
Debt Instrument, Basis Spread on Variable Rate	2.23%
Multifamily
Debt Instrument
Carrying Value	$ 44,500,000

Debt - Scheduled Debt Principal

Debt - Scheduled Debt Principal Payments (Details) - USD ($)	Jun. 30, 2020	Dec. 31, 2019
Debt Instrument
2020 (July 1 through December 31)	$ 174,838,215
2021	0
2022	0
2023	0
2024	0
Long term debt	174,838,215
Unarmortized deferred financing costs	(513,609)	$ (1,400,000)
Long Term Debt Net	$ 174,324,606

Debt - Narratives - Purchase ag

Debt - Narratives - Purchase agreement, Revolving credit facility (Details)	6 Months Ended		12 Months Ended
	Jun. 30, 2020USD ($)	Jun. 30, 2019USD ($)	Dec. 31, 2020USD ($)	Dec. 31, 2019USD ($)	Jun. 20, 2019USD ($)	Dec. 12, 2018USD ($)
Repurchase Agreements
Payment of financing costs	$ 98,225	$ 239,261
Repayment of borrowings under repurchase agreements	3,395,740	0
Proceeds from borrowings under repurchase agreement	17,617,665	47,852,175
Unarmortized Finance Cost	513,609			$ 1,400,000
Proceeds from borrowings under revolving credit facility	35,000,000	0
Revolving Credit Facility
Obligation under participation agreement	78,246,519			$ 103,186,327
Line of Credit Facility, Average Outstanding Amount	$ 35,000,000	$ 0
Debt Instrument, Covenant Compliance	the Company is in compliance with these covenants.			the Company is in compliance with these covenants.
Revolving Credit Facility
Repurchase Agreements
Payment of financing costs	$ 300,000
Revolving Credit Facility
Line of Credit Facility, Expiration Date	Jun. 20, 2020
Debt Instrument, Covenant Description	On June 20, 2019, Terra LOC Portfolio I, LLC, a special-purpose indirect wholly-owned subsidiary of the Company, entered into a credit agreement with Israel Discount Bank of New York to provide for revolving credit loans of up to $35.0 million in the aggregate (“Revolving Credit Facility”), which the Company expects to use for short term financing needed to bridge the timing of anticipated loans repayments and funding obligations. Borrowings under the Revolving Credit Facility can be either prime rate loans or LIBOR rate loans and accrue interest at an annual rate of prime rate plus 1% or LIBOR plus 4% with a floor of 6%. Each loan made under the Revolving Credit Facility shall be in a minimum aggregate principal amount of the lesser of $1.0 million or the then unused amount under the facility and cannot be more than $25.0 million in the aggregate with respect to each asset purchased with the proceeds from the Revolving Credit Facility. The Revolving Credit Facility was scheduled to mature on June 20, 2020. In June and July 2020, the Company amended the Credit Facility twice to extend the maturity of the Credit Facility to September 3, 2020. In connection with obtaining the Revolving Credit Facility, the Company incurred deferred financing costs of $0.3 million, which are being amortized to interest expense over the term of the facility.
Debt Instrument, Covenant Compliance	both the Company and Terra LOC Portfolio I, LLC are in compliance with these covenants.			both the Company and Terra LOC Portfolio I, LLC are in compliance with these covenants.
Revolving Credit Facility | Floor rate
Revolving Credit Facility
Debt Instrument, Basis Spread on Variable Rate	6.00%
Revolving Credit Facility | LIBOR
Revolving Credit Facility
Debt Instrument, Basis Spread on Variable Rate	4.00%
Revolving Credit Facility | Prime Rate
Revolving Credit Facility
Debt Instrument, Basis Spread on Variable Rate	1.00%
Minimum | Revolving Credit Facility
Revolving Credit Facility
Line of Credit Facility, Periodic Payment, Principal	$ 1,000,000
Maximum | Revolving Credit Facility
Revolving Credit Facility
Line of Credit Facility, Remaining Borrowing Capacity	25,000,000
Master Repurchase Agreement
Repurchase Agreements
Payment of financing costs	2,800,000
Deferred Costs	$ 800,000			$ 1,500,000
Maximum Liability Under Repurchase Agreement Percent	0.50
Debt Instrument, Increase, Accrued Interest	$ 300,000
Revolving Credit Facility
Line of Credit Facility, Expiration Date	Dec. 12, 2020
Debt Instrument, Covenant Description	The Master Repurchase Agreement and the Guarantee Agreement contain various representations, warranties, covenants, conditions precedent to funding, events of default and indemnities that are customary for agreements of these types. In addition, the Guarantee Agreement contains financial covenants, which require the Company to maintain: (i) liquidity of at least 10% of the then-current outstanding amount under the Master Repurchase Agreement; (ii) cash liquidity of at least the greater of $5 million or 5% of the then-current outstanding amount under the Master Repurchase Agreement; (iii) tangible net worth at an amount equal to or greater than 75% of the Company’s tangible net worth as of December 12, 2018, plus 75% of new capital contributions thereafter; (iv) an EBITDA to interest expense ratio of not less than 1.50 to 1.00; and (v) a total indebtedness to tangible net worth ratio of not more than 3.00 to 1.00.
Master Repurchase Agreement | Minimum
Repurchase Agreements
EBITDA To Interest Expense Ratio	1.50
Master Repurchase Agreement | Maximum
Repurchase Agreements
Banking Regulation, Tangible Capital Ratio, Actual	3
Israel Discount Bank of New York | Revolving Credit Facility
Repurchase Agreements
Minimum Net Worth Required for Compliance	$ 200,000,000
Ratio of Indebtedness to Net Capital	1.75
Israel Discount Bank of New York | Minimum | Revolving Credit Facility
Repurchase Agreements
EBITDA To Interest Expense Ratio	1
Israel Discount Bank of New York | Terra LOC Portfolio I, LLC | Revolving Credit Facility
Repurchase Agreements
Minimum Net Worth Required for Compliance	$ 100,000,000
Revolving Credit Facility
Line of Credit Facility, Maximum Borrowing Capacity					$ 35,000,000
Goldman Sachs Bank USA | Terra Mortgage Capital LLC | Master Repurchase Agreement
Revolving Credit Facility
Line of Credit Facility, Maximum Borrowing Capacity						$ 150,000,000
Forecast | Master Repurchase Agreement | Minimum
Repurchase Agreements
Debt Instrument, Increase, Accrued Interest			$ 4,200,000
Multifamily
Revolving Credit Facility
Carrying Value	$ 44,500,000

Debt - Narratives - Loan Partic

Debt - Narratives - Loan Participation Agreement (Details) - USD ($)	6 Months Ended	12 Months Ended
	Jun. 30, 2020	Dec. 31, 2019	Mar. 02, 2020
Debt Instrument
Participating Mortgage Loans, Participation Liabilities, Amount			$ 49,800,000
Unarmortized Finance Cost	$ 513,609	$ 1,400,000
Carrying Value	$ 414,448,282	$ 378,612,768
Weighted-average coupon rate	9.25%	9.65%
Participating Mortgage Loan
Debt Instrument
Carrying Value	$ 207,504,733	$ 202,951,903
Carrying Value	$ 78,246,519	$ 103,186,327
Participating Mortgage Loan | Weighted average
Debt Instrument
Participating Mortgage Loans, Mortgage Interest Rate	10.80%	11.80%

Commitments and Contingencies (

Commitments and Contingencies (Details) - USD ($) $ in Millions	Jun. 30, 2020	Dec. 31, 2019
Commitments and Contingencies Disclosure [Abstract]
Unfunded Commitment Outstanding	$ 92.7	$ 116.7

Equity - Earnings Per Share (De

Equity - Earnings Per Share (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Equity [Abstract]
Net income (loss)	$ 2,646,042	$ (153,485)	$ 3,225,005	$ 3,769,390
Preferred stock dividend declared	(3,906)	(3,906)	(7,812)	(7,812)
Net income (loss) allocable to common stock	$ 2,642,136	$ (157,391)	$ 3,217,193	$ 3,761,578
Weighted-average shares — basic and diluted	19,555,241	14,912,990	18,131,260	14,912,990
Earnings (loss) per share — basic and diluted	$ 0.14	$ (0.01)	$ 0.18	$ 0.25

Equity - Preferred Stock Classe

Equity - Preferred Stock Classes (Details) - USD ($)	Nov. 30, 2016	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019	Dec. 31, 2016	Dec. 31, 2019
Class of Stock
Preferred stock dividend declared		$ 3,906	$ 3,906	$ 7,812	$ 7,812
Preferred Stock, Shares Authorized		50,000,000		50,000,000			50,000,000
Preferred Stock, Par or Stated Value Per Share		$ 0.01		$ 0.01			$ 0.01
Preferred Stock, Shares Issued		0		0			0
Preferred Stock, Shares Outstanding		0		0			0
Common Stock, Value, Issued		$ 194,875		$ 194,875			$ 151,257
Redeemable Cumulative Preferred Stock
Class of Stock
Preferred Stock, Dividend Rate, Percentage	12.50%					12.50%
Preferred Stock, Liquidation Preference Per Share	$ 1,000
Preferred Stock Shares Sold						125
Preferred Stock Value Sold						$ 125,000
Preferred Stock, Shares Authorized	125
Preferred Stock, Dividend Payment Terms	These dividends are cumulative and payable semi-annually in arrears on June 30 and December 31 of each year
Preferred Stock, Redemption Price Per Share		$ 1,000		$ 1,000
Preferred Stock Redemption Premium Per Share		$ 50		$ 50

Equity - Common Stock (Details)

Equity - Common Stock (Details) - USD ($)	Apr. 29, 2020	Mar. 01, 2020	Jun. 30, 2020	Mar. 02, 2020	Dec. 31, 2019	Sep. 30, 2019
Schedule of Equity Method Investments
Common Stock, Shares, Issued			19,487,460	4,574,470.35	15,125,681
Common Stock, Value, Issued			$ 194,875		$ 151,257
Stock Repurchased During Period, Shares	212,691
Terra JV
Schedule of Equity Method Investments
Equity Method Investment, Ownership Percentage			87.40%
Terra Fund 5 | Terra JV
Schedule of Equity Method Investments
Percent Of Ownership In Joint Venture			87.60%
Terra Fund 7
Schedule of Equity Method Investments
Common Stock, Shares, Issued		2,116,785.76
Terra Fund 7 | Terra JV
Schedule of Equity Method Investments
Percent Of Ownership In Joint Venture			12.40%
TIF 3 REIT
Schedule of Equity Method Investments
Common Stock, Shares, Issued				2,457,684.59		212,691
Common Stock, Value, Issued						$ 3,600,000
Stock Repurchased During Period, Shares	212,691
Share Price	$ 17.02					$ 17.02
Common Stock | Terra Fund 7
Schedule of Equity Method Investments
Business Combination Common Stock Shares		2,116,785.76

Equity - Distributions (Details

Equity - Distributions (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Schedule of Equity Method Investments
Dividends, Preferred Stock, Stock	$ 3,906	$ 3,906	$ 7,812	$ 7,812
Dividends, Common Stock	4,459,975	$ 7,626,503	13,292,046	$ 15,182,916
Terra Fund 5, Terra JV and TIF3
Schedule of Equity Method Investments
Investment Company, Return of Capital Distribution	1,800,000		10,100,000
Dividends, Common Stock	$ 4,500,000		$ 13,300,000